On 15 January 2020 the States of Guernsey passed the Companies
(Guernsey) Law, 2008 (Insolvency) (Amendment) Ordinance, 2020,
making Guernsey an even more desirable forum for insolvency
proceedings. The new legislation is set to modernise Guernsey
insolvency law, bringing the jurisdiction into line with not only
the UK but other offshore jurisdictions such as the British Virgin
Islands and the Cayman Islands. These changes will affect all new
liquidations and administrations and will come into force when
regulations to that effect are made by the Committee for Economic
Development.
Having had the opportunity to advise on the new law through
ARIES (the pan-Channel Islands industry body) and via the
insolvency rules committee I believe that the necessary legislative
tools are now in place to ensure that liquidators and
administrators can quickly and efficiently gather in the assets of
insolvent companies and return them to the creditors.
