Introduction
As a result of a consultation with industry bodies and
professionals that has spanned several years, the States of
Guernsey have drafted The Companies (Guernsey) Law, 2008
(Insolvency) Amendment Ordinance, 2019 ("the Ordinance")
which introduces a number of proposed additions to the Companies
Law.
When these reforms were proposed in 2017, the Committee for
Economic Development stated that 'effective, equitable and
clear insolvency laws are an essential ingredient of a modern
economy. Exit strategies for business are an increasingly important
factor when choosing where to establish a venture.....since they
enable creditors to understand at the outset how a liquidation or
administration will progress. In turn this can lead to willingness
on the part of credit providers to lend in a jurisdiction; so
allowing businesses improved access to finance to facilitate
growth1.'
