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ARTICLE · 19 DECEMBER 2012

Non-recognition Of Foreign Liquidation Judgments In Flightlease

The courts recently considered the issue of enforceability in Ireland of an order if made by Swiss courts in Swiss liquidation proceedings.

IrelandInsolvency/Bankruptcy/Re-Structuring

Originally published by International Law Office, October 12, 2012

High Court decision
Supreme Court decision

The courts recently considered the issue of enforceability in Ireland of an order if made by Swiss courts in Swiss liquidation proceedings.1 The order would require the return of monies paid – at a disadvantage to creditors – to Irish company Flightlease which had since been liquidated in Ireland.

High Court decision

The Irish High Court2 had decided that although it found a real and substantial connection between Switzerland and the cause of action before the Swiss court, as Flightlease was not present or carrying on business through an agent in Switzerland when the proceedings were instituted and had not submitted to the jurisdiction of the Swiss courts, it would be inappropriate for the Irish court to recognise any judgment on the relevant matter in the Swiss liquidation proceedings. The High Court rejected the real and substantial connection test

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