Spotlight On Cross Border Insolvency Issues

Jurisdiction - "CoMI" doesn't give the English courts jurisdiction over Scottish companies

Which law applies is a question that must be addressed early in relation to any insolvency issues or process. Where a company is incorporated in Scotland the Scottish courts will have jurisdiction in relation to the insolvency process and the Scottish Insolvency Rules will apply. This means that a petition for winding up, a notice of appointment of an administrator or a proposal for a company voluntary arrangement must be filed with the Court of Session in Edinburgh or, if the company has paid up capital of less than £120,000, the local Sheriff Court of the place of the registered office of the company.