This chapter begins by introducing the Model Law on Cross-Border Insolvency (‘the Model Law’), which was adopted by the UN Commission on International Trade Law (UNCITRAL) in May 1997 and approved formally in December. Its purpose originally was to provide a template for use by countries seeking to put into place a cross-border insolvency regime, or strengthen one already in existence. This chapter looks at how the US and UK, despite seemingly seeking to adopt the same Model Law, in reality have very different conceptions of how it is to work in practice. The chapter starts with a brief examination of the objectives and scope of the Model Law, before analysing in more detail key aspects of the US and English versions and the reasons why there appears to be a growing divergence in the way in which the Model Law is applied in practice.
Support for international trade law: The US and the EU compared