[PDF][PDF] Recognition of Foreign Insolvency Proceedings: A Comparative Study between the Laws of Indonesia and South Korea

MBA Haq, T Wijayanta - International Journal of Innovation, Creativity and …, 2020 - ijicc.net
MBA Haq, T Wijayanta
International Journal of Innovation, Creativity and Change, 2020ijicc.net
This study aims to identify and analyse the regulation regarding foreign insolvency
proceedings' recognition in Indonesia and South Korea, and the recognition of Indonesian
insolvency proceedings from the perspective of South Korea's model of cross-border
insolvency proceedings. This research is normative legal research. This study uses
qualitative and comparative methods to analyse the data from the literature study. The
secondary data were analysed by content analysis with statute approach, while the analysis …
This study aims to identify and analyse the regulation regarding foreign insolvency proceedings’ recognition in Indonesia and South Korea, and the recognition of Indonesian insolvency proceedings from the perspective of South Korea’s model of cross-border insolvency proceedings. This research is normative legal research. This study uses qualitative and comparative methods to analyse the data from the literature study. The secondary data were analysed by content analysis with statute approach, while the analysis of the interview data was conducted through qualitative analysis. Based on the study, up to recent times, Indonesia has not utilised the universalism model of the crossborder insolvency approach, and under Indonesian civil procedural law, Indonesian courts’ decisions are only enforceable within the territory of Indonesia and vice versa. Meanwhile South Korea, under a new consolidated insolvency law, which became effective in the year 2006, has adopted a modified universalism model of cross-border insolvency; thus South Korea regulates provisions regarding the recognition of foreign insolvency proceedings. Under the Indonesian main insolvency act, Law No. 37 of 2004 on Bankruptcy and Suspension of Debt Payment Obligation, Indonesian debtor’s assets situated in a foreign country (including South Korea) may be reached, and according to the South Korean modified universalism approach under Debtor Rehabilitation and Bankruptcy Act, the effect of an insolvency proceeding which has commenced in an Indonesian commercial court would have an effect and may be recognised within the territory of South Korea.
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