International Cooperation in Cross-Border -Insolvency Cases according to the Jordanian Law: A Comparative Study

Abstract

The study subject matter deals with the latest rules in the Jordanian Insolvency Law for the year 2018 concerning the international cooperation among the national and foreign courts of law in cross-border cases through admission of foreign insolvency procedures and its validity and effectiveness within the Jordanian national region, provided applying the reciprocity principle and within the conditions and procedures required by Law. The study used a scientific approach based on characterization, analysis, and comparison between the Jordanian insolvency law of 2018 and the European Convention on insolvency procedures of 2000. The study found that the Jordanian legislator positively responded to the modern international trends to handle the international insolvency cases aiming to provide effective protection for creditors and achieving principles of justice, equality and transparency and treating the judicial jurisdiction dispute problem concerning insolvency. The Jordanian legislator excerpted such law provisions from the Cross Borders Insolvency Model Law for the year 1997 issued by the United Nations Commission on International Trade Law (UNCITRAL), for the purpose of supporting and enhancing the trade credit process, attracting investments and achieving economic developments. The study recommends that the Jordanian legislator should include an explicit provision on the inclusion of insolvency declaration provisions issued by national courts in the main procedures for funds located outside the national territory to achieve the objectives of the law in international insolvency cases.