1 . 3 . U N I T E D STATES

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Cross-border insolvency was first specifically addressed by the Bankruptcy Code 1978

(UBC 1 9 7 8 ) . I s The Code allows for a foreign representative to request proceedings

ancillary to foreign proceedings. S/he may further request the suspension or dismissal

of United States proceedings in favour of foreign insolvency proceedings or, alternatively,

request the commencement thereof.'" United States cross-border insolvency

law is currently subject to reform in the Bankruptcy Abuse Prevention and Consumer

Protection Act 2 0 0 5 . " T h e reform, which enters into force October 2 0 0 5 , adds a new

Chapter XV to the Code incorporating the UNCITRAL Model Law on Cross-border

Insolvency, to be discussed later in this chapter. Amongst other things, the reform

will replace the existing 'ancillary proceedings' and extend the statutory framework

to concurrent proceedings. However, it remains appropriate to include current law

S e c chapter 7 inlrn.

A New Paradigm ot Co-operation

in the discussion, as that law has been influential both for developments in other states

and for the Model Law itself while, moreover, existing case-law will remain relevant

also for the new Chapter X V . ' "