Cross-border insolvency between Chinese Mainland and Hong Kong: the past, the present, and the future

ABSTRACT This article examines the new Chinese Mainland–Hong Kong cross-border insolvency cooperation arrangement. The new Record of Meeting reached in May 2021 between the Supreme People’s Court of the People’s Republic of China and the Government of the Hong Kong Special Administrative Region marks a significant step towards mutual recognition in cross-border insolvency cases, laying down the bedrock for future cooperation. Yet, the new arrangement is still a rough draft, without considering detailed issues. This article provides a comprehensive evaluation of the feasibility of the new arrangement, taking into account previous international insolvency cases in both the Mainland and Hong Kong. In particular, this article proposes that the current arrangement needs further revision and enhanced cooperation, following the model of the European Insolvency Regulation.