Abstract:
In the recent case of RBG Resources v Credit Lyonnais, the High Court held that s 377(3) of the Companies Act, which has been interpreted as requiring a ring-fencing of the local estate of a registered foreign company for the benefit of paying debts and liabilities incurred in Singapore, does not apply to an unregistered foreign company. This article discusses the case in the light of recent developments in international insolvency in English, European and American law. It is argued that at common law Singapore should not adopt a dogmatic approach on whether to ring-fence local assets or to order their transfer to the main liquidation, but should adopt a flexible approach that requires close co-operation between the Singapore and foreign liquidators in the quest to achieve practical justice.