The Insolvency, Restructuring and Dissolution Act 2018 (the “IRDA”) came into force on 30 July 2020. The consolidation of all personal and corporate insolvency and debt restructuring legislation into a single statute, along with other legislative changes, seeks to further strengthen Singapore’s position as an international debt restructuring hub. This note highlights the new restrictions on ipso facto provisions effected by the IRDA, which will be of particular interest to loan market participants.
Restrictions on ipso facto clauses
Ipso facto1clauses allow a party to terminate or modify the operation of a contract (including accelerating payment) upon the occurrence of certain events of default such as a counterparty’s insolvency or …
Read the full article at: https://www.jdsupra.com/legalnews/ipso-facto-clauses-under-the-insolvency-82977/