Tokyo Barrister: Start the law firm bankruptcy

Chapter 874 Beiyuan’s plan!

Evening, Nippon Steel Headquarters.

Many high-level executives gathered in the meeting room, ready to listen to the report from the legal team. Minister of General Affairs Terada, Chairman of Nippon Steel Shibata, Managing Director Uejima, Financial Director Nagai, CEO of Future Space Shima Miho, and representatives of the six major banks were all gathered together.

On the legal team side, Attorney Tanimoto of Mori Hamada & Matsumoto Law Firm, Attorney Tamashiro of TMI Law Firm, and Attorney Abe of Anderson Mori & Tomotsune were all present.

The atmosphere in the entire conference room was tense.

After all, Nippon Steel has never encountered such a situation before.

Terada was also nervous. He had been in charge of the Nippon Steel project. Now that Nippon Steel was suddenly facing bankruptcy, it would be another heavy blow to his personal reputation after Eriko.

"I just asked directly," Terada said, "What is the probability that the Tokyo High Court will approve the bankruptcy?"

"Based on our past practical experience, this is almost impossible," said Attorney Yucheng. "The court will be very cautious. The court will not rashly decide to accept the bankruptcy case unless there is sufficient communication. Such a decision will only be made when all parties have sufficient psychological expectations."

"Yes." Lawyer Abe said, "Take the data as an example. Last year, the Tokyo High Court accepted a total of 52 bankruptcy applications, and only one approved bankruptcy. The court is very cautious about initiating a corporate bankruptcy."

"We were also very surprised that the court did not communicate with the Ministry of Economy, Trade and Industry in advance this time," Terada added. "So I am also worried that the court will take some unexpected actions this time."

"The court will not make a decision so quickly." Attorney Abe further said, "The average time for the Tokyo High Court to decide whether to accept an application is eight months. For large and complex cases, it takes thirteen months. For a case like Nippon Steel, it will probably take at least nearly a year and a half for the court to make a decision."

"That's right." Lawyer Tanimoto added, "During the period from when the court makes its decision, we have every opportunity to mediate. Minister Terada can also coordinate economic and industrial experts to meet with the judge and give a detailed explanation of Nippon Steel's assets, liabilities, and future business conditions. After sufficient communication, I believe the judge will make a wise decision."

"What if the court wants to retrieve the balance of Nippon Steel's bank account?" Terada asked further.

"From our experience, the court will not agree to such a request," said Yucheng. "If they want to check the balance, they need to check the balance on which day. Which accounts are within the scope of the request and which are not. The court rarely handles financial accounting matters themselves. At most, they will ask for the latest audit report."

"That means the Tokyo High Court will not make a decision in a short time, right?" Terada finally confirmed.

Shima Miho and representatives from various banks in the room were also eager to know the answer to this question.

After all, as long as there is time, there is room for maneuver.

Where there is room for maneuver, there is room for human manipulation.

"Yes," the three bankruptcy lawyers answered in unison. According to their experience, this was indeed not a case that could be resolved quickly.

After receiving the affirmative response from the lawyer team, the tension in the conference room was slightly relieved. Soon, Terada began the next stage of work, looking at how to push the court to avoid initiating bankruptcy proceedings. These senior executives immediately began to study intensively at night...

……

……

A few days later in the morning.

Eto Law Firm.

Three postal employees were counting envelopes in the office hall and sorting them out one by one. They were busy running up and down, collecting boxes. These employees didn't expect that there would be so many documents to be sent overseas today, so they came to collect them.

Kitahara stood in the middle of the office lobby, admiring the scene.

Miyagawa and Niwa were watching Kitahara from behind. After helping Kitahara sort out materials over the past few days, they already knew what Kitahara was going to do. After understanding Kitahara's idea, they were surprised that it was such a bold and crazy plan.

What Kitahara has to do is simple—— That is to go to various places overseas——

At the same time, an application was made for bankruptcy liquidation of Nippon Steel.

Not just in the East.

But all over the world.

As long as Nippon Steel has a physical operating entity in the local area, he will file for bankruptcy with the local court.

Therefore, he contacted many overseas law firms.

Of course, he did not ask these overseas law firms to prepare documents for him, he just asked them to run errands and submit materials.

The reason why Kitahara did this was very simple.

That is, he wants to force the Tokyo High Court to make a decision through overseas bankruptcy.

He wants to take advantage of the effectiveness of cross-border bankruptcy.

Generally speaking, the bankruptcy laws of various countries will stipulate that once the court initiates bankruptcy proceedings, the relevant legal effects will also extend to the overseas assets of the bankrupt company. In simple terms, if Nippon Steel is declared bankrupt in Japan, the bankruptcy effect will also extend to Nippon Steel's overseas assets.

The reverse is also true.

If Nippon Steel is declared bankrupt overseas, the bankruptcy order of the foreign court will in turn restrict Nippon Steel's assets in Japan.

Of course, in theory, Nippon Steel's disposal of its assets in Japan only needs to be subject to the disposal of Japanese judicial institutions, and does not need to pay attention to any disposal by foreign courts. However, this would become very troublesome, especially since Nippon Steel is a listed company with investors all over the world.

Therefore, in order to avoid being declared bankrupt by overseas courts first——

The Tokyo High Court could only announce the start of Nippon Steel's bankruptcy proceedings before all overseas courts.

Only in this way can the Oriental courts gain the upper hand.

Yes, this is Kitahara's plan.

The Tokyo High Court was the first court to accept the bankruptcy case of Nippon Steel. If the Tokyo High Court makes a bankruptcy decision later than the overseas courts in this case, Nippon Steel's assets in Japan will be restricted by the overseas courts, not to mention that Nippon Steel's overseas assets will be swallowed up by the enforcement agencies of the overseas courts.

In order to avoid this unfavorable situation.

The Tokyo High Court is left with only one option.

That is to initiate bankruptcy proceedings in the shortest possible time and ensure that the initiative of the case is always in Dongyang's hands.

Beiyuan looked at the documents being sent to overseas law firms, and the corners of his mouth curled up slightly.

Now it's time for the Tokyo High Court to make a decision...

(End of this chapter)