Hanjin Bankruptcy Update: Filing Claims and Recovering Containers
Bankruptcy proceedings for Hanjin, formerly the world’s seventh biggest shipping line, are moving forward quickly. Last week Andrew Kehagarias, a partner at TIA member law firm Roberts & Kehagarias, informed a group of customs brokers, freight forwarders, NVOCCs, and insurers that any intermediaries with claims should move quickly to file a claim in the case in South Korean court. While bankruptcy protections have been extended in the United States, those protections are covered under a unique part of U.S. bankruptcy law, Chapter 15. Chapter 15 bankruptcies are the United States application of an international treaty that improved legal coordination for international bankruptcy proceedings. Under Chapter 15 bankruptcy law, because the case was first filed in South Korea, the U.S. case and protections are secondary to those primary South Korean proceedings. In order to ensure that any claims under these proceedings are considered, forwarders with claims are recommended to secure legal counsel and act quickly to submit those claims.
TIA was recently notified by the Institute of International Container Lessors (IICL) that the companies who own ocean shipping containers, and had leased them to Hanjin prior to the bankruptcy, are attempting to recover their equipment. To view the IICL notice, please click here. TIA members are asked to please contact the relevant owner of a Hanjin container if they come across any equipment with the prefixes listed in the notice.
As there are further updates to issues rising from the Hanjin bankruptcy, TIA will reach out to its members who are most affected. For more information on this issue, or to get involved in TIA’s International Logistics Conference, please contact Will Sehestedt at firstname.lastname@example.org.