In Re Terraform Labs Pte Ltd [2025] SGHC(I) 4 (Re Terraform Labs), the Singapore International Commercial Court (SICC) recognised, under the UNCITRAL Model Law on Cross-Border Insolvency (as adopted in Singapore by way of section 252 and the Third Schedule of the Insolvency, Restructuring and Dissolution Act 2018) (SG Model Law), the applicant’s plan of liquidation (Chapter 11 Plan) under chapter 11 of Title 11 of the United States Code (11 USC. § 101, et seq.) as well as the order of the United States bankruptcy court confirming the Chapter 11 Plan (Confirmation Order).
The SICC also granted all other reliefs sought by the applicant under Article 21 of the SG Model Law, which included the administration and realisation of the applicant’s property and assets in Singapore in accordance with the Chapter 11 Plan and the Confirmation Order as well as the taking of all other necessary or appropriate actions to implement the same.
Significantly, the SICC reiterated that the court’s discretion to grant “any appropriate relief” under Article 21(1) of the SG Model Law is expansive and open-ended, with any such relief capable of being fashioned and formulated based on the demonstrated needs of each case. While some relief – such as the formal recognition of an order of a foreign tribunal approving a scheme of arrangement or restructuring plan – may be standard, others may have to be custom-tailored to adapt to the needs of a particular business. Parties should also bear in mind the SICC’s caution in Re Quoine Pte Ltd and others [2025] SGHC(I) 5 (which was handed down shortly after its decision in Re Terraform Labs) that, despite the court's broad authority to approve "any approriate relief", any such relief must be derived from and grounded in the particular circumstances of each case.
Our Partner Smitha Menon and Counsel Felicia Soong acted for the applicant in the Re Terraform Labs in obtaining recognition of the Chapter 11 Plan and Confirmation Order and all other reliefs sought.
This update takes a look at the SICC’s decision in Re Terraform Labs.
If you would like information and/or assistance on the above or any other area of law, you may wish to contact the Partner at WongPartnership whom you normally work with or any of the following:
Smitha MENON
Head – Restructuring & Insolvency
Partner – Special Situations Advisory
d +65 6416 8129
e smitha.menon@wongpartnership.com
Click here to view Smitha’s CV.
Felicia SOONG
Counsel – Restructuring & Insolvency
d +65 6416 6872
e felicia.soong@wongpartnership.com
Click here to view Felicia’s CV.