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On September 1, 2016, Hanjin Shipping Co., Ltd (Hanjin), the world’s seventh
-largest container shipping company, sought court protection under Korean
bankruptcy and rehabilitation laws. The move ends many months of efforts
by Hanjin to negotiate a voluntary restructuring agreement with its principal
creditors. Disruptions in logistical operations, vessel arrests and delays to
vessel voyages and cargo deliveries have been a significant side effect -
with up to USD $14bn of cargo in limbo as vessels have been turned away
from ports or stayed at sea whilst the situation is stabilised. Attempts to
access new vital business funding for Hanjin’s operations are continuing and
legal recognition of the newly opened Korean rehabilitation proceedings has
been sought in other jurisdictions (including in the US and English courts).
Hanjin’s situation has a wide variety of consequences, both for creditors of
Hanjin and for the wider container sector.
Read the full Note. | 
