Sovereign Debt Restructuring and Contract Law: A Good Faith and Relational Contract Approach (Routledge Research in Finance and Banking Law)

This book tackles the challenge of holdout creditor disruption of sovereign debt restructuring, where creditors reject collective agreements to pursue full loan recovery in domestic courts. Critically examining the contemporary statutory and contractual approaches to sovereign debt restructuring, the book presents their usefulness and limitations, including the potential major impact of the doctrine of merger in rem judicatam.It proposes the duty of good faith (which is generally implied under U.S law, implied in certain categories of contract under English law, and widely recognized globally) applied in the context of sovereign debt as a relational contract, as a robust legal approach to combating such disruptions in domestic courts.Through rigorous analysis of case law and treatises, the book argues that sovereign debt contracts are relational contracts, invoking heightened good faith and equity obligations.With in-depth analysis of the contents and judicial applications of the duty