In re Sanjel (USA) Inc. and Suretech Completions (USA) Inc. (July 28, 2016)
Issue(s): Whether, in a Chapter 15 case, the Court can or should modify its Recognition Order pursuant to 11 U.S.C. § 1522 to allow FLSA claimants to pursue their claims against Debtor’s directors and officers.
Holding(s):  First, despite Movant’s failure to specifically request modification of the Recognition Order under 11 U.S.C. § 1522, the Court may modify relief either on its own motion or upon request pursuant to 11 U.S.C. § 1522(c).  Second, the Court engaged in a balancing test of the relative hardships when considering whether the interests of interested parties are sufficiently protected. Ultimately, the Court held that the balancing test weighed in favor of modification of the Recognition Order to allow FLSA claimants to file written consents in the federal district court case in order to preserve from tolling their claims against Debtor’s directors and officers. Lastly, the Court disagreed with Debtor and the Nortel court and held that a request for relief from the stay of the Recognition Order should not be decided exclusively by the foreign main court where the claims originated wholly under a United States statutory right to protect employees within the United States.