Jennifer Fox
Updates
Insolvency & Restructuring
Snapshot: bringing claims against Cayman entities subject to insolvency processes
Cayman Islands | 23 October 2020To ensure the orderly and collective resolution of a company's affairs, the Companies Law imposes a moratorium on commencing or proceeding with any suit, action or other proceedings against the company once liquidators are appointed by the court (including on a provisional basis). Once these officeholders are appointed, proceedings can be commenced or proceeded with against the company in question only with the leave of the Grand Court, subject to such terms as the court may impose.
Segregated portfolio companies
Cayman Islands | 24 July 2020May 2020 marked the 22nd anniversary of the Cayman Islands segregated portfolio company (SPC). This article reflects on the first two decades of the SPC – in particular, the principles established by the courts concerning insolvent SPCs. These cases have posed some interesting and novel questions for the Cayman courts to resolve and the decisions have fleshed out the statutory provisions as regards the status, duties and powers of office holders appointed in connection with SPCs.
Litigation
Grand Court successfully responds to COVID-19 challenges
Cayman Islands | 09 June 2020The substantive hearing of a winding-up petition which was successfully conducted via videoconferencing shows that the Grand Court is responding effectively to the challenges of the COVID-19 pandemic. The Grand Court's apparent seamless adaptation to these challenging times is a testament to its well-established technological capabilities, given that judges have frequently presided over interlocutory hearings by video link from abroad in the past.
Privilege in settlement discussions: without prejudice?
Cayman Islands | 05 May 2020Without prejudice privilege attaches to written or oral communications made for the purpose of a genuine attempt to compromise a dispute between parties. The effect of this rule is that such communications are generally not admissible in evidence. As demonstrated by a recent Grand Court decision, the protection provided by without prejudice privilege is important, but can be a complicated area to navigate.
Cryptoassets as property: litigators' tools to assist in their tracing and recovery
Cayman Islands | 10 March 2020The UK High Court recently found that cryptoassets such as bitcoin are property and are therefore capable of being the subject of a proprietary injunction or freezing order. Although this is a first-instance decision, there is no reason why the Cayman courts would approach the development of the legal concept of 'property' any less purposefully.
Court of Appeal overturns anti-suit injunction in favour of Argyle Funds SPC Inc
Cayman Islands | 05 February 2019The Court of Appeal has unanimously allowed every ground of an appeal by the liquidators of Argyle Funds SPC Inc. The key takeaway for the Cayman Islands professional services industry is that where work is delegated to be carried out by related entities outside the Cayman Islands, any attempt to contractually limit clients' rights to bring claims against those entities must be expressly articulated within the contract.
Private Client & Offshore Services
Snapshot: bringing claims against Cayman entities subject to insolvency processes
Cayman Islands | 22 October 2020To ensure the orderly and collective resolution of a company's affairs, the Companies Law imposes a moratorium on commencing or proceeding with any suit, action or other proceedings against the company once liquidators are appointed by the court (including on a provisional basis). Once these officeholders are appointed, proceedings can be commenced or proceeded with against the company in question only with the leave of the Grand Court, subject to such terms as the court may impose.
Insolvency and restructuring: segregated portfolio companies
Cayman Islands | 23 July 2020May 2020 marked the 22nd anniversary of the Cayman Islands segregated portfolio company (SPC). This article reflects on the first two decades of the SPC – in particular, the principles established by the courts concerning insolvent SPCs. These cases have posed some interesting and novel questions for the Cayman courts to resolve and the decisions have fleshed out the statutory provisions as regards the status, duties and powers of office holders appointed in connection with SPCs.
Grand Court successfully responds to COVID-19 challenges
Cayman Islands | 04 June 2020The substantive hearing of a winding-up petition which was successfully conducted via videoconferencing shows that the Grand Court is responding effectively to the challenges of the COVID-19 pandemic. The Grand Court's apparent seamless adaptation to these challenging times is a testament to its well-established technological capabilities, given that judges have frequently presided over interlocutory hearings by video link from abroad in the past.
Privilege in settlement discussions: without prejudice?
Cayman Islands | 30 April 2020Without prejudice privilege attaches to written or oral communications made for the purpose of a genuine attempt to compromise a dispute between parties. The effect of this rule is that such communications are generally not admissible in evidence. As demonstrated by a recent Grand Court decision, the protection provided by without prejudice privilege is important, but can be a complicated area to navigate.
Cryptoassets as property: litigators' tools to assist in their tracing and recovery
Cayman Islands | 05 March 2020The UK High Court recently found that cryptoassets such as bitcoin are property and are therefore capable of being the subject of a proprietary injunction or freezing order. Although this is a first-instance decision, there is no reason why the Cayman courts would approach the development of the legal concept of 'property' any less purposefully.
Latest interpretation of illegality defence
Cayman Islands | 04 April 2019A Cayman court recently considered numerous complex areas of the law concerning commercial fraud and the ability to trace assets through corporate groups and into sophisticated financial products. This article discusses the court's findings regarding the illegality defence and the lessons which can be derived for future Cayman cases in which this defence might be engaged.
Court of Appeal overturns anti-suit injunction in favour of Argyle Funds SPC Inc
Cayman Islands | 31 January 2019The Court of Appeal has unanimously allowed every ground of an appeal by the liquidators of Argyle Funds SPC Inc. The key takeaway for the Cayman Islands professional services industry is that where work is delegated to be carried out by related entities outside the Cayman Islands, any attempt to contractually limit clients' rights to bring claims against those entities must be expressly articulated within the contract.
