The 20th Century: The Cayman Islands, initially administered as a dependency of Jamaica, became an independent colony in 1959; they now are a self-governing British Overseas Territory..
Cayman's insolvency regime enables insolvent Cayman companies to be wound up in a transparent, efficient and cost-effective manner to the benefit of their creditors..
What is the insolvency and restructuring in the Cayman Islands?
Formal insolvency and restructuring procedures The Cayman Islands has historically been regarded as a creditor friendly jurisdiction with an insolvency regime formed to prioritise the rights and equal treatment of creditors (regardless of their place of domicile) with significant court oversight..
What is the insolvency test in the Cayman Islands?
The test for insolvency of a company in the Cayman Islands is well known. Section 93 of the Companies Act provides that a company is deemed to be insolvent if it has failed to pay a demand served on it exceeding KYD$100 or it is proved to the satisfaction of the court that the company is unable to pay its debts..
What is the law in the Cayman Islands?
The Cayman Islands legal system is based on English common law, with the addition of local statutes which have, in many respects, adapted the common law to be more suitable for local application..
What law applies in Cayman Islands?
The Cayman Islands legal system is based on English common law, with the addition of local statutes which have, in many respects, adapted the common law to be more suitable for local application..
Who controls the laws in the Cayman Islands?
The Premier of the Cayman Islands is the head of government. Executive power is exercised by the government, legislative power is vested in both the government and the Parliament of the Cayman Islands. The judiciary is independent of the executive and the legislature..
Formal insolvency and restructuring procedures The Cayman Islands has historically been regarded as a creditor friendly jurisdiction with an insolvency regime formed to prioritise the rights and equal treatment of creditors (regardless of their place of domicile) with significant court oversight.
Once the governor's assent is given to the bill, it is published in the official Gazette and becomes law. Regulations to the laws are made by the governor acting on the advice of the Cabinet.
Schemes of arrangements in the Cayman Islands require two hearings, the first is a convening hearing to approve the manner of the scheme meeting at which creditors vote on the scheme of arrangement and communication to the creditors in relation to voting and the second a sanction hearing to assess the results of the
The Cayman Islands is a separate legal jurisdiction to the United Kingdom and has its own laws. There are harsh penalties for those caught with drugs of any kind.
The Cayman Islands legal system is based on English common law, with the addition of local statutes which have, in many respects, adapted the common law to be more suitable for local application.
The Premier of the Cayman Islands is the head of government. Executive power is exercised by the government, legislative power is vested in both the government and the Parliament of the Cayman Islands. The judiciary is independent of the executive and the legislature.
All proceedings in bankruptcy must be commenced by petition in the Chief Court of Bankruptcy (The Grand Court). A petition may be presented by a bankrupt debtor or by one or more creditors who are owed at least $40.00.
Cayman Islands bankruptcy law is principally codified in five statutes and statutory instruments: the Bankruptcy Law (1997 Revision); the Companies Law Personal bankruptcyWinding up of companiesVoidable transactions
Cross-border insolvency is largely regulated under the Foreign Bankruptcy Proceedings (International Cooperation) Rules 2008. In practice the Cayman Islands Personal bankruptcyWinding up of companiesVoidable transactions
The personal bankruptcy regime in the Cayman Islands is governed by the Bankruptcy Law (Cap 7) (1997 Revision) and the Grand Court (Bankruptcy) Rules 1977.
Can secured creditors enforce their security in Cayman Islands?
The Cayman Islands Companies Act contains an express provision that secured creditors are entitled to enforce their security without the permission of the court or reference to the liquidator
Creditors are not treated differently based on whether they are based in Cayman or elsewhere
How is insolvency law regulated in the Cayman Islands?
Insolvency law in the Cayman Islands is principally regulated by the Companies Act (2022 Revision), the Companies Winding Up Rules, the Insolvency Practitioners’ Regulations and the Foreign Bankruptcy Proceedings (International Cooperation Rules)
How many restructuring petitions have been filed in the Cayman Islands?
In 2019, a total of six restructuring petitions were filed in the Grand Court of the Cayman Islands
Of these, three related to share capital reductions and two related to schemes of arrangement
In addition, one petition related to both a share capital reduction and a scheme of arrangement
What is debtor-in-possession in Cayman Islands?
Under Cayman Islands law there is no formal debtor-in-possession form of rehabilitation for companies in financial distress
However, under the Companies Law, a company may enter into a scheme of arrangement and reorganise its debts if the scheme is supported by a majority of creditors holdings 75% in value of the company's debt
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Regional corporate legislation
Bankruptcy law cayman islands
Politics of a U.S. territory
Politics of the United States Virgin Islands takes place in a framework of a presidential representative democratic dependency, whereby the Governor is the head of the territory's government, and of a multi-party system. United States Virgin Islands are an unincorporated and organized territory of the United States, administered by the Office of Insular Affairs of the United States Department of the Interior. Executive power is exercised by the local government of the Virgin Islands. The judiciary is independent of the executive and the legislature.
Regional corporate legislation
Politics of the United States Virgin Islands takes place in
Politics of a U.S. territory
Politics of the United States Virgin Islands takes place in a framework of a presidential representative democratic dependency, whereby the Governor is the head of the territory's government, and of a multi-party system. United States Virgin Islands are an unincorporated and organized territory of the United States, administered by the Office of Insular Affairs of the United States Department of the Interior. Executive power is exercised by the local government of the Virgin Islands. The judiciary is independent of the executive and the legislature.
