Update On Freezing Injunctions
In VTB v Universal Telecom Investment Strategies Fund SPC [2013] 2 CILR 94, the Cayman Islands Court of Appeal confirmed the availability of "free-standing" freezing injunctions in support of foreign legal proceedings, including against Cayman Islands entities against which no wrong doing is alleged.
Significantly, however, in VTB Capital plc v Malofeev [2011] 2 CILR 420, the Court held that it had no jurisdiction to grant leave to serve a defendant outside the jurisdiction in circumstances where the only relief sought was an interim freezing injunction in support of foreign proceedings. The Court of Appeal ruled that such an expansion of the Court's jurisdiction may be desirable but would have to await legislative intervention. This latter decision dramatically qualified the powers of the Cayman Islands courts.
The Cayman Islands legislature wasted little time in responding constructively to the comments of the Court of Appeal and, on 20 October 2014, the...
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