Worldwide Freezing Injunction: Clarification Of The Correct Test For The Existence Of Assets
The Court of Appeal has recently considered a case where Chabra worldwide freezing orders - a well-used tool of litigators, not only to secure assets to satisfy English judgments, but also in aid of foreign proceedings, pursuant to Section 25 of the Civil Jurisdiction and Judgments Act 1982 (CJJA) - were sought pursuant to the CJJA in the case of Ras Al Khaimah Investment Authority & Others v Bestfort Development LLP & Others [2017] EWCA Civ 1014. The Respondents over which the orders were sought were various English companies owned by the Defendant. The claims themselves were taking place in the UAE and Georgia. The case is most interesting because Longmore LJ allowed the appeal in part and in doing so clarified the law as to what the correct test was for the existence of assets.
It is well known that English Courts will not make orders if they are futile or cannot be complied with. At first instance Rose J refused the application, because in her opinion she had to be satisfied that each Respondent to the application had or was likely to have some assets somewhere in the world, and she considered there was insufficient evidence of assets onto which any freezing order could attach.
Longmore LJ...
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