11 September 2015

BVI Litigation & Insolvency Client Update - September 2015

Welcome to our September BVI litigation and insolvency bulletin, co-authored by Ben Mays, Andrew Chissick and Jevaughn Rhymer.

BVI Litigation & Insolvency Client Update - September 2015

This edition of the bulletin contains reports on four recent cases:

  • Privy Council authority concerning a contested, Court-run auction of a property arising in the liquidation of a well-known luxury Caribbean resort. The decision is of interest to insolvency practitioners in the region and elsewhere and also contains guidance from our highest appeal court as to the level of flexibility judges have in giving reasons for their orders. 
  • A recent Court of Appeal case on the question of when the BVI Court will assume jurisdiction over a dispute involving a BVI company by giving leave to serve out of the jurisdiction. The case reinforces key principles from the Nilon Limited v Royal Westminster decision of the Privy Council reported in our March bulletin, including that while the BVI Court will generally assume jurisdiction if the claim relates to the administration of a BVI company, this proposition has limits and cannot be taken out of context. 
  • A High Court decision on the granting of an interim mandatory injunction in respect of a fuel supply agreement. The judgment demonstrates the principles the Court may consider when determining whether to make an interim order for specific performance and represents a rare example of the Court departing from the usual rule that damages will constitute a sufficient remedy for a breach of an agreement to supply unspecified chattels. 
  • A Court of Appeal judgment concerning partial summary judgment in respect of the enforcement of a foreign judgment. The decision examines the basis upon which the Court has discretion to sever judgments in order to grant partial summary judgments and includes notable findings on the extent to which the provisions of the BVI Trustee Act may defeat attempts to enforce certain foreign judgments relating to heirship in BVI; the effect of non-material disclosures when making an ex parte application; and the need for evidence to support an application for fortification of a cross-undertaking in damages.

To read the full update, please download the PDF on the right

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