Offshore Litigation

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Offshore Litigation

The Offshore Litigation Blog is where you will find recent case updates, offshore litigation news, offshore filings lists, interviews and even some insights into island life, written by Harneys litigators from around the world.

Contributors

Jonathan Addo
Jonathan Addo
  • Jonathan Addo

  • Partner
  • British Virgin Islands
Jeremy Child
Jeremy Child
  • Jeremy Child

  • Partner
  • London
Julie Engwirda
Julie Engwirda
  • Julie Engwirda

  • Partner
  • Hong Kong
Peter Ferrer
Peter Ferrer
  • Peter Ferrer

  • Partner
  • British Virgin Islands
Claire Goldstein
Claire Goldstein
  • Claire Goldstein

  • Partner
  • British Virgin Islands
Hazel-Ann Hannaway
Hazel-Ann Hannaway
  • Hazel-Ann Hannaway

  • Partner
  • British Virgin Islands
Nick Hoffman
Nick Hoffman
  • Nick Hoffman

  • Partner
  • Cayman Islands
Andrew Johnstone
Andrew Johnstone
  • Andrew Johnstone

  • Partner
  • Hong Kong
Paula Kay
Paula Kay
  • Paula Kay

  • Partner
  • Hong Kong
Phillip Kite
Phillip Kite
  • Phillip Kite

  • Partner
  • London
Vicky Lord
Vicky Lord
  • Vicky Lord

  • Partner
  • Shanghai
Paul Madden
Paul Madden
  • Paul Madden

  • Partner
  • Cayman Islands
Henry Mander
Henry Mander
  • Henry Mander

  • Partner
  • Cayman Islands
Ian Mann
Ian Mann
  • Ian Mann

  • Partner
  • Hong Kong
William Peake
William Peake
  • William Peake

  • Partner
  • London
Lorinda Peasland
Lorinda Peasland
  • Lorinda Peasland

  • Consultant
  • Hong Kong
Chai Ridgers
Chai Ridgers
  • Chai Ridgers

  • Partner
  • Hong Kong
Nicola Roberts
Nicola Roberts
  • Nicola Roberts

  • Partner
  • Hong Kong
Paul Smith
Paul Smith
  • Paul Smith

  • Partner
  • Cayman Islands
Andrew Thorp
Andrew Thorp
  • Andrew Thorp

  • Partner
  • British Virgin Islands
Jessica Williams
Jessica Williams
  • Jessica Williams

  • Partner
  • Cayman Islands
Jayson Wood
Jayson Wood
  • Jayson Wood

  • Partner
  • Cayman Islands

A foreign helping hand: US and Hong Kong discovery in support of Cayman Islands litigation

In Cayman Islands Section 238 litigation – disputes as to the fair value of shares held by shareholders of a company that has been privatised – dissenting shareholders are turning to foreign courts to obtain parallel discovery in support of their claims. In two recent decisions, dissenters have relied on US Section 1782 discovery and letters of request to the Hong Kong Court to seek additional documents in those proceedings.

Ian Mann, James Granby,
Andrew Johnstone, Jessica Williams,
Julie Engwirda, Paula Kay,
Vicky Lord, Phillip Kite

The Wrecking Ball vs the Crystal Ball – planning a parallel scheme of arrangement

In the recent case of In the Matter of China Oil Gangran Energy Group Holdings Limited, the Hong Kong High Court - in an obiter dicta judgment - has noted that parallel schemes of arrangement are unnecessary if there is no dissentient creditor action in another jurisdiction which might send a wrecking ball to the scheme.

Ian Mann, Chai Ridgers,
Paula Kay, Phillip Kite,
Peter Ferrer, Nicola Roberts,
Nick Hoffman, Vicky Lord

Akhmedova v Akhmedov and others – The requirements for relief under section 423 of the English Insolvency Act

In the recent English judgment in Tatiana Akhmedova v Farkhad Teimur Ogly Akhmedov & others [2021] EWHC 545 (Fam), a high-profile and long-running divorce case, the English Court examined the requirements for relief to be granted under section 423 of the English Insolvency Act 1986.

Joyce Yuen, Ian Mann,
William Peake, Lachlan Greig,
Hazel-Ann Hannaway, Katie Pearson

Preserving creditor value in schemes of arrangement

In the recent decision of In the Matter of Grand Peace Group Holdings Limited, the Hong Kong Court noted obiter dicta that practitioners should, citing Re Da Yu Financial Holdings Limited, be cognisant that parallel schemes of arrangement in both the company’s place of incorporation and Hong Kong, where the offshore company is listed in Hong Kong, would seem generally to be unnecessary. Parallel schemes could result in an escalation in legal fees which is not in the interests of unsecured creditors.

Ian Mann, Katie Pearson,
Chai Ridgers, Jessica Williams

Brace for impact: Commercial Court gives judgment on Norwegian helicopter crash

On 17 May 2021, the BVI Commercial Court handed down its written judgment on a negligence claim concerning a helicopter which crashed into the sea while attempting to land on a superyacht in Norway. Harneys, together with Matthew Reeve and Joseph England of Quadrant Chambers, acted for the successful Claimants (the First Claimant insured and the Second Claimant Insurer). The judgment highlights the technical expertise of the BVI Commercial Court in dealing with specialist areas of law.

Peter Ferrer, Sarah Thompson,
Joshua Shuardson-Hipkin, Richard Parchment,
Jessica Williams, Nicola Roberts,
Jeremy Child

Arnage Holdings Ltd – resisting the "siren song" of split preliminary issues

In the recent decision of Arnage Holdings Ltd in the Grand Court of the Cayman Islands, Justice Doyle dismissed the plaintiffs’ application for the split trial of certain preliminary issues. The Learned Judge considered Grand Court Rule O33 r 3, r 4(2), and r 7, and correlative parts of the English White Book, and held that certain issues (namely retainer, duty and breach) should not, as requested by the Plaintiffs, be heard at a separate trial in advance of other issues including loss, causation and illegality.

Ian Mann, Jessica Williams,
Jeremy Child, Julie Engwirda

Re China Resources – PL fails for lack of Hong Kong creditor support

In the recent decision of Re China Resources and Transportation Group Ltd in the Grand Court of the Cayman Islands, Justice Doyle dismissed an application for the appointment of provisional liquidators under s104 of the Companies Act (2021 Revision), on the ground that the petitioner had not established the appointment was necessary to prevent the dissipation or misuse of company assets or to prevent mismanagement or misconduct on the part of the directors, describing the evidence as “flimsy” and little more than assertion. The Court was also concerned that the application did not appear to have the support of any other creditors.

Chai Ridgers, Vicky Lord,
William Peake, Katie Pearson

Restructuring culture needs to change – Hong Kong Court leads the way

In the recent case of In the Matter of China Bozza Development Holdings Limited, Mr Justice Harris of the Hong Kong High Court recognised a Cayman Islands light touch PL but refused to grant that PL assistance. This was because there was no viable restructuring proposal, and there appeared to be a breach of the well-established route to common law recognition and restructuring as developed in Z-Obee, in order to obtain a de facto moratorium of enforcement action by creditors in Hong Kong. The case echoes the recent “scanty in the extreme” restructuring proposal in Lamtex Holdings Limited where a similarly hopeless restructuring proposal led to the application for recognition being flatly refused. Further, the company appeared to have little regard to the interests of creditors in its proposals.

Ian Mann, Julie Engwirda,
William Peake, Katie Pearson