- English
-
Legal Services
Fiduciary Services
- AIFM & UCITS Management Company Services
- Accounting, Tax & Agency Services
- Commodity Pool Operator Services
- Company Secretarial & Board Support Services
- Conflict Review & Advisory Services
- Directorship Services
- Facilities Agent Services
- Permanent Office Solutions
- Power of Attorney & Proxy Agent Services
- Private Client Services
- Trustee Services
Fund Services
Regulatory & Compliance
-
Americas and Caribbean
Europe
-
PUT YOUR CAREER INTO GEAR
-
58 Maples Group Lawyers and 16 Practice Groups Recognised in The Legal 500 EMEA 2024 Guide
29 Apr 2024Maples Group Moves to New London Office with a focus on Clients, People and Collaboration
24 Apr 2024Maples Group Sponsors Rugby Club Luxembourg, Fostering Shared Values of Excellence, Teamwork, and Community
23 Apr 2024 -
EMIR Refit Key Changes and Considerations
01 May 2024
Industry Updates
Reforms to Cayman Islands Restructuring Laws - The New Restructuring Officer Regime
29 Jul 2022
请点击此处查看简体中文版本
請點擊此處查看繁體中文版本
The long awaited reforms to Cayman Islands restructuring laws will come into force on 31 August 2022. The formal gazetting of these laws today (29 July 2022) has helpfully provided a hard-and-fast commencement date.
Debtors will now be able to file in the Cayman Islands court for the appointment of restructuring officers and obtain an immediate stay on unsecured creditor action, without the need to file a winding up petition.
These new proceedings, while retaining all that is positive with the prior law, will significantly enhance the Cayman Islands restructuring regime by:
- Removing the need to file a winding up petition in order to obtain a stay on creditor action.
- Providing for the stay (although not the appointment of restructuring officers) to arise automatically on filing the Court papers without the need for any Court hearing (in the prior law the moratorium only applied on the appointment of the provisional liquidators).
- Providing that, as a matter of Cayman Islands law, the stay will have extraterritorial effect.
- Including provisions which provide the potential for Cayman Islands schemes of arrangement to compromise debt governed by English law (an important consideration in light of challenges arising from Brexit) thereby broadening the circumstances in which Cayman Islands restructuring proceedings may provide the best fit.
While the reforms are good news for debtors, the restructuring officer regime retains important creditor protections under Cayman Islands law. The law contains various checks and balances to ensure the interests of creditors are appropriately safeguarded. There will remain no stay in any Cayman Islands insolvency or restructuring proceeding on the enforcement of security by secured creditors. Further, specific legislative provisions have been included to ensure that the Cayman Islands remains a preeminent jurisdiction for bankruptcy remote finance vehicles.
Dispute Resolution & Insolvency Partners Caroline Moran and Nick Herrod from Maples and Calder, the Maples Group's law firm, led the legislative reform project and worked closely with the industry, the judiciary and the Cayman Islands Government in delivering the enhanced regime.
Our full industry update including other important features of the upcoming law reforms is available here[1].
Further Information
If you would like further information, please reach out to your usual Maples Group contact or any of the persons listed below.
[1]https://maples.com/en/knowledge-centre/2021/10/good-news-for-debtors-seeking-access-to-the-cayman-restructuring-regime
Related Services
Dispute Resolution & Insolvency
Related Contacts
Related Articles
-
Analysis & Insights
Debtwire - Profile of notable women in Restructuring featuring Kat Burke
11 Mar 2024
-
-
-
Industry Updates
Irish Credit Servicing - Transposition of the EU Credit Servicing Directive
18 Jan 2024
-
Industry Updates
Cayman Islands Restructuring Officers: Key Guidance from the Court
15 Jan 2024
-
Technical Publications
Chambers Global Practice Guide to Insolvency 2023: British Virgin Islands
02 Jan 2024
-
Industry Updates
Business as Usual for Creditors Winding Up Petitions in the Cayman Islands
22 Dec 2023
-