Effective from 1 March 2013, the Companies Winding Up (Amendments) Rules 2013 introduce amendments to the Winding Up Rules 2008. The advisory sets out the significant amendments to the Rules.
The Cayman Islands’ Court of Appeal has now delivered its judgment in the case involving the winding up of FIA Leveraged Fund (the “Fund”). In dismissing the appeal, the Court of Appeal held that based on the wording in the offering documents for the Fund, the in specie distribution in question could only be made using assets from the Fund’s portfolio (the Fund was fully invested in the ultimate master fund, Fletcher International Ltd. (“The Master Fund”)) that were held by the Fund at the time when the investor was entitled to be paid its redemption monies. Further, even if the Fund’s documents stated that the directors of the Fund had a complete discretion as to the value of the assets to be distributed to the investor, that discretion is still limited as a matter of necessary implication by concepts of honesty, good faith and genuineness and a need for the absence of arbitrariness, capriciousness, perversity and irrationality.
Consideration of Enforceability of Side Letters – Lansdowne Limited & Silex Trust Company Limited v. Matador Investments Limited (In Liquidation) & Ors01 Sep 2012
The recent judgment on side letters from the Cayman Islands Grand Court in Re Medley Opportunity Fund Ltd (21 June 2012) confirmed that there is a clear distinction between beneficial shareholders and investors of record for enforcing side letters for investments in Cayman Islands domiciles hedge funds.
On 5 April 2012, after a hotly contested winding up hearing, the Chief Justice of the Grand Court of the Cayman Islands ruled in favour of the petitioners and made an order for the winding-up of FIA Leveraged Fund, managed by Fletcher Asset Management, Inc.
The Cayman Islands Legislature passed the Patents and Trade Marks Law, 2011 on 7 December, 2011 repealing the prior Patents and Trade Marks Law (2007 Revision) and making important changes to the practice of patents and trademarks in the Cayman Islands.