What does a typical asset recovery investigation look like in your jurisdiction? What discovery tools are at your disposal to assess a judgment debtor?

With respect to foreign judgments, Cayman does have specific legislation for foreign judgment recognition, but a unique wrinkle is that Australia is the only country currently to which the legislation has been extended. It is, however, possible to have other foreign judgments recognized in accordance with common law principles. This is done through legal proceedings commenced based upon the foreign judgment. In order to be enforceable, the judgment must meet certain criteria, including that it is final and conclusive and has been made by a court of competent jurisdiction. Foreign insolvency proceedings are also capable of recognition in Cayman, but do require a separate application to the Cayman courts.

Once recognized a foreign liquidator can seek other useful relief such as orders requiring the disclosure of assets, provision of documentation, examination of debtors or even the turnover of assets. Leaving aside insolvency proceedings, information can be obtained through a number of different methods. An order can be obtained requiring the debtor to produce their books and records and to submit to examination with respect to their assets. Other methods to obtain information from third parties include Norwich Pharmacal orders (a disclosure order against a third party involved in the wrongdoing) and Banker Trust orders (where there is a prima facie case of fraud and information is required to recover, trace or preserve assets).

The Cayman Court also regularly grants letters of request from overseas courts. This requires the applicant to demonstrate that evidence sought to be obtained is in the Cayman Islands, the application is made pursuant to a request issued by a Court or tribunal exercising jurisdiction outside the Cayman Islands, and the evidence to which the application relates will be used in active or contemplated proceedings before the requesting Court.