Application Of Bermuda's Bribery Act Considered By Supreme Court

The scope and construction of Bermuda's Bribery Act 2016 (Act), was considered for the first time in the summer of 2019 by the Supreme Court of Bermuda in the case of X Limited v Y [No. 70 of 2019]. Acting Justice Kawaley's decision in X Limited concludes, generally, that the application of the Act is broader than one might expect and, when properly interpreted, even when parties to an otherwise legally binding contract have no intention to offer or accept a bribe, their otherwise legitimate actions may still constitute a breach of the Act.

The facts of X Limited should serve as a warning to advisors and business operators alike: Bermuda's anti-corruption legislation cuts a wider path than might be expected and ought to form part of the fundamental considerations of otherwise ordinary commercial arrangements.