ARTICLE · 14 JANUARY 2011

Distressed Funds Litigation in the BVI

Harneys

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The recently established Commercial Court in the British Virgin Islands has been busy on a number of important cases and Phillip Kite, global head of litigation at Harneys, discusses two of the distressed fund cases that have recently been decided in the BVI.

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The recently established Commercial Court in the British Virgin Islands has been busy on a number of important cases and Phillip Kite, global head of litigation at Harneys, discusses two of the distressed fund cases that have recently been decided in the BVI.

One of the most interesting areas of distressed funds litigation continues to be the "creditor/investor" debate. It can be important for a party to allege that it is a creditor especially in liquidation proceedings. There have been various cases in other jurisdictions but this year the BVI Commercial Court handed down important decisions on the status of a redeemed shareholder and the application of section 197 of the Insolvency Act 2003.

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