Restructuring, Liquidation Regime Comes Into Effect Today

Grand Cayman, 31 August 2022 - The Companies (Amendment) Act, 2021 came into effect today, to attract and maintain restructuring and liquidation business in the Cayman Islands.

The legislation applies to a company, and any other entity or partnership, that is liable to be wound up under the provisions of Part V of the Companies Act (2022 Revision). Its two main objectives are to separate restructuring from the winding-up regime; and to improve access to both the restructuring and winding-up regimes.

As a secondary piece of legislation that supplements the Act, the Companies Winding Up Rules, 2018 also come into effect today. These rules and forms were amended by the Insolvency Rules Committee, chaired by the Chief Justice, the Hon. Anthony Smellie, QC.