Arbitration Law, 2012 Passed In The Cayman Islands

The Arbitration Law, 2012 ("the Law") has now been passed in the Cayman Islands and will come into force on a date to be appointed by the Governor in Cabinet.

On a global basis, arbitration has been increasingly recognised as an important alternative to Court proceedings in order to resolve commercial disputes. This is because many parties to commercial contracts prefer being able to conduct legal disputes without the publicity and formality associated with a courtroom. The arbitration procedure is more flexible and normally entails meaningful cost savings when compared with Court proceedings.

In the offshore market, purchasers of financial services and products have increasing regard to the quality of dispute resolution mechanisms in choosing between competing jurisdictions.