Cayman Islands Grand Court Orders Disclosure Despite PRC Data Security Law Concerns

The Cayman Islands Grand Court has recently ordered disclosure of documents in on-going court proceedings despite arguments that disclosure would breach the PRC's Data Security Law.

In the decision in Re New Frontier Health Corporation (FSD 72 of 2022, unreported judgment, 24 April 2024), Doyle J of the Grand Court of the Cayman Islands refused New Frontier Health Corporation's (New Frontier) application for an extension of time to provide discovery of documents located in the PRC while acknowledging that New Frontier was not permitted to do so in accordance with PRC law. The Court's decision was made in the context of ongoing merger appraisal proceedings commenced pursuant to section 238 of the Cayman Companies Act between New Frontier and various dissenting shareholders (Dissenters).