Normal Service Resumed? Another Look At Cayman Freezing Orders

Introduction

No sooner than Gillies-Smith¹ appeared to rewrite the Cayman courts' approach to free-standing freezing orders (or Mareva injunctions), considerable doubt has been thrown on that decision. The recent judgment in VTB Capital Plc v Malofeev² reemphasises the traditional principled objections to the grant of such free-standing freezing orders, particularly the issue of whether leave may be granted to serve a defendant outside the jurisdiction where there is no substantive cause of action against it in the Cayman Islands. The refusal to allow service on a non-resident defendant directly contradicts the decision in Gillies-Smith and signals a return to earlier jurisprudence.