Bermuda Law Blog

An important decision came from the Court of Appeal this year relating to the issue of whether a party has submitted to the jurisdiction in proceedings outside of Bermuda. In Kader Holdings Company Limited v Desarrollo Inmoniliario Negocios Industriales De Alta Technologia De Hermosilio, S.A. De CV [2013] CA (Bda) 13 Civ (10 March 2014), the Court of Appeal reversed the Chief Justice’s ruling of July 2013 in which he granted Desarrollo summary judgment in respect of its claim to enforce a judgment given in the Superior Court of the State of Arizona in June 2011. The primary issue on appeal was whether Kader submitted to the Arizona proceedings by making a voluntary appearance, and counterclaiming in those proceedings.

In the world of cross border insolvencies, two important judgments in the Privy Council have clarified three issues which have great significance, not just for Bermuda, but all offshore jurisdictions which have insolvency provisions based on the English model, whether 1948 Companies Act or Insolvency Act 1986. The facts have been well reported and do not bear repeating here.

The United Kingdom (the “UK”) is party to many international treaty obligations but how far do these international treaty obligations extend to UK territories? This question was considered in the recent case of BEST v Minister of Home Affairs [2014] SC (Bda) 61 App (6 August 2014). Given the legal autonomy Bermuda has to the UK, this case raises an interesting legal issue.