schemes of arrangement.
It is also possible for receivers to be appointed over Cayman
Islands companies, either by the Grand Court or by a creditor of
the company with suitable security.
2.3 Obligation to Commence Formal Insolvency
Proceedings
If a Cayman company is insolvent or of doubtful solvency, its
directors have a fiduciary duty to act with regard to the interests
of its creditors. Therefore, in these circumstances they must have
regard to whether it is in creditors interests for insolvency
proceedings to be instigated.
Directors also have a duty to commence insolvency proceedings if
directed to do so by a resolution of the shareholders or a