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Commencing proceedings against a Cayman company in liquidation: having a case worth entertaining


Introduction
The Grand Court recently considered the statutory moratorium against commencing proceedings against a Cayman company which has been placed into liquidation. In
BDO Cayman Ltd v Ardent Harmony Fund Inc (in Official Liquidation),(1) the Grand Court held that a plaintiff which launches originating proceedings against a company in liquidation, seeking adverse orders against that company, patently requires leave of the court to bring the proceedings. The Grand Court also held that the plaintiffs in that case did not have a case worth entertaining in respect of either basis on which they had brought the applications in question.
Facts
Ardent Harmony Fund Inc (in Official Liquidation) is a Cayman fund which invested in receivables financing by way of contractually engaged credit advisers. One of those credit advisers defrauded Ardent of approximately 90% of its assets under management, resulting in Ardent being placed into official liquidation in 2016. ....

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Commencing Proceedings Against A Cayman Islands Company In Liquidation: Having A Case Worth Entertaining - Corporate/Commercial Law

Commencing Proceedings Against A Cayman Islands Company In Liquidation: Having A Case Worth Entertaining - Corporate/Commercial Law
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New York , United States , Nassau County , State Of New York , City Of , United Kingdom , Cayman Islands , Michael Pearson , Sam Keogh , Thompsonv Mulgoa , William Jones , Registry Of The Privy Council , York Court , Parliament Law , Irrigation Co Ltd , Cayman Ltd , Trinity Ltd , Supreme Court , Ardent Harmony Fund Inc , Argyle Fund , Companies Law , Cayman Islands The Grand Court , Grand Court , Ardent Harmony Fund , Official Liquidation , Harmony Fund ,