Jurisdictional issues in a globalised world – a Jersey
In February 2014, The Jersey and Guernsey Law Review published
an article by Anthony Dessain of Bedell Cristin, and Michael
Wilkins, the Viscount of the Royal Court of Jersey, on insolvency
and universality and the impact of Rubin v
Eurofinance SA; New Cap Re-insurance
Corporation v Grant  UKSC 46,
Re HIH Casualty and General Insurance Limited
 UKHL 21, Cambridge Gas Transportation
Corporation v Official Committee of Unsecured
Creditors of Navigator Holdings plc  UK PC 26 and
HSBC Bank v Tambrook Jersey
Limited  EWHC 866 (Ch).
The article considers how the principles of those cases would be
viewed in Jersey and whether they would be followed by the Royal
Court of Jersey and in the light of such cases as O.T.
Computers Limited 2002 JLR N and In re Royco
Investment Company Limited 1994 JLR 236.
The article reviews decisions in the Cayman Islands and elsewhere
on the recognition and enforcement of foreign judgments and orders,
including the scope of English liquidators and receivers.
Such foreign orders involving insolvency may be more complex by the
interaction with trusts as in Re Esteem Settlement
2002 JLR 53 and foreign matrimonial orders as in Re IMK
Family Trust 2005 JLR 250 and in relation to injunctive
and disclosure relief, including foreign court-appointed receivers
as in Re Ablyazov 2012 (1) JLR 44.
The effect of the Bankruptcy (Désastre) (Jersey) Law 1990,
the Judgments (Reciprocal Enforcement) (Jersey) Law 1960 and the
UNCITRAL Model Law on the principles of universality are
The article concludes with 20 guiding principles to which, in the
authors' view, the Royal Court is likely to have regard.
The overriding principle is that there are statutory and common law
gateways, rules and discretions of the home court that need to be
respected. The principle of universality is embraced and
there are particularly good reasons for doing so in an insolvency
to achieve maximum recovery and a fair distribution at minimum
The principle has been recognised in a number of Jersey cases and
operates within certain boundaries. Universality works within
the law and is part of it but it cannot be applied to suppress the
law of Jersey.
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