Archive for July, 2012

Cayman plans Third Party Rights rules

Thursday, July 19th, 2012

The government of Cayman Islands has launched a consultation in order to receive feedback on the proposed introduction of new legislation, the Third Party Rights Bill. The new legislation would give third parties the ability to enforce rights that have been conferred to them in a contractual agreement.

Currently, a key principle of contract law is ‘privity of contract’. It allows only those persons who are direct contractual parties to enforce rights. However, natural persons acting for companies or other forms of ‘legal persons’ cannot enforce rights given to the ‘legal persons’. The new bill seeks to give effect to third-party rights, where parties expressly agree that it should apply.

According to the government, such amendments will modernize legislation as well as encourage a more competitive business environment.

Cayman Islands’ Import Duty Concessions Extended

Friday, July 13th, 2012

The government of the Cayman Islands has announced that it is planning to extend import duty concessions on building materials for 6 months in order to support the construction industry.

Under the concessions, imports of building materials to Grand Cayman, the largest of the Cayman Islands, will be charged a flat rate of 15%, until December 31, 2012. The 22% normal duty rate was due to be reinstated from July 1, 2012. Meanwhile, imports of building materials to Cayman Brac and Little Cayman will be on a 100% duty free basis for the period July 1, 2012, to December 31, 2012.

For the purpose of these concessions, building materials have been defined as follows: “All physical components and substances, whether solid or liquid, used in the construction, renovation or restoration and forming a permanent part of any building or related structure”. Furniture, accessories, electronics and appliances are specifically excluded.

Manchester United plans Cayman Public Offering

Monday, July 9th, 2012

A corporate entity in the Cayman Islands has been established by English Premier League football club Manchester United for the purposes of a public offering which is expected to raise USD 100 million.

Owners of the club, the Glazer family, have filed a registration document with the United States Securities Exchange Commission, notifying it of its intention to restructure Manchester United as a subsidiary of a holding company, Manchester United Ltd, in the Cayman Islands.

The Cayman corporation was established on April 30, 2012. Currently, Manchester United is structured under Red Football Shareholder Limited, incorporated in the US state of Delaware.

According to Forbes magazine, the world-famous football club is estimated to be worth USD 2.22 billion, so it is the world’s most valuable soccer club, but is saddled with USD 633 million in debt, costing the club some USD 80 million in interest and associated costs in 2011.

CEC Delegation visits London

Wednesday, July 4th, 2012

Cayman Enterprise City (CEC) delegation spendt week in London in order to reach out to potential channel partners and clients in the UK. So, the Western Hemisphere’s only knowledge-based Special Economic Zone is expanding its influence and targeting England as a key market.

The delegation led by Chief Executive Officer Jason Blick met with leading financial, technology and professional services organizations that were supportive of the Special Economic Zone.

“CEC was seen as a solution for global sales, IP and knowledge sectors,” said Jason Blick.

Meetings were set up in advance through CEC’s connections with Cayman law firms and CEC staff in Dubai, home to some of the world’s most successful SEZs. The Cayman Islands’ UK Office also supported CEC’s efforts providing its meeting rooms.

The CEC delegation led by Blick also included Chief Strategy Officer Charlie Kirkconnell; Legal Counsel Chris Narborough; and Chief Information Officer Tom Powell.