CAYMAN ISLANDS Law and Practice Contributed by: Sam Dawson, Peter Sherwood and Denis Olarou, Carey Olsen
Keeping the fact of the settlement confidential could be difficult if, as is usually the case, one of the par- ties wishes to have an order dismissing proceedings entered on the court file. Such an order would usually be publicly accessible. 8.3 Enforcement of Settlement Agreements As a matter of Cayman Islands law, settlement agree- ments are contracts like any other and are enforced accordingly. To the extent the parties might have chosen to embody the terms of settlement in a court order, they can be enforced in the same way as any other order of the court. 8.4 Setting Aside Settlement Agreements As with any other contract, a party seeking to set aside a settlement agreement will need to seek this relief on one of the usual bases on which contracts can be avoided or declared void, such as misrepresentation, mistake, illegality, duress or other applicable doctrine. 9. Damages and Judgment 9.1 Awards Available to the Successful Litigant The plaintiff specifies the relief it seeks in its writ and statement of claim. Following a full trial, the court may award a variety of relief, ranging from damages to a final injunction or an order for specific performance. Declaratory rulings may also be issued. Equitable remedies of rescission and rectification are also avail- able. Account of profits, restitutionary remedies, and proprietary remedies (including any necessary tracing) are also available. In the context of insolvency litigation, winding-up orders are available and, where the petition is pre- sented by contributories on a just and equitable basis, also a variety of alternative remedies, such as a buy- out of shares or directions as to the future conduct of the company’s affairs. 9.2 Rules Regarding Damages In general, the approach to damages is compensa- tory rather than punitive. In principle, aggravated or
exemplary damages might be available, for example in certain patent or tort claims, but this is rare. There is no statutory limit on damages. 9.3 Pre-Judgment and Post-Judgment Interest Interest may be awarded both before and after judg- ment pursuant to Section 34 of the Judicature Act (2021 Revision) and the Judgment Debts (Rates of Interest) Rules (as revised from time to time). The applicable rates of interest vary depending on the currency of the judgment debt. 9.4 Enforcement Mechanisms of a Domestic Judgment The most common forms of enforcement are: • writ of fieri facias (seizure of assets). • garnishment of money owed to the judgment debtor by a third party; • charging orders over assets; • winding-up proceedings; and • appointment of a receiver. 9.5 Enforcement of a Judgment From a Foreign Country Except for Australian judgments, which are subject to a statutory enforcement regime under the Foreign Judgments Reciprocal Enforcement Act (1996 Revi- sion), foreign in personam judgments are enforced under the common law. In order to be enforced, the foreign judgment: • must be final and conclusive (noting that the exist- ence or possibility of an appeal does not affect the finality of the judgment); • must have been issued by a court that had jurisdic- tion over the person against whom judgment was given in that the person was present in the foreign country, was claimant (or counterclaimed) or volun- tarily participated in the foreign proceedings (other than to contest jurisdiction), or otherwise submitted to the jurisdiction of the foreign court by conduct or agreement; and • must not have been obtained by fraud or be against public policy.
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