In In the matter of Trina Solar Limited1 (“Trina Solar”) the Grand Court of the Cayman Islands refused an interlocutory application, made by a group of dissenting shareholders (the “Dissenters”) of a Cayman Islands company, for worldwide freezing orders over the assets of the company pending the outcome of statutory fair value appraisal proceedings. Having been declined this relief by the Grand Court, the Dissenters took their case on to the Court of Appeal of the Cayman Islands. In its judgment released in February 2018, the Court of Appeal dismissed the Dissenters’ appeal and provided substantial and helpful guidance not only about the stringent tests to be met in order to obtain interlocutory injunctive relief in this context, but also about the need for companies to take full financial and legal advice when determining the amount to be retained by way of provision against dissenting shareholder claims pending determination of a fair value petition.
Location