Privy Council Confirms Cayman Islands Law on Suspensions and Redemptions

The Privy Council has just delivered its judgment in the Strategic Turnaround appeal which clarifies a number of important points in respect of suspensions and redemptions by Cayman Islands investment funds. The decision makes clear that powers of suspensions and redemptions and the status of a redeeming but unpaid investor is a matter of interpretation of the fund's articles of association and, where relevant, its offering documents.