New York Appellate Court Permits Discovery of Banking Information from Branches outside New York09/04/2015
New York branches of foreign banks are not insulated from producing information and documents pertaining to assets of judgment debtors held by the bank outside the US even where the New York branch conducts ?narrow and limited? operations in New York.
A Potential New Recovery Tool for Worldwide Fraud: Backwards Tracing08/31/2015
The doctrine known as ?backwards tracing? operates where victims seek to trace and recover the proceeds of the fraud where no direct connection can be established between the funds lost and the funds found in the hands of the fraudsters…
Seizing Assets Hidden In A Sham Trust07/31/2015
Many problems occur after a trust has been established for many years and poorly managed. As years pass, parties get careless in how they handle the affairs of their trust and then mishandle the operations of the trust for immediate personal needs.
Interim Relief in Cyprus Assists Creditors to Pursue Stolen or Hidden Assets06/26/2015
Cyprus can be a creditor-friendly jurisdiction to enforce or support recovery efforts.
Enforcing Judgments in the United Arab Emirates06/10/2015
Enforcement in the UAE is dependent upon a treaty with the foreign country. Even if the parties agreed that the foreign court has jurisdiction, that may not allow for enforcement if the UAE court would originally have had jurisdiction.
The Basis for Cyprus Trust Popularity for Asset Protection05/29/2015
Cyprus Trusts have become a popular locale for asset protection.
New York District Court Allows Worldwide Discovery from Spanish Bank Located in New York05/14/2015
Recently, the District Court in Vera v. Republic of Cuba, 2015 U.S. Dist. Lexis 32846 (S.D. N.Y. 2015), was confronted with a situation where a judgment creditor sought post-judgment discovery pertaining to the defendant’s foreign accounts “in order to decide whether to seek recognition of …
Third Parties Must Tread Carefully When Implementing Freezing Injunctions Directed Against Them04/30/2015
The Carey and Lloyds decisions point out that third parties subject to a freezing order must not unilaterally implement what is believed to be a practical application of the order without approval by the party obtaining the order and the court.
Identifying the Wrongdoer in Hong Kong before the Lawsuit Commences04/09/2015
Norwich Pharmacal relief is an effective pre-judgment tool for victims in Hong Kong to gather the information necessary to identify the wrongdoers and to eventually freeze their assets.
Enforcement of US Judgments in England Are Not Difficult03/13/2015
Despite the lack of reciprocal arrangements between the US and England, it is possible to enforce a US judgment in the English courts. The procedure to do so is quick and cost-effective. And, the reason to do so is primarily to recover assets to satisfy …
How a Florida District Court Allowed Enforcement of a Judgment against a Nevis Limited Liability Company Membership Interest02/20/2015
Enforcement against foreign assets in a US court has been difficult. However, the Middle District of Florida in Wells Fargo Bank v. Barber, 2015 WL 470589 (M.D. Fla Feb 4, 2015), showed how it is possible.
Account Holders Lack of Contacts Fails to Subject Cayman Bank to Personal Jurisdiction in Texas02/12/2015
A foreign bank must have more continuous and systematic contacts with the US and have purposely demonstrated an intent to do business in the US to be subject to a US court?s jurisdiction.
Enforcement of Overseas Judgment in England Where No Reciprocal Arrangements with Country Entering Judgment01/28/2015
If a non-English creditor wants to enforce its foreign court judgment consideration needs to be given to the tests the English court will apply before it will recognize and enforce that judgment.
European Union’s New Regulation to Attach Bank Accounts Pre and Post Judgment01/20/2015
Applicable as of January 18, 2017, a recently adopted European regulation facilitates cross-border debt recovery by enabling creditors to obtain a ?European Account Preservation Order? (the ?EAPO?) given by one judge in a member state and attach a debtor?s bank accounts in another EU member …
Efforts to Obtain Discovery from Overseas Subsidiary Must Meet Specific Factors01/09/2015
The focus was clarified recently as to when documents can be obtained from a foreign subsidiary of a US parent company involved in federal litigation.
Corporate Fiduciaries Held Liable for Dishonest Assistance in Jersey12/17/2014
A recent judgment of the Royal Court of Jersey shows how offshore fiduciaries and corporate service providers unquestioned loyalty can be very costly…
UK Court Allows Discovery of Bank Information from Foreign Bank12/08/2014
If a foreign bank is located in the United Kingdom, it may be subject to providing discovery information of its account holders whose accounts may be located outside the United Kingdom.
Cayman Islands Law Amended to Enable Preliminary Relief in Aid of Foreign Proceedings11/21/2014
Today, litigants are confronted with defendants who have sought to put assets beyond reach by moving them overseas, often into trusts or corporate structures in International Financial Centers. In response to the increasing internationalization of commercial fraud and a concern that their jurisdiction would gain …
New York Limits Access to Assets Held at Foreign Bank Branches10/31/2014
A recent decision provides creditors a framework for determining when a court may exercise authority over assets located offshore or when a freeze of non-US assets can occur in New York…
Potential Pitfall in Pre-Action Discovery Revealed in Texas10/17/2014
PURPOSE: POTENTIAL LIMITATIONS TO PRE-SUIT DISCOVERY IN THE US Texas, like five other states, allows for pre-action discovery to discover the potential wrongdoers in an articulated claim. Rule 202 of the Texas Rules of Civil Procedure authorizes a pre-suit deposition to investigate a potential claim. …
New Limitations on Asset Restraints and Discovery Orders on Foreign Banks in NY09/29/2014
In Daimler AG v. Bauman, 134 S. Ct. 746 (2014), the US Supreme Court in January 2014 held that a corporation is not subject to personal jurisdiction merely because it ?engages in a substantial, continuous, and systematic course of business? in a forum. A corporation …
Piercing the Corporate Veil in Canada When Company Is Used to Misappropriate Funds08/26/2014
Fraudsters cannot hide behind a corporate shield in Canada when they use a company for an ?illegal, fraudulent or improper purpose.? The Ontario Court of Appeals in Shoppers Drug Mart Inc. v. 6470360 Canada, Inc., 2014 ONCA 85, addressed the situation where Shoppers Drug Mart …
Be Aware of Bermuda’s Recently Revised Reserved Power Trusts as an Asset Protection Plan08/11/2014
It is important to know and understand the laws for asset holding when trying to recover claims. New legislation in Bermuda seeks to stimulate the trust industry and to attract international customers who wish to retain a certain level of control over their trusts. The …
Recovery of Laundered Funds in the United Kingdom07/31/2014
Proof of money laundering in the United Kingdom made easier! In a recent decision, Relfo v. Vasani (2014) EWCA Civ 360, the Court of Appeal was confronted with the Liquidator being unable to show evidence of each transaction transferring monies through various bank accounts and …
Recent New York District Court Decision Limits Bankruptcy Trustee Recovery of Property Transferred Offshore07/16/2014
Section 550 of the US Bankruptcy Code allows for the bankruptcy trustee to recover for the benefit of the estate property transferred to an immediate transferee that can be avoided under other Code provisions. In a recent matter in the Madoff bankruptcy proceeding, Sec. Investor …