Law of the Cayman Islands
Encyclopedia
The law
of the Cayman Islands
is a combination of common law
and statute, and is based heavily upon English law
.
Law in the Cayman Islands tends to be a combination of the very old and the very new. As a leading offshore financial centre, the Cayman Islands has extremely modern statutes dealing with company law, insolvency
, banking law
, trust law
, insurance
and other related matters. However, in other areas of law, such as family law
, the laws of the Cayman Islands are based upon old English statutes which can cause some difficulty in modern times. Other areas of law, such as international law
, are essentially regulated externally through the Foreign and Commonwealth Office
in London by Order in Council. A large body of the laws of the Cayman Islands consists of the common law, which continually updates itself through judicial precedent in the Territory and in other common law countries.
The Cayman Islands is a dependent territory
of the United Kingdom. Although the local legislature and courts are independent from the United Kingdom, the British Government deals with all international relations on behalf of the Territory. The Cayman Islands does not have a separate vote at the United Nations
.
Law
Law is a system of rules and guidelines which are enforced through social institutions to govern behavior, wherever possible. It shapes politics, economics and society in numerous ways and serves as a social mediator of relations between people. Contract law regulates everything from buying a bus...
of the Cayman Islands
Cayman Islands
The Cayman Islands is a British Overseas Territory and overseas territory of the European Union located in the western Caribbean Sea. The territory comprises the three islands of Grand Cayman, Cayman Brac, and Little Cayman, located south of Cuba and northwest of Jamaica...
is a combination of common law
Common law
Common law is law developed by judges through decisions of courts and similar tribunals rather than through legislative statutes or executive branch action...
and statute, and is based heavily upon English law
English law
English law is the legal system of England and Wales, and is the basis of common law legal systems used in most Commonwealth countries and the United States except Louisiana...
.
Law in the Cayman Islands tends to be a combination of the very old and the very new. As a leading offshore financial centre, the Cayman Islands has extremely modern statutes dealing with company law, insolvency
Bankruptcy
Bankruptcy is a legal status of an insolvent person or an organisation, that is, one that cannot repay the debts owed to creditors. In most jurisdictions bankruptcy is imposed by a court order, often initiated by the debtor....
, banking law
Bank regulation
Bank regulations are a form of government regulation which subject banks to certain requirements, restrictions and guidelines. This regulatory structure creates transparency between banking institutions and the individuals and corporations with whom they conduct business, among other things...
, trust law
Trust law
In common law legal systems, a trust is a relationship whereby property is held by one party for the benefit of another...
, insurance
Insurance
In law and economics, insurance is a form of risk management primarily used to hedge against the risk of a contingent, uncertain loss. Insurance is defined as the equitable transfer of the risk of a loss, from one entity to another, in exchange for payment. An insurer is a company selling the...
and other related matters. However, in other areas of law, such as family law
Family law
Family law is an area of the law that deals with family-related issues and domestic relations including:*the nature of marriage, civil unions, and domestic partnerships;...
, the laws of the Cayman Islands are based upon old English statutes which can cause some difficulty in modern times. Other areas of law, such as international law
International law
Public international law concerns the structure and conduct of sovereign states; analogous entities, such as the Holy See; and intergovernmental organizations. To a lesser degree, international law also may affect multinational corporations and individuals, an impact increasingly evolving beyond...
, are essentially regulated externally through the Foreign and Commonwealth Office
Foreign and Commonwealth Office
The Foreign and Commonwealth Office, commonly called the Foreign Office or the FCO is a British government department responsible for promoting the interests of the United Kingdom overseas, created in 1968 by merging the Foreign Office and the Commonwealth Office.The head of the FCO is the...
in London by Order in Council. A large body of the laws of the Cayman Islands consists of the common law, which continually updates itself through judicial precedent in the Territory and in other common law countries.
The Cayman Islands is a dependent territory
Dependent territory
A dependent territory, dependent area or dependency is a territory that does not possess full political independence or sovereignty as a State, and remains politically outside of the controlling state's integral area....
of the United Kingdom. Although the local legislature and courts are independent from the United Kingdom, the British Government deals with all international relations on behalf of the Territory. The Cayman Islands does not have a separate vote at the United Nations
United Nations
The United Nations is an international organization whose stated aims are facilitating cooperation in international law, international security, economic development, social progress, human rights, and achievement of world peace...
.