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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. [1] 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.
The Judicial Committee of the Privy Council in London is the highest court for the Cayman Islands and for all other British Overseas Territories.
Common law is the body of law primarily developed through judicial decisions rather than statutes. Although common law may incorporate certain statutes, it is largely based on precedent—judicial rulings made in previous similar cases. The presiding judge determines which precedents to apply in deciding each new case.
The United Kingdom has three distinctly different legal systems, each of which derives from a particular geographical area for a variety of historical reasons: English law, Scots law, Northern Ireland law, and, since 2007, calls for a fourth type, that of purely Welsh law as a result of Welsh devolution, with further calls for a Welsh justice system.
English law is the common law legal system of England and Wales, comprising mainly criminal law and civil law, each branch having its own courts and procedures. The judiciary is independent, and legal principles like fairness, equality before the law, and the right to a fair trial are foundational to the system.
The Cayman Islands is a parliamentary representative democratic dependency. As a British Overseas Territories, Charles III is the head of state. The Premier of the Cayman Islands is the head of government. Executive power is exercised by the government, legislative power is vested in both the government and the Parliament of the Cayman Islands. The judiciary is independent of the executive and the legislature.
His Majesty's Government of the Virgin Islands is the democratically elected government of the British Overseas Territory of the British Virgin Islands. It is regulated by the Constitution of the British Virgin Islands.
The British Overseas Territories (BOTs) are the fourteen territories with a constitutional and historical link with the United Kingdom that, while not forming part of the United Kingdom itself, are part of its sovereign territory. The permanently inhabited territories are delegated varying degrees of internal self-governance, with the United Kingdom retaining responsibility for defence, foreign relations, and internal security, and ultimate responsibility for "good" governance. Three of the territories are chiefly or only inhabited by military or scientific personnel, the rest hosting significant civilian populations. All fourteen have the British monarch as head of state. These UK government responsibilities are assigned to various departments of the Foreign, Commonwealth and Development Office and are subject to change.
The Crown Dependencies are three offshore island territories in the British Islands that are self-governing possessions of the British Crown: the Bailiwick of Guernsey and the Bailiwick of Jersey, both located in the English Channel and together known as the Channel Islands, and the Isle of Man in the Irish Sea between Great Britain and Ireland.
The legal system of Singapore is based on the English common law system. Major areas of law – particularly administrative law, contract law, equity and trust law, property law and tort law – are largely judge-made, though certain aspects have now been modified to some extent by statutes. However, other areas of law, such as criminal law, company law and family law, are largely statutory in nature.
The territorial evolution of the British Empire is considered to have begun with the foundation of the English colonial empire in the late 16th century. Since then, many territories around the world have been under the control of the United Kingdom or its predecessor states. When the Kingdom of Great Britain was formed in 1707 by the union of the Kingdoms of Scotland and England, the latter country's colonial possessions passed to the new state. Similarly, when Great Britain was united with the Kingdom of Ireland in 1801 to form the United Kingdom, control over its colonial possessions passed to the latter state. Collectively, these territories are referred to as the British Empire. When much of Ireland gained independence in 1922 as the Irish Free State, the other territories of the empire remained under the control of the United Kingdom.
The legal system of Australia has multiple forms. It includes a written constitution, unwritten constitutional conventions, statutes, regulations, and the judicially determined common law system. Its legal institutions and traditions are substantially derived from that of the English legal system, which superseded Indigenous Australian customary law during colonisation. Australia is a common-law jurisdiction, its court system having originated in the common law system of English law. The country's common law is the same across the states and territories.
The legal system on the Isle of Man is Manx customary law, a form of common law. Manx law originally derived from Gaelic Brehon law and Norse Udal law. Since those early beginnings, Manx law has developed under the heavy influence of English common law, and the uniqueness of the Brehon and Udal foundation is now most apparent only in property and constitutional areas of law.
The law of the British Virgin Islands is a combination of common law and statute, and is based heavily upon English law.
The law of Anguilla is a combination of common law and statute, and is based heavily upon English law.
LGBTQ+ rights in the Cayman Islands are regarded as some of the most progressive in the Caribbean. While the British territory still has a long way to go, it continues to relax its stance on this subject. Both male and female types of same-sex sexual activity are legal in the Cayman Islands. Same-sex unions became legal in 2020.
A reception statute is a statutory law adopted as a former British colony becomes independent by which the new nation adopts, or receives, the English common law before its independence to the extent not explicitly rejected by the legislative body or constitution of the new nation. Reception statutes generally consider the English common law dating prior to independence, as well as the precedents originating from it, as the default law because of the importance of using an extensive and predictable body of law to govern the conduct of citizens and businesses in a new state.
Judicial review is a process under which a government's executive, legislative, or administrative actions are subject to review by the judiciary. In a judicial review, a court may invalidate laws, acts, or governmental actions that are incompatible with a higher authority. For example, an executive decision may be invalidated for being unlawful, or a statute may be invalidated for violating the terms of a constitution. Judicial review is one of the checks and balances in the separation of powers—the power of the judiciary to supervise the legislative and executive branches when the latter exceed their authority. The doctrine varies between jurisdictions, so the procedure and scope of judicial review may differ between and within countries.
The constitution of the United Kingdom comprises the written and unwritten arrangements that establish the United Kingdom of Great Britain and Northern Ireland as a political body. Unlike in most countries, no official attempt has been made to codify such arrangements into a single document, thus it is known as an uncodified constitution. This enables the constitution to be easily changed as no provisions are formally entrenched.
R v Secretary of State for Foreign and Commonwealth Affairs, ex parte Bancoult [2008] UKHL 61 is a UK constitutional law case in the House of Lords concerning the removal of the Chagos Islanders and the exercise of the Royal Prerogative. The Chagos Islands, acquired by the United Kingdom in 1814, were reorganised as the British Indian Ocean Territory (BIOT) in 1965 for the purpose of removing its inhabitants. Under a 1971 ordinance, the Chagossians were forcibly removed, and the central island of Diego Garcia leased to the United States for use as a military outpost.
Scots law is the legal system of Scotland. It is a hybrid or mixed legal system containing civil law and common law elements, that traces its roots to a number of different historical sources. Together with English law and Northern Irish law, it is one of the three legal systems of the United Kingdom. Scots law recognises four sources of law: legislation, legal precedent, specific academic writings, and custom. Legislation affecting Scotland and Scots law is passed by the Scottish Parliament on all areas of devolved responsibility, and the United Kingdom Parliament on reserved matters. Some legislation passed by the pre-1707 Parliament of Scotland is still also valid.
In relation to corporate insolvency, modified universalism or modified universality is a legal concept relating to the general principle that national courts should strive to administer the estates of insolvent companies in the spirit of international comity. The broad concept is that it is desirable for cross-border insolvencies to be managed by a single officeholder as a single estate rather than a series of piecemeal and unconnected proceedings in different countries, and that this should be recognised globally. In practice, whilst many countries will recognise foreign bankruptcy proceedings, in many instances the courts have set some limits on the recognition of insolvency proceedings, such that the courts apply this principle of modified universality whereby the courts retain a discretion to assess whether the overseas proceedings are consistent with their own principles of justice and public policy. But, subject to that safeguard, the courts will generally defer to the proceedings which are regarded as the "main proceedings" for the purposes of getting in and distributing assets of the insolvent company. The principal is referred as to modified universalism in that it strives to find a balance between purely territorial bankruptcy systems, and entirely universal international bankruptcy system.