When Shall Sometimes Means May...

...The Tension Between Agreements To Arbitrate And Winding Up Proceedings.

 

One of the key decisions that the contracting parties have to make when structuring transactions and entering into contracts, is whether or not to agree to resolve their disputes privately by way of arbitration with the inclusion of an arbitration clause. If the contracts involve BVI or Cayman Islands companies, when making such a determination, the contracting parties should, among other factors, consider the effect that an arbitration provision may have on their statutory rights to petition for the winding up of the offshore company.

 

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