In Allenger, Shiona (Trustee-in-bankruptcy of the Estate of Pelletier, Richard Paul Joseph) v Pelletier, Olga and another [2020] SGHC 279, Rajah and Tann Singapore's Fraud, Asset Recovery and Investigations team led by Partners Danny Ong and Yam Wern-Jhien, and assisted by Bethel Chan and Chen Lixin, prevailed in a significant decision examining principles governing the grant of freezing injunctions against foreign defendants in the context of a cross-border insolvency and asset recovery claim. The Court had to consider its subject-matter jurisdiction over a claim founded in Cayman bankruptcy law, as well as its in personam jurisdiction over the defendants.
The team successfully argued that the Singapore High Court has subject-matter jurisdiction to adjudicate claims based on foreign avoidance laws. The High Court held that the Singapore courts do not require enabling legislation in order to have jurisdiction in a specific subject-matter, and that the mere fact that the cause of action here arose under a foreign insolvency legislation (Cayman Bankruptcy Law) was not a bar to its being adjudicated in Singapore.
The Court also accepted the team's submission that the foreign defendants had submitted to the Singapore courts' jurisdiction by failing to promptly raise a jurisdictional challenge and taking various steps in the proceedings that were inconsistent with an intention to challenge the Singapore court's jurisdiction. As a result, the Court found that it had in personam jurisdiction over the defendants.
For more information, click here to read our Legal Update.