The Limited Liability Company Bill (2015), initially introduced in December 2015, passed uncontested through the Cayman Islands Legislative Assembly on Wednesday.
Speaking to the Assembly, monetary services minister Wayne Panton stated: The primary motorist for this bill has been market demand. The intro of an LLC by the Cayman Islands has actually been highly expected by our regional market but likewise most importantly by our international service providers.
The LLC is a hybrid automobile, integrating a few of the qualities of a Cayman Islands exempted restricted partnership with those of a Cayman Islands excused company.
It will be a body corporate with separate legal character, much like an exempted company but without the restriction of having share capital. Its members will also take pleasure in limited liability.
A Cayman LLC is needed to keep registers of members, managers, and mortgages and charges. However, much like Cayman Islands excused companies, only the register of managers will be filed with the islands Registry.
This hybrid technique will work in a variety of investment areas, such as investment funds, joint ventures, and holding automobiles for a variety of assets, Panton said.
Panton said the word ‘exempt’ had been purposefully left out to avoid excessive criticisms from certain groups in the international neighborhood who have an anti-Cayman or anti- [International Finance Cooperation] agenda, who view reference to the word excused with suspicion and portray it as a term which shows that it is a car which is permitted to operate wholly outside the bounds of law and regulation.