9 July, 2016
The Choice of Courts Agreements Act Passed
On 14 April 2016, the Singapore Parliament passed the Choice of Court Agreements Act ("CCAA"), which gives effect to the Hague Convention on Choice of Court Agreements (the "Hague Convention") and enhances cross-boundary dispute resolution by providing a framework for the mutual recognition and enforcement of foreign judgments of states which are parties to the Hague Convention.
PDPC Issues Report on Enforcement Actions Taken Against Errant Companies and New Advisory Guidelines on Enforcement
On 21 April 2016, the Personal Data Protection Commission ("Commission") released details of the various enforcement actions it has taken against errant organisations that have infringed the Personal Data Protection Act since the data protection provisions of the Act came into force on 2 July 2014. The Commission has also issued a new set of Advisory Guidelines on Enforcement of the Data Protection Provisions, providing greater clarity on the Commission's approach to enforcement actions.
Obtaining Discovery Against Banks
In the course of a commercial dispute, it is not uncommon for parties to seek information and documents relating to bank accounts. However, obtaining pre-action discovery against a bank may not be a simple matter, as applicants must fulfill the discovery requirements without breaching banking secrecy rules. The case of La Dolce Vita Fine Dining Co Ltd and another v Deutsche Bank AG and another [2016] SGHCR 3 presents an example of a successful application for pre-action discovery against two banks.
MAS Establishes FinTech Office, Announces Upcoming Public Consultation on Regulatory Sandbox
On 3 May 2016, the Monetary Authority of Singapore ("MAS") and the National Research Foundation established a FinTech Office to serve as a one-stop virtual entity for all financial technology ("FinTech") matters and to promote Singapore as a FinTech hub. MAS intends to actively engage FinTech firms, introduce a regulatory sandbox approach, and promote greater inter-operability across data systems. MAS has also indicated that it is working on proposed regulations for virtual currency intermediaries, which will be issued for public consultation when ready.
MAS Eases Regulations on Sale of Corporate Bonds to Retail Investors
The Monetary Authority of Singapore has announced the launch of two new frameworks which will facilitate the sale of corporate bonds to retail investors. Issuers which meet the eligibility requirements relating to their risk profile will be able to offer bonds directly to retail investors in denominations as little as S$1,000 without the need for a prospectus.
MAS Responds to Feedback on Proposals for Securities-Based Crowdfunding
Following the issue of its consultation paper setting out proposals and clarifications on facilitating securities-based crowdfunding ("SCF") in February 2015 ("Consultation Paper"), the Monetary Authority of Singapore ("MAS") finally published its response ("Response") to the feedback received in relation to its Consultation Paper on 8 June 2016. In addition to its earlier proposals which primarily focused on accredited investors and institutional investors, the MAS also announced in its Response, certain refinements to existing rules to better accommodate retail participation in SCF.
Recognition of Foreign Liquidators – Universalism in Singapore Insolvency Law
In the modern commercial setting, insolvency has taken on an increasingly cross-border nature. Businesses, creditors and assets are rarely confined to a single jurisdiction. In Re Opti-Medix Ltd (in liquidation) and another matter [2016] SGHC 108, the Singapore High Court had to consider the issue of the recognition of foreign insolvency proceedings. In particular, the Court examined the recognition of foreign liquidators from jurisdictions other than the place of incorporation. The decision also looked at the increasing recognition of the need for courts to cooperate in order to effectively and efficiently resolve cross-border insolvency issues.
For further information, please contact:
Eng Beng SC, Partner, Rajah & Tann
eng.beng.lee@rajahtann.com
