Lea Lilly Perry and another (Appellants) v Lopag Trust Reg and another (Respondents) No 2 (Cayman Islands)
Case ID: JCPC 2022/0014
Jurisdiction: Court of Appeal of the Cayman Islands
Whether the transfer of a share in a Cayman company to Lopag was void and/or should be set aside.
This appeal concerns the transfer of the single issued share (the “Share”) in a Cayman company, Britannia Holdings (2006) Ltd (“BH06”), to Lopag by Israel Igor Perry (“Mr Perry”) on or around 15 October 2013.
The Appellants, Lilly and Tami, are, respectively, the elder daughter and widow of Mr Perry. Mr Perry was an Israeli lawyer who died on 18 March 2015. The Appellants are both Israeli nationals. Lilly and Mr Perry married in Israel in 1964 and maintained a home there until Mr Perry’s death. On 15 October 2013, as part of his succession planning arrangements, Mr Perry transferred the Share to Lopag to be held on the terms of a Liechtenstein discretionary trust known as the Lake Cauma Trust. BH06 is a holding company which, for many years, was the main source of liquidity for the Perry family. The Share in BH06 accounted for a very substantial proportion of the total assets of the Perry family.
On 20 November 2017, the Appellants, Lilly and Tami, brought an Originating Summons seeking to challenge the transfer of the Share to Lopag. The Appellants’ claim is advanced on two grounds. First, the Appellants submit that the transfer of the Share was void and/or should be set aside because the transaction violated Lilly’s matrimonial property rights under Israeli law since it was effected without her knowledge or consent and without complying with the formalities required under Israeli law. Second, the Appellants submit that the transfer of the Share should be set aside for equitable mistake because Mr Perry made the transfer as a result of his mistaken belief, or tacit assumption, that discretionary beneficiaries of Lichtenstein trusts have effective rights under Liechtenstein law to apply to the court to enforce the trustee’s obligations.
On 27 May 2020, the Grand Court dismissed the Appellants’ claim. The Court of Appeal dismissed the Appellants’ appeal on 18 November 2021. Conditional leave to appeal to the Privy Council was granted by the Court of Appeal on 15 December 2021.
Lea Lilly Perry, Tamar Perry
Lopag Trust Reg, Admintrust Verwaltungs Anstalt
Lord Hodge, Lord Lloyd-Jones, Lord Briggs, Lord Kitchin, Lord Sales, Lord Stephens, Lord Richards
Hearing start date
18 January 2023
Hearing finish date
18 January 2023
|18 January 2023||Morning session|