Subject-Matter Index

Administration management orders

approval of administration manager’s decision

administration manager to make commercial and administrative decisions—on application to court for approval, court not to substitute own discretion—approval normally given unless decision taken in bad faith, irrational or unreasonable: In re Global Mutual Fund PCC Ltd. (Royal Ct.), 2016 GLR N [5]

Appeals. See Guernsey Financial Services Commission—appeals. Insurance managers and intermediaries—licensing

Corporate services provider

lien. See Corporate services provider—outstanding fees

outstanding fees

corporate services provider may claim lien for unpaid fees over client’s property—scope depends on particular case—no distinction in Guernsey law between particular and general liens—corporate services provider cannot claim lien if enforcement contrary to statutory requirement that accounting records held at company’s registered office or where directors think fit: Elite Properties PCC Ltd. v. Trident Trust Co. (Guernsey) Ltd. (Royal Ct.), 2016 GLR N [9]

Disapplication of exemptions. See Guernsey Financial Services Commission—enforcement powers

Enforcement powers. See Guernsey Financial Services Commission—enforcement powers

Fiduciaries. See Regulation of fiduciaries

Financial advisers

professional negligence

availability in Guernsey of cause of action in either contract or tort for professional negligence, based on proximate relationship between parties, precludes reliance on French doctrine of non-cumul to bar action in tort arising out of contractual relationship: Yaddehige v. Credit Suisse Trust Ltd. (Royal Ct.), 2007–08 GLR N [4]

Financial penalties. See Guernsey Financial Services Commission—enforcement powers. Regulatory offences—financial penalties

Guernsey Financial Services Commission

appeals

28-day time limit for appeal under Financial Services Commission (Bailiwick of Guernsey) Law 1987, s.11H(3)—court has discretion in exceptional circumstances to extend time where operation of time limit would conflict with right of access to appeal process under ECHR art. 6 and applicant did all he could to bring appeal timeously—no extension of time where applicant aware of 28-day time limit but chose first to bring other proceedings—inability to afford advocate, considerable financial losses and toll of proceedings on applicant and family not exceptional circumstances: Chick v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2021 GLR 1

appeal dismissed against Deputy Bailiff’s dismissal of appeal against senior decision maker’s decision that appellant’s actions dishonest or lacked probity or integrity: Robilliard v. Guernsey Fin. Servs. Commn. (C.A.), 2023 GLR 189

Commission’s appeal allowed against Royal Court decision allowing appeal against senior decision maker’s decision that respondents acted without probity and failed to meet minimum criteria for licensing: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

on appeal under Financial Services Business (Enforcement Powers) (Bailiwick of Guernsey) Law 2020, s.106(1), Royal Court can set aside Commission’s decision, remit matter to Commission or confirm decision in whole or in part—Royal Court not to conduct full merits-based trial de novo or assume Commission’s primary fact-finding or decision-making function: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

suspension of decisions pending determination of appeals: Pybus v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2023 GLR 324

disclosure

Commission’s disclosure obligations: Robilliard v. Guernsey Fin. Servs. Commn. (C.A.), 2023 GLR 189

enforcement powers

disapplication of exemptions

if Commission fails to apply under Financial Services Business (Enforcement Powers) (Bailiwick of Guernsey) Law 2020, s.32 for disapplication of exemptions under Regulation of Fiduciaries, Administration Businesses and Company Directors, etc. (Bailiwick of Guernsey) Law 2020 to have immediate effect, disapplication order does not have effect until appeal determined: Pybus v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2023 GLR 324

enforcement process inquisitorial not adversarial—no burden of proof—senior decision maker to be satisfied of disputed facts or allegations on balance of probabilities: Robilliard v. Guernsey Fin. Servs. Commn. (C.A.), 2023 GLR 189

financial penalties

not wrong in principle to impose penalty that relevant person unable to pay—ability to pay is one of relevant factors—clearest reasoning required to show another factor (e.g. seriousness of contravention) justifies potential insolvency: Guernsey Fin. Servs. Commn. v. Merrien (C.A.), 2016 GLR 106

penalties may be imposed on licensed entity and individual director/shareholder—penalty imposed on licensed entity as separate legal entity: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

penalty imposed on director suspended pending determination of appeal as otherwise risk of injustice—penalty imposed on company in liquidation not suspended: Pybus v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2023 GLR 324

when determining penalty under Financial Services Commission (Bailiwick of Guernsey) Law 1987, s.11D(1), Commission to consider only factors listed in s.11D(2)—s.11D(2)(b) (i.e. seriousness of contravention or non-fulfilment) permits consideration of impact on public interest and reputation of Island as financial centre—Commission may look to other jurisdictions for guidance: Guernsey Fin. Servs. Commn. v. Merrien (C.A.), 2016 GLR 106

where greater fining powers came into effect during period of wrongdoing, Royal Court wrong to conclude that necessary to distinguish between wrongdoing occurring before and after change and calibrate financial penalty: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

“minded to” notice

issue of notice that Commission minded to exercise enforcement powers not amenable to judicial review—provisional stage in decision-making process, not final decision with legal effect—alternative remedy to challenge final decision, i.e. appeal under Financial Services Commission (Bailiwick of Guernsey) Law 1987: X Ltd. v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2017 GLR 1

prohibition orders

court has inherent jurisdiction to stay prohibition order pending determination of appeal—stay granted where findings of serious lack of probity made against director but real risk of irreparable harm to director if stay refused even if appeal successful: Pybus v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2023 GLR 324

under Financial Services Business (Enforcement Powers) (Bailiwick of Guernsey) Law 2020, s.33, prohibition order may be imposed where appears to Commission that individual not fit and proper—Royal Court wrongly considered that prohibition orders only justified if lack of probity or incompetence to egregious degree: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

public statements

suspended pending determination of appeal—public statements serve important function but publishing before determination of appeal likely to be highly prejudicial if appeal successful: Pybus v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2023 GLR 324

test for lack of integrity is objective: Robilliard v. Guernsey Fin. Servs. Commn. (C.A.), 2023 GLR 189

when assessing seriousness of breaches, evidence of actual harm may be aggravating factor but absence of actual harm not mitigating factor: Guernsey Fin. Servs. Commn. v. Domaille (C.A.), 2024 GLR 38

grounds for winding up. See COMPANIES (Compulsory winding up—grounds for winding up)

legal representation

Commission may be represented at court by duly appointed employee, even if not qualified Guernsey advocate: X v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2021 GLR 405

migration of foreign company. See COMPANIES (Protected cell companies—migration of foreign company)

purpose of regulation. See Regulation of fiduciaries—purpose of regulation

Insurance managers and intermediaries

licensing

revocation of licence

decision of Guernsey Financial Services Commission to revoke licence only reversed if unreasonable—Commission to consider, inter alia, nature and cumulative effect of regulatory failures, likelihood of statutory compliance within reasonable time, interests of and risks to policyholders, potential clients and public, whether in interests of justice, and reputation of Guernsey as finance centre: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (C.A.), 2009–10 GLR N [6]

if Guernsey Financial Services Commission acts unfairly, not necessarily lawful or reasonable response to treat as justifying relaxation of other regulatory requirements: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (C.A.), 2009–10 GLR N [6]

in case of regulatory failures, undesirable and impractical for Guernsey Financial Services Commission to be involved with day-to-day transactions of business—may be factor in considering revocation: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (C.A.), 2009–10 GLR N [6]

publication of notice of revocation under Insurance Intermediaries (Bailiwick of Guernsey) Law 2002, s.12(4) may be postponed to avoid possible decision on appeal being rendered nugatory: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (C.A.), 2009–10 GLR N [6]

Royal Court has inherent jurisdiction to extend time for appeal against revocation under Insurance Managers and Intermediaries (Bailiwick of Guernsey) Law 2002, s.43, since no power in legislation—no legislative intent that failure to observe time limit fatal—extension of time by court justified if otherwise causes injustice: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2007–08 GLR 221

since professional indemnity insurance a licensing requirement under Insurance Intermediaries (Bailiwick of Guernsey) Law 2002, s.4(2)(h)(i)—not to be foregone or postponed as exposes public to unacceptable risk of loss and defeats protective object of Law: Canivet Webber Fin. Servs. Ltd. v. Guernsey Fin. Servs. Commn. (C.A.), 2009–10 GLR N [6]

revocation of licence. See Insurance managers and intermediaries—licensing

Investment companies. See INCOME TAX (Capital assets—acquisition and disposal), (Deductions—“permissible management expenses”)

Licensing. See Insurance managers and intermediaries—licensing. Regulation of fiduciaries—licensing. Regulation of fiduciaries—purpose of regulation

“Minded to” notice. See Guernsey Financial Services Commission—enforcement powers

Prevention of money laundering. See CRIMINAL PROCEDURE (Proceeds of criminal conduct—money laundering)

Professional negligence. See Financial advisers—professional negligence

Prohibition orders. See Guernsey Financial Services Commission—enforcement powers

Public statements. See Guernsey Financial Services Commission—enforcement powers

Public Trustee. See TRUSTS (Public Trustee)

Reception of English law. See JURISPRUDENCE (Reception of English law—financial services)

Regulation of fiduciaries

compulsory winding up. See COMPANIES (Compulsory winding up)

licensing

for fiduciary licence applications, Guernsey Financial Services Commission not limited to obtaining information by procedures under Regulation of Fiduciaries, Administration Businesses and Company Directors, etc., (Bailiwick of Guernsey) Law 2000, ss. 5(5) and 23—may use informal means, e.g. visiting applicant’s premises, to gather information if fair and just: Castle Company Management LLC Ltd. v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2003–04 GLR N [34]

sentence for money laundering offence aggravated by conducting unlicensed fiduciary activities, since regulatory oversight of GFSC thereby thwarted: Doyle v. Law Officers (C.A.), 2015 GLR 370

under Regulation of Fiduciaries, Administration Businesses and Company Directors, etc., (Bailiwick of Guernsey) Law 2000, s.59, applicant for fiduciary licence may trade pending decision by Guernsey Financial Services Commission—no legitimate expectation that licence will be granted: Castle Company Management LLC Ltd. v. Guernsey Fin. Servs. Commn. (Royal Ct.), 2003–04 GLR N [34]

purpose of regulation

Regulation of Fiduciaries, Administration Businesses and Company Directors, etc. (Bailiwick of Guernsey) Law 2000 designed to enable Guernsey Financial Services Commission to protect public from service providers failing to meet minimum licensing criteria and to maintain Guernsey’s reputation as well-regulated financial centre: Guernsey Fin. Servs. Commn. v. Claridges Trustees Ltd. (Royal Ct.), 2007–08 GLR N [19]

role of GFSC

under Financial Services Commission (Bailiwick of Guernsey) Law 1987, s.2, general role of GFSC to supervise financial services industry and protect reputation—s.2 provides no basis for GFSC’s being permitted to be heard in relation to application for discharge and release of liquidator of company already declared dissolved, since dissolved company cannot undertake business: In re Kingston Mgmt. (Guernsey) Ltd. (Royal Ct.), 2011–12 GLR 670

Regulatory offences

financial penalties

Reputation of industry. See Regulatory offences—financial penalties. CRIMINAL LAW (Abuse of trust—sentence), (Theft—sentence)

Revocation of licence. See Insurance managers and intermediaries—licensing

Role of Guernsey Financial Services Commission. See Regulation of fiduciaries—role of GFSC

Venture capital providers

liability to income tax. See INCOME TAX (Income or capital—shares)