Interim Orders of Cyprus Courts with a world-wide effect
Cypriot courts have a fully established judicial power to grant interim orders over various issues with an international effect. Namely, the Cypriot legal order has incorporated the power of the courts to issue freezing orders towards protecting assets in risk of alienation or towards preserving a status quo of assets pending the final and conclusive determination of the relevant proceedings. It is possible to apply to the courts for interim measures on an ex-parte basis but is necessary for the facts to satisfy all legislative conditions enabling the court to order such measures, as well as establishing the existence of an element of extreme urgency.
The power of the Cyprus courts is not limited to freezing orders. Where justice requires, they may issue interim specific performance orders or mandatory injunctions to the effect of instructing a person to take active steps or they may even appoint a receiver or take any steps that justice may require.
Through the application of the principles of Equity, Cypriot courts may in certain circumstances grant an order for the discovery of documents or information against a third party who is not a party to the proceedings. Such a relief emanates from the landmark House of Lords judgment in Norwich Pharmacal Co v. Customs and Excise Commissioners [1974] AC 133. The Supreme Court of Cyprus has recognized the Norwich Pharmacal principle in a case in which an ex-parte order was issued at first instance for the discovery and inspection of documents in the context of an application to set aside or stay the proceedings on the alleged grounds that Cyprus courts courts were prevented from hearing the case by the operation of forum non conveniens. The Supreme Court of Cyprus upheld the first instance granting of the order stating that: “…Cypriot case-law does not shed light on this issue. Nevertheless, we have located English case-law that has clarified the issue…taking a positive stance on this issue”.
Cyprus courts may grant interim orders in aid of foreign judicial proceedings or commercial arbitration proceedings, but the latter which must have been the result of a written agreement that includes an arbitration clause for the resolution of any dispute. Inevitably, Brussels I (Regulation 44/2001) has a catalytical role in relation to proceedings within the European Union in relation to which interim relief is sought in Cyprus.
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