High Court considers gateways for service out of the jurisdiction re cryptoassets

A recent High Court decision suggests that there is some doubt as to the proper construction of the gateways allowing service out of the jurisdiction for claims relating to property in the jurisdiction, and for claims in constructive or resulting trust relating to assets within the jurisdiction. In particular, the decision suggests that it may … Read more

High Court applies the iniquity exception to privilege

The High Court has held that documents obtained pursuant to a search order were not protected by privilege as the iniquity exception applied: Lakatamia Shipping Company Limited and other v Nobu Su and others [2022] EWHC 3115. Under that principle, privilege does not apply to protect communications made in furtherance of a crime, fraud or … Read more

Information orders granted against cryptocurrency exchanges to help trace stolen cryptocurrency

In a further decision demonstrating the English court’s ability to apply the law flexibly to novel issues arising in relation to crypto assets, the High Court has granted information orders against various foreign cryptocurrency exchanges requiring the provision of information and documentation to help identify those who hold accounts into which stolen cryptocurrency was allegedly … Read more

Injunctions against “Persons Unknown”: The High Court flags uncertain territory

An increasingly important tool available to victims of fraud is the civil court procedure under which an action can be commenced and injunctions obtained against defendants who are identified only as “Persons Unknown”, described only by reference to their conduct in connection with the wrongdoing. Previously used only in niche areas, such orders have recently … Read more

High Court grants freezing injunction in relation to stolen non-fungible tokens (NFTs)

Adding to the run of recent cases involving fraud or theft of cryptoassets, the High Court has granted an order restraining “persons unknown” from dissipating NFTs allegedly stolen from the claimant’s cryptoasset wallet: Lavinia Deborah Osbourne v (1) Persons Unknown (2) Ozone [2022] EWHC 1021 (Comm). (The decision dates from March this year, but the … Read more

Crypto fraud: High Court decision on tracing and enforcing against cryptoassets

The High Court has granted the first third-party debt order in relation to cryptocurrency in an application involving allegations of fraud related to a cryptocurrency initial coin offering.  A third-party debt order (formerly known as a garnishee order) is a method of enforcing a money judgment by recovering sums that are in the hands of … Read more