LAWYERS AND BILLABLE HOURS

What is wrong with this exactly?

You read everywhere that law firms (lawyers, advocates, attorneys) have to change. Lawyers are too conservative. They hold on to the past and are anything but innovative. As the economic climate deteriorates the call for change becomes increasingly stronger.

The system of “hourly rate billing” in particular has to take the rap. Lawyers are reproached for billing hours with a fork, not working efficiently and being too expensive. The system apparently has the wrong incentives, partly because it is difficult to check the actual number of hours spent efficiently.

Anyone who becomes aware of …
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16
Dec 2013
CATEGORY

Various

COMMENTS No Comments

CHALLENGING THE VALIDITY OF A CONTRACT

Based on error, fraud or undue influence

The validity of a contract can be challenged on various grounds, including error, fraud or undue influence. In the case to be discussed here a contract was entered into by an intermediary. Appellants in cassation (Van Eendenberg) were owners of the parcels on which a preferential right was established pursuant to the (Dutch) Municipalities (Preferential Rights) Act. In view of the sale of those parcels, in so far as municipalities should need them for house construction, they have entered into a brokerage agreement with Agromak BV.

Its director then acted as an intermediary …
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02
Dec 2013
CATEGORY

Legal

COMMENTS No Comments

US LAW GOVERNED AGREEMENTS

Curaçao and St. Maarten Courts will accept the choice of laws

One of the questions frequently asked is whether the Courts in Curaçao or St. Maarten, if an action is brought before them, will pay deference to a “choice of governing law” and/or venue provision in an agreement, in particular when the parties have chosen US Law, and a US Court to resolve their disputes.

The choice of the laws of (a particular State of) the United States of America as the laws governing an agreement is valid and binding under the laws of Curaçao/St. Maarten, and will therefore be …
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21
Nov 2013
CATEGORY

Legal

COMMENTS No Comments

ELECTRONIC MONEY INSTITUTIONS IN ARUBA

A license is required

The European Central Bank defines e-money as follows (a non-legal definition): “E-money can be defined as any amount of monetary value represented by a claim issued on a prepaid basis, stored in an electronic medium (for example, a card or computer) and accepted as a means of payment by undertakings other than the issuer, predominantly for small-value transactions (for example, the settlement of modest transactions over the Internet and of parking or telephone charges and payment for public transport services).” (Electronic Money Institutions. Current trends, regulatory issues and future prospects. Legal Working Paper Series, No. 7/2008).


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24
Oct 2013
CATEGORY

Finance

COMMENTS No Comments

ASSET PROTECTION IN CURACAO

Curaçao: a jurisdiction not to be missed

A Curaçao private foundation or a trust is often used for asset protection and privacy purposes. The Curaçao private foundation and the Curaçao trust must be set up by a notarial deed executed before a civil law notary in Curaçao. Both the private foundation and the trust are a very flexible solution for asset protection and privacy purposes. A private foundation, for instance, can be easily implemented in international holding structures through Curaçao and is very suitable for family asset protection. By means of a letter of wishes or provisions in the articles …
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20
Aug 2013
CATEGORY

Finance

COMMENTS No Comments

SEIZING ASSETS IN THE DUTCH CARIBBEAN

Court approval required, but freezing assets is rather easy

Under the laws of Aruba, Bonaire, Curaçao, St. Maarten, St. Eustatius and Saba any party with a prima facie claim may file a petition for a court order granting an attachment, which petitions are generally granted, solely based on the allegations in the petition. Seizing assets of a another party may already be possible at a time when the claim (e.g. under an agreement or a guarantee) is not yet due, but where there is good reason to believe that, when it will become due, the other party will not honor …
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09
Aug 2013
CATEGORY

Legal

COMMENTS No Comments

THE CURACAO TRUST

Can be used as protected or segregated cell company

On 1 January 2012, new legislation entered into force according to which it is now possible to set up a trust (Curacao Trust) similar to the trust in Anglo-Saxon common law jurisdictions. The introduction of the Curacao Trust serves as an important instrument which could be used within financial transactions in the Caribbean as a significant part of these transactions are initiated from common law jurisdictions.

The Curacao Trust can be used for different purposes, such as, for example:

  • To set aside capital for children’s upbringing, education or maintenance
  • Estate planning

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    02
    Aug 2013
    CATEGORY

    Finance

    COMMENTS No Comments

    THIS BLOG IS ARCHIVED BY THE LIBRARY OF CONGRESS

    Blogs of today can be studied for years to come

    I’m thrilled to learn from Robert Ambrogi’s blog that “Karel’s Legal Blog” has been archived in the Library of Congress:

    On the Internet there is no rule against perpetuities. To the contrary our perpetuation seems assured. Latest case in point: the new Legal Blawgs Web Archive from the Library of Congress. Yes, just as the LOC is archiving all of our tweets, turns out it is also archiving a selection of legal blog posts, and has been doing so since March 1, 2007. (…)

    The LOC describes …
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    17
    Jul 2013
    CATEGORY

    Various

    COMMENTS No Comments

    LITIGATION IS A SKILLED PROFESSION (part 8)

    New legislation

    Finally, note that rather simple examples have been taken here. However, many suits are complicated with regard to their subject matter. In this connection disputes about complicated take-over issues, disputes between investors and an investment fund, disputes with a contractor or architect about a building or disputes about intellectual property come to mind. All these types of dispute require from advocates much more knowledge of and experience with litigation. It is not that each advocate must be an expert in all those areas but he should at least have experts in his team.

    Only a few aspects of …
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    14
    Jun 2013
    CATEGORY

    Legal

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    LITIGATION IS A SKILLED PROFESSION (part 7)

    Injunctive relief

    Apart from seizures it is also possible to consider an application for interim injunctive relief (voorlopige voorziening). The Judge for Interim Relief can render so-called provisional relief, for instance order a building freeze or order the counterparty to pay an advance on the compensation. Such a provision is called provisional because it is a measure in the interests of maintaining order to which the court dealing with the principal case is not bound. So it may well be the case that the provisional judgment of the Judge for Interim Relief differs fundamentally from the judgment of the court …
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    07
    Jun 2013
    CATEGORY

    Legal

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    LITIGATION IS A SKILLED PROFESSION (part 6)

    Proceedings in various jurisdictions

    Sometimes cases which are strongly interrelated to each other are brought before different courts. For instance you instigate proceedings with the court in Curacao and your counterparty instigates proceedings at the same time against you before the court in Aruba or in Sint Maarten. If the merits of the case involve the same dispute it would hardly be efficient if litigation would take place before two different courts. In that case there would also be a risk that contradictory judgments would be delivered. The Code of Civil Procedure provides for an arrangement with regard to referral …
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    31
    May 2013
    CATEGORY

    Legal

    COMMENTS No Comments

    LITIGATION IS A SKILLED PROFESSION (part 5)

    Duty to submit exhibits

    It can of course happen that it is not a plaintiff but the defendant or a third party who has the documents by which the plaintiff can prove the existence and extent of his claim. There is a separate procedure by which such documents can be demanded. This procedure, better known as the duty to submit exhibits of Section 843a of the Code of Civil Procedure requires several conditions which must be satisfied before the court can allow that claim (exhibitieplicht).

    Many other issues can play a role. I will mention a few. …
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    24
    May 2013
    CATEGORY

    Legal

    COMMENTS No Comments