On June 4, 2009, in a 4-3 decision, New York State’s highest court, the Court of Appeals, issued a decision that, unless reversed by the United States Supreme Court, will have a significant impact on non-U.S. banks and their clients. In Koehler v. Bank of Bermuda, 2009 NY Slip Op 4297 (June 4, 2009), the New York Court of Appeals held that “a court sitting in New York may order a bank over which it has personal jurisdiction to deliver stock certificates owned by a judgment debtor (or cash equivalent to their value) to a judgment creditor, pursuant to CPLR article 52, when those stock certificates are located outside of New York.”

Please see full update for more information.