Is it true that a holder of an International Driving License issued in another country can use that license in the Cayman Islands?

The assertion that a holder of an International Driving License issued in another country can use that license in the Cayman Islands is indeed true. The Cayman Islands recognize International Driving Permits (IDPs) that are issued in accordance with the 1968 Vienna Convention on Road Traffic, which most countries adhere to. This allows individuals from abroad to legally drive while visiting the islands, providing that their IDP is accompanied by the original driving license from their home country.

With this understanding, it's important to note the implications of the other options. The notion that such a scenario is false would overlook the established rules regarding IDPs in the Cayman Islands and could mislead travelers. Stating that an international license is only valid in certain areas or solely for personal vehicles doesn't reflect the general acceptance of IDPs across the territory, which would typically allow for a wider scope of driving activities.