Belmont Finance Corporation Ltd -v- Williams Furniture Ltd; CA 1979

The company directors had made cash available to the company’s buyer.
Held: Fraud is not easily to be attributed to an employer. An employee’s knowledge is not to be treated as the employer’s knowledge: ‘indeed it is a well recognized exception from the general rule that a principal is affected by notice received by his agent that, if the agent is acting in fraud of his principal and the matter of which he has notice is relevant to the fraud, that knowledge is not to be imputed to the principal. So in my opinion the plaintiff company should not be regarded as party to the conspiracy on the ground of lack of necessary guilty knowledge.’

Court: CA
Date: 01-Jan-1979
Judges: Buckley LJ
References: [1979] Ch 250, [1978] 3 WLR 712, [1979] 1 All ER 118
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