HL Income Tax, Schedule E – Christmas gift voucher – Whether assessable – Income Tax Act, 1952 (15 and 16 Geo. VI and 1 Eliz. II, c. 10), Section 156; Finance Act, 1956 (4 and 5 Eliz. II, c. 54), Second Schedule, Paragraph 1(1).Lord Reid said: ‘There is a wealth of authority on this matter … Continue reading Laidler v Perry: HL 8 Apr 1965
The court was asked whether what purported to be a contract for the hire purchase of certain trucks was in truth an unregistered bill of sale over the trucks thereby disentitling the finance company from taking possession of the vehicles upon the hirer going into liquidation.Davies LJ stated: ‘No authority is needed for the proposition … Continue reading Stoneleigh Finance Ltd v Phillips: CA 1965
When looking at a contract ‘one must construe the document according to the natural meaning of the words contained in the document as a whole, read in the light of surrounding circumstances.’ The contra preferetem rule can only come into play ‘if the court finds itself unable on the material before it to reach a … Continue reading St Edmundsbury and Ipswich Diocesan Board of Finance v Clark (No.2): CA 1973
The defendant finance company alleged that the plaintiff car dealer, by its conduct, was estopped from denying the authority of their (rogue) customer to sell the car at issue, because they had permitted the customer, unkown to them, to take possession of the car and its registration book without having made any or sufficient inquiries … Continue reading Central Newbury Car Auctions Limited v Unity Finance Limited: CA 1957
A company which dealt in shares issued an originating summons in the Chancery Division requesting a declaration as to the correct method of computing its income for the purposes of loss relief. The revenue challenged the proceedings as an abuse of process. Held: The taxpayer’s appeal failed. The strike out by J Plowman was confirmed. … Continue reading Argosam Finance Co Ltd v Oxby (Inspector of Taxes): CA 1965
A dealer may for some ad hoc purpose be the agent of a finance company. In relation to a purchase of a motor vehicle through a motor dealer, where the prospective purchaser completes an application for hire purchase in the office of the motor dealer, he forwards it to the finance company for approval, and … Continue reading Branwhite v Worcester Works Finance Ltd: HL 1969
Excess Profits Levy – Valuation o f trading stock – Finance Act, 1937 (1 Edw. VIII and 1 Geo. VI, c. 54), Section 20(1) and Fourth Schedule; Finance Act, 1952 (15 and 16 Geo. VI and 1 Eliz. II, c. 33), Section 45(1) and Ninth Schedule.  TR 183,  UKHL TC – 42 – … Continue reading Cyril Lord Ltd v Inland Revenue Commissioners: HL 1965
In cases in which the plaintiff is seeking damages for the defective performance of a building contract, which is a contract for labour and materials, the normal measure of his damages is the cost of carrying out remedial work, or re-instatement. Reasonableness is a part of the primary assessment of damages as well as of … Continue reading East Ham Corporation v Bernard Sunley and Sons Ltd: HL 1965
The defendant had sold a car, taking as payment a cheque which was dishonoured; the plaintiffs later bought the car in good faith.
Held: The defendant was entitled to return of the car, even though the original purchaser had disappeared, and . .
1267 – 1278 – 1285 – 1297 – 1361 – 1449 – 1491 – 1533 – 1677 – 1688 – 1689 – 1700 – 1706 – 1710 – 1730 – 1737 – 1738 – 1751 – 1774 – 1792 – 1793 – 1804 – 1814 – 1819 – 1824 – 1828 – 1831 – 1832 … Continue reading Acts
The statute called for the apportionment of capital gains made by non-resident trustees where resident beneficiaries had ‘interests’ in the settled property, with the apportionment to be made ‘in such manner as is just and reasonable between’ them. The persons in question only had discretionary interests in the settled property. Held: Such discretionary beneficiaries did … Continue reading Leedale (Inspector of Taxes) v Lewis: HL 14 Oct 1982
HL Capital gains tax – Disposal of a right to what was termed a ‘royalty’ – Whether a disposal of a right to an ‘annual payment due under a covenant not secured on any property – Finance Act 1965 (c 25), Sch 7, para 12(c). Citations:  UKHL TC – 53 – 185,  3 … Continue reading Rank Xerox Ltd v Lane (Inspector of Taxes): HL 25 Oct 1979
The taxpayer owned shares in his own company, and was to sell them in a take-over. The sale was delayed. The Act required the base value to be set at the beginning of the tax year, and the chargeable gain was the increase in price when the sale eventually went through. As quoted stock, they … Continue reading Crabtree v Hinchcliffe (Inspector of Taxes): ChD 5 Dec 1969
HL Corporation tax – Chargeable gains – Meaning of ‘property’ and ‘assets’ under Part III of Finance Act 1965 (c 25) – Whether andpound;50,000 received from director to secure release from service agreement a chargeable gain – Finance Act 1965, s 22(1), (3) and (4)(b). Citations:  UKHL TC – 53 – 241,  AC … Continue reading O’Brien (Inspector of Taxes) v Benson’s Hosiery (Holdings) Ltd: HL 25 Oct 1979
HL Corporation tax – Shortfall – Finance Act 1965, s 77 – Acquisition and development of properties by group of associated companies – Decision to liquidate – Sales of properties – Whether trade or investment – Whether properties appropriated to trade. Citations:  UKHL TC – 53 – 461 Links: Bailii Statutes: Finance Act 1965 … Continue reading Simmons (Liquidator of Lionel Simmons Properties) v Inland Revenue Commissioners: HL 19 Jun 1980
HL Capital gains tax – Market value at 6th April 1965 – Quoted shares – Takeover negotiations in progress – Negotiations not known to public – Whether in consequence of special circumstances quoted price not proper measure of market value – Finance Act 1965 (c. 25), s. 44. Citations:  UKHL TC – 47 – … Continue reading Crabtree v Hinchcliffe (Inspector of Taxes): HL 27 Oct 1971
The House gave guidance on the interpretation of Tax statutes. Held: The consideration at issue had been paid both for shares and for something else, the waiver of a loan the seller had made to the company. Lord Wilberforce emphasised the need to consider each asset disposed of separately in the light of the rules … Continue reading Aberdeen Construction Group Ltd v Inland Revenue Commissioners: HL 1978
The taxpayer’s shareholding was to be sold in a take-over. A sale was substantially agreed, but not completed for several months. The base value of the shares fell to be set by the quoted price at the start of the tax year. The take-over had not been announced, and the taxpayer argued that the quoted … Continue reading Hinchcliffe (Inspector of Taxes) v Crabtree: CA 1971
The Court had to consider whether the tax-payer was liable to capital gains tax upon the disposal of his mobile caravan. Held: The Act distinguished between a dwelling house and land. Citations:  1 WLR 221 Statutes: Finance Act 1965 29 Housing, Capital Gains Tax Updated: 14 May 2022; Ref: scu.245785
Lord Donovan considered the rules for interpretation of taxation statutes and said: ‘Thirdly, the object of the construction of a statute being to ascertain the will of the legislature it may be presumed that neither injustice nor absurdity was intended. If therefore a literal interpretation would produce such a result, and the language admits of … Continue reading Mangin v Commissioner of Inland Revenue: PC 1971
The inland revenue claimed that several transactions had been arranged for the predominant purpose of obtaining a tax advantage, and that accordingly they should be disregarded. Lord Oliver: ‘[T]he transactions which, in each appeal, the Inland Revenue seeks now to reconstruct into a single direct disposal from the taxpayer to an ultimate purchaser were not … Continue reading Craven v White: HL 1988
Capital gains tax – Disposal from husband to wife – Whether relief governed by condition as to residence of spouses – Whether person resident in U.K. for a year of assessment when so resident for part only of year – Whether relief applied even if one spouse not resident in U.K. – Finance Act 1965, … Continue reading Gubay v Kington (Inspector of Taxes): HL 26 Jan 1984
HL Corporation tax – Chargeable gains – Allowable losses – Tax avoidance scheme involving disposal of shares by parent company following rights issue by subsidiary company – Consideration for rights issue – Whether market value or issue price – Finance Act 1965, s 22(4), Sch 7, para 4 – Whether loss to which scheme gave … Continue reading Inland Revenue Commissioners v Burmah Oil Co Ltd: HL 3 Dec 1981
Corporation tax – Chargeable gains – Disposal of shares acquired in consideration of issue of new share – Whether amount or value of consideration the agreed issue price or other value – Income and Corporation Taxes Act 1970, ss 21 and 265 – Finance Act 1965, Sch 6, para 4(l)(a) – Finance Act 1971, Sch … Continue reading Stanton Ltd v Drayton Commercial Investment Co Ltd: HL 8 Jul 1982
HL Capital gains tax – Settled property – Gift in settlement – Part disposal – Connected persons – Assignment of reversion followed by assignment of life interest – Whether the first assignment was only a part disposal – Finance Act 1965 (c 25), ss 22(2), 22(4), 25(2) and Sch 7, paras 17 and 21; Income … Continue reading Berry v Warnett (Inspector of Taxes): HL 6 May 1982
HL Capital gains tax – Disposal of shares – Whether rights to receive deferred payments constituted ‘incorporeal property’ – Whether a disposal of such property on such payments being made – Finance Act 1965 (c 25), ss 22(1) and 22(3).  UKHL TC – 54 – 76,  STC 500, 54 TC 76,  TR … Continue reading Marren (Inspector of Taxes) v Ingles: HL 24 Jul 1980
HL Corporation tax – Group relief – Trading stock – Whether assets acquired as trading stock by one group company from another – Whether prospective capital loss effectively transmuted into a trading loss available for group relief – Income and Corporation Taxes Act 1970, ss 273, 274(1) – Finance Act 1965, Sch 7 para 1(1) … Continue reading Coates and Reed (Inspectors of Taxes) v Nova Securities Ltd and Arndale Properties: HL 31 Jan 1985
The House considered the meaning of the word ‘bounty’ in an income tax context, where it had been used by the courts: ‘My Lords, I would venture to point out that the word ‘bounty’ appears nowhere in the statute. It is a judicial gloss upon the statute descriptive of those classes of cases which are … Continue reading Chinn v Hochstrasser (Inspector of Taxes): HL 11 Dec 1980
HL Capital gains tax – Trustees of fund appointed out of main settlement under special powers- – Whether liable for chargeable gain accruing to trustees of unappointed residue – Finance Act 1965, s 25(11) – Sch 10, para 12.A claim was made for the payment of Capital Gains Tax. It was material to that claim … Continue reading Roome v Edwards: HL 5 Feb 1981
The House considered the application of the section to ‘flip-flop trusts’. The section allocated liability to charge on gains within a settlement under certain circumstances onto the settlor, and at his rate of tax. Assets were allocated to two trusts, which in alternating years realised gains and allowed a benefit to be taken. Held: The … Continue reading Trennery v West (Inspector of Taxes): HL 27 Jan 2005
A settlor by will was deemed to have had an interest as funds were passed to a Jersey Trust. The section merely made or allowed that a variation of a will would not be a taxable event in UK law. It had no other effects. A deed of family arrangement . .
A variation of trusts in Jersey will be deemed to have been made by the deceased – no Capital Gains Tax arising. Interpretation of deeming Provisions. The taxpayer was not a settlor in an overseas trust. Deeming provisions should not generally be . .
A payment made from an estate which had been settled overseas by means of a deed of variation was deemed to have been a payment by the settlor, and taxable as such. In interpreting a deeming provision, the court musty consider carefully as between . .
The House considered whether the meaning of the phrase ‘a person having control’ extended to control by more than one person. This depended on whether the word ‘person’ in the singular was to be construed as including the plural.
Held: The . .
A settlor by will was deemed to have had an interest as funds were passed to a Jersey Trust. The section merely made or allowed that a variation of a will would not be a taxable event in UK law. It had no other effects. A deed of family arrangement . .
The husband and wife had signed a bank mandate allowing the bank to act upon the authorisation of either of them. The wife complained that the bank should not be able to recover from her any sums expended by the husband. Held: The mandate extended to all borrowings on the joint account and without limit. … Continue reading Sandra Estelle Fielding v The Royal Bank of Scotland Plc: CA 11 Feb 2004
Two strips of land were adjacent but separated by a wall with a gate. The owner of one plot was given broadly phrased rights of way over both strips. He removed part of the wall over the neighbour’s land in order to make full use of the wider strip. Held: The removal of the wall … Continue reading Stanton, Mills; Mills v Blackwell and Blackwell: CA 15 Jul 1999
The parties were neighbours, with houses adjacent to a right of way. Slabs had been laid next to the houses forming a raised pavement. The respondents had sought to enclose their area of this raised pavement, building a porch. They now appealed an order requiring to remove what had already been built. Held: The pavement … Continue reading Minor v Groves: CA 20 Nov 1997
The 1889 Act gave statutory undertakers who had incurred expenditure in removing a sunken vessel a right ‘to recover such expenses from the owner of such vessel in a court of summary jurisdiction.’ the undertakers began their action in the High Court, and appealed dismissal of the claim. Held: The appeal failed. Such expenses were … Continue reading Barraclough v Brown: HL 1897
(High Court of Australia) Parties to a transaction may choose to enter into it on the basis that certain facts are to be treated as correct as between themselves for the purpose of the transaction, although both know that they are contrary to the true state of affairs, in which case the necessary convention for … Continue reading Grundt v Great Boulder Proprietary Gold Mines Limited: 8 Oct 1937
Charitable Company- Directors’ Status and Duties A married couple set up a charitable foundation to assist children in developing countries. When the marriage failed an attempt was made to establish a second foundation with funds from the first, as part of W leaving the Trust. Court approval was obtained, but the court ordered the remaining … Continue reading Lehtimaki and Others v Cooper: SC 29 Jul 2020
A bill of lading incorporated a charterparty. The question was whether clauses in the charterparty or bill of lading prevailed. The charter clause incorporated a demurrage clause making the charterer’s laible for demurrage, and the owners asserted that the included demurrage clause made the cargo’s consignee, as holders of the bill, directly responsible for the … Continue reading Miramar Maritime Corporation v Holborn Oil Trading Limited (“The Miramar”): HL 1984
Pearson LJ said: ‘There is no rule of law that in a hire purchase transaction the dealer never is, or always is, acting as agent for the finance company or as agent for the customer.Nevertheless, the dealer is to some extent an intermediary between the customer and the finance company, and he may well have … Continue reading Mercantile Credit Co Ltd v Hamblin: CA 1964
Banker’s Liability for Negligent Reference The appellants were advertising agents. They were liable themselves for advertising space taken for a client, and had sought a financial reference from the defendant bankers to the client. The reference was negligent, but the bankers denied any assumption of a duty of care to a third party when purely … Continue reading Hedley Byrne and Co Ltd v Heller and Partners Ltd: HL 28 May 1963
Standing to Claim under A1P1 ECHR The appellants had written employers’ liability insurance policies. They appealed against rejection of their challenge to the 2009 Act which provided that asymptomatic pleural plaques, pleural thickening and asbestosis should constitute actionable harm for the purposes of an action of damages for personal injury. Held: The insurers’ appeals failed. … Continue reading AXA General Insurance Ltd and Others v Lord Advocate and Others: SC 12 Oct 2011
Claim by a wife that she has a beneficial interest in a house registered in the sole name of her husband and that her interest has priority over the rights of a bank under a legal charge executed without her knowledge. The case raises a point of importance in the law of registered conveyancing. Shortly … Continue reading Lloyds Bank plc v Rosset: CA 13 May 1988
Partners Liable for Dishonest Act of Solicitor A solicitor had been alleged to have acted dishonestly, having assisted in a fraudulent breach of trust by drafting certain documents. Contributions to the damages were sought from his partners. Held: The acts complained of were so close to the activities which a solicitor would normally undertake, that … Continue reading Dubai Aluminium Company Limited v Salaam and Others: HL 5 Dec 2002
Former HL decision in Siebe Gorman overruled The company had become insolvent. The bank had a debenture and claimed that its charge over the book debts had become a fixed charge. The preferential creditors said that the charge was a floating charge and that they took priority. Held: The appeal was allowed. The debenture, although … Continue reading National Westminster Bank plc v Spectrum Plus Limited and others: HL 30 Jun 2005
ECHR Article 3 Positive obligations Failure by State to put appropriate mechanisms in place to protect National School pupil from sexual abuse by teacher: violation Facts – The applicant alleged that she was subjected to sexual abuse by a teacher (LH) in 1973 when she was a pupil in a state-funded National School owned and … Continue reading O’Keeffe v Ireland: ECHR 28 Jan 2014
Standard Conract – Wide Exclusions, Apply 1977 Act The claimant had acquired a computer system from the defendant, which had failed. It was admitted that the contract had been broken, and the court set out to decide the issue of damages. Held: Even though Wang had been ready to amend one or two of its … Continue reading Pegler Ltd v Wang (UK) Ltd: TCC 25 Feb 2000
The respondent had been detained in a secure mental unit for a year. In that time her home was charged to the appellant. She asserted that she had been a person in actual occupation. The chargee now appealed against a finding that the respondent had been such a person. She had been taken advantage of … Continue reading Link Lending Ltd v Bustard: CA 23 Apr 2010
In Douglas, the claimants said that the defendants had interfered with their contract to provide exclusive photographs of their wedding to a competing magazine, by arranging for a third party to infiltrate and take and sell unauthorised photographs. In OBG, the defendants acted as receivers under an invalid charge, and were accused of unlawful interference … Continue reading Douglas and others v Hello! Ltd and others; similar: HL 2 May 2007
Interpretation of Exclusion Clauses The plaintiffs had contracted with the defendants for the provision of a night patrol service for their factory. The perils the parties had in mind were fire and theft. A patrol man deliberately lit a fire which burned down the factory. It was an unresolved issue whether the employee intended to … Continue reading Photo Production Ltd v Securicor Transport Ltd: HL 14 Feb 1980
Damages on Construction not as Agreed The appellant had contracted to build a swimming pool for the respondent, but, after agreeing to alter the specification to construct it to a certain depth, in fact built it to the original lesser depth, Damages had been awarded to the house owner against a builder at the cost … Continue reading Ruxley Electronics and Construction Ltd v Forsyth: HL 29 Jun 1995
Necessity for Reference to ECJ Lord Denning said that the test for whether a question should be referred to the European Court of Justice is one of necessity, not desirability or convenience. There are cases where the point, if decided one way, would shorten the trial greatly. But if decided the other way, it would … Continue reading HP Bulmer Ltd and Another v J Bollinger Sa and others: CA 22 May 1974
Taxpayer companies challenged the way that the revenue restricted claims for group Corporation Tax relief for subsidiary companies in Europe. The issue was awaiting a decision of the European Court. The Revenue said that the claims now being made by other companies should proceed through the Commissioners who could implement European law directly. The taxpayers … Continue reading Autologic Holdings Plc and others v Commissioners of Inland Revenue: HL 28 Jul 2005
Consultation requirements The claimant challenged a decision of the respondent reducing the benefits under the Council Tax Reduction Scheme reducing Council Tax for those in need, saying that the Council’s consultation had been inadequate. Held: The consultation was procedurally unfair because the consultation documentation gave a misleading impression in failing to mention other ways of … Continue reading Moseley, Regina (on The Application of) v London Borough of Haringey: SC 29 Oct 2014
A mortgagee is at all times free to consult his own interests alone as to whether and when to exercise his power of sale. The relationship and duties owed by the receiver are equitable only. Peter Gibson LJ said: ‘(1) A mortgagee with the power of sale is not a trustee of that power, the … Continue reading Raja v Austin Gray (A Firm): CA 19 Dec 2002
Wife in Occupation had Overriding Interest The wife had made a substantial financial contribution to the purchase price of the house which was registered only in her husband’s name, and charged to the bank. The bank sought possession. The wife resisted saying that she had an overriding interest. Held: Her equitable interest was not only … Continue reading Williams and Glyn’s Bank Ltd v Boland: HL 19 Jun 1980
The parties had cohabited for a long time, in a home bought by Ms Dowden. After the breakdown of the relationship, Mr Stack claimed an equal interest in the second family home, which they had bought in joint names. The House was asked whether, when a conveyance into joint names indicates only that each party … Continue reading Stack v Dowden: HL 25 Apr 2007
Estoppel Cannot Oust Statutory Discretion The plaintiff had been refused planning permission for a factory. The refusals were followed by the issue of Enforcement Notices and Stop Notices. The plaintiff said that they had been given re-assurances upon which they had relied. Held: The appeal failed. The court tried to reconcile invocations of estoppel with … Continue reading Western Fish Products Ltd v Penwith District Council and Another: CA 22 May 1978
Parties had entered into a bunker supply contract which contained a retention of title clause in favour of the supplier. It purported to allow the buyer to use the goods before title came to be passed. Held: The owner’s appeal failed. It did not fall within the scope of the 1979 Act, and therefore the … Continue reading PST Energy 7 Shipping Llc and Another v OW Bunker Malta Ltd and Another: SC 11 May 2016
Sham requires common intent to create other result The court considered a claim by a hire-purchase company for the return of a vehicle. The bailee said the agreement was a sham. Held: The word ‘sham’ should only be used to describe an act or document where the parties have a common intention that the act … Continue reading Snook v London and West Riding Investments Ltd: CA 1967
A contract of insurance provided an indemnity for ‘all sums which the insured shall become legally liable to pay as compensation in respect of loss of property’. The claim was by the Post Office against a contractor, Potters, for damaging one of their cables which in consequence the Post Office had to repair. Before the … Continue reading Post Office v Norwich Union Fire Insurance Society Ltd: CA 1967
A collateral contract was entered into with a company which had not then been incorporated under which an advance by Phonogram to support an intended new pop group was repayable by the company if a recording contract was not entered into within one . .
The defendant was MD of a company which borrowed from the plaintiff. The company drew five bills as security, and the defendant endorsed them. When the company failed, the plaintiff gave notice of dishonour and sued the defendant as indorsee. The . .
The taxpayer company purchased properties to be occupied by other companies within the same group. Having granted leases, they assigned the rental income for the first six years to a bank in return for a capital payment. They then sought relief from . .
The plaintiff had made a loan to a company in which he had a joint interest in order to enable it to pay the price due under a contract for the purchase of development land. The company failed, and he now claimed to be a secured creditor by . .
The council owned land on which it wanted to build a recreational centre. Construction contracts were entered into not by the council but by a finance company, the building contractors being the respondents Wiltshier Northern Ltd. The finance . .
The claimant sought damages from its accountants, saying that had they been advised of the difficulties in their financial situation, they would have been able to avoid the loss of some 2.5 billion pounds, or to sell their assets at a time when . .
The defendants appealed against their convictions for conspiracy to facilitate breaches of immigration law, saying that they had been based on evidence obtained by the police from credit reference agencies in breach of their rights under the 1984 . .
FTTTx INCOME TAX – penalty assessment – Schedule 24 Finance Act 2007 – whether error on income tax return was careless – whether penalty to be suspended under paragraph 14 Schedule 24 Finance Act 2007 – whether . .
The company made available to certain employees discretionary annual bonuses which were paid instead by way of shares and received dividends. It now appealed against findings that the payments were taxable subject to Schedule F rates and were liable . .
The claimant alleged that she had been discrimated against in her work for the appellant, a member of the diplomatic staff at the Saudi Embassy in London. She now appealed against a decision that the respondent had diplomatic immunity.
Held: . .
The claimant alleged complicity by the defendant, (now former) Foreign Secretary, in his mistreatment by the US while held in Libya. He also alleged involvement in his unlawful abduction and removal to Libya, from which had had fled for political . .
The defendants appealed against confiscation orders made after a finding that they had been involved (separately) in the smuggling of tobacco, suggesting a conflict between the 1992 Regulations and the Directive.
Held: The appeals variously . .
The Court was asked whether an employee’s remuneration is taxable as his or her emoluments or earnings when it is paid to a third party in circumstances in which the employee had no prior entitlement to receive it himself or herself.
Held: The . .
A main contractor who was building not on his own land, would only be free to claim damages from a sub-contractor for defects in the building where the actual owner of the land would not also have had a remedy. Here, the land owner was able to sue . .
The claimant challenged a decision that it was liable for non domestic rates in respect of some commercial units, on the basis that the use by the charity was not itself charitable.
Held: ‘there is no reason for limiting the ambit of the . .
If there has been a conclusive election by the plaintiffs to adopt the liability of one of two persons, alternatively liable, they cannot afterwards make the other liable. The two claims are mutually exclusive or impossible in law. To establish an . .
References:  AC 676,  3 WLR 1 Coram: Lord Diplock A bill of lading incorporated a charterparty. The question was whether clauses in the charterparty or bill of lading prevailed. The charter clause incorporated a demurrage clause making the charterer’s laible for demurrage, and the owners asserted that the included demurrage clause made the … Continue reading Miramar Maritime Corporation v Holborn Oil Trading Limited (‘The Miramar’): HL 1984