Automatic directions did not apply to proceedings transferred from the High Court before 1990. Citations: Times 19-Jan-1996, Gazette 21-Feb-1996 Statutes: County Court Rules 1981 17(11) Jurisdiction: England and Wales Litigation Practice Updated: 27 October 2022; Ref: scu.89723
A bond contained an arbitration clause subject to a further clause giving the claimant an ‘exclusive right at its option to apply to the courts of England to settle any disputes which may arise out of or in connection with these presents’. The defendants started an arbitration challenging the claimant’s assertion that events of default … Continue reading Law Debenture Trust Corporation Plc v Elektrim Finance Bv and others: ChD 1 Jul 2005
Two applications for costs orders under section 51 of the Supreme Court Act 1981. Citations: [2009] EWHC 2432 (Comm) Links: Bailii Jurisdiction: England and Wales Costs Updated: 04 August 2022; Ref: scu.376018
ICI set up a trust fund to make discretionary payments to its employees to assist meeting the costs of further education. Payments made to children were treated as scholarship income and exempt under the 1970 Act. The revenue claimed it to be an employment benefit. Held: The benefit was paid to the taxpayer’s son ‘by … Continue reading Wicks v Firth (Inspector of Taxes); Johnson v Firth: CA 1981
In a case of constructive dismissal, the ordinary contractual rule applies; the wronged party may give the other party an opportunity to remedy the breach. In doing so he does not waive the breach and thereby affirm the contract.Browne-Wilkinson P said: ‘Although we were not referred to the cases outside the field of employment law, … Continue reading W E Cox Toner (International) Ltd v Crook: EAT 1981
A letter was written by the Mongolian Ministry of Finance guaranteeing payment for textile plant and machinery to be supplied to a Mongolian company. A letter from the justice minister confirmed the authority of the finance minister to sign the letter. The quality of the machinery came to be disputed, and the deal was refinanced. … Continue reading Marubeni Hong Kong and South China Ltd v Ministry of Finance of Mongolia: CA 13 Apr 2005
Richards J said: ‘In considering the primary position of the Opposing Bondholders, it is important to keep in mind the function of the court at this stage. This is an application by the companies for leave to convene meetings to consider the schemes. It is emphatically not a hearing to consider the merits and fairness … Continue reading In the Matter of Telewest Communications Plc and in the Matter of Telewest Finance (Jersey) Ltd: ChD 22 Jun 2004
Popplewell J said: ‘We are however faced with what, at any rate, appear to be two conflicting Court of Appeal decisions. It is clear to us that ‘the time of transfer’ must be construed in the same way in relation to the Employment Protection (Consolidation) Act 1978 as to the Transfer of Undertakings (Protection of … Continue reading Brook Lane Finance Co Ltd v Bradley: EAT 1988
The taxpayer sought to claim for capital allowances of andpound;91 million for gas pipelines. The claimant had provided the equipment through a leasing scheme. Held: The leases were unusual, but did not appear to be merely part of a tax avoidance scheme. However, here the company already owned and operated the pipeline, and continued to … Continue reading Barclays Mercantile Business Finance Ltd v Mawson (Inspector of Taxes): ChD 22 Jul 2002
‘Demand bonds’ are a specialised form of irrevocable instrument, developed by the banking world for its commercial customers. They have been accepted by the courts as the equivalent of irrevocable letters of credit, and have been described as part of ‘the lifeblood of commerce’ Donaldson LJ: ‘Thrombosis will occur if, unless fraud is involved, the … Continue reading Intraco Limited v Notis Shipping Corporation: CA 1981
The fact that an interest payment may be aggregated with a payment of a different nature does not ‘denature’ the interest payment Judges: Megarry V-C Citations: [1981] STC 689 Jurisdiction: England and Wales Cited by: Cited – Pike v HM Revenue and Customs CA 20-Jun-2014 The taxpayer challenged rejection of his claim for a loss … Continue reading Chevron Petroleum UK Ltd v BP Petroleum Ltd: ChD 1981
A party had purported to sue having taken an assignment of a dishonoured letter of credit, in the context of the abolition of maintenance and champerty as crimes and torts in the 1967 Act. Held: The assignment was struck down as champertous, creating: ‘the possibility, and indeed the likelihood, of a profit being made, [by … Continue reading Trendtex Trading Corporation v Credit Suisse: HL 1981
The creditor finance company complained that the customer had paid money into its account with the bank, in order to discharge its obligations by direct debit payments, but that the bank had refused to make the payments. The claimant argued that the direct debit mandate was a mandate in rem suam, and was not dependant … Continue reading Mercedes Benz Finance Ltd v Clydesdale: OHCS 16 Sep 1996
The taxpayers used schemes to create allowable losses, and now appealed assessment to tax. The schemes involved a series of transactions none of which were a sham, but which had the effect of cancelling each other out. Held: If the true nature of the transactions could be seen by looking at them all together, then … Continue reading W T Ramsay Ltd v Inland Revenue Commissioners: HL 12 Mar 1981
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
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 company had paid substantial sums out in establishing a gas pipeline, and claimed those sums against its tax as capital allowances. The transaction involved a sale and leaseback arrangement which the special commissioners had found to be a pre-arranged series created only for a tax advantage, and the judge at first instance agreed saying … Continue reading Barclays Mercantile Business Finance Ltd v Mawson (HM Inspector of Taxes): HL 25 Nov 2004
Nourse J said: ‘When considering the extent to which a deeming provision should be applied, the court is entitled and bound to ascertain for what purposes and between what persons the statutory fiction is to be resorted to. It will not always be . .
Mr A bought a motor-cycle on hire-purchase. Mr Attryed had ridden this bicycle for 4,000 miles. Even after he got it back from the makers he had used for five or six weeks and had ridden 3,000 miles on it. He had complained from the beginning of the . .
An equitable charge is created when property is expressly or constructively made liable to the discharge of a debt or some other obligation, and the charge confers on the chargee a right of realisation by judicial process such as a sale order. . .
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
A UK Settlor/beneficiary was liable to be taxed on distribution gains from an offshore trust. Citations: Ind Summary 22-May-1995 Statutes: Finance Act 1981 80 Jurisdiction: England and Wales Citing: Appeal from – De Rothschild v Lawrenson (Inspector of Taxes) ChD 7-Dec-1993 A UK resident settlor was liable for tax on gains in a non-resident trust. … Continue reading De Rothschild v Lawrenson (Inspector of Taxes): CA 22 May 1995
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 whom and for what purposes the deeming was to take effect.Mrs … Continue reading Marshall (Inspector of Taxes) v Kerr: ChD 22 Jan 1992
A claim to deal on accounts which had been drawn over 104 weeks disallowed. Citations: Gazette 12-May-1993 Statutes: Finance Act 1981 Corporation Tax Updated: 18 May 2022; Ref: scu.78275
A UK resident settlor was liable for tax on gains in a non-resident trust. Citations: Times 07-Dec-1993 Statutes: Finance Act 1981 80 Jurisdiction: England and Wales Cited by: Appeal from – De Rothschild v Lawrenson (Inspector of Taxes) CA 22-May-1995 A UK Settlor/beneficiary was liable to be taxed on distribution gains from an offshore trust. … Continue reading De Rothschild v Lawrenson (Inspector of Taxes): ChD 7 Dec 1993
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 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 Society appealed dismissal for limitation of its claim against the defendant firm of accountants arising from alleged fraud in approval of a solicitor’s accounts. Held: The liability did not arise until the Society decided to make compensation to those who had been affected by the solicitor’s default. The claims in negligence were not time … Continue reading The Law Society v Sephton and Co and others: CA 13 Dec 2004
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
Cross loans were made between an investment company and pension schemes. The overall effect was to create payments which could be set off against Corporation Tax. They were not a pre-ordained series of transactions where the underlying loans were genuine, and the payments were made in respect of a genuine accrual of interest. Citations: Times … Continue reading McNiven (Inspector of Taxes) v Westmoreland Investments Ltd: CA 26 Oct 1998
The issue was the appropriateness of a Court striking an action out where there has been considerable delay if: (i) the cause of action relied upon by the plaintiff in the proceedings would be statute barred if the action were to be struck out, but (ii) the plaintiff has another cause of action upon which … Continue reading Arbuthnot Latham Bank Limited; Nordbanken London Branch v Trafalgar Holdings Limited; Ashton and Ashton: CA 16 Dec 1997
The claimant sought to set aside an arbitration saying that the arbitrator had misapplied the test for economic duress. Judges: Cooke HHJ Citations: [2012] EWHC 273 (Comm) Links: Bailii Jurisdiction: England and Wales Citing: Cited – Pace Shipping Co Ltd of Malta v Churchgate Nigeria Ltd of Nigeria ComC 7-Oct-2010 The courts do not approach … Continue reading Progress Bulk Carriers Ltd v Tube City IMS Llc: ComC 17 Feb 2012
The plaintiffs appealed an order that they should disclose who if any had funded their case. The case concerned failed business ventures in Portugal. Citations: [1997] EWCA Civ 2179 Jurisdiction: England and Wales Citing: Appeal from – Abraham and Another v Thompson and Others ChD 12-May-1997 The court may issue a stay of proceedings pending … Continue reading Abraham and Another v Thompson and Another: CA 24 Jul 1997
The deceased had first conveyed property to her solicitor. Leases back were then created in her favour, and then the freeholds were conveyed at her direction to her children and grandchildren. They were potentially exempt transfers. Held: (Millett LJ dissenting) The conveyance to the solicitor left the solicitor holding the property as bare trustee for … Continue reading Ingram and Palmer-Tomkinson (Executors of the Estate of Lady Jane Lindsay Morgan Ingram Deceased) v Commissioners of Inland Revenue: CA 28 Jul 1997
A strictly mathematical approach to calculating ancillary relief can be inappropriate in large sum cases. The statutory jurisdiction has to provide for all applications for ancillary financial relief, from the poverty stricken to the multi-millionaire. Held: The court to reconcile existing practice wit the statute. Reasonable requirements are more extensive than needs. What a person … Continue reading Dart v Dart: CA 2 Jul 1996
The buyer paid a sum demanded by the seller who threatened otherwise to withdraw the credit facilities it provided to the buyer. The sum was not in fact due, but the demand had been made honestly. The buyer said the agreement was voidable for duress. Held: Duress was not available when the action threatened was … Continue reading CTN Cash and Carry v Gallaher: CA 15 Feb 1993
The court discussed when it was appropriate for the Court of Appeal to substitute other lesser convictions, after the main conviction had been declared unsafe. Held: After studying the authorities at length, the court felt that the various convictions should be quashed, but that in some cases there was a possibility of substituting verdicts of … Continue reading Regina v Graham, Kansal, etc: CACD 25 Oct 1996
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
The claimant company alleged that the defendants had variously received assests (shares and cash) acquired by a former partner in the claimant company and held on his behalf, in breach of his obligations to the caimant partnership. The defendants said that the claims had in effect already been decided against the claimants in an arbitration. … Continue reading Michael Wilson and Partners Ltd v Sinclair and Others: ComC 21 Sep 2012
World-wide freezing orders had been made under the 1982 Act. The defendants were members of a Turkish family with substantial business interests in the telecommunications industry. In breach of orders made in the US some defendants had sought to hide their assets. They had failed to respond as required to orders to disclose their assest, … Continue reading Motorola Credit Corporation v Uzan and others (No 2): CA 12 Jun 2003
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 persecution. The defendants now appealed from rejection of the defendants’ claim to state immunity and … Continue reading Belhaj and Another v Straw and Others: SC 17 Jan 2017
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 company’s appeal failed. The purposive approach to the interpretation of the general … Continue reading RFC 2012 Plc (Formerly The Rangers Football Club Plc) v Advocate General for Scotland: SC 5 Jul 2017
The claimant sought additional provision from her father’s estate. She said that the will failed to make reasonable provsion for her, bearing in mind her extreme financial needs. She was a single mother of three. Held: The claim failed. Michael Furness QC J said: ‘the most important factors are first the financial position of the … Continue reading Garland v Morris and Another: ChD 11 Jan 2007
The parties anticipated a change in the system for taxing gains on options to buy or sell bonds and government securities. An option would be purchased before the change and exercised after the change to create losses which could be set off against other taxable gains. The risk to the market maker (Citibank) was set … Continue reading Inland Revenue Commissioners v Scottish Provident Institution: HL 25 Nov 2004
ECJ An occupational pension scheme which, although established in accordance with statutory provisions, is based on an agreement between the employer and employee representatives constitutes an integral part of the contract of employ- ment and has the effect of supplementing the social benefits paid under national legislation of general application with benefits financed entirely by … Continue reading Bilka-Kaufhaus v Webers Von Hartz: ECJ 13 May 1986
Dyson J set out the principles applicable in establishing a pleading of commercial duress: (i) Economic pressure can amount to duress, provided it may be characterised as illegitimate and has constituted a ‘but for’ cause inducing the claimant to enter into the relevant contract or to make a payment. See Mance J in S.L. Huyton … Continue reading DSND Subsea Ltd v Petroleum Geo Services Asa: TCC 28 Jul 2000
UBS AG devised an employee bonus scheme to take advantage of the provisions of Chapter 2 of the 2003 Act, with the sole purpose other than tax avoidance, and such consequential advantages as would flow from tax avoidance. Several pre-ordained steps were taken according to a detailed timetable. Once the structure of the scheme had … Continue reading UBS Ag and Another v Revenue and Customs: SC 9 Mar 2016
The employers went into receivership in November 1983. A number of the employees were made redundant but the receiver hoped to carry on with the remaining workforce until February. However, a major customer threatened to withdraw its custom unless the undertaking had been sold as a going concern by 24 November. Negotiations for a sale … Continue reading Secretary of State for Employment v Spence: CA 1986
The plaintiffs had supplied petrol to the defendant who owned two filling stations. The defendant prepared a statement of affairs ready to hold a meeting of creditors. The plaintiffs took their claim to judgement and obtained a charging order nisi to secure it. The defendant sought to prevent the order being made absolute so as … Continue reading Roberts Petroleum Ltd v Bernard Kenny Ltd (in liquidation): CA 1982
The parties each had a charge over a property, and now disputed which had priority. The brewery appealed an order for rectification of the registers to reverse priority on the basis of an estoppel. The charge in their favour had been registered first, but the respondents charge was intended to secure finance to repay it … Continue reading Scottish and Newcastle Plc v Lancashire Mortgage Corporation Ltd: CA 5 Jul 2007
The store introduced a system whereby when a customer paid by credit card, the charges made to them for card handling were expressed as a separate amount on the receipt. The store then said that VAT was payable only on the net amount allocated to the goods purchased. Held: The till slip was insufficent to … Continue reading Revenue and Customs v Debenhams Retail Plc: CA 18 Jul 2005
The claimant, the estranged adult daughter of the deceased, had claimed under the 1975 Act. The judge made an order for payment of pounds 50,000 by way of capitalisation of maintenance. The claimant appealed saying she should have received more, and the charities (beneficiaries under the will) said that no payment should have been ordered … Continue reading Ilott v Mitson and Others: CA 31 Mar 2011
What is reasonable provision for daughter? The deceased had left her estate in her will to several animal charities. The claimant, her daughter, had been estranged from her mother for many years, and sought reasonable provision from her estate under the 1975 Act. The district judge had rejected her claim. Held: The appeal by the … Continue reading Ilott v The Blue Cross and Others: SC 15 Mar 2017
The transfer of shares to a subsidiary as part of a planned scheme immediately to transfer them to an outside purchaser was regarded as a taxable disposition to the outside purchaser rather than an exempt transfer to a group company. In defined conditions, including a preordained series of transactions including steps with no commercial or … Continue reading Furniss (Inspector of Taxes) v Dawson: HL 9 Feb 1983
The parties had agreed that their dispute should be resolved before the Jewish Beth Din according to Jewish substantive and procedural law. K was granted an interim freezing order. The defendant sold the asset, and K sought to assert a charge. Held: Jewish law specifically provide that the decision of the Beth Din operated in … Continue reading Ernst Kastner v Marc Jason, Davis Sherman, Brigitte Sherman: CA 2 Dec 2004
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: [1979] UKHL TC – 53 – 185, [1979] 3 … Continue reading Rank Xerox Ltd v Lane (Inspector of Taxes): HL 25 Oct 1979
The re-insurers appealed against a finding that they were liable to make payment under a contract which required them to pay ‘sums actually paid.’ They said that the company having become insolvent, no payment would in fact be made. Held: The contract had to be construed as a whole. Under the contract, the sum became … Continue reading Charter Reinsurance Co Ltd v Fagan and Others: HL 24 May 1996
SCIT INCOME TAX – Anti-Avoidance – Relevant discounted security – Loss on gift to wife – Subscription for security and gift part of scheme to produce loss – Avoidance not the Appellant’s sole purpose in subscribing – Ramsay (1982), Westmoreland (2003) and Arrowtown (2003) considered – FA 1996, Sch 13, para 2 – Appeal allowed … Continue reading Campbell v Inland Revenue Commissioners: SCIT 6 Jul 2004
The parties presented their claim before the House, but the House found that it was to be argued differently. The new arguments had not been pursued or prepared before the case came to the House, and it was remitted to the lower courts for the issue to be considered.Lord Scott of Foscote: ‘The word ‘receipt’ … Continue reading Criterion Properties plc v Stratford UK Properties LLC and others: HL 17 Jun 2004
The taxpayer owned a cottage where he now lived in retirement. He had been a headmaster at a public school, and had been required to live in the house provided. He sought to assert that the school house had been his main residence and that he was liable to pay council tax only at the … Continue reading Williams v Horsham District Council: CA 21 Jan 2004
The taxpayer, a non-resident, operated a sale and lease back scheme of machinery to be used in its business within the UK. There had been a chain of leases. Held: The court had first to identify the ‘relevant lease’. It was the head lease which was the lease of the machinery on which the expemse … Continue reading BMBF (No 24) Limited v the Commissioners of Inland Revenue: CA 6 Nov 2003
The appellant had contracted to purchase maintenance from the defendant of aircraft it had also purchased from them. They sought damages for negligence, saying the defendants had failed to prevent a known risk of corrosion. The defendants argued that its contract excluded liability, and under the Act, that clause was not subjected to a test … Continue reading Amiri Flight Authority v BAE Systems Plc: CA 17 Oct 2003
A lease of a freight shed exonerated the lessor from ‘any claim . . for . . damage . . to . . Goods . . being . . in the said shed’ and requiring the lessee to indemnify the lessor ‘from and against all claims’. The negligent use of an oxy-acetylene torch by an … Continue reading Canada Steamship Lines Ltd v The King: PC 21 Jan 1952
The applicant had been refused a licence to operate within the farmer’s market. It sought judicial review of the rejection, but the respondent argued that it was a private company not susceptible to review. Held: The decisions of the Farmers Market were open to judicial review. The farmers markets were held on publicly owned land … Continue reading Hampshire County Council v Beer (T/A Hammer Trout Farm); Regina (Beer) v Hampshire Farmers’ Market Ltd: CA 21 Jul 2003
The applicant company obtained an injunction against another company. That freezing injunction was discharged upon the payment of a sum into the names of the respective parties’ solicitors. The company went into liquidation, and the claimant disputed ownership of the sum with the provisional liquidators. Held: The deposit of the sum was insufficient to create … Continue reading Edwards, Drummond Smith v Flightline Limited: CA 5 Feb 2003
To protect her estate from Inheritance Tax, the deceased gave land to her solicitor, but then took back a lease. The solicitor then conveyed the land on freehold on to members of her family. Held: The lease-back by the nominee was not void as a grant of a lease to herself. Lord Hoffmann said: ‘whether … Continue reading Ingram and Another v Commissioners of Inland Revenue: HL 10 Dec 1998
The claimant sought an order restraining the defendants from pursuing a claim in America. The parties were party to a contract governed by English law, but the allegation was one of fraud, and the defendants said this was outside the provisions of the contract. Held: Where a remedy was available both in England and in … Continue reading Roger Thomas Donohue v Armco Inc and others: CA 29 Mar 2000
Steps which had been inserted into a commercial transaction, but which had no purpose other than the saving of tax are to be disregarded when assessing the tax effect of the scheme. The modern approach to statutory construction is to have regard to the purpose of a particular provision and interpret its language, so far … Continue reading Commissioners of Inland Revenue v McGuckian: HL 21 May 1997
ECJ (Judgment) A measure carried out by means of discriminatory taxation, which may be considered at the same time as forming part of an aid within the meaning of article 92 of the EEC treaty, is governed both by the provisions of the first paragraph of article 95 and by those applicable to aids granted … Continue reading Commission v Italy C-73/79: ECJ 21 May 1980
Where the Court of Appeal had refused permission to apply for judicial review after a similar refusal by a judge, that decision was also, by implication, a refusal to grant permission to appeal against the judge’s decision, and there was no scope for a further appeal to the House of Lords. It is not the … Continue reading Regina v Secretary of State for Trade and Industry, Ex Parte Eastaway: HL 8 Nov 2000
A series of circular payments which left the taxpayer company in exactly the same financial position as before was not regarded as giving rise to a ‘loss’ within the meaning of the legislation. The ratio of the Ramsay decision was that a loss which comes and goes as part of a pre-planned, single continuous operation … Continue reading Inland Revenue v Burmah Oil Co Ltd: HL 1982
The appellant’s land was to be taken under compulsory purchase by the Council who wished to use it to assist Tesco in the construction of a new supermarket. Tesco promised to help fund restoration of a local listed building. Sainsbury objected an now appealed against the Court of Appeal’s overturning of the orer in its … Continue reading Sainsbury’s Supermarkets Ltd, Regina (on The Application of) v Wolverhampton City Council and Another: SC 12 May 2010
Application to set aside addition of land to definitive map of public rights of way as byway open to all traffic (BOAT). Held: The force of the evidence of private conveyancing documents may outweigh the value of public documents such as a tithe map or a Finance Act assessment which were not prepared for the … Continue reading Maltbridge Island Management Company v Secretary of State for Environment and Hertfordshire County Council: Admn 31 Jul 1998
A section 51 non-party costs application should not be used as a substitute for the pursuit of a related cause of action against the non-party in ordinary proceedings. Nine rules were set out for allowing a costs order against someone who is not a party to the action. Such orders should be exceptional. The normal … Continue reading Symphony Group Plc v Hodgson: CA 4 May 1993
Car hire companies who pursued actions in motorists’ names to recover the costs of hiring a replacement vehicle after an accident, from negligent drivers, were not acting in a champertous and unlawful manner. Lord Mustill said: ‘there exists in practical terms a gap in the remedies available to the motorist, from which the errant driver, … Continue reading Giles v Thompson, Devlin v Baslington (Conjoined Appeals): HL 1 Jun 1993
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
The court had jurisdiction under section 51 to order that the costs of administration proceedings overtaken by a compulsory liquidation could be ordered to be treated as costs in the winding-up. Judges: Mervyn Davies J Citations: [1988] BCLC 363 Statutes: Supreme Court Act 1981 51 Jurisdiction: England and Wales Cited by: Approved – Unadkat and … Continue reading Re Gosscott (Groundworks) Ltd: 1988
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
Mrs Bradley was employed by Dart Mill several times from 1933 and 1970 and acquired byssinosis from inhaling cotton dust. The company was wound up in 1975 and dissolved in 1976. In 1984 she applied to the court for pre-action disclosure under section 33(2) of the Supreme Court Act 1981 and RSC Ord. 24 rule … Continue reading Bradley v Eagle Star Insurance Co Ltd: HL 1989
The plaintiff purchased a book shop. He claimed that in doing so he had relied upon the accounts prepared and signed off by the respective defendants. Held: The judge had been wrong by testing what would have been the true figures as against those prepared when deciding what the plaintiff would have done. In deceit … Continue reading Downs v Chappell; Downs v Stephenson Smart (a Firm): CA 1996
Mutual Knowledge admissible to construe contract The parties had entered into a development contract in respect of a site in Wandsworth, under which balancing compensation was to be paid. They disagreed as to its calculation. Persimmon sought rectification to reflect the negotiations. Held: The appeal succeeded. There were difficulties in construing the contract. The contract … Continue reading Chartbrook Ltd v Persimmon Homes Ltd and Others: HL 1 Jul 2009
Litigation Privilege Defendants challenged the claimants assertion of litigation privilege and contended for a waiver of any privilege which entitles them to disclosure of additional materials referred to in a witness statement. Held: ‘I dismiss the waiver of privilege application but require a further list of documents from the Claimants with supporting witness statement on … Continue reading Kyla Shipping Co Ltd and Another v Freight Trading Ltd and Others: ComC 22 Feb 2022
The claimants sought damages alleging torture by the respondent whilst held in custody in Saudi Arabia. Held: Although the state enjoyed freedom from action, where the acts were ones of torture, and action could proceed against state officials involved personally. The court had been correct to reject the claim against the state. Despite other developments, … Continue reading Jones v Ministry of Interior Al-Mamlaka Al-Arabiya As Saudiya Kingdom of Saudi Arabia) and Another: CA 28 Oct 2004
The inspector sought to disallow charging to current tax period payments made by the employer to an employee benefit trust. Held: The payments were not made and held by the trustees ‘with a view to becoming relevant emoluments’ within the section, and so were deductible from profits. The provision sought to restrain charging against current … Continue reading MacDonald (Inspector of Taxes) v Dextra Accessories Ltd and Others: ChD 16 Apr 2003
The insurance company had paid claims on policies used to underwrite the production of TV films. The re-insurers resisted the claims against them by the insurers on the grounds of non-disclosure by the insured, or in the alternative damages for misrepresentation. The policies were novel and sophisticated contracts and included clauses modifying the duties of … Continue reading HIH Casualty and General Insurance Limited and others v Chase Manhattan Bank and others: HL 20 Feb 2003
The applicant had been granted bail by a High Court judge when he was given leave to apply for judicial review of the decision refusing him leave to enter the United Kingdom. His application for judicial review was subsequently dismissed and the judge, considering that he had no further jurisdiction in the matter, refused bail … Continue reading Regina v Secretary of State for the Home Department, Ex parte Turkoglu: CA 1987
Reference to Parliamentary Papers behind Statute The inspector sought to tax the benefits in kind received by teachers at a private school in having their children educated at the school for free. Having agreed this was a taxable emolument, it was argued as to whether the taxable benefit was the cost to the employer, or … Continue reading Pepper (Inspector of Taxes) v Hart: HL 26 Nov 1992
No Waiver for disclosure of Advice EAT PRACTICE AND PROCEDURE: Admissibility of evidence The claimant sought disclosure of certain legal advice on the basis that its effect, and a summary of its contents, had been put before the court and therefore privilege was waived. The Tribunal rejected the application and the EAT held that they … Continue reading Brennan and others v Sunderland City Council Unison GMB: EAT 16 Dec 2008
The appeal concerned a final third party debt order (formerly a garnishee order). A judgment in France was registered here for enforcement. That jurisdiction was now challenged. Held: A third party debt order is a proprietary remedy operating by attachment against the property of the judgment debtor. The property so attached is the chose in … Continue reading Societe Eram Shipping Company Limited and others v Hong Kong and Shanghai Banking Corp Ltd, Compagnie Internationale de Navigation: HL 12 Jun 2003
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
Rehearing/Review – Little Difference on Appeal The appellant asked the Court to reverse a decision on the facts reached in the lower court. Held: The appeal failed (Majority decision). The court’s approach should be the same whether the case was dealt with as a rehearing or as a review. Tanfern was limited to appeals from … Continue reading Assicurazioni Generali Spa v Arab Insurance Group (BSC): CA 13 Nov 2002
The taxpayers sold their shares in return for loan notes in the form of mixed qualifying (QCB) and non qualifying corporate bonds (Non-QCB) within section 115 of the 1992 Act. Gains on the disposal of QCB would be exempt from CGT. These were then converted to QCBs. The court was asked as to their chargeability … Continue reading Hancock and Another v Revenue and Customs: SC 22 May 2019
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
(Bahamas) A company, Fisher agreed to buy land with part of the purchase price to be paid by a fixed date and the balance secured by a mortgage to the vendor. A conveyance and a mortgage were duly executed and held in escrow pending payment of the agreed proportion of the price. Fisher failed to … Continue reading Security Trust Co v The Royal Bank of Canada: PC 1 Dec 1975
The claimants wanted to bring actions in respect of various matters under shareholders agreements in complex international joint ventures. Leave was given to serve English proceedings in Malta, and the claim form and particulars of claim were faxed and emailed and delivered by hand at the registered offices of the company and at the private … Continue reading BAS Capital Funding Corporation, Deutsche Bank Ag London, Paine Webber Capital Inc, PW Exe Lp, Pw Partners 1999 Lp v Medfinco Limited, Abacus Holdings Limited, Andreas W Gerdes, HTC Inc, etc: ChD 25 Jul 2003
The court was asked whether the appellant, Airtours Holidays Transport Ltd (formerly MyTravel Group plc), was entitled to recover, by way of input tax VAT charged by PricewaterhouseCoopers LLP in respect of services provided by PwC and paid for by Airtours. Held: The appeal was dismissed (Clarke and Carnwath LL dissenting) For the VAT to … Continue reading Airtours Holidays Transport Ltd v Revenue and Customs: SC 11 May 2016
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
A stay was sought against a bank which had financed a contract and was supporting litigation arising out of it. Held: Although the liability in crime and tort had been abolished, Section 14(2) of the 1967 Act preserved the law as to the cases in which a contract is to be treated as contrary to … Continue reading Trendtex Trading Corporation v Credit Suisse: CA 1980
The former bankrupt resisted sale of his property by the trustee, saying that enforcement was barred by limitation. He and his wife bought the property in early 1988, and he was made bankrupt in October 1988. He was dischaged from bankruptcy in October 1991. In December 1990 the court answered an application for the sale … Continue reading Gotham v Doodes: CA 25 Jul 2006
The taxpayer challenged rejection of his claim for a loss relief arising from a ‘relevant discounted security’ within the meaning of Schedule 13 to the Finance Act 1996. Held: It would only be such if, taking the security as at the time of its issue, the amount payable on maturity, or on any redemption before … Continue reading Pike v HM Revenue and Customs: CA 20 Jun 2014
