The company, now in liquidation sought to claim for the alledged misapplication by former directors of its funds in 2007. It now appealed against a summary rejection of its claim as time barred.
Held: The appeal succeeded. Section 21(1)(b) provides that no period of limitation prescribed by the Act applies to an action by a beneficiary under a trust ‘to recover from the trustee trust property or the proceeds of trust property in the possession of the trustee, or previously received by the trustee and converted to his use.’ That was to be taken not to be restricted to the personal receiot by the defendant but should include sums paid into a third party company to achieve a similar effect.
Arden , Tomlinson , David Richards LJJ
[2016] EWCA Civ 557, [2016] WLR(D) 313
Bailii, WLRD
Limitation Act 1980 21, Companies Act 1985 263
England and Wales
Citing:
Appeal from – Burnden Holdings (UK) Ltd v Fielding and Another ChD 5-Sep-2014
The company sought to recover from the defendants, two former directors.
Held: The claim was statute barred.
Hodge QC dealt with the claimant’s reliance on section 32: ‘That leaves the claimant’s reliance upon section 32. There the . .
Approved – In re Pantone 485 Ltd ChD 29-Nov-2001
The respondent Bain was a director of a number of connected companies, including Smarturgent and Pantone, both of which he indirectly controlled. The liquidator of both companies brought proceedings against Bain on a number of claims for breach of . .
Cited – Cave v Robinson Jarvis and Rolf (a Firm) HL 25-Apr-2002
An action for negligence against a solicitor was defended by saying that the claim was out of time. The claimant responded that the solicitor had not told him of the circumstances which would lead to the claim, and that deliberate concealment should . .
Cited – Jetivia Sa and Another v Bilta (UK) Ltd and Others SC 22-Apr-2015
The liquidators of Bilta had brought proceedings against former directors and the appellant alleging that they were party to an unlawful means conspiracy which had damaged the company by engaging in a carousel fraud with carbon credits. On the . .
Cited – JD Wetherspoon Plc v Van De Berg and Co Ltd and others ChD 4-May-2007
Lewison J summarised the approach to be taken by courts hearing an application by defendants to strike out claims: ‘Both the application to strike out and the application for summary judgment are summary applications. The application for summary . .
Lists of cited by and citing cases may be incomplete.
Company, Limitation, Trusts
Updated: 01 November 2021; Ref: scu.565725
