A bankrupt builder had been unable to fulfil and had abandoned his outstanding contracts. The receiver took them over and completed and earned monies under them which would not otherwise have been received.
Held: The possibility of claiming for consequential damage to a company’s business or to particular contractual commitments may, on ordinary principles of causation and mitigation, be attributable factually to acts of trespass and conversion committed by invalidly appointed receivers: but not in this case.
Judges:
Lord Hanworth MR, Lawrence and Romer LJJ
Citations:
[1934] 1 Ch 1
Jurisdiction:
England and Wales
Cited by:
Cited – OBG Ltd OBG (Plant and Transport Hire) Ltd v Raymond International Ltd; OBG Ltd v Allen CA 9-Feb-2005
The defendants had wrongfully appointed receivers of the claimant, who then came into the business and terminated contracts undertaken by the business. The claimant asserted that their actions amounted to a wrongful interference in their contracts . .
Lists of cited by and citing cases may be incomplete.
Torts – Other, Insolvency
Updated: 30 April 2022; Ref: scu.222998
