The plaintiff sought rescission of a contract for the purchase of shares, but failed because the contract had been entered into with the sole object of rigging the market by inducing the public to believe that there was a real market for the shares and that they were at a premium. The intention was not to make use of the shares in an unlawful way but to make use of the share contract to defraud the public.
Held: The plaintiff was found to have created a false market in shares by his false and fictitious acts.
Citations:
[1892] 2 QB 724
Jurisdiction:
England and Wales
Cited by:
Cited – 21st Century Logistic Solutions Limited (In Liquidation) v Madysen Limited QBD 17-Feb-2004
The vendor sold computers to the defendant, intending not to account to the commissioners for the VAT. The seller went into liquidation, and the liquidator sought payment. The purchaser had been unaware of the intended fraud and resisted payment. . .
Cited – Norris v United States of America and others HL 12-Mar-2008
The detainee appealed an order for extradition to the USA, saying that the offence (price-fixing) was not one known to English common law. The USA sought his extradition under the provisions of the Sherman Act.
Held: It was not, and it would . .
Lists of cited by and citing cases may be incomplete.
Contract
Updated: 07 December 2022; Ref: scu.194059
