Jurisdiction(s):
United Kingdom

ADM v Grain House: Court of Appeal (England and Wales) on contempt: market value (not equity) disclosure under ADO/WFO, ambiguity rule, directors’ personal liability; CPR 81 unaffected; penalties reduced

Published on: 14 February 2024

Published by a LexisNexis Dispute Resolution expert

Legal News

Article summary

Court of Appeal reviews developments in matter with multiple contempt findings (ADM International v Grain House International and another) ADM International SARL v Grain House International, Elhachimi Boutgueray [2024] EWCA Civ 33

What are the practical implications of this case?

Although Lord Justice Popplewell’s conclusions on Contempts 1, 2 and 4 mostly restated orthodox propositions of English law, his treatment of the evolution of the principles underpinning Contempts 3 and 5 is notably thorough and particularly careful. As to Cockerill J’s determination that the appellants ought to have revealed the equity in the company’s properties (and on that issue alone), Popplewell LJ held that the judge fell into legal error. Where an Asset Disclosure Order, or comparable order, is unclear as to whether it concerns a property’s market value or its equity, the default assumption should be that it addresses market value. Popplewell LJ further approved the Redwing Ltd v Redwing Forest Products Ltd (1947) 64 RPC 67 line of authority (not reported by LexisNexis®UK), confirming that a defendant cannot be fixed with breach of a court order where its terms are unclear and reasonably open to more than one meaning...

To view the latest version of this document and thousands of others like it, sign-in with LexisNexis or register for a free trial.

Popular documents

Using the Judicial College Guidelines to assess general damages in personal injury claims

When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...

Tomlin orders in England and Wales: CPR guidance on drafting, confidentiality, approval, variation, enforcement, limitation, CCA issues, court-specific requirements, sample wording and precedents

This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...

Precedent: Deed of Surrender of Lease with Optional Premium, Settlement and Release, Landlord, Mortgagee and Guarantor Consents, Reimbursement and HM Land Registry Provisions (England and Wales)

Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

Precedent Statutory Declaration: Standard Wording under the Statutory Declarations Act 1835

I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...