Legal News

In this issue: Members Equity capital markets Environmental, social and governance issues Directors and company secretaries Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Members HM Treasury establishes Dematerialisation Market Action Taskforce to reform UK shareholding framework HM Treasury ( HMT) has set up the Dematerialisation Market Action Taskforce ( DEMAT), led by Mark Austin CBE, to drive changes to the UK shareholding model, acting on the Digitisation Taskforce’s final report of 15 July 2025. HMT has endorsed a three-step plan to abolish paper share certificates for listed companies and move to a wholly intermediated ownership model. Step 1 will swap certificated registers for digitised registers by the end of 2027. Step 2 will enhance the intermediated framework during the present Parliamentary term, and Step 3 will migrate all...

In this issue: Data protection New technologies Internet Media Advertising, marketing and sponsorship Lex Talk®TMT: a Lexis®Nexis community Daily and weekly news alerts New and updated content Dates for your diary Trackers Useful information Data protection ICO wins UT appeal on Clearview AI jurisdiction under UK GDPR The UK Upper Tribunal ( UT) has allowed the Information Commissioner’s Office ( ICO) appeal against the First-tier Tribunal ( FTT) in the Clearview AI Inc matter. The US-based firm was fined £7.5m in 2022 for unlawfully harvesting images of UK residents from the web and deploying them in a facial recognition database. Upholding three of the ICO’s four grounds, the UT decided Clearview’s handling of personal data amounts to monitoring UK residents’ behaviour and is therefore caught by UK data protection law, irrespective of the company’s overseas location or clientele. It further found the FTT erred in law in deciding the processing fell outside the material scope of Article...

Original news Mr T ( CAS-76722- Z3Z9)—19 June 2025 Summary The Deputy Pensions Ombudsman upheld a grievance concerning a retained firefighter’s right to move all pensionable service into a newer, more generous arrangement created after a court ruled retained firefighters had been discriminated against. Taking a pragmatic stance, the Deputy Pensions Ombudsman construed a rule, brought in via secondary legislation, that permits the transfer of pensionable service. That secondary instrument, which implemented the provisions, should be read, so far as achievable, to realise the legislative purpose of eliminating the discrimination faced by retained firefighters. The decision illustrates how the Pensions Ombudsman will approach statutory interpretation. What were the facts? Retained firefighters were initially barred from joining the principal Firefighters’ Pension Scheme 1992 (the 1992 Scheme). After a legal challenge, this exclusion was held to be discriminatory towards part‑time staff. Consequently, the New...

Alaska Airlines Inc v Virgin Aviation TM Ltd and another company [2025] EWHC 2505 ( Comm) What are the practical implications of this case? The principal outcomes of Mr Justice Foxton’s analysis can be stated as follows: Where an unjust enrichment claim founded on failure of basis is invoked to stop payment of a contractual amount, the correct characterisation is that this engages the defence of circuity of action (para [49]). In that scenario, circuity of action does not mean the debt is never due; rather, it supplies a defence to liability. A broadly drafted no set off clause captures such a defence, so summary judgment can be granted (para [52]). To reach those conclusions, Foxton J reviewed a range of authorities in which no set off provisions were relied upon (see especially para [47]), and he also considered and clarified other...

On 9 October 2025, the High Court approved Paddington’s request against KAF International. Speaking to Law360 on 10 October 2025, Jim Dennis, an intellectual property disputes solicitor at Simkins LLP, commented on the decision, saying the bear’s owners had 'decided enough was enough' while preparing to launch a West End musical in November 2025......

Market studies CMA unveils provisional decision on veterinary services for household pets market inquiry; finds the market is underperforming and sets out a major reform package The CMA has issued its provisional decision arising from its market investigation into the provision of veterinary services for household pets. Background On 23 May 2024, the CMA resolved to make a market investigation reference, under section 131 of the Enterprise Act 2002, concerning the supply of veterinary services for household pets in the UK, including the supply of prescribed veterinary medicines for those pets. On 9 July 2024, the CMA released its issues statement identifying six principal theories of harm that underpin the investigation into veterinary services for household pets. These included worries that pet owners lack adequate information to select suitable veterinary practices or treatments, that consolidation has concentrated local markets, and that large integrated groups may behave in ways that...

Q& A with Law360: Rekha Cooke on FCA senior manager reforms Kennedys partner Rekha Cooke sets out where the FCA’s changes to the senior manager regime will heighten pressure on the sector, as well as the advantages. Cooke specialises in high‑value disputes and regulatory investigations in financial services. She cautions that blind spots could emerge in which poor behaviour by senior leaders prospers—placing the onus on firms to take action now. Cooke also highlights consequences for the FCA’s enforcement processes, where other reforms are progressing. The overhauled regime will only function if regulated firms do their part. She urges financial institutions to strengthen record‑keeping and to review governance and investigations procedures. As a final pointer, she singles out a sector where senior managers are especially exposed to early FCA scrutiny. Do the FCA's reforms of the senior managers regime risk increasing poor...

Investment and Securities Trust Ltd v HMRC [2025] UKUT 331 ( TCC) In broad terms, the higher SDLT rate is engaged when a company buys a high‑value interest in residential property. That charge is switched off if the company acquires the interest solely for the purposes of its property development trade. Likewise, relief from ATED—the annual levy on companies that own high‑value dwellings—can be claimed for each day the company holds the interest exclusively for its property development trade. A helpful contrast emerges: SDLT is a one‑off impost, and entitlement to relief turns on the reason for the acquisition; ATED recurs annually, and relief depends on the purpose for which the property is held. As will become apparent, these distinctions mattered in this case. The taxpayer company had two directors and shareholders: an individual, L, and her son, M. L owned a house in St...

Antitrust Commission fines Gucci, Chloé, and Loewe €157m for RPM The Commission adopted decisions finding that Gucci, Chloé, and Loewe contravened Article 101 TFEU by operating resale price maintenance across the EEA ( AT.40840, AT.40880, AT.40881). It levied penalties of €157.4m on the three fashion houses. The Commission determined that, between 2015 and 2023, the brands limited their independent retailers’ ability to set resale prices for luxury fashion products, both online and offline......

Dialog Semiconductor Ltd v HMRC [2025] UKFTT 1188 ( TC) The appellant sought to purchase Atmel, a US microchip manufacturer, and the parties signed a merger agreement. Under that deal, Atmel was barred from inviting competing bids; however, where an unsolicited superior proposal arose, it could terminate by paying a US$137m termination fee, subject to the appellant’s right to match. In due course, a better bid materialised and Atmel ended the agreement and paid the fee. Following an enquiry, HMRC issued a closure notice assessing the fee to corporation tax as a chargeable gain under section 22 of the Taxation of Chargeable Gains Act 1992 ( TCGA 1992), on the basis it was a capital sum derived from an asset. The notice was appealed. It was agreed in advance of the hearing that the FTT would address only whether the fee came within s...

The European Commission (the Commission) has, for the first time, sent informal guidance letters relying on its updated 2022 Notice on Informal Guidance (the 2022 notice). The letters examine how sustainability principles apply to co-operation arrangements in the transport industry. Beyond being the inaugural letters issued under the previously little-used 2022 notice, the APM comfort letter is also the first occasion on which the Commission has applied the 2023 revised Guidelines on Horizontal Co-operation Agreements (the 2023 guidelines) to a sustainability initiative. Sustainability agreements are described as 'any horizontal co-operation agreement that pursues a sustainability objective, irrespective of the form of the co-operation'. The 2023 guidelines openly permit sustainability agreements that may raise competition issues provided they deliver verifiable efficiency gains, are necessary to secure those efficiencies, confer benefits on consumers, and do not eliminate...

Antitrust General Court dismisses Red Bull’s action against the Commission’s decision to carry out dawn raids The General Court has delivered its judgment in Case T-306/23, Red Bull and Others v Commission, concerning a challenge to the Commission’s decision of 8 March 2023 authorising inspections at Red Bull’s premises in several EU Member States (the Commission’s 2023 decision). The Court rejected the action in full. Background On 21 March 2023, the Commission announced that, on 20 March 2023, it had carried out unannounced inspections at the premises of a company operating in the energy drinks sector, including Red Bull, across multiple EU Member States. Red Bull’s sites in a number of Member States were among those subject to these dawn raids. On 30 May 2023, an action was lodged against the Commission’s 2023 decision on the basis that the allegations it contained were manifestly...

R ( D1914 and AAA) v Secretary of State for the Home Department ( Speaker of The House of Commons, intervening); R ( AVY) v Secretary of State for the Home Department ( Speaker of The House of Commons, intervening) [2025] EWHC 1853 ( Admin) What are the practical implications of this case? This ruling clarifies the limits on the Administrative Court and on claimants seeking to contest the implementation of recommendations arising from a statutory inquiry. It confirms that the constitutional separation of powers prevents the High Court from serving as a ‘second inquiry’ to assess the sufficiency of governmental responses to statutory inquiries. The judgment also sets out clear practice points for judicial review challenges concerning immigration detainees: Standing is crucial: there must be a direct link to the particular facility under challenge—here, Brook House—and general detention elsewhere in the...

See Q& A A client has been given money by his aunt as a gift. His brother has been given an identical sum. The brothers have decided to reserve the money for her care should it be needed, and they have prepared a Deed to record that understanding. Do the provisions of the Deed take precedence over their Wills (which leave their respective estates to their wives)?......

Corporate Rescue and Insolvency Find the newest issue of Corporate Rescue and Insolvency ( October 2025) now available via Lexis +® UK (subscription required)......

Flood Re Flood Re, a state-supported reinsurance programme enabling insurers to provide reasonably priced household cover to customers in locations at high flood risk, pressed Whitehall and the wider insurance market to make property flood resilience commonplace across the UK. The scheme said straightforward steps, including fitting flood doors and elevating electrical systems, could significantly cut yearly flood losses by as much as £740m. Water-resistant finishes and detachable kitchens may further bolster protection for homes at risk. Focusing on the most frequently struck properties could still produce £238m in annual savings, the organisation noted in its call. Kelly Ostler- Coyle, director of corporate affairs at Flood Re......

Mainpay Ltd v HMRC [2025] EWCA Civ 1290 Mainpay operated as an umbrella employer, engaging temporary staff and providing their services to end clients. Each engagement was classified as a temporary workplace, with workers’ expenses reimbursed gross. HMRC issued assessments on the footing that each separate assignment amounted to a permanent workplace, so payroll taxes ought to have been deducted from the expense payments. The arrangements pre-dated the avoidance provisions for intermediaries under section 339A of the Income Tax ( Earnings and Pensions) Act 2003 ( ITEPA 2003). The First-tier Tax Tribunal ( FTT) and the Upper Tribunal ( UT) both dismissed Mainpay’s submissions and upheld HMRC’s assessments. Mainpay appealed to the Court of Appeal, arguing that the tax tribunals had applied the wrong legal test. It contended that, because a worker’s service was carried out under a single contract, there existed one...

Hippodrome Casino Ltd v HMRC [2025] EWCA Civ 1259 Under the core partial exemption rules, VAT on general overheads that cannot be directly linked to particular taxable or exempt outputs must be split to identify the recoverable element, in practice for VAT recovery purposes across the business as a whole overall ultimately. The default basis for this split is the standard method, essentially an apportionment by turnover. At times the standard method fails to give a just outcome that mirrors the actual consumption of costs. Where the standard method’s outcome departs markedly from a fair, 'use'-based result, the standard method override ( SMO) may apply. The appellant, Hippodrome, ran an entertainment complex designed to deliver a ' Las Vegas style experience'. The site extended across five floors and included spaces for live gaming, gaming machines, bars, a restaurant, lounges, conference facilities and a...

AIFMD 2 AIFMD 2 signals a decisive turn for EU private credit funds, unveiling a harmonised regime for AIFMs of loan-originating AIFs that replaces disparate national rules with clear, consistent standards to ensure a level playing field. For private credit managers, it enables the structuring of both open-ended evergreen and closed-ended direct lending AIFs across the EEA, with aligned requirements on governance, risk, liquidity, and investor protection overall......

A House of Lords committee has urged sweeping, urgent changes to the Child Maintenance Service ( CMS), targeting obsolete calculations, slow enforcement, and seriously inadequate protection for victims of domestic abuse. Issued on 14 October 2025 as the Public Services Committee’s third report of the 2024–26 session, it flags measures already timetabled for 2025–26, including new enforcement powers and a consultation on a comprehensive review of how maintenance is calculated. The report also summarises how the system currently operates, offers concise analysis of the difficulties experienced by service users, and presents a digest of ministerial announcements on proposed changes and improvements. This News Analysis explores what might happen when, and the issues practitioners need to watch for. How and when will enforcement of maintenance debts change? By the end of 2025, the Department for Work and Pensions ( DWP) plans to introduce legislation to implement...