Legal News

See Q& A: A and B are beneficiaries under a Will, and B holds a life interest in a property. A now wishes to sell the property and split the net sale proceeds equally with B. How can A bring B’s life interest trust to an end? B has learning difficulties. It is understood the Will directs that certain assets are to be held on trust for B (the sister) for life, with the remainder to pass to A (the client). Where every beneficiary of a trust is of full age and has mental capacity, they can jointly require the trust to be terminated and the assets transferred to them accordingly......

What does the report reveal about the extent of the PFAS contamination problem in England and the economic burden of remediating these sites? The Jacobs assessment indicates there are between 2,900 and 10,200 high-risk PFAS locations throughout England, covering as much as 672,000,000m2 in total. ‘ High-risk’ encompasses: airports; military bases; fire stations; landfills; wastewater treatment plants chemical sites; oil and gas facilities; nuclear sites; metal plating pulp and paper manufacturing sites; and ‘ TULAC’—textiles, upholstery, leather, apparel and carpets The true count of PFAS-affected places is expected to be considerably larger. Other sectors are treated as ‘presumed PFAS’ sources, including: automotive; electronics; waxes; paints and inks; plastics cleaning products; cosmetics; and sewage sludge applied to land Jacobs estimated that remediation per high-risk site could vary from £400,000 up to £29bn, with a weighted average of about £9m. They further judged that total...

Antitrust General Court dismisses appeal against re-adopted fine for non-compete agreement The General Court has delivered its judgment in Case T-181/22, Pharol v Commission, on an appeal against the Commission’s re-adopted Article 101 TFEU decision concerning a non-compete arrangement between Telefónica and Portugal Telecom (now Pharol) affecting the Iberian telecommunications market ( AT.39839). The General Court rejected the appeal in its entirety and maintained the revised fine. Background In 2010, Telefónica and Portugal Telecom—later renamed Pharol—concluded an agreement for Telefónica to purchase Pharol’s shareholding in the Brazilian mobile operator Vivo. The contract included a non-compete clause that prevented both companies from competing with one another in the Iberian telecommunications markets until 2011. In 2013, the Commission adopted an infringement decision, finding that the non-compete breached Article 101 TFEU. It imposed fines of €66.9m on Telefónica and €12.3m on Pharol (the Commission’s 2013...

According to a statement from the EU’s highest court, applications for preliminary rulings will continue to be lodged with the European Court of Justice, which will first examine the subject matter of each case. Once that review is complete, any request found to fall solely within one or more defined fields now overseen by the General Court will be redirected to that tribunal there......

ABPI is the UK’s largest trade association for the pharmaceutical sector in the UK. Its members must adhere to the ABPI Code of Practice for the Pharmaceutical Industry ( ABPI Code), which is enforced by the PMCPA in the UK. The Code sets detailed requirements on advertising of prescription-only medicines, interactions between pharmaceutical companies and the healthcare sector, and public disclosure of transfers of value in the UK. These provisions aim to secure compliance with UK medicines advertising and anti-bribery laws. Although only ABPI members are obliged to comply with the ABPI Code, many non-members voluntarily choose to follow it, as it is viewed as the gold standard for compliance in the sector. A new 2024 edition of the ABPI Code was introduced on 1 October 2024 and will replace the 2021 edition from 1 January 2025 after a short...

The policy statement set out the definitive rules and guidance to deliver the OFR, intended to streamline the ability to market certain investment funds formed outside the UK in the UK, including to retail clients. While the FCA handbook rules and guidance largely reflect the proposals in consultation paper 23/26, several notable changes have been introduced: removing the proposed 30-day interval between notifying the FCA of changes to OFR funds and the point at which those changes could take effect in the UK; and clarifying when the FCA should be informed about alterations to a fund's fundamental characteristics. This article explores the amendments, how the OFR will be rolled out, and what fund operators and their legal advisers should be doing now to meet the regime. Background Given Brexit ended so-called fund passporting rights, the FCA established a transitional arrangement allowing previously...

Mueen- Uddin v Secretary of State [2024] UKSC 21 What are the practical implications of this case? This decision establishes that a claim intended to impugn a conviction imposed by courts in different jurisdictions is not automatically an abuse. To decide whether such a claim constitutes a Hunter abuse of process, practitioners should examine closely the procedures of the convicting court to see whether the claimant’s right to a fair trial was respected; the focus is on procedural fairness rather than the mere fact of conviction. As the Court put it, the question is whether the claimant truly had the opportunity to contest the conviction in full and effectively. A further implication is that, when considering a Jameel abuse of process, practitioners should move away from a simple costs-versus-damages comparison, not merely a balance of expense and award, and instead consider whether the...

High Court judge Christopher Butcher is poised to decide whether the aircraft stranded in Russia after sanctions followed the invasion of Ukraine in February 2022 should be treated as ‘lost’ or whether, at least in principle, they might ultimately be returned. “ The court’s answer on this issue will provide helpful guidance for other cases where an undamaged asset has been improperly kept and there remains a chance the assets will come back,” said Chris Neilson, a partner at Mishcon de Reya LLP. Aer Cap Holdings NV, the world’s largest commercial aircraft lessor, and others are pursuing recoveries from insurers including AIG and Lloyd’s of London. The owners say they were compelled to cancel their leases and have been left out of pocket while many of their jets remain in Russia and continue to be flown by Russian carriers. The lessors argue they bought valid...

Antitrust CMA publishes warning and advisory letter maps The CMA has published maps pinpointing where across the UK the 557 warning and advisory letters on competition law were sent between 1 January 2018 and 31 December 2023. Where it has indications that particular business practices could harm competition, but decides not to commence a formal investigation on grounds of priority, the CMA may issue advisory or warning letters to businesses. These communications flag concerns that recipients might be breaching competition rules and encourage them to comply. Receiving such a warning or advisory letter does not, by itself, show that competition law has been broken. The letters set out the CMA’s worries about specified practices and recommend that the business conducts a self‑assessment to ensure compliance with competition law. A warning letter will also ask the business to write to the CMA with details of what it has...

In its High Court defence dated 18 September 2024, Lloyd’s Insurance Company SA said Oceanus Capital SARL knew the war risks policy issued for its underwriters would not respond to any loss or damage while the vessel operated beyond the stated navigation limits. Lloyd’s contended the proximate cause of Oceanus Capital’s loss was its inability to recover under additional war risk cover the ship’s managers claimed to have arranged, which in fact was a forgery. It further maintained that loss arising from forgery was excluded under a separate mortgagee interest insurance taken out by Oceanus Capital to protect the wealth adviser’s interest in a cargo ship pledged as security for a loan facility. Lloyd’s wrote that underwriters are not liable to pay any sums to the mortgagee, and that the mortgagee is not entitled to any relief against...

What is the background to the PPF's consultation on the 2025/26 levy rules? The PPF has opened its consultation on the levy framework for the 2025/26 financial year. This exercise builds on feedback and requests from stakeholders during the main 2024/25 consultation, after which the PPF set a record low levy of £100m — a level it now proposes to keep for a further year, with the same £100m figure proposed for 2025/26. In its consultation paper, the PPF indicates that its financial resilience has reached a point where, absent legislative limits, the Board would anticipate moving to a zero levy, with any charge only reintroduced if a material challenge to its funding position emerged. For the moment, plans to keep reducing, or potentially remove, the levy are constrained by a provision in the Pensions Act 2004. That provision prevents the levy estimate from rising by more than 25%...

Law360: The Irish government plans to channel the €14.1bn in corporate taxes owed by Apple Inc, arising from an ECJ decision that Ireland offered unlawful state aid, into infrastructure, officials said on Tuesday while unveiling next year’s budget. The 10 September ECJ judgment created a substantial back‑tax bill, according to the minister for public expenditure, Paschal Donohoe, in remarks to lawmakers. Finance minister Jack Chambers told the parliament that €3bn will be released immediately for infrastructure schemes as the government starts a consultation on deploying the remainder, naming housing, energy, water and transport as chief priorities. ‘ The recent judgment from the Court of Justice of the European Union has delivered a one‑off revenue stream with the potential to be transformative,’ Chambers said. ‘ It is essential that this income is not used for routine spending or to narrow the tax base.’ The ruling...

In September 2024, the Office of Financial Sanctions Implementation ( OFSI) issued a £15,000 fine to a concierge and management firm that processed property transactions connected to a designated individual — the first instance of the regulator penalising a company for a Russia sanctions breach. Many observers and commentators thought OFSI would treat this watershed sanction as a warning shot to head off future violations. However, the authority has used the case to spotlight compliance lessons arising from Integral Concierge Service’s missteps. “ The core message that businesses should take sanctions seriously and install measures to curb their risks is indeed sound, and penalties are needed to keep that message current,” said John Binns, a partner at BCL Solicitors. OFSI’s tone is practical, notable from a regulator whose perceived lack of zeal for enforcement has prompted criticism of its appetite for...

What were the key findings of the report? The report portrays the threat landscape as largely unchanged from 2020, emphasising the significant similarity, in particular, with the previous assessment over the period reviewed. It highlights how people with legitimate positions and duties across parts of the food chain can use insider knowledge to exploit system weaknesses, both to carry out and to conceal food offences. It further observes that some who commit food crime are also engaged in other criminality, including drugs and violence. Ongoing risks to the UK food supply chain are attributed to illicit activity abroad as well as wrongdoing within the UK. Since 2020, fresh themes have surfaced, including: economic pressures affecting businesses and consumers alike supply chain disruption linked to global events changes to food importation practices local authority resourcing issues shifts in understanding of food criminal profiles, activity and networks......

Court of Appeal Justices Julian Flaux, Guy Newey and Andrew Popplewell Appeal Court judges Julian Flaux, Guy Newey and Andrew Popplewell unanimously affirmed a lower court’s decision that an outbreak of infectious disease amounts to a catastrophe under the policy wording, calling the analysis of the reinsurance policy terms ‘plainly correct’. Unipol Sai Assicurazioni Sp A, or Unipol, had tried to overturn High Court Judge David Foxton’s February 2024 ruling that the pandemic could fit the definition of catastrophe in the business interruption reinsurance policies between Covéa and Unipol, despite the reinsurer arguing that a catastrophe must be sudden, violent, and cause physical damage to a building. Lord Justice Flaux said Judge Foxton had rightly relied on two dictionary definitions of ‘catastrophe’, noting that Unipol’s reinsurance policy with Covéa did not include a definition of the term, and that neither dictionary entry...

Mergers The Commission approved the takeover of Lombard International Assurance Holdings S.à.r.l....

Consult Practice Note: Structural considerations...

AXA XL, Talbot, HDI Global and IQUW, in a defence dated 13 September 2024, denied claims brought by the Irish subsidiaries of Aircastle Ltd, a US commercial jet lessor, asserting there remains a credible chance the aircraft will be returned. From the insurers' standpoint, there has been no loss of, or damage to, the aircraft, they say in their defence. Further, or in the alternative, they contend any relevant loss arose from the claimants' refusal and/or failure to enter into insurance settlements. The lessors stated in June 2023 that they had been unable to recover two Boeing 747 freighters that were on lease to Air Bridge Cargo Airlines LLC when Russia invaded Ukraine in February 2022. They said they had repeatedly asked Air Bridge Cargo to return the aircraft to a location outside Russia, yet have only succeeded in...

The appeals court held that Spain’s consent to the Energy Charter Treaty ( ECT) empowers federal courts with jurisdiction to recognise and enforce the awards, observing there were compelling reasons to conclude that the ECT’s standing consent to arbitration extends to EU nationals. The panel’s determination was decoupled from the arbitral rules applicable to the three awards addressed in the consolidated appeal, each granted to European renewable energy investors. Still, those procedural frameworks may assume greater significance when federal courts decide whether the awards should, in the end, be enforced. Two of the awards were rendered by tribunals convened under the aegis of the International Centre for Settlement of Investment Disputes ( ICSID), a Washington, DC-based arm of the World Bank. The third, by contrast, emanated from a tribunal constituted pursuant to the arbitration rules of the United Nations Commission on...

Antitrust The CMA has revised the schedule for its continuing investigation into the Atlantic Joint Business Agreement involving American Airlines, the International Consolidated Airlines group ( British Airways, Iberia and Aer Lingus), and Finnair, pursuant to Chapter I of the Competition Act 1998......