Index card Burnden Holdings (UK) Ltd v Fielding

Hearings

15 May 2014 [2014] EWHC 1908 (Ch), Ch D (Norris V-C)

18 Nov 2014 [2014] EWHC 4263 (Ch), Ch D (Judge Hodge QC)

17 Jun 2016 [2016] EWCA Civ 557; [2017] 1 WLR 39; [2016] WLR (D) 313; [2016] CP Rep 41, CA

31 Jan 2017 (appn all) [2017] 1 WLR 1209, SC(E)

28 Jul 2017 [2017] EWHC 2118 (Ch); [2017] WLR (D) 578, Ch D (Judge Hodge QC)

28 Feb 2018 [2018] UKSC 14; [2018] AC 857; [2018] 2 WLR 885; [2018] 2 All ER 1083; [2018] 2 BCLC 311; [2018] WLR (D) 130; Case details, SC(E) (Lord Kerr of Tonaghmore, Lord Sumption, Lord Carnwath, Lord Lloyd-Jones, Lord Briggs JJSC)

Subject Matter

LIMITATION OF ACTION — Fraudulent breach of trust — Trust property not received by defendants — Company directors authorising distribution in specie of company’s shareholding in subsidiary company — Company bringing proceedings against directors alleging breach of fiduciary and statutory duties — Defendants obtaining summary judgment on basis claim statute-barred — Whether period of limitation applying where trust property not received by defendants — Whether suitable for summary judgment — Limitation Act 1980 (c 58), ss 21(1)(b), 32(1)(b)

[2016] EWCA Civ 557; [2017] 1 WLR 39; [2016] WLR (D) 313; [2016] CP Rep 41, CA

COMPANY — Director — Personal liability — Directors allegedly making distribution knowing company to be insolvent — Directors seeking relief from liability on ground they acted honestly and reasonably — Whether rule against granting relief at creditors’ expense — Companies Act 2006 (c 46), s 1157

[2017] EWHC 2118 (Ch); [2017] WLR (D) 578, Ch D

LIMITATION OF ACTION — Recovery of trust property — Trust property misappropriated by trustee — Defendant directors of claimant company authorising distribution in specie of company’s shareholding in subsidiary company — Shareholding in subsidiary passing to newly formed company also controlled by defendants — Defendants later selling large shareholding in new company — Claim that distribution made in breach of fiduciary duty and thereafter converted to directors’ own use — Defendants seeking summary judgment on basis claim statute-barred — Whether claimant entitled to rely on statutory exception disapplying limitation period for recovery of trust property in possession of “trustee” or converted to own use by same — Whether company director “trustee” — Whether statutory exception applicable where misappropriated property having remained legally and beneficially owned by corporate vehicles throughout — Whether suitable for summary judgment — Limitation Act 1980 (c 58), s 21(1)(b)

[2018] UKSC 14; [2018] AC 857; [2018] 2 WLR 885; [2018] 2 All ER 1083; [2018] 2 BCLC 311; [2018] WLR (D) 130; Case details, SC(E)

Appellate History

Burnden Holdings (UK) Ltd v Fielding [2014] EWHC 4263 (Ch), Ch D

Decision of Judge Hodge QC sitting as a judge of the Chancery Division reversed

Burnden Holdings (UK) Ltd v Fielding [2016] EWCA Civ 557; [2017] 1 WLR 39; [2016] WLR (D) 313; [2016] CP Rep 41, CA

Decision of the Court of Appeal affirmed on partly different grounds

Burnden Holdings (UK) Ltd v Fielding [2018] UKSC 14; [2018] AC 857; [2018] 2 WLR 885; [2018] 2 All ER 1083; [2018] 2 BCLC 311; [2018] WLR (D) 130; Case details, SC(E)

Legislation Considered

Statutes

Companies Act 2006 (c 46), s 1157

Limitation Act 1980 (c 58), ss 21(1)(b), 32(1)(b)

Words & Phrases

"Trustee" — Limitation Act 1980, s 21

Cases Cited

Cases cited in: Burnden Holdings (UK) Ltd v Fielding [2016] EWCA Civ 557; [2017] 1 WLR 39; [2016] WLR (D) 313; [2016] CP Rep 41, CA

Allen v Gold Reefs of West Africa Ltd [1900] 1 Ch 656, CA

Armitage v Nurse [1998] Ch 241; [1997] 3 WLR 1046; [1997] 2 All ER 705, CA

Attorney-General v Cocke [1988] Ch 414; [1988] 2 WLR 542; [1988] 2 All ER 391, Ch D

Aveling Barford Ltd v Perion Ltd [1989] BCLC 626

Bairstow v Queens Moat Houses Plc [2001] EWCA Civ 712; [2001] 2 BCLC 531; [2002] BCC 91, CA

Bilta (UK) Ltd v Nazir (No 2) [2015] UKSC 23; [2016] AC 1; [2015] 2 WLR 1168; [2015] 2 All ER 1083; [2015] 2 All ER (Comm) 281; [2015] 2 Lloyd's Rep 61; [2015] 1 BCLC 443; [2015] BCC 343; [2015] WLR (D) 182; [2015] BVC 20; Case details, SC(E)

Brown v Bennett [1999] 1 BCLC 649, CA

Cave v Robinson Jarvis & Rolf [2002] UKHL 18; [2003] 1 AC 384; [2002] 2 WLR 1107; [2002] 2 All ER 641, HL(E)

FHR European Ventures LLP v Mankarious [2014] UKSC 45; [2015] AC 250; [2014] 3 WLR 535; [2014] 4 All ER 79; [2014] 2 All ER (Comm) 425; [2014] WLR (D) 317; [2014] 2 Lloyd’s Rep 471; Case details, SC(E)

Haysport Properties Ltd v Ackerman [2016] EWHC 393 (Ch); [2016] 2 BCLC 522, Ch D

Horner v Allison [2014] EWCA Civ 117; [2014] CN 223, CA

In Plus Group Ltd v Pyke [2002] EWCA Civ 370; [2002] 2 BCLC 201, CA

In re Eurocruit Europe Ltd [2007] EWHC 1433 (Ch); [2008] Bus LR 146; [2007] 2 BCLC 598; [2007] BCC 916; The Times, 16 July 2007, Ch D

In re HLC Environmental Projects Ltd (in liquidation) [2013] EWHC 2876 (Ch); [2014] BCC 337; [2013] CN 1407, Ch D

In re Mercantile Trading Co (No 1) LR 4 Ch App 475, CA

In re a Company (No 00370 of 1987), Ex p Glossop [1988] 1 WLR 1068, Ch D

JD Wetherspoon Plc v Van De Berg & Co Ltd [2007] EWHC 1044 (Ch), Ch D

JJ Harrison (Properties) Ltd v Harrison [2001] EWCA Civ 1467; [2002] 1 BCLC 162, CA

JSC VTB Bank v Skurikhin [2014] EWHC 271 (Comm), QBD

Jones v MBNA International Bank (unreported) 30 June 2000; [2000] CA Transcript No 1272, CA

Kim v Park [2011] EWHC 1781 (QB)

Lexi Holdings Plc v Luqman [2007] EWHC 2652 (Ch), Ch D

Miller v Bain (Director’s Breach of Duty) [2002] 1 BCLC 266

North West Transportation Co v Beatty 12 App Cas 589, PC

Regal (Hastings) Ltd v Gulliver [1967] 2 AC 134; [1942] 1 All ER 378, HL(E)

Thorne v Heard [1894] 1 Ch 599, CA

Ultraframe (UK) Ltd v Fielding [2005] EWHC 1638 (Ch); [2006] FSR 17; [2007] WTLR 835, Ch D

Williams v Central Bank of Nigeria [2014] UKSC 10; [2014] AC 1189; [2014] 2 WLR 355; [2014] 2 All ER 489; [2014] WLR (D) 88; Case details, SC(E)

Cases cited in: Burnden Holdings (UK) Ltd v Fielding [2017] EWHC 2118 (Ch); [2017] WLR (D) 578, Ch D

Armitage v Nurse [1998] Ch 241; [1997] 3 WLR 1046; [1997] 2 All ER 705, CA

BAT Industries plc v Sequana SA [2016] EWHC 1686 (Ch); [2017] Bus LR 82; [2017] 1 BCLC 453; [2016] WLR (D) 388, Ch D

Brady v Brady [1989] AC 755; [1988] 2 WLR 1308; [1988] 2 All ER 617, HL(E)

BrimKo Holdings Ltd v Eastman Kodak Co [2004] EWHC 1343 (Ch), Ch D

GHLM Trading Ltd v Maroo [2012] EWHC 61 (Ch), Ch D

In re HLC Environmental Projects Ltd (in liquidation) [2013] EWHC 2876 (Ch); [2014] BCC 337; [2013] CN 1407, Ch D

Keary Developments Ltd v Tarmac Construction Ltd [1995] 3 All ER 534, CA

Perrins v Bellamy [1889] 1 Ch. 797

Premier Motorauctions Ltd v PricewaterhouseCoopers llp [2016] EWHC 2610 (Ch); [2017] Bus LR 490; [2017] 4 All ER 243; [2017] 2 All ER (Comm) 681; [2016] WLR (D) 547, Ch D

Roberts v Frohlich [2011] EWHC 257 (Ch); [2011] 2 BCLC 625, Ch D

Cases cited in: Burnden Holdings (UK) Ltd v Fielding [2018] UKSC 14; [2018] AC 857; [2018] 2 WLR 885; [2018] 2 All ER 1083; [2018] 2 BCLC 311; [2018] WLR (D) 130; Case details, SC(E)

First Subsea Ltd (formerly BSW Ltd) v Balltec Ltd [2017] EWCA Civ 186; [2018] Ch 25; [2017] 3 WLR 896; [2018] 1 BCLC 20; [2017] FSR 37; The Times, 12 May 2017, CA

Gwembe Valley Development Co Ltd v Koshy (No 3) [2003] EWCA Civ 1048; [2004] 1 BCLC 131, CA

In Re Timmis; Nixon v Smith [1902] 1 Ch 176, Ch D

JD Wetherspoon Plc v Van De Berg & Co Ltd [2007] EWHC 1044 (Ch), Ch D

JJ Harrison (Properties) Ltd v Harrison [2001] EWCA Civ 1467; [2002] 1 BCLC 162, CA

Lonrho Ltd v Shell Petroleum Co Ltd [1980] 1 WLR 627, HL(E)

Pantone 485 Ltd, In re; Miller v Bain [2002] 1 BCLC 266

Paragon Finance plc v DB Thakerar & Co [1998] EWCA Civ 1249; [1999] 1 All ER 400, CA

Prest v Prest [2013] UKSC 34; [2013] 2 AC 415; [2013] 3 WLR 1; [2013] 4 All ER 673; [2013] 2 FLR 732; [2013] WLR (D) 237; Case details, SC(E)

Regal (Hastings) Ltd v Gulliver [1967] 2 AC 134; [1942] 1 All ER 378, HL(E)

Thorne v Heard [1894] 1 Ch 599, CA

Williams v Central Bank of Nigeria [2014] UKSC 10; [2014] AC 1189; [2014] 2 WLR 355; [2014] 2 All ER 489; [2014] WLR (D) 88; Case details, SC(E)

Subsequent Consideration

Cases subsequently considering: Burnden Holdings (UK) Ltd v Fielding [2018] UKSC 14; [2018] AC 857; [2018] 2 WLR 885; [2018] 2 All ER 1083; [2018] 2 BCLC 311; [2018] WLR (D) 130; Case details, SC(E)