Aeroflot v Berezovsky [2013] EWHC 4348 (Ch) (17 December 2013)

Aeroflot v Berezovsky [2013] EWHC 4348 (Ch) (17 December 2013)

The receivers' application for a limited grant ad colligenda bona to obtain further documents was not justified on a cost-benefit basis, as the likely benefit to the court's assessment of solvency did not outweigh the certain costs to the estate; accordingly, the application was adjourned with liberty to restore. Miss Berezovskaya's application for directions against the receivers was refused, as the receivers are officers of the court and have already provided or agreed to provide reasonable information; no order was made on her application. Costs: Receivers to pay 50% of Streathers' costs of the witness statement and attendance, with indemnity from the estate; receivers' own costs to be...

Citation
[2013] EWHC 4348 (Ch)
Parties
Claimant: Aeroflot (Joint Stock Company Aeroflot-Russian Airlines); Defendant (estate): Boris Berezovsky (deceased); Court Appointed Receivers: Receivers (Grant Thornton LLP: Mr Hellard and Mr Wood); Applicant/administrator Ad Colligenda Bona (daughter of Deceased): Miss Ekaterina Berezovskaya; Third Party (former Solicitors to Deceased): Streathers LLP; Third Party (in Possession of Documents): Mr Michael Cotlick
Jurisdiction
England and Wales
Judgment Date
17 December 2013
Procedural Posture
Chancery Division Estate Administration / Receivership / Interlocutory Applications: (1) Receivers' Application for Limited Grant Ad Colligenda Bona to Obtain Documents; (2) Miss Berezovskaya's Application for Directions Regarding Access to Information From Receivers; Costs Orders.
Outcome
Receivers' application adjourned generally with liberty to restore; Miss Berezovskaya's application refused (no order); costs orders made as specified.
Legal Topics
Administration of Estates, Receivership, Letters of Administration Ad Colligenda Bona, Disclosure of Documents, Costs Orders, Beddoes Applications, Privilege, Case Management
Probate Insolvency Civil Procedure Administration of Estates Receivership Letters of Administration Ad Colligenda Bona Disclosure of Documents Costs Orders +3 more

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Parties

Aeroflot (Joint Stock Company Aeroflot-Russian Airlines)

Claimant

Boris Berezovsky (deceased)

Defendant (estate)

Receivers (Grant Thornton LLP: Mr Hellard and Mr Wood)

Court Appointed Receivers

Miss Ekaterina Berezovskaya

Applicant/administrator Ad Colligenda Bona (daughter of Deceased)

Streathers LLP

Third Party (former Solicitors to Deceased)

Mr Michael Cotlick

Third Party (in Possession of Documents)

Procedural Posture

Chancery Division Estate Administration / Receivership / Interlocutory Applications: (1) Receivers' Application for Limited Grant Ad Colligenda Bona to Obtain Documents; (2) Miss Berezovskaya's Application for Directions Regarding Access to Information From Receivers; Costs Orders.

Legal Issues

  1. 1 Whether receivers should be granted limited letters of administration ad colligenda bona to obtain documents from third parties for the purpose of reporting on estate solvency.
  2. 2 Whether Miss Berezovskaya should be granted directions entitling her to information and documents from the receivers for the purposes of her limited administration and potential Beddoes applications.
  3. 3 How costs should be allocated among the parties, particularly as between receivers, third parties (Streathers), and the estate.

Ratio Decidendi

The receivers' application for a limited grant ad colligenda bona to obtain further documents was not justified on a cost-benefit basis, as the likely benefit to the court's assessment of solvency did not outweigh the certain costs to the estate; accordingly, the application was adjourned with liberty to restore. Miss Berezovskaya's application for directions against the receivers was refused, as the receivers are officers of the court and have already provided or agreed to provide reasonable information; no order was made on her application. Costs: Receivers to pay 50% of Streathers' costs of the witness statement and attendance, with indemnity from the estate; receivers' own costs to be...

Court Disposition

Receivers' application adjourned generally with liberty to restore; Miss Berezovskaya's application refused (no order); costs orders made as specified.

Orders

  • Receivers' application for limited grant ad colligenda bona adjourned generally with liberty to restore.
  • Miss Berezovskaya's application for directions: no order.