BTI 2014 LLC v PricewaterhouseCoopers LLP & Anor [2022] EWHC 1781 (Ch) (15 July 2022)

BTI 2014 LLC v PricewaterhouseCoopers LLP & Anor [2022] EWHC 1781 (Ch) (15 July 2022)

The Divisibility Amendments do not plead a new cause of action as they are consequences of the already pleaded failure to obtain US legal advice on the divisibility defence, and arise out of substantially the same facts. The Total Costs Amendments do plead a new cause of action because they introduce a new factual basis—PwC's alleged failure to obtain expert advice on Total Remediation Costs—which is not substantially the same as the facts in the original claim. The court has no power to permit the Total Costs Amendments as they do not arise out of substantially the same facts and are barred by limitation. Discretion is exercised to allow the Divisibility Amendments as there is no...

Citation
[2022] EWHC 1781 (Ch)
Parties
Claimant: BTI 2014 LLC; First Defendant: PricewaterhouseCoopers LLP; Second Defendant: Windward Prospects Limited
Jurisdiction
England and Wales
Judgment Date
15 July 2022
Procedural Posture
Civil Professional Negligence / Application for Permission to Re Amend Amended Particulars of Claim
Outcome
Application granted in part and refused in part.
Legal Topics
Amendment of Pleadings, Limitation of Actions, Auditor's Duties, Disclosure Requirements, Remediation Costs, Divisibility Defence Under CERCLA
Civil Procedure Professional Negligence Company Law Amendment of Pleadings Limitation of Actions Auditor's Duties Disclosure Requirements Remediation Costs +1 more

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Parties

BTI 2014 LLC

Claimant

PricewaterhouseCoopers LLP

First Defendant

Windward Prospects Limited

Second Defendant

Procedural Posture

Civil Professional Negligence / Application for Permission to Re Amend Amended Particulars of Claim

Legal Issues

  1. 1 Whether the proposed amendments plead a new cause of action
  2. 2 Whether any new cause of action arises out of the same or substantially the same facts as the existing claim
  3. 3 Whether the court should exercise its discretion to allow the amendments

Ratio Decidendi

The Divisibility Amendments do not plead a new cause of action as they are consequences of the already pleaded failure to obtain US legal advice on the divisibility defence, and arise out of substantially the same facts. The Total Costs Amendments do plead a new cause of action because they introduce a new factual basis—PwC's alleged failure to obtain expert advice on Total Remediation Costs—which is not substantially the same as the facts in the original claim. The court has no power to permit the Total Costs Amendments as they do not arise out of substantially the same facts and are barred by limitation. Discretion is exercised to allow the Divisibility Amendments as there is no...

Court Disposition

Application granted in part and refused in part.

Orders

  • Permission granted to make the Divisibility Amendments to the Amended Particulars of Claim.
  • Permission refused to make the Total Costs Amendments.