CW & CG Claims Ltd v Clarkewood Ltd & Anor [2022] EWHC 2959 (Comm) (25 November 2022)

CW & CG Claims Ltd v Clarkewood Ltd & Anor [2022] EWHC 2959 (Comm) (25 November 2022)

The Court found that the June Agreement entitled CW Claims to 50% of the commission received by Clarkewood on successful claims introduced by CW Claims, including RBS and Plevin claims, and 'Additional Claims' unless clearly shown to have originated elsewhere. Only the loan advanced by Clarkewood was deductible from CW Claims' share, not Clarkewood's overheads. The Court found no sufficient evidence of deliberate fraudulent manipulation of data by Clarkewood, but found Clarkewood in breach of contract and fiduciary duty by failing to properly account for and pay sums due. Mr Mohammed was not found to have unlawfully procured the breach.

Citation
[2022] EWHC 2959 (Comm)
Parties
Claimant: CW & CG Claims Limited; First Defendant: Clarkewood Limited; Second Defendant: Masum Mohammed
Jurisdiction
England and Wales
Judgment Date
25 November 2022
Procedural Posture
Commercial Claim / Final Judgment After Trial
Outcome
Claim allowed in part
Legal Topics
Breach of Contract, Implied Terms, Fiduciary Duty, Fraudulent Misrepresentation, Claims Management Agreements
Contract Law Commercial Law Fiduciary Law Fraud Breach of Contract Implied Terms Fiduciary Duty Fraudulent Misrepresentation +1 more

Case Brief

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Parties

CW & CG Claims Limited

Claimant

Clarkewood Limited

First Defendant

Masum Mohammed

Second Defendant

Procedural Posture

Commercial Claim / Final Judgment After Trial

Legal Issues

  1. 1 What were the binding terms of the June Agreement between CW Claims and Clarkewood?
  2. 2 Were RBS and Plevin claims, and 'Additional Claims', within the scope of the June Agreement?
  3. 3 Was Clarkewood entitled to deduct its own overheads from the 50% commission due to CW Claims?

Ratio Decidendi

The Court found that the June Agreement entitled CW Claims to 50% of the commission received by Clarkewood on successful claims introduced by CW Claims, including RBS and Plevin claims, and 'Additional Claims' unless clearly shown to have originated elsewhere. Only the loan advanced by Clarkewood was deductible from CW Claims' share, not Clarkewood's overheads. The Court found no sufficient evidence of deliberate fraudulent manipulation of data by Clarkewood, but found Clarkewood in breach of contract and fiduciary duty by failing to properly account for and pay sums due. Mr Mohammed was not found to have unlawfully procured the breach.

Court Disposition

Claim allowed in part

Orders

  • Clarkewood to account to CW Claims for 50% of commission received on all successful claims introduced by CW Claims, including RBS, Plevin, and Additional Claims, less the loan advanced.
  • No deduction for Clarkewood's overheads permitted.