Ensign House Limited v Ensign House (FEC) Limited & Ors
The Defendants, in particular FEC UK, EHFL, Mr Connolly, and Mr Alford, were found liable for breach of contract (NDA), misuse of confidential information, and conspiracy. Mr Alford was found to owe and breach fiduciary duties to the Claimant. The Court awarded damages of £2 million, representing a reasonable release fee for the Claimant's position, but declined to order an account of profits against the corporate Defendants. The Court found no liability for dishonest assistance or procuring breach of contract against Mr Connolly, EHFL, or FEC UK, as the requisite knowledge or intent was not established.
- Parties
- Claimant: Ensign House Limited; First Defendant: Ensign House (FEC) Limited; Second Defendant: FEC Development Management Limited; Third Defendant: John Connolly; Fourth Defendant: Terence Alford
- Jurisdiction
- England and Wales
- Judgment Date
- 11 September 2024
- Procedural Posture
- Civil (commercial, Property, Trusts) / High Court Judgment (final)
- Outcome
- Claim allowed in part. Judgment for the Claimant against all Defendants for damages of £2 million (joint and several), and an account of profits against Mr Alford for £803,009. Claims for dishonest assistance and procuring breach of contract dismissed.
- Legal Topics
- Breach of Contract, Breach of Confidence, Fiduciary Duty, Dishonest Assistance, Economic Torts, Conspiracy, Damages, Account of Profits, Confidential Information, Property Development, Non Disclosure Agreements
Case Brief
Summary, issues, holding and outcome
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Parties
Ensign House Limited
Claimant
Ensign House (FEC) Limited
First Defendant
FEC Development Management Limited
Second Defendant
John Connolly
Third Defendant
Terence Alford
Fourth Defendant
Procedural Posture
Civil (commercial, Property, Trusts) / High Court Judgment (final)
Legal Issues
- 1 Whether the Defendants breached a non-disclosure agreement (NDA) and misused confidential information.
- 2 Whether Mr Alford owed and breached fiduciary duties to the Claimant.
- 3 Whether Mr Connolly and others dishonestly assisted or procured breaches of fiduciary duty or contract.
Ratio Decidendi
The Defendants, in particular FEC UK, EHFL, Mr Connolly, and Mr Alford, were found liable for breach of contract (NDA), misuse of confidential information, and conspiracy. Mr Alford was found to owe and breach fiduciary duties to the Claimant. The Court awarded damages of £2 million, representing a reasonable release fee for the Claimant's position, but declined to order an account of profits against the corporate Defendants. The Court found no liability for dishonest assistance or procuring breach of contract against Mr Connolly, EHFL, or FEC UK, as the requisite knowledge or intent was not established.
Court Disposition
Claim allowed in part. Judgment for the Claimant against all Defendants for damages of £2 million (joint and several), and an account of profits against Mr Alford for £803,009. Claims for dishonest assistance and procuring breach of contract dismissed.
Orders
- Defendants to pay the Claimant £2,000,000 in damages, jointly and severally.
- Mr Alford to account to the Claimant for £803,009 received as a fee from FEC UK/EHFL.
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