Mosley v Popley

Mosley v Popley

The claimant, as a beneficiary of the trust, has no reasonable cause of action for proprietary or personal relief over property owned by a company held by the trust, as the property was never trust property. Dishonest assistance in breach of trust does not entitle the claimant to proprietary remedies over non-trust assets. The interposition of a company prevents such claims unless the corporate veil is pierced, which is not justified on the facts.

Parties
Appellant/second Defendant: Alan Mosley; Respondent/claimant: Andrew Popley
Jurisdiction
England and Wales
Judgment Date
02 November 2012
Procedural Posture
Civil Appeal / Appeal From Order Dismissing Application to Strike Out Claim
Outcome
Appeal allowed; claim struck out; permission to appeal refused
Legal Topics
Breach of Trust, Dishonest Assistance, Proprietary Remedies, Equitable Compensation, Corporate Veil
Equity Trusts Company Law Breach of Trust Dishonest Assistance Proprietary Remedies Equitable Compensation Corporate Veil

Case Brief

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Parties

Alan Mosley

Appellant/second Defendant

Andrew Popley

Respondent/claimant

Procedural Posture

Civil Appeal / Appeal From Order Dismissing Application to Strike Out Claim

Legal Issues

  1. 1 Whether a beneficiary of a trust can claim proprietary relief over property owned by a company held by the trust
  2. 2 Whether dishonest assistance in breach of trust allows for proprietary remedies against non-trust property
  3. 3 Whether the interposition of a company prevents proprietary or personal claims by trust beneficiaries

Ratio Decidendi

The claimant, as a beneficiary of the trust, has no reasonable cause of action for proprietary or personal relief over property owned by a company held by the trust, as the property was never trust property. Dishonest assistance in breach of trust does not entitle the claimant to proprietary remedies over non-trust assets. The interposition of a company prevents such claims unless the corporate veil is pierced, which is not justified on the facts.

Court Disposition

Appeal allowed; claim struck out; permission to appeal refused

Orders

  • Order of Deputy Master Bartlett set aside
  • Claim dismissed as disclosing no reasonable cause of action