Al-Rawas v Pegasus Energy Ltd & Ors

Al-Rawas v Pegasus Energy Ltd & Ors

Damages are recoverable under the cross-undertakings for special losses (including agreed expenses and management time), and for general and aggravated damages where the orders were obtained by intentional non-disclosure, but not for emotional distress or exemplary damages. The evidence did not support general damages for all defendants in respect of the freezing order, except for Mr Lloyd. The contractual principles of causation, remoteness, and mitigation apply.

Parties
Claimant in the Actions/defendant in the Inquiry: Iman Said Abdul Aziz Al-Rawas; Defendant in the Actions/claimant in the Inquiry: Pegasus Energy Limited; Defendant in the Actions/claimant in the Inquiry: HH Sheikh Khalifa bin Hamed Al Thani; Defendant in the Actions/claimant in the Inquiry: Dr Issa Ghanem Al-Kawari; Defendant in the Actions/claimant in the Inquiry: Hawkstone Management Services Limited; Defendant in the Actions/claimant in the Inquiry: Mr Talal Issa Ghanem Al-Kawari; Defendant in the Actions/claimant in the Inquiry: Mr Martin Bowen; Defendant in the Actions/claimant in the Inquiry: Mr Geoffrey White; Defendant in the Actions/claimant in the Inquiry: Mr David Lloyd; Defendant in the Actions/claimant in the Inquiry: Mr Harold Palmer; Defendant in the Actions/claimant in the Inquiry: Ms Frances Cook; Defendant in the Actions/claimant in the Inquiry: Middle East South Africa Energy (Pty) Limited; Defendant in the Actions/claimant in the Inquiry: Pegasus Energy Management Services (Pty) Limited; Defendant in the Actions/claimant in the Inquiry: Vuma Petroleum Ltd (Seychelles); Defendant in the Actions/claimant in the Inquiry: Vuma Zambia Limited (Zambia); Defendant in the Actions/claimant in the Inquiry: Pegasus Energy Zambia Limited (Zambia); Defendant in the Actions/claimant in the Inquiry: Gulf Environment Limited (BVI); Defendant in the Actions/claimant in the Inquiry: Watchhorn Business Corporation (BVI); Defendant in the Actions/claimant in the Inquiry: Beagle Equities Limited (Gibraltar); Defendant in the Actions/claimant in the Inquiry: Fermor Investments Limited (BVI)
Jurisdiction
England and Wales
Judgment Date
08 April 2008
Procedural Posture
Civil / Assessment of Damages Following Discharge of Search and Seizure and Freezing Orders
Outcome
Damages awarded to the defendants under the cross-undertakings in respect of the search and seizure and freezing orders.
Legal Topics
Cross Undertaking in Damages, Search and Seizure Orders, Freezing Orders, Damages Assessment, Aggravated Damages, Exemplary Damages, Non Disclosure, Misrepresentation

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Parties

Iman Said Abdul Aziz Al-Rawas

Claimant in the Actions/defendant in the Inquiry

Pegasus Energy Limited

Defendant in the Actions/claimant in the Inquiry

HH Sheikh Khalifa bin Hamed Al Thani

Defendant in the Actions/claimant in the Inquiry

Dr Issa Ghanem Al-Kawari

Defendant in the Actions/claimant in the Inquiry

Hawkstone Management Services Limited

Defendant in the Actions/claimant in the Inquiry

Mr Talal Issa Ghanem Al-Kawari

Defendant in the Actions/claimant in the Inquiry

Mr Martin Bowen

Defendant in the Actions/claimant in the Inquiry

Mr Geoffrey White

Defendant in the Actions/claimant in the Inquiry

Mr David Lloyd

Defendant in the Actions/claimant in the Inquiry

Mr Harold Palmer

Defendant in the Actions/claimant in the Inquiry

Ms Frances Cook

Defendant in the Actions/claimant in the Inquiry

Middle East South Africa Energy (Pty) Limited

Defendant in the Actions/claimant in the Inquiry

Pegasus Energy Management Services (Pty) Limited

Defendant in the Actions/claimant in the Inquiry

Vuma Petroleum Ltd (Seychelles)

Defendant in the Actions/claimant in the Inquiry

Vuma Zambia Limited (Zambia)

Defendant in the Actions/claimant in the Inquiry

Pegasus Energy Zambia Limited (Zambia)

Defendant in the Actions/claimant in the Inquiry

Gulf Environment Limited (BVI)

Defendant in the Actions/claimant in the Inquiry

Watchhorn Business Corporation (BVI)

Defendant in the Actions/claimant in the Inquiry

Beagle Equities Limited (Gibraltar)

Defendant in the Actions/claimant in the Inquiry

Fermor Investments Limited (BVI)

Defendant in the Actions/claimant in the Inquiry

Procedural Posture

Civil / Assessment of Damages Following Discharge of Search and Seizure and Freezing Orders

  1. 1 Whether and to what extent damages are recoverable under cross-undertakings following discharge of search and seizure and freezing orders obtained by material non-disclosure and misrepresentation
  2. 2 Whether general, aggravated, or exemplary damages are available under the undertakings

Ratio Decidendi

Damages are recoverable under the cross-undertakings for special losses (including agreed expenses and management time), and for general and aggravated damages where the orders were obtained by intentional non-disclosure, but not for emotional distress or exemplary damages. The evidence did not support general damages for all defendants in respect of the freezing order, except for Mr Lloyd. The contractual principles of causation, remoteness, and mitigation apply.

Court Disposition

Damages awarded to the defendants under the cross-undertakings in respect of the search and seizure and freezing orders.

Orders

  • Damages awarded for agreed expenses: $74,166.29 to Watchhorn, £3,156.29 plus £63.71 and £636.90 to Hawkstone.
  • Damages for lost management time: £2,700 to Hawkstone, £600 to Dr Al-Kawari.