Intense Investments Ltd v Development Ventures Ltd

Intense Investments Ltd v Development Ventures Ltd

The default judgment was irregular because the claim sought remedies beyond those permitted under CPR 12.4(1) and should have been made by application under CPR Part 23 with notice to the defendants. The absence of a certificate of service further rendered the judgment irregular. Even if not irregular as of right, the first defendants acted promptly and diligently, and have a realistic prospect of successfully defending the claim as there is doubt whether a binding contract existed.

Parties
Claimant: Intense Investments Limited; 1st Defendant: Development Ventures Limited
Jurisdiction
England and Wales
Judgment Date
19 July 2005
Procedural Posture
Civil / Application to Set Aside Default Judgment
Outcome
Application granted; default judgment set aside
Legal Topics
Default Judgment, Setting Aside Judgment, Extension of Time, Contract Formation
Civil Procedure Contract Default Judgment Setting Aside Judgment Extension of Time Contract Formation

Case Brief

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Parties

Intense Investments Limited

Claimant

Development Ventures Limited

1st Defendant

Procedural Posture

Civil / Application to Set Aside Default Judgment

Legal Issues

  1. 1 Whether the default judgment entered against the first defendants was irregular and should be set aside as of right
  2. 2 Whether the first defendants' conduct justified setting aside the judgment under the court's discretion
  3. 3 Whether the first defendants had a real prospect of successfully defending the claim

Ratio Decidendi

The default judgment was irregular because the claim sought remedies beyond those permitted under CPR 12.4(1) and should have been made by application under CPR Part 23 with notice to the defendants. The absence of a certificate of service further rendered the judgment irregular. Even if not irregular as of right, the first defendants acted promptly and diligently, and have a realistic prospect of successfully defending the claim as there is doubt whether a binding contract existed.

Court Disposition

Application granted; default judgment set aside

Orders

  • Default judgment against the first defendants is set aside
  • The first defendants are permitted to defend the claim