Pharmagona Ltd v Taheri & Anor [2021] EWHC 2537 (Ch) (21 September 2021)

Pharmagona Ltd v Taheri & Anor [2021] EWHC 2537 (Ch) (21 September 2021)

Permission to seal and issue the contempt application is refused because any breach of the freezing order was at most technical, not serious, and the application serves no legitimate purpose given the Defendants' bankruptcy and the vesting of assets in the trustee. The Claimant's interest is now subordinate to the collective interests of creditors, and contempt proceedings are not appropriate for enforcement in these circumstances.

Citation
[2021] EWHC 2537 (Ch)
Parties
Claimant / Appellant: Pharmagona Limited; Defendant / Respondent: Mr Sayed Mostafa Taheri; Defendant / Respondent: Mrs Bahereh Mohammadi
Jurisdiction
England and Wales
Judgment Date
21 September 2021
Procedural Posture
Application for Reconsideration of Order Striking Out Contempt Application / Permission Hearing for Sealing and Issuing Contempt Application
Outcome
Permission refused for contempt application to be sealed and issued.
Legal Topics
Freezing Injunctions, Abuse of Process, Bankruptcy, Committal Proceedings, Technical Breach
Civil Procedure Insolvency Contempt of Court Freezing Injunctions Abuse of Process Bankruptcy Committal Proceedings Technical Breach

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Parties

Pharmagona Limited

Claimant / Appellant

Mr Sayed Mostafa Taheri

Defendant / Respondent

Mrs Bahereh Mohammadi

Defendant / Respondent

Procedural Posture

Application for Reconsideration of Order Striking Out Contempt Application / Permission Hearing for Sealing and Issuing Contempt Application

Legal Issues

  1. 1 Whether permission should be granted to seal and issue a contempt application for alleged breach of a freezing order
  2. 2 Whether the alleged breach was technical or serious
  3. 3 Whether the application was brought for legitimate purposes or was abusive

Ratio Decidendi

Permission to seal and issue the contempt application is refused because any breach of the freezing order was at most technical, not serious, and the application serves no legitimate purpose given the Defendants' bankruptcy and the vesting of assets in the trustee. The Claimant's interest is now subordinate to the collective interests of creditors, and contempt proceedings are not appropriate for enforcement in these circumstances.

Court Disposition

Permission refused for contempt application to be sealed and issued.

Orders

  • No permission granted for committal application.
  • No further orders regarding contempt proceedings.