Stoffel & Co v Grondona [2018] EWCA Civ 2031 (13 September 2018)

Stoffel & Co v Grondona [2018] EWCA Civ 2031 (13 September 2018)

The illegality principle does not bar Ms Grondona's claim against Stoffel & Co for solicitor negligence, as denial would be disproportionate and contrary to public policy; damages are limited to the value of the property at the time of breach, not ongoing mortgage liability.

Citation
[2018] EWCA Civ 2031
Parties
Appellant / Cross Respondent: Stoffel & Co; Respondent / Cross Appellant: Ms Maria Grondona
Jurisdiction
England and Wales
Judgment Date
13 September 2018
Procedural Posture
Appeal From County Court (part 20 Claim) / Court of Appeal Judgment
Outcome
Appeal and cross-appeal dismissed; claimant permitted to recover damages for solicitor negligence.
Legal Topics
Illegality Defence, Mortgage Fraud, Solicitor Negligence, Damages Assessment, Land Registration

Case Brief

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Parties

Stoffel & Co

Appellant / Cross Respondent

Ms Maria Grondona

Respondent / Cross Appellant

Procedural Posture

Appeal From County Court (part 20 Claim) / Court of Appeal Judgment

  1. 1 Does the illegality principle (ex turpi causa) bar recovery for solicitor negligence in a mortgage fraud?
  2. 2 What is the correct method for calculating damages in solicitor negligence involving failed property registration?

Ratio Decidendi

The illegality principle does not bar Ms Grondona's claim against Stoffel & Co for solicitor negligence, as denial would be disproportionate and contrary to public policy; damages are limited to the value of the property at the time of breach, not ongoing mortgage liability.

Court Disposition

Appeal and cross-appeal dismissed; claimant permitted to recover damages for solicitor negligence.

Orders

  • Stoffel & Co's appeal dismissed.
  • Ms Grondona's cross-appeal dismissed.