Brown & Anor v Bennett & Ors [1998] EWCA Civ 1881 (1 December 1998)

Brown & Anor v Bennett & Ors [1998] EWCA Civ 1881 (1 December 1998)

Oasis Stores plc was not liable for knowing receipt because it acquired the business from independent receivers for full value and was not a recipient of trust property in breach of trust. Oasis was not liable for knowing assistance as it did not assist in any breach of duty; all breaches were complete before its involvement. The conspiracy claim failed as it depended on the knowing assistance claim. The claim against Mr Sarson for dishonest assistance was allowed to proceed to trial as the amended pleading was technically adequate.

Citation
[1998] EWCA Civ 1881
Parties
Plaintiffs: Mr and Mrs Brown; 11th Defendant: Oasis Stores plc; 7th Defendant: Mr Sarson
Jurisdiction
England and Wales
Judgment Date
01 December 1998
Procedural Posture
Civil Appeal / Appeal From Order Striking Out Claims
Outcome
Appeal dismissed except for leave to amend against Mr Sarson
Legal Topics
Knowing Receipt, Knowing Assistance, Constructive Trusts, Breach of Fiduciary Duty, Conspiracy, Directors' Duties
Equity Company Law Knowing Receipt Knowing Assistance Constructive Trusts Breach of Fiduciary Duty Conspiracy Directors' Duties

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 3 Authorities cited 6 Party arguments 2 Amounts and remedies 5
Sign in to unlock

Parties

Mr and Mrs Brown

Plaintiffs

Oasis Stores plc

11th Defendant

Mr Sarson

7th Defendant

Procedural Posture

Civil Appeal / Appeal From Order Striking Out Claims

Legal Issues

  1. 1 Whether Oasis Stores plc is liable for knowing receipt or knowing assistance in breaches of fiduciary duty by directors of Pinecord Limited
  2. 2 Whether the claim for conspiracy against Oasis Stores plc is sustainable
  3. 3 Whether the claim against Mr Sarson for dishonest assistance is adequately pleaded

Ratio Decidendi

Oasis Stores plc was not liable for knowing receipt because it acquired the business from independent receivers for full value and was not a recipient of trust property in breach of trust. Oasis was not liable for knowing assistance as it did not assist in any breach of duty; all breaches were complete before its involvement. The conspiracy claim failed as it depended on the knowing assistance claim. The claim against Mr Sarson for dishonest assistance was allowed to proceed to trial as the amended pleading was technically adequate.

Court Disposition

Appeal dismissed except for leave to amend against Mr Sarson

Orders

  • Appeal dismissed with costs against the Legal Aid Fund under section 18
  • Plaintiff's contribution assessed as nil