Cohen v Lorrells LLP & Ors [2019] EWHC 32 (QB) (15 January 2019)

Cohen v Lorrells LLP & Ors [2019] EWHC 32 (QB) (15 January 2019)

The claim for a declaration against the second defendant is struck out as it serves no useful purpose, would not bind the relevant insurer, and constitutes an abuse of process. However, the claimant is given an opportunity to amend the claim to join the insurer, AmTrust Europe, as a party.

Citation
[2019] EWHC 32 (QB)
Parties
Claimant: Justin Cohen; First Defendant: Lorrells LLP (in liquidation); Second Defendant: Eldons Berkeley Limited
Jurisdiction
England and Wales
Judgment Date
15 January 2019
Procedural Posture
Civil (queen's Bench Division) / Application to Strike Out Claim for Declaratory Relief Against Second Defendant
Outcome
Claim for declaration against second defendant struck out unless claimant applies to amend and join insurer within a specified period.
Legal Topics
Professional Indemnity Insurance, Successor Practice Rules, Declaratory Relief, Strike Out Applications, Abuse of Process
Insurance Law Civil Procedure Professional Indemnity Insurance Successor Practice Rules Declaratory Relief Strike Out Applications Abuse of Process

Case Brief

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Parties

Justin Cohen

Claimant

Lorrells LLP (in liquidation)

First Defendant

Eldons Berkeley Limited

Second Defendant

Procedural Posture

Civil (queen's Bench Division) / Application to Strike Out Claim for Declaratory Relief Against Second Defendant

Legal Issues

  1. 1 Whether the claim for a declaration that the second defendant is a 'successor practice' should be struck out
  2. 2 Whether declaratory relief is appropriate in the absence of a direct cause of action against the second defendant
  3. 3 Whether the proceedings constitute an abuse of process

Ratio Decidendi

The claim for a declaration against the second defendant is struck out as it serves no useful purpose, would not bind the relevant insurer, and constitutes an abuse of process. However, the claimant is given an opportunity to amend the claim to join the insurer, AmTrust Europe, as a party.

Court Disposition

Claim for declaration against second defendant struck out unless claimant applies to amend and join insurer within a specified period.

Orders

  • Stay of claim for a limited period to allow claimant to apply to amend and join AmTrust Europe as a party.
  • If no application to amend is made, claim against second defendant will be struck out without further order.