Leadingway Consultants Limited v Ayoub Farid Michel Saab & Anor

Leadingway Consultants Limited v Ayoub Farid Michel Saab & Anor

Relief from sanctions was properly granted to the second defendant due to the short delay, inadvertent mistake by solicitors, and the lack of clarity in the unless order; however, the judge erred in setting aside default judgment against the first defendant as no factor reasonably outweighed the lack of promptness and absence of good reason for the 16-month delay.

Parties
Claimant/appellant: Leadingway Consultants Limited; Defendant/respondent: Ayoub Farid Michel Saab; Defendant/respondent: Michel Norbert Saab (as administrator of the estate of the late Fadi Michel Saab)
Jurisdiction
England and Wales
Judgment Date
05 September 2025
Procedural Posture
Civil Appeal / Appeal From Order Granting Relief From Sanctions and Setting Aside Default Judgment
Outcome
Appeal dismissed in respect of relief from sanctions for the second defendant; appeal allowed in respect of setting aside default judgment against the first defendant.
Legal Topics
Relief From Sanctions, Default Judgment, Jurisdiction Challenge, Setting Aside Judgment, Unless Orders
Civil Procedure Contract Law Relief From Sanctions Default Judgment Jurisdiction Challenge Setting Aside Judgment Unless Orders

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Parties

Leadingway Consultants Limited

Claimant/appellant

Ayoub Farid Michel Saab

Defendant/respondent

Michel Norbert Saab (as administrator of the estate of the late Fadi Michel Saab)

Defendant/respondent

Procedural Posture

Civil Appeal / Appeal From Order Granting Relief From Sanctions and Setting Aside Default Judgment

Legal Issues

  1. 1 Whether relief from sanctions for late jurisdiction challenge should be granted to the second defendant
  2. 2 Whether default judgment against the first defendant should be set aside despite lack of promptness

Ratio Decidendi

Relief from sanctions was properly granted to the second defendant due to the short delay, inadvertent mistake by solicitors, and the lack of clarity in the unless order; however, the judge erred in setting aside default judgment against the first defendant as no factor reasonably outweighed the lack of promptness and absence of good reason for the 16-month delay.

Court Disposition

Appeal dismissed in respect of relief from sanctions for the second defendant; appeal allowed in respect of setting aside default judgment against the first defendant.

Orders

  • Relief from sanctions granted to the second defendant is upheld.
  • Default judgment against the first defendant is reinstated.