ABC v PM & Anor [2015] EWFC 32 (05 March 2015)

ABC v PM & Anor [2015] EWFC 32 (05 March 2015)

ABC had constructive notice of the husband's intention to defeat the wife's financial remedy claim because they knew facts that should have prompted further enquiry, including the existence of restrictions, the wife's explicit claim for transfer, and the timing of the charge. The failure to give notice to the wife as required by the restriction meant ABC could not rely on the absence of actual notice. The District Judge's decision to set aside the charge was correct.

Citation
[2015] EWFC 32
Parties
Appellant: ABC; First Respondent: PM; Second Respondent: JM
Jurisdiction
England and Wales
Judgment Date
05 March 2015
Procedural Posture
Family Law Appeal / Appeal Against Order Setting Aside Legal Charge Under Section 37 Matrimonial Causes Act 1973
Outcome
Appeal dismissed
Legal Topics
Constructive Notice, Setting Aside Dispositions, Financial Remedies, Matrimonial Causes Act 1973 Section 37, Legal Charges Over Matrimonial Property
Family Law Property Law Constructive Notice Setting Aside Dispositions Financial Remedies Matrimonial Causes Act 1973 Section 37 Legal Charges Over Matrimonial Property

Case Brief

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Parties

ABC

Appellant

PM

First Respondent

JM

Second Respondent

Procedural Posture

Family Law Appeal / Appeal Against Order Setting Aside Legal Charge Under Section 37 Matrimonial Causes Act 1973

Legal Issues

  1. 1 Whether solicitors (ABC) had constructive notice of husband's intention to defeat wife's financial remedy claim by executing a legal charge over matrimonial property for unpaid legal fees
  2. 2 Whether the District Judge was correct to set aside the legal charge under section 37 of the Matrimonial Causes Act 1973

Ratio Decidendi

ABC had constructive notice of the husband's intention to defeat the wife's financial remedy claim because they knew facts that should have prompted further enquiry, including the existence of restrictions, the wife's explicit claim for transfer, and the timing of the charge. The failure to give notice to the wife as required by the restriction meant ABC could not rely on the absence of actual notice. The District Judge's decision to set aside the charge was correct.

Court Disposition

Appeal dismissed

Orders

  • Permission to appeal granted
  • Appeal dismissed; order of Robinson DJ setting aside the legal charge under section 37 Matrimonial Causes Act 1973 upheld