Thiscompany Ltd & Ors v Welsh & Ors [2024] EWHC 2159 (Comm) (19 August 2024)

Thiscompany Ltd & Ors v Welsh & Ors [2024] EWHC 2159 (Comm) (19 August 2024)

The default judgment was set aside because the Defence disclosed a real prospect of success, the application to set aside was made promptly, and the interests of justice and the overriding objective required it. There was no good reason for the default, but the balance of justice favoured setting aside the judgment.

Citation
[2024] EWHC 2159 (Comm)
Parties
Claimant: THISCOMPANY LIMITED; Claimant: THE BEAUTIFUL MIND SERIES LIMITED; Claimant: KINSKI LIMITED; Defendant: DAVID JOHN WELSH; Defendant: GALES HOLDINGS LTD; Defendant: NICOLA DENNIS; Defendant: GARDEN COTTAGE FACILITIES LTD
Jurisdiction
England and Wales
Judgment Date
19 August 2024
Procedural Posture
Commercial Claim (part 7) / Application to Set Aside Default Judgment and for Permission to File Defence and Part 20 Claim
Outcome
Default judgment set aside; permission granted to file and serve Defence and Part 20 claim within 7 days of the order.
Legal Topics
Default Judgment, Relief From Sanctions, Directors' Duties, Breach of Contract, Unjust Enrichment, Civil Procedure Rules
Civil Procedure Commercial Law Default Judgment Relief From Sanctions Directors' Duties Breach of Contract Unjust Enrichment Civil Procedure Rules

Case Brief

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Parties

THISCOMPANY LIMITED

Claimant

THE BEAUTIFUL MIND SERIES LIMITED

Claimant

KINSKI LIMITED

Claimant

DAVID JOHN WELSH

Defendant

GALES HOLDINGS LTD

Defendant

NICOLA DENNIS

Defendant

GARDEN COTTAGE FACILITIES LTD

Defendant

Procedural Posture

Commercial Claim (part 7) / Application to Set Aside Default Judgment and for Permission to File Defence and Part 20 Claim

Legal Issues

  1. 1 Whether the default judgment should be set aside under CPR 13.3
  2. 2 Whether the defendants have a real prospect of successfully defending the claim
  3. 3 Whether the application for default judgment should have been made without notice

Ratio Decidendi

The default judgment was set aside because the Defence disclosed a real prospect of success, the application to set aside was made promptly, and the interests of justice and the overriding objective required it. There was no good reason for the default, but the balance of justice favoured setting aside the judgment.

Court Disposition

Default judgment set aside; permission granted to file and serve Defence and Part 20 claim within 7 days of the order.

Orders

  • Default judgment against the Welsh Defendants set aside.
  • Welsh Defendants granted permission to file and serve Defence and Part 20 claim within 7 days of the order.