Cherney & Ors v Neuman & Ors

Cherney & Ors v Neuman & Ors

Claimants have a good arguable proprietary claim to the £4m side-payment and £1m missing funds, but delay and lack of evidence of risk of dissipation defeat the application for a worldwide freezing order; proprietary injunctions and disclosure/account orders are justified.

Parties
Claimant: Michael Cherney; Claimant: Paradiso Foundation; Claimant: Vida Foundation; Claimant: Lusaka Trust; Claimant: Gwenberry Investments Limited; Defendant: Frank Neuman; Defendant: Pettman Smith (A firm); Defendant: Child & Child (A firm); Defendant: East West Building Consultants Limited; Defendant: Draycott Property Management Limited
Jurisdiction
England and Wales
Judgment Date
22 July 2009
Procedural Posture
Civil / Interlocutory Application for Injunctions and Related Relief
Outcome
Application for worldwide freezing order refused; proprietary injunctions and disclosure/account orders granted.
Legal Topics
Proprietary Injunction, Freezing Order, Fiduciary Duty, Trusts, Account of Profits
Equity Civil Procedure Proprietary Injunction Freezing Order Fiduciary Duty Trusts Account of Profits

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 4 Authorities cited 10 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

Michael Cherney

Claimant

Paradiso Foundation

Claimant

Vida Foundation

Claimant

Lusaka Trust

Claimant

Gwenberry Investments Limited

Claimant

Frank Neuman

Defendant

Pettman Smith (A firm)

Defendant

Child & Child (A firm)

Defendant

East West Building Consultants Limited

Defendant

Draycott Property Management Limited

Defendant

Procedural Posture

Civil / Interlocutory Application for Injunctions and Related Relief

Legal Issues

  1. 1 Whether claimants have a good arguable proprietary claim to sums held by Mr Neuman
  2. 2 Whether a worldwide freezing order should be granted against Mr Neuman
  3. 3 Whether proprietary injunctions and disclosure orders are justified

Ratio Decidendi

Claimants have a good arguable proprietary claim to the £4m side-payment and £1m missing funds, but delay and lack of evidence of risk of dissipation defeat the application for a worldwide freezing order; proprietary injunctions and disclosure/account orders are justified.

Court Disposition

Application for worldwide freezing order refused; proprietary injunctions and disclosure/account orders granted.

Orders

  • Proprietary injunction restraining disposal or dealing with the side-payment, £1m missing funds, and their proceeds.
  • Order for affidavit setting out present location and history of relevant sums.