Ram v Ram & Ors [2004] EWCA Civ 1452 (05 November 2004)
Section 423 does not permit the court to give the wife priority or parity with bankruptcy creditors; the correct order is to vest the property in the trustee, restoring the position as if the transaction had not occurred. The wife's claim is not a provable debt in bankruptcy, and the current law, though anomalous, is not discriminatory in the relevant sense under the ECHR.
- Citation
- [2004] EWCA Civ 1452
- Parties
- Appellant: Gita Ram; Respondent: Baskinder Ram; Respondent: Solinder Ram; Respondent: Monder Ram; Respondent: Maurice William Russell (trustee in bankruptcy of Baskinder Ram)
- Jurisdiction
- England and Wales
- Judgment Date
- 05 November 2004
- Procedural Posture
- Civil Appeal / Appeal From Chancery Division to Court of Appeal
- Outcome
- Appeal dismissed
- Legal Topics
- Transactions at Undervalue, Bankruptcy and Matrimonial Proceedings, Provable Debts, Discrimination Under ECHR, Section 423 Insolvency Act 1986
Case Brief
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Parties
Gita Ram
Appellant
Baskinder Ram
Respondent
Solinder Ram
Respondent
Monder Ram
Respondent
Maurice William Russell (trustee in bankruptcy of Baskinder Ram)
Respondent
Procedural Posture
Civil Appeal / Appeal From Chancery Division to Court of Appeal
Legal Issues
- 1 Whether the wife's claim under a matrimonial order should have priority or parity with bankruptcy creditors in the distribution of assets recovered under section 423 of the Insolvency Act 1986
- 2 Whether section 423 permits the court to vest property in the wife to protect her interests as a 'victim' of a transaction at undervalue
- 3 Whether the exclusion of matrimonial claims from provable debts in bankruptcy is discriminatory under Article 14 ECHR
Ratio Decidendi
Section 423 does not permit the court to give the wife priority or parity with bankruptcy creditors; the correct order is to vest the property in the trustee, restoring the position as if the transaction had not occurred. The wife's claim is not a provable debt in bankruptcy, and the current law, though anomalous, is not discriminatory in the relevant sense under the ECHR.
Court Disposition
Appeal dismissed
Orders
- The appeal is dismissed.
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