Jewson v Heatspace Ltd [2007] EWHC 3139 (Ch) (25 June 2007)

Jewson v Heatspace Ltd [2007] EWHC 3139 (Ch) (25 June 2007)

The claimant has an arguable case for a proprietary or analogous interest in the proceeds of sale sufficient to justify interim injunctive relief, and the risk of misapplication is supported by the defendants' failure to address the merits and their adverse conduct. Procedural defaults by the claimant do not justify refusal of relief but are reflected in costs.

Citation
[2007] EWHC 3139 (Ch)
Parties
Claimant: Phillippa Jewson; Defendant: Heatspace Limited
Jurisdiction
England and Wales
Judgment Date
25 June 2007
Procedural Posture
Injunction Application (interlocutory) in Company/shareholder Dispute / Application for Continuation of Interim Injunction; Costs Determination
Outcome
Injunction continued in modified terms; costs of main application: no order; costs of adjournment application: claimant to pay £1,000 within 14 days.
Legal Topics
Interim Injunctions, Shareholder Disputes, Directors' Loans, Derivative Actions, Breach of Shareholder Agreements, Misapplication of Company Assets, Costs Orders
Company Law Equity Civil Procedure Interim Injunctions Shareholder Disputes Directors' Loans Derivative Actions Breach of Shareholder Agreements +2 more

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Parties

Phillippa Jewson

Claimant

Heatspace Limited

Defendant

Procedural Posture

Injunction Application (interlocutory) in Company/shareholder Dispute / Application for Continuation of Interim Injunction; Costs Determination

Legal Issues

  1. 1 Whether the claimant is entitled to a continuation of an injunction restraining the defendant from dealing with proceeds of sale pending resolution of disputes over shareholding and directors' loans
  2. 2 Whether procedural defaults by the claimant disentitle her to relief
  3. 3 Whether there is sufficient risk of misapplication of assets to justify injunctive relief

Ratio Decidendi

The claimant has an arguable case for a proprietary or analogous interest in the proceeds of sale sufficient to justify interim injunctive relief, and the risk of misapplication is supported by the defendants' failure to address the merits and their adverse conduct. Procedural defaults by the claimant do not justify refusal of relief but are reflected in costs.

Court Disposition

Injunction continued in modified terms; costs of main application: no order; costs of adjournment application: claimant to pay £1,000 within 14 days.

Orders

  • Injunction restraining Heatspace Limited from dealing with £123,000 of the sale proceeds continued until judgment or further order.
  • No order as to costs on the main application.