Property Services LDN Ltd v Nash & Ors [2022] EWHC 1330 (QB) (26 May 2022)

Property Services LDN Ltd v Nash & Ors [2022] EWHC 1330 (QB) (26 May 2022)

The injunction was obtained by the Claimant without full and frank disclosure of material facts, including the existence of Receivers and the mortgagee's rights. The transaction relied upon by the Claimant was found to be a sham designed to prevent the Receivers from exercising their statutory powers. The Claimant's conduct was deliberate and deprived them of any equitable relief. The injunction must be discharged as a result of this fundamental breach of duty.

Citation
[2022] EWHC 1330
Parties
Claimant: Property Services LDN Ltd; Defendant: Miss Sue Elise Nash; Third Party/interested Party (fixed Term Receiver): Mr Steven Williams; Third Party/interested Party (fixed Term Receiver): Mr Gary Williams
Jurisdiction
England and Wales
Judgment Date
26 May 2022
Procedural Posture
Injunction (return Date) / Application to Continue, Vary or Discharge Interim Injunction
Outcome
Injunction discharged
Legal Topics
Injunctions, Receivership, Full and Frank Disclosure, Mortgage Enforcement, Equitable Relief
Civil Procedure Property Law Equity Injunctions Receivership Full and Frank Disclosure Mortgage Enforcement Equitable Relief

Case Brief

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Parties

Property Services LDN Ltd

Claimant

Miss Sue Elise Nash

Defendant

Mr Steven Williams

Third Party/interested Party (fixed Term Receiver)

Mr Gary Williams

Third Party/interested Party (fixed Term Receiver)

Procedural Posture

Injunction (return Date) / Application to Continue, Vary or Discharge Interim Injunction

Legal Issues

  1. 1 Whether the injunction should be continued, varied, or discharged
  2. 2 Whether the Claimant failed in its duty of full and frank disclosure when obtaining the injunction without notice
  3. 3 Whether the transaction between Claimant and Defendant was genuine or a sham to prevent auction sale by Receivers

Ratio Decidendi

The injunction was obtained by the Claimant without full and frank disclosure of material facts, including the existence of Receivers and the mortgagee's rights. The transaction relied upon by the Claimant was found to be a sham designed to prevent the Receivers from exercising their statutory powers. The Claimant's conduct was deliberate and deprived them of any equitable relief. The injunction must be discharged as a result of this fundamental breach of duty.

Court Disposition

Injunction discharged

Orders

  • The interim injunction granted on 12 May 2022 is discharged.
  • No further order for continuation, variation, or renewal of the injunction.