Padden v Arbuthnot Pensions & Investments Ltd

Padden v Arbuthnot Pensions & Investments Ltd

The court has jurisdiction and discretion to grant a declaration of indemnity where there is a real prospect of liability arising, and the facts giving rise to such liability have occurred. The measure of damages for loss of commission is the full amount the respondent would have received but for the appellant's misconduct.

Parties
Appellant: Padden; Respondent: Arbuthnot Pensions & Investments Ltd
Jurisdiction
England and Wales
Judgment Date
13 May 2004
Procedural Posture
Civil Appeal / Appeal From Summary Judgment
Outcome
Appeal dismissed
Legal Topics
Declaratory Relief, Measure of Damages, Fiduciary Duty, Vicarious Liability
Contract Law Employment Law Equity Declaratory Relief Measure of Damages Fiduciary Duty Vicarious Liability

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Parties

Padden

Appellant

Arbuthnot Pensions & Investments Ltd

Respondent

Procedural Posture

Civil Appeal / Appeal From Summary Judgment

Legal Issues

  1. 1 Whether the court had jurisdiction and should exercise discretion to grant a declaration of indemnity in respect of potential liability to a third party (Mrs Partridge)
  2. 2 Whether the measure of damages for loss of commission was correctly assessed

Ratio Decidendi

The court has jurisdiction and discretion to grant a declaration of indemnity where there is a real prospect of liability arising, and the facts giving rise to such liability have occurred. The measure of damages for loss of commission is the full amount the respondent would have received but for the appellant's misconduct.

Court Disposition

Appeal dismissed

Orders

  • Declaration that the claimant is entitled to be indemnified by the defendant in respect of any liability to Mrs Partridge arising out of the pleaded facts
  • Judgment for the claimant for £50,360 as damages for loss of commission