Scottish Widows Plc v Stewart

Scottish Widows Plc v Stewart

The appeal succeeded because there was no sufficient evidence or pleading of an effective reassignment or contract to reassign the cause of action from the second company to the first company, and the respondent as assignee of the first company had no title to claim damages for losses suffered by the second company. The cross-appeal on the re-letting point failed because the premises were not 're-let' within the meaning of the guarantee clause, as only a licence was granted, not a tenancy.

Parties
Appellant: Scottish Widows plc; Respondent: Stewart
Jurisdiction
England and Wales
Judgment Date
14 July 2006
Procedural Posture
Civil Appeal / Judgment on Appeal
Outcome
appeal allowed, cross-appeal dismissed
Legal Topics
Assignment of Business, Breach of Lease Covenants, Guarantee Liability, Re Letting Clause Interpretation
Property Law Contract Law Company Law Assignment of Business Breach of Lease Covenants Guarantee Liability Re Letting Clause Interpretation

Case Brief

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Parties

Scottish Widows plc

Appellant

Stewart

Respondent

Procedural Posture

Civil Appeal / Judgment on Appeal

Legal Issues

  1. 1 Whether losses were sustained by the first or second company (assignment issue)
  2. 2 Whether reassignment or contract to reassign occurred
  3. 3 Whether new points can be raised on appeal

Ratio Decidendi

The appeal succeeded because there was no sufficient evidence or pleading of an effective reassignment or contract to reassign the cause of action from the second company to the first company, and the respondent as assignee of the first company had no title to claim damages for losses suffered by the second company. The cross-appeal on the re-letting point failed because the premises were not 're-let' within the meaning of the guarantee clause, as only a licence was granted, not a tenancy.

Court Disposition

appeal allowed, cross-appeal dismissed

Orders

  • Scottish Widows' appeal is allowed; respondent's cross-appeal on re-letting point is dismissed; respondent not permitted to raise new points not argued below