Permavent Ltd & Anor v Makin [2020] EWHC 3495 (Pat) (17 December 2020)

Permavent Ltd & Anor v Makin [2020] EWHC 3495 (Pat) (17 December 2020)

The application for specific disclosure is dismissed because the Settlement Agreement provides an adequate audit mechanism for verifying payments, and the only obstacle to its use is a misunderstanding regarding confidentiality undertakings. The defendant's accountant will have access to unredacted documents, and any necessary information can be reported to the defendant. Additional disclosure would be unnecessary and unduly burdensome.

Citation
[2020] EWHC 3495 (Pat)
Parties
Claimant: Permavent Limited; Claimant: Greenhill Industrial Holdings Limited; Defendant: Stephen John Makin
Jurisdiction
England and Wales
Judgment Date
17 December 2020
Procedural Posture
Application for Specific Disclosure in Ongoing Contractual Dispute / Post Case Management Conference, Application Determined on the Papers
Outcome
Application dismissed
Legal Topics
Specific Disclosure, Settlement Agreement, Audit Rights, Confidentiality Undertakings, Tomlin Order
Contract Law Intellectual Property Law Civil Procedure Specific Disclosure Settlement Agreement Audit Rights Confidentiality Undertakings Tomlin Order

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Parties

Permavent Limited

Claimant

Greenhill Industrial Holdings Limited

Claimant

Stephen John Makin

Defendant

Procedural Posture

Application for Specific Disclosure in Ongoing Contractual Dispute / Post Case Management Conference, Application Determined on the Papers

Legal Issues

  1. 1 Whether the defendant is entitled to specific disclosure beyond the audit mechanism in the Settlement Agreement
  2. 2 Whether the confidentiality undertakings required for audit are reasonable
  3. 3 Whether the claimants are obliged to provide unredacted documents to the defendant's accountant

Ratio Decidendi

The application for specific disclosure is dismissed because the Settlement Agreement provides an adequate audit mechanism for verifying payments, and the only obstacle to its use is a misunderstanding regarding confidentiality undertakings. The defendant's accountant will have access to unredacted documents, and any necessary information can be reported to the defendant. Additional disclosure would be unnecessary and unduly burdensome.

Court Disposition

Application dismissed

Orders

  • No order as to costs
  • Claimants' solicitors/counsel to draft an order reflecting the judgment and recitals regarding access to documents by the defendant's accountant