Mortgage Five Zero Limited v The Secretary of State for Business and Trade

Mortgage Five Zero Limited v The Secretary of State for Business and Trade

The winding-up order was justified because Mortgage Five Zero Limited's business model relied on a hopeless legal argument regarding s.2 of the 1989 Act, repeatedly rejected by the courts. Mr Jason Campbell had no authority to issue new claims post-winding-up. All applications challenging the winding-up and seeking stays, adjournments, or leapfrog appeals were totally without merit. An ECRO was warranted against Mr Campbell due to persistent meritless litigation.

Parties
Appellant/claimant/respondent: Mortgage Five Zero Limited; Sole Director and 50% Shareholder/respondent: Jason Campbell; Respondent/applicant/defendant: The Secretary of State for Business and Trade; Applicant: The Official Receiver
Jurisdiction
England and Wales
Judgment Date
11 October 2024
Procedural Posture
Appeal and Part 8 Claim / Judgment on Appeal and Resolution of Multiple Applications
Outcome
All applications by Mortgage Five Zero Limited and Mr Jason Campbell dismissed as totally without merit; ECRO imposed against Mr Jason Campbell; costs awarded to the Secretary of State and Official Receiver.
Legal Topics
Winding Up on Public Interest Grounds, Civil Restraint Orders, Authority of Directors Post Winding Up, Validity of Mortgage Deeds, Leapfrog Appeals, Stay of Execution, Declaratory Relief
Insolvency Company Law Property Law Civil Procedure Winding Up on Public Interest Grounds Civil Restraint Orders Authority of Directors Post Winding Up Validity of Mortgage Deeds +3 more

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Parties

Mortgage Five Zero Limited

Appellant/claimant/respondent

Jason Campbell

Sole Director and 50% Shareholder/respondent

The Secretary of State for Business and Trade

Respondent/applicant/defendant

The Official Receiver

Applicant

Procedural Posture

Appeal and Part 8 Claim / Judgment on Appeal and Resolution of Multiple Applications

Legal Issues

  1. 1 Whether the winding-up order against Mortgage Five Zero Limited should be stayed or appealed
  2. 2 Whether the argument based on s.2 of the Law of Property (Miscellaneous Provisions) Act 1989 invalidates mortgage deeds
  3. 3 Whether Mr Jason Campbell had authority to issue claims/applications post-winding-up

Ratio Decidendi

The winding-up order was justified because Mortgage Five Zero Limited's business model relied on a hopeless legal argument regarding s.2 of the 1989 Act, repeatedly rejected by the courts. Mr Jason Campbell had no authority to issue new claims post-winding-up. All applications challenging the winding-up and seeking stays, adjournments, or leapfrog appeals were totally without merit. An ECRO was warranted against Mr Campbell due to persistent meritless litigation.

Court Disposition

All applications by Mortgage Five Zero Limited and Mr Jason Campbell dismissed as totally without merit; ECRO imposed against Mr Jason Campbell; costs awarded to the Secretary of State and Official Receiver.

Orders

  • Dismissal of all extant applications by Mortgage Five Zero Limited and Mr Jason Campbell in Appeal CH-2023-000093 and Claim PT-2023-000650 as totally without merit.
  • Refusal of permission to appeal the winding-up order.