Ferrera v Hardy

Ferrera v Hardy

It is appropriate to superimpose a trust relationship onto the agency relationship between Mr Ferrera and the landlords, given the absence of a formal written agreement and the nature of the monies (housing benefit paid for rent). Therefore, the monies are held in trust for the landlords and are not subject to a third party debt order, except for the portion legitimately due to Mr Hardy for fees or expenses.

Parties
Claimant/respondent: Cristobal Ferrera; Defendant/appellant: Dennis Philip Hardy; Third Party/respondent: Liverpool City Council; Agent for Landlords: Emmanuel-Ebikake; Landlord: DS Adjani; Landlord: AG Adjani; Landlord: OC Adjani
Jurisdiction
England and Wales
Judgment Date
02 October 2013
Procedural Posture
Civil Appeal / Judgment on Appeal
Outcome
appeal dismissed
Legal Topics
Third Party Debt Orders, Agency Relationship, Trusts, Housing Benefit, Principal Agent Relationship
Civil Procedure Trusts and Equity Agency Law Third Party Debt Orders Agency Relationship Trusts Housing Benefit Principal Agent Relationship

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Parties

Cristobal Ferrera

Claimant/respondent

Dennis Philip Hardy

Defendant/appellant

Liverpool City Council

Third Party/respondent

Emmanuel-Ebikake

Agent for Landlords

DS Adjani

Landlord

AG Adjani

Landlord

OC Adjani

Landlord

Procedural Posture

Civil Appeal / Judgment on Appeal

Legal Issues

  1. 1 Whether monies paid to an agent under a housing benefit scheme are held as trustee or as agent for the landlords
  2. 2 Whether such monies are subject to a third party debt order

Ratio Decidendi

It is appropriate to superimpose a trust relationship onto the agency relationship between Mr Ferrera and the landlords, given the absence of a formal written agreement and the nature of the monies (housing benefit paid for rent). Therefore, the monies are held in trust for the landlords and are not subject to a third party debt order, except for the portion legitimately due to Mr Hardy for fees or expenses.

Court Disposition

appeal dismissed

Orders

  • permission to appeal granted
  • appeal dismissed