Hamilton v Secretary of State for Business, Energy And Industrial Strategy & Anor (Rev1) [2021] EWHC 2647 (QB) (06 October 2021)

Hamilton v Secretary of State for Business, Energy And Industrial Strategy & Anor (Rev1) [2021] EWHC 2647 (QB) (06 October 2021)

The statutory scheme under the Tribunals, Courts and Enforcement Act 2007 and associated regulations sets a strict twelve-month deadline from taking control of goods for giving notice of sale, extendable only by written agreement between creditor and debtor before expiry. No notice of sale was given within the permitted period. The court has no power to imply a fresh notice period after third party proceedings or to rewrite the statute to avoid the consequence of abandonment. Accordingly, the enforcement agent lost the power to sell MV Samara, and Master Cook's order for sale was ultra vires.

Citation
[2021] EWHC 2647
Parties
Applicant: Thomas Banks Hamilton; First Respondent: Secretary of State for Business, Energy and Industrial Strategy; Second Respondent: Christopher Lucas-Jones
Jurisdiction
England and Wales
Judgment Date
06 October 2021
Procedural Posture
High Court Appeal and Set Aside Applications / Judgment on Applications to Set Aside Strike Out, for Permission to Appeal, and on Statutory Interpretation
Outcome
Applications dismissed; order for sale set aside as ultra vires; enforcement agent's power to sell MV Samara ceased.
Legal Topics
Directors' Disqualification, Enforcement of Costs Orders, Taking Control of Goods, Controlled Goods Agreements, Abandonment of Controlled Goods, Statutory Deadlines, Third Party Claims, Judicial Powers Under Tribunals, Courts and Enforcement Act 2007
Civil Procedure Enforcement of Judgments Statutory Interpretation Directors' Disqualification Enforcement of Costs Orders Taking Control of Goods Controlled Goods Agreements Abandonment of Controlled Goods +3 more

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Parties

Thomas Banks Hamilton

Applicant

Secretary of State for Business, Energy and Industrial Strategy

First Respondent

Christopher Lucas-Jones

Second Respondent

Procedural Posture

High Court Appeal and Set Aside Applications / Judgment on Applications to Set Aside Strike Out, for Permission to Appeal, and on Statutory Interpretation

Legal Issues

  1. 1 Whether the enforcement agent retained power to sell MV Samara after expiry of statutory deadlines for notice of sale under Schedule 12 to the Tribunals, Courts and Enforcement Act 2007
  2. 2 Whether the court could interpret or imply into the legislation an extension or restart of the notice period following third party proceedings
  3. 3 Whether Master Cook's order for sale was valid given statutory abandonment of the vessel

Ratio Decidendi

The statutory scheme under the Tribunals, Courts and Enforcement Act 2007 and associated regulations sets a strict twelve-month deadline from taking control of goods for giving notice of sale, extendable only by written agreement between creditor and debtor before expiry. No notice of sale was given within the permitted period. The court has no power to imply a fresh notice period after third party proceedings or to rewrite the statute to avoid the consequence of abandonment. Accordingly, the enforcement agent lost the power to sell MV Samara, and Master Cook's order for sale was ultra vires.

Court Disposition

Applications dismissed; order for sale set aside as ultra vires; enforcement agent's power to sell MV Samara ceased.

Orders

  • Paragraph 2 of Master Cook's order of 22 May 2020 directing sale of MV Samara set aside.
  • No further order for sale; enforcement proceedings under the writs terminated.