Alhamrani v Alhamrani [2007] JLR 44 (07 February 2007)

Alhamrani v Alhamrani [2007] JLR 44 (07 February 2007)

Beneficiaries cannot bring an indirect or 'dog-leg' claim against directors of a trust company for breach of duty to the company, except possibly in exceptional circumstances where no other recovery is possible and the trust company has no assets.

Citation
[2007] JLR 44
Parties
Applicant: Alhamrani; Respondent: Alhamrani
Jurisdiction
Jersey
Judgment Date
07 February 2007
Procedural Posture
Civil / Interlocutory
Outcome
claim dismissed
Legal Topics
Liability of Directors, Beneficiaries' Claims, Trust Company Duties
Trust Law Company Law Liability of Directors Beneficiaries' Claims Trust Company Duties

Case Brief

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Parties

Alhamrani

Applicant

Alhamrani

Respondent

Procedural Posture

Civil / Interlocutory

Legal Issues

  1. 1 Whether beneficiaries can bring an indirect or 'dog-leg' claim against directors of a trust company for breach of duty owed to the company under Companies (Jersey) Law 1991, art. 74(1)(b)
  2. 2 Whether the right to performance of duty and to damages for breach is an asset or property of the trust
  3. 3 Whether exceptional circumstances justify a 'dog-leg' claim

Ratio Decidendi

Beneficiaries cannot bring an indirect or 'dog-leg' claim against directors of a trust company for breach of duty to the company, except possibly in exceptional circumstances where no other recovery is possible and the trust company has no assets.

Court Disposition

claim dismissed