Robertson v Slous [2000] JRC 130A (12 July 2000)

Robertson v Slous [2000] JRC 130A (12 July 2000)

The claims are inextricably linked and amount to a derivative action which should be brought by the company itself. The case does not fall within any exception to the rule in Foss v Harbottle, and alternative remedies are available under statute. Therefore, the Order of Justice discloses no reasonable cause of action and must be struck out.

Citation
[2000] JRC 130A
Parties
Plaintiff: John Robertson; Defendant: Gerard Henry Slous; Plaintiff: Thermal Transfer Services Limited
Jurisdiction
Jersey
Judgment Date
12 July 2000
Procedural Posture
Civil / Application to Strike Out (interlocutory)
Outcome
Order of Justice struck out; costs to defendant on standard basis.
Legal Topics
Derivative Actions, Fiduciary Duties, Shareholder Rights, Strike Out Applications
Company Law Civil Procedure Derivative Actions Fiduciary Duties Shareholder Rights Strike Out Applications

Case Brief

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Parties

John Robertson

Plaintiff

Gerard Henry Slous

Defendant

Thermal Transfer Services Limited

Plaintiff

Procedural Posture

Civil / Application to Strike Out (interlocutory)

Legal Issues

  1. 1 Whether the Order of Justice discloses a reasonable cause of action against the defendant
  2. 2 Whether the plaintiff can bring a personal or derivative claim against the defendant for breach of fiduciary duty and diversion of company funds
  3. 3 Whether alternative remedies are available under the Companies (Jersey) Law 1991

Ratio Decidendi

The claims are inextricably linked and amount to a derivative action which should be brought by the company itself. The case does not fall within any exception to the rule in Foss v Harbottle, and alternative remedies are available under statute. Therefore, the Order of Justice discloses no reasonable cause of action and must be struck out.

Court Disposition

Order of Justice struck out; costs to defendant on standard basis.

Orders

  • Order of Justice struck out
  • Plaintiff to pay defendant's costs on the standard basis