FIELDOAK LTD (IN RECEIVERSHIP) v CITYWIDE GLASGOW LIMITED [2017] ScotCS CSOH_138 (27 October 2017)

FIELDOAK LTD (IN RECEIVERSHIP) v CITYWIDE GLASGOW LIMITED [2017] ScotCS CSOH_138 (27 October 2017)

The Management Agreement was validly terminated by the receivers. The defender failed to establish waiver or novation by the pursuer's subsequent conduct. The pursuer's actions were consistent with termination and not with adoption or continuation of the Management Agreement. The defender has no continuing authority and is not entitled to act as property manager or collect rents.

Citation
[2017] ScotCS CSOH_138
Parties
Pursuer: Fieldoak Limited (In Receivership); Defender: Citywide Glasgow Limited
Jurisdiction
Scotland
Judgment Date
27 October 2017
Procedural Posture
Commercial Action / Judgment After Proof
Outcome
Declarator granted in favour of pursuer; defender's pleas repelled.
Legal Topics
Agency Termination, Novation, Waiver, Receivership, Specific Implement, Management Agreement
Commercial Law Insolvency Law Contract Law Agency Termination Novation Waiver Receivership Specific Implement +1 more

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Parties

Fieldoak Limited (In Receivership)

Pursuer

Citywide Glasgow Limited

Defender

Procedural Posture

Commercial Action / Judgment After Proof

Legal Issues

  1. 1 Whether the Management Agreement was terminated by the receivers
  2. 2 Whether the pursuer waived the termination or novated the Management Agreement
  3. 3 Whether the defender had continuing authority to act as property manager after revocation

Ratio Decidendi

The Management Agreement was validly terminated by the receivers. The defender failed to establish waiver or novation by the pursuer's subsequent conduct. The pursuer's actions were consistent with termination and not with adoption or continuation of the Management Agreement. The defender has no continuing authority and is not entitled to act as property manager or collect rents.

Court Disposition

Declarator granted in favour of pursuer; defender's pleas repelled.

Orders

  • Declared that the Management Agreement was terminated and the defender has no continuing authority under it.
  • Interdict granted against the defender from holding itself out as agent or collecting rents.