Hamilton & Ors v. Allied Domeq Plc [2005] ScotCS CSIH_74 (01 November 2005)

Hamilton & Ors v. Allied Domeq Plc [2005] ScotCS CSIH_74 (01 November 2005)

The pursuers failed to substantiate the making of the alleged misrepresentation and did not prove a causal connection between any representation and their losses; intervening events and changes in strategy broke the chain of causation. The reclaiming motion is allowed, and the defenders are assoilzied from the conclusions of the Summons.

Citation
[2005] ScotCS CSIH_74
Parties
Pursuers and Respondents: John Stewart Hamilton and Others; Defenders and Reclaimers: Allied Domecq plc
Jurisdiction
Scotland
Judgment Date
01 November 2005
Procedural Posture
Reclaiming Motion / Appeal From Lord Ordinary's Interlocutor
Outcome
Reclaiming motion allowed; interlocutor of Lord Ordinary recalled; defenders assoilzied from conclusions of Summons.
Legal Topics
Negligent Misrepresentation, Causation, Damages, Shareholder Disputes

Case Brief

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Parties

John Stewart Hamilton and Others

Pursuers and Respondents

Allied Domecq plc

Defenders and Reclaimers

Procedural Posture

Reclaiming Motion / Appeal From Lord Ordinary's Interlocutor

  1. 1 Whether Allied Domecq plc, through its agent, made a negligent misrepresentation inducing the pursuers to enter the Subscription Agreement
  2. 2 Whether the alleged misrepresentation caused the pursuers' losses
  3. 3 Whether damages are recoverable for the loss in share value

Ratio Decidendi

The pursuers failed to substantiate the making of the alleged misrepresentation and did not prove a causal connection between any representation and their losses; intervening events and changes in strategy broke the chain of causation. The reclaiming motion is allowed, and the defenders are assoilzied from the conclusions of the Summons.

Court Disposition

Reclaiming motion allowed; interlocutor of Lord Ordinary recalled; defenders assoilzied from conclusions of Summons.

Orders

  • Recall interlocutor of Lord Ordinary
  • Sustain pleas in law 2 and 3 for reclaimers