LIVINGSTON FOOTBALL CLUB LTD AGAINST NEIL HOGARTH [2024] ScotCS CSOH_19 (27 February 2024)

LIVINGSTON FOOTBALL CLUB LTD AGAINST NEIL HOGARTH [2024] ScotCS CSOH_19 (27 February 2024)

The pursuer's conduct in introducing and maintaining hopelessly flawed allegations of fraud and breach of fiduciary duty from 17 August 2022 was unreasonable and caused the defender unnecessary expense, justifying an award of expenses on an agent client, client paying basis from that date. The complexity, importance, and value of the proceedings, particularly the serious allegations and potential reputational and financial consequences for the defender, justified an additional charge for the defender's solicitors, with the level of increase to be determined by the auditor.

Citation
[2024] ScotCS CSOH_19
Parties
Pursuer: Livingston Football Club Limited; Defender: Neil Hogarth
Jurisdiction
Scotland
Judgment Date
27 February 2024
Procedural Posture
Civil Commercial Action / Post Dismissal Motion for Expenses
Outcome
Defender's motion granted in full.
Legal Topics
Expenses, Costs, Fraud Allegations, Breach of Fiduciary Duty, Agent Client Expenses, Additional Charge
Civil Procedure Commercial Law Expenses Costs Fraud Allegations Breach of Fiduciary Duty Agent Client Expenses Additional Charge

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Parties

Livingston Football Club Limited

Pursuer

Neil Hogarth

Defender

Procedural Posture

Civil Commercial Action / Post Dismissal Motion for Expenses

Legal Issues

  1. 1 Whether expenses should be awarded on an agent client, client paying basis from 17 August 2022
  2. 2 Whether an additional charge should be awarded to the defender's solicitors and at what level

Ratio Decidendi

The pursuer's conduct in introducing and maintaining hopelessly flawed allegations of fraud and breach of fiduciary duty from 17 August 2022 was unreasonable and caused the defender unnecessary expense, justifying an award of expenses on an agent client, client paying basis from that date. The complexity, importance, and value of the proceedings, particularly the serious allegations and potential reputational and financial consequences for the defender, justified an additional charge for the defender's solicitors, with the level of increase to be determined by the auditor.

Court Disposition

Defender's motion granted in full.

Orders

  • Pursuer found liable in expenses of the cause, except as already awarded, on an agent client, client paying basis from 17 August 2022.
  • Defender's solicitors entitled to an additional charge under rule 5.2(6)(a), (e), and (f) of the Act of Sederunt.