SOMERVILLE AGAINST 1051 GWR LTD [2019] ScotCS CSOH_61 (08 August 2019)
The pursuer's pleadings are sufficiently specific and relevant to instruct a case of breach of fiduciary duty, bad faith, and attribution of knowledge to the defender; section 175(3) does not preclude liability in these circumstances; reduction and issues of restitutio and mora are fact-sensitive and cannot be resolved at debate; the pursuer's whole averments should be admitted to probation.
- Citation
- [2019] ScotCS CSOH_61
- Parties
- Pursuer: Ronald Whitelaw Somerville; Defender: 1051 GWR Limited
- Jurisdiction
- Scotland
- Judgment Date
- 08 August 2019
- Procedural Posture
- Commercial Action for Reduction of Lease / Debate on Relevancy and Specification of Pleadings
- Outcome
- Pursuer's whole averments admitted to probation; defender's challenges rejected.
- Legal Topics
- Fiduciary Duties, Reduction of Contract, Director Conflict of Interest, Bad Faith, Restitutio in Integrum, Mora, Taciturnity and Acquiescence
Case Brief
Summary, issues, holding and outcome
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Parties
Ronald Whitelaw Somerville
Pursuer
1051 GWR Limited
Defender
Procedural Posture
Commercial Action for Reduction of Lease / Debate on Relevancy and Specification of Pleadings
Legal Issues
- 1 Whether pursuer has relevant averments to establish breach of fiduciary duty by David Maguire
- 2 Whether section 175(3) of Companies Act 2006 excludes liability for conflict of interest
- 3 Whether defender acquired lease in bad faith and with knowledge of breach
Ratio Decidendi
The pursuer's pleadings are sufficiently specific and relevant to instruct a case of breach of fiduciary duty, bad faith, and attribution of knowledge to the defender; section 175(3) does not preclude liability in these circumstances; reduction and issues of restitutio and mora are fact-sensitive and cannot be resolved at debate; the pursuer's whole averments should be admitted to probation.
Court Disposition
Pursuer's whole averments admitted to probation; defender's challenges rejected.
Orders
- Case put out By Order to determine further procedure.
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