Category: Case Reviews
Hedley Byrne v Heller (1963) – Taking responsibility for the consequences of one’s own ̶a̶c̶t̶i̶o̶n̶s̶ advice
Hedley Byrne & Co Ltd v Heller & Partners Ltd [1963] UKHL 4 This landmark case established the principle of pure economic loss in English law. The House of Lords judgment provided that a duty of care arose when pure economic loss was provoked by certain conditions. While the case was in tort, its codification […]
Braganza v BP Shipping (2015) – Wednesbury unreasonableness finds a berth in employment contracts
Braganza v BP Shipping Ltd [2015] UKSC 17 This case refers to standards of reasonableness while employing contractually-granted discretion, specifically in the context of an employment contract. Judgment given on 18th March 2015 by the Supreme Court. By a 3-2 majority decision, the UKSC found for Mrs Braganza’s appeal. The UKSC judgment can be found […]
Arnold v Britton (2015) – A holiday from hell in the land of contractual interpretation
Arnold v Britton & Others [2015] UKSC 36 Summary The Supreme Court found that contracts should be interpreted according to the ordinary meaning of the words, if they are unambiguous. This applies even if this involves an absurd outcome. It is for contracting parties to draft and review their contracts to ensure that the language […]
LBHI v LBIE (2017) – Friendly fire over the insolvency waterfall
The Joint Administrators of LB Holdings Intermediate 2 Ltd v The Joint Administrators of Lehman Brothers International (Europe) & Others [2017] UKSC 38 Summary The previous Court decided that the creditors who suffered a loss due to currency fluctuations between the administration date and the payment date were not able to claim the loss as […]
First Tower Trustees v CDS (2018) – Limited liability in asbestos misrepresentation case fails the sniff test
First Tower Trustees Ltd & Another v CDS (Superstores International) Ltd [2018] EWCA Civ 1396 Summary Under the Misrepresentation Act 1967 s.3 both non-reliance clauses and contractual estoppel were not immune from scrutiny. Clauses like this could not prevent liability from arising if they failed to satisfy the reasonableness test under the Unfair Contract Terms […]
Re Lehman Brothers International Europe (2012) – Maybe Lehman can be trusted with client money after all
In the matter of Lehman Brothers International (Europe) (In Administration), and In the matter of the Insolvency Act 1986 [2012] UKSC 6 Summary This article summarises the February 2012 UK Supreme Court case on Lehman Brothers. The judgment can be found here. We also have a blog on the High Court case of the same […]
Lehman v Firth Rixson (2022) – Lehman is back, and it can collect on its debts
Grant & Others v Firth Rixson Acquisitions Corporation (Europe) Ltd & Another (Re Lehman Brothers International (Europe)) [2022] EWHC 2532 (Ch) A recent High Court case involves the administrators of Lehman Brothers’ European firm, and raises the possibility of the bank returning as a going concern. Facts of the Case: This case involved two interest […]
Wood v Commercial First Business (2021) – Court shines a light on secret commissions
Wood v Commercial First Business Ltd & Others, and Business Mortgage Finance 4 plc v Pengelly [2021] EWCA Civ 471 Summary The Court of Appeal held that it is not necessary to have a fiduciary duty in secret commission cases. In two cases that went together to the Court of Appeal, three key issues surrounding […]
Westdeutsche v Islington (1996) – Trust issues in deciding repayment after an ultra vires ruling
Westdeutsche Landesbank Girozentrale v Islington London Borough Council [1996] UKHL 12 Summary A 10-year interest rate swap between a bank and a local council, in which the bank paid an upfront payment of £2.5 million that was to be repaid in instalments, was deemed ultra vires and void. The Council was ordered to repay the […]
Shanghai Shipyard v Reignwood (2021) – Court of Appeal cuts adrift attempt to avoid guaranteed payment
Shanghai Shipyard Co. Ltd v Reignwood International Investment [2021] EWCA Civ 1147 Summary A recent unanimous decision by the Court of Appeal overturned previous rulings on two preliminary issues regarding the type of guarantee and the obligation of the buyer to pay the last instalment of a shipbuilding contract that they had not previously paid. […]