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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. […]

SFM v Christ the King College (2021) – A lesson in the counter-restitution principle

School Facility Management Ltd & Others v The Governing Body of Christ the King College [2021] EWCA Civ 1053 Summary The governing body of a school, whose contract with a construction company was previously found to be ultra vires and void, unsuccessfully appealed to claim restitution for overpayments on a school building. The case and […]

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