Shovlin (claimant/appellant) v Site Civils & Surfacing Ltd anr (defendants/respondents)
Tuesday 20 – Wednesday 21 February 2024
By appellant’s notice filed on 10 August 2023, the claimant below appeals the Orders dated 4 July and 20 July 2024 of HHJ Cawson KC sitting as a High Court Judge in the Business and Property Courts in Manchester in which he dismissed the claim for assisting a breach of trust and knowingly receiving monies applied in breach of trust.
Background
1. The Appellant brought proceedings against the Respondents for assisting a breach of trust and knowing receipt of monies applied in breach of trust.
2. The Appellant represents a trust and beneficiaries of a trust. The Trust was settled by the Appellant. Her joint trustee “Mr Fergus” was her accountant and financial advisor.
3. Mr Fergus lent a significant sum of money from the trust to the Respondents with a favourable interest rate, which was used to purchase a piece of land which was subsequently sold on at a significant profit.
4. The Appellant claimed not to have been aware of the loan until Mr Fergus died and it came to light.
5. The Respondent then paid back the loan to the trust.
6. It is the Appellant’s case that Mr Fergus was acting in breach of trust by lending the money, and that the Second Respondent assisted and was aware of the breach of trust. As such, it was claimed that the Respondent is liable to account for the profit made on the land deal to the trust.
7. The Judge found that the Appellant had not proved that Mr Fergus was acting in breach of trust and, in any event, the Respondent could not have knowingly assisted or received monies applied in breach of trust because he was not aware that the funds were coming from the Trust rather than from Mr Fergus.
View hearing:
Day 1
Day 2