Griffins succeed at the Supreme Court
In the matter of Burnden Holdings (UK) Limited v Fielding and another the Supreme Court has upheld the decision of the Court of Appeal in its interpretation is s.21(1)(b) Limitation Act 1980.
Lord Kerr, Lord Sumption, Lord Carnwath, Lord Lloyd-Jones and Lord Briggs were unanimous in their view that the appeal should be dismissed, finding that section 21(1)(b) applies to trustees who are company directors, who are to be treated as being in possession of the trust property from the
outset. The Court declines to express a final view on section 32.
Stephen Hunt said; “We welcome the outcome of this final appeal. It will be helpful to creditors in this liquidation but it will also have far-reaching consequences for many other insolvencies. Liquidators have a wide range of powers to investigate the causes of insolvency and bring any claims that arise from those investigations. This judgment is likely to increase the number of claims brought and thereby improve the chances of creditors receiving a dividend.”