When setting up a new company, it’s important for directors to ensure that all the legal requirements are fully met and that everyone involved understands their rights and responsibilities. Failure to do so can soon lead to confusion and legal action, as illustrated in a recent case before the High Court. It involved two men
A homeowner has been awarded compensation for damage caused to his property by the roots of a hedge belonging to his neighbour. The issue first arose in 2006 when the homeowner noticed cracks in his property. Structural engineers investigated and reported that the damage was most likely caused by the roots from a cypress tree
An accountant must pay £943,000 damages to a client after giving him negligent advice about saving tax during the sale of a business. The case involved a successful entrepreneur who was in the process of selling his company for £8.5m. He was liable to Capital Gains Tax (CGT) on 10% of that figure. He engaged
The economic downturn has made both landlords and tenants extra keen to minimise potential losses when leases come to an end. A recent case in the High Court involved a dispute over the condition of a set of roof lights on a single-storey warehouse. The lease had required that the tenant should “keep the whole
A neighbour dispute over relatively trivial matters has led to financial disaster for one side and divorce for the other. The judge described it as a “sad and regrettable dispute” and urged the warring parties to make peace. The case involved a teacher and a photographer who made a series of complaints about each other’s
From 1st April 2013, the Small Claims Track increased from claims valued up to £5,000 to £10,000. Lower limits will apply to personal injury and housing disrepair claims. Although these claims will still be dealt with in the County Court, significantly different rules apply to claims once they are allocated to the Small Claims Track.
A contractor has been found liable for the damage caused by a factory fire even though the client was partly responsible for what happened. The contractor had been hired to refurbish a factory roof. This required providing a suspended scaffold cage which contained gas-powered heaters. Part way through the contract a fire broke out causing
A distribution company has been ordered to pay damages to a perfume manufacturer after it failed to meet several requirements of a longstanding contract. The two parties had an agreement dating back to 2003. The relationship soured and so in July 2010, the manufacturer gave 12 months notice to terminate the agreement. The distributor responded
Two directors have been found guilty of contempt of court after disposing of their company’s goodwill assets in breach of a freezing order. The two directors were involved in a family based agency which sold mechanical breakdown insurance policies. An insurance company became unhappy with the way the directors ran the agency and blamed them
The risk involved in relying on oral contracts was illustrated in a recent case before the High Court. It involved a property consultant who specialised in finding work for development companies in return for a share of the profits. Most of his work was carried out through his own limited company on the basis that