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07 February 2008 / David O'mahoney
Issue: 7307 / Categories: Features , Public , Procedure & practice , Profession
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Asset protection

Should freezing orders prohibit banks enhancing the value of protected assets? David O’Mahony reports

 

Freezing orders are a feature of both criminal and civil litigation. Their obvious purpose is to preserve assets so that there is something against which a final order can be enforced. The sanctions for breach of the order are provided by the law on contempt of court. But in common form, freezing orders prohibit “dealing” with assets.
 
DEALING WITH ASSETS
Although some comments in the Court of Appeal in Z Ltd v A-Z and AA-LL [1982] QB 558, [1982] 1 All ER 556 led to a very cautious attitude by those giving advice on what conduct constituted a breach of the no dealing aspect of freezing orders, the Court of Appeal in Law Society v Shanks [1988] 1 FLR 504 and Bank Mellat v Kazmi [1989] QB 541, [1989] 1 All ER 925 decided that it would not be a breach to hand assets to a person to whom a freezing order was directed, provided
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MOVERS & SHAKERS

Signature Litigation—Catherine Naylor

Signature Litigation—Catherine Naylor

International fraud and asset recovery offering boosted by partner hire

Stevens & Bolton—Alexa Payet

Stevens & Bolton—Alexa Payet

Private wealth disputes team adds contentious probate specialist

Morgan Lewis—Paul Feldberg

Morgan Lewis—Paul Feldberg

Firm strengthens investigations and sanctions capabilities with London partner hire

NEWS
Cheshire West, which established an ‘acid test’ for deprivation of liberty safeguards, has been overturned by the Supreme Court
The Chancery Division and other segments of the High Court are to be replaced by a new Business and Property Division (BPD), in a major civil justice shakeup
Law firms that hold client money will need to file annual accountants’ reports and make a declaration, the Solicitors Regulation Authority (SRA) confirmed this week
Two district judges and a tribunal judge have been sanctioned for delays in delivering judgments and orders
Private equity (PE) investment into UK law firms halved to £250m last year, but deal volume rose, according to research by Acquira Professional Services’ Momentum private equity market tracker
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