header-logo header-logo

12 September 2019 / Julia Petrenko , Edward Peters KC
Issue: 7855 / Categories: Features , Property
printer mail-detail

Correcting past mistakes

Reducing the role of the reasonable man in a rectification context: Julia Petrenko & Edward Peters on FSHC Group Holdings Ltd v Glas Trust Corporation Ltd

  • In FSHC Group Holdings Ltd v Glas Trust Corporation Ltd, the Court of Appeal provided welcome clarification in relation to the requirements which must be satisfied if a written document is to be rectified on the basis of common mistake.
  • In particular, the court clarified that the obiter remarks made by Lord Hoffmann in Chartbrook Ltd v Persimmon Homes Ltd—that the test for establishing a common intention which was mistakenly not reflected in the written document is objective —do not represent the law.

Rectification is an equitable remedy which applies to written documents which, mistakenly, fail to record what was agreed by the parties. There are two species of rectification: common mistake rectification and unilateral mistake rectification. As regards the former, in brief summary, the claimant must show that:

  • the parties had a common continuing intention, whether or not amounting to an agreement,
If you are not a subscriber, subscribe now to read this content
If you are already a subscriber sign in
...or Register for two weeks' free access to subscriber content

MOVERS & SHAKERS

Thackray Williams—Lucy Zhu

Thackray Williams—Lucy Zhu

Dual-qualified partner joins as head of commercial property department

Morgan Lewis—David A. McManus

Morgan Lewis—David A. McManus

Firm announces appointment of next chair

Burges Salmon—Rebecca Wilsker

Burges Salmon—Rebecca Wilsker

Director joins corporate team from the US

NEWS
What safeguards apply when trust corporations are appointed as deputy by the Court of Protection? 
Disputing parties are expected to take part in alternative dispute resolution (ADR), where this is suitable for their case. At what point, however, does refusing to participate cross the threshold of ‘unreasonable’ and attract adverse costs consequences?
When it comes to free legal advice, demand massively outweighs supply. 'Millions of people are excluded from access to justice as they don’t have anywhere to turn for free advice—or don’t know that they can ask for help,' Bhavini Bhatt, development director at the Access to Justice Foundation, writes in this week's NLJ
When an ex-couple is deciding who gets what in the divorce or civil partnership dissolution, when is it appropriate for a third party to intervene? David Burrows, NLJ columnist and solicitor advocate, considers this thorny issue in this week’s NLJ
NLJ's latest Charities Appeals Supplement has been published in this week’s issue
back-to-top-scroll