header-logo header-logo

18 July 2013 / Emma Hargreaves , Daniel Lightman KC
Issue: 7569 / Categories: Features , Commercial
printer mail-detail

Lessons from Prest

istock_000011242544medium

When is it appropriate for the courts to draw adverse inferences? Daniel Lightman & Emma Hargreaves report post-Prest

The decision of the Supreme Court in Prest v Petrodel Resources Ltd [2013] UKSC 34, [2013] All ER (D) 90 (Jun) was awaited with keen anticipation, as it had the potential radically to change the legal landscape for both family and company lawyers. In the weeks since the judgment was handed down, a flurry of articles have addressed, in particular, Lord Sumption’s treatment of the so-called doctrine of piercing the corporate veil and his interpretation of s 24(1)(a) of the Matrimonial Causes Act 1973 (MCA 1973). This article, however, focuses on another aspect of the decision: in what circumstances is it appropriate for the courts to draw adverse inferences? 

Case summary

The facts of Prest are now well-known and accordingly are not set out in this article (see "A matter of trust" & "Law report"). In short, the dispute arose out of ancillary relief proceedings in which

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

Clarke Willmott—Matthew Roach

Clarke Willmott—Matthew Roach

Partner joins commercial property team in Taunton office

Farrer & Co—Richard Lane

Farrer & Co—Richard Lane

Londstanding London firm appoints new senior partner

Bird & Bird—Sue McLean

Bird & Bird—Sue McLean

Commercial team in London welcomes technology specialist as partner

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