Next Stop: The Supreme Court in Highly Anticipated Trust Law Dispute

9th August 2023

We have had success for one of our clients as they have been granted permission to appeal to the Supreme Court, in the long-running dispute in LA Micro Group Inc & Others v LA Micro Group (UK) Limited & Others.

This is the latest development in a complex, trans-Atlantic dispute which was initially issued in London’s High Court in 2020. The case has been before the Court of Appeal twice already (the judgment in which can be found here).

The proceedings concern a dispute over the beneficial ownership of shares in a UK company and demonstrate the importance of complying with formal and legal requirements throughout any commercial relationship.

The case has dealt with numerous complex legal issues throughout the proceedings to date, including contractual surrender, judicial estoppel, proprietary estoppel and internally irreconcilable judgments.

The proceedings have narrowed significantly, now concentrating on a fundamental point of Trust Law. The final step in the proceedings will now focus on whether a constructive trust came into existence in the context of a disposal of an equitable interest where the formality requirements under s.53(1)(c) of the Law of Property Act 1925 – which, ordinarily, requires such transfers to be in writing – had not been met.

The case is therefore expected to sit alongside the landmark House of Lords case of Oughtred v IRC [1960] AC 206 in which the Court opted not to decide the point to be resolved in the forthcoming LA Micro appeal.

A panel of three Supreme Court justices have now granted permission to appeal. The Court is expected to hear the case in early 2024.

Leo Jones-Rowe, assisted by Jonathan Exall and Jessica Brain, acted for the Second Appellant in the proceedings.

If you need to speak to us about a commercial dispute, we’re here to help, get in touch.

We’re here for you – contact us today

0300 124 0406
enquiries@schofieldsweeney.co.uk

Contact Us

Bradford office

Church Bank House
Bradford
West Yorkshire
BD1 4DY

What3words - names.frosted.broke
Phone: 01274 350 800 Fax: 01274 306 111

Leeds office

Centura
76 Wellington Street
Leeds
West Yorkshire
LS1 2AY

What3words - crass.makes.store
Phone: 0113 849 4000 Fax: 0113 243 9326

Huddersfield office

30 Market Street
Huddersfield
West Yorkshire
HD1 2HG

What3words - eaten.salads.case
Phone: 01484 915 000 Fax: 0800 368 8449

London office

33 Bedford Row
London
WC1R 4JH
Phone: 020 8146 5119
Copyright © Schofield Sweeney Solicitors. All Rights Reserved.

Schofield Sweeney LLP is authorised and regulated by the Solicitors Regulation Authority.

Website by Tall
Conveyancing Quality