J M Sanderson & Ors v Hi Peak Property Ltd
2014
CHANCERY DIVISION
United Kingdom
CORAM
- MR JUSTICE MORGAN
Areas of Law
- Contract Law
- Corporate Law
- Civil Procedure
2014
CHANCERY DIVISION
United Kingdom
CORAM
AI Generated Summary
The defendants appealed against District Judge Musgrave’s decision not to strike out the claim or grant summary judgment, asserting the claimants lacked contractual rights. The dispute stemmed from contracts involving Hunloke Allotment Association Limited. The court examined the impact of the 1965 Act’s cancellation of registration on the association's corporate status and the possibility of informal dissolution. The judge held that either the association continued as an unincorporated association or the members jointly held the contractual rights, meaning the claim was valid. The appeal was dismissed.
JUDGMENT
27 th June 2014
JUDGMENT
MR JUSTICE MORGAN:
This is an appeal by the defendants against an order of District Judge Musgrave made on 6 th January 2014. The application before the District Judge was an application by the defendants to strike out the claim or to give the defendants summary judgment in relation to the claim.
The essential ground on which the application was made was that the defendants submitted that the claimants did not have the contractual rights which they asserted in the claim; putting it another way, they had no locus standi to assert those contractual rights.
The particular relief sought in the defendants’ application notice was an order that the claim form and particulars of claim be struck out and the claim dismissed because the statements of case disclosed no reasonable grounds for bringing the claim and/or were an abuse of the court process and were likely to obstruct the just disposal of the proceedings. Further, or alternatively, an order for summary judgment against the claimants on the ground that they had no real prospect of success and there was no other compelling reason why the claim should be disposed of at a trial.
The District Judge dismissed the defendants’ application and ordered the defendants to pay the claimant’s costs of the application, which he summarily assessed. The District Judge himself gave the defendants permission to appeal against his order. Mr Gallagher of counsel appeared on behalf of the defendants, both before the District Judge and before me, and Mr Gomer of counsel appeared for the claimants, both before the District Judge and before me.
The claimants are five named individuals who say they are suing on behalf of the members of the Hunloke Allotment Association. The defendants are Hi Peak Property Limited and a Mr Williamson.
The claim is said to arise out of three contracts dated 23 rd March 2005, 16 th May 2006 and 15 th January 2007. Those three contracts were made between a party named as Hunloke Allotments Association Limited and Hi Peak Property Limited. The accurate name of the relevant association at the dates of those contracts was Hunloke Allotment Association Limited, i.e. “Allotment” without an ‘s’, but nothing turns on the presence of the ‘s’ in the name of the party to the contracts. The contracts were in law effectively made by the body then known as Hunloke Allotment Association Limited.
At the time of those contracts, Hunloke Allotment Association Limited was the o