{"id":6136,"date":"2015-06-19T17:06:00","date_gmt":"2015-06-19T17:06:00","guid":{"rendered":"http:\/\/localhost\/sccblog\/?p=6136"},"modified":"2015-10-14T15:56:50","modified_gmt":"2015-10-14T10:26:50","slug":"trustee-will-not-be-personally-liable-as-to-costs-incurred-in-earlier-proceedings","status":"publish","type":"post","link":"https:\/\/www.scconline.com\/blog\/post\/2015\/06\/19\/trustee-will-not-be-personally-liable-as-to-costs-incurred-in-earlier-proceedings\/","title":{"rendered":"Trustee will not be personally liable as to costs incurred in earlier proceedings"},"content":{"rendered":"

Supreme Court of United Kingdom<\/span><\/b>– Giving directions in the pending appeal concerning a claim in negligence by the appellant against the respondent wherein the Trustee so appointed sought the extent of his potential liability (personal liability) for costs if the appeal fails, the Court unanimously held that if the Trustee adopts the appeal to the Supreme Court he will not be held personally liable be held personally liable for costs of the hearings before the trial judge and the Court of Appeal, by virtue only of the fact of his office as Trustee of the appellant\u2019s estate in bankruptcy or of his adoption of the appeal. The Court considered the decision in Borneman v Wilson<\/st1:place><\/st1:city> <\/i>(1884) 28 Ch D 53, wherein it was held that the trustee cannot adopt part of the action and leave out the rest. The Court declared it to be no longer a good law.<\/span><\/p>\n

The facts state that the appellant lent \u00a3200,000 to a company called Whiteshore Associates Ltd. The courts below have found that his solicitors-respondents were negligent in their handling of the transaction. The Trial Court awarded full amount to the appellant while the Court of Appeal held that this loss was not within the scope of the solicitors\u2019 duty, hence, reduced the award and ordered the appellant to pay the respondents costs of the proceedings up to and including the appeal. Later the appellant became bankrupt and a Trustee was accordingly appointed. As a result, the right to pursue the appeal vests in the trustee which he is yet to decide owing to his potential liability.<\/span><\/p>\n

With regard to the lack of jurisdiction issue raised by the respondents, Lord Sumption stated that the Supreme Court has jurisdiction to deal with this application under Section 40(5) of the Constitutional Reform Act 2005. The Court further held that a trial and the successive appeals from the order made at trial are distinct proceedings in the same action and a distinct order for costs is made in respect of each stage and any liability as to costs in the earlier proceedings would merely give the respondents an unwarranted priority for their claim under the Court of Appeal\u2019s costs order. BPE Solicitors v. Gabriel<\/i>, 2015 UKSC 39, decided on 17.06.2015<\/o:p><\/span><\/p>\n

 <\/span><\/p>\n

 <\/span><\/p>\n","protected":false},"excerpt":{"rendered":"

Supreme Court of United Kingdom– Giving directions in the pending appeal concerning a claim in negligence by the appellant against the respondent <\/p>\n","protected":false},"author":3,"featured_media":7321,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[12],"tags":[],"class_list":["post-6136","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-foreigncourts"],"yoast_head":"\nTrustee will not be personally liable as to costs incurred in earlier proceedings | SCC Times<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.scconline.com\/blog\/post\/2015\/06\/19\/trustee-will-not-be-personally-liable-as-to-costs-incurred-in-earlier-proceedings\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" 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Court answers","author":"Bhumika Indulia","date":"November 23, 2020","format":false,"excerpt":"Kerala\u00a0High Court:\u00a0A Full Bench of A.M. Shaffique, Sunil Thomas and Gopinath, JJ., held that there is no limitation period for wife\/divorced wife to claim her property entrusted to husband\/in-laws given in the form of dowry or otherwise. Questions involved was: Whether trust created by a wife entrusting her property to\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":235978,"url":"https:\/\/www.scconline.com\/blog\/post\/2020\/09\/18\/bom-hc-under-what-circumstances-can-drastic-action-be-taken-against-trustee-under-s-41-d-of-bombay-public-trust-act-provision-explained\/","url_meta":{"origin":6136,"position":4},"title":"Bom HC | Under what circumstances can drastic action be taken against trustee under S. 41-D of Bombay Public Trust Act? Provision explained","author":"Bhumika Indulia","date":"September 18, 2020","format":false,"excerpt":"Bombay High Court:\u00a0Anil S. Kilor, J., while addressing the present petition observed that, \"Unless and until the lapse on part of the trustee is proved to be actuated by dishonestly, the drastic action under Section 41-D of the Bombay Public Trust Act, 1950 may not be warranted.\" The present appeal\u2026","rel":"","context":"In "Case Briefs"","block_context":{"text":"Case Briefs","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casebriefs\/"},"img":{"alt_text":"","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=700%2C400&ssl=1 2x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2016\/09\/Bombay-HC.jpg?resize=1050%2C600&ssl=1 3x"},"classes":[]},{"id":342100,"url":"https:\/\/www.scconline.com\/blog\/post\/2025\/02\/23\/when-sc-held-repayment-of-original-debtors-debts-by-his-legal-heirs-as-good-consideration-in-agreement-b-w-parties\/","url_meta":{"origin":6136,"position":5},"title":"NRJ Series| When SC held repayment of original debtor\u2019s debts by his legal heirs as a good consideration in agreement between parties [(1954) 2 SCC 847]","author":"Arushi","date":"February 23, 2025","format":false,"excerpt":"This report covers the Supreme Court's Never Reported Judgment on consideration, dating back to the year 1954.","rel":"","context":"In "Cases Reported"","block_context":{"text":"Cases Reported","link":"https:\/\/www.scconline.com\/blog\/post\/category\/casesreported\/"},"img":{"alt_text":"consideration","src":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/02\/shared-image-_49_.webp?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/02\/shared-image-_49_.webp?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/02\/shared-image-_49_.webp?resize=525%2C300&ssl=1 1.5x, https:\/\/i0.wp.com\/www.scconline.com\/blog\/wp-content\/uploads\/2025\/02\/shared-image-_49_.webp?resize=700%2C400&ssl=1 2x"},"classes":[]}],"amp_enabled":true,"_links":{"self":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/6136","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/comments?post=6136"}],"version-history":[{"count":0,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/posts\/6136\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media\/7321"}],"wp:attachment":[{"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/media?parent=6136"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/categories?post=6136"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.scconline.com\/blog\/wp-json\/wp\/v2\/tags?post=6136"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}