Edition 4524: LawNewsIndex is a UK based daily legal news archive on Law, Lawyers, Law Firms, Justice, Jurisprudence, Legislation, Litigation, Legal Ethics & Human Rights since 2011.
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Today's Highlighted Video Story: Lifestyle Equities CV and another (Appellants) v Ahmed and another (Respondents) -
The issue is: What is the nature and extent of the liability of a director, or senior executive employee, for causing a company to commit a civil wrong, for which a claim can be brought without a finding of fault by the wrongdoer (e.g. a ‘strict liability tort’)? Here, the strict liability tort was trademark infringement. If a director is legally responsible for the tort, can they be ordered to pay profits made as a result of the tort to the wronged part (e.g. a ‘account of profits’), even if those profits were not personally received? Does this extend to the director paying back the portion of their salary that was attributable to the tort? The Supreme Court unanimously dismisses Lifestyle's appeal (which argued that the Ahmeds should have been ordered to account for profits made by Hornby Street) and allows the Ahmeds' appeal.
The issue is: What is the nature and extent of the liability of a director, or senior executive employee, for causing a company to commit a civil wrong, for which a claim can be brought without a finding of fault by the wrongdoer (e.g. a ‘strict liability tort’)? Here, the strict liability tort was trademark infringement. If a director is legally responsible for the tort, can they be ordered to pay profits made as a result of the tort to the wronged part (e.g. a ‘account of profits’), even if those profits were not personally received? Does this extend to the director paying back the portion of their salary that was attributable to the tort? The Supreme Court unanimously dismisses Lifestyle's appeal (which argued that the Ahmeds should have been ordered to account for profits made by Hornby Street) and allows the Ahmeds' appeal.
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