Injunctions against “persons unknown” have increased in popularity in recent years; however, the recent judgment in MBR Acres Ltd and others v McGivern [2022] EWHC 2072 has cast doubt on the how widely these injunctions can take effect in future. Following this judgment parties will have to carefully consider whether it will be possible to prove an unknown person is bound by the injunction and it can be enforced against them.
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New EU liability rules proposed for artificial intelligence
European Commission publishes new liability rules to simplify claims for damage caused by AI-systems
The ‘Rule in West Mercia’: When Do Directors Owe a Duty to Their Company’s Creditors?
Since 1988, West Mercia Safetywear v Dodd has been the leading authority for when directors of financially stressed companies are subject to the so-called ‘creditor duty’, namely the duty to consider the interests of the company’s creditors. Now, in BTI 2014 LLC v Sequana SA & Others, the Supreme Court has considered the ‘rule in West Mercia’ for the first time and clarified the existence, content, and engagement of that duty.
Court of Appeal Lifts Stay to Allow English Court to Determine the Validity of Arbitration Clause
The Court of Appeal of England and Wales has set aside a stay in order to allow the English court to determine the validity of an arbitration clause contained in a contract between an English consumer and a foreign company. The stay had been imposed by the Commercial Court under section 9 of the Arbitration Act 1996 in favour of arbitral proceedings in New York. The Court of Appeal considered that the case had significant implications for consumers in general and it was therefore important that the issues were considered and ruled upon in public in an English court rather than privately in a US arbitration.
New EU Class Actions Mechanisms to be Implemented by Christmas
New laws allowing groups of EU consumers to launch class actions against traders are to be implemented by 25 December 2022 and will apply from June next year. The EU’s Representative Actions Directive (EU) 2020/1828 represents a major overhaul of the European class actions landscape, introducing mechanisms for group litigation in every one of the EU’s 27 Member States, alongside a new cross-border mechanism for class actions.
In-house E-Disclosure Teams Should Not Be Vilified
Cabo Concepts Ltd v MGA Entertainments (UK) Ltd & Another has caused much agitation among litigators and e-disclosure professionals. On the face of it, the case appears to be a warning against conducting e-disclosure in-house. However, properly administered, the use of in-house technology and teams can be highly effective and efficient. Here are our key pointers for companies with in-house capabilities to ensure the smooth running of the disclosure process.
The 1996 Arbitration Act Under Review: The Law Commission Requests Comments on Proposed Reforms
On 22 September, the Law Commission published a consultation paper, together with a summary, on proposals to review certain sections of the Act.
Misleading ESG Claims – Will They Wash?
‘Greenwashing’ is the practice of a company providing information on its environmental, social and corporate governance (ESG) policies, or its products and practices, with the intent to present an environmentally responsible public image that masks harmful business practices.
US-UK Data Access Agreement: Top Five Things to Know
In May 2020, we published a blog post about the US-UK Data Access Agreement, a first-of-its-kind reciprocal agreement between the US and the UK. Under the agreement, law enforcement agencies in either country could obtain stored electronic data from communications service providers (CSPs) in the other country for the purpose of countering serious crime via a much-streamlined process, thereby overhauling the infamously sluggish mutual legal assistance process.
Courts continue to deter satellite litigation on witness statements
Despite having broad case management powers in respect of trial witness statements that do not comply with the procedural rules, judges are notably unwilling to impose the more draconian sanctions available to them. This week, in McKinney Plant & Safety Ltd v The Construction Industry Training Board, a claimant who had committed multiple breaches of the rules and had exacerbated those breaches by being entirely dismissive of the defendant’s objections, escaped with a relatively lenient adverse costs order.