Bridge v Daley [2015] EWHC 2121

Court: High Court

Facts: The claimant, a minor shareholder, accused directors of extensive corruption and breaches of the Companies Act, seeking a derivative claim.

Issue: Is a claimant who acts in good faith but is deemed inappropriate to manage the litigation entitled to bring a derivative claim?

Held: Permission for the derivative claim was refused. The claimant was considered an inappropriate person to lead the claim due to his inability to objectively analyze evidence and the potential adverse impact of his conduct on the litigation.

Key Judicial Statement: Hodge QC HHJ noted that despite the claimant’s good faith, his conduct was deemed likely to harm the case and the company, making him unsuitable to front the derivative action.

💡Leveluplaw: A claimant’s suitability to bring a derivative claim is judged not only on their good faith but also on their ability to manage the litigation responsibly.