Aeroflot-Russian Airlines v Berezovsky & ors [2015] EWHC 3937 (Ch)

WTLR Issue: October 2016 #163

AEROFLOT-RUSSIAN AIRLINES

V

BEREZOVSKY & ors

Analysis

The claimant brought proceedings against (amongst others) Mr Berezovsky’s estate. An application was issued on 9 December 2015 by the trustees of the insolvent estate of the late Mr Berezovsky in the run up to the first CMC. The trustees were Mr Wood, Mr Hellard and Mr Leeds, and they sought a stay of the proceedings against Mr Berezovsky’s estate under s285(1) of the Insolvency Act 1986 as amended by the Administration of Insolvent Estates of Deceased Persons Order 1986 (SI 1986/1999). The trustees’ principal argument was that if a stay was not granted the trustees would be pushed to defend a claim which would take up money that they did not have and would only lead to a pyrrhic victory for the claimant. The assets of the estate were less than the various proprietary claims being asserted against the estate which amounted to $400m in value.

Counsel details

Mr S Davenport QC and Mr A Casey (3 Hare Court, London EC4Y 7BJ, tel 020 7415 7800, e-mail clerks@3harecourt.com) appeared on behalf of the claimant.

Mr P McGrath QC (Essex Court Chambers, 24 Lincoln’s Inn Fields, London WC2A 3EG, tel 020 7813 8000, e-mail clerksroom@essexcourt.com) and Mr R Blakeley (Brick Court Chambers, 7-8 Essex Street, London WC2R 3LD, tel 020 7379 3550, e-mail clerks@brickcourt.co.uk) appeared on behalf of the first defendant.

The second defendant appeared in person.

Mr F Tregear QC (XXIV Old Buildings) (XXIV Old Buildings, 24 Old Buildings, Lincolns Inn, London WC2A 3UP, tel 020 7691 2424, e-mail practicemanagers@xxiv.co.uk) appeared on behalf of the third and fifth defendants.

Cases referenced

Cases in bold have further reading - click to view.

  • Biddencare [1994] 2 BCLC 160
  • Bourne & Ors v The Charit-Email Technology Partnership LLP [2009] EWHC 1901 (Ch)
  • Costco Bulk Carrier Co v Amanda Shipping SA [2011] 2 All ER (Comm)
  • Fennell v Halliwells LLP [2013] EWHC 2837 (Ch)

Legislation referenced

Legislation in bold has further reading - click to view.

  • Insolvency Act: 1986
  • The Administration of Insolvent Estates of Deceased Persons Order 1986 (S.I 1986/1999)