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ARTICLE · 23 DECEMBER 2024

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Can A Breach Of Trust Result In Equitable Compensation?

The High Court, embroiled in longstanding litigation, had to determine whether equitable compensation for the breaches was owed and, if so, the quantum due.

United KingdomLitigation, Mediation & Arbitration

The High Court, embroiled in longstanding litigation, had to determine whether equitable compensation for the breaches was owed and, if so, the quantum due.

Background:

Mrs. Linda Riley held in trust a property at 1 Parkgate Road for Rollerteam Limited pursuant to a trust deed dated 11 April 2013. The director of Rollerteam was Mr. John Aidiniantz, Linda's half-brother. At a certain point in time, the property was occupied by Linda's brother Stephen, who had tried to assert rights in respect of the property.

In a 2022 judgement, Linda was declared in breach of trust as she failed to transfer the property to Rollerteam with vacant possession when requested to do so by Rollerteam in 2015. She had also failed to produce the sale of the property as requested in 2017. She treated the two requests as being either illegal or optional and thus did not seek any indemnification or funding from Rollerteam.

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