Re Macro (Ipswich) [1994] 2 BCLC 354

• Claimant owned shares in two property-owning companies. These two companies had a property managing agent, the Thompsons.

• Claimant believed two companies had suffered losses due to Thompsons committing various improprieties (e.g. charging excessive management charges to two companies).

• Claimant therefore sued Defendant, sole director of Thompsons, on grounds he had inadequately supervised his firm.

Held

• Case distinguished from Re Elgindata

• In Elgindata, management had simply been poor, whereas in present case:

  • Were specific acts of mismanagement by Thompsons, which Defendant failed to rectify

  • Some acts of mismanagement were repeated over many years

• Thus on facts, acts of mismanagement were sufficiently serious to cause unfair prejudice to Claimant.

• Relevant here that Defendant’s firm stood to gain from some the acts of mismanagement (e.g. the excessive charges).This is possibly a key factor.

RELATED CASES

• Re Elgindata