ARTICLE
7 January 2025

High Court Permits Rescission Of Deeds Of Appointment And Criticises HMRC Practice

NR
Norton Rose Fulbright Hong Kong

Contributor

Norton Rose Fulbright provides a full scope of legal services to the world’s preeminent corporations and financial institutions. The global law firm has more than 3,000 lawyers advising clients across more than 50 locations worldwide, including London, Houston, New York, Toronto, Mexico City, Hong Kong, Sydney and Johannesburg, covering Europe, the United States, Canada, Latin America, Asia, Australia, Africa and the Middle East. With its global business principles of quality, unity and integrity, Norton Rose Fulbright is recognized for its client service in key industries, including financial institutions; energy, infrastructure and resources; technology; transport; life sciences and healthcare; and consumer markets.

The High Court rescinded trust deeds in *JCT Employer Solutions Trustee Ltd v Garnett [2024]* due to fiscal mistakes, criticizing HMRC's indirect intervention in the case.
United Kingdom Employment and HR

In JCT Employer Solutions Trustee Ltd v Garnett [2024], the High Court rescinded various deeds of appointment made under two trusts created for the benefit of employees of Janus Henderson.

The deeds were rescinded on the grounds of mistake as to their fiscal effect under the principle set out in Pitt v Holt. Master Brightwell criticised HMRC refusing an invitation to be joined to the claim and instead sending a letter to the Court setting out potential objections to the relief sought.

The Master said that the letter went well beyond the sort of points that could properly be made in correspondence and without seeking to be joined to the proceedings, particularly the claim that HMRC had been prejudiced by a delay in bringing the claim. The Master added: "HMRC cannot expect these points to be determined if their only involvement is by a form of shadow boxing through correspondence."

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

Mondaq uses cookies on this website. By using our website you agree to our use of cookies as set out in our Privacy Policy.

Learn More