Q&As

If an individual has obtained a County Court Judgment against a company, is it possible to pierce the corporate veil on the basis of fraud or are separate proceedings required against any wrongdoing directors?

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Published on LexisPSL on 14/06/2019

The following Dispute Resolution Q&A provides comprehensive and up to date legal information covering:

  • If an individual has obtained a County Court Judgment against a company, is it possible to pierce the corporate veil on the basis of fraud or are separate proceedings required against any wrongdoing directors?
  • Against whom can a judgment be enforced?
  • Separate proceedings against a director
  • Further reading

If an individual has obtained a County Court Judgment against a company, is it possible to pierce the corporate veil on the basis of fraud or are separate proceedings required against any wrongdoing directors?

Against whom can a judgment be enforced?

Where a judgment has been obtained against a natural or legal person, such a judgment can only be enforced against that natural or legal person, and not another person. This is supported by CPR 70.1, which defines the term ‘judgment debtor’ for the purposes of enforcement.

CPR 70.1 states:

‘(1) This Part contains general rules about enforcement of judgments and orders.

(Rules about specific methods of enforcement are contained in Parts 71 to 73, 81, 83, 84 and 89, and Schedule 2 CCR Order 28)

(2) In this Part and in Parts 71 to 73 –

(a) “judgment creditor” means a person who has obtained or is entitled to enforce a judgment or order;

(b) “judgment debtor”

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