Family company feud—A showdown between siblings (Gill v Gill)

Table of contents

• What are the practical implications of this case?
• What was the background?
• What did the court decide?
• Case details

Article summary

Restructuring and Insolvency analysis: The claimant sought a finding of unfair prejudice against his two brothers, and co-directors, with regards the management of the third defendant company. He invited the court to wind up the company on a just and equitable basis or, alternatively, that his share purchase order be made. While the court upheld some of the complaints of unfairly prejudicial conduct, it dismissed others. In so doing, the court provided helpful guidance in terms of the nature of conduct deemed to be unfairly prejudicial; the ingredients for a quasi-partnership; what steps are required for the effective dismissal of a director; the binding nature of reports prepared by single joint experts; and when, following presentation of an unfair prejudice petition, it may be appropriate to wind up the company concerned rather than award payment for the minority shareholder’s shareholding and interest. Written by Olivia Chaffin-Laird, a barrister at 33 Chancery Lane.