CHANCERY DIVISION
Royal Courts of Justice Strand, London,WC2A 2LL |
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B e f o r e :
(sitting as a Deputy Judge of the High Court)
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RELFO LIMITED (IN LIQUIDATION) |
Claimant |
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and |
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BHIMJI VELJI JADVA VARSANI |
Defendant |
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Crown Copyright ©
This is my judgment on an application by Bhimji Velji Jadva Varsani ("the defendant") to set aside service of these proceedings upon him and, if that fails, to stay these proceedings on the ground that they are res judicata.
Background
Singapore proceedings
a. that the sum did not represent the traceable proceeds of the claimant's money and that he did not receive the sum knowing of a breach of trust or dishonestly assisting any such breach ("the trust defence");
b. that the claimant's claim was precluded on the ground that the UK Revenue was the only creditor in the claimant's liquidation and that the claim therefore amounted to an impermissible attempt to enforce in Singapore the fiscal debts of a foreign country ("the foreign revenue defence"); and
c. that an earlier settlement agreement that the liquidator of the claimant had reached with Mr Gorecia and his wife had the effect of precluding any claims against the defendant ("the compromise defence").
The English proceedings
The critical facts.
Is 9 Gainsborough Gardens a residence of the defendant?
The Russian oligarch cases.
Conclusion on "residence"
"Mr Deripaska is, if I may say so, very much a modern phenomenon. It makes it very difficult to draw useful comparisons with precedents from a different era. He is truly an international businessman and jets about the world for frequent and brief business meetings."
No realistic comparison can be drawn between his case and that of the defendant in this case. In no real sense was Mr Deripaska's house in London occupied as a home or a settled or usual abode. His family did not live in this house, although they also visited it sporadically. Langley J noted that he was in the house when his wife was also there for only 5 nights in 2005 and seven in 2006.
"In fact my wife and I have had to make a very painful sacrifice of having to live in different continents just so that we can give our children the best British education we can afford."
."Usual" residence
"Last known" residence.
Res judicata.
"Where a final judicial decision has been pronounced on the merits by an English or (with certain exceptions) a foreign judicial tribunal with jurisdiction over the parties and the subject matter, any party to such litigation, as against any other party…..is estopped in any subsequent litigation from disputing such decision on the merits…."
" A foreign judgment may be relied on in English proceedings otherwise than for the purpose of its enforcement. A claimant who has brought proceedings abroad and lost may seek to bring a similar claim in England; or in proceedings on a different claim an issue may be raised which has been decided abroad. In such cases a foreign judgment decided abroad may give rise to res judicata, i.e to cause of action estoppel which prevents a party to proceedings from asserting or denying, as against the other party, the existence of a cause of action the non existence or existence of which has been determined by the foreign court, or to an issue estoppel, which will prevent a matter of fact or law necessarily decided by a foreign court from being re-litigated in England".
" I am, accordingly satisfied that this claim is an attempt to indirectly enforce the revenue laws of the United Kingdom. Therefore, I cannot assist the plaintiff."