Hilary Term
[2013] UKSC 17
On appeal from: [2011] EWCA Civ 1541
JUDGMENT
Hayes (FC) (Respondent) v Willoughby (Appellant)
before
Lord Neuberger, President
Lord Mance
Lord Wilson
Lord Sumption
Lord Reed
JUDGMENT GIVEN ON
20 March 2013
Heard on 17 January 2013
Appellant Clive Wolman (Instructed by Michael John Willoughby) |
Respondent Robin Allen QC Akua Reindorf (Instructed by Ginn & Co) |
LORD SUMPTION (with whom Lord Neuberger and Lord Wilson agree)
"(3) Subsection (1) does not apply to a course of conduct if the person who pursued it shows—
(a) that it was pursued for the purpose of preventing or detecting crime,
(b) that it was pursued under any enactment or rule of law or to comply with any condition or requirement imposed by any person under any enactment, or
(c) that in the particular circumstances the pursuit of the course of conduct was reasonable."
(1) Mr Willoughby's conduct was gratuitous, for apart from some modest financial claims against Mr Hayes, almost all of which were resolved at an early stage of his campaign, he had no personal interest in establishing his allegations against Mr Hayes. He was animated, the judge said, by "mixed motives, including personal animosity to H (in fairness based largely on the same suspicions) and a sort of intellectual curiosity." He quoted Mr Willoughby's evidence that it was an intellectual problem, "like playing bridge."
(2) Mr Willoughby has at all times sincerely believed that Mr Hayes had stolen large sums from his companies in the United Kingdom and committed a variety of offences in the course of doing so. He continues to believe this to the present day. His campaign was throughout "subjectively directed at the prevention or detection of crime."
(3) At the outset of the campaign, there was a reasonable basis for Mr Willoughby's suspicions. But Mr Willoughby accepted, indeed asserted, that the crucial evidence was that of the companies' bank statements which if examined would either prove or refute his allegations. Once it became clear that the Official Receiver had examined this material and that it did not support Mr Willoughby's case, the judge considered that his persistence ceased to be reasonable. The judge found that this stage had been reached by 14 June 2007, when the Official Receiver reported to him the conclusion of his investigation, or at the latest by 21 September 2007 when the Official Receiver sent him a schedule accounting for substantially the whole of the book debts of IT-Map in the relevant period. Thereafter, Mr Willoughby's persistence "exceeded even the widest limits of reasonableness and became unreasonable and obsessive". "The inevitable conclusion", the judge said, "is that he has developed an unshakeable conviction of H's criminal guilt which now precedes rather than follows any objective assessment."
(4) The three incidents of personal intrusions into Mr Hayes's private life (such as the contact with his GP) were never reasonable and had no relevant connection with the prevention or detection of crime. But they did not constitute a separate "course of conduct" capable of amounting to harassment independent of the correspondence with the public authorities.
Some of these findings seem unduly charitable to Mr Willoughby. But the judge heard the witnesses, and it is not for an appellate court lacking that advantage to substitute its own assessment of his state of mind. The question is what is the effect of the findings as a matter of law.
"Purpose, when used in reference to a transaction, has two elements: the first, a result which the transaction is capable of producing; the second, the result which the person or persons who engage in or control the transaction intend it to produce. Or, to express the concept in different terms, the purpose of a transaction is the result which it is capable of producing and is intended to produce."
This is probably as much as can usefully be said in general terms about this protean concept.
LORD MANCE
LORD REED (dissenting)