Property investors who claimed that they were duped into supporting ill-fated hotel and leisure developments in the Caribbean have won £1.3 million of their money back with the assistance of specialist litigation lawyers.
The group of more than 20 investors claimed that they had been induced by fraud to enter into property sale agreements and to pay substantial deposits. They sued the couple who were said to be responsible for alleged deceit and breach of trust. Asset freezing orders were obtained against the couple and they ultimately agreed to a £1.3 million settlement of the investors’ claims as the day of trial approached.
None of that money had been paid, however, and the couple argued that they had been persuaded to enter into the settlement by false statements made on the investors’ behalf. It was submitted that the settlement should be rescinded on that basis. Alternatively, they asserted an entitlement to terminate the agreement because the investors had failed to meet their side of the bargain.
In rejecting the couple’s arguments, the High Court found that their application was primarily motivated by their inability or unwillingness to pay the £1.3 million and was a last-minute attempt to avoid their obligations under the settlement. The investors were entitled to payment of the whole sum forthwith and summary judgment was entered to that effect.