Moriarty had long since owned land in Old Town, through a company he owned, SafeSoil Ltd, which grew specialist, organic carrots on local farmland. It was run for Moriarty by an independent board of directors. Around 18-months ago, Hypershop plc, a large supermarket chain, purchased 100% of Safe-Soil Ltd shares. The management structure of Safe-Soil Ltd remained unchanged although, from that point, the company mainly supplied to Hypershop plc and shared some central resources with them. After the acquisition, Safe-Soil Ltd lost considerable amounts of money and, frustrated by their inability to control such a specialist business, Hypershop plc wound-up Safe-Soil Ltd three months ago. Recently some former workers have contracted chronic skin diseases as a result of negligent practices at Safe-Soil Ltd over a number of years
If they get into a dispute, can they avoid the dispute being taken to court?
my understanding so far is that due to limited liability Moriarty cannot be held personally liable?
Also, HyperShop plc, following the principle in Thompson v Penwick cannot be held liable either?
My Question to You:
Could anyone confirm/expand on what I have understood of the question?
Quick Company Law scenario query and confirmation please? watch
- Thread Starter
- 20-06-2016 17:53