Phillips v Brewin Dolphin Bell Lawrie
Phillips v Brewin Dolphin Bell Lawrie [2001] UKHL 2 is a leading United Kingdom insolvency law case, concerning voidable transactions.Brewin Dolphin contended that part of the agreement was that its parent company, Private Capital Group Ltd, would pay AJ Bekhor four yearly instalments of £312,000 for renting computer equipment.The covenant for the rental had been sublet to BD by AJB despite an absolute bar in the head lease.The trial judge and the Court of Appeal[1] refused to take the computer rental agreement into account, as part of consideration for the share transaction.The collateral agreement was precarious, and worthless because the headlessors had immediately declared the transaction to be a repudiatory breach, and it therefore had no value to Brewin Dolphin.