- Home
- News & Insights
- Insights
- Changes to the privi…
- Auf dieser Seite
6. Dezember 2024
Disputes Quick Read – 5 von 103 Insights
Changes to the privilege rules between companies and shareholders
- Quick read
Background
In a very recent decision in Aabar Holdings S.a.r.l v Glencore Plc [2024] EWHC 3046 (Comm), the Commercial Court considered the "Shareholder Rule" established in 19th century case law. This is an exception to the law of privilege that prevented a company from asserting privilege against its own shareholders save in relation to documents that came into existence for the purpose of hostile litigation against a shareholder. The principle was based on the findings in the cases in the 19th century that shareholders had a proprietary interest in the company's assets, including legal advice paid with using company funds. Subsequently it was determined in Saloman v Saloman & Co Ltd [1897] AC 22 that a company has a separate legal personality from its shareholders and since that decision there has been a tension between that principle and the Shareholder Rule.
What are the key findings?
The judge in this decision made two key findings:
- The "proprietary interest" approach was no longer correct in law after the Saloman case, and the Shareholder Rule did not exist in English law.
- He rejected the argument that a form of joint interest privilege could apply to the relationship between a shareholder and the company (a point which had been raised in other cases).
Why is this important?
This decision is perhaps surprising – although not without its critics, the Shareholder Rule has been regarded as a rule of English law for over a century. It is, however, thoroughly and carefully reasoned. The decision may well impact the ability of shareholders to pursue claims against a company, where access to privileged material belonging to the company may have assisted. For example, we have seen more instances of shareholder activism particularly in the area of climate change (eg ClientEarth v Shell Plc & Others [2023] EWHC 1897 (Ch)). It is also a first instance decision, so ripe for appeal to the higher courts. We therefore expect there to be more developments in this area of the law although it is unclear what view an appeal court would reach.
Contact us
Please contact the Disputes and Investigations team for more information.
In dieser Serie
Opening the doors: how the January 2026 pilot will transform access to court documents
21. Oktober 2025
von mehreren Autoren
Collective actions impacting big tech - Ireland set to test the boundaries in ICCL v Microsoft
11. Juni 2025
von Ryan Ferry, Edwina Kelly
Wirral Council v Indivior plc: Court of Appeal upholds strike out of opt-in representative action securities claim
30. Januar 2025
von Katie Chandler
What are the litigation trends in 2025?
22. Januar 2025
von mehreren Autoren
Changes to the privilege rules between companies and shareholders
6. Dezember 2024
Victory for energy companies/defeat for the environment?
14. November 2024
von Tim Strong, Kate Hamblin
Failure to prevent fraud offence to come into force in September 2025
14. November 2024
von Emma Allen
Non-Disclosure Agreements - updated guidance from the SRA
8. November 2024
Essex Cricket Club charged by Cricket Regulator
30. Oktober 2024
von mehreren Autoren
UK introduces mandatory reimbursement rules to combat APP fraud
15. Oktober 2024
von Emma Allen, Andrew Spencer
Important environmental ruling?
16. Juli 2024
von Tim Strong, Kate Hamblin
Notice of Claim: What constitutes 'reasonable detail'?
5. Juli 2024
von Stuart Broom, Tom Charnley
New SFO Director announces bold plans to tackle fraud
21. März 2024
von Emma Allen, Amy Cheng
What are the litigation trends for 2024?
1. Februar 2024
von Katie Chandler, Emma Allen
ClientEarth v FCA: Challenging Regulator Decisions
12. Februar 2024
von Tim Strong, Nicole Baldev
First of its kind judicial guidance on the use of AI in the courts
14. Dezember 2023
Witness familiarisation - does it affect the court's assessment of witness credibility?
13. Dezember 2023
CAT to hear the first application for a collective settlement approval order
17. Oktober 2023
von Katie Chandler
Pre-Action Protocols – what is different?
12. September 2023
von Tom Charnley
Failure to prevent fraud – a new offence?
14. August 2023
von mehreren Autoren
Supreme Court rules that APP fraud victims cannot rely on Quincecare Duty
4. August 2023
von mehreren Autoren
The Law Commission's Consultation Process on the Arbitration Act 1996 – taking stock
21. Juli 2023
What does the latest decision of the CAT in the Mastercard/Visa proceedings mean for class actions?
10. Juli 2023
von Katie Chandler
Disputes Quick Read: ClientEarth refused permission to pursue directors of Shell
1. Juni 2023
von mehreren Autoren
Disputes Quick Read – developments in the fixed costs regime
3. Mai 2023
von James Bryden
Disputes Quick Read: Service by email – are the rules any clearer?
20. April 2023
von James Bryden
Disputes Quick Read: Breaking the north/south divide?
5. April 2023
von Tom Charnley
Disputes Quick Read - What do practitioners think about making alternative dispute resolution (ADR) compulsory?
8. März 2023
Disputes Quick Read: What are the litigation trends for 2023?
2. März 2023
von Katie Chandler, Emma Allen
Disputes Quick Read: further guidance on witness statement preparation rules
14. Februar 2023
Disputes Quick Read: A cautionary tale – settlement agreement (un)wittingly releases all claims for fraud
13. Februar 2023
Disputes Quick Read: Why the UK should join the Hague Judgments Convention 2019
8. Februar 2023
von Jessie Prynne
Disputes Quick Read: extensive information orders granted against crypto exchanges following hack
19. Januar 2023
von Georgina Jones
Disputes Quick Read: A new approach to giving evidence? WhatsApp with that?
3. Oktober 2022
von Gemma Broughall
Disputes Quick Read: Ethereum Merge - what legal issues arise?
22. September 2022
von Emma Allen
Disputes Quick Read: New obligations on cryptobusinesses to report under the UK sanctions regime
9. August 2022
von Nick Maday
Disputes Quick Read: Disclosure - What information can be redacted?
25. Juli 2022
Disputes Quick Read: what claims exist when a smart contract is breached?
6. Juli 2022
von Emma Allen
Disputes Quick Read: New gateway for serving Norwich Pharmacal Orders and Bankers Trust orders out of the jurisdiction
Welcome news for those pursuing fraud claims in the English Courts
28. Juli 2022
von Emma Allen
Disputes Quick Read: Defining the duty - the limits of the responsibility assumed by professionals
27. Juli 2022
von Stuart Broom
Disputes Quick Read: Climate change litigation – successful challenge to government's Net Zero Strategy
29. Juli 2022
von Jess Thomas, Lucy Waddicor
Disputes Quick Read: Judicial Review and Courts Act 2022 – now in force
17. Juni 2022
von Stephanie High
Disputes Quick Read: an important reminder of the duty to disclose electronic documents in native format
13. Juni 2022
Disputes Quick Read: ENRC prevails in claim against former solicitor
26. Mai 2022
Disputes Quick Read: Climate change litigation update – McGaughey v Universities Superannuation Scheme Limited
31. Mai 2022
von mehreren Autoren
Don't lose your keys: Bitcoin developers do not have a duty to assist owners in recovering lost cryptocurrency
4. April 2022
von Emma Allen
Disputes Quick Read: The new witness statement preparation rules – a year on
5. April 2022
von Stephanie High
Disputes Quick Read: ClientEarth v Shell – climate change litigation shifts focus to UK companies
31. März 2022
von mehreren Autoren
Disputes Quick Read: High Court rules that failure to provide adequate data security is not a positive act
21. September 2021
von Matthew Caskie
Disputes Quick Read: Key changes to the Disclosure Pilot Scheme
13. September 2021
Disputes Quick Read: Judicial Review and Courts Bill – unpacking the UK government's proposed amendments
6. September 2021
von Stephanie High
Disputes Quick Read: Will litigants be compelled to participate in alternative dispute resolution?
2. August 2021
Disputes Quick Read: Freezing injunctions – maximum custodial sentence imposed for breach
21. Juli 2021
Disputes Quick Read: The online future of civil justice – the end of the legal profession or the end of legal drudgery?
15. Juli 2021
von Jess Thomas
Disputes Quick Read: Will the courts change forever post-COVID?
26. Mai 2021
von David de Ferrars
Disputes Quick Read: One Blackfriars administrators cleared of misfeasance
5. Mai 2021
von Stephen O'Grady
Disputes Quick Read: Not your prerogative – the Independent Review of Administrative Law reports its recommendations on judicial review
21. April 2021
von Stephanie High
Disputes Quick Read: Amendments to the Disclosure Pilot Scheme – a step in the right direction
31. März 2021
Disputes Quick Read: UK Supreme Court rules on the territorial extent of the SFO's powers
26. Februar 2021
von Tim Strong
Disputes Quick Read: No dropping anchor – parent company liability for environmental claims
24. Februar 2021
Disputes Quick Read: What lawyers need to know about new witness statement preparation rules
20. Januar 2021
von Stephanie High
Disputes Quick Read: Should you still choose the English courts to have jurisdiction in your international contracts after Brexit?
12. Januar 2021
von Tim Strong
Disputes Quick Read: Privilege lost in the EU post-Brexit (with exceptions)
23. November 2020
Disputes Quick Read: Law on interest applicable to US dollar awards reaffirmed
16. Oktober 2020
Disputes Quick Read: Care required when drafting SPA claim notices
23. September 2020
von Stuart Broom
Disputes Quick Read: Why the modernised LCIA rules are a welcome update
7. Oktober 2020
von Nick Storrs
Disputes Quick Read: government guidance for contracts impacted by COVID-19
12. Mai 2020
Disputes quick read: Mandatory changes to Statements of Truth
18. Mai 2020
von Katie Chandler
Disputes Quick Read: COVID-19 and supply chain disruption – key issues
9. April 2020
von mehreren Autoren
Disputes Quick Read: High Court orders parties to explore options for 5-week remote trial
15. April 2020
Disputes Quick Read: Tomlin Orders – ensuring the confidentiality of settlement terms
27. April 2020
Disputes Quick Read: UK's OFSI fines Standard Chartered Bank £20 million for sanctions breaches
21. April 2020
von Stephanie High
Disputes Quick Read: A different approach to witness evidence
11. März 2020
von James Bryden
Disputes Quick Read: Coronavirus - a growth in virtual courts?
17. März 2020
von Stuart Broom
Disputes quick read: climate change activism by litigation
26. Februar 2020
von Tim Strong, Andrew Howell
Disputes Quick Read: Commercial Court's arbitral power shift
21. Februar 2020
von Andrew Howell
Disputes Quick Read: Court stays evictions during COVID-19 – is this lawful?
2. Juni 2020
von Georgina Jones
Disputes Quick Read: Will the civil justice system change forever post COVID-19?
16. Juni 2020
von Georgina Jones
Disputes Quick Read: Privilege waiver warning
2. Juli 2020
von Tim Strong, Georgina Jones
Disputes Quick Read: Retailers reign supreme in Visa and Mastercard proceedings
9. Juli 2020
Disputes Quick Read: The contra proferentem rule reconsidered?
21. Juli 2020
Disputes Quick Read: Scope of duty and the SAAMCo counterfactual following Manchester Building Society
3. Dezember 2021
Disputes Quick Read: Facilitating transactions in cryptoassets - Lord Leggatt and the point of commercial law
24. November 2021
von Stuart Broom
Disputes Quick Read: Privy Council clarifies the law on freezing injunctions in aid of foreign proceedings
8. Oktober 2021
von Katie Chandler
Disputes Quick Read: Climate change litigation – what's the latest?
10. Januar 2022
von Tim Strong, Jess Thomas
Disputes Quick Read: Court decisions on the Disclosure Pilot Scheme – the 2021 roundup
20. Januar 2022
von Natalia Faekova
Disputes Quick Read: Climate change litigation update
8. März 2022
von Jess Thomas, Lucy Waddicor
Disputes Quick Read: Assumption of responsibility - tax schemes and investors
22. März 2022
von Stuart Broom
Disputes Quick Read: Dealing in crypto? Be careful what you call it
7. April 2022
von Emma Allen, Georgina Jones
Related Insights
Asymmetric jurisdiction clauses: clarification from the CJEU on enforceability
von Alexandra Boreham und Tim Strong
Updated judicial guidance on the use of AI
von Katie Chandler und Helen Brannigan
Important environmental ruling?
von Tim Strong und Kate Hamblin