Derby & Company Ltd v Weldon (No. 8)
| Jurisdiction | England & Wales |
| Judgment Date | 27 July 1990 |
| Date | 27 July 1990 |
| Court | Court of Appeal (Civil Division) |
Court of Appeal
Before Lord Justice Dillon, Lord Justice Butler-Sloss and Lord Justice Leggatt
Evidence - privileged documents - injunction
Where in the course of discovery privileged documents were inadvertently disclosed to, and were inspected by, a party's solicitors in circumstances where the solicitors must have realised that a mistake had occurred but had sought to take advantage of it, all copies and notes of the documents in the solicitors' possession were to be returned and an injunction granted restraining the use of information contained in or derived from them.
The Court of Appeal so held in allowing an appeal by the plaintiffs, Derby & Co Ltd, Cocoa Merchants Ltd, Phibro-Salomon Finance AG, Phibro-Salomon Ltd, Philipp Brothers Inc, Philipp Brothers Ltd and Salomon Inc, from part of an interlocutory order made by Mr Justice Vinelott on April 9, 1990 in the course of an action between the plaintiffs and the defendants, Anthony Henry David Weldon, Ian Jay, Milco Corporation Panama, CML Holding SA Luxembourg, Wollstein Stiftung, Tim Schneider, Ernst Aeschbacher, Peter Ritter, Steelburg Management Inc, Pilgrim Enterprises Inc and Louis Rohner.
Only the first and second defendants were respondents to the appeal, but the court said that its decision was to apply to all the defendants.
Mr Michael Lyndon-Stanford, QC and Mr J Stephen Smith for the plaintiffs; Mr Nicholas Chambers, QC, for the first and second defendants.
LORD JUSTICE DILLON said that the appeal was the latest in a well known case which had generated a number of interlocutory applications and appeals. Happily the trial was set down to start in early October.
It was unnecessary to indicate the issues in the action, which were complex. Discovery had been voluminous.
For discovery purposes, the plaintiffs had listed files of documents simply as files, without setting out details of the documents within them. When inspection was requested, all the files had been inspected.
Unfortunately there had been contained in those files certain documents, and particularly 14 documents (documents A to N) which were the subject of the plaintiffs' application to the judge, which, as was now common ground, came within the scope of legal professional privilege.
When the files were being prepared some of the documents in them had had yellow stickers appended to them on which "privileged" was written. It was not...
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