McGladdery v McGladdery

JurisdictionEngland & Wales
Judgment Date05 October 1999
Date05 October 1999
CourtCourt of Appeal (Civil Division)

COURT OF APPEAL

McGladdery
and
McGladdery

Matrimonial property - dispositions by third party not reviewable

Dispositions not reviewable

Section 37 of the Matrimonial Causes Act 1973 only permitted the avoidance of transactions intended to prevent or reduce financial relief where those transactions had been effected by the other spouse, and did not apply to transactions effected by a third party for the benefit of that spouse.

The Court Of Appeal (Lord Justice Morritt, Lord Justice Thorpe and Sir Oliver Popplewell) so held on July 21 when dismissing an appeal by John Ritchie McGladdery against the decision of Mr Justice Wall on January 21, in ancillary relief proceedings against Margaret Ann McGladdery.

LORD JUSTICE THORPE said that following their divorce in 1992, and pursuant to an order of Mr Justice Hollis in 1993, the husband transferred to the wife sufficient shares in the company jointly set up and mainly owned by them to give wife a majority holding.

She failed to perform her obligations under the order to discharge certain debts and pay periodical payments to the husband and subsequently used her majority voting power to cause the company to divest itself of its assets by transferring them to another company, set up by her, abroad.

Despite the wife's...

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5 cases
  • Mountney v Treharne
    • United Kingdom
    • Court of Appeal (Civil Division)
    • 8 August 2002
    ...The judge went on to observe that his conclusion was consistent with the decisions of this court in Re Holliday [1981] 1 Ch 405 and McGladdery v. McGladdery [1999] 2 FLR 1102 to the effect that a property adjustment order cannot be made against a trustee in bankruptcy, even if an applicatio......
  • C v C and Anor
    • United Kingdom
    • Family Division
    • 30 September 2015
    ...some twenty-three years later. Their lordships' remarks can now be seen as the structural underpinning for the earlier authority of McGladdery v McGladdery [1999] 2 FLR 1102. In that case, a wife who owned an equal share with her husband in a family company persuaded him to appoint her as c......
  • Official Receiver for Northern Ireland v Catherine Gallagher
    • United Kingdom
    • Chancery Division (Northern Ireland)
    • 11 February 2014
    ...[1997] 2 FCR 378; Re Holliday [1981] Ch. 405; Re Hastings (No.3)[1959[ Ch.368; Whig v Whig [2007] EWHC 1856 and McGladdery v McGladdery [2000] 1 FCR 315. However, it now having been clarified that it is agreed that the Master in the Family Division could make an order on behalf of the High ......
  • Mountney v Treharne
    • United Kingdom
    • Queen's Bench Division (Administrative Court)
    • 21 December 2001
    ...24 This conclusion is consistent with the judgments of the Court of Appeal in Re Holliday [1981] 1 Ch 405 and McGladdery v McGladdery [1999] 2 FLR 1102 to the effect that a property adjustment order cannot be made against a trustee in bankruptcy, even if the application for that order was p......
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