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Proceedings transcript of the oral hearing before Lord Justice McFarlane, at the Court of Appeal on 25 January 2017, for permission to appeal against the Costs Order of Godsmark J in the matter of Ravenscroft v Canal and River Trust.
Proceedings transcript of the oral hearing before Lord Justice McFarlane, at the Court of Appeal on 25 January 2017, for permission to appeal against the Costs Order of Godsmark J in the matter of Ravenscroft v Canal and River Trust.
Proceedings transcript of the oral hearing before Lord Justice McFarlane, at the Court of Appeal on 25 January 2017, for permission to appeal against the Costs Order of Godsmark J in the matter of Ravenscroft v Canal and River Trust.
IN THE COURT OF APPEAL (CIVIL DIVISION) B2/2015/1994
ON APPEAL FROM THE HIGH COURT OF JUSTICE
1 CHANCERY DIVISION 2 (His Honour Judge Godsmark QC) 3 4 Royal Courts of Justice 5 Wednesday, 25th January 2017 6 7 8 Before: 9 10 LORD JUSTICE McFARLANE 11 12 13 14B E T W E E N : 15 16 LEIGH RAVENSCROFT Applicant 17 18 19 - and 20 21 22 CANAL AND RIVER TRUST Respondent 23 24 25 _________ 26 27 28 Transcribed by BEVERLEY F. NUNNERY & CO. 29 (a trading name of Opus 2 International Limited) 30 Official Court Reporters and Audio Transcribers 31 5 New Street Square, London. EC4A 3BF 32 Tel: 020 7831 5627 Fax: 020 7831 7737 33 info@beverleynunnery.com 34 35 _________ 36 37 38THE APPLICANT appeared as Litigant in Person (assisted by his McKenzie Friend, 39 Mr. Nigel Moore). 40 41THE RESPONDENT did not appear and was not represented. 42 43 _________ 44 45 PR OCEED INGS 46 47 48 INDEX 49 50 51 Page No. 52 53 54SUBMISSIONS 55 56 The APPLICANT 1 57 Mr. MOORE 2 58 The APPLICANT 3 59 Mr. MOORE 11 60 61 62EXPLANATION OF JUDGMENT TO BE GIVEN 14 63 64 65 _________ 66 67 68 (Transcript prepared without the aid of documentation) 69LORD JUSTICE McFARLANE: Are you Mr. Ravenscroft? 70 71THE APPLICANT: I am Mr. Ravenscroft, yes, my Lord. 72 73LORD JUSTICE McFARLANE: Good. I gather you were a bit delayed so I took 74 the view that we ought to press on with the case at 10.30. I hope that has not 75 inconvenienced you. 76 77THE APPLICANT: Thank you. I apologise for the inconvenience. 78 79LORD JUSTICE McFARLANE: Do not worry. These things that happen. This is 80 your application to renew your application for permission to appeal against the 81 decision of Judge Godsmark. 82 83THE APPLICANT: That is correct. 84 85LORD JUSTICE McFARLANE: As you know, it is a short hearing. The test, if it 86 was an ordinary application for an appeal, is for you to satisfy me that the 87 proposed appeal has a reasonable prospect of success. But because this is a 88 second appeal, so you have already had one bite of cherry---- 89 90THE APPLICANT: Yes. 91 92LORD JUSTICE McFARLANE: ----the test is higher, I am afraid. You have got to 93 satisfy me that the case raises an important point of law or practice or there is 94 some other compelling reason why the Court of Appeal should look at the 95 case. That is a relatively high hurdle. 96 97THE APPLICANT: Yes. 98 99LORD JUSTICE McFARLANE: So this is your chance to say what you would like 100 to persuade me that your case does justify being looked at again on appeal. 101 102THE APPLICANT: Yes. I am dyslexic, sir. 103 104LORD JUSTICE McFARLANE: Right. Have you got a McKenzie friend with 105 you? 106 107THE APPLICANT: I have, yes. 108 109LORD JUSTICE McFARLANE: I am very happy for the McKenzie friend to play 110 as great or as small a part as you want. 111 112THE APPLICANT: Thank you very much for that, my Lord.
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 1 113 114THE APPLICANT: I have got the case, the main case in the High Court what has 115 been passed through to in March. 116 117LORD JUSTICE McFARLANE: Right. 118 119THE APPLICANT: Is it May? 120 121LORD JUSTICE McFARLANE: Anyway it is coming up, yes. 122 123THE APPLICANT: For a four day trial regarding this case. 124 125LORD JUSTICE McFARLANE: What is the issue there: as to whether you had 126 paid? 127 128THE APPLICANT: Mr. Moore, as my McKenzie friend, hes been given right of 129 audience in that case, havent you? 130 131LORD JUSTICE McFARLANE: I am very happy, if you are happy, for -- is it, 132 Mr. Moore? 133 134THE APPLICANT: Mr. Moore, yes. I am very happy if he could assist me, yes. 135 Thank you very much, my Lord. 136 137LORD JUSTICE McFARLANE: What is the issue in the High Court action? If are 138 more comfortable sitting down, please do. 139 140MR. MOORE: Thank you very much. I do want Mr. Ravenscroft to present his 141 own notes as an introduction at least. 142 143LORD JUSTICE McFARLANE: Yes. 144 145MR. MOORE: The issues in the main case are actually, broadly, what were raised 146 by both sides in the original application for injunction. Essentially, it is that 147 the Canal and River Trust were not entitled to seize the boat in the first place; 148 that, even if a licence had been due in respect of the vessel, then the action 149 taken in seizing it was disproportionate because there were other less 150 draconian actions that were available to them at the first instance; and, thirdly, 151 that even if all those were not found in his favour, the fact that they used it 152 both, in crude terms, to extort monies owed on the licence fees, then that 153 was---- 154 155LORD JUSTICE McFARLANE: An improper use. 156
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 2 157MR. MOORE: Yes. They have since admitted that they were not entitled to use the 158 holding of the boat as a lien on these licence arrears. 159 160LORD JUSTICE McFARLANE: Right. 161 162MR. MOORE: They say, well, he owed the money anyway so what does it matter. 163 But those are issues. 164 165LORD JUSTICE McFARLANE: It is going to take four days; is that right? 166 167MR. MOORE: The central and initial argument is over a matter of statutory 168 construction. The reason why Mr. Ravenscroft was saying that he did not have 169 to have a pleasure boat certificate in the first place, which is the grounds on 170 which they seized the boat, has to do with the interpretation of the 1971 British 171 Waterways Act which applied only to the main navigable channel of the rivers. 172 173LORD JUSTICE McFARLANE: Right. 174 175MR. MOORE: And the river waterways were defined as the main navigable 176 channel. 177 178 LORD JUSTICE McFARLANE: I can see that might take time. 179 180MR. MOORE: So it is a matter of statutory construction and that is the main reason 181 why it was considered to be a matter of public importance. 182 183LORD JUSTICE McFARLANE: Well, it is of public importance. It is a matter of 184 interest. 185 186MR. MOORE: Yes. 187 188LORD JUSTICE McFARLANE: It is horrendous if it is your boat and your money 189 and we are all interested in it. But I can understand that. That is very helpful. 190 Thank you. 191 192MR. MOORE: Thank you. 193 194THE APPLICANT: Thank you, my Lord. 195 196LORD JUSTICE McFARLANE: Yes. 197 198THE APPLICANT: I am really bad at reading, my Lord. 199
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 3 200LORD JUSTICE McFARLANE: What is the easiest way for you to transmit that 201 information to me? Do you want me to read what you have got written down 202 there or would you like to read it out? 203 204THE APPLICANT: Do you want me to just try a bit? 205 206LORD JUSTICE McFARLANE: If you try. 207 208THE APPLICANT: If it is a bit slow, then we suggest maybe you---- 209 210LORD JUSTICE McFARLANE: I am not under any pressure of time and I am 211 keen to hear what you say. 212 213THE APPLICANT: Yes. My Lord, if I may, I would like to read through notes 214 prepared for this so that I do not lose track of what I am to say, as I did with 215 the previous hearing with Mr. Godsmark. 216 217 This case as a whole has been considered involved questions of public 218 importance suitable for consideration by a Class A judge and it is, it 219 seems, unjust that cost orders relating to the defence, that was superfluous 220 and unnecessary respecting the internal injunction request, should be 221 uphold when the argument and witness statements for that are the same 222 incorrect action as the current action in which I am more than reasonable 223 prospects of winning. 224 225 The injunction request was prevent CART from sending or destroying of 226 my boat because I had been led to believe they could do after six weeks. 227 The defence did not address their power to do so. Their defence tried 228 only to justify the seizure in the first place, which is a matter yet to be 229 determined. 230 231 It was their admission that title did not vest in them after six weeks that 232 prompted the agreement to discontinue. That reassurance had been 233 sought for weeks beforehand and could have been given from the start, 234 instead of leaving it to solicitors to tell me after considerable delay. 235 236 I admit that I was confused as to the direction Judge Godsmark was 237 taking me when dealing with this, so my answers were directed at his 238 specific questions and mostly missing the point. But he should have been 239 able to see for himself what the situation was. I think there are a couple 240 of pertinent issues from what he focused on. 241 242 Whole discontinued?...
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 4 243 244LORD JUSTICE McFARLANE: I am sorry, whole? 245 246THE APPLICANT: 247 248 Who discontinued? 249 250 1. In the first place, the judge fixed on the fact that I discontinued, so my 251 attendance in the first hearing would have been to only argue about costs, 252 whereas I have said that if the hearing was not discontinued after all I 253 would have argued the case for an injunction. Judge Godsmark was 254 wrong to say the recorder noted that the case had been discontinued 255 (paragraph 4). He had overlooked the fact as recorded in the transcript of 256 that first hearing that he claimed was not discontinued because of 257 procedural faults and that it was not I, in the end, who acceptably (sic) 258 asked for the discontinuance but instead it was CART. 259 260LORD JUSTICE McFARLANE: Sorry, can you read that again? I did not 261 understand that. 262 263THE APPLICANT: 264 265 He had overlooked the fact as recorded in the transcript of the first 266 hearing that the claim was not discontinued because of the procedural 267 fault and that it was not I, in the end, who acceptably asked for the 268 discontinuance but instead it was CART. 269 270 As the matter was not discontinued, I would have been free, had I been so 271 informed, in attending court, against the courts advice that the hearing 272 had been vacated, to argue why CART were not allowed to just sell or 273 destroy my boat, because, as they had recently admitted, title was not 274 given to vest in them after six weeks. I would not need to have argued 275 only over discontinuance costs which would not then have erased (sic) 276 anyway if I had gone in there. 277 278LORD JUSTICE McFARLANE: Sorry, I have not followed that. 279 280THE APPLICANT: My reading is that bad, your Honour. 281 282LORD JUSTICE McFARLANE: No, no, your reading is very good. It is just the 283 words. So do you want to start that bit again? 284 285THE APPLICANT: That bit again, yes.
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 5 286 287 As the matter was not discontinued, I would have been free, had I been 288 informed in attending court, against the courts advice that the hearing 289 had been vacated, to argue why CART were not allowed to just sell or 290 destroy my boat, because, as they had recently admitted, title was not 291 vested in them after six weeks. I would not need to have argued, only 292 over discontinuance costs, which would not have arisen anyway. 293 294LORD JUSTICE McFARLANE: That is the bit I did not understand, but I will 295 come back to that. 296 297THE APPLICANT: 298 299 Judge Godsmark himself noted, as I will show, that they could not have 300 sold my boat whilst there was an existing dispute. Judge Godsmark took 301 the view that I could only have argued over liability to costs, but, as I say, 302 this was, in the circumstances, wrong. 303 304 2. Such argument as CART presented to Judge Godsmark as to why the 305 injunction ought not to have been granted, had I argued for that, was 306 wrong. CART would not have been constructed (sic) under the terms of 307 the injunction I sought from doing anything that they legally could do 308 under the British Waterways Act 1983. 309 310 The argument that it would have prevented them from issuing a tort 311 notice is beside the point here as they have since admitted in the main 312 proceedings they are not entitled to hold the boat as a lien on alleged 313 owed arrears of licence fees. The Torts Act does not apply anyway 314 because the boat had been seized by them under their own alleged powers 315 and if after a year the seizure and storage costs were not paid, which they 316 could assist (sic) upon under the 1983 Act if the removal was legal, they 317 could have then sold the boat under the terms of their own Act. Even if, 318 as they claim, the Torts Act could apply, then it would still have been 319 open to them after the year to ask the court to do so, or sell, or sale under 320 section 13 of the Act. 321 322 Another point overlooked by Judge Godsmark is that if, as CART argued, 323 the undertaking and/or injunction phrasing was too broad, then they could 324 easily have suggested better wording. But they chose not to. The 325 argument fails anyway because the injunction was not until argument or a 326 court agreement or court decision. If CART had not sought to have 327 struck out my court claim and prevented me from having my McKenzie
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 6 328 friends help, this could all have been settled by now, and certainly within 329 a year. 330 331 The presumption of costs and liability. Supposing against my argument 332 that the presumption of liability lying on the discontinuer lies against me, 333 Judge Godsmark has concentrated on my fluxtured (sic) explanation for 334 why I appealed to discontinue, disregarding the writ in evidence before 335 him as to the reason. I had agreed to discontinue only once CART had 336 given me a written assurance that title did not vest in them after six 337 weeks. It was our understanding otherwise that meant we had been 338 worried enough to quickly put in the injunction request. It was only after 339 the application that we learned that the six weeks we had been told about 340 by CART only applied when the owner of the boat is unknown. As a 341 result, Mrs. Thomas sought clarification from CART, but received 342 nothing and had had the suggestion of an undertaking refused, which 343 refusal gives support to what we understood to be their position. 344 345 The correspondence letter received from CART 346 347LORD JUSTICE McFARLANE: Is that 10th March? 348 349THE APPLICANT: 350 351 The correspondence later received from CARTs lawyers was that which 352 changed the game and meant that the injunction was not needed because 353 they were not, contrary to the impression we had received from them, 354 able to sell after six weeks. Judge Godsmark knew this from the 355 correspondence which he both read and referred to, but failed to see this 356 as the answer to why I had sought to discontinue. 357 358 This was something that had been out of my control. The six week then 359 sale was not something we had dreamt up. Neither of us had known the 360 terms of the Act CART were relying upon. Until we had this admission 361 that selling the boat after six weeks was not legal, then the injunction was 362 necessary. It only became unnecessary once they sent the last letter, 363 which was about a week before the actual date. 364 365 It follows that if, according to the rule Judge Godsmark was quoting, 366 there was a change of circumstances which I had not contributed 367 (paragraph 6, page 34), I believe it is important to know that CART have 368 discontinued actions against boaters before and have successfully argued 369 that they should not pay the boaters costs incurred by reason of action on 370 the simple grounds that circumstances had been changed outside of their
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 7 371 control. It was that simple change of circumstances that had permitted 372 the presumption of costs to be set aside. It would be outrageous if they 373 can claim such expenses when they discontinued and yet sought to 374 disapply them to this discontinuing action against them. Then they have 375 changed the circumstances. 376 377 It has always been within CARTs powers to promptly inform us on the 378 matter and it was spiteful to keep us thinking otherwise until the last 379 minute, contrary to Judge Godsmarks view that rather than change in 380 circumstances it was not my understanding of the effect of section 8, the 381 defendants admission as to its effect. 382 383 It was also unreasonable to give a flat refusal instead of suggesting some 384 alternative wording 385 386 Im sorry. 387 388LORD JUSTICE McFARLANE: Do not worry. You have turned over two pages. 389 390THE APPLICANT: 391 392 That also affects the other aspects that Judge Godsmark should have 393 factored into the formula. He went on to describe that it was that the 394 change of circumstances itself will not suffice unless it has been brought 395 about by unreasonable conduct on the part of the defendant. In view, 396 however, of CARTs successful claim for no costs in the case of 397 Tony Dunkley, where there had been no unreasonable conduct on the part 398 of their target, it would be unfair to apply the formula in the other 399 direction. 400 401 I would argue nevertheless that it was clear that CARTs behaviour was 402 unreasonable. The judge correctly pointed out to them that they could not 403 sell the boat whilst it was an ongoing issue as to the legality of the 404 seizure. It follows that it was not reasonable to refuse to give me the sort 405 of undertaking that they had given which Judge Godsmark saw. This 406 response was that no official claim had yet been filed with the High Court 407 that the absence of that claim does not mean a notified dispute did not 408 exist and it was, in any event, disputed in the grounds for an injunction. 409 410 As I have said already, CART should have avoided any continuation of 411 my actions by agreeing to my formal proposal for an undertaking, the 412 judge shown exactly such an undertaking that had been supplied to the
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 8 413 court in a previous old case and there was nothing that prevented the 414 same being given in my situation. 415 416 I say then that it was unreasonable for CART to refuse such an 417 undertaking that I could have made in the injunction unnecessary, which 418 not have prejudiced them in any way. They are prohibited under the 419 terms of section 8 to sell after six weeks if they know who the owner is 420 anyway, and the known owner has twelve months to get the boat back. 421 422 This is the last one. 423 424LORD JUSTICE McFARLANE: Very well. 425 426THE APPLICANT: 427 428 It was also unreasonable to give a flat refusal instead of suggesting some 429 alternative wording. They made no positive suggestion at all. They only 430 demanded payment in full of all sums claimed by them, including the 431 alleged licence arrears, and that, at last as they have admitted now, was 432 not allowed by section 8. Their demands constituted, in fact, a criminal 433 offence, claiming a lien on the boat that could not be legally sustained. 434 Even the costs claims for defending the injunction were excessive, noted 435 by the district recorder even though he only cut a little from their claim. 436 437 I believe it is obvious that CART were playing on my ignorance and 438 unnecessarily racking up excessive costs that were never needed. 439 Although Judge Godsmark was all in favour of CART having attended at 440 the initial hearing, I dispute that their non-attendance could have resulted 441 in anything prejudicial to their position. As I had not attended, the result 442 would have been an automatic cancellation of the claim. If I had only 443 been tricking them and attending anyway in their absence, and they chose 444 to dispute the following injunction despite it being only confirmation of 445 what they had already admitted, then it would have been relatively cheap 446 and simple to apply to the court to set it aside on the grounds of my 447 deception and misrepresentation. 448 449 For these reasons I believe that I have reasonable grounds for an appeal 450 and would repeat what I have suggested, that at the very least, even if the 451 court decides these costs were a valid award, that comments of Judge 452 Godsmark as to damages in the High Court case should be a factor so that 453 the costs should at least be adjourned to the outcome of my main claim. 454 If I win, then everything argued in justification for the seizure will have 455 been proven wrong. CART should not be rewarded for tactical
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 9 456 manoeuvres in a course of action that has already been acknowledged as, 457 at least partly, criminal, though they wrongly claimed that was only by 458 mistake. 459 460 That is it, my Lord. 461 462LORD JUSTICE McFARLANE: Thank you. That is a lengthy list of points. I am 463 trying to see how you raised those before Judge Godsmark. I am looking at 464 the skeleton argument that you put in. I am bound to say that many of the 465 points that you have spoken about to me this morning are difficult to find in 466 the skeleton argument. It is tab 11. It is very difficult to criticise the judge if 467 you did not make these points to him. 468 469 Perhaps one point you have made that I want to clarify is page 5 of that 470 skeleton, page 99 of the bundle. At 18, there, you say: I had been given the 471 impression by Stuart Garner (CARTs Enforcement Officer) that my boat was 472 being seized for non-payment of licence fees and unless I paid thousands of 473 pounds immediately they would take the boat and after six weeks they could 474 do what they liked with it. 475 476THE APPLICANT: Correct. 477 478LORD JUSTICE McFARLANE: That is what you have said a number of times to 479 me that you were led to believe and you were told. But you were told by 480 Mr. Garner from CART that they could take your boat after six weeks. 481 482THE APPLICANT: Yes, and dispose of it. 483 484LORD JUSTICE McFARLANE: And dispose of it. You now know that, under 485 section 8(4) of the Waterways Act, they could not. They could only do that, 486 the six weeks only applied if they could not find whose boat it was. 487 488THE APPLICANT: That is correct. 489 490LORD JUSTICE McFARLANE: You are now telling me also that in the High 491 Court that they have accepted that they had no power to use the seizure of the 492 boat as leverage to get you to pay the money. 493 494THE APPLICANT: Correct. 495 496LORD JUSTICE McFARLANE: Have you got any documentation to show that 497 they have accepted that in the High Court action? 498 499MR. MOORE: If I could help, my Lord?
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 10 500 501LORD JUSTICE McFARLANE: Not with you? 502 503MR. MOORE: No, we dont have it with us. It is part of the pleadings in that case. 504 505LORD JUSTICE McFARLANE: But they have accepted that? 506 507MR. MOORE: They have accepted categorically that they are not entitled to use 508 that as a lien on the licence arrears and that it was a mistake to do so, which 509 they say was inadvertent. 510 511LORD JUSTICE McFARLANE: So, in terms of admitting it was a mistake to do 512 so, am I right in assuming that someone at CART made that mistake and told 513 Mr. Ravenscroft about it? Are they admitting that Mr. Garner, for example, did 514 say, Unless you pay up, you cant have your boat back and we can flog it in 515 six weeks time? 516 517MR. MOORE: My Lord, actually it was explicit in the correspondence about 518 getting the boat back where Mr. Ravenscrofts McKenzie friend, for want of a 519 better term, at the time---- 520 521LORD JUSTICE McFARLANE: Was that Mrs. Thomas? 522 523MR. MOORE: Mrs. Thomas, yes. She had written and said, We dont believe we 524 need to pay the licence fees, and they said, Youve got to pay the licence -- 525 you wont get the boat back unless you pay both the removal and storage costs 526 and the licence fees. 527 528LORD JUSTICE McFARLANE: So that is the letter of 10th March. That is 529 Shoosmiths letter? 530 531MR. MOORE: That was a Shoosmiths letter, which I am not sure whether it is in 532 the bundle here. The pleadings that Mr. Stoner QC put in accepted that the 533 relevant letter had said that but that it was a mistake. 534 535LORD JUSTICE McFARLANE: Yes, I found the letter this morning. I did not put 536 a tab on it. Here we are, I have the letter. It is at tab 7, page 76. 537 Mr. Ravenscroft, do you want to sit down? 538 539THE APPLICANT: Thank you. 540 541MR. MOORE: My Lord, this was the first of the letters. This is the one where they 542 specifically acknowledged the fact that ownership would not be vested in them
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 11 543 automatically after six weeks. Then they go on to say what the removal and 544 the storage costs are. 545 546LORD JUSTICE McFARLANE: So it is not explicit that you can only get your 547 boat back? 548 549MR. MOORE: This one was not explicit. They just say: In addition, he owes this 550 amount in licence fees. Mr. Stoner made the point that this is not explicitly 551 saying that. It was a subsequent correspondence that did explicitly say that he 552 was not going to get the boat back. 553 554LORD JUSTICE McFARLANE: I mean, the whole thing went off in front of Judge 555 Godsmark in a number of different ways which might have led the judge not to 556 be able to identify the key issues, but I think what has come cross to me is that 557 Mr. Ravenscroft is saying he only issued the injunction application because 558 Mr. Garner said, Unless you pay up we are going to sell your boat in six 559 weeks. And it is only when he gets the letter from Shoosmiths of 10th March, 560 saying, No, we are not entitled to sell the boat after six weeks, that he then 561 discontinues the injunction application. 562 563MR. MOORE: Yes, exactly. 564 565LORD JUSTICE McFARLANE: It does not seem to me that that point achieved 566 any prominence before the judge. 567 568MR. MOORE: It does not. 569 570LORD JUSTICE McFARLANE: In terms of the merits of what happened, it is an 571 important issue, it seems to me. 572 573MR. MOORE: Yes, my Lord. I mean, there were problems in the presentation of, 574 you know, that appeal before Judge Godsmark. What I think Mr. Ravenscroft 575 wanted to make clear was that the evidence was before him to have seen it 576 from the paperwork and although Mr. Ravenscroft was not really able to 577 properly address these issues---- 578 579LORD JUSTICE McFARLANE: The judge focused on the fact that 580 Mr. Ravenscroft had discontinued and then the rules say normally, as night 581 follows day, if you start something and you stop it you pay the costs that have 582 been wasted by the other side, unless there are good reasons. 583 584MR. MOORE: Yes. 585
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 12 586LORD JUSTICE McFARLANE: Then Mr. Ravenscroft went into his argument, 587 which again I have heard today, that if he had known he might have to pay the 588 costs he would have turned up and argued the injunction anyway. The judge 589 did not, rightly in my view, really entertain that. 590 591 But the real merit of Mr. Ravenscrofts case, if there is any, is that this public 592 authority, through Mr. Garner, said, Youve got six weeks, a very short space 593 of time, before we sell your boat, and he wanted to take emergency action, an 594 injunction application, to hold the ring, as it were, so that that did not happen. 595 596 If that is right -- if that is right -- I am accepting it from you two gentlemen this 597 morning, then that explains how it could be said that CART brought the 598 injunction application on itself by giving this erroneous statement of the 599 position and the discontinuance followed. There is the question of why it took 600 Mr. Ravenscroft a week to discontinue and where the costs were totted up 601 there. But Judge Godsmark just did not go there because -- no criticism of him 602 -- the hearing did not get there. It was there in the documents but it was not 603 prominent in what Mr. Ravenscroft said to the judge. 604 605MR. MOORE: That has to be accepted, my Lord. The first point that 606 Mr. Ravenscroft was trying to get across was that it was not in fact 607 discontinued. It was because he had left it far too late that even although the 608 clerk of the court told him lets vacate it, in fact it was not, and from the 609 transcript of the proceedings before the district recorder it was CART, through 610 Shoosmiths, who said the matter has not been discontinued and the district 611 recorder agreed it has not been discontinued. It was actually CART who said 612 then---- 613 614LORD JUSTICE McFARLANE: Sorry, Mr. Ravenscroft filed a notice of 615 discontinuance. 616 617MR. MOORE: He filed a notice of discontinuance, but it had no effect, according 618 to the district recorder and Shoosmiths, because it hadnt been presented in 619 time, there hadnt been a notice given to Shoosmiths in time, and all the rest of 620 it. So, in fact, according to both district recorder and Shoosmiths, it was not 621 discontinued and they asked for it to discontinue. 622 623 So what Mr. Ravenscroft was trying to put across was that if he had been told 624 that the hearing was going ahead regardless because it was all too late, then 625 what he would have been doing at that hearing was to show why his injunction 626 was in fact perfectly valid: (a) because under their own terms they could not 627 flog the boat---- 628
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 13 629LORD JUSTICE McFARLANE: Yes, but there was no reason to have an 630 injunction. If there was no danger of the boat being sold---- 631 632MR. MOORE: Thats right. 633 634LORD JUSTICE McFARLANE: ----there was no reason to grant an injunction. 635 636MR. MOORE: Yes. As Judge Godsmark himself said, quite aside from the issues 637 over what section 8 allowed them to do, they could not have disposed of the 638 boat while they knew that there was a dispute about it. 639 640LORD JUSTICE McFARLANE: Yes. 641 642MR. MOORE: So if he had argued, if he had gone along to the court and he had 643 argued before the district recorder why the injunction should be granted, as he 644 would and could have done if he had been told the discontinuance hadnt 645 happened, then it was a bit of a slam dunk, to use a colloquial expression. 646 647LORD JUSTICE McFARLANE: Yes. Right. Okay, what I am going to do is give 648 a short judgment in which I will explain my reasons, but I will explain in lay 649 terms what I am going to do. 650 651 I am not going to give you a blank cheque permission to appeal, but I am 652 sufficiently troubled about the overall merits of this to say that it justifies being 653 heard by the full Court of Appeal on the question of, first of all, whether you 654 get permission to appeal and the court will want to see not all the documents 655 but the relevant documents from the High Court case and also hear from 656 CART. So that will be a half-day hearing for the permission to appeal hearing. 657 At the very same hearing, if the court thinks your case is a runner, putting it in 658 lay terms, then they are likely to grant you permission to appeal and they will 659 deal with the appeal on that day as well. So it is a rolled-up hearing for 660 permission to appeal with the appeal to follow. 661 662THE APPLICANT: Thank you, your Honour. 663 664LORD JUSTICE McFARLANE: That will allow you, with the assistance of your 665 McKenzie friend, to set your case out in full. I am going to encourage you to 666 focus on what I think is the straightforward and strong point, which is that 667 Mr. Garner told you that the boat would be sold at the end of six weeks unless 668 you paid up. 669 670THE APPLICANT: Correct. 671
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OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 14 672LORD JUSTICE McFARLANE: That that was wrong as a matter of law, both in 673 terms of their power to sell if after six weeks and, secondly, to use the fact that 674 they had got the boat to squeeze you to pay the money. 675 676THE APPLICANT: Correct. 677 678LORD JUSTICE McFARLANE: That they have admitted that in the High Court 679 action; and that if you had not been told that you would not have issued the 680 injunction proceedings and you only discontinued them when you were told 681 that they could not sell it. 682 683THE APPLICANT: Correct, my Lord. 684 685LORD JUSTICE McFARLANE: For some reason I do not think that surfaced. But 686 I think you need to concentrate on that. All the arguments about what you 687 would have done if you had turned up and the rest are not very convincing to 688 me. I am not saying other judges would not take a different view. But you 689 need to put your eggs in the basket of the main point on the merits. 690 691 Then the additional point is that the High Court action is proceeding and really 692 all of this preliminary skirmish should be looked at in the light of whatever 693 happens in the High Court action. The costs issue might well be, if the appeal 694 is allowed, adjourned to be determined at the end of that, if you are not 695 successful from the appeal. 696 697 So I will wrap that up into a judgment, but that is in plain terms what I am 698 going to do. It will come on for hearing. It will not be considered urgent, so it 699 will be some months from now. 700 701 Please can you file a copy of what you have said to me today in court and that 702 will stand as your additional skeleton argument. Obviously, you are allowed to 703 speak to the court on the next occasion, but you will not have to go through the 704 burden of reading that out. But they will have that. 705 706THE APPLICANT: Could I have the assistance of my McKenzie friend as well? 707 708LORD JUSTICE McFARLANE: Yes. Yes, it will be up to the judges on the next 709 occasion what role he takes, but we are often assisted by McKenzie friends 710 helping by speaking as much as in any other way. 711 712THE APPLICANT: Thank you, my Lord. 713 714LORD JUSTICE McFARLANE: I will give a short judgment which then will be 715 typed up and sent out. BEVERLEY F. NUNNERY & CO. OFFICIAL COURT REPORTERS AND AUDIO TRANSCRIBERS 15 716 717THE APPLICANT: Thank you, my Lord. 718 __________
BEVERLEY F. NUNNERY & CO.
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