KB-2025-001160 - [2025] EWHC 2369 (KB)
Fecha: 22-Sep-2025
The “no reasonable grounds” basis for striking out
The “no reasonable grounds” basis for striking out
As to the test under Rule 3.4(2)(a), it is well established that, in contrast to an application for summary judgment under Rule 24.2, the court should focus on the pleaded case: The Royal Brompton Hospital NHS Trust v Hammond [2001] 1 Lloyds Rep PN 526 at [106]) and should ask whether that case is hopeless or bound to fail. Applications to strike out on the “no reasonable grounds” basis do not require evidence and the court should normally assume the pleaded facts to be true unless they are contradictory or obviously wrong: see e.g. MF Tel Sarl v Visa Europe Limited [2023] EWHC 1336 (Ch) at [34(1)]. Nor, generally, should the court seek to determine points of law which are not settled, particularly where the facts are in dispute or evidence would potentially shed light on the issue of law, or the issue of law may not arise when the facts are found: see e.g. Barrett v Enfield LBC [2002] AC 550 at 557.
Examples of the type of case which may be struck out under Rule 3.4(2)(a) are given at [1.2] of Practice Direction 3A on Striking Out a Statement of Case. These are:
those which set out no facts indicating what the claim is about, for example "Money owed £5,000",
those which are incoherent and make no sense,
those which contain a coherent set of facts but those facts, even if true, do not disclose any legally recognisable claim against the defendant."
- Heading
- Introduction
- The pleaded claim
- BISL’s reaction to the resignations of Mr Wheeler and the EMEA GPF employees
- The US proceedings
- The legal framework
- The “no reasonable grounds” basis for striking out
- The need for a proportionate approach
- The abuse of process ground for striking out
- Waiver by election
- Part 24
- The grounds on which Mr Wheeler seeks summary disposal
- Ground 1: internal inconsistency in the context of the BISL claim
- Discussion
- Ground 2: inconsistency between the US Proceedings and the Claim
- Discussion
- Ground 3: BISL did not incur the loss in any event
- Discussion
- Ground 4 – quantum claim misconceived?
- Discussion
- Ground 5: equitable claims
- Equitable compensation relief
- The claim for an account of profits
- No constructive trust
- No forfeiture of bonuses
- Ground 6: “inchoate ‘claw back’ claim”
- In any event…
- Conclusions