Ratio Decidendi
A third party who dishonestly assists a trustee in a breach of trust is personally liable, regardless of whether the trustee acted dishonestly. The test for dishonesty is objective: whether the defendant's conduct was dishonest by the standards of reasonable and honest people.
Hechos
Tan was the managing director and principal shareholder of a company that acted as general travel agent for Royal Brunei Airlines. The company held money on trust for the airline but Tan used it for his own purposes. The company became insolvent.
Resumen de la sentencia
Lord Nicholls held that for accessory liability (dishonest assistance), it is the accessory's dishonesty that matters, not the trustee's. Dishonesty is assessed objectively. Tan was personally liable for dishonestly assisting in a breach of trust.
Citas clave
"Acting dishonestly, or with a lack of probity, which is synonymous, means simply not acting as an honest person would in the circumstances."
— Lord Nicholls
Tratamiento posterior
The leading authority on dishonest assistance, refined by Barlow Clowes v Eurotrust [2005] and Ivey v Genting Casinos [2017].