Cases

RFS Capital LLC & RFS Capital BV v MD7 Europe & Michael Gianni

Facts

The parties were involved in the business of selling financing structures for the leasing of wireless masts used by mobile phone network providers. The Cs alleged that the Ds had caused them to lose £30m worth of business because D2, D1's Chief Executive, was alleged to have made an oral statement to a potential client. The Ds denied making the statement. Seven months after commencing the claim the Cs served a Notice of Discontinuance. At this stage the Ds had incurred in excess of £72,000 in costs. It transpired that the Cs were insolvent and that shortly before the Notice of Discontinuance had been served, assets valued at US$3m had been withdrawn by Zedonix NV (the owner of the Cs) from them. Zedonix was owned by Raoul Witteveen ("RW").

Also