Court of Appeal rules on trust status and client money protection in relation to Lehman Bros funds

Abstract

PurposeThe purpose of this paper is to discuss the Court of Appeal's consideration regarding Lehman Bros International (Europe) (in Administration) (Court of Appeal: Civil Division: Lord Neuberger, Lady Justice Arden and Sir Mark Waller). Date of Judgment: 2 August 2010.Design/methodology/approachThe paper outlines the facts surrounding the case and comments on the decision.FindingsThe court ruled on trust status and client money protection in relation to Lehman Bros funds.Originality/valueThis judgment provides a rare example of the courts' application of the Client Assets Sourcebook rules and guidance in general private law disputes about property ownership and entitlement that invariably arise within the context of insolvency.