Investec Bank (Channel Islands) Limited V Gurminderjit Singh Dhillon & Ors

Facts

The claimant, a Guernsey-registered company licensed to carry on banking and investment business, holds a charge over two adjoining properties in Stoke Poges, Aramghar and Islay House, of which the first defendant is registered proprietor. The first and second defendants are brothers, and the second defendant lives in Aramghar with his family. A deed of trust dated 25 July 2011 declared that the first defendant held 28 properties on trust for both brothers in equal shares, and the second defendant protected his claimed beneficial interest by Form B restrictions. When the first defendant sought to refinance with the claimant in 2022, a proposal circulated on 1 April 2022 provided that the second defendant would consent to removal of the restrictions on the basis that the loan proceeds would first redeem existing charges and any surplus be shared equally between the brothers. On 4 April 2022 the second defendant confirmed in writing that he agreed to the terms. He instructed solicitors, signed RX4 forms and, on completion, received £123,798.27. The Land Registry later rejected the RX4 route. The claimant sought declarations that the charge was a permitted disposition under the trust deed or that the second defendant was estopped, and possession of Aramghar. The second defendant's defence bare-denied the relevant paragraphs, and the claimant applied to strike it out or, alternatively, for summary judgment.