*Re Lemos; Leeds and another (in their capacity as the joint trustees in bankruptcy of the estate of Lemos) v Lemos and others

Bankruptcy – Production of documents. The Crescent principle (that legal professional privilege of a predecessor in title enured to the benefit of his successor) had no application in the case of the passing of property to a trustee in bankruptcy. If the judge in Shlosberg v Avonwick Holdings Ltd[2016] All ER (D) 76 (May)had taken the view that privilege passed to a trustee in bankruptcy in respect of asset documents, then that decision had effectively been overruled by the later decision of the Court of Appeal in that case, and, insofar Re Konigsberg[1989] 3 All ER 289 had held that view concerning the application Crescent principle, it had been wrongly decided. Further privilege was a fundamental human right and the court had no jurisdiction to direct a bankrupt to waive privilege in any documents. So held the Chancery Division in dismissing, for the most part, an application by the former trustees in the bankruptcy of the first respondent (Mr L) for directions concerning the use of documents held by solicitors who had acted for Mr L in other proceeding, and for an order, pursuant to s 366 (1) of the Insolvency Act 1986, requiring them to deliver up any further documents in their possession relating to his affairs.

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