Caribonum Pension Trustee Ltd (as trustee of the Caribonum Pension Scheme) v Pelikan Hardcopy Production AG

Pensions – Insolvency. The claimant trustee of the Caribonum Pension Scheme (the Scheme) was granted summary judgment on its claim against the defendant company (which had guaranteed the obligations of the participating employer in the Scheme), in circumstances where the employer was currently in liquidation and the Pension Protection Fund was assessing whether to accept a transfer of the Scheme. The claim was for a sum representing the unpaid amount due from the employer to the Scheme up to a certain date. The Chancery Division held that the defendant had no real prospect of succeeding on its defence which contended that the guarantee in question was limited to the extent of its freely disposable reserves. The court further held that an inability to enforce the judgment against the defendant did not render the claim an abuse of process, and that an absence of assets to satisfy a judgment was not a ground for not granting it.

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