First Names (Jersey) Ltd and another v IFG Group plc

Company – Indemnity. The Commercial Court ruled that the first claimant company was obliged to indemnify three of its employees who had acted as directors of a Jersey company, in connection with a claim brought against them by the liquidators of that company. The court held, among other things, that that obligation had been implied into their contracts of employment. The court further held that the defendant, as the seller under a share purchase agreement, was obliged under the terms of that agreement to indemnify the claimants.

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