Quizzes & Puzzles4 mins ago
law question
Little Ltd and small Ltd are wholly-owned subsidiaries of Large plc. The boards of directors of both subsidiaries are appointed by Large plc. A fourth company, Tiny Ltd, is a company whose equity share capital is controlled by Large plc and a fifth company, Big plc. 40 per cent of the equity share capital of Tiny Ltd is owned by Large plc and 40 per cent by Big plc; the remaining 20 per cent is owned by individual independent shareholders. In practice, Large plc has been able to ensure that its nominees serve as directors of Tiny Ltd.
Tiny Ltd runs its business on land owned by Little Ltd.
The local authority for the area has just served a compulsory purchase order on the land in order to build a new motorway. Tiny Ltd is not eligible for compensation as it does not own the land, while Little Ltd is entitled to only nominal compensation because, although it owns the land, it does not run a business on it. Large plc is appealing against that decision on the ground that the land and business should be treated as belonging to Large plc which should then be entitled to full compensation.
could you Advise me if Large Plc could be successful in this challenge?
Tiny Ltd runs its business on land owned by Little Ltd.
The local authority for the area has just served a compulsory purchase order on the land in order to build a new motorway. Tiny Ltd is not eligible for compensation as it does not own the land, while Little Ltd is entitled to only nominal compensation because, although it owns the land, it does not run a business on it. Large plc is appealing against that decision on the ground that the land and business should be treated as belonging to Large plc which should then be entitled to full compensation.
could you Advise me if Large Plc could be successful in this challenge?
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