In a judgment handed down this morning, Deputy (former Chief) Master Marsh dismissed an application for summary judgment made by Dr Rohit Kulkarni, a consultant orthopaedic surgeon who is a minority shareholder in the company which owns St Joseph’s Hospital in Newport, Gwent.  The summary judgment application, which has been issued before the defendants had filed defences, was based in part on the compulsory share transfer provisions of a shareholders’ agreement between Dr Kulkarni and the majority shareholder, Gwent Holdings Limited.  Dr Kulkarni claimed that Gwent had committed irremediable breaches of the shareholders’ agreement, thus triggering the compulsory transfer provisions.  In his judgment in Kulkarni v Gwent Holdings Limited and St Joseph's Independent Hospital Limited [2022] EWHC 1368 (Ch), Deputy Master Marsh refused to order the rectification of the company’s register of members under section 125 of the Companies Act 2006 with retrospective effect.  He went on to refuse to grant relief entitling Dr Kulkarni to acquire Gwent’s shares compulsorily, noting at [92] that “the issue of remediability is unlikely to be suitable for determination in most cases on a summary basis because, as in this case, the court does not have all the evidence it needs to make a determination about the proper construction of the contract and whether on the specific facts the breach was remediable”. 

Daniel Lightman QC and Thomas Braithwaite, instructed by Ed Husband and Helen Dent of VWV, represented Gwent Holdings Limited in its successful opposition to the summary judgment application. 

To read the judgment, please click here.