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The later of two interim dividends was due and payable when it was paid

By Arthur Weller, December 2024

The FTT was wrong to find that no enforceable debt arose where a company with Table A articles of association paid an interim dividend to one shareholder but not to another, but the FTT was entitled to find that the articles had been amended prior to payment of the interim dividend or alternatively the appellant entered into a contractually binding agreement to waive his right to enforce the dividend. 

Summary 

The First-tier Tribunal (FTT) was wrong to find that no enforceable debt arose where a company with Table A articles of association paid an interim dividend to one shareholder but not to another, but the FTT was entitled to find that the articles had been amended prior to payment of the interim dividend or alternatively the appellant entered into a contractually binding agreement to waive his right to enforce the dividend. 

Background 

The respondent (PG) worked full-time

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