QTC Hotels Ltd is seeking to expand its international chain of hotels and is looking to purchase a hotel in Brazil for £15m from Rio de Janeiro Hotels SA. Given the complexity of buying property abroad QTC Hotels was assisted in the purchase by Brazilian Investment Advice Ltd (BIA). BIA acted as both an intermediary and consultant. However, unknown to QTC, BIA had a secret arrangement with Rio de Janeiro Hotels to the effect that the latter would pay BIA £1.5m as a result of selling the hotel.
QTC has subsequently discovered the payment of the secret commission and seeks to recover the £1.5m. However, on receipt of the money BIA invested it into two separate ventures. The first, Brazilian Rubber Industries SA failed and the whole £800,000 investment was lost. The second, was considerably more successful and the £700,000 initial investment into Sao Paulo Industries SA is now worth £2.1m.
You are instructed to advise the company secretary of QTC Hotels on what basis, if any, they might make a claim against BIA.
OSCOLA UK referencing
I want the course work to be explained as below:
Please use many cases, law article from academic research only westlaw, lexisnexis library, Books as Equity and trust Paul S Davis and Graham Virgo third edition
Equity and trusts ninth edition Alastair Hudson
Trusts and Equity 12th edition Richard Edwards and Nigel Stockwell
Follow this paragraph row:
At first paragraph write about the agent explain the situation that he gets a secret profit. Secondly Explain how the agent is a fiduciary, what is a fiduciary, what is the duty of the agent.
After write about Breach of a duty, how has law treated BRIBES, cases to analyse A-G-Hong Kong and Lister v Stubbs. Use this two cases are really important.
Conclusion: The remedies available proprietary and personal
Tracing available = 1) one investment fails 2) makes a profit
Write about No tracing/personal remedy
Comment on how the law has changed back and forwards about the matter
