Case report: breach of duty leads to forfeiture of partnership share in Hosking

Where someone in a fiduciary relationship (such as an agent or a partner) breaches the duties they owe to their principal, one of the possible consequences is loss of the fiduciary’s fees.

In Hosking v Marathon Asset Management LLP [2016] EWHC 2418 (Ch) the High Court had to decide whether, in the case of a member of a limited liability partnership (LLP), this extended to loss of the member’s partnership share.

Marathon Asset Management LLP was an investment management business with a number of executive and non-executive members.