Spencer West wins key appeal case

On 19 June 2026, Spencer West achieved a unanimous ruling from the Court of Appeal, which set aside a summary judgment of nearly USD $2.5 million against its client, FMC Trading, a Singaporean forex business. This landmark decision underscored the strength of Spencer West’s legal arguments and provided critical vindication for the client, reflected in Lord Justice Males' lead judgment. The Court identified procedural missteps in the High Court’s initial ruling, particularly concerning the bifurcation of the summary judgment hearing.

Lord Justice Males articulated that the High Court Judge improperly entered a final judgment against FMC Trading for breach of contract while adjourning the case against the defendant director. This delayed hearing was problematic, as it permitted the claimant to amend its particulars and allowed the director to file a defence alongside new evidence. Such developments led to reconsiderations surrounding the contract’s interpretation and authenticity, establishing that summary judgment was not appropriate.

Furthermore, while Issues 1 and 2 stemmed from distinct legal grounds, the court noted their practical interconnection. Given that no breach could be established, the allegations of inducing a breach against the director were similarly impacted. Males LJ highlighted the risks of prejudice that splitting the hearing posed for FMC Trading, implying that a contradictory outcome at trial could unfairly affect the client.

In granting permission to appeal, despite the application being nine months overdue, the court emphasised the significant potential injustice faced by Spencer West's client, warranting the overturning of the judgment. Leading the matter, Spencer West Partner Ramie Farag expressed his satisfaction with the ruling, indicating that “FMC Trading was found jointly and severally liable for alleged breaches of contract outside of the knowledge or doing of its business’s principal, who the Court has considered to be an honest and good faith actor."

Farag also noted the hurdles FMC Trading faced under the initial judgment, highlighting how “a USD $2.5 million judgment and having his assets in Singapore subject to a Minerva Injunction was incredibly harsh." He remarked on the swift actions taken by the firm to secure a stay of execution just days before anticipated enforcement in Singapore. With expert cooperation from foreign counsel, Spencer West managed to negotiate a grace period for FMC Trading while dealing with creditor implications stemming from the judgment and freezing order.

Having maintained a solid reputation in the forex sector for nearly 35 years, the successful appeal signifies a vital restoration for FMC Trading. The ruling alleviates contract breaches concerning local creditors, allowing the business to resume operations without further hindrance. This case marks a pivotal moment not just for Spencer West, but for ensuring justice in complex cross-border payment disputes within the financial sector.