Secret commissions and the "half way house"

Wilson & anr v Hurstanger Ltd [2007] EWCA Civ 299 raised the issue of whether a principal had given informed consent to the receipt, by his agent, of commissions from a third party, or whether those commissions had been paid secretly. In its judgment, the Court of Appeal has, for the first time, recognised a new "half way house" category falling between secrecy and informed consent.

The approach of the Court of Appeal offers the courts considerable flexibility in awarding equitable remedies in appropriate cases.