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A hospital order patient (including a patient on leave of absence) can apply to the FtT once within the second six months of his detention and once within every 12-month period thereafter. Ratio
A conditionally discharged restricted patient who has not been recalled to hospital can only apply once within the second 12 months of his discharge and once within every two-year period thereafter. Ratio
At the very least, this is an indication that it was not thought that such patients required the same degree of protection as did those deprived of their liberty; and this again is an indication that it was not contemplated that they could be deprived of their liberty by the imposition of conditions. Ratio
Conclusion RPC
For all those reasons, I conclude that the MHA does not permit either the FtT or the Secretary of State to impose conditions amounting to detention or a deprivation of liberty upon a conditionally discharged restricted patient. RPC
It follows that this appeal must be dismissed. RPC
The making of a hospital order under section 37 of the Mental Health Act 1983, coupled with a restriction order under section 41, is a power given to the senior criminal courts (the Crown Court) in relation to offenders convicted of offences which carry sentences of imprisonment. PRE
The power is designed to provide an alternative to (probably but not invariably lengthy) imprisonment in the case of an offender who is mentally disordered. PRE
A restriction order can be imposed only, as section 41 explicitly says, where it is necessary for the protection of the public from serious harm, that is to say where the offender poses a risk of serious harm to the public: R v Birch (1989) 90 Cr App R 78. PRE
No one doubts that the machinery now in place for the making of this combination of orders, and for subsequent review by the FTT, complies with the requirements of article 5 of the European Convention on Human Rights. STA
That article, as is well known, specifically contemplates legitimate detention both of persons convicted before a criminal court (article 5(1)(a)) and of those who are of unsound mind, whether convicted or not (article 5(1)(e)). STA
The prime purpose of this combination of orders is thus the protection of the public. Ratio
Another is, plainly, the treatment and if possible rehabilitation of the offender, since then the risk of serious harm to the public may be reduced or, sometimes, eventually removed. Ratio
Recovery and rehabilitation are, inevitably, very likely to be progressive and/or partial, rather than instantaneous or complete. Ratio
If the treatment progresses to the point where the nature of the detention can be relaxed, consistently with the continued protection of the public, it is very plainly in the public interest that it should be. Ratio
The mechanism contemplated by the Mental Health Act for this relaxation, where it is appropriate, is conditional discharge. Ratio
The irony so cogently pointed out by Lady Hale at para 24 is that in this case the contention which invokes article 5 ECHR has the result, if it is correct, that a restricted patient who has made sufficient progress for his conditions of detention to be relaxed but not entirely removed, cannot be conditionally discharg...
He will, very likely, instead remain in detention in hospital, because in the absence of conditions ensuring public safety it will not be possible for the FTT to say that it is not satisfied that his condition warrants his detention there (section 72(1)(b)(i) and (ii) as applied to restricted patients by section 73(1)(...
This will be so, on the argument of the Secretary of State, even if everyone is agreed that the protection of the public would sufficiently be safeguarded by the relaxed conditions, and even if, as here, the offender actively seeks the relaxed form of detention. Ratio
The two arguments which Lady Hale finds lead inevitably to this unsatisfactory result are one of legality and the other of practical construction of the scheme of the Mental Health Act. Ratio
If they do indeed lead inevitably to this result, then of course they must prevail. Ratio
It does not seem to me that they do. Ratio
Lord Hoffmanns celebrated formulation of the rule of legality in R v Secretary of State for the Home Department, Ex p Simms [2000] 2 AC 115 at 131 must not be watered down. Ratio
Fundamental rights are not to be taken away by a side- wind, or by ambiguous or unspecific words. Ratio
The right to liberty is a paradigm example. Ratio
But what is in question here is not the removal of liberty from someone who is unrestrained. Ratio
The restricted patient under consideration is, by definition, deprived of his liberty by the combination of hospital order and restriction order. Ratio
That deprivation of liberty is lawful, and Convention-compliant. Ratio
If he is released from the hospital and relaxed conditions of detention are substituted by way of conditional discharge, he cannot properly be said to be being deprived of his liberty. Ratio
On the contrary, the existing deprivation of liberty is being modified, and a lesser deprivation substituted. Ratio
The authority for his detention remains the original combination of orders, from the consequences of which he is only conditionally discharged. Ratio
This was the reasoning of the Upper Tribunal in Secretary of State for Justice v RB [2010] UKUT 454 (AAC), in the passage set out by Lady Hale at para 21. Ratio
It seems to me that it was clearly right. Ratio
It might be otherwise if the proposed conditions to be attached to discharge were to amount to a greater level of detention than is authorised by the hospital and restriction orders. Ratio
If one were to hypothesise an improbable scenario in which a FTT were to be asked to impose a condition which amounted, for example, to solitary and isolated confinement, such a question might arise, and with it the application of the Simms principle. Ratio
But the present case is not suggested to involve any potential conditions which are other than a relaxation of the detention to which MM is otherwise subject in the hospital. Ratio
The position of a restricted patient subject to a court order for detention in a secure hospital is not comparable to that of the unconvicted defendant in Buzadji v Moldova, 5 July 2016 (Application No 23755/07). Ratio
There is no reason to doubt that a deprivation of liberty is involved if a defendant awaiting trial is given, in effect, the choice whether to be remanded in custody or to avoid such remand by consenting to house arrest. Ratio
Such a defendant is otherwise at liberty. Ratio
A restricted patient who seeks relaxation of his detention conditions is not. Ratio
It is necessary to confront the suggested practical and textual objections. Ratio
(a) The Act specifically provides for conditional discharge. Ratio
(b) For the reasons given by Lady Hale at paras 19 and 20 discharge in the context of a restricted patient must mean discharge from the hospital in which he is currently detained. Ratio
(c) Everyone agrees that the power to order conditional discharge enables the FTT (or the Secretary of State) to impose conditions beyond that of liability to recall. Ratio
Such conditions might include co-operation with treatment, attending appointments and keeping in touch with supervisors, the regular taking of medicine, perhaps keeping away from specified people or places or abstaining from specified practices. Ratio
The only issue is whether if the conditions (considered outwith the context of an existing restriction order) meet the Cheshire West test of deprivation of liberty, they become impermissible (Surrey County Council v P; Cheshire West and Chester Council v P [2014] AC 896). Ratio
(d) There clearly is a risk that a patient who initially professed his consent to conditions meeting the Cheshire West test might subsequently change his mind. Ratio
That may well be a particular risk with a patient who is mentally disordered. Ratio
There are indeed no specific provisions in the Mental Health Act, if this happens, for taking him into custody and restoring him to the place where his conditions require him to live. Ratio
But what the Act does do is to authorise the Secretary of State to recall him to hospital (section 73(4)(a)). Ratio
If he is recalled, that triggers the express provision in section 42(4)(b) which treats him henceforth as absent without leave, and then the various provisions of the Act for his being taken into custody and returned to the hospital come into operation. Ratio
Whether or not the Act might have provided additional powers, these are perfectly viable and rational remedies for the risk of failure to comply with conditions. Ratio
It may well be that it was not thought appropriate to vest in those managing some place of lesser security where the patients conditions required him to live, the same powers as those possessed by a secure hospital. Ratio
(e) Moreover, the same risk of later refusal to comply with conditions will exist where the conditions do not approach the Cheshire West threshold, and it is met with the same remedy or sanction. Ratio
If the patient, having initially professed himself keen to comply with medication rules, or anxious to avoid contact with particularly vulnerable persons, then decides not to comply with the conditions, then what the Act contemplates is that his case will be assessed by the Secretary of State who will either decide to ...
If he does recall him, there are then ample powers to enforce the recall. Ratio
Short of that, there are no powers to compel him to obey the conditions; no criminal offence is committed and he cannot physically be compelled to obey. Ratio
The position is thus the same for conditions which meet the Cheshire West test and for those which do not. Ratio
(f) Some reliance was placed upon the fact that the interval stipulated in the Act in which application to the FTT can be made is greater for a restricted patient who has been conditionally discharged than for a restricted patient who has not. Ratio
The latter is entitled to apply within the period 6-12 months from the making of the hospital and restriction orders, and thereafter at 12- month intervals: section 70. Ratio
The conditionally discharged patient is subject to a longer interval, namely within the period 12-24 months of discharge and bi-ennially thereafter: section 75(2). Ratio
If, however, a conditionally discharged restricted patient is recalled to hospital, his entitlement to apply to the tribunal reverts to the same intervals as before his discharge: section 75(1). Ratio
This can be said to be some indication that Parliament did not think that a conditionally discharged restricted patient needed the same protection by way of entitlement to make further application to the tribunal as a patient who either had not made any previous application or whose applications for discharge, conditio...
But that is not surprising, given the difference between the two cases. Ratio
The conditionally discharged prisoner will, by definition, have had a recent determination of the tribunal relaxing his manner of detention. Ratio
It is going further than is justified to read into this difference a Parliamentary assumption that the conditions applied on conditional discharge could never amount to ones which, if considered without the background of an extant order for detention in hospital, would meet the Cheshire West test for detention. Ratio
Whilst this consideration is of some limited weight, I do not think that it can prevail against the scheme of the Act as set out above, for relaxation of detention by means of conditions attached to discharge. Ratio
Nor do I think that any help can be derived from the intervals prescribed for the different case of a non-restricted hospital order patient, which apply equally to those still actually detained and those on leave of absence. Ratio
For these reasons it seems to me that the FTT does indeed have the power, if it considers it right in all the circumstances, to impose conditions upon the discharge of a restricted patient which, if considered out of the context of an existing court order for detention, would meet the Cheshire West test, at least so lo...
Whether it is right to do so in any particular case is a different matter. Ratio
The power to do so does not seem to me to depend on the consent of the (capacitous) patient. Ratio
His consent, if given, and the prospect of it being reliably maintained, will of course be very relevant practical considerations on the question whether such an order ought to be made, and will have sufficient prospect of being effective. Ratio
Tribunals will at that stage have to scrutinise the reality of the consent, but the fact that it is given in the face of the less palatable alternative of remaining detained in hospital does not, as it seems to me, necessarily rob it of reality. Ratio
Many decisions have to be made to consent to a less unpalatable option of two or several: a simple example is where consent is required to deferment of sentence, in a case where the offence would otherwise merit an immediate custodial sentence. Ratio
I would, myself, for those reasons, allow this appeal. RPC
This appeal concerns the Scots law of gratuitous alienations on insolvency. Ratio
It raises three principal questions. Ratio
First, there is a question as to the interpretation of the term adequate consideration in section 242(4)(b) of the Insolvency Act 1986 (the 1986 Act). Ratio
Secondly, there is the question whether the Inner House was entitled to interfere with the Lord Ordinarys evaluation that the consideration given by Carnbroe Estates Ltd (Carnbroe) amounted to adequate consideration under that statutory provision. Ratio
Thirdly, a question arose during the hearing as to the interpretation of the words in section 242(4) that empower the court to grant a remedy. Ratio
The court invited and received written submissions from counsel for both parties. Ratio
The question is whether the court has any discretion as to the remedy it may give. Ratio
Factual background FAC
Grampian MacLennans Distribution Services Ltd (Grampian) was, as its name suggests, a distribution services company. FAC
It carried on business from a site at 9 Stroud Road, Kelvin Industrial Estate, East Kilbride (the Property). FAC
The Property, which was Grampians principal asset and centre of operations, consisted of a warehouse, a vehicle workshop and a yard with a gatehouse. FAC
Grampian purchased the Property in August 2005 for 630,000. FAC
The buildings on the Property had been constructed in the 1970s and by 2014 were in need of further maintenance, repair and upgrading. FAC
Grampians shareholders until June 2014 were Derek and Hazel Hunter, and Derek Hunter (Mr Hunter) was the sole director. FAC
In March 2013 DM Hall, chartered surveyors, (DM Hall) valued the Property at 1.2m on the open market with the valuation falling to 800,000 if one were to assume a restricted marketing period of 180 days. FAC
By early 2014 Grampian was in financial difficulty. FAC
In May 2014 Mr Hunter consulted an insolvency practitioner to obtain advice as to whether he should put Grampian in members voluntary liquidation. FAC
At that time Mr Hunter believed that the sale of the Property would enable Grampian to pay all its creditors and make a distribution to the shareholders. FAC
His belief was supported by the DM Hall valuation of March 2013. FAC
Shortly before the consultation in May 2014, Carnbroe had intimated through its solicitors an interest in purchasing the property for 950,000. FAC
In mid-2014, another company, Bullet Express Ltd, also expressed an interest in acquiring the Property at a price of 900,000. FAC
Mr and Mrs Hunter chose not to pursue those expressions of interest in the Property but instead sold their shares in Grampian to Mr Kevan Quinn (Mr Quinn), who became its sole shareholder and director with effect from about 16 June 2014. FAC
At this time, Grampians total liabilities marginally exceeded 1m. FAC
Sums in excess of 500,000 were due to HM Revenue and Customs (HMRC) and sums over 500,000 were due to National Westminster Bank plc (NatWest), which together were Grampians principal creditors. FAC
NatWest held a standard security over the Property in respect of a LIBOR loan, which I mention below. FAC