Georgina Wolfe successfully represents the Chancellor of the Duchy of Lancaster in landmark national security case

25 November 2024

Georgina Wolfe appeared on behalf of the successful Defendant, the Chancellor of the Duchy of Lancaster in the Cabinet Office, in the significant case of R (on the application of L1T FM Holdings UK Limited and or) v Chancellor of the Duchy of Lancaster in the Cabinet Office. This case, the first judicial review challenge under the National Security and Investment Act 2021 (NSIA) to reach the High Court, marks a pivotal moment in the development of UK national security law.

The case concerned the enforced sale of a fibre broadband provider, Upp, by the LetterOne investment group, whose owners include sanctioned oligarchs Mikhail Fridman and Petr Aven. LetterOne was ordered to divest its interest in Upp amid concerns that the company’s ultimate ownership structure made it vulnerable to leverage by the Russian state.

The Claimants challenged the Secretary of State’s decision to make a final order under the NSIA requiring the divestment of 100% of LetterOne’s shareholding in Upp. They sought a quashing order, declarations, and damages, arguing that the terms of the final order were in breach of:

  1. Section 6(1) of the Human Rights Act 1998, and
  2. Public law principles, including procedural fairness.

Following a four-day rolled-up hearing, which included a Closed Material Procedure, Mrs Justice Farbey dismissed the claim. The Court upheld the Defendant’s actions as lawful, proportionate, and consistent with the NSIA’s objectives. Permission was refused on some grounds.

The ruling has significant implications for the application of the National Security and Investment Act, under which the government can scrutinise and block transactions in sensitive sectors.

Georgina Wolfe was instructed on behalf of the Chancellor of the Duchy of Lancaster in the Cabinet Office, led by Rory Phillips KC, with Emmanuel Sheppard and Karl Laird. She has co-written a chapter of National Security Law, Procedure and Practice (OUP, 2024) about the NSIA.


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