Ann: VMC Claim Listed for Trial in Supreme Court, page-28

If you read the reasons of Le Miere J, he has formed the view that there should be 2 separate trials for the following reasons:

1. PW is the main/only asset of SPX and therefore the issue of liability and appropriate remedy must be resolved as quickly as possible so that SPX and its shareholders can have some certainty.
2. The aspect of the matter that will be the subject of the most technical evidence and therefore take the most time, is the determination of the quantum of any damages or equitable compensation that VMC may be entitled to if it gets up on the liability issue, but fails to satisfy the court that a constructive trust is an appropriate remedy. The court doesn't have enough time (hearing days) to resolve all issues prior to the winter recess.
3. The court has sufficient time to deal with the hearing on the liability issue and whether a constructive trust is an appropriate remedy in March 2020.
4. Splitting the issues into 2 trials may potentially save the parties time and money as; if SPX wins on the liability issue then the matter ends there, or if VMC wins on the liability and establishing a basis for a constructive trust then the matter ends there, it is only if VMC wins on the liability issue but not on the constructive trust issue that there needs to be a further trial in relation to establishing the quantum of damages or equitable compensation.
5. For the benefit of the SPX shareholders, splitting the issues into 2 trials gives them certainty either way. That is, at the end of the first trial, the SPX holders will know whether they (a) have won and get to keep PW, (b) have lost and lose PW, or (c) have lost on liability but get to keep PW subject to paying a sum of money to VMC that is yet to be determined.

It seems that the judge was also having regard to the fact that both companies are publicly listed and that their respective shareholders need to have some certainty as soon as possible, given that he made comments regarding the impact on the sp of SPX since the litigation was commenced and the immense impact this case can potentially have on both companies.

It was a good decision to split the trial into the discrete issues.