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James and Jane are the sole shareholders and directors of Wasterall Ltd (a private company limited by shares) which runs a very profitable waste and
James and Jane are the sole shareholders and directors of Wasterall Ltd (a private company limited by shares) which runs a very profitable waste and recycling consultancy. Wasterall Ltd owns all 100 issued 1 shares in Lubbling Ltd (a private company limited by shares), which operates several recycling centres. James and Jane are also directors of Lubbling Ltd. Unfortunately, consequent upon the Covid-19 pandemic, Lubbling Ltd has been struggling financially this year and now owes one of its key suppliers 300,000. Lubbling Ltd does not have sufficient assets to meet the claim, although Wasterall Ltd remains very successful. To compound its problems, chemicals have leaked in one of the recycling centres causing contamination to neighbouring land. The neighbouring farmer, Myles, has advised that de-contamination will cost upwards of 500,000. By reference to the concept of separate legal personality, advise Myles whether it may be possible to successfully claim the costs of de-contamination against Lubbling Ltd or Wasterall Ltd. Please refer to relevant case-law to support your
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