In Shearer & Ors v Spring Capital Ltd & Ors [2013] EWHC 3148 (Ch), Shearer and Spring Capital were in a borrower-lender relationship.  Shearer sought to refinance through a third party lender and sent a letter of tender (ie a redemption) to Spring Capital.  The third party lender required the securities held by Spring Capital to be released either before or at the same time as making the new money available to Shearer.  However, the tender did not make this clear and provided security release documents to be executed by Spring Capital.  Capital claimed that the tender was invalid due to it being conditional as to the timing of the release and sought to enforce its securities.

Shearer sought summary judgment orders requiring Spring Capital to release and transfer the security to the third party lender.  Summary judgment was not granted on the basis that tenders had to be unconditional and that it was questionable as to whether the tender had further conditions to be satisfied (ie timing of transfer, agreement of the form of the release documents and costs), such that a trial was required to determine these issues.

See Court decision here.