“Supreme Court revolutionises dishonesty test, abolishing Ghosh's subjective element”
Ivey's conduct was dishonest and constituted cheating. The Supreme Court established a new objective test for dishonesty, abolishing the subjective second limb of the Ghosh test.
Phil Ivey, a professional gambler, used edge-sorting techniques at baccarat in Genting Casino, winning £7.7 million. The casino refused to pay, alleging cheating. Ivey sued for his winnings, while the casino counterclaimed.
Whether edge-sorting constituted cheating and dishonesty; what test should apply for determining dishonesty in criminal law
The court held that dishonesty should be determined by objective standards of ordinary decent people, without requiring the defendant to appreciate their conduct was dishonest by those standards. The Ghosh test's subjective element was found to be unnecessary and potentially unjust.
This case fundamentally reformed the test for dishonesty across criminal law, replacing the long-established Ghosh test with a purely objective standard.
The ratio is that dishonesty is to be determined objectively by the standards of ordinary honest people, not by reference to the defendant's own moral standards or beliefs about honesty.
The Supreme Court established a purely objective test for dishonesty, overruling the subjective element of the Ghosh test that allowed defendants to rely on their own moral standards.
It fundamentally reformed the dishonesty test across criminal and civil law, making it easier to establish dishonesty by removing defendants' ability to claim different personal moral standards.
The court extensively criticised the Ghosh test and indicated it should no longer be followed in criminal cases, despite this being a civil case
OSCOLA Citation
Ivey v Genting Casinos (UK) Ltd t/a Crockfords [2017] UKSC 67, [2018] AC 391
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[2026] EWCA Crim 486
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