The High Court has held that the correct reading of the ECJ judgment in Marks & Spencer v Halsey is that the rule of UK tax law that group relief cannot be claimed in respect of the losses of a group company resident outside the UK is valid and enforceable, notwithstanding the absence of a specific statutory exception for losses which have not been used in the other Member State where the surrendering company is resident and are no longer capable of being so used, however if, on the facts of an individual case, it can be shown that the losses have not been and cannot be used in the other Member State, the UK rule has to be disapplied to that particular case. Given that all or most of the relevant losses of M&S's French subsidiary had been used and had resulted in reductions in French tax liabilities, M&S's claim for group relief in respect of the French losses failed, however in respect of the losses of the German and Belgian subsidiaries, the matter was remitted to the Special Commissioners for them to make further findings and determine the appeals in light of those findings. The judgment also includes guidance on how the claimant must demonstrate that the losses of the non-resident subsidiary have not been and cannot be used in its resident state, i.e. that it has "exhausted the possibilities available".