Breach and Termination Flashcards
Jarvis v Swan Tours and Jackson v Horizon Holidays - Ratio
Generally can’t recover damages for dissapointment and discomfort but can in holiday claims.
Addis v Gramaphone Co - Facts
Employee compensation structure based on commission. Dismissed in a humiliating manner. Six months notice but not given it - successor brought in immediately but payed for it.
Argued also had loss of reputation.
Addis v Gramaphone Co - Rato
Declined to award damages for losses to feelings. Court said he was entitled to his base salary and reasonable commission, based on what his successor had earned for that six month notice period.
No damages for humiliation or loss of rep however.
Malik v BCCI - Facts
Alleged to be corrupt and dishonest and dismissed. Other employee had not done anything wrong, but they were both sacked, and made unemployable in financial services industry.
Malik v BCCI - Ratio
In Addis v Gramaphone, mere possibility that injury to reputation would take place, but here it had taken place, so they could be awarded damages for injury to feelings.
Should award damages where reasonably foreseeable that employee prospects will be harmed, such as where you falsely allege malicious practices.
Johnson v Unisys - Facts
Dismissed for irregularities in work. Took this very badly, drank heavily and suffered a mental breakdown. Couldn’t find another job, in his early 50s.
Sued claiming manner of dismissal had been unfair and deserved compensation.
Johnson v Unisys - Ratio
Court declined this claim, and distinguished it from Malik v BCCI, because they were following his dismissal and may have been a result of the dismissal, but had not breached his trust and confidence by simply dismissing as in Malik v BCCI.
Evans Marshall v Bertola - Ratio
If affirmed, you can demand performance, as long as it is possible. Had to submit the claim to the Spanish courts.
Why is White and Carter (Councils) v Macgregor controversial?
General principle that one must mitigate their losses. Here that was not the case, as they sought to get payment for all three years, by continuing with the contract, and made no attempt to find alternative advertisers take Carters place.
HoL said this did not apply as had automatic claim as it was a debt - whole balance became due when failed to pay first instalment.
Clea Shipping Corp v Bulk Oil International Ltd, The Alaskan Trader (1984) - Facts
Charterers said that chartered vessel would not be required. Owners went ahead and completed expensive repairs and maintained a crew ready to sail.
Clea Shipping Corp v Bulk Oil International Ltd, The Alaskan Trader (1984) - Ratio
Owners had acted ´wholly unreasonably´, which is the test which prevents a party from affirming a contract, if he has no legitimate interest in performing the contract, rather than claiming damages.
Which party must show that the innocent party has no legitimate interest in affirming the contract?
The guilty party.
Hounslow LBC v Twickenham Garden Developments Ltd - Ratio
Party cannot perform and claim price if he cannot realistically continue performance without the active or passive cooperation of the guilty party.
Isabella Shipowner SA v Shagang Shipping Co Ltd, The Aquafaith - Facts
Charterers said they would deliver vessel early in anticipatory breach.
Owners refused to accept early redelivery, thereby affirming.
Charterers claimed they could not do this as they had no legitimate interest in doing so as they could claim damages, and ALSO, they required the cooperation of the charterers to affirm.
Isabella Shipowner SA v Shagang Shipping Co Ltd, The Aquafaith - Ratio
Affirmation was not automatically denied simply because damages were a suitable remedy. If there is any benefit to the innocent party, however small, as compared to the loss of the charterers, they can affirm.
AFFIRMATION MUST BE BEYOND ALL REASON OR PERVERSE.
Declined that cooperation of the charterers was necessary in this case, as they did not need their cooperation to keep the ship available to them.
Furthermore, earning the hire of the ship had nothing to do with performance of the charterers obligations.
