The Trade Mark Licensing Co Ltd & Anor v Leofelis SA & Ors [2010] EWCA Civ 1366 (26 October 2012)

The Trade Mark Licensing Co Ltd & Anor v Leofelis SA & Ors [2010] EWCA Civ 1366 (26 October 2012)

Leofelis cannot claim damages for post-termination loss of profits or opportunity to renew the agreement, as the contract would have ended regardless of Lonsdale's alleged breaches, either due to Leofelis' own actions or inability to pay royalties. The proposed amendments to the Defence and Counterclaim do not disclose an arguable case for such damages and permission to amend is refused.

Citation
[2012] EWHC 485
Parties
Claimant and Part 20 Defendant, Respondent: The Trade Mark Licensing Co Ltd; Claimant and Part 20 Defendant, Respondent: Lonsdale Sports Ltd; Defendant and Part 20 Claimant, Appellant: Leofelis SA; Third Party, Respondent: Punch GmbH; Third Party, Respondent: Sports and Clothing SIA; Third Party, Respondent: Latvian Deluxe SIA; Third Party, Respondent: P. S. F. International BV; Third Party, Respondent: Geurt Jan Schotsman
Jurisdiction
England and Wales
Judgment Date
26 October 2012
Procedural Posture
Civil Appeal / Appeal From Summary Judgment; Application for Permission to Amend Defence and Counterclaim
Outcome
Appeal dismissed; permission to amend Defence and Counterclaim refused
Legal Topics
Breach of Contract, Trade Mark Licensing, Summary Judgment, Measure of Damages, Repudiatory Breach, Amendment of Pleadings
Contract Law Intellectual Property Law Breach of Contract Trade Mark Licensing Summary Judgment Measure of Damages Repudiatory Breach Amendment of Pleadings

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Parties

The Trade Mark Licensing Co Ltd

Claimant and Part 20 Defendant, Respondent

Lonsdale Sports Ltd

Claimant and Part 20 Defendant, Respondent

Leofelis SA

Defendant and Part 20 Claimant, Appellant

Punch GmbH

Third Party, Respondent

Sports and Clothing SIA

Third Party, Respondent

Latvian Deluxe SIA

Third Party, Respondent

P. S. F. International BV

Third Party, Respondent

Geurt Jan Schotsman

Third Party, Respondent

Procedural Posture

Civil Appeal / Appeal From Summary Judgment; Application for Permission to Amend Defence and Counterclaim

Legal Issues

  1. 1 Whether Leofelis can claim damages for loss of profits post-termination of the 2002 licence agreement
  2. 2 Whether Leofelis should be permitted to amend its Defence and Counterclaim to plead a new basis for damages
  3. 3 Whether the German injunction and subsequent conduct by Lonsdale constituted a repudiatory breach justifying damages beyond the contract period

Ratio Decidendi

Leofelis cannot claim damages for post-termination loss of profits or opportunity to renew the agreement, as the contract would have ended regardless of Lonsdale's alleged breaches, either due to Leofelis' own actions or inability to pay royalties. The proposed amendments to the Defence and Counterclaim do not disclose an arguable case for such damages and permission to amend is refused.

Court Disposition

Appeal dismissed; permission to amend Defence and Counterclaim refused

Orders

  • Permission to re-re-amend Defence and Counterclaim refused
  • Appeal dismissed