Recorded Picture Company Ltd v Alfama Films Production & Anor [2020] EWHC 3481 (Ch) (17 December 2020)

Recorded Picture Company Ltd v Alfama Films Production & Anor [2020] EWHC 3481 (Ch) (17 December 2020)

RPC was in breach of clause 7.1.1 of the Deed by granting rights to Tornasol during Alfama's option term, as found by the Court of Appeal; the Producers lost a substantial chance to make the Film and benefit financially, and damages should be assessed on the loss of a chance basis, subject to discount for the likelihood of the chance materialising.

Citation
[2020] EWHC 3481 (Ch)
Parties
Claimant/part 20 Defendant: RECORDED PICTURE COMPANY LIMITED; Defendant/part 20 Claimant: ALFAMA FILMS PRODUCTION; Defendant/part 20 Claimant: PAULO BRANCO
Jurisdiction
England and Wales
Judgment Date
17 December 2020
Procedural Posture
Counterclaim (breach of Contract) / Trial Judgment
Outcome
Counterclaim succeeds in part; RPC found in breach of contract and liable for damages assessed on a loss of a chance basis.
Legal Topics
Breach of Contract, Option Agreements, Damages Assessment, Loss of a Chance, Film Production Rights

Case Brief

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Parties

RECORDED PICTURE COMPANY LIMITED

Claimant/part 20 Defendant

ALFAMA FILMS PRODUCTION

Defendant/part 20 Claimant

PAULO BRANCO

Defendant/part 20 Claimant

Procedural Posture

Counterclaim (breach of Contract) / Trial Judgment

  1. 1 Whether RPC breached the Deed by negotiating with and granting rights to Tornasol during Alfama's option term
  2. 2 Whether the Producers lost a substantial chance to make the Film and benefit financially as a result of RPC's breach
  3. 3 Assessment of damages based on loss of a chance

Ratio Decidendi

RPC was in breach of clause 7.1.1 of the Deed by granting rights to Tornasol during Alfama's option term, as found by the Court of Appeal; the Producers lost a substantial chance to make the Film and benefit financially, and damages should be assessed on the loss of a chance basis, subject to discount for the likelihood of the chance materialising.

Court Disposition

Counterclaim succeeds in part; RPC found in breach of contract and liable for damages assessed on a loss of a chance basis.

Orders

  • RPC to pay damages to the Producers for loss of a chance, quantum to be assessed based on the likelihood of the Film being made and the Producers benefiting financially.
  • Interest awarded on damages.