Constantin Medien AG v Ecclestone & Ors [2014] EWHC 387 (Ch) (20 February 2014)

Constantin Medien AG v Ecclestone & Ors [2014] EWHC 387 (Ch) (20 February 2014)

The court found that Constantin Medien AG failed to prove on the balance of probabilities that the payments to Dr Gribkowsky were bribes made pursuant to a corrupt agreement involving the Defendants. The evidence was insufficient to establish a corrupt arrangement or that the Defendants were party to such an arrangement. The Defendants' explanation that the payments were made in response to blackmail was accepted as more probable. Consequently, Constantin's claim for damages failed.

Citation
[2014] EWHC 387 (Ch)
Parties
Claimant: Constantin Medien AG; First Defendant: Bernard Ecclestone; Second Defendant: Stephen John Mullens; Third Defendant: Bambino Holdings Limited; Fourth Defendant: Gerhard Gribkowsky
Jurisdiction
England and Wales
Judgment Date
20 February 2014
Procedural Posture
Civil Claim / High Court Judgment After Trial
Outcome
Claim dismissed
Legal Topics
Bribery, Breach of Contract, Damages, Corporate Governance, Fiduciary Duties
Civil Fraud Commercial Law Contract Law Bribery Breach of Contract Damages Corporate Governance Fiduciary Duties

Case Brief

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Parties

Constantin Medien AG

Claimant

Bernard Ecclestone

First Defendant

Stephen John Mullens

Second Defendant

Bambino Holdings Limited

Third Defendant

Gerhard Gribkowsky

Fourth Defendant

Procedural Posture

Civil Claim / High Court Judgment After Trial

Legal Issues

  1. 1 Whether the $44 million payments to Dr Gribkowsky were bribes or extorted under blackmail
  2. 2 Whether the Defendants were party to a corrupt arrangement to facilitate the sale of BLB's shares in Formula One
  3. 3 Whether Constantin Medien AG suffered loss as a result of the alleged corrupt arrangement

Ratio Decidendi

The court found that Constantin Medien AG failed to prove on the balance of probabilities that the payments to Dr Gribkowsky were bribes made pursuant to a corrupt agreement involving the Defendants. The evidence was insufficient to establish a corrupt arrangement or that the Defendants were party to such an arrangement. The Defendants' explanation that the payments were made in response to blackmail was accepted as more probable. Consequently, Constantin's claim for damages failed.

Court Disposition

Claim dismissed

Orders

  • Claim by Constantin Medien AG is dismissed
  • No damages awarded to the Claimant