Cooper & Ors v Pure Fishing (UK) Ltd [2004] EWCA Civ 375 (18 March 2004)

Cooper & Ors v Pure Fishing (UK) Ltd [2004] EWCA Civ 375 (18 March 2004)

A principal does not 'terminate' an agency contract within the meaning of Regulation 18(a) by simply allowing a fixed-term contract to expire by effluxion of time, even if the reason for non-renewal is alleged default by the agent. Regulation 18(a) requires a positive act of termination by the principal before expiry, and the exception to compensation does not apply in cases of non-renewal.

Citation
[2004] EWCA Civ 375
Parties
Claimant/respondent: Steve Cooper; Claimant/respondent: Ian Watkins; Claimant/respondent: Andrew Bartle; Defendant/appellant: Pure Fishing (UK) Limited (formerly Outdoor Technology Group (UK) Limited)
Jurisdiction
England and Wales
Judgment Date
18 March 2004
Procedural Posture
Civil Appeal / Appeal From High Court (queen's Bench Division, Manchester District Registry) to Court of Appeal
Outcome
Appeal dismissed
Legal Topics
Commercial Agency Compensation, Termination of Agency Contracts, Interpretation of Commercial Agents (council Directive) Regulations 1993, Exclusion of Compensation Under Regulation 18(a)
Commercial Law Contract Law Agency Law Commercial Agency Compensation Termination of Agency Contracts Interpretation of Commercial Agents (council Directive) Regulations 1993 Exclusion of Compensation Under Regulation 18(a)

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Parties

Steve Cooper

Claimant/respondent

Ian Watkins

Claimant/respondent

Andrew Bartle

Claimant/respondent

Pure Fishing (UK) Limited (formerly Outdoor Technology Group (UK) Limited)

Defendant/appellant

Procedural Posture

Civil Appeal / Appeal From High Court (queen's Bench Division, Manchester District Registry) to Court of Appeal

Legal Issues

  1. 1 Whether a principal 'terminates' an agency contract under Regulation 18(a) by not renewing a fixed-term contract that expires by effluxion of time
  2. 2 Whether the exception to compensation under Regulation 18(a) applies when the contract ends by effluxion of time due to alleged default by the agent

Ratio Decidendi

A principal does not 'terminate' an agency contract within the meaning of Regulation 18(a) by simply allowing a fixed-term contract to expire by effluxion of time, even if the reason for non-renewal is alleged default by the agent. Regulation 18(a) requires a positive act of termination by the principal before expiry, and the exception to compensation does not apply in cases of non-renewal.

Court Disposition

Appeal dismissed

Orders

  • Appeal dismissed with costs summarily assessed in the sum of £29,000 inclusive of VAT
  • Application to amend the grounds of appeal allowed in relation to paragraphs 1 and 2