Leofelis SA & Anor v Londsdal Sports Ltd & Ors [2012] EWHC 485 (Ch) (09 March 2012)

Leofelis SA & Anor v Londsdal Sports Ltd & Ors [2012] EWHC 485 (Ch) (09 March 2012)

Leofelis cannot recover damages for lost royalties after it terminated the Agreement in late 2007, as the contract was no longer in force and damages must reflect the actual period of contractual entitlement. The claim for damages for French sales fails as no valid sub-licence existed. In the 2009 Action, even if Lonsdale was in repudiatory breach, Leofelis cannot claim damages for loss of the Agreement after its own termination for unrelated reasons, as causation is not established.

Citation
[2012] EWHC 485 (Ch)
Parties
Claimant (2005 Action) / Defendant (2009 Action): Leofelis SA; Claimant (2005 Action): Leeside SRL; Defendant (2005 Action) / Claimant (2009 Action): Lonsdale Sports Limited; Defendant (2005 Action) / Claimant (2009 Action): The Trademark Licensing Company Limited; Defendant (2005 Action): Sports World International Limited; Third Party (2009 Action): Punch GmbH; Third Party (2009 Action): Sports and Clothing SIA; Third Party (2009 Action): Latvian Deluxe SIA; Third Party (2009 Action): P. S. F. International BV; Third Party (2009 Action): Geurt Jan Schotsman
Jurisdiction
England and Wales
Judgment Date
09 March 2012
Procedural Posture
Commercial Contract Dispute (intellectual Property Licensing) / Summary Judgment Applications in Ongoing Litigation
Outcome
Summary judgment granted in favour of Lonsdale on the issues of damages after late 2007 and for French sales; Leofelis' claims for those heads of loss are struck out.
Legal Topics
Damages for Breach of Contract, Repudiatory Breach, Trade Mark Licensing, Summary Judgment, Causation of Loss, Assessment of Damages, Sub Licensing, Termination of Contract
Contract Law Intellectual Property Law Commercial Law Damages for Breach of Contract Repudiatory Breach Trade Mark Licensing Summary Judgment Causation of Loss +3 more

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Parties

Leofelis SA

Claimant (2005 Action) / Defendant (2009 Action)

Leeside SRL

Claimant (2005 Action)

Lonsdale Sports Limited

Defendant (2005 Action) / Claimant (2009 Action)

The Trademark Licensing Company Limited

Defendant (2005 Action) / Claimant (2009 Action)

Sports World International Limited

Defendant (2005 Action)

Punch GmbH

Third Party (2009 Action)

Sports and Clothing SIA

Third Party (2009 Action)

Latvian Deluxe SIA

Third Party (2009 Action)

P. S. F. International BV

Third Party (2009 Action)

Geurt Jan Schotsman

Third Party (2009 Action)

Procedural Posture

Commercial Contract Dispute (intellectual Property Licensing) / Summary Judgment Applications in Ongoing Litigation

Legal Issues

  1. 1 Whether Leofelis can recover damages for lost royalties after termination of the Agreement in late 2007
  2. 2 Whether Leofelis can claim damages for French sales without a valid sub-licence
  3. 3 Whether Leofelis can claim damages in the 2009 Action for loss of benefit of the Agreement after its own termination

Ratio Decidendi

Leofelis cannot recover damages for lost royalties after it terminated the Agreement in late 2007, as the contract was no longer in force and damages must reflect the actual period of contractual entitlement. The claim for damages for French sales fails as no valid sub-licence existed. In the 2009 Action, even if Lonsdale was in repudiatory breach, Leofelis cannot claim damages for loss of the Agreement after its own termination for unrelated reasons, as causation is not established.

Court Disposition

Summary judgment granted in favour of Lonsdale on the issues of damages after late 2007 and for French sales; Leofelis' claims for those heads of loss are struck out.

Orders

  • Leofelis' claim for damages after 28 September 2007 in the 2005 Action is struck out.
  • Leofelis' claim for damages for French sales is struck out.