The Flying Music Company Ltd v Theater Entertainment SA & Ors [2017] EWHC 3192 (QB) (08 December 2017)

The Flying Music Company Ltd v Theater Entertainment SA & Ors [2017] EWHC 3192 (QB) (08 December 2017)

The contract was not frustrated because the civil unrest and its risks were already apparent and ongoing at the time of contracting; the personal guarantee was supported by consideration as the Claimant forbore from exercising its right to cancel performances; the guarantee was not voidable for duress as the pressure applied was lawful and not improper; the counterclaim for unjust enrichment failed as the sums were due under the contract and guarantee.

Citation
[2017] EWHC 3192 (QB)
Parties
Claimant: The Flying Music Company Limited; First Defendant: Theater Entertainment SA; Second Defendant: Vanessa Adam; Third Defendant: Michail Adam
Jurisdiction
England and Wales
Judgment Date
08 December 2017
Procedural Posture
Commercial Contract Claim and Counterclaim / High Court Trial Judgment
Outcome
Claim allowed; counterclaim dismissed
Legal Topics
Frustration of Contract, Personal Guarantee, Consideration, Duress, Unjust Enrichment
Contract Law Commercial Law Frustration of Contract Personal Guarantee Consideration Duress Unjust Enrichment

Case Brief

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Parties

The Flying Music Company Limited

Claimant

Theater Entertainment SA

First Defendant

Vanessa Adam

Second Defendant

Michail Adam

Third Defendant

Procedural Posture

Commercial Contract Claim and Counterclaim / High Court Trial Judgment

Legal Issues

  1. 1 Whether the contract was frustrated by civil unrest in Greece
  2. 2 Whether the personal guarantee was supported by consideration
  3. 3 Whether the personal guarantee was voidable for duress

Ratio Decidendi

The contract was not frustrated because the civil unrest and its risks were already apparent and ongoing at the time of contracting; the personal guarantee was supported by consideration as the Claimant forbore from exercising its right to cancel performances; the guarantee was not voidable for duress as the pressure applied was lawful and not improper; the counterclaim for unjust enrichment failed as the sums were due under the contract and guarantee.

Court Disposition

Claim allowed; counterclaim dismissed

Orders

  • Judgment for the Claimant for the sums due under the contract and guarantee
  • Counterclaim for unjust enrichment dismissed