Enterprise Inns Plc v Palmerston Associates Ltd & Anor
The ordinary meaning of the language in the lease and deeds, read in context, establishes that 'Specified Beers' and 'Specified Ciders' refer to types listed in the Appendices and represented by at least one brand on the Price List, creating a tie by type. The regulatory background and commercial purpose do not override the clear language. Contra proferentem does not apply as the language is unambiguous.
- Parties
- Claimant: Enterprise Inns PLC; First Defendant: Palmerston Associates Limited; Second Defendant: Paul Rigby; Third Defendant: James Younger
- Jurisdiction
- England and Wales
- Judgment Date
- 30 November 2011
- Procedural Posture
- Civil / Judgment on Preliminary Issue
- Outcome
- Declaration granted in favour of the Claimant's interpretation.
- Legal Topics
- Interpretation of Lease Terms, Exclusive Purchasing Obligations, Beer Tie, Competition Law
Case Brief
Summary, issues, holding and outcome
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Parties
Enterprise Inns PLC
Claimant
Palmerston Associates Limited
First Defendant
Paul Rigby
Second Defendant
James Younger
Third Defendant
Procedural Posture
Civil / Judgment on Preliminary Issue
Legal Issues
- 1 Proper construction of 'Specified Beers' and 'Specified Ciders' under the lease as varied
- 2 Whether the tie operates by type or by brand
- 3 Admissibility and relevance of regulatory and legal background to contract interpretation
Ratio Decidendi
The ordinary meaning of the language in the lease and deeds, read in context, establishes that 'Specified Beers' and 'Specified Ciders' refer to types listed in the Appendices and represented by at least one brand on the Price List, creating a tie by type. The regulatory background and commercial purpose do not override the clear language. Contra proferentem does not apply as the language is unambiguous.
Court Disposition
Declaration granted in favour of the Claimant's interpretation.
Orders
- Preliminary issue answered in accordance with the Claimant's construction of 'Specified Beers' and 'Specified Ciders'.
Full Case Text
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