Aerospace Publishing Ltd & Anor v Thames Water Utilities Ltd

Aerospace Publishing Ltd & Anor v Thames Water Utilities Ltd

Where a unique business archive is damaged or destroyed, and the owner intends and is reasonable to reinstate, damages are to be assessed on the cost of reinstatement rather than diminution in value. The claimants’ intention to reinstate was genuine, commercially reasonable, and supported by evidence. Staff costs and interest were properly awarded as special damage and consequential loss.

Parties
Claimant/respondent: Aerospace Publishing Ltd; Claimant/respondent: Midsummer Books Ltd; Defendant/appellant: Thames Water Utilities Ltd
Jurisdiction
England and Wales
Judgment Date
11 January 2007
Procedural Posture
Civil Appeal / Appeal From High Court (queen’s Bench Division) on Quantum Only
Outcome
Appeal dismissed save for minor adjustment; cross-appeal on interest substantially allowed
Legal Topics
Measure of Damages, Reinstatement Vs Diminution in Value, Loss of Profit, Interest on Damages, Staff Costs as Special Damage
Tort Damages Commercial Law Measure of Damages Reinstatement Vs Diminution in Value Loss of Profit Interest on Damages Staff Costs as Special Damage

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 12 Party arguments 2 Amounts and remedies 12
Sign in to unlock

Parties

Aerospace Publishing Ltd

Claimant/respondent

Midsummer Books Ltd

Claimant/respondent

Thames Water Utilities Ltd

Defendant/appellant

Procedural Posture

Civil Appeal / Appeal From High Court (queen’s Bench Division) on Quantum Only

Legal Issues

  1. 1 Whether damages for destruction of a unique archive should be assessed on the basis of cost of reinstatement or diminution in value
  2. 2 Whether claimants intended and were reasonable to reinstate the archive
  3. 3 Whether staff costs and interest were properly awarded

Ratio Decidendi

Where a unique business archive is damaged or destroyed, and the owner intends and is reasonable to reinstate, damages are to be assessed on the cost of reinstatement rather than diminution in value. The claimants’ intention to reinstate was genuine, commercially reasonable, and supported by evidence. Staff costs and interest were properly awarded as special damage and consequential loss.

Court Disposition

Appeal dismissed save for minor adjustment; cross-appeal on interest substantially allowed

Orders

  • Damages to be assessed on reinstatement basis
  • Staff costs for employees allowed; freelance costs disallowed