Dwyer (UK Franchising) Ltd v Fredbar Ltd & Anor [2021] EWHC 1218 (Ch) (11 May 2021)

Dwyer (UK Franchising) Ltd v Fredbar Ltd & Anor [2021] EWHC 1218 (Ch) (11 May 2021)

Fredbar Limited committed a repudiatory breach of the franchise agreement by ceasing to operate and purporting to terminate without lawful justification. The misrepresentation and undue influence claims failed on the facts and evidence. The restraint of trade covenants were reasonable and enforceable. The claimant was entitled to injunctive relief and damages for breach. The force majeure clause was not engaged by the circumstances of the Covid-19 pandemic as pleaded.

Citation
[2021] EWHC 1218 (Ch)
Parties
Claimant: Dwyer (UK Franchising) Limited; First Defendant: Fredbar Limited; Second Defendant: Mr. Shaun Rowland Bartlett
Jurisdiction
England and Wales
Judgment Date
11 May 2021
Procedural Posture
Commercial Contract/franchise Dispute / Trial Judgment on Liability and Injunctive Relief
Outcome
Claim allowed in part; injunction granted; damages to be assessed.
Legal Topics
Repudiatory Breach, Misrepresentation, Restraint of Trade, Unfair Contract Terms, Injunctive Relief, Guarantee and Indemnity, Force Majeure, Undue Influence
Contract Law Franchise Law Commercial Law Equity Repudiatory Breach Misrepresentation Restraint of Trade Unfair Contract Terms +4 more

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 6 Authorities cited 5 Party arguments 2 Amounts and remedies 14
Sign in to unlock

Parties

Dwyer (UK Franchising) Limited

Claimant

Fredbar Limited

First Defendant

Mr. Shaun Rowland Bartlett

Second Defendant

Procedural Posture

Commercial Contract/franchise Dispute / Trial Judgment on Liability and Injunctive Relief

Legal Issues

  1. 1 Whether Fredbar Limited committed a repudiatory breach of the franchise agreement
  2. 2 Whether the agreement was induced by negligent misrepresentation or undue influence
  3. 3 Whether the restraint of trade covenants are enforceable

Ratio Decidendi

Fredbar Limited committed a repudiatory breach of the franchise agreement by ceasing to operate and purporting to terminate without lawful justification. The misrepresentation and undue influence claims failed on the facts and evidence. The restraint of trade covenants were reasonable and enforceable. The claimant was entitled to injunctive relief and damages for breach. The force majeure clause was not engaged by the circumstances of the Covid-19 pandemic as pleaded.

Court Disposition

Claim allowed in part; injunction granted; damages to be assessed.

Orders

  • Injunction restraining the defendants from operating a competing business within the restricted area until 18 August 2021.
  • Order for delivery up of franchise property and compliance with post-termination obligations.