CJ Motorsport Consulting Ltd v Bird & Anor

CJ Motorsport Consulting Ltd v Bird & Anor

The 2016 Management Contract is unenforceable as an unreasonable restraint of trade because it imposes substantial and long-term obligations and restrictions on Mr Bird without corresponding obligations on CJ Motorsport, is one-sided, and cannot be justified as reasonably necessary to protect CJ Motorsport's interests. CJ Motorsport's claims for damages and quantum meruit fail as there is no pleaded failure to pay agreed commissions, any investment is covered by a separate agreement, and claims for historic investment are time-barred.

Parties
Claimant: CJ Motorsport Consulting Limited; First Defendant: Sam Bird; Second Defendant: Sam Bird Enterprises Limited
Jurisdiction
England and Wales
Judgment Date
03 September 2019
Procedural Posture
Civil / Summary Judgment/strike Out Application
Outcome
Summary judgment for the First Defendant; claim dismissed
Legal Topics
Restraint of Trade, Management Contracts, Quantum Meruit, Summary Judgment, Unjust Enrichment
Contract Law Commercial Law Restraint of Trade Management Contracts Quantum Meruit Summary Judgment Unjust Enrichment

Case Brief

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Parties

CJ Motorsport Consulting Limited

Claimant

Sam Bird

First Defendant

Sam Bird Enterprises Limited

Second Defendant

Procedural Posture

Civil / Summary Judgment/strike Out Application

Legal Issues

  1. 1 Whether the 2016 Management Contract is unenforceable as an unreasonable restraint of trade
  2. 2 Whether CJ Motorsport is entitled to damages for repudiation of the 2016 Management Contract
  3. 3 Whether CJ Motorsport is entitled to quantum meruit for services and investment

Ratio Decidendi

The 2016 Management Contract is unenforceable as an unreasonable restraint of trade because it imposes substantial and long-term obligations and restrictions on Mr Bird without corresponding obligations on CJ Motorsport, is one-sided, and cannot be justified as reasonably necessary to protect CJ Motorsport's interests. CJ Motorsport's claims for damages and quantum meruit fail as there is no pleaded failure to pay agreed commissions, any investment is covered by a separate agreement, and claims for historic investment are time-barred.

Court Disposition

Summary judgment for the First Defendant; claim dismissed

Orders

  • CJ Motorsport's claim for damages for repudiation of the 2016 Management Contract is dismissed
  • CJ Motorsport's alternative claim for quantum meruit is dismissed