CJ Motorsport Consulting Ltd v Bird & Anor [2019] EWHC 2330 (QB) (03 September 2019)

CJ Motorsport Consulting Ltd v Bird & Anor [2019] EWHC 2330 (QB) (03 September 2019)

The 2016 Management Contract is unenforceable as an unreasonable restraint of trade because it imposes substantial and long-term restrictions on Mr Bird without corresponding obligations on CJ Motorsport, and CJ Motorsport has no real prospect of justifying these restraints. Accordingly, CJ Motorsport's claim for damages for repudiation fails. The quantum meruit claim also fails as all agreed commissions were paid and there was no total failure of basis for restitution.

Citation
[2019] EWHC 2330
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
Commercial Contract Dispute / Application for Strike Out And/or Summary Judgment
Outcome
Claim for damages struck out; summary judgment for first defendant; quantum meruit claim dismissed.
Legal Topics
Restraint of Trade, Management Contracts, Quantum Meruit, Summary Judgment, Strike Out Applications

Case Brief

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Parties

CJ Motorsport Consulting Limited

Claimant

Sam Bird

First Defendant

Sam Bird Enterprises Limited

Second Defendant

Procedural Posture

Commercial Contract Dispute / Application for Strike Out And/or Summary Judgment

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

Ratio Decidendi

The 2016 Management Contract is unenforceable as an unreasonable restraint of trade because it imposes substantial and long-term restrictions on Mr Bird without corresponding obligations on CJ Motorsport, and CJ Motorsport has no real prospect of justifying these restraints. Accordingly, CJ Motorsport's claim for damages for repudiation fails. The quantum meruit claim also fails as all agreed commissions were paid and there was no total failure of basis for restitution.

Court Disposition

Claim for damages struck out; summary judgment for first defendant; quantum meruit claim dismissed.

Orders

  • CJ Motorsport's claim for damages for repudiation of the 2016 Management Contract is struck out.
  • Summary judgment is entered for Mr Bird on the claim for damages.