The Durham Company Limited v Durham County Council

The Durham Company Limited v Durham County Council

The Court of Appeal held that TDC had no real prospect of establishing that any breach of Article 108(3) TFEU by the Council was sufficiently serious to justify an award of Francovich damages. The Council's position on selectivity was at least strongly arguable, and there was no evidence of intentional or reckless breach. Declaratory relief was refused as academic due to Brexit and the change in the legal regime. The appeal was dismissed by majority.

Parties
Claimant/appellant: The Durham Company Limited; Defendant/respondent: Durham County Council
Jurisdiction
England and Wales
Judgment Date
01 February 2022
Procedural Posture
Civil Appeal / Appeal From Summary Judgment in the High Court
Outcome
Appeal dismissed (by majority)
Legal Topics
State Aid, Francovich Damages, Summary Judgment, Breach of EU Law, Selectivity Condition, Declaratory Relief
Competition Law European Union Law Administrative Law State Aid Francovich Damages Summary Judgment Breach of EU Law Selectivity Condition +1 more

Case Brief

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Parties

The Durham Company Limited

Claimant/appellant

Durham County Council

Defendant/respondent

Procedural Posture

Civil Appeal / Appeal From Summary Judgment in the High Court

Legal Issues

  1. 1 Whether the Council's provision of commercial waste collection services constituted unlawful State aid under Article 107(1) TFEU
  2. 2 Whether breach of Article 108(3) TFEU was sufficiently serious to justify Francovich damages
  3. 3 Whether declaratory relief should be granted after Brexit rendered the issue academic

Ratio Decidendi

The Court of Appeal held that TDC had no real prospect of establishing that any breach of Article 108(3) TFEU by the Council was sufficiently serious to justify an award of Francovich damages. The Council's position on selectivity was at least strongly arguable, and there was no evidence of intentional or reckless breach. Declaratory relief was refused as academic due to Brexit and the change in the legal regime. The appeal was dismissed by majority.

Court Disposition

Appeal dismissed (by majority)

Orders

  • Summary judgment for the Council stands
  • No damages or declaratory relief granted to TDC