Bairstow Eves London Central Ltd v Smith & Anor

Bairstow Eves London Central Ltd v Smith & Anor

The operative price under the agreement was 1.5 per cent commission, with a default provision for 3 per cent if payment was not made within 10 days. Regulation 6(2) was inapplicable, allowing scrutiny under regulation 5(1), and the 3 per cent commission clause was unfair and not binding on the consumer.

Parties
Claimant/appellant: Bairstow Eves London Central Limited; Defendant/part 20 Claimant/respondent: Adrian Smith; Defendant/part 20 Claimant/respondent: Stacy Hill; Part 20 Defendant/respondent: Darlingtons (A Firm)
Jurisdiction
England and Wales
Judgment Date
20 February 2004
Procedural Posture
Appeal / Judgment
Outcome
Appeal dismissed
Legal Topics
Unfair Terms in Consumer Contracts, Commission Agreements, Interpretation of Contractual Terms

Case Brief

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Parties

Bairstow Eves London Central Limited

Claimant/appellant

Adrian Smith

Defendant/part 20 Claimant/respondent

Stacy Hill

Defendant/part 20 Claimant/respondent

Darlingtons (A Firm)

Part 20 Defendant/respondent

Procedural Posture

Appeal / Judgment

  1. 1 Whether regulation 6(2) of the Unfair Terms in Consumer Contracts Regulations 1999 applies to the commission term
  2. 2 Whether the 3 per cent commission clause is unfair and not binding under regulation 5(1)

Ratio Decidendi

The operative price under the agreement was 1.5 per cent commission, with a default provision for 3 per cent if payment was not made within 10 days. Regulation 6(2) was inapplicable, allowing scrutiny under regulation 5(1), and the 3 per cent commission clause was unfair and not binding on the consumer.

Court Disposition

Appeal dismissed

Orders

  • Bairstow's claim against the vendors dismissed
  • No further liability for vendors