Downtex Plc v Flatley

Damages for libel against a corporation alleging insolvency and inability to pay creditors, published to business partners, are serious and warrant substantial damages. However, statutory cap under s.8 of the Defamation Act 1996 limits damages to £10,000. Nominal damages of £10 are awarded for breach of contract to avoid double counting.

Parties: Claimant: Downtex PLC; Defendant: Andrew James Flatley
Jurisdiction: England and Wales
Judgment Date: 27 February 2004
Procedural Posture: Civil / Assessment of Damages Following Summary Judgment
Outcome: Damages assessed for libel and breach of contract; costs to be argued post-judgment.
Legal Topics: Corporate Libel, Damages Assessment, Breach of Contract, Summary Judgment

Defamation Contract Corporate Libel Damages Assessment Breach of Contract Summary Judgment

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 4 Authorities cited 8 Party arguments 2 Amounts and remedies 2

Parties

Downtex PLC

Claimant

Andrew James Flatley

Defendant

Procedural Posture

Civil / Assessment of Damages Following Summary Judgment

Legal Issues

1 Assessment of damages for corporate libel
2 Effect of corporate restructuring on damages
3 Nominal damages for breach of contract

Ratio Decidendi

Court Disposition

Damages assessed for libel and breach of contract; costs to be argued post-judgment.

Orders

Damages for libel assessed at £10,000 under s.8 of the Defamation Act 1996.
Nominal damages for breach of contract assessed at £10.