Rowles-Davies & Ors v Call 24 7 Ltd
The Heads of Agreement was contractually binding and incorporated a two-week notice period for termination, mirroring the Stakeholder Letters. The defendant validly terminated the agreement on 19 August 2004. The deduction of £14,808.17 from the first instalment was agreed; the defendant is obligated to pay £10,416.67 under the amended Heads of Agreement. No assignment or novation to RDA Solicitors Limited occurred. Statutory interest and compensation are due, but the rate is remitted to 4% above the official bank rate until 30 days after the Letter of Claim, then 8% above thereafter.
- Parties
- Claimant: John Nicholas Rowles-Davies; Claimant: Matthew Charles Benjamin Cox; Claimant: RDA Solicitors Limited (In Liquidation); Defendant: Call 24 7 Limited
- Jurisdiction
- England and Wales
- Judgment Date
- 16 June 2010
- Procedural Posture
- Commercial Contract Dispute / Judgment
- Outcome
- Judgment for claimants in part
- Legal Topics
- Contractual Interpretation, Termination Clauses, Damages for Breach, Assignment and Novation, Interest on Commercial Debts
Case Brief
Summary, issues, holding and outcome
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Parties
John Nicholas Rowles-Davies
Claimant
Matthew Charles Benjamin Cox
Claimant
RDA Solicitors Limited (In Liquidation)
Claimant
Call 24 7 Limited
Defendant
Procedural Posture
Commercial Contract Dispute / Judgment
Legal Issues
- 1 Whether the Heads of Agreement was contractually binding
- 2 Proper construction and termination provisions of the Heads of Agreement
- 3 Entitlement to payments and deductions under the contract
Ratio Decidendi
The Heads of Agreement was contractually binding and incorporated a two-week notice period for termination, mirroring the Stakeholder Letters. The defendant validly terminated the agreement on 19 August 2004. The deduction of £14,808.17 from the first instalment was agreed; the defendant is obligated to pay £10,416.67 under the amended Heads of Agreement. No assignment or novation to RDA Solicitors Limited occurred. Statutory interest and compensation are due, but the rate is remitted to 4% above the official bank rate until 30 days after the Letter of Claim, then 8% above thereafter.
Court Disposition
Judgment for claimants in part
Orders
- Defendant to pay CSL £10,416.67 under amended Heads of Agreement
- Defendant to pay sums specified in amended Heads of Agreement until termination upon expiry of notice period
Full Case Text
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