Jagger & Ors v Decca Music Group Ltd

Jagger & Ors v Decca Music Group Ltd

The arbitration clause is sufficiently broad to cover disputes arising from breach of clause 6, and the limitation to pecuniary remedies does not deprive clause 6 of its substance, as damages can be assessed based on what an audit would have revealed. Therefore, the proceedings must be stayed in favour of arbitration.

Parties
Claimant: Michael Jagger; Claimant: Keith Richards; Claimant: Charles Watts; Defendant: Decca Music Group Limited
Jurisdiction
England and Wales
Judgment Date
12 November 2004
Procedural Posture
Civil / Appeal Against Refusal to Stay Proceedings
Outcome
Proceedings stayed pending arbitration.
Legal Topics
Arbitration Clause, Stay of Proceedings, Audit Rights, Remedies for Breach
Contract Law Arbitration Arbitration Clause Stay of Proceedings Audit Rights Remedies for Breach

Case Brief

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Parties

Michael Jagger

Claimant

Keith Richards

Claimant

Charles Watts

Claimant

Decca Music Group Limited

Defendant

Procedural Posture

Civil / Appeal Against Refusal to Stay Proceedings

Legal Issues

  1. 1 Whether the arbitration clause applies to a breach of clause 6 of the 1976 agreement
  2. 2 Whether the remedy limitation in the arbitration clause deprives clause 6 of its substance
  3. 3 Whether proceedings should be stayed under section 9 of the Arbitration Act 1996

Ratio Decidendi

The arbitration clause is sufficiently broad to cover disputes arising from breach of clause 6, and the limitation to pecuniary remedies does not deprive clause 6 of its substance, as damages can be assessed based on what an audit would have revealed. Therefore, the proceedings must be stayed in favour of arbitration.

Court Disposition

Proceedings stayed pending arbitration.

Orders

  • Proceedings stayed under section 9 of the Arbitration Act 1996.
  • Costs to be determined after hearing counsel if not agreed.