Six Continents Hotels Inc v Event Hotels GmbH

Six Continents Hotels Inc v Event Hotels GmbH

Event failed to prove that the alleged misrepresentations were made by Six Continents' representative. Even if made, there was no fraud, and the contractual terms precluded any counterclaim for negligent or innocent misrepresentation. Six Continents is entitled to the sums claimed under the agreements.

Parties
Claimant: Six Continents Hotels Inc; Defendant: Event Hotels GmbH
Jurisdiction
England and Wales
Judgment Date
21 September 2006
Procedural Posture
Commercial Contract Dispute / Judgment After Trial
Outcome
Judgment for the Claimant
Legal Topics
Misrepresentation, Franchise Agreements, Contractual Interpretation, Exclusion Clauses, Damages
Contract Law Tort Law Misrepresentation Franchise Agreements Contractual Interpretation Exclusion Clauses Damages

Case Brief

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Parties

Six Continents Hotels Inc

Claimant

Event Hotels GmbH

Defendant

Procedural Posture

Commercial Contract Dispute / Judgment After Trial

Legal Issues

  1. 1 Whether Mr. Vermeer made the misrepresentations as alleged
  2. 2 If so, whether Mr. Vermeer was fraudulent in so doing
  3. 3 If not, whether the terms of the Agreements preclude reliance upon any misrepresentation

Ratio Decidendi

Event failed to prove that the alleged misrepresentations were made by Six Continents' representative. Even if made, there was no fraud, and the contractual terms precluded any counterclaim for negligent or innocent misrepresentation. Six Continents is entitled to the sums claimed under the agreements.

Court Disposition

Judgment for the Claimant

Orders

  • Event to pay Six Continents unpaid licence fees of £859,144
  • Event to pay contractual termination payments of £2,286,140.73