Hameed v Qayyum & Ors

Hameed v Qayyum & Ors

The phrase 'the CC or anyone on its behalf receives' in Article 5.2 of the service agreement includes receipt by trustees of monies upon trusts for the benefit of the ex-employees represented by the Campaign Committee. Payment to such trustees satisfied the condition for payment of the contingent fee to the claimant, as this construction gives effect to the purpose of the agreement and avoids absurdity. The claimant was an effective cause of the settlement, and the fee was properly payable.

Parties
Claimant/respondent: Ajmal Ebrahim Hameed; Defendant/appellant: Mohammad Ali Qayyum; Defendant/appellant: Quaiser Mansoor Malik; Defendant: Farrukh Mahmud; Defendant: Faheem Tausif Mahmud
Jurisdiction
England and Wales
Judgment Date
19 January 2006
Procedural Posture
Civil Appeal / Appeal From High Court (queen's Bench Division) to Court of Appeal
Outcome
Appeal dismissed
Legal Topics
Interpretation of Service Agreements, Contingent Fee Arrangements, Authority of Representatives, Unincorporated Associations
Contract Law Interpretation of Service Agreements Contingent Fee Arrangements Authority of Representatives Unincorporated Associations

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Parties

Ajmal Ebrahim Hameed

Claimant/respondent

Mohammad Ali Qayyum

Defendant/appellant

Quaiser Mansoor Malik

Defendant/appellant

Farrukh Mahmud

Defendant

Faheem Tausif Mahmud

Defendant

Procedural Posture

Civil Appeal / Appeal From High Court (queen's Bench Division) to Court of Appeal

Legal Issues

  1. 1 Whether the contingent fee under the service agreement was payable when settlement monies were paid to trustees rather than directly to the Campaign Committee or its agents
  2. 2 Proper construction of the phrase 'the CC or anyone on its behalf receives' in the context of the agreement
  3. 3 Whether the claimant was an effective cause of the settlement triggering the contingent fee

Ratio Decidendi

The phrase 'the CC or anyone on its behalf receives' in Article 5.2 of the service agreement includes receipt by trustees of monies upon trusts for the benefit of the ex-employees represented by the Campaign Committee. Payment to such trustees satisfied the condition for payment of the contingent fee to the claimant, as this construction gives effect to the purpose of the agreement and avoids absurdity. The claimant was an effective cause of the settlement, and the fee was properly payable.

Court Disposition

Appeal dismissed

Orders

  • Appellants to pay respondent's costs assessed at £19,000 including VAT
  • Sum of $685,000 to be paid to the claimant within 28 days, subject to further order