Post Office Ltd v Castleton [2007] EWHC 5 (QB) (22 January 2007)

Post Office Ltd v Castleton [2007] EWHC 5 (QB) (22 January 2007)

The defendant failed to discharge the burden of proving that the account was wrong or that the Horizon system was defective. The losses were real, not illusory, and the defendant was contractually liable for them. The claimant was entitled to summary termination of the contract for non-performance. The defendant was also liable for the National Lottery moneys received after suspension.

Citation
[2007] EWHC 5
Parties
Claimant: Post Office Limited; Defendant: Lee Castleton
Jurisdiction
England and Wales
Judgment Date
22 January 2007
Procedural Posture
Civil / First Instance Judgment
Outcome
Judgment for the claimant. Counterclaim dismissed.
Legal Topics
Account Stated, Burden of Proof, Computer System Reliability, Employment Termination, Restitution, Counterclaim for Wrongful Termination

Case Brief

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Parties

Post Office Limited

Claimant

Lee Castleton

Defendant

Procedural Posture

Civil / First Instance Judgment

  1. 1 Whether the defendant is liable for the shortfall shown in the accounts under the Horizon system
  2. 2 Whether the Horizon computer/accounting system was defective and caused illusory losses
  3. 3 Whether the defendant is liable for National Lottery moneys received after suspension

Ratio Decidendi

The defendant failed to discharge the burden of proving that the account was wrong or that the Horizon system was defective. The losses were real, not illusory, and the defendant was contractually liable for them. The claimant was entitled to summary termination of the contract for non-performance. The defendant was also liable for the National Lottery moneys received after suspension.

Court Disposition

Judgment for the claimant. Counterclaim dismissed.

Orders

  • Defendant to pay claimant £25,858.95. Interest to be determined.
  • Counterclaim for £11,250 dismissed.