Internet Broadcasting Corporation Ltd. (T/a Nettv) & Anor v Mar LLC (T/a Marhedge) [2009] EWHC 844 (Ch) (24 April 2009)

Internet Broadcasting Corporation Ltd. (T/a Nettv) & Anor v Mar LLC (T/a Marhedge) [2009] EWHC 844 (Ch) (24 April 2009)

Clause 17 does not, on its proper construction, exclude liability for loss of profits arising from a deliberate, personal, repudiatory breach of contract by the Defendant, as the clause lacks the clear and strong language required to achieve such an effect and a literal construction would defeat the main object of the contract.

Citation
[2009] EWHC 844 (Ch)
Parties
Claimant: Internet Broadcasting Corporation Ltd (t/a NETTV); Claimant: NETTV Hedge Funds Limited (formerly Marhedge TV Limited); Defendant: MAR LLC (t/a MARHedge)
Jurisdiction
England and Wales
Judgment Date
24 April 2009
Procedural Posture
Commercial Contract Dispute / Trial on Preliminary Issue (liability Only)
Outcome
Exemption clause does not exclude liability for loss of profits in case of deliberate, personal, repudiatory breach; preliminary issue decided in favour of Claimants.
Legal Topics
Exemption Clauses, Repudiatory Breach, Interpretation of Contracts, Limitation of Liability

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Parties

Internet Broadcasting Corporation Ltd (t/a NETTV)

Claimant

NETTV Hedge Funds Limited (formerly Marhedge TV Limited)

Claimant

MAR LLC (t/a MARHedge)

Defendant

Procedural Posture

Commercial Contract Dispute / Trial on Preliminary Issue (liability Only)

  1. 1 Does the exemption clause (clause 17) exclude liability for loss of profits arising from a deliberate, personal, repudiatory breach of contract by the Defendant?

Ratio Decidendi

Clause 17 does not, on its proper construction, exclude liability for loss of profits arising from a deliberate, personal, repudiatory breach of contract by the Defendant, as the clause lacks the clear and strong language required to achieve such an effect and a literal construction would defeat the main object of the contract.

Court Disposition

Exemption clause does not exclude liability for loss of profits in case of deliberate, personal, repudiatory breach; preliminary issue decided in favour of Claimants.