NVA Management Ltd v Martins [2010] EWHC 80 (QB) (29 January 2010)

NVA Management Ltd v Martins [2010] EWHC 80 (QB) (29 January 2010)

The court found that the letter agreement was not supported by consideration as no services had been performed by NVA prior to its execution; therefore, it was not a binding contract. NVA was not entitled to the principal sum claimed. The court further found that NVA was entitled to commission only on sums actually...

Source-derived case information.

Citation
[2010] EWHC 80
Parties
Claimant: NVA Management Limited; Defendant: Obafemi Martins
Jurisdiction
England and Wales
Judgment Date
29 January 2010
Procedural Posture
High Court Civil Claim (contract/commercial) / Judgment After Trial
Outcome
Claim dismissed in respect of the principal sum; judgment for claimant in respect of admitted commission and quantum meruit claims.
Legal Topics
Consideration, Enforceability of Contracts, Quantum Meruit, Agency, Remuneration for Services
Contract Law Commercial Law Consideration Enforceability of Contracts Quantum Meruit Agency Remuneration for Services

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Parties

NVA Management Limited

Claimant

Obafemi Martins

Defendant

Procedural Posture

High Court Civil Claim (contract/commercial) / Judgment After Trial

Legal Issues

  1. 1 Whether the letter agreement of 17 July 2007 constituted a binding contract supported by consideration
  2. 2 Whether NVA performed services for which it was entitled to payment
  3. 3 Whether NVA was entitled to commission on sponsorship payments

Ratio Decidendi

The court found that the letter agreement was not supported by consideration as no services had been performed by NVA prior to its execution; therefore, it was not a binding contract. NVA was not entitled to the principal sum claimed. The court further found that NVA was entitled to commission only on sums actually collected for Mr. Martins, and awarded quantum meruit for certain services where benefit was conferred and accepted.

Court Disposition

Claim dismissed in respect of the principal sum; judgment for claimant in respect of admitted commission and quantum meruit claims.

Orders

  • Defendant not liable to pay £299,167 plus VAT under the letter agreement.
  • Defendant to pay claimant commission on sums collected from Pepsi and Nike as admitted.