Dadourian Group International Inc & Ors v Simms & Ors

Dadourian Group International Inc & Ors v Simms & Ors

Damages for deceit are limited to costs of the arbitration assessed on the standard basis, not indemnity or full costs, and are subject to assessment. Storage costs are not recoverable as damages due to lack of causation. Financing costs are only recoverable if allowed on a standard basis assessment. Interest is awarded on damages and costs at 1% above base rate. Costs of the action are awarded to DGI with a 25% reduction and on the indemnity basis against all defendants due to their conduct, particularly in disclosure. Permission to appeal is granted on the measure of damages and certain findings of liability.

Parties
Claimant: Dadourian Group International Inc.; Claimant: Alex Dadourian; Claimant: Haig Dadourian; Defendant: Paul Simms; Defendant: Selim Rahman; Defendant: Jack Dadourian; Defendant: Helga Dadourian
Jurisdiction
England and Wales
Judgment Date
08 March 2007
Procedural Posture
Civil / Post Trial Judgment on Damages, Costs, and Permission to Appeal
Outcome
Damages for deceit awarded to DGI limited to arbitration costs assessed on the standard basis, subject to assessment; storage costs disallowed; interim payment of £650,000 ordered; costs of the action awarded to DGI with 25% reduction and on indemnity basis against all defendants; interest awarded at 1% above base...
Legal Topics
Damages Assessment, Fraudulent Misrepresentation, Costs as Damages, Litigation Costs, Permission to Appeal
Civil Procedure Contract Law Tort Law Damages Assessment Fraudulent Misrepresentation Costs as Damages Litigation Costs Permission to Appeal

Case Brief

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Parties

Dadourian Group International Inc.

Claimant

Alex Dadourian

Claimant

Haig Dadourian

Claimant

Paul Simms

Defendant

Selim Rahman

Defendant

Jack Dadourian

Defendant

Helga Dadourian

Defendant

Procedural Posture

Civil / Post Trial Judgment on Damages, Costs, and Permission to Appeal

Legal Issues

  1. 1 Whether damages for deceit include litigation/arbitration costs and on what basis they are assessed
  2. 2 Whether storage and financing costs are recoverable as damages
  3. 3 Appropriate basis for assessment of costs (standard vs indemnity)

Ratio Decidendi

Damages for deceit are limited to costs of the arbitration assessed on the standard basis, not indemnity or full costs, and are subject to assessment. Storage costs are not recoverable as damages due to lack of causation. Financing costs are only recoverable if allowed on a standard basis assessment. Interest is awarded on damages and costs at 1% above base rate. Costs of the action are awarded to DGI with a 25% reduction and on the indemnity basis against all defendants due to their conduct, particularly in disclosure. Permission to appeal is granted on the measure of damages and certain findings of liability.

Court Disposition

Damages for deceit awarded to DGI limited to arbitration costs assessed on the standard basis, subject to assessment; storage costs disallowed; interim payment of £650,000 ordered; costs of the action awarded to DGI with 25% reduction and on indemnity basis against all defendants; interest awarded at 1% above base...

Orders

  • Damages for deceit limited to arbitration costs assessed on the standard basis, subject to assessment
  • Storage costs claim dismissed