Evans v SMG Television Ltd & Ors

Evans v SMG Television Ltd & Ors

Mr Evans’s breaches of contract, including failure to present the Show, unilateral dismissal of the Team, refusal to communicate with management, and generation of adverse publicity, constituted repudiatory breaches entitling Virgin Radio to treat the Presenter’s Agreement as discharged and Kentfarm to expel him from the Partnership. Virgin Radio was party by novation. The circumstances giving rise to expulsion were materially adverse to SMG Jersey’s business and financial position, precluding Mr Evans’s entitlement to convert Tranche C Shares under the Option Deed.

Parties
Claimant: Christopher Evans; Defendant: SMG Television Limited; Defendant: Scottish Media Group (Jersey) Limited; Defendant: SMG PLC; Defendant: Kentfarm Limited; Defendant: Ginger Radio Limited; Defendant: Virgin Radio Limited; Defendant: Ginger Media Group Limited; Part 20 Claimant: Ginger Television Productions Limited
Jurisdiction
England and Wales
Judgment Date
26 June 2003
Procedural Posture
Commercial Contract Dispute / Judgment After Trial on Liability
Outcome
Claim dismissed; counterclaim succeeds
Legal Topics
Breach of Contract, Repudiation, Novation, Partnership Expulsion, Damages, Share Options, Material Adverse Effect Clauses

Case Brief

Summary, issues, holding and outcome

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Parties

Christopher Evans

Claimant

SMG Television Limited

Defendant

Scottish Media Group (Jersey) Limited

Defendant

SMG PLC

Defendant

Kentfarm Limited

Defendant

Ginger Radio Limited

Defendant

Virgin Radio Limited

Defendant

Ginger Media Group Limited

Defendant

Ginger Television Productions Limited

Part 20 Claimant

Procedural Posture

Commercial Contract Dispute / Judgment After Trial on Liability

  1. 1 Whether Mr Evans breached the Presenter’s Agreement and Partnership Agreement
  2. 2 Whether Virgin Radio was entitled to treat the Presenter’s Agreement as discharged
  3. 3 Whether Kentfarm was entitled to expel Mr Evans from the Partnership

Ratio Decidendi

Mr Evans’s breaches of contract, including failure to present the Show, unilateral dismissal of the Team, refusal to communicate with management, and generation of adverse publicity, constituted repudiatory breaches entitling Virgin Radio to treat the Presenter’s Agreement as discharged and Kentfarm to expel him from the Partnership. Virgin Radio was party by novation. The circumstances giving rise to expulsion were materially adverse to SMG Jersey’s business and financial position, precluding Mr Evans’s entitlement to convert Tranche C Shares under the Option Deed.

Court Disposition

Claim dismissed; counterclaim succeeds

Orders

  • Virgin Radio entitled to inquiry as to damages for breaches and discharge of Presenter’s Agreement, including cost of replacement presenters, Team dismissal, Boddingtons, Umbro and McVities promotions, and McDonalds sponsorship.
  • Kentfarm entitled to inquiry as to damages for breaches of Partnership Agreement.