Safeway Stores Ltd & Ors v Twigger & Ors

Safeway Stores Ltd & Ors v Twigger & Ors

A company penalised under the Competition Act 1998 for anti-competitive conduct cannot recover the penalty or related investigation costs from its directors or employees responsible for the conduct, as the liability is personal to the company and the ex turpi causa maxim precludes such recovery. The acts of the directors/employees are attributable to the company for this purpose, and the Hampshire Land principle does not apply to defeat statutory attribution. Discontinuance against a defendant does not prevent the court from making appropriate costs orders in light of the outcome.

Parties
Claimant: Safeway Stores Limited & Others; Defendant: Twigger & Others
Jurisdiction
England and Wales
Judgment Date
21 December 2010
Procedural Posture
Civil Appeal / Appeal From High Court Summary Judgment Refusal
Outcome
Appeal allowed; summary judgment entered for defendants
Legal Topics
Ex Turpi Causa Non Oritur Actio, Attribution of Liability to Corporations, Recovery of Regulatory Penalties, Directors' and Employees' Duties, Costs on Discontinuance
Competition Law Employment Law Corporate Law Ex Turpi Causa Non Oritur Actio Attribution of Liability to Corporations Recovery of Regulatory Penalties Directors' and Employees' Duties Costs on Discontinuance

Case Brief

Summary, issues, holding and outcome

More case intelligence is available

Unlock the full research layer for this judgment.

Full judgment text Downloadable case file Legal principles 4 Authorities cited 19 Party arguments 2 Amounts and remedies 3
Sign in to unlock

Parties

Safeway Stores Limited & Others

Claimant

Twigger & Others

Defendant

Procedural Posture

Civil Appeal / Appeal From High Court Summary Judgment Refusal

Legal Issues

  1. 1 Whether a company penalised for anti-competitive conduct under the Competition Act 1998 can recover the penalty from directors/employees responsible for the conduct
  2. 2 Whether the ex turpi causa maxim precludes such recovery
  3. 3 Whether the acts of directors/employees are attributable to the company for the purposes of the maxim

Ratio Decidendi

A company penalised under the Competition Act 1998 for anti-competitive conduct cannot recover the penalty or related investigation costs from its directors or employees responsible for the conduct, as the liability is personal to the company and the ex turpi causa maxim precludes such recovery. The acts of the directors/employees are attributable to the company for this purpose, and the Hampshire Land principle does not apply to defeat statutory attribution. Discontinuance against a defendant does not prevent the court from making appropriate costs orders in light of the outcome.

Court Disposition

Appeal allowed; summary judgment entered for defendants

Orders

  • Summary judgment for the 1st-7th and 9th-11th defendants
  • Costs orders below in favour of claimants set aside