Lothian v Jenolite [1969] ScotCS CSIH_1 (06 February 1969)
No implied condition prohibits an agent from competing with his principal unless expressly stated in the contract or necessary for business efficacy. The defenders failed to establish that such a restriction should be implied, and their averments do not justify rescission of the contract.
- Citation
- [1969] ScotCS CSIH_1
- Parties
- Pursuer: Lothian (trading as L. W. Lothian and Company); Defender: Jenolite Ltd
- Jurisdiction
- Scotland
- Judgment Date
- 06 February 1969
- Procedural Posture
- Civil / Appeal (reclaiming Motion)
- Outcome
- Appeal dismissed; interlocutor affirmed.
- Legal Topics
- Implied Terms, Fiduciary Duty, Breach of Contract, Agency Relationship, Business Efficacy, Freedom of Contract
Case Brief
Summary, issues, holding and outcome
More case intelligence is available
Unlock the full research layer for this judgment.
Parties
Lothian (trading as L. W. Lothian and Company)
Pursuer
Jenolite Ltd
Defender
Procedural Posture
Civil / Appeal (reclaiming Motion)
Legal Issues
- 1 Whether an implied condition prohibits an agent from competing with his principal absent express contractual restriction
- 2 Whether breach of fiduciary duty or implied term justifies rescission of contract
Ratio Decidendi
No implied condition prohibits an agent from competing with his principal unless expressly stated in the contract or necessary for business efficacy. The defenders failed to establish that such a restriction should be implied, and their averments do not justify rescission of the contract.
Court Disposition
Appeal dismissed; interlocutor affirmed.
Orders
- Proof restricted to quantum of damages for pursuer
- Proof allowed on counter-claim for defenders
Full Case Text
Judgment text and source record
Sign in to read
Sign in to read the full judgment text
Sign in to read the full judgment text. Downloads and additional research tools may depend on your plan.
Sign in to read the full judgment