Avintair v Ryder Airline Services Ltd [1993] ScotCS CSIH_10 (30 December 1993)

Avintair v Ryder Airline Services Ltd [1993] ScotCS CSIH_10 (30 December 1993)

Where services are rendered under a contract and there is no express agreement on remuneration, the law implies a term for reasonable remuneration; the absence of agreement on rate does not preclude the existence of a contract if parties intended to contract and services were provided.

Citation
[1993] ScotCS CSIH_10
Parties
Pursuer: Avintair Ltd; Defender: Ryder Airline Services Ltd
Jurisdiction
Scotland
Judgment Date
30 December 1993
Procedural Posture
Reclaiming Motion (appeal) in Action of Declarator and Count, Reckoning and Payment / Appeal Against Dismissal at Procedure Roll; Interlocutor of Lord Ordinary Recalled; Proof Before Answer Allowed
Outcome
Appeal allowed; interlocutor of Lord Ordinary recalled; proof before answer allowed.
Legal Topics
Implied Terms, Quantum Meruit, Remuneration for Services, Formation of Contract, Consensus in Idem
Contract Law Implied Terms Quantum Meruit Remuneration for Services Formation of Contract Consensus in Idem

Case Brief

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Parties

Avintair Ltd

Pursuer

Ryder Airline Services Ltd

Defender

Procedural Posture

Reclaiming Motion (appeal) in Action of Declarator and Count, Reckoning and Payment / Appeal Against Dismissal at Procedure Roll; Interlocutor of Lord Ordinary Recalled; Proof Before Answer Allowed

Legal Issues

  1. 1 Whether a contract existed between the parties despite lack of agreement on remuneration rate
  2. 2 Whether an implied term for reasonable remuneration arises when services are rendered without express agreement on price

Ratio Decidendi

Where services are rendered under a contract and there is no express agreement on remuneration, the law implies a term for reasonable remuneration; the absence of agreement on rate does not preclude the existence of a contract if parties intended to contract and services were provided.

Court Disposition

Appeal allowed; interlocutor of Lord Ordinary recalled; proof before answer allowed.

Orders

  • Recall of Lord Ordinary's interlocutor dismissing the action
  • Allow proof before answer of pursuers' averments