Cases - A L Barnes Ltd v Time Talk (UK) Ltd

Record details

Name
A L Barnes Ltd v Time Talk (UK) Ltd
Date
[2003]; [2003]
Citation
EWCA Civ 402; BLR 331
Keywords
Contract - no agreement as to price - illegality - dishonesty - effect on contract - whether the contract was a contract for payment of a reasonable sum - whether the contractor was entitled to payment of a reasonable sum for its work carried out
Summary

The claimant contractor was engaged by the defendant employer as a shop fitting contractor. There was no agreement as to price. There was simply an agreement that work would be done at particular sites. The claimant claimed a reasonable remuneration for work done.

It had been discovered that the claimant was charging for the project manager, although he was engaged and also being paid by the defendant. The judge concluded that the claimant's director had dishonestly assisted in a breach of trust to the defendant. The defendant submitted that, as a consequence of this dishonesty, the claimant could not recover any part of their claim. It was submitted that the claim must fail, because the arrangement for the project manager to be doubly paid was an integral part of the contractual relationship between the parties and the whole claim must fail because it was tainted with that illegality. However, the Court of Appeal held that the private arrangement between the project manager and director of the defendant, to which the claimant's director dishonestly lent his assistance, was not an integral (or, indeed, any) part of the contract made between their principals. That contract was for reasonable remuneration for work done. The Court of Appeal held that in the absence of agreement it is for the court to assess the remuneration, as the judge did.