Tuesday, 23 February 2010

The case of Draper v RTA at Huntingdon Court

On 16th September, RTA went to court with Gill Draper (see Gill's Story by clicking on the link under Information in the left hand menu) after initially claiming £20,000 + VAT in 'lost commission' due to Gill withdrawing from the signed agreement and then deciding to reduce this to £5000 in order to use the Small Claims Court.

Gill's barrister, Tim Williams, put forward the case that, as Gill was not in business to buy and sell businesses she was, therefore, not working in her normal business-as-usual manner and that made the contract a consumer contract rather than a commercial contract - and therefore subject to consumer contract regulations.

The Consumer Contract Regulations 1999 prevents terms which cause significant imbalance in the parties rights and intentions.  As RTA intend to get paid, regardless of their performance or delivery, this shows a significant imbalance of rights.

Gill won her case.

RTA appealed and went back to court on 28th October 2009 at Peterborough County Court but the appeal was dismissed.

No comments: