Martyn Worthington Associates v Wigan Chamber of Commerce and Another

JurisdictionEngland & Wales
JudgeLORD JUSTICE WARD
Judgment Date28 March 2003
Neutral Citation[2003] EWCA Civ 1657
Date28 March 2003
CourtCourt of Appeal (Civil Division)
Docket NumberA1/2003/0418(A

[2003] EWCA Civ 1657

IN THE SUPREME COURT OF JUDICATURE

COURT OF APPEAL (CIVIL DIVISION)

ON APPEAL FROM LIVERPOOL COUNTY COURT

TECHNOLOGY AND CONSTRUCTION COURT

(His Honour Judge Mackay)

Royal Courts of Justice

Strand

London WC2

Before:

Lord Justice Ward

A1/2003/0418(A

Martyn Worthington Associates
Claimant/Respondent
and
Wigan Chamber of Commerce
Training and Enterprise Limited
Defendant/Appellant

Mr A Latimer (instructed by Messrs Stephensons, Wigan) addressed the court via telephone link on behalf of the Appellant Defendant

Mr A Singer (instructed by Messrs Platt & Fishwick, Wigan) addressed the court via telephone link on behalf of the Respondent Claimant.

LORD JUSTICE WARD
1

This is an application by the appellant, the Wigan Chamber of Commerce Training and Enterprise Limited, for a stay of execution of the order made by His Honour Judge Mackay on 14th February 2003. That order was made on the trial of a claim by the respondent, Martyn Worthington Associates, for damages for the breach, it is said, of contracts made with the Chamber of Commerce to provide certain training and support services in the Wigan area. The judge was persuaded that there was oral agreement made between Mr Worthington's practice and members of the staff of the Chamber of Commerce. That there were agreements made seems no longer to be challenged, but the appeal is brought by the Chamber of Commerce, with the judge's permission, against his finding that these employees had apparent authority to bind the Chamber of Commerce, the Chamber of Commerce denying that authority and saying that contracts had to be in writing. That appeal will take probably half a day, and I am told by the parties that it may be heard by December.

2

The application is for a stay of execution and there are essentially two grounds advanced for that stay.

3

CPR 52.7 provides that:

"Unless —

(a)the appeal court … orders otherwise …

an appeal shall not operate as a stay of any order … of the lower court."

So the rule now is much as before: that there is no stay of the judgment, that the appellant needs to apply for a stay and that the Court of Appeal has a general discretion to permit the stay.

4

Mr Latimer persuasively makes his telephone application, and I have no complaint about that. It seems a sensible approach on a small application like this and it saves costs.

5

Mr Latimer submits that the first reason for allowing the stay is that the parties have already agreed what should happen by the consent order of 27th September 2001. That order was made in these circumstances. The Chamber of Commerce was being wound up, not through insolvency, but perhaps for governmental reasons. The claimant was, not surprisingly, concerned about protecting any judgment he might obtain. There was the threat of a freezing injunction, but arrangements were made, incorporated in the consent order, that:

"1.The Defendant shall deposit by way of security the sum of £150,000 to be paid to the Defendant's solicitors and to be kept in their clients account, or in a separate designated client account [then follow the important words] pending the conclusion of the action."

Paragraph 3 reads:

"This order shall remain in force until judgment or conclusion of this action unless before then it is varied or discharged by an order of the court."

6

Mr Latimer's submission is that the action has not concluded because this appeal is pending. Therefore the money is in the solicitors' account and the claimant is protected and will get his money in due course.

7

For my part, I find the agreement not to have been happily drafted. "… pending the conclusion of the action" is ambiguous. Ordinarily one would expect that the action would conclude with a final judgment; and that is Mr Singer's point. He says that in paragraph 3 the order remains in force until judgment. There has been judgment and therefore the order no longer operates. That does not explain the further words "or conclusion",...

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