Ruling On Latest Fat Mike Court Case – Still Waiting...

ald

Well-Known Member
The only sure thing about settling litigation (if indeed it has been settled) is that nobody walks away happy. But the reality here is (a) it appears that we have had a weak hand at every turn, (b) the cost of litigating is significant and (c) for so long as Ashley hangs over our heads we can’t get on and maximise revenue from a proper, fair retail deal. So if it costs a good chunk of cash to get rid of Ashley then we need to bite the bullet, pay through gritted teeth and move on. Best in the long run that we get shot of him once and for all.
 

Dempster

Well-Known Member
The only sure thing about settling litigation (if indeed it has been settled) is that nobody walks away happy. But the reality here is (a) it appears that we have had a weak hand at every turn, (b) the cost of litigating is significant and (c) for so long as Ashley hangs over our heads we can’t get on and maximise revenue from a proper, fair retail deal. So if it costs a good chunk of cash to get rid of Ashley then we need to bite the bullet, pay through gritted teeth and move on. Best in the long run that we get shot of him once and for all.
A nice summary I reckon .
 

tazzabear

Well-Known Member
The only sure thing about settling litigation (if indeed it has been settled) is that nobody walks away happy. But the reality here is (a) it appears that we have had a weak hand at every turn, (b) the cost of litigating is significant and (c) for so long as Ashley hangs over our heads we can’t get on and maximise revenue from a proper, fair retail deal. So if it costs a good chunk of cash to get rid of Ashley then we need to bite the bullet, pay through gritted teeth and move on. Best in the long run that we get shot of him once and for all.
Great post.
I was wondering how much would be good to pay to escape SD forever.
I can’t put a figure on it to be honest, I’d just hope whatever it costs doesn’t have to come out of the club in one payment.
Can we appeal?
If the judge as granted the divorce, is that it, done and irreversible?
Would it be wise to challenge the settlement?
 

ald

Well-Known Member
Great post.
I was wondering how much would be good to pay to escape SD forever.
I can’t put a figure on it to be honest, I’d just hope whatever it costs doesn’t have to come out of the club in one payment.
Can we appeal?
If the judge as granted the divorce, is that it, done and irreversible?
Would it be wise to challenge the settlement?
If it has settled then it will be on an agreed basis between the parties. The court would approve it but only in the sense of approving the disposal of the court proceedings - the court won’t second guess or interfere in the commercial terms of any settlement. So against that background we wouldn’t challenge the settlement because we will have agreed to it.

If there hasn’t been a settlement but instead a lousy judgment against us then yes we could potentially appeal - but generally the prospects of success on appeal are pretty low and the cost of appealing is very significant.
 

Marty101

Well-Known Member
I think we’ll lose but I don’t think the big figures being speculated on are very likely.

There is a cap on damages and I think it will likely be given effect to. The passages in the earlier judgments saying that the cap didn’t provide adequate compensation were about whether interim injunction should be granted, not about whether the cap was effective. In principle parties can agree a cap on damages and a court should give effect to that.

If the cap is challenged it would be on the wording rather than on the principle - any ambiguity might allow an argument that a certain part or parts of the damages claim wasn’t covered by the cap provision. There was a hint of that sort of argument in one of the earlier decisions, so you never know, but I think there’s a reasonably good chance the cap will be given effect to. I hope I am not letting wishful thinking get the better of me on that.

I think the problem is it is not a case of just paying the damages and getting let out of the contract. We would pay the damages and still be stuck with the obligations under the contract, and the injunctions and earlier finding that we had entered a new contract with SDI in July last year.

We are likely also in breach of that new contract, although that new contract would also have the damages cap clause.

I don’t think the frothing at the mouth from the usual places about damages awards big enough to cause us actual immediate financial difficulty have much basis therefore.

I think the issue here is more that there is likely to be a drip-drip of these actions indefinitely in the future if we don’t sort something out, as the contracts roll on. We could well also find ourselves fenced in by future interdict actions so we are stuck with SDI again in the future.

If we have managed to reach a settlement that ends this altogether then that would be tremendous - but even then we should probably be careful, SDI seem to be past masters at creating settlements that have hidden man-traps in them.
 

Kaiser

Well-Known Member
It used to be Jackson and his Klaxon, now replaced by this charade. I sincerely hope we can rid ourselves of this fucking parasite.
 

BrownBrogues

Well-Known Member
What do you think the decision is ? Heard anything ?
No, and I don’t believe anyone does. if it’s reserved for written Judgement then I don’t believe anyone will be aware of what will be in his decision. But I can’t see him forcing the two parties to continue to work together. I suspect we will be due to pay the contract breach cap of £1M plus the Costs and some other losses, but I also believe SD will be in breach for failing to release the funds due under the deal to end the 7 year notice contract. When one is off set against the other I think the whole thing may cost us £2-3M. But purely just my opinion based on sitting in on Civil Court cases preciously.
 
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