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In Hospitality Group Pty Ltd v Australian Rugby Union
Ltd [2001] FCA 1040 (3 August 2001)
http://www.austlii.edu.au/au/cases/cth/federal_ct/2001/1040.html
The Full Federal Court in Australia considered awards
described loosely and often interchangeably as 'restitutionary damages',
'account of profits' and 'disgorgement damages'. The context involved
a corporation that had, purchased sporting tickets at a premium from a
party that had contracted not to. The corporation used those tickets to
create hospitality packages (akin to sporting 'boxes').
A majority of the FFC refused to award disgorgement damages
(crediting this term to Lionel Smith and using it interchangeably with
an account of profits) for a breach of contract. The FFC refused to follow
the Blake case and stated that damages for breach of contract in Australia
are only compensatory until the High Court pronounces otherwise. They
also held that it is not possible to "slot an account of profits into
remedies for torts" although they recognised the existence of "restitutionary
damages" for torts.
In dissent, Justice Emmett would have awarded an account
of profits for the tort of inducing breach of contract because the potential
availability of an injunction is "the type of situation that makes an
account of profits a just response to prevent THG and ICM from deriving
a benefit from its wrongdoing." <== Previous message Back to index Next message ==> |
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