Wootton Trucks v Man ERF [2006] EWCA Civ 1042

Court of Appeal judgment (about 10 pages) reversing an interim injunction by Peter Prescott QC in a dispute between Wootton Trucks, a motor vehicle retail franchise, and truck manufacturer Man ERF. Wootton had obtained the interim injunction preventing Man ERF from terminating its franchise by arguing that the one-week notice provision in the agreement was incompatible with the relevant block exemption under Article 81, which requires a two-year notice period for termination.

The Court of Appeal did not consider that Wootton had a reasonable prospect of success with that argument. It held that the effect of non-compliance with the block exemption would be invalidity of the whole agreement, and that it was not permissible to override clear termination provisions on the face of the agreement to ensure compliance with the block exemption.

Filed under Article 81, UK courts.

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