Cases

London General Holdings v USP Holdings plc

Facts

For the purpose of Scheme A ("Apollo") the Defendants (“LGH”) used as a precedent, and thereby made infringing copies of, a complex trust agreement (“CAA") which had been drafted by the Claimants' (“USP”s) lawyers and which had been supplied to LGH in confidence for the purpose of a previous joint venture. LGH and USP subsequently competed to secure Scheme B ("Powerhouse"). USP secured the contract for the Powerhouse scheme, after twice agreeing to drop their price. After the first price drop LGH disclosed an infringing copy of the CAA to Powerhouse in an unsuccessful effort to secure the contract. At the inquiry as to damages, the Master awarded USP the sum of £112,000 for the first drop in price on the basis that this had been caused by LGHs' misuse of the CAA and the loss flowed directly and foreseeably from the copyright infringements committed the previous year. He also awarded them £15,000 as a notional royalty for the infringement in relation to Apollo.

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