DURHAM TEES VALLEY AIRPORT LTD V BMI BABY LTD

[2009] EWHC 852 (Ch), Chancery Division, Mr Justice Davis, 30 April 2009

Contract – Interpretation – Whether agreement between airport owner and airline required the airline to base two aircraft at the airport – Implied terms – Liability

This was the claim for damages by the claimant airport against the defendant airline saying, in summary, that the defendant had agreed to base two aircraft at the airport for a binding term of 10 years. The defendant denied that it was so bound. Davis J agreed, rejecting the claim. The proposed term was insufficiently precise and no objective criteria were available as to the manner of performance of the long term obligation to fly to justify in law its implication.