Law Lords find in favour of Inntrepreneur
Former licensee Bernie Crehan has come to the end of his 13-year legal battle with Inntrepreneur.
A ruling in the House of Lords this morning has closed the door on his battle for damages which were originally awadred to him in 2004.
Rupert Croft, litigation partner at Maitland Walker, solicitors for Mr Crehan, said: "It appears to be the end of the road for Mr Crehan's brave fight against Inntrepreneur.
It appears to be the end of the road for Mr Crehan's brave fight against Inntrepreneur.Rupert Croft, Crehan's lawyer.
"It's of little comfort to him, but his case has undoubtedly improved the position of tied tenants throughout the country.
"Pubcos can see what risks they face if they don't treat their tenants properly and become embroiled in damaging litigation from tenants on the scale of Mr Crehan's test case.
"Mr Crehan and his wife, Dolores, are devastated by the decision.
"They have put their heart and soul into this case for the past 13 years."
Croft added: "The Lords' judgment means that the decision of the English court in this case contradicts the decisions of the European Commission in other cases which involved consideration of the same market.
"We argued that, if the Lords were not prepared to accept the unanimous decision of the Court of Appeal, they should make a reference to the European Court of Justice for guidance on how this conflict should be resolved.
Both the pub trade and court procedures in this country have changed out of all recognition since 1993 when Bernie Crehan first brought his claim.Rupert Croft, Crehan's lawyer.
"It's very disappointing that the Lords refused to do this."
"The Lords' judgment marks the end of an era. Both the pub trade and court procedures in this country have changed out of all recognition since 1993 when Bernie Crehan first brought his claim.
"There will not be another case like it."
A spokesman for Inntrepreneur said he was sorry it had taken so long to reach this conclusion but added:
"Inntrepreneur had always believed that the claims against the company were ill founded and that the tie was not in breach of Competition law.
"The company now hopes that all other claims against it can now quickly be resolved."
Crehan blamed Inntrepreneur for the collapse of his business because his lease required him to buy his beer from Courage at full price, whereas a nearby free house could buy the same beer at an £80 per barrel discount.
Around 600 other former licensees were said to be planning similar action.
The Court of Appeal ruled in 2004 that the beer-purchasing terms of Crehan's lease at the Cock Inn and the Phoenix pub in Staines, Middlesex, led to the failure of the two businesses.
It found the beer tie in the lease contravened the EU Treaty with the loss of both businesses assessed at £130,000 worth of damages plus interest.
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Your CommentsDonna Heuerman via email 19/07/2006"My parents were one of the first tenants to be evicted from their pub and lost everything they owned. They have had 13 years living in the hope that they may recoup some of their loses.
I hope the Law Lords who made this decision sleep well tonight I know my parents will not!!!!"
Robert Feal-Martinez via email 19/07/2007"I really do feel for Crehan and al those other Lessees who have been and continue to be ripped off by the Pubco's. Sadly this ruling comes as no surprise to me. I have written many times about this case pointing out that ultimately the Government would carry the can if Crehan and others won. You have this totally ridiculous situation where the approval of the leases was by The DTI, and were then rightly deemed to breach what was article 85 (now 81). How the top Judges in the land can reach such a blatently political decision is beyond me. Inntrepreneur withdrew there application to the Commission to have their old lease exempted when they became Unique. This is political thuggery of the highest order, there will of course be no way of proving that Nomura/Inntrepreneur told HMG that if they lost that Nomura would pursue the DTI for compensation, which is clearly why the OFT who abolished the beer orders in another blow to lessee's, made a last minute submission to the Lords. The corporate might of the Pubco's is testimant to how corrupt the pub industry now is."
Jan Keenan via email 19/07/2006"Bernie Crehan case - what does todays decision by the House of Lords at 9.45 am conjure up!!!!!
I suppose just like most other tenants in litigation always believed that the might of Inntrepeneur would win!!!! but its a sad state of affairs then contrary to the European Courts Decision - and the fact that we are supposed to be in Europe (but it seems only when it is convenient) that the House of Lords have made their decision (seems strange too - that some people who may have been making the decision got into the House of Lords at all!!! Power and Money surely does talk!!!!!!!!
Ken Staniforth BII via email 19/07/2006"What a sad, sad day for Bernie Crehan. Though it will be of no consolation, our hearts go out to him. But, doesn't it go to show that when it suits the 'Lords', they can go completely against Europe? strange that one that, must be a few shareholders there! The licensed trade is the only trade in the world where the landlord, (being the pubco/brewery), can get their greedy little mits on OUR hard earned cash as in charging maximum for stock, portion of machine income, etc. Doesn't it just show just why there are so many pubs up for grabs, closing down and the loss of decent, hard working licensees. For all the bravado of the optomists, the truth is that the trade has never been so bad. Never mind eh!! as long as the Directors and owners of the pubco's and brewery's get fat, that's ok!! Isn't it??"
Richard Sanders via email, 20/07/2006Bernie our thoughts are with you.
One rule in Europe another for all the share holders of British brewers and pub companys.
The Lords should be ashamed. Justice, WHAT justice?
Richard & Sally Sanders Crooked Billet Hook
Litagants for 12 years
Henry via email 26/07/2006"The legal profession will be clearing the decks for another round of fantastic fee pulling, defending ex lessees whose hopes and money backed this case. The Lords should hang their heads in shame, we should have seen this coming. Every indicator was there when they allowed the OFT intervention with a submission after 13years of telling lessees this was a matter for Europe and then the Lords cutting the hearing. Only one word comes to mind for lessees **** with your hands tied to your ankles."
Alan Maunders via email, 31/07/2006600 Publcans can not be wrong and lets not forget the many that took and attempted to take their own lives.
