Following my blog in July about the need for written contracts, I bet Jeff Blue wished for one after losing his case against Mike Ashley (the founder of Sports Direct)!
The BBC reported at http://www.bbc.com/news/uk-england-40727521 but in summary Mr Blue tried to claim that an oral contract had been made between him and Mr Ashley during a conversation in a London pub four years ago. He claimed that Mr Ashley had agreed to pay him a bonus of £15 million if Mr Blue could “get” Sports Direct’s shares trading at £8 per share. The court decided that no contract had in fact been made but not because such a contract could not have been made orally but because of the circumstances of the meeting. That is, in a pub with numerous other people and after consuming a few (or more than a few) pints.
The judge stated that “No reasonable person… would have thought that the offer to pay Mr Blue £15m was serious and was intended to create a contract.”
Commit all your business agreements, terms and conditions etc to writing!
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