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Contract

07 October 2010
Issue: 7436 / Categories: Case law , Law digest
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Giedo Van Der Garde BV and another v Force India Formula One Team Ltd [2010] EWHC 2373 (QB), [2010] All ER (D) 122 (Sep)

Where there had been a total failure of consideration, money paid under a contract could be recovered. A partial failure of consideration would give no rise to a claim for recovery of the money that had been paid. However, if a divisible part of the contract wholly failed, and part of the consideration could be attributed to that part, that portion of the money so paid could be recovered. Where a court could identify by the process of apportionment a payment for which there had been no consideration in the form of services provided, the payer would be entitled to an order for the restitution of that sum. Where the contract was not divisible, there could be no restitution. The receipt of a benefit under a contract which on analysis was not any part of the essential bargain contract for would not be a bar to restitution on the basis of total consideration. The test for whether a benefit received was an essential part of

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