Mogul Steamship Co Ltd v McGregor, Gow & Co
Encyclopedia
Mogul Steamship Co Ltd v McGregor, Gow & Co [1892] AC 25 is an English tort law
case concerning the economic tort of conspiracy to injure. A product of its time, the courts adhered to a laissez faire doctrine allowing firms to form a cartel, which would now be seen as contrary to the Competition Act 1998
.
Lord Bramwell's judgment read as follows.
English tort law
English tort law concerns civil wrongs, as distinguished from criminal wrongs, in the law of England and Wales. Some wrongs are the concern of the state, and so the police can enforce the law on the wrongdoers in court – in a criminal case...
case concerning the economic tort of conspiracy to injure. A product of its time, the courts adhered to a laissez faire doctrine allowing firms to form a cartel, which would now be seen as contrary to the Competition Act 1998
Competition Act 1998
The Competition Act 1998 is the current major source of competition policy in the UK along with Enterprise Act 2002. The act provides an updated framework for identifying and dealing with restrictive business practices and abuse of a dominant market position....
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Facts
A group of ship owners formed an association to raise their profits. The association agreed to limit the number of ships sent by the association to different ports, to give a 5% rebate on freights to all shippers of stock who dealt only with members, and that agents of members would be prohibited from dealing with anyone in the association if they did not deal exclusively with people in the association. If any member wished to withdraw, they would have to give notice. Mogul Steamship Co Ltd had been excluded. When it sent ships to the loading port to pick up cargo, the association sent more ships and underbid Mogul Steamship Co Ltd. The association also threatened to dismiss agents or withdraw rebates from anyone who dealt with Mogul Steamship Co Ltd. Mogul Steamship Co Ltd alleged there was a conspiracy to injure its economic interests and sued for compensation.Judgment
The House of Lords, affirming the Court of Appeal's decision, held that the acts were done with a lawful object of protecting and increasing the associations profits. Because no unlawful means had been employed, Mogul Steamship Co Ltd had no cause of action.Lord Bramwell's judgment read as follows.
See also
- English tort lawEnglish tort lawEnglish tort law concerns civil wrongs, as distinguished from criminal wrongs, in the law of England and Wales. Some wrongs are the concern of the state, and so the police can enforce the law on the wrongdoers in court – in a criminal case...
- Vegelahn v. GuntnerVegelahn v. GuntnerVegelahn v. Guntner, 167 Mass. 92 is a United States labor law decision from the Supreme Judicial Court of Massachusetts. It is noted for its famous dissent, written by Oliver Wendell Holmes, Jr., rather than its majority opinion.-Facts:...
, 167 Mass. 92 (1896) - Loewe v. LawlorLoewe v. LawlorLoewe v. Lawlor, is a United States Supreme Court case concerning the application of antitrust laws to labor unions. The Court's decision had the effect of outlawing secondary boycotts as violative of the Sherman Antitrust Act, in the face of labor union protests that their actions affected only...
, 208 U.S. 274 (1908) - Clayton Act 1914
- http://eur-lex.europa.eu/LexUriServ/LexUriServ.do?uri=CELEX:61996J0067:EN:NOTJudgment of the European Court of Justice 21 September 1999. Albany International BV v Stichting Bedrijfspensioenfonds Textielindustrie. Reference for a preliminary ruling: Kantongerecht Arnhem - Netherlands. Compulsory affiliation to a sectoral pension scheme - Compatibility with competition rules - Classification of a sectoral pension fund as an undertaking. Case C-67/96.]