claims” and stating that they needed to analyse his costs attributable to the Posener
claims. Mr. Chudson then sent the First Defendant a list of invoices “to be billed by
me to cousin Tony and which are to be reimbursed (which is in accordance with the
agreement between you and him)”.
90.
On 22nd November 2015, the First Defendant made it quite clear to Mr. Chudson, that
he did not consider that he was under any liability to pay him direct, and that his
retainer was solely with the Claimant. It is quite clear that the First Defendant
continued to regard the Claimant as being solely responsible for Mr. Chudson’s
remuneration and expenses.
91.
I therefore turn to the issues. It is difficult to categorise the Claimant’s email of 17 th
July 2015 as anything other than a repudiatory breach of contract. While Mr. Oliver
argued that it was an offer to vary the contract, my judgment is that it is a flat refusal
by the Claimant to provide any more funds to Mr. Chudson, in the knowledge that the
visit to Berlin was probably the last step required in the claim. The provision of funds
was the main obligation on the part of the Claimant.
92.
As regards the Defendants’ claim that in refusing to settle Mr. Chudson’s general bill
there was a further breach of contract, I disagree. There was no refusal by the
Claimant to payment of Mr. Chudson’s fees and expenses. How the Claimant dealt
with resolving these with Mr. Chudson was a matter for them. The issue was as to the
amount and how they should be apportioned between work done for the Claimant and
under the contract and any delay in paying Mr. Chudson had no impact on the
Defendants and was as a result of discussions between Mr. Chudson and the Claimant
about the amount and Mr. Chudson’s delays in producing his final bill. The
Defendants have not put forward any particulars of this alleged breach and there is no
evidence advanced that there was any breach prior to 1 st December 2015 or indeed the
23rd December 2015 – the date of the BADV award.
93.
If there is a repudiatory breach then I am satisfied that it has been affirmed prior to
any attempt by the Defendants to give notice accepting the breach as putting an end to
their obligations under the contract. Although in breach in his email of 17 th July 2015,
the Claimant made an offer to the Defendants that if they paid Mr. Chudson $500
then, if the Clause 8 trigger operates, then he would reimburse them the $500 and
another $500 on top. Following that email, as set out above, the First Defendant
responded by saying that he would make the payment and “let’s get busy”. He then
asked the Claimant to provide further funds to Mr. Chudson, which was done, and
until the email on 1st December 2017 not only took no steps to inform the Claimant
that he considered that he was no longer obliged under the contract, he behaved to all
intents as if the contract was still on foot and that he fully expected the reimbursement
of the expenses to go ahead out of the proceeds of the compensation moneys in due
course.
94.
In my judgment, it is quite clear that the Defendants have, by the First Defendant’s
emails and significant delay in accepting the breach, affirmed the contract and that for
reasons given earlier, as a matter of Massachusetts law, the provisions of Clauses 10
and 11 do not prevent this consequence. I am also satisfied that there was also a new
agreement, to treat the original contract on foot, when the First Defendant responded
to the Claimant’s offer and that if he hadn’t taken the line that BADV claims were not