Enterprise Inns has won a High Court case against the company that runs the Lord Palmerston pub in Dulwich, south east London, following a dispute over the beer tie.
Enterprise took Palmerstone Associates to court, accusing the operator of breaching purchasing obligations and damaging and disconnecting flow monitoring equipment installed at the pub.
In a statement issued today, after Judge Moran ruled in Enterprise's favour, the pubco said: "This judgement came in proceedings where our tenant, despite clear purchasing obligations and having entered into the lease freely, sought to interpret the tie in a way so as to impose a limitation which simply was not credible, but served the tenant's own agenda."
"It is regrettable that we have had to resolve these matters in court. Enterprise was content that the position adopted by the publican was ill-advised and misconceived. This was another extraordinarily expensive and unsuccessful legal excursion which was entirely unnecessary."
Costs were awarded in favour of Enterprise, and Palmerston Associates has been given 14 days in which to make a significant payment, as well as having to meet its own substantial legal costs.
Ted Tuppen, chief executive, commented: "We are obviously pleased with this result. The challenge made in this case was important for the industry to have resolved quickly and we are pleased that the court timetable allowed that to happen. We are delighted that the judge found entirely in our favour."
By Neil Gerrard
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