VW retailer loses High Court battle
12 February 2020
O’Leary’s of Lissarda has lost a High Court appeal over the termination of its Volkswagen franchise in 2013.
Volkswagen Group Ireland (VGI) gave notice of termination for contracts in 2011, following a “catastrophic” fall in sales from 186k in 2007 to 79k by 2012. Two years’ notice was given. The High Court had earlier found breach of a requirement to give “detailed, objective and transparent” reasons, and awarded damages – but because of the two-year notice, those damages were nominal.
VGI’s appeal over a High Court decision to make no order for costs, meaning each side had to pay their own, will be decided later.
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