Judgment
At first instance, before Sachs J, the action succeeded. This was overturned in the Court of Appeal. The House of Lords reversed the court of appeal, finding in favour of Rookes and against the union. Citing a case from the eighteenth century called Tarelton v. M'Gawley (1793) Peake 270 where a ship fired a cannonball across the bows of another, Lord Reid said the union was guilty of the tort of intimidation. It was unlawful intimidation 'to use a threat to break their contracts with their employer as a weapon to make him do something which he was legally entitled to do but which they knew would cause loss to the plaintiff.'
A corollary to the main issue in the case, but of greater lasting importance, was Lord Devlin's pronouncements on when punitive damages are applied. The only three situations in which damages are allowed to be punitive, i.e. with the purpose of punishing the wrongdoer rather than aiming simply to compensate the claimant, are in cases of,
- Oppressive, arbitrary or unconstitutional actions by the servants of government.
- Where the defendant's conduct was 'calculated' to make a profit for himself.
- Where a statute expressly authorises the same.
This aspect of Rookes v Barnard has not been followed in Canada, New Zealand or Australia.
Read more about this topic: Rookes V Barnard
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