Introduction 

• This is a landmark judgment which discusses the important principle of “Damnum sine injuria”. 
• This judgment was delivered by a single judge, Justice YB Hillary. 

Facts 

• There was a school called Gloucester Grammar School. 
• A teacher who worked there was very popular with the students. 
• This teacher decided to leave his job at Gloucester Grammar School. 
• After leaving, he opened his own school very close to his old school. 
• At his new school, he set much lower fees than what Gloucester Grammar School was charging. 
• Because the teacher was well-liked and his school was cheaper: 
  • Many students left Gloucester Grammar School 
  • These students joined the teacher's new school instead 
• This caused Gloucester Grammar School to lose money because: 
  • They lost many students 
  • This meant less fee income for them 
• The owner of Gloucester Grammar School was upset about this situation. 
• The owner decided to sue the teacher in court. 
•  In the lawsuit, the owner asked for money to make up for the losses his school suffered. 
•  The owner's main complaint was that: 
  • The teacher opened a competing school too close by 
  • The teacher took away their students 
  • This damaged their school financially  

Issue Involved

• Whether defendant could be held responsible for the monetary loss suffered by the plaintiff? 
• Whether this case satisfies the essentials of Damnum sine injuria? 

Observations 

• The Court observed that the principle of "Damnum sine Injuria," which states that even though injury or damage has occurred, no legal rights have been violated, was applied in this case. 
•  It is to be noted that the Court held that there was no case against the defendants in this case because the plaintiff's legal rights were not infringed. 
• Gloucester Grammar institution and the new institution were perceived to be engaged in a conventional business rivalry. Therefore, it was not deemed unlawful or harmful to Gloucester Grammar School or its owner to open a second school with a comparable or lower tuition schedule. 
• The court categorically upheld Gloucester Grammar School's claim against the defendant as unsupported, highlighting the fact that the defendant had not committed any wrongdoing against the school and that there had been no injury to the school legally. 
• Since the defendant's decision to open a rival school was seen as a valid business move, the Court held that the claim of defendant does not stand.

Conclusion 

• This judgment discusses the important principle of tort law i.e. “Damnum sine injuria”. 
• This principle provides that no claim arises when there is damage without violation of any legal right.