with mental distress is that there is a piecemeal approach to the question, under which sometimes the award is disguised as aggravated damages. The traditional rule is that damages are not recoverable for mental distress caused by a breach of contract. In Addis v Gramophone Co Ltd, the plaintiff was employed by the defendant on a salary of £15 per week plus commission under terms which allowed him to be dismissed by six months’ notice. He was given six months’ notice but, at the same time, the defendants also immediately appointed a successor, with the result that the plaintiff was unable to earn any commission and was unable to work as a manager. At first instance, he was awarded only his lost commission and damages for wrongful dismissal. On appeal, the question arose whether he was entitled to damages in respect of his injured feelings resulting from the demeaning way in which he had been dismissed. The House of Lords held that such an award could not be made and that the plaintiff was entitled to recover his lost commission and lost salary: Addis v Gramophone Co Ltd [1909] AC 488, p 493

doi:10.4324/9781843141518-263

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with mental distress is that there is a piecemeal approach to the question, under which sometimes the award is disguised as aggravated damages. The traditional rule is that damages are not recoverable for mental distress caused by a breach of contract. In Addis v Gramophone Co Ltd, the plaintiff was employed by the defendant on a salary of £15 per week plus commission under terms which allowed him to be dismissed by six months’ notice. He was given six months’ notice but, at the same time, the defendants also immediately appointed a successor, with the result that the plaintiff was unable to earn any commission and was unable to work as a manager. At first instance, he was awarded only his lost commission and damages for wrongful dismissal. On appeal, the question arose whether he was entitled to damages in respect of his injured feelings resulting from the demeaning way in which he had been dismissed. The House of Lords held that such an award could not be made and that the plaintiff was entitled to recover his lost commission and lost salary: Addis v Gramophone Co Ltd [1909] AC 488, p 493

ABSTRACT

Addis v Gramophone Co Ltd [1909] AC 488, p 493 Lord Atkinson: The rights of the plaintiff are ... in my opinion, clear. He had been illegally dismissed from his employment. He could have been legally dismissed by the six months’ notice which he in fact received, but the defendants did not wait for the expiration of that period. The damages which he sustained by this illegal dismissal were: (i) the wages for the six months during which his former notice would have been current; (ii) the profits or commission which would, in all reasonable probability, have been earned by him during the six months, had he continued in the employment; and, possibly (iii) damages in respect of the time which might reasonably elapse before he could obtain other employment. He has been awarded a sum of some hundreds of pounds, not in respect of any of these heads of damage, but in respect of the harsh and humiliating way in which he was dismissed, including, presumably, the pain which he experienced, as is alleged, by reason of the imputation upon him conveyed by the manner of his dismissal. This is the only circumstance which makes the case of general importance, and this is the only point with which I think it necessary to deal.