Teesside Gas Transportation Ltd v CATS North Sea Ltd and other companies

Contract – Breach. The proceedings concerned the use of a gas pipeline in the North Sea. The claimant company and the predecessors of the defendants entered into a contract, under which the claimant was entitled to a pre-determined capacity of pipeline gas. The claimant company sought various declarations as to its entitlement to withhold all or some of that amount; the defendants counterclaimed in debt for the full unpaid sum. The Commercial Court made ruling as to, among other things, the correct interpretation of the contract and whether the defendants had the right to restate certain capacity fees.

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