Bench-: Justice Y.B. Hillary
FACTS
The defendant in the Gloucester Grammar School Case, a former teacher, resigned from his position to start a new school near the original one. Unlike Gloucester Grammar School, the new institution charged a significantly lower fee of 12 pence compared to the original school's 40 pence. Due to the defendant's popularity and the lower cost, many students opted to switch schools, causing financial difficulties for Gloucester Grammar School. In response, the plaintiff, the school's proprietor, initiated legal action seeking compensation for the financial losses, arguing that the establishment of the competing school had negatively affected its financial standing, justifying restitution for the damages incurred.
ISSUES
Whether the plaintiff's financial loss, arising from the defendant's creation of a rival business, qualifies for compensation due to the claimed violation of the plaintiff's rights.
Whether the case falls within the principle of "Damnum Sine Injuria," and if so, whether the defendant can escape liability.
JUDGMENT
The ruling in the Gloucester Grammar School Case adheres to the legal principle of "damnum sine injuria," asserting that harm can occur without an actual injustice or violation of a legal right. Referring to the Gloucestershire Grammar School case, the court rejected the claim of the original school, as the creation of a new institution did not constitute a breach of any legal rights, even though it resulted in financial losses due to competition.
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