Etihad and Aldar entered into a three-year £20 million sponsorship agreement with the Silverstone-based Spyker Formula 1 Team, which was renamed as the Force India Formula 1 Team following a change in ownership in October 2007. The companies switched their allegiance to Ferrari a year later and were ordered to pay $4.7 million to the team by the Queen's Bench Division of the High Court in November last year for breach of contract.
The Court of Appeal however found that the companies were entitled to cancel the deal as they argued that Force India’s promotion of both a rival airline, Vijay Mallya's Kingfisher, and an alcohol brand breached its sponsorship deal. Appeal judge Sir Bernard Rix ruled that both companies were contractually guaranteed the status of the team's most prominent sponsors.
The Court ordered the case to be referred back to the Queen's Bench Division for an assessment of Etihad's and Aldar’s damages, and instructed Force India to pay Etihad and Aldar's costs of the proceedings.
