Summary: We will not investigate this complaint about the Council’s decision to terminate a contract. It would be reasonable for Mr X to seek legal advice and take the matter to court.

The complaint

1. Mr X complained the Council terminated a contract his business held with the Council.
2. Mr X also complained the Council failed to consider his complaint.
3. Mr X said the matter caused a financial loss and reputational damage.

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The Ombudsman’s role and powers

4. The Local Government Act 1974 sets out our powers but also imposes restrictions on what we can investigate.
5. The law says we cannot normally investigate a complaint when someone could take the matter to court. However, we may decide to investigate if we consider it would be unreasonable to expect the person to go to court. (Local Government Act 1974, section 26(6)(c), as amended)
6. We investigate complaints about ‘maladministration’ and ‘service failure’, which we call ‘fault’. We must also consider whether any fault has had an adverse effect on the person making the complaint, which we call ‘injustice’. We provide a free service, but must use public money carefully. We do not start an investigation if we decide the tests set out in our Assessment Code are not met. (Local Government Act 1974, section 24A(6), as amended)

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How I considered this complaint

7. I considered information provided by the complainant.
8. I considered the Ombudsman’s Assessment Code.

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My assessment

9. Mr X complained the Council terminated a contract between it and his business.
10. The Council said Mr X’s business had breached the terms of the contract. It said it had contacted Mr X in a bid to resolve the issues; however, Mr X did not take the required action. Therefore, it terminated the contract.
11. Mr X said the Council did not consider his submissions and said terminating the contract was not proportionate.
12. It is not the role of the Ombudsman to interpret the terms of contracts. We could not determine whether the Council were at fault by terminating the contract.
13. It would therefore be reasonable for Mr X to seek legal advice about the terms of the contract. If Mr X then believes the Council breached the contract by terminating it, it would be reasonable for him to take the Council to court.
14. For this reason, we will not investigate this complaint.
15. As we will not investigate the substantive matters of the complaint, we will not investigate the Council’s handling of the complaint because it is not proportionate to do so.

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Final decision

16. We will not investigate Mr X’s complaint because it would be reasonable for him to seek legal advice and take the matter to court.

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Investigator's decision on behalf of the Ombudsman