Foster v British Gas plc

Foster v British Gas [1990] is a notable case decided in the House of Lords with reference from the European Court of Justice on the meaning of the word "state". Ultimately, the meaning of the state is dependent on the context (in Chandler v Director of Public Prosecutions [1964] AC 763 (HL), the state according to Lord Reid is synonymous with the 'Organised Community' whilst Lord Devlin in the same cases refers to it as 'the organs of government of a national community'), but, in this case, the state is defined broadly including any manifestation or organisation under the control of central government.

Facts

Ms. Foster was forced to retire at sixty, whereas men could work until sixty-five. She and four other women invoked the Equal Treatment Directive against her former employer, British Gas, which was a nationalized industry at the time. The facts of this case took place before it was privatized.

At the material time the board members of British Gas, were appointed by a minister in the UK government (secretary of state), which could also issue to the board various directions and instruments. In addition, the board was required to submit periodic reports to the Secretary of State.

Held

The case state vague outlines of what constitutes the state and deliberately left the fine details to be decided by member state courts. the court states :

"18. ... unconditional and sufficiently precise provisions of a Directive could be relied on against organizations or bodies which were subject to the authority or control of the State or had special powers beyond those which result from the normal rules applicable to relations between individuals.

19. The court has accordingly held that provisions of a Directive could be relied on against tax authorities... local of regional authorities... constitutionally independent authorities responsible for the maintenance of public order and safety... and public authorities providing public health services...

20. It follows...that a body, whatever its legal form, which has been made responsible, pursuant to a measure adopted by the state, for providing a public service under the control of the state and has for that purpose special powers beyond those which result from the normal rules applicable in relation between individuals, is included...among the bodies against which the provisions of a directive capable of having direct effect may be relied upon."