The damage to Formby's lungs from the accident was exacerbated by tuberculosis, and he began to miss an increasing number of his appearances. In 1917 the Southport Palladium took court action against him for failing to fulfil a theatrical engagement as contracted, whereupon his lawyer said that Formby was dying of the lung disease and was working for the short time he had left for the benefit of his large family. Formby lost the case: his plea of ill-health was compromised by his accepting an engagement elsewhere at the same time.