S.K. Networks Australia Pty Ltd v ACI Plastics Packaging [2007] NSWLC 22

S.K. Networks Australia Pty Ltd v ACI Plastics Packaging [2007] NSWLC 22

Applying the objective approach to contractual construction, the word "shipment" in clause 5 had its ordinary and natural meaning of the act of shipping goods, which included loading the goods onto the ship and not merely the ship's departure. Because the goods were loaded on 30 April 2005, and title and risk passed to the defendant at that time under the CFR terms, the month of shipment was April 2005. The plaintiff was therefore entitled to the agreed amount claimed.

Jurisdiction
Australia
Judgment Date
06 July 2007
Procedural Posture
Civil Contract Claim / Reasons for Decision and Judgment
Outcome
Judgment for the plaintiff.
Legal Topics
['construction of Contract' 'meaning of "month of Shipment"' 'shipment of Goods' 'cfr Delivery Terms' 'contra Proferentem' 'parol Evidence Rule']
['contract Law' 'sale of Goods'] ['construction of Contract' 'meaning of "month of Shipment"' 'shipment of Goods' 'cfr Delivery Terms' 'contra Proferentem' 'parol Evidence Rule']

Case Brief

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Procedural Posture

Civil Contract Claim / Reasons for Decision and Judgment

Legal Issues

  1. 1 ['Whether the words "the month of shipment" in clause 5 of the contract referred to April 2005, when the goods were loaded onto the ship, or May 2005, when the ship left port.' 'Whether the plaintiff was entitled to the amount claimed if the month of shipment was April.']

Ratio Decidendi

Applying the objective approach to contractual construction, the word "shipment" in clause 5 had its ordinary and natural meaning of the act of shipping goods, which included loading the goods onto the ship and not merely the ship's departure. Because the goods were loaded on 30 April 2005, and title and risk passed to the defendant at that time under the CFR terms, the month of shipment was April 2005. The plaintiff was therefore entitled to the agreed amount claimed.

Court Disposition

Judgment for the plaintiff.

Orders

  • ['Judgment for the plaintiff in the sum of $36,158.94.' 'The defendant is to pay interest on the sum of $36,158.94 from 1 November 2005 to be calculated by the registry.' "Costs follow the event. The defendant is to pay the plaintiff's costs and disbursements of the proceedings as agreed." 'In default of agreement...