Hand v. Hampstead Land & Construction Co.

Hand v. Hampstead Land & Construction Co.

Addendum C's unqualified stipulation that 'charterers agree to load and stow the cargo' supersedes clause 15 insofar as clause 15 might create actual agency; therefore the charterer was not actual agent of the owners in contracting with the stevedore, and no ostensible agency was established (no holding out by owners nor applicable custom), so owners are not liable for the stevedoring charges.

Citation
[1928] SCR 428
Parties
Appellant/owner: Robin Line Steamship Company, Inc.; Appellant/owner: Seas Shipping Company, Inc.; Respondent/plaintiff: Canadian Stevedoring Company; Charterer (not a Party): Southern Alberta Lumber Company, Limited
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
2 May 1928
Procedural Posture
Appeal / On Appeal to the Supreme Court of Canada From the Court of Appeal for British Columbia
Outcome
Appeal allowed. Judgments against the appellants dismissed.
Legal Topics
Space Charter Party, Stevedoring, Actual Agency, Ostensible Agency, Charterer Liability
Source Language
English
Maritime Law Shipping Law Agency Law Contract Interpretation Space Charter Party Stevedoring Actual Agency Ostensible Agency +1 more

Case Brief

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Parties

Robin Line Steamship Company, Inc.

Appellant/owner

Seas Shipping Company, Inc.

Appellant/owner

Canadian Stevedoring Company

Respondent/plaintiff

Southern Alberta Lumber Company, Limited

Charterer (not a Party)

Procedural Posture

Appeal / On Appeal to the Supreme Court of Canada From the Court of Appeal for British Columbia

Legal Issues

  1. 1 Whether the charterer was actual agent of the shipowners for engaging stevedores under the charter-party
  2. 2 Whether the charterer was ostensible agent of the shipowners such that owners would be liable to the stevedore
  3. 3 How clause 15 and addendum C of the charter-party should be construed and which controls when in conflict

Ratio Decidendi

Addendum C's unqualified stipulation that 'charterers agree to load and stow the cargo' supersedes clause 15 insofar as clause 15 might create actual agency; therefore the charterer was not actual agent of the owners in contracting with the stevedore, and no ostensible agency was established (no holding out by owners nor applicable custom), so owners are not liable for the stevedoring charges.

Court Disposition

Appeal allowed. Judgments against the appellants dismissed.

Orders

  • Appeal allowed with costs
  • Judgment entered for the appellants dismissing the actions with costs