McAlpine Grant Ilco Ltd v AFR Refrigeration Ltd [2020] EWHC 106 (QB) (23 January 2020)

McAlpine Grant Ilco Ltd v AFR Refrigeration Ltd [2020] EWHC 106 (QB) (23 January 2020)

Loss of pharmaceutical goods was a direct and natural consequence of the defective refrigeration unit; absence of alarm system did not break causation nor render loss too remote; statutory test under section 53(2) Sale of Goods Act 1979 applies and claimant's losses are recoverable.

Source-derived case information.

Citation
[2020] EWHC 106
Parties
Claimant and Appellant: McAlpine Grant ILCO Limited; Defendant and Respondent: AFR Refrigeration Limited
Jurisdiction
England and Wales
Judgment Date
23 January 2020
Procedural Posture
Appeal From County Court Judgment / High Court Appeal Decision
Outcome
Appeal allowed
Legal Topics
Remoteness of Damages, Breach of Warranty, Measure of Damages, Causation
Contract Law Sale of Goods Remoteness of Damages Breach of Warranty Measure of Damages Causation

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Parties

McAlpine Grant ILCO Limited

Claimant and Appellant

AFR Refrigeration Limited

Defendant and Respondent

Procedural Posture

Appeal From County Court Judgment / High Court Appeal Decision

Legal Issues

  1. 1 Whether damages claimed were too remote to be recoverable under section 53(2) Sale of Goods Act 1979
  2. 2 Whether failure to install an alarm system constituted a supervening event breaking causation
  3. 3 Whether use of refrigeration unit for high-value goods without alarm was a 'special use' outside ordinary course of events

Ratio Decidendi

Loss of pharmaceutical goods was a direct and natural consequence of the defective refrigeration unit; absence of alarm system did not break causation nor render loss too remote; statutory test under section 53(2) Sale of Goods Act 1979 applies and claimant's losses are recoverable.

Court Disposition

Appeal allowed

Orders

  • Claimant entitled to recover losses claimed
  • Order for costs set aside