M/S VIJAY TRADERS versus M/S BAJAJ AUTO LTD.
The evidence established that the plaintiffs purchased vehicles from the defendants after payment and bore the risk during transit; thus, the relationship was that of buyer and seller, not agent and principal. Consequently, the termination of distributorship was governed by the law relating to sale of goods, not agency, and the notice period given was not unreasonable.
- Parties
- Appellant: VIJAY TRADERS; Respondent: BAJAJ AUTO LTD.
- Jurisdiction
- India
- Judgment Date
- 01 November 1995
- Procedural Posture
- Civil Appeal / Appeal by Special Leave From Judgment and Order of Bombay High Court in First Appeal No. 590 of 1974
- Outcome
- Appeal dismissed
- Legal Topics
- Agency, Termination of Distributorship, Purchase and Sale, Damages for Wrongful Termination
Case Brief
Summary, issues, holding and outcome
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Parties
VIJAY TRADERS
Appellant
BAJAJ AUTO LTD.
Respondent
Procedural Posture
Civil Appeal / Appeal by Special Leave From Judgment and Order of Bombay High Court in First Appeal No. 590 of 1974
Legal Issues
- 1 Whether the relationship between parties was that of agent and principal or buyer and seller
- 2 Whether the termination of distributorship was wrongful and without proper notice
Ratio Decidendi
The evidence established that the plaintiffs purchased vehicles from the defendants after payment and bore the risk during transit; thus, the relationship was that of buyer and seller, not agent and principal. Consequently, the termination of distributorship was governed by the law relating to sale of goods, not agency, and the notice period given was not unreasonable.
Court Disposition
Appeal dismissed
Orders
- No order as to costs
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