Matiasi v Milisi (Civil Cause 1871 of 1994) [1994] MWHCCiv 20 (1 November 1994)
The defendant breached the contract by seizing the minibus before the expiry of the six-month payment period; the contract term allowing seizure only applies upon failure to pay the entire balance by the final date, not upon missed instalments.
Source-derived case information.
- Citation
- [1994] MWHCCiv 20
- Parties
- Plaintiff: M. Matiasi; Defendant: D. L. Milisi
- Court
- High Court of Malawi Civil Division
- Jurisdiction
- Malawi
- Case Number
- Civil Cause 1871 of 1994
- Procedural Posture
- Civil / Ruling
- Outcome
- Plaintiff's claim for return of the minibus succeeds; damages claim dismissed as improperly brought.
- Legal Topics
- Conditional Sale, Repossession, Debt Enforcement, Interpretation of Contract Terms
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
M. Matiasi
Plaintiff
D. L. Milisi
Defendant
Procedural Posture
Civil / Ruling
Legal Issues
- 1 Whether the defendant was justified in seizing the minibus before the expiry of the agreed payment period
- 2 Whether the plaintiff is entitled to the return of the minibus
- 3 Whether damages claimed by the plaintiff are properly brought under originating summons
Ratio Decidendi
The defendant breached the contract by seizing the minibus before the expiry of the six-month payment period; the contract term allowing seizure only applies upon failure to pay the entire balance by the final date, not upon missed instalments.
Court Disposition
Plaintiff's claim for return of the minibus succeeds; damages claim dismissed as improperly brought.
Orders
- Restrictive term allowing seizure rescinded from the agreement.
- Plaintiff must pay the debt within four months from the date of ruling.
Full Case Text
Judgment text and source record
1 paragraphs
IN THE IIIGII COUWI' OF' Ml\Ll\WI PIUNCIPJ\L REGISTRY CIVIL C~USE NO. 1871 OF 1994 - - - - -- - - - - I3T~TWEEN : M. Ml\TIASI . .. . . . . . . . PLAINTIFF 7\ND D. L. MILISI . . . . . . . . . . . . . . . . . . . . . . . . . . DEFEN Dl\NT CORAM : l\CTI NG J KUM.l\NGE, Msi.sha , Cou ns e l for the pl ai nti f f Chi.r wa, Counsel for U1c defendant Nyire nd a , Court In t erpreter RULING By an or.-iqj nai·i ng summons dated 28t h July 1994, t.hr-' p l ainl~iff prays for ;:i n order t.hat t h e defendant do : - (a) (b) (r;) Imme diate l y rot.urn in qood condition a min ibus seized o n l4Lh September 1994 to l:. he plaint.if:[ . Pr:Jy th e p lainU ff K700 per day fron1 dat e o f sej zurc t.o date of i..nc o me U1 e minibus wa;; maki n•J per day. r0.turn , b ei n g il:s Pay c1 s um of K59 , 578 be.in<; mon ey spe n t on t he purcllo.se .i.ncur-r0-d pr ir:e an cl , l:.he minib u s b e fore it was s0 iz ~ d. t h e repairs of c:-:penses fo r The ac:Li. on having bee n commenc-:E:'-cJ b y a n or.i g i n ati ng summon~:, e v i c1 e 11 cc was by a f f i d av j t:. s . f a c ts a re s imp le arid st r a i g h t. Bu i~. Lil e cl omagcs c:lnj med are made under a wrong mode of f orw21rcJ . s .111 cc t h ey fc1.ll un der t ot·t , or c-:onLract. cor.im0ncc rn ent o f l: h e b c1 ~--:. i s o f o r d o rnagcs as stotcd above· w.i l l n ot be easy w.i l: h o ut Louc h lnq mc1t.l.cr-s of t.o co mmenc:e L-.he act.ion by a wr j I: . Th e prop0r pr occ dur 0 A ::; s u c: Ii p 1: o s <:..' c u t j 11 g b r- c u r; 11 u f J u t. y . t:Jierefore cr,11l· c;,cL . c-: 0 s c o 11 , 1ct . jo n, tort The t h e .is 01- 01·dc•1· Book ) p 1-c :,c:1~ il>c~; l1 ,7 VC Ir_) br r:rn11111 c 11 cccl ') n1l 0 2 o r 'I' l l(' !<tile· :~ o r Ll ;c• S llp l'(• JllC Co 111 · L ('f'h C' i:1 1,7 1 111r1l l.cJ"~, fo1 · l ly ,7 w r· i I _ of ~:u1111110 11 s . 1.·. h c c l ,7illl or cl.1111 ,:igcs r-:vr'n f{ u !. c ili-, 4 of t-.h0 \'IJli.il· r i;u:: li, - - In same orde r r es tricts originating summons to matters whi ch involve the co n s t ruc t ion of an Act, deed or contract (just to me n tion a few) or whe re there is likelihood of a substantial di s p ute of I cannot intertain the c l a im s for fact. damage s . !:he facts and d e c i sion the ret urn of the vehic le a nd n othing else. The case stands or falls e n t i r ely on the b asic c on struction of (ex hi b it "OM l"). t herefore restrict my observation, anal ysis of t h e agreement tendered, the order sought for t h e present case to I As r eg ar ds the damages in issue I order that th e p l aintiff shoul d comme n ce a separate action by a writ of summons t o e nforce Tu rni ng to the relevant issue, that is for th e re t urn of them. t he question I have to ask myself is whe th e r under the mi nib us, the a g r ee men t the defendant was justified in seizing t he minibus whi c h i s now i n his custody and possession. It is ra ther disheartening to see that the case wa s argued by bot h c oun se l pureJ.y on the affidavit evidence witho ut c itation l eg al author i ty, statutory or otherwise in supp ort of of an y their a rg ume n t s. This is a mercantile contract which bo th sides could hav e bac ked up with cited authorities, be it commo n J.aw or statutory . Su ch approach leaves the court in a rat he r awkward t he court is left with the burden of do ing t he work situati on a s that c o un sel did or ought to have done soon before or s o on after the ac tio n c ommenced. The pleadings and the eviden ce adduced, whet h e r o ral ly or by affidavits , only give guidance as to the law the appli cabl e membe rs of e x ert on as officers of themse lve s, mu ch effort to assist the bench by explor ing the Jaw t h e p ri nciples that may appear relevant to th ei r cases. along t hi nking . Natur al l y judgment sounds good if it c ontains . I t ratio sound support of and that dec i de nd i. the bench must in respo nsib ili ty and counsel. occupy ach i e v i ng th at goal. t hat excise involves too much research an d c a n no t b e denied that a in every situation. front.line p osi t ion therefore wish the court , th e s h a re principles f astidio u s the bar, the bar I would Both and the in Not wi ths tanding such weaknesses as hereinabove po in t ed out, t he e v i de nc e a s disclosed by the filed affidavits is a s f oJ. J.ows: On l Gt. h 1994, l\pril the defen d a nt , a mol~or vehicle which has been described in all the Its make or mod el has not~ doc ume nts of p rocess as "l\ minibus". .is "CZ been re v e al ed to the court save the Registration No. whic: h 6 7" . I shall re fer to the veh i cle a s ei t her "the minibus" or "the vehicle". !:he pL:dnUff bough t t hr ough this ruling therefore f rom Al l Th e v ehi cle was offered to the plaintiff as a b uye r thereof Having accepted the off er, the plain t.if f made a at K 65 ,0 00 . down -payment o f KJ0,000, leaving a balance of K35,000 , wh ich - J - th e these proce e d i ng s. sub j ect matter of that the plaintiff should The J.a t er b e ca me parties ag ree d l iquidate t h e balance wi t hin s ix mo nths, that is from 16th April to 16th Octob er 1994 . Compel l e d b y the dic t at e s of prudenc e and dil.ligence , th e parties ag r eed t o red uce their agreement in writing. Exhibi t " OM l" is a in lo n g hand and tr u e cop y of that agreement . sig n ed by bo th parties and duly witnessed. It was written in cond i ti o n s were Chichewa in c orpor at ed t her ei n. The following represents an almost literal tr a nslation o f It re a ds : - t hat agre e ment from Chichewa into E n gl ish. It was writt e n terms or intended the and al J. a s " Paid KJ0 , 000 Ba l ance 105,00 0 , wi ll b e p ai d with i n 6 mo n t h s st ar t p aying o n 16/5/94 at a sum of K5,833.33 p e r t o pa y, we shall s e ize the vehicle ". I f h e for buying a minibus (CZ 67) f ail s deposit. and will month. t o run it . Af t er t his agr e eme nt, the plaintiff was given d elivery of th e mi n i bu s The plaintiff did actuall y op erate the minibus an d he k e pt his wo rd for thre e months up to Ju l y 16th but fa i led to pay for Au g ust a nd September instalments of K5,833.33 ea c h . t.o re p ossess t h e v e h ic l e and h e s e ized i l::. , and took it ho me where j t Th e d ef end a nt s e .i. zed th e mini b us under the is k e pt to th is duy. au s pices of t he op e ra t ive authority to seize as stipulat ed in the wr i tten ag ree ment. By mi d S e pt e mber 1994, the defendant saw t h e need In h is affidavit in opposition the defendant ad mits lhat the and abo v e ov e r pl a intif f made the stipuJ.atio n as to p ayme nt, and made th e KJ0,000 which was paid as d e p osit, in strict obser va nc e of t he folJ.owing cas h p ay ments. payments fur the r On 17 /5/ 94 On 16/6/ 94 On 1 6 /7/ 94 Tota l pa id wi t h i n 3 months K 5,833.33 I< 6 ,4 26.66 I< 6 , 135 . 00 I<lB,394.99 i s It His not 1 994 ,July _in di s pute that after 16 t h He further cont e nds p a y any more money. the p l a intiff did no t reason for such failure being th at t h e minibus was grounded and it r eq u ired major l::.he rep a 1.rs to be c arr i ed ou t . vehicle was t h e onl y sour ce of income wh i ch he was us i n g to pay off t h e d ebt to t h e defendant , its i nactivity had autom atically income for the discharge of t he debt. frustrate d h is sourc e of sum of Kl l,578.00 From Aug u st t o mi d Se p te mb e r he had spenl::. a fu r l::. h er contends that the minibus was capable repair cos t s . of makin g a The e vidence h owever does l: h e pla .i. n tif f had notif j ed the def e n da nt about not s h ow whet h e r the repa i rs work s . d efendant t h at by Sept emb e r 14th he was told about th e problem. con c edes On 16th Septemb er t h e def e ndant nev ert h e le s s went and t ook in his own affidavit, I< 7 0 0 . 0 0 per day . He s um o f t h at s j nr.e But t h e \. - 4 - t hat by 1 6th Septe mber possess ion o f t h e minib u s . Alth o u g h the act ual d a te th at t h e seiz u re was e f fected , on e clear , minib u s t h at dat e mai n tai ned and c h er ish ed t h e s e ntime nt th at i t wa s for hi m to s eiz e t h e ve h ic le in co n for mit y wi th signed. t h ere i s no a gr ee men t as to t h i ng remains the t h e defe nda n t t h e ri gh t ti me t h e ag r e e ment t h e ve h i cl e was seiz ed and b u siness p u t t o a hal t . By I be a r reservi n g t h e righ t i n mind th a t t o se ize , whi c h r ea ds . t h is who].e a ctio n s pa rk e d fro m th e term " If he f ail s to p a y , we s h a .1. J. s e i z e th e ve hi c l e " . Th e p r o n o rnin a l u se of th e wo rd "we " is s u ggestive of the fact that th e re is pJ.u r aJ.ity of p e rsons who own the ve h i c l e b u t nonetheles s th at is beside t h e r es ge s tae in t h i s ma t ter . s t at e s s u c h t h at Fur t her more u nde r Co mi ng now to the s u bs t a nt i v e is s u e , my att e nt io n h a s been ( c ap 4 8 :01), es p ecia lJ.y s ection Secti on 3 ( 1) defi n e s a Co ntr a ct of Sa J.e as on e wh ere t h e t h e pr ope rt y f o r mo ney c o n s id e rat .i o n, ca ll e d " p r ice ". focussed o n The Sa l e of Goo d s Ac t 3. sel J. er t r a ns fer s or ag r ees to t ra n s f e r the b uy e r ( 3 ) furt h e r conditiona l . the goo ds is tra n s f e r re d fro m th e sell e r "sale ". some con di tio n agreeme nt to s e ll''. Th e co urt was n o t for t he v e h i c le was s u r re nde r e d it was not . But one thing sta nd s o ut as t r u e , is a n a g ree me nt to se ll, as en c umbe red wi th seize balance of right plaintiff . i n g o o ds to Sub s ection a ab so l ute or s ubse ctio n 4 , if the p rop e r ty in is a i s to b e at s ome f utur e dat e s ub j ect to it is call ed "an t o ld wh e ther th e blu e book I suppose t h at this to that r ese rvation to the to transfer pro p e r ty or ti t l e Th at co ndit io n a mo u nts to a t h at i s t h e condi t i on t o th e b uye r or not . v e h i c l e 1< 3 5 , 0 00 . c on trac t ma y b e to th e b u ye r, i t But if t ra n sf e r t h e minib u s , p la in t i f f' s t h e r ea f ter fulf i ll ed , fai lu re to p ay t o b e up o n t h e t h e i n, i n th e l ays dow n Secti on 1 9 co n t r a c t , t h e r ule s whi c h ma y d e t e rm i n e ti me wh en Section 1 9 (1 ) t h e goods upo n sa l e is to pass . the prope r t y says that to a sc e r t ain t hat inte n tio n, r e g a rd s h a ll be h ad to the the terms of circumsta n c es of in i f a n inte n tio n diff e ren t from situatio n s li ke th e pr e s e nt case , i n te ntion of sa l e a nd d irect. tra n s fer of prop erty is the usual apparent o n i f he exercises h i s th e agre ement. When expoundin g o n t h e mea n i ng of " d i f f erent i n te n tio n ", th e book called Be nj a mi n On Sa l e 1 97 4 Edi t i o n, p a rag ra ph 310 ha s th is to say :- to seize as a u t h orised by co nd uct of It me an s t h e th ere f ore p ar t ies an d t h at eve n just i fi ed face of se ll e r right r,ase . i t, t h e t h e th e i s "Th e mo s t commo n sit u at ion i s wh ere the p a rt ie s in ten d that t h e pr o perty to the buyer , un ti l th e pdcc i s pa i d ". s h a ll no t pa s s t h e goo d s _i_ n ·----- - --- - ---- - -- - - - - -- -- - - -- -·-- -··-·- - A similar remark 1s reµeatcd und e r parugraµh 18 1 of t l1 c In Re t he par t ies. sa me b ook . Reservation to transfer property was considered and upheld i n a n umber of cases . What is important is the intenti on of ( HENDEHSON BROTHER S) LTD l\NCI!OR LINE ( 191 7) Ch. l. Goo ds bought subject to a condition tha t payment. r:ould not have property .in t h e m p ass un U l was to be deferred , In fact under secti o n 29 it such time that the p r ice was paid. ma k es th e delivery of specific goods and payment con r:urre nt factors without whir:h property may pass only where the int:entio n is clearly to that e:E fer t . ( RV ) L'fD V S BIGM l\l,T. , ( 19 67 ) law Both 514) . t.he defendant in thi s acl: ion. pr i nciples wo uld seem to support But wo uld it rea Jly? the statutory and ( See al so WARD common 1 QB the I abov e , to be the cose look ed at ta k e it t ha t Notwithstanding the defensive principles of h as law observed a feel I h erei n that is the "l: ime fact.or " wil: hin t h e agre0ment different angle , itseJ.f . the agreement was drafted and pres ented 'for signature by the defendant and his co - owners by the use of the word " we " . Under the Contra prof erenturn Rule , a do cument .is a different st.rict l y r:o nstr u e d I inte n t ion is shown , 218. take t h e l:h(: r eservat:jon defe ndan t . to pay st a te me nt , it is brief and clear . th e ve hicl e will be se ized" . Is his failure of referral t.o each of i nstalment s or to the whole a mount of KJS,000 balance? against (Bur to n v Engli s h(l88J) 12 Q B D " agreemE:nt I [ a prop e r~ construction is placed on th e If he fails to pay what? ,;ell " was dra ft ed by It says " If he fail s the maker , the " six " unless from that. to .i t I am af raid to say without any hesi tatio n that the term does not say "If he fails to pay any instalment" but "If h e fails to pay " - To pay what? The whole balance. Placing a strict but equita ble const.r uct io 11 on this sentence , one wouJ.d n o t b e Jo st if by way of construction one takes the word " pay " to refer to the amount " IC35 ,000 ." Th e plaintiff ' s failure to pay could no t refer to the t ime when he failed at l east one or two instalments. He had six months, from 16/5/94 to 16/10/94 within whic h to pay that amount . After all the defendant kn ew that by 16th July a total of Kl8 ,J 94 . 99 had alr ead y b e en paid towards the reduct ion of that balance . Although the def e ndant says in his affidavit that by I do not t here was a balance of K20 ,0 00 sti ll due , that date , agree . The balanr:e wa s KJ.6,605.01. the defend ant got a su m o f K48,J94 . 99 . WJJl it r ea lly be justi ce for the d efendant to have both the v e hjr:J.e and the mo ney? Has he return ed this I do mon e y to t h e plaintiff to show his sincerity in the matt er? not think so? l\J.l in al l t i me Th e pay the balance KJS ,000 ba l a n ce ) was 16th October 1994. May , 16 th Ju ne , 16th July , 16th August, 16 t h September, bul: 16th fa ilure to th e whole It r:ould no t be on 16th that would deter mine the plaintiff ' s isolated i nstalme nt but. ( n ot of an --·--·-··. - -- - - - - -- - - -- - G - T h e defendan t: if h e were a man im bued with the October 1 99 4. q ualities of se lf co ntr o l , should have restrained him self and exercise his ri ght of s e izu re on 16th October . He him self chose his agreement to be drawn u p If the d or.ument j s vague , that vagueness cannot be accredit ed to him, not an inch as I visualise t h e dca J. , but to the plaintiff a s a buyer . .in that fashion . that is none of my concern . If there 1s anot h e r agreement besides the o n e now under a m concerned, review , supporte d by t h e evide ntial do c ume ntation the court ha s , the sale wa s for K65 ,0 00 o u t of which K48 , J9 4 . 99 is p a id, and the balanr.e a balance of K20 , 000. May be is Kl6 , 605. 01 . that arises out of h as not been a gr ee me nt a exhib i t ed to t h is court . I do n ot ac cep t As far as I s e par ate that To do eq u ity 111 the mat ter I feel it. is very difficult is only on that da te alone, because by seizing the ve hir:le on 14th or 16th S eptember before the final elate of 16th Octobe r , the defendant is i n breach of the term. By implir.ation the final amount feJ. J . due on that date, and the plaint .iff would it constr uctively be said Lo h ave failed to pay th e whol e 105,000. In view of I order that as far as th e rcst r icLive ter m is co n cer ned , that term be rescinded The from the agreement , plainti ff must pay t hi s d ebt within four months from toda y. The vehic le is not to be sold or in a ny way disposed of to any third i s paid. Wh e n fully paid, the p a rties un ti l to plaintiff sho uld be given aut h ority change t: he ow n ership of t h e mi nibus. t h e defe nd a nt ' s co n r;tn1cti ve breach, t h e agree men t as a mere debt. th e whole balan ce (blu e book inclus ive) a nd mak e that May u n der section 14 of the Co urt s Ac t of the Rul es of S up reme Co urt , would perhaps h ave co me up as a preli mi nary issue. r: a se s ta n cls now, above pronounced . I say however th at h ad th e def e nd a nt app l ied to court (~ap 3 : 02) or Order 29 Rul.e 2 the construct..i on of the agrceme11 t I3ut as the s u ccee ds to such extent as herein the actio n a wr o ng assumption Turning to the qu es tion about costs , I am of the view that t h e defendant acted under time had arrived for him to exercise hi s right u nd e r the contract. It is there. to seize was appare nt. , nonethe l ess Equity t h erefore compels me n ot to punish t h e d efe ndant further. Ile wants his money a nd or d er _i ng him to p ay a n exorbitant amount. in costs , would mea n clo j ng h i m mu c h Ile s h ould incur only such costs as would entit: l c h i m l: o rel:. urn the min ibus to the plaintiff in t h e man n er it was before he seized t h e vehicl e. But as rcgc1rds the full prosec u L.i o n of this case , each pa rty is to pay own costs . i n ju st:.ir:e . con di t:.ion that t hat th e / ' .-,> ,1' ," / 1 9 94. - - :; . /~-- 0, . S L Knman ge ACTING JUDGE