Leggat Brothers v. Moss' Empires, Ltd, and Another [1907] ScotLR 67 (05 November 1907)

Leggat Brothers v. Moss' Empires, Ltd, and Another [1907] ScotLR 67 (05 November 1907)

At the time the arrestments were laid on, the debt had already been paid by delivery and acceptance of a cheque, which was subsequently honoured. There was therefore nothing in the hands of the arrestee capable of being attached, rendering the arrestments inept and jurisdiction not established.

Source-derived case information.

Citation
[1907] ScotLR 67
Parties
Pursuer: Leggat Brothers; Arrestee/defender: Moss' Empires, Limited; Principal Debtor/defender: George Gray
Jurisdiction
Scotland
Judgment Date
05 November 1907
Procedural Posture
Action of Furthcoming / Inner House, First Division, Reclaiming Motion (appeal) Against Lord Ordinary's Interlocutor
Outcome
Reclaiming motion refused; interlocutor of Lord Ordinary adhered to; defenders assoilzied (absolved) from conclusions of the summons; expenses awarded to defender Gray.
Legal Topics
Arrestment Ad Fundandam Jurisdictionem, Payment by Cheque, Jurisdiction Over Foreign Debtor, Validity of Arrestment, Cash Equivalence of Cheque
Civil Procedure Commercial Law Arrestment Ad Fundandam Jurisdictionem Payment by Cheque Jurisdiction Over Foreign Debtor Validity of Arrestment Cash Equivalence of Cheque

Source-derived case record

Summary, issues, holding and outcome

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Parties

Leggat Brothers

Pursuer

Moss' Empires, Limited

Arrestee/defender

George Gray

Principal Debtor/defender

Procedural Posture

Action of Furthcoming / Inner House, First Division, Reclaiming Motion (appeal) Against Lord Ordinary's Interlocutor

Legal Issues

  1. 1 Whether arrestment ad fundandam jurisdictionem was valid where a cheque had been given but not yet cashed
  2. 2 Whether acceptance of a cheque constitutes payment extinguishing the debt for purposes of arrestment

Ratio Decidendi

At the time the arrestments were laid on, the debt had already been paid by delivery and acceptance of a cheque, which was subsequently honoured. There was therefore nothing in the hands of the arrestee capable of being attached, rendering the arrestments inept and jurisdiction not established.

Court Disposition

Reclaiming motion refused; interlocutor of Lord Ordinary adhered to; defenders assoilzied (absolved) from conclusions of the summons; expenses awarded to defender Gray.

Orders

  • Court adhered to Lord Ordinary's interlocutor granting absolvitor to defenders.
  • Defender Gray found entitled to expenses against pursuers.