Marjandi Ltd v. Bon Accord Glass Ltd [1998] ScotSC 55 (15 October 2007)

Marjandi Ltd v. Bon Accord Glass Ltd [1998] ScotSC 55 (15 October 2007)

The contracts negotiated by the pursuers were not contracts for the sale or purchase of goods, but contracts for building works where ownership of materials passed by accession. The pursuers did not have continuing authority to negotiate the sale or purchase of goods on behalf of the defenders and were not commercial agents under the Regulations. Accordingly, the pursuers are not entitled to payment in lieu of notice, damages for breach, or compensation under the Regulations.

Citation
[1998] ScotSC 55
Parties
Pursuer: Marjandi Limited; Defender: Bon Accord Glass Limited
Jurisdiction
Scotland
Judgment Date
15 October 2007
Procedural Posture
Commercial Action / Judgment
Outcome
Action dismissed against defenders except for crave 1, which is reserved for further procedure.
Legal Topics
Commercial Agents Regulations, Contract Classification, Sale of Goods, Building Contracts

Case Brief

Summary, issues, holding and outcome

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Parties

Marjandi Limited

Pursuer

Bon Accord Glass Limited

Defender

Procedural Posture

Commercial Action / Judgment

  1. 1 Whether pursuers are commercial agents under Commercial Agents (Council Directive) Regulations 1993
  2. 2 Whether contracts negotiated were contracts for sale of goods
  3. 3 Whether pursuers' activities are secondary under the Regulations

Ratio Decidendi

The contracts negotiated by the pursuers were not contracts for the sale or purchase of goods, but contracts for building works where ownership of materials passed by accession. The pursuers did not have continuing authority to negotiate the sale or purchase of goods on behalf of the defenders and were not commercial agents under the Regulations. Accordingly, the pursuers are not entitled to payment in lieu of notice, damages for breach, or compensation under the Regulations.

Court Disposition

Action dismissed against defenders except for crave 1, which is reserved for further procedure.

Orders

  • Sustains defenders' 1st, 2nd, and 3rd pleas-in-law
  • Repels pursuers' 2nd to 7th pleas-in-law