STEWART MILNE GROUP LIMITED v. DUNCAN HAMISH EDWARD KERR [2009] ScotSC 112 (26 May 2009)

STEWART MILNE GROUP LIMITED v. DUNCAN HAMISH EDWARD KERR [2009] ScotSC 112 (26 May 2009)

The phrase 'any transaction or dispute of a commercial or business nature' in the commercial cause rules is sufficiently broad to include claims by a business against a customer arising from the business's commercial activities, regardless of whether the customer is a lay purchaser or consumer. The nature of the transaction, not the status of the parties, is determinative. The defender's preliminary plea to competency is therefore repelled.

Citation
[2009] ScotSC 112
Parties
Pursuer: Stewart Milne Group Limited; Defender: Duncan Hamish Edward Kerr
Jurisdiction
Scotland
Judgment Date
26 May 2009
Procedural Posture
Commercial Action (sheriff Court) / Decision on Preliminary Plea to Competency
Outcome
Defender's preliminary plea repelled; pursuer entitled to expenses of the debate.
Legal Topics
Competency of Commercial Actions, Interpretation of Commercial Cause Rules, Consumer Versus Commercial Contracts

Case Brief

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Parties

Stewart Milne Group Limited

Pursuer

Duncan Hamish Edward Kerr

Defender

Procedural Posture

Commercial Action (sheriff Court) / Decision on Preliminary Plea to Competency

  1. 1 Whether the action arises out of or is concerned with a transaction or dispute of a commercial or business nature under Chapter 40 of the Ordinary Cause Rules
  2. 2 Whether a dispute between a commercial entity and a lay purchaser can competently be raised as a commercial action

Ratio Decidendi

The phrase 'any transaction or dispute of a commercial or business nature' in the commercial cause rules is sufficiently broad to include claims by a business against a customer arising from the business's commercial activities, regardless of whether the customer is a lay purchaser or consumer. The nature of the transaction, not the status of the parties, is determinative. The defender's preliminary plea to competency is therefore repelled.

Court Disposition

Defender's preliminary plea repelled; pursuer entitled to expenses of the debate.

Orders

  • Repels the defender's first plea-in-law.
  • Finds the defender liable to the pursuers in the expenses of the diet of debate.