Steamship "Den of Ogil" Co., Ltd v. Caledonian Railway Co. [1902] ScotLR 40_72 (12 November 1902)

Steamship "Den of Ogil" Co., Ltd v. Caledonian Railway Co. [1902] ScotLR 40_72 (12 November 1902)

The defenders were liable for damages limited to the direct expenses incurred by the pursuers due to the delay in delivery of the piston, as the defenders had notice that the casting was urgently required for the ship and that delay would prevent the ship from sailing, but were not informed of the full extent of the special circumstances (size of ship, number of crew). Loss of profit was not recoverable; only a portion of the actual outlays (wages, coal, etc.) during the period of detention was allowed.

Citation
[1902] ScotLR 40_72
Parties
Pursuer: Steamship Den of Ogil Company, Limited; Defender: Caledonian Railway Company
Jurisdiction
Scotland
Judgment Date
12 November 1902
Procedural Posture
Civil / Appeal (reclaiming Note) From Lord Ordinary to Inner House, First Division
Outcome
interlocutor of Lord Ordinary altered; damages increased
Legal Topics
Breach of Contract, Damages, Carriage of Goods, Measure of Damages, Notice of Special Circumstances, Consequential Damages
Contract Law Commercial Law Breach of Contract Damages Carriage of Goods Measure of Damages Notice of Special Circumstances Consequential Damages

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Parties

Steamship Den of Ogil Company, Limited

Pursuer

Caledonian Railway Company

Defender

Procedural Posture

Civil / Appeal (reclaiming Note) From Lord Ordinary to Inner House, First Division

Legal Issues

  1. 1 What is the proper measure of damages for delay in delivery of goods by a carrier where special circumstances are partially known to the carrier?
  2. 2 Are the pursuers entitled to damages for loss of profit and all consequential losses, or only to direct expenses incurred due to the delay?

Ratio Decidendi

The defenders were liable for damages limited to the direct expenses incurred by the pursuers due to the delay in delivery of the piston, as the defenders had notice that the casting was urgently required for the ship and that delay would prevent the ship from sailing, but were not informed of the full extent of the special circumstances (size of ship, number of crew). Loss of profit was not recoverable; only a portion of the actual outlays (wages, coal, etc.) during the period of detention was allowed.

Court Disposition

interlocutor of Lord Ordinary altered; damages increased

Orders

  • Defenders to pay pursuers £50 in damages
  • No expenses due to or by either party