Dowling v. James Methven, Sons, & Co., Ltd [1921] ScotLR 7 (20 July 1921)

Dowling v. James Methven, Sons, & Co., Ltd [1921] ScotLR 7 (20 July 1921)

The principal's right to terminate the agency for failure to reach stipulated turnover was conditional on the principal supplying the agent with sufficient goods. The defenders failed to supply goods, causing the pursuer's failure to reach turnover, and thus were not entitled to terminate the agency. Damages were awarded for unjustified termination.

Citation
[1921] ScotLR 7
Parties
Pursuer: James Thompson Dowling; Defenders: James Methven, Sons, & Company, Limited
Jurisdiction
Scotland
Judgment Date
20 July 1921
Procedural Posture
Civil Appeal / Final Judgment (inner House, Court of Session)
Outcome
Appeal sustained; interlocutors recalled; damages awarded to pursuer.
Legal Topics
Termination of Agency, Implied Contractual Conditions, Principal's Obligations, Damages for Breach, Interpretation of 'turnover'
Contract Law Agency Law Termination of Agency Implied Contractual Conditions Principal's Obligations Damages for Breach Interpretation of 'turnover'

Case Brief

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Parties

James Thompson Dowling

Pursuer

James Methven, Sons, & Company, Limited

Defenders

Procedural Posture

Civil Appeal / Final Judgment (inner House, Court of Session)

Legal Issues

  1. 1 Whether the principal was entitled to terminate the agency for failure to reach stipulated turnover when the failure was due to the principal's own failure to supply goods
  2. 2 Interpretation of 'turnover' in the contract
  3. 3 Whether damages are payable for unjustified termination

Ratio Decidendi

The principal's right to terminate the agency for failure to reach stipulated turnover was conditional on the principal supplying the agent with sufficient goods. The defenders failed to supply goods, causing the pursuer's failure to reach turnover, and thus were not entitled to terminate the agency. Damages were awarded for unjustified termination.

Court Disposition

Appeal sustained; interlocutors recalled; damages awarded to pursuer.

Orders

  • Defenders to pay pursuer £250 sterling in full settlement of the action