Tebe Trading (Proprietary) Limited v Mediterranean Shipping Company (Proprietary) Limited (AR947/03) [2005] ZAKZHC 17; 2006 (4) SA 495 (N) (10 November 2005)

Tebe Trading (Proprietary) Limited v Mediterranean Shipping Company (Proprietary) Limited (AR947/03) [2005] ZAKZHC 17; 2006 (4) SA 495 (N) (10 November 2005)

The court found that the appellant had locus standi, as the commercial arrangement with Laughing Waters constituted a valid contract of sale with a determinable price, and ownership and risk had passed. The defendant contracted as agent for MSC Geneva, not as principal, and thus was not liable under the contract of carriage. However, the defendant owed the appellant a duty of care to inform it of the extended transit time due to the vessel's rerouting, given the perishability of the cargo and the representations made. The defendant negligently breached this duty by failing to inform the appellant, resulting in loss. The Himalaya Clause in the bills of lading did not protect the defendant...

Citation
[2005] ZAKZHC 17
Parties
Appellant: Tebe Trading (Proprietary) Limited; Respondent: Mediterranean Shipping Company (Proprietary) Limited
Court
High Courts - Kwazulu Natal
Jurisdiction
South Africa
Judgment Date
10 November 2005
Case Number
AR947/03
Procedural Posture
Civil Appeal / Appeal From Trial Court Judgment on Separated Issues Under Rule 33(4)
Outcome
Appeal upheld. Judgment of the trial court set aside. Action remitted for decision on remaining issues. Respondent ordered to pay costs of appeal and costs of hearing of separated issues.
Judges
Levinsohn, Hurt, Swain
Legal Topics
Contract of Carriage, Himalaya Clause, Duty of Care, Negligence, Locus Standi, Shipping Documents

Case Brief

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Parties

Tebe Trading (Proprietary) Limited

Appellant

Mediterranean Shipping Company (Proprietary) Limited

Respondent

Procedural Posture

Civil Appeal / Appeal From Trial Court Judgment on Separated Issues Under Rule 33(4)

  1. 1 Did the plaintiff have locus standi to sue for loss or damage to the consignments of litchis, whether in contract or delict?
  2. 2 Did the defendant contract as principal or as agent for Mediterranean Shipping Company SA of Geneva?
  3. 3 Did the defendant owe the plaintiff a duty of care to advise of delay or change in the vessel's route, and was this duty breached?

Ratio Decidendi

The court found that the appellant had locus standi, as the commercial arrangement with Laughing Waters constituted a valid contract of sale with a determinable price, and ownership and risk had passed. The defendant contracted as agent for MSC Geneva, not as principal, and thus was not liable under the contract of carriage. However, the defendant owed the appellant a duty of care to inform it of the extended transit time due to the vessel's rerouting, given the perishability of the cargo and the representations made. The defendant negligently breached this duty by failing to inform the appellant, resulting in loss. The Himalaya Clause in the bills of lading did not protect the defendant...

Court Disposition

Appeal upheld. Judgment of the trial court set aside. Action remitted for decision on remaining issues. Respondent ordered to pay costs of appeal and costs of hearing of separated issues.

Orders

  • The appeal is upheld.
  • The judgment of the court a quo is set aside.