Imperial Group (Pty) Ltd. v NCS Resins (Pty) Ltd. (197/06)
Imperial Group (Pty) Ltd. v NCS Resins (Pty) Ltd. (197/06) [2007] ZASCA 13; [2007] SCA 13 (RSA) ; [2007] 2 All SA 483 (SCA) (20 March 2007)
The Supreme Court of Appeal held that clause 9.6 of the contract expressly imposes liability on Imperial for damage caused by breach of contract, including fire, unless Imperial proves the damage was caused by NCS's fault. Clause 11.6, which obliges NCS to insure its stock against fire and natural disasters, does not qualify or override clause 9.6. The obligation to insure does not, in this context, transfer the risk of fire to NCS, nor does it preclude NCS's insurers from recovering by subrogation against Imperial. The contract's structure and language do not support Imperial's contention th…
Source excerpt
- Contractual Risk Allocation
- Interpretation Of Contracts
- Warehousing Agreements
- Insurance Obligations