19909505 TZHC Dar es Salaam
The plaintiff wrongfully terminated the hire agreement and impounded the vessels without giving the required notice, contrary to the agreement. As a result, the plaintiff is not entitled to claim unpaid rent beyond the amount admitted by the defendant. The defendant is entitled to damages for loss of profits and...
Source-derived case information.
- Citation
- 19909505 TZHC Dar es Salaam
- Parties
- Plaintiff: Dar es Salaam Development Corporation; Defendant: Monfish Tanzania Limited
- Court
- TZHC
- Jurisdiction
- Tanzania
- Judgment Date
- 8 August 1979
- Procedural Posture
- Civil / Judgment
- Outcome
- Plaintiff's suit dismissed except for admitted sum; counterclaim succeeds.
- Legal Topics
- Breach of Contract, Wrongful Termination, Counterclaim, Damages, Set Off
- Source Language
- en
Source-derived case record
Summary, issues, holding and outcome
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Parties
Dar es Salaam Development Corporation
Plaintiff
Monfish Tanzania Limited
Defendant
Procedural Posture
Civil / Judgment
Legal Issues
- 1 Whether the defendant is liable for unpaid rent under the vessel hire agreement
- 2 Whether the plaintiff wrongfully terminated the agreement and impounded the vessels without notice
- 3 Whether the defendant is entitled to damages for loss of profits and rehabilitation costs as counterclaim
Ratio Decidendi
The plaintiff wrongfully terminated the hire agreement and impounded the vessels without giving the required notice, contrary to the agreement. As a result, the plaintiff is not entitled to claim unpaid rent beyond the amount admitted by the defendant. The defendant is entitled to damages for loss of profits and rehabilitation costs as counterclaim, set off by the admitted rent owed.
Court Disposition
Plaintiff's suit dismissed except for admitted sum; counterclaim succeeds.
Orders
- Judgment for plaintiff for shs. 392,710/=
- Judgment for defendant on counterclaim for shs. 2,056,418/60 (loss of profits and rehabilitation costs)
Full Case Text
Judgment text and source record
1 paragraphs
\ \ P:.ff. . .-: \J,r ...;: ,,_ IlT TIIE lttGIT COURT ~bAI-IZMTIA AT . . ,,. 1.- ~;. D/l,R ES SALfl.,J¥L . CIVIL. CASE no. 22· OF I986 Dlill ES SALLJ~.M DEVELOPMENT CORi,='ORATIOH •• , •• APPELLAH'J; vorsus M0.1'\FIS:I Tll.NZAIJIA LIMITED ••••• , •• , ........ ,DEil'nm.tiJTT JUDGMErTT ,i I ,;, ·1, :f'[MIDO I J, In this case the plaintiff sUGS tho defendant for shs. 1,220,090/10, interest on this sum and costs of the sui~ Th.,:, ;:ihs-c 1, 220,090/10 is ola.itned as rant for vessels hired to the clefedant by the plaintiff at a.gre'ed rent's por mont::.i. The vessels in question wore fishing vessels.and they were nam~d MF'U Mzalendo and ·r.-rru Tuma.ird.. 'tni tially there hrul been a third vessl, MFtJ Mgeni, but this latter vessel 1t~s dropped from the deal for being scrap, The agreeraont for the lure of t:10 vessels was entered into on 8th August 1979, vide ;ettl1't' ~f ,No,. 29002/;t rlr·~-c' 8t>. At.:1«ust~ "l~"'q (Ezli.P,I) 4 It (o.) MF'O' Mzalendo -:- shs• 25,000/"'.' PtL~ for the first 3 months. Sbs. 30,000/= p.m. for tho n~t 21 months. (b) MIJ'U Tumaini - Sha. 22,000/"!' p.m. from :the month in wll.ioh it is l-ied, 11~ovi~d that the vessels shall be deemed to have been launc~od. at·the end of the 3rd month if it is not aDtually lau11.ob.~d before that date~ n The vessels we~e to be hired for a period of 24 mont:is and it is tho p)Ai.11-'ui-:■ tt•s oase that. while the dofond.r'11'.i. paid rent (amounting to Shs. 164,140/15) ~or MiiU Mzalendo from 2018/7 to 23/6/1980 :i. t failed to Pt\Y' rent for the rarnaining period for the vessel, amom1ting to shs. 135,859/25. It is ·n:l.so ploj.ntift•s oase tha.t thC:3 defendant did not p<\Y rent for 'Miro ~oini :trom 1st April, 1980, to 15th Marcb. 1982, toJual for both Mzalendo Md 'l'umaini ;. ooming up to 1,220,090/10, the amount claimed in the plaint.. ~laintiff oounteds that the failure on the pert of the defendant to pqy. tho ,above . . Dlllount oonst1 tutes a, breacp. of the agTeement on the def'endant 's ·p · , hence the prey-ere in the suit mentioned above. . , 1.the defend..'.:utt rs defence to the suit consists of two parts,- •\ The first pa.rt is a denial of the plaintiff is claim, except for shs.392, 710/':" Vhioh is admitted to be owing. I enter judgment for tho plaintiff fQr this amount which the def end.ant admits. Thoi1. the def ondant contends that the '18esele were not operationo.1 for the whole period of the a.greeoent o.n:i st~tes th.at he WM not lin.ble to pey rent for the period for.which the vessele were .wt ~ed by th~ def'end.Mtl!I bocauee ei tl1EU' o:rfboth were then not seawortl\Y rmd/or meeha.nioaJ.ly·defective. ..-- _,..., 2 The seco11d pa.rt of tb.G def.endan:J.; r8 r1,.,-;:,~::::.:- ... v11SJ.sts .of n, counter - ola.:Ln.., 'llie clofend.e.nt oontencls thn:b tho p_lo.i;.1tiff seized ·hlle vessels and/or teminc..ted the hir• · ~"'l'oomont 'Wi tb.oU:t eivinF::; meo months' 11otioo in n.d.vo.nco and this resul-~ed in tho defonclell:li i;.1cu.rririg loss of profits ~OI.L'1~i.11g to shs,. 1256,418/60. This nmo1.-'!;.1J.; is olainod therefore by wey of n. counter--claim. Tho defenclc.1nt hr..s ell so olcimod shs. 800; 000/="being ~e!iobili::ta:'cion costs by wey of d.mnngcs su:i:fered ty tiie dofendru:l.ts for ·w·ro11t,r,-ful sc_izu:re o:f JGlic Tbssols . Gli.d/o-:r: lll'l.lnm?ul torminatiol1 of -the agreemen-t," It 1·s not diapu·~od between tho P'1J."tios that tho Vessels wero not sea. _,wortby when the clofonclD..nt agrooc. to hiro them. The dofonclc.1.nt undertook to rohibilitn.te ·tho.:n. and rael!le them operll-tionai after hiring them• · _l;t was also Dt:,"Tccd thr:'i; tcmino.ti on of· tli.o l.tlre---~ooment · by ei-ther of the pa.rtios was to be ma,clo upon a notice o:Z woo 1:1011~1ihs being given, Joseph Con~on (P.·lI) testifiocl ·i;hn,t w!J.011 tho dcfcnck..nt :?ro.locl to oontinuo with pa.yments of rent 1ili.o plaintiff suspond.od tho ngrcomcnt n.ncl impow1Clod tho vessels.This wee before t::..o por:i.bcl of tho O{.'Toemont ha.cl rtU1 throue:1 IT;:, said thoy( ~10 vosslos) were never :ooturnocl to tho clofcndn.nt again·. :::Io c'.(,--rood n.lso that th"' "!11i=ip01-,, i.--apolUldi:ng of tho vosseli 1 wns wi t11out o:.v prior 11"·' • for tho clof011dn.11·i;s +.0.-.·1;:i_ fi_r.-~ ~:•-, ~ -!- .,.,; · _.;,.,_.;OUl1.dvc:!. trhe11 ....., .....J. rchn.bili tatoc.l tb.e;-11 (~t a cost of shs. OC)OtOOO/=) m1cl uorc about 501/~ operationa.i~ lie so.id tlioy fro.led to paJr reir'.; during -'Ii.he po:riod -~...Jy· were r.::-~ o:JorcJ:bionru. onl;y~ He oontoncled tha.t tJ.1.e a.roo:,1e11t carao to ro1 encl b;,,- t.110 ..t.C-~ of 1 tlio plointiffs of terr:rl.nating tho agrocacn·~ wit:1out eiving notice, :contrary .to t'J.eir DgrOOr.J.ei'lJG. I nm satisfied r.,ysolf, 1:'.J.1cl I fi'ncl ,tllc..t the act of tl1e pl2.i11tiff of suspending the- 0t:,Tce.:ient and irapounding t!.10 vossols ar1 " 1.m't'J:'a fo n. termination of that '""O.., • •,s such ,.,.,,..,..Oei:lert1:.•· I tonaination we.a 1ri t;.iout rozy notice I hold that it m:~s wrongful. It is truo that the defe11c'l. ,..11t owed rant to tho plcintiff as per tho o.dmissio11 he ~1.r..s L12Lle, but whe..t the plcintil'f should hn.ve dona wcs to sue :fo:r ronJa and not to wronefully temitlD. .to -the nerooi.1e11~i;. As things s te.nd now, the plaintiff cannot bo llcK-1.rd to cor.1plain beoc..usc what he conpl~.ins about roscol ts from his own wron[,.rfu.1. act •. The olc..ii,1 for rent whic~.1 J1c..s boon nroo ;.ioro tb.oref ore, save for that which tllo c.1efo~1.:.lc1..11Jc n.ct-ai.t., p·ru111ot s•.1..oooed. I!\trtl-,_er, .• I uould sey t:mt tho pla.ln"i:iiff gn.in:ecl unc.luo c.clvm1tu.{;'0 ,...,.",., .,, vessels. It hr..s boon noted tb.D.t they wore Tu.'1.•,11::m.1-rortlly when ·bhoy 110:rc hiroc.l oui to tho dofenc1.1nt. · Jt r.1ey be inferrell ·hllc..t tho plaintiff picked on the ezouse . of rt.011-pc;yr.-ient 0f rent to be11efi t mtl'a:i.rly by tcld.11c,· bor-1r +.he VGssels ofter their robr.bilirotion. The clof encl.nnt was carrying on business ni t:1 tho vessel:s •.'iyseizi11g then r..no. l'l'i thout ·notice, tho plaintiff aotta!l,y ·cni.1.Sod hit1 ·to suffer loss of a.11ticipt>.ted profi~GS. I grc.nt thoref.ore ·tho oln.i::1 of shs. 1,2561 418/60 rac.cle M. v.. oounter-clror:1 (for loss of profits):1 . ..) 3 Seoonclly t!1c clef encl.ant -incu.rroc~. of oot.1.rse~ costs in reh0bili tr~:'liing t.1J.0 vessels. 1Ie hc..s oowitor-clb.iaod sl.wt 860 1 000/""'." for t!:is,. I find it n. ret'..sonn.ble obir.1 o..ncl ll.Wa.rd it n.s chd.1.1ec~ • It has c.l.re n,c]J,· be 011 sh own thr::'i; -'ul.:.G c1e:fon'.1.'1.L""l t b.'.'.I:..~ nc:Lui ttec1. th.at he owos rent CD.OU11ti1-ig to shs., 392~ 710/=; D.:o preys tho.t this c;·.10U11Jli_ be set,:.Q:ff ~·o..:inst the c.mounts ootutter-<Jldr.1ecl c.,s loss of prof::. ts o..nc1 for r0hn.b:tli tP..tion. I 2<_,"Teo the oiaO'j;.1-'i; of shs,. 3921 710/.., is -'i;o i:>o se-'i;~ff qgcinst tho totn.l runoun-'i; of sgs., 2,.056,418/60 so -'i;hat the c.ward in ·f20 oou.nfor--~:,..:,in is to be shs. 1·663, 708/6lJ, -In -'cJ.10 fi:n..".l result then, -'i;he l)lci;.r'i;iff 1 o sui t 9 sc.,ve for rlis,. 392, 710/=. is clismissecl, with cos·~s c.nll the cot.mt:::r-<Jl:ua ::ruooeds • . .t1 I' , I yf I . • '- - L.A.A. :·, Dlill ES SilLMJ\I 5T.':I Mfl.Y; 1990, FOR IF.LIE PIJ.IHTD.:IF "'." RhIT.:,"'.AT""J.!i~/MDUYA ]"Oil •r.:..W: DEIJ1EtIDll.l1T - 2'..::m£.TITLl..