erick john mmari vs ms herkin builders ltd 2020 tzhccomd 1991 11 may 2020

erick john mmari vs ms herkin builders ltd 2020 tzhccomd 1991 11 may 2020

The parties' mutual extensions and conduct after the original contract expiry constituted a new implied contract, so the cause of action accrued on 15th November 2014, not 5th February 2012. The suit was filed within the six-year limitation period from the new accrual date. The preliminary objection on limitation is without merit.

Citation
erick john mmari vs ms herkin builders ltd 2020 tzhccomd 1991 11 may 2020
Parties
Plaintiff: Mr Erick John Mmari; Defendant: M/S Herkin Builders Ltd
Court
TZHCCOMD
Jurisdiction
Tanzania
Judgment Date
11 May 2020
Procedural Posture
Commercial Case / Ruling on Preliminary Objection
Outcome
Preliminary objection dismissed with costs
Legal Topics
Limitation of Actions, Breach of Contract, Extension and Renewal of Contracts, Preliminary Objection
Source Language
English
Contract Law Civil Procedure Limitation of Actions Breach of Contract Extension and Renewal of Contracts Preliminary Objection

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Parties

Mr Erick John Mmari

Plaintiff

M/S Herkin Builders Ltd

Defendant

Procedural Posture

Commercial Case / Ruling on Preliminary Objection

Legal Issues

  1. 1 Whether the suit is time-barred under the Law of Limitation Act due to the alleged accrual of cause of action on 5th February 2012
  2. 2 Whether subsequent extensions or arrangements between the parties constituted a new contract or revived the limitation period

Ratio Decidendi

The parties' mutual extensions and conduct after the original contract expiry constituted a new implied contract, so the cause of action accrued on 15th November 2014, not 5th February 2012. The suit was filed within the six-year limitation period from the new accrual date. The preliminary objection on limitation is without merit.

Court Disposition

Preliminary objection dismissed with costs

Orders

  • Preliminary objection dismissed
  • Costs awarded to Plaintiff