P.L. RANGIAH CHETTIAR Vs. PARTHASARATHY IYENGAR

JUDGEMENT

(1.) IN this second appeal preferred by the defendant, the only question which arises for decision is whether a contract to sell goods could be assigned by the seller so as to enable the assignee to sue for damages for breach of contract on tender of performance by him. Both the Courts held that the goods were tendered within the due date by the assignee and that the defendant committed breach in not accepting delivery and in not paying the price, and that he was therefore liable for damages. They overruled the legal objection.

(2.) FOR the appellant reliance is placed on the general proposition of law that a promisor cannot assign his liabilities under a contract and that a promisee cannot be compelled by the promisor or by a third party to accept anyone but the pro -misor as the person liable to the promisee. Some of the leading English cases on the subject were cited in this connection, viz., British Waggon Co. v. Lea, (1879) 5 Q.B.D. 149 Tolhurst v. Associated Portland Cement Manufacturers (1900), Associated Portland Cement Manufacturers (1900) v. Tolhurst, (1902) 2 K.B. 660 affirmed in, 1903 A.C. 414, Mokes v. Doncaster Amalgamated Collieries, Ltd.1940 A.C. 1014 Dairies v. Collins, 1945 All.E.R. 247 as explaining the reason for the rule and as specifying the exceptions ingrafted in it. Reference was also made to J. H. Tod v. Lakshmidas Puruskotamdas, I.L.R. (1892) Bom. 441 and to Jaffer Meher Ali v. Budge -Budge Jute Mills, Co.I.L.R. (1906) Cal. 702 29th July, 1946.

(3.) THERE is this note to be found in Pollock and Mulla's Contract Act (7th edition) at page 249, that it was yet to be decided whether the right of the seller to call for payment of price on delivery of goods is an actionable claim and as such assignable Mr. Govindarajachari the learned Advocate for the respondent was able to refer to the decision in Dayabhai Dipchand v. Dulabhram Dayaram, (1871) 8 Bom.H.C.R. (A.C.J.) 133 of Westropp, C.J., and another Judge as upholding an assignment of his shares by a seller of his rights under a contract.