KESHAVLAL BROTHERS AND CO Vs. DIVANCHAND AND CO

JUDGEMENT

(1.) This is an appeal from a decree of the High Court of Bombay in its appellate jurisdiction, dated February 23, 1920, reversing a decree of a single Judge of the said Court in its original jurisdiction dated June 26, 1919.

(2.) The suit out of which the appeal arises was instituted by the appellants, as plaintiffs, against the respondents claiming over Rs. 40,000 damages for breach of a contract for the sale of steam coal. The suit was decided by the trial Judge in the plaintiffs favour. He assessed the damages at Rs. 17,508-6-5, but that decree was set aside by a Division Bench of the High Court (Macleod C. J. and Heaton J.) which allowed the appeal and dismissed the suit on the ground that in the special circumstances which existed no damage had been suffered by the plaintiffs.

(3.) The main question for determination by this Board is whether in these circumstances the appellants are entitled to the sum of Rs. 17,508-6-5 awarded to them by the trial Judge or are, as decided by the appellate Court, not entitled to recover any damages. On October 11, 1917, the appellant company and the respondent company entered into an agreement in writing in the following terms: Keshavlal Brothers & Co., Bombay, 11 October, 1917. The undersigned have this day sold to Messrs. Keshavlal Brothers & Co. quantity of coal amounting to Rs. 1,200 tons or thereabouts. Description.-Bengal steam coal, good second class. Delivery.-To be despatched to Cotton Depot, coal to be weighed and delivered at Cotton Depot, monthly 200 tons from November, 1917, to April, 1918, in equal instalments. Bate.-Rs. 17-15 say rupees seventeen and annas fifteen, per ton net. Delivery.-At Cotton Depot. Terms.--Payment on delivery in Bombay. Indent in any class to be furnished by the buyers, and the sellers agree and undertake to deliver the coal guaranteed in instalments as above from stock. (Sd.) for Divanchand & Co.