GORDHANDAS NATHALAL Vs. GORIO LIMITED

JUDGEMENT

(1.) The plaintiff filed this suit to recover from the defendants a sum of Rs. 12,000 and odd on the ground that the defendants failed to deliver the goods which the plaintiff had contracted to purchase from them. He alleges that he paid the customs duty and clearing and other charges to the defendants on the basis that the goods of which the shipping documents were tendered to him were of the contract quality. After these charges were paid it was found by the plaintiff that the goods were not of the contract quality. The defendants contend, inter alia, that they were not personally liable to the plaintiff as they were acting only as agents for an Italian firm as mentioned in para. 1; of their points of defence. It appears that thereafter the defendants applied for the issue of a commission to examine certain witnesses to determine whether the defendants were only agents, or, in the alternative, that they were not liable to the plaintiff in the transactions as alleged in their points of defence. On February 17, 1933, Blackwell J., by consent, directed the following two issues to be tried as preliminary issues: (1) Whether the defendants were acting as agents in respect of the contracts in suit? and (2) whether the defendants are liable to be sued in respect of the contracts in suit and or are personally liable thereunder?

(2.) I have, therefore, to determine these two issues.

(3.) It appears that the plaintiff passed in favour of the defendants two documents, which are called indents, on February 20 a March, 4, 1932, respectively. These indents are signed by the plaintiff and are addressed to " Messrs. Gorio Ltd. Bombay, Karachi, Calcutta & Milano". The material terms of these documents are the following: We the undersigned do hereby agree to purchase from Messrs. Gorio Ltd. of Bombay the undermentioned goods shipped, being shipped, or to be shipped to Bombay by steamers on the conditions specified on the reverse.