PAPER SALES LTD Vs. CHOKHANI BROS

JUDGEMENT

(1.) This is an appeal from two judgments of Mr.. Justice Chagla dated March 15, 1944, and November 10, 1944, by which he ordered the appellants to pay to the respondents Rs. 2,77,000 as damages for breach of contract.

(2.) The fact that there was a contract whereby the appellants agreed to sell to the respondents one hundred tons of special featherweight bond paper, more particularly described in exhibit E, which is a letter dated July 10/15, 1942, is not now in dispute. Nor is it disputed that the appellants are in breach of that contract. The controversy is directed to the date of the breach and to the quantum of damages, if any. Mr. Colt-man for the appellants admits with considerable force and logic that in order to determine that controversy it is essential to start at the beginning and to ascertain the terms of the contract. Unfortunately the position in this regard has become confused by the course which the proceedings have taken which necessitated an amendment by the respondents of their plaint after the hearing of the action had commenced and by a mistake in the respondents pleadings which even at this late stage still persists. It is Mr. Coltman's submission that even after the amendment the contract and the extensions of time as pleaded have not been proved by the respondents. It is accordingly necessary to examine the pleadings in order to ascertain how the matter stands.

(3.) The plaint, as it originally stood, pleaded the contract in these terms: As a result of the said negotiations the defendants agreed to sell to the plaintiffs and the plaintiffs agreed to purchase from the defendants on or about the 17 July 1942 100 tons of special featherweight bond 40 gms. per sq. mtr, at the rate of 12 annas per lb. nett f.o.r. Bombay, quality as per sample attached with the said letter dated the 27 June 1942, delivery of the goods to be effected at the earliest possible date without any binding of any specific period. Hereto annexed collectively marked Exhibit A are copies of the letter dated 27 June 1942 addressed to the plaintiffs by the said International General United Trading Company and the letters dated the 1015 July ,1942 and 17 July 1942 exchanged between the plaintiffs and the defendants recording the terms and conditions of the said contract. The plaintiffs also paid to the defendants as agreed a sum of Rs. 15,000 by way of deposit against the said contract.