ALLEGED BREACH OF CONTRACT

Press, Volume LXXIII, Issue 22245, 9 November 1937, Page 12

ALLEGED BREACH OF CONTRACT

SALE OP WHISKY IN \ AUSTRALIA

JUDGMENT IN APPEAL TO 5 PRIVY COUNCIL tF-ttOJt 008 OWX COBUBSPOHDIMTO LONDON, October 23. Damages totalling £9305 (Australian currency), awarded to B. Davis, Ltd., spirit merchants of London, in a dispute with Tooth and Company, Ltd., brewers and merchants, Sydney, which were subsequently reduced to Is by the Full Court of the Supreme Court of New South Wales, have been restored by the Judicial Committee of the Pnvy Council. It has allowed an appeal ty B. Davis, Ltd.., of which Mr Boydie Davis, formerly of Auckland, is managing director. This brings to an end an action which has been remarkable for its protraction and heavy costs. The Privy Council has refused to increase the damages above the sum fixed in the first, instance in Australia. The main point in the dispute was an alleged breach of contract, B. Davis, Ltd., complaining that Tooth and Company' had failed to “push” the sale of Watson’s whisky for ■which they held a sole agency in New South Wales, and by which 1375 licences- were “tied” to them. , The action was begun in June, 1934. The limit of-the damages claimed under Australian law was put at £ 250,000. Mr Justice Halse Rogers was engaged for 45 days, from November until March, 1935, in hearing the dispute.' He decided that a breach of contract had been established, but that a further hearing was necessary to fix damages. These were assessed at £9305 (£7444 sterling). He gave B. Davis, Ltd., the general costs. From this judgment both parties appealed. The Full Court were unanimous in dismissing a plea by B. Davis, Ltd., to increase the damages, but there was a division of opinion regarding the cross-appeal. Mr Justice Davidson considered that it should be allowed, and that damages should be-reduced to a nominal sum of Is. Mr Justice Maxwell agreed with him. Mr Justice Stephen' however, held that the cross-appeal shpuld be - dismissed and that the damages should not be varied (from £9305).

Lord Russell, Lord Roche, and the Chief Justice of Canada, Sir Lyman Poore Duff, the Lords of Appeal, sat for 17 days on the case last July. Sir Stafford Cripps,, K.C., appeared for B. Davis, Ltd., and Sir William Jowitt for Tooth and Company; Ltd. Judgment was delivered by Lord Roche on October 21. The costs of the appeal hayg yet to be,fixed and it is not.likely.that the sum will be announced for a fortnight. It is certain that it will be substantial.