Wakilii

Copyline Ltd v Rapid Shipping & Freight (U) Ltd (High Court Civil Suit No. 314 of 2008)

High Court · [2008] UGCOMMC 62 · 2008 Preliminary Objection Dismissed AI-generated summary ↓ Download Pin to watchlist Add to matter
Jurisdiction
Uganda
Case Type
Preliminary objection raised by defendant that plaintiff has no cause of action based on documents received at scheduling conference
Decision
Matter to proceed to trial on the merits

Observed later treatment

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Holding

The court held that the pleadings disclosed a cause of action against the defendant and that the preliminary objection must fail. The issue whether there was a contract between the plaintiff and defendant distinct from the Bill of Lading issued by Rapid Freight International LLC could not be properly adjudicated upon on the pleadings and exhibited documents alone without hearing evidence. The Bill of Lading named Mombasa as the point of discharge but did not specify a place of delivery, while Busia appeared only on the receipt issued by the defendant. The preliminary objection was dismissed with costs to the plaintiff.

Outcome

Matter to proceed to trial on the merits

Facts

The plaintiff, Copyline Ltd, filed suit against Rapid Shipping & Freight (U) Ltd for breach of contract to clear the plaintiff's goods at Mombasa port, transport and deliver them to Busia entry border point. The plaintiff paid US$2,160 to the defendant and received receipt exhibit P1. At the scheduling conference, two documents were received as exhibits by consent: receipt P1 issued by the defendant, and Combined Transport Bill of Lading P2 issued by Rapid Freight International LLC. The Bill of Lading named Rapid Freight International LLC as shipper, Copyline Ltd as consignee, and the defendant as notifying party and delivery agent. Port of discharge was shown as Mombasa. The defendant raised a preliminary objection that the plaintiff had no cause of action because the defendant was merely an agent of a disclosed principal (Rapid Freight International LLC) who issued the Bill of Lading.

Issues

  1. Whether the plaintiff's plaint discloses a cause of action against the defendant
  2. Whether the defendant contracted with the plaintiff as principal or merely acted as agent of a disclosed principal (Rapid Freight International LLC)
  3. Whether the Bill of Lading constitutes the only contract of carriage or whether there was a separate contract for clearance and transport from Mombasa to Busia

Orders

  • Preliminary objection dismissed.
  • Costs awarded to the plaintiff.

Rules and key headnotes

Civil Procedure — Preliminary Objections — Disclosure of Cause of Action — Test
A plaint discloses a cause of action where it shows that the plaintiff enjoyed a right, that the right has been violated, and that the defendant is liable. The test requires three essential elements as established in Auto Garage v Motokov.
Contract Law — Agency — Disclosed Principal — Contract of Carriage — Bill of Lading
Where an agent makes a contract on behalf of a disclosed principal, the contract is that of the principal not that of the agent, and prima facie at common law the only person who can sue or be sued is the principal. However, the existence of agency and the scope of the agent's authority are questions of fact that may require evidence.
Commercial Law — Carriage of Goods — Bill of Lading — Multiple Contracts — Place of Delivery
Where a Bill of Lading names only the port of discharge but does not specify a place of delivery, and a separate receipt issued by a party names a different place of delivery, the question whether there are two separate contracts or a single contract cannot be determined on the pleadings alone without hearing evidence.
Civil Procedure — Preliminary Objections — Premature Determination of Factual Issues
A preliminary objection on the ground that a plaint discloses no cause of action must be determined on the pleadings and any documents admitted by consent. Where the determination of the objection requires resolution of disputed factual issues, the objection is premature and must fail, leaving the issues to be determined after hearing evidence.

Legislation cited (2)

Cases cited (5)

  • Auto Garage & Others v Motokov (No 3) (1971) EA 514
  • Kenfreight (U) Ltd v Leather Industries (U) Ltd (High Court Civil Suit No. 119 of 2000)
  • Pheneas Agaba v Swift Freight (High Court Civil Suit No. 1000 of 1999)
  • Equinox Global Trading v Panalpina HCCS No. 570 of 1999
  • Montgomerie v United Kingdom Mutual Steamship Association (1891) 1 QB 370

Full judgment

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Copyline Ltd v Rapid Shipping & Freight (U) Ltd (High Court Civil Suit No. 314 of 2008) [2008] UGCommC 62 (25 September 2008)
Source: this page presents Wakilii’s issue analysis and metadata for a publicly reported Ugandan judgment. Any AI-generated summary is marked as such. Judgment text is sourced from the Uganda Legal Information Institute (ulii.org). Wakilii is not affiliated with ULII.