AIC LTD v ITS TESTING SERVICES (UK) LTD (THE “KRITI PALM”)

[2007] Lloyd's Rep. Plus 29

COURT OF APPEAL

Before Lord Justice Buxton, Lord Justice Rix and Sir Martin Nourse

Contract – Sale of gasoline providing for independent inspection – Buyer entering into sub-sale with similar provision – Inspection company providing certificate stating “Fuel meets specification” – Doubts raised as to correctness of certificate – Inspection company standing by certificate – Buyer insisting that sub-buyer take delivery – Swiss courts subsequently holding certificate not correct – Whether inspection company in breach of contract and/or in breach of duty to buyer – Whether inspection company liable to buyer in deceit – Whether claims time-barred under Limitation Act 1980 – Whether inspection company deliberately concealed facts relevant to buyer’s right of action – Limitation Act 1980, section 32.