Lloyd's Maritime and Commercial Law Quarterly
MORE POINTS ON THE BRANDT V. LIVERPOOL CONTRACT
The Aramis
A recent decision of Evans, J., raises a number of issues concerning international sales of goods in bulk. In The Aramis,1 bills of lading (numbered 5 and 6) were issued by the defendant ship acknowledging shipment2 of two parcels of linseed expellers. The parcel represented by bill of lading No. 5 weighed 204,000 kilogrammes, that represented by bill No. 6, 255,000 kilogrammes. Both parcels formed part of a larger bulk. Each of the plaintiffs in the action had bought3 one of the parcels in question. When the ship came to discharge the parcels at Rotterdam, no goods were delivered against bill No. 5 and only 11,500 kilogrammes were delivered against No. 6.4
The plaintiffs claimed damages for non-delivery and short-delivery respectively. Both sought to establish their title to sue on the basis of Brandt v. Liverpool implied contracts,5 that is, the implied contract incorporating the terms of the bill of lading that may be held to arise6 between the carrier of the goods and their receiver upon presentation of the bill of lading and the giving of delivery. The holders of bill of lading No. 6 also brought alternative actions in contract, alleging that rights under the bill of lading had passed to them by virtue of the Bills of Lading Act 1855, and in tort. While he did not consider it necessary to decide these latter points, Evans, J., did make some interesting comments concerning the 1855 Act, and these are discussed below.
The question arose in respect of both bills whether a Brandt v. Liverpool contract could be held to exist in the absence of the payment and acceptance of freight, and in respect of bill No. 5 the further question was whether a Brandt v. Liverpool contract could be implied where no goods at all were delivered under the tendered bill. Counsel for the defendants argued7 that a contract could only be inferred from some unequivocal act, such as delivery of goods or acceptance of freight. However, having considered the judgments in Brandt v. Liverpool, Evans, J., in the present case concluded that, while the contract which was held to exist in Brandt v. Liver
1. 12 February 1987
2. Albeit that the bills were qualified by the words “weight unknown”.
3. So far as bill of lading No. 5 was concerned, it was a matter of inference that the plaintiffs holding that bill were the buyers of the parcel, since no evidence was produced at the trial to establish that fact.
4. There was insufficient evidence available to determine what had happened to the missing goods, but the most likely explanation appeared to be over-discharge at the ship’s earlier ports of call.
5. Brandt v. Liverpool, Brazil & River Plate Steam Navigation Co. Ltd. [1924] 1 K.B. 575.
6. See Leigh & Sillivan Ltd. v. Aliakmon Shipping Ltd. (The Aliakmon) [1986] A.C. 785, for a case where, on the particular facts, no such contract arose between the buyer of the goods and the carrier.
7. Relying on the decision of Staughton, J., in The Kelo
[1985] 2 Lloyd’s Rep. 85.
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