^lUBRAHYO/ ^ 1 ir^ ^ i5 i ^'■^ ^ ^(SOJIWDJO'^ ^ii/OJIlVDJO't^ ^^ONVSOV^ ae ■^/iiUAJNaaw^ ^OFCAUFOft^ i ^OFCALIfOft^ :5 .—'I I' i;;' 5i\EUNIVERi//i ^ ^lOSANaU^^ '^/SJaAJNft-31^^ ^lOSANCEL^f^ ^fiUOKVSOV^ ^^tUBHAHY<3^ ^tUBHAftY^?/. ^.^ojiivDJO^ ^^Hmm-i'ii'^ ^•lOSANCElfj-^ ^ v^ ^OFCAUFO% ^OFCAUFOfti^ A\\EUfJIVERVA vviosmEifj-^. o _ ^^V\E UNIVERiy^ ^lOSANCEL^;^ '^ MllBRARYQr^ \ , o %il3AINn-3UV^ ^lUBRARYO/ '^:lOSANCElfj)> n=<^ ^/5jiaAiNn-3v^^ ^.OFCAllFOft(^ ^.OF-CAIIFO/?^ .^WEUMIVER% <0r^ ^lUBRATO^ )/?^ ^OFCAllFOff;(^ ^WEUNIVERr/A iO^ '^.i/OJIlVJJO^ o %aaAiNn3\^^ s;^lllBRARYQ< ^:J^vllBRARYar^ ^^OJIWDJO^^ ^.^OJIIVJJO^ ameunivers-//. , — Special Conditions Fixtures Timber Covenants for Title Section 5 — Sale by Auction in Lots 235 236 237 238 238 239 240-241 241-243 ... 241 241-242 242 242-243 CHAPTER II. Proof and Investigation of Vendor's Title Section 1 — Vendor's Obligation in General As to Title to be shown Length of Title Proof of Title Title under Statute of Limitations 244-272 244-247 .. 244 .. 245 .. 246 .. 247 247-: 247 Section 2 — Abstract of Title Definition Root of Title Documents to be Abstracted Liability for Non-disclosure Registered Land Expenses of Making and Delivering Abstracts ... Expenses of Production of Deeds, etc. 252 Section 5— Proof of Title ... ... ... 253 Abstracted Documents Lost Documents Acknowledgments Private Acts of Parliament Admittance Annuities Appointmenls Deeds executed by Attorney Awards Bankruptcy ... Birth 253 247 -249 249 250 250 251 -253 •259 253 253 253 254 254 254 254 254 255 255 255 XVI TABLE OF CONTENTS. Chapter II., Section 3 — Continued. Covenants ... Custom Death Disclaimer Enrolment Estate Duty ... Identity of Property ... Intestacy Land Tax Leases Legacies Lunacy Marriage Orders and Proceedings of Courts Portions Possessory Title Recited Facts Registration Rent Seisin Succession Duty Wills Section J, — Investigation of and Requisitions on Title Generally Examination of Documents of Title . Requisitions and Inquiries Waiver of Objections to Title ... Section 5 — Searches and Inquiries ... Necessity for Searches Usual Searches Writs and Orders Lis Pendens Annuities Bankruptcy ... Deeds of Arrangement Land Charges Registration under Land Transfer Act Middlesex and Yorkshire Registries .. Court Rolls ... Disentailing Assurances Acknowledgment of Married Women .. Official Searches Inquiries as to Tenancies ... PAGE .. 255 .. 255 .. 256 .. 256 .. 256 .. 256 .. 256 .. 256 .. 257 .. 257 .. 257 .. 257 .. 257 .. 257 .. 257 .. 257 .. 258 .. 258 .. 258 ,. 258 ,. 258 258-259 259-262 . 259 . 259 . 260 261-262 262-266 . 262 . 262 262-263 . 263 . 263 . 264 . 264 . 264 3 265 . 265 . 265 . 265 . 265 . 266 . 26a TABLE OF CONTEXTS. X\ 11 Chai'TKR II. — Continued. ' pagu Section 6— Registration of Titit- ... ... 266-272 Registration ... ... ... 266 Compulsory Registration ... 266-267 Effect of Omission to Register ... 267 Voluntary Registration ... ... 267 Freehold' Land ... ... ... 268 Title which may be Registered ... 268 Leasehold Land ... ... ... 269 The Certificate ... ... 269-270 The Register ... ... ... 270 Evidence of 'i'itle ... ... ... 270 Transfers ... ... ... ... 270 of Freeholds ... 270-271 of Leaseholds ... ... 271 Charges and Mortgages .. 271-272 Cautions ... ... ... ... 272 Adverse Possession ... ... ... 272 CHAPTER III. Effects of the Contract ... ... ... 273-305 Section 1 — Rights and Obligations of Parties in respect of the Property Sold ^. ... ... 273-280 Ownership ... ... ... 273 Possession ... ... ... ... 274 Maintenance of Pro|)erty ... 274-275 Incidence of Risk ... ... 275-276 Insurance Money ... ... 276-277 Rents and Profits ... ... 277-279 Outgoings ... ... ... ... 279 Interest ... ... ... 279-280 Lien ... ... ... ... 280 Section ^--.^ssignment ... ... ... 281-291 xVssignment of the Property Sold 281-282 By the Vendor ... 281-282 By the Purchaser ... 282 Assignment of Benefit of Contract 282-283 Effect of Death of Vendor ... 283-584 Purchaser 284-285 Bankruptcy of Vendor 286-287 Purchaser 287-288 Winding-up of Company 288-290 Writs of Execution ... 290 Lunacy ... ... ... 291 B XVUl TABLE OF CONTENTS . Chapter III. — Continued. page Section 3 — Determination of Rights of Parties — Vendor and Purchaser Summons ... 291-294 Vendor and Purchaser Summons 291-292 Scope of Jurisdiction ... ... 292 Questions determinable on Summons 293-294 Consequential Relief ... ... 294 Section J, — Remedies for Breaches of Uncompleted Contract ... ... ... ... 295-305 Rescission by Vendor ... ... 295 Forfeiture of Deposit and Re-sale bv Vendor ... ... ..". 295 Recovery of Deposit by Purchaser ... 295 Repudiation by Purchaser ... ... 296 Damages ... ... .:. ... 297 Specific Performance ... 297-304 Specific Performance with Compensa- tion ... ... 304-305 CHAPTER IV. Completion and Conveyance ... ... ... 306-331 Section 1 — Preparation and Form of Conveyance 306-309 Preparation ... ... ... 306 Form of Conveyance ... ... 306 Sale of Incumbered Land ... ... 307 Discharge of Incumbrances on Sale by Payment into Court ... ... 307 Parties to Convey ... ... 307-308 Parties to whom Conveyance is made 308-309 Section 2 — Form and Contents of Deed of Conveyance 309-322 (i.) Conveyance of Freeholds ... 309-319 Form and Contents of Deed ... ... 309 Recitals ... ... ... 309-310 Consideration ... ... ... 310 Operative Words ... ... ... 311 Parcels ... ... ... ... 311 , General Words ... ... 312-314 Exceptions and Reservations ... ... 314 Habendum ... ... ... ... 315 Covenants for Title ... ... 315-319 (ii.) Assurance of Copyholds ... 319-321 Mode of Assurance ... ... 319-320 Covenants for Title ... ... ... 321 TABLE OF CONTENTS. xix Chacter IV., Section 2 — Continued. P.AGE (ill.) .A^ssurance of Leaseholds 321-322 Mode of .Assurance ... ... 321 Recitals ... 321 Parcels ... 321 Covenants for Title ... 321-322 Covenants by Purchaser ... 322 Sale in Lots ... ... 322 Section S — Completion 322-326 Execution of Conveyance 322-323 Payment of Purchase-money and Receipt 323-326 Adjustment of .Accounts ... 326 Section 4 — Stamps 326-327 Rates of Stamp Duty ... 326 Meaning of Conveyance on Sale ... 327 Conveyance of Separate Parcels bv Different Deeds ... ... 327 Conveyance to Sub-Purchaser ... 327 Section 5 — Registration, Enrolment and Notices 327-328 Registration ... ... 327 Enrolment ... ... 328 Notices ... 328 Section 6 — Rectification and Restitution 328-329 Rectification of Conveyance Restitution ... ... 328 328-329 Section 7 — Rights and Obligations of Parties as to Covenants '. 329-331 Covenants running with the Land 329-330 Injunction against Breach ... ... 330 Application of Rule in Talk v. Moxhay 330 Building Scheme ... ... ... 331 XX TABLE OF CONTENTS. PART IV. Sai.ks under Special Powers PAGE 333-36S CHAPTER I. Sales by Fiduciary Vendors Section 1 — Sales under the Settled Land Acts... Principle of Settled Land Acts Power of Tenant for Life Conditions of Sale ... Exercise of Powers ... Effect of Conveyance ... Section 2 — Sales bv Trustees General Powers Time for Sale Implied Powers Sale of Timber and Minerals ... Mode of Sale Depreciatory Conditions The Price Title and Conveyance 33-346 333-336 333 333 334 .. 335 335-336 336-341 336 .. 337 337-338 338-340 340 .. 340 340-341 341 Section S — Sales bv Executors and .Administrators 341-342 Section 4 — Sales by Mortgagees 343-346 Statutory Powers of Sale in General 343 When Power of Sale arises ... ... 343 Mines and Minerals ... ... ... 344 Estate and Interest passing by Con- veyance ... ... ... 345 Protection of Purchaser ... ... 345 Position of Mortgagee Exercising Power ... ."-.^ ... 34.5-346 Effect of Fr>reclosure Decree ... ... 346 CHAPIER II. Sales u.nder Order ok Court ... ... ... 347-351 Section 1 — ^Jurisdiction of the High Court ... 347-34S Power in regard to Goods, etc. ... 347 Jurisdiction of Chancery Court in regard to Real Estate ... ... ... a47 Debenture Holders' Actions ... ... 347 Redemption and Foreclosure Actions ... 348 Effect of Order ... ... ... 348 TABLE OF CONTENTS. XXI Chapter II., Section 1 — Continued. Section 2 — Mode and C\)nduct of Sale Mode of Sale Conduct of Sale Leave to Bid Particulars and Conditions Certifvinrt the Result PACK 349-351 .. 349 349-3o0 .. 350 .. 351 .. 351 CHAPTER III. Sales under The Lands Clauses .Acts ... Section 1 — Introductory Object of Lands Clauses Acts 352. 352. Enablino and Restrictive Provisions of Code ... ... ... 352. Superfluous Lands ... ... 353. Section ^^Acquisition of Land by .\greement 355- Power to Purchase ... Consideration for the Sale ... 355 Purchase for Extraordinary Purposes 356- Section 5— Compulsory Acquisition of Land 357- Exercise of Powers ... Notice to Treat ... ... 357- Effect of Notice to Treat ... 358- Restrictions on taking Part of House or .Manufactory ... ... 360 Section 4 — Assessment of Purchase Price and Com- pensation ... ... ... ... 361 General Principle Compensation for Injury by Severance Compensation for .Mines and Minerals 362 Section 5 — Completion and Conveyance ... 363 Specific Performance Completion where Owner in Default 363 364 354 352 353 •354 357 355 356 •357 361 357 •358 360 -361 363 361 362 •363 •364 363 364 CHAPTER IV. Sales under Distraints kor Rent Origin of Right Notice of Distress Appraisement Time of Sale Place of Sale 365-368 ... 365 ... 365 ... 366 366-367 ... 367 xxu TABLE OF CONTENTS. Chapter IV.- — Continued. PAGE Parties to Sale 367 Mode of Sale 367 Effect of Sale 367-368 Price 368 Overplus 368 TABLE OF CASES. Abbott V. Wolsey Aberanian Ironworks v. Wickcns Aberdeen Rly. Coy. v. Blakie Acebal v. Levy Acme Wood Coy. v. Sutherland Cov. Acraman v. Morrice ... Adams v. Broughton Adams v. Haggur Adams v. Hall Adams v. London and Hlackwall Rly Coy Adams v. Richards ... Adams v. Wheatley ... Adamson v. Jarvis ... Adderley v. Dixon Addis V. Gramophone Coy. Addison v. Cox Agius V. G.W. Rly. Coy. Airey, Re Aitken Campbell and Co. v. BouUen Ajello V. W'orsley Aldborough v. Trye ... Aiderton v. Archer Aldridge v. Johnson ... Alexander v. Crosby ... Alexander v. Crystal Palare RIv. Coy. Alexander v. Uavis ... Alexander x'. Gardner Alhambra, The Alison, Re Allan V. Gripper Allan 7'. Sundin AUcard v. Skinner Allcard v. Walker ... Allen and Driscoll's Contract, A't Allen V. Cameron Allen V. Flicker Allen V. Hopkins Allen V. Taylor Alsager t'. St. Katherine Dock Coy Alsop V. Oxford p.\c;e 124,171 73 81 130, 200 162 144 122 43 107 359, 363 131, 211 49 100 298 297 111 199 254 164 150 80 55 4 201 360 109 146 40 258 188 40 79 62 237 200 366 51 314 182 253 XXIV TABLE OF CASES. PAGfi Ames V. Higdon ... ... ... ... ... 345 Anderson v. Morrice ... ... ... ... ... 149 Andrews v. Mockford ... ... ... ... 76 Angell V. Duke ... ... ... ... ... 57 Angus V. Clifford ... ... ... ... ... 71 Angus V. McLachlan ... ... ... ... ... 182 Appleby v. Johnson ... ... ... ... ... 25 Appleby v. Myers ... ... ... ... ... 130 Appleton V. Binks ... ... ... ... ... 107 Arbib and Class, Re ... ... ... ... ... 227 Archer v. Baynes ... ... ... ... "... 45, 55 Archer v. Stone ... ... ... ... ... 64 Argehtina, The ... ... ... ... ... 194 .^rmitage v. Insole ... ... ... ... ... 159 Armstrong v. Jackson ... ... ... ... 3 Armstrong ■:). .Stokes ... ... ... ... ... 105 Arnison v. Smith ... ... ... ... ... 72 Arnold, Re, Arnold v. Arnold ... 67, 216, 232, 239, 296, 304 Arnold, Re, The Battersea Park Acts ... ... 359 Arnot V. Briscoe ... ... ... ... ... 106 Arran and Knowlesden and Greer's Contract, Re ... 221, 247 Ashburner i^. Sewell ... ... ... ... ...226,228 Ashmore v. Cox ... ... ... ... ... 171, 204 Ashworth v. Mounsev ... ... ... ... 222 Astey V. Emery ... ... ... ... ... 123 Atkinson v. Bell ... ... ... ... ... 201 Atkinson and Horsell, Re ... ... ... ... 247 Attorney-General v. Day ... ... ... ... 301 Attorney-General v. G.E. Rly. Coy. ... ... ... 353 Attorney-General v. Stewards ... ... ... ... 164 Attwater v. Kinnis ... ... ... ... ... 136 Attwood V. Emery ... ... .. ... ... 160 Attwood V. Munnings ... ... ... ... 89, 95 Attwood V. Small {see Small v. .Attwood) ... ... 71,72 Aubrey v. Fisher ... ... ... ... ... 242 Audley v. Pollard ... ... ... ... ... 184 Austerberry v. Oldham Corpn. ... ... ... 329 Austin V. Croome ... ... ... ... ... 238 Averv v. Bowden ... ... ... ... .. 203 Ayles-y. Cox ... ... ... ... ... 232,303,304 Aylesford v. Morris ... ... ... ... ... 75, 79 Azemar v. Casella ... ... ... ... ... 137 Bach V. Owen ... ... ... ... ... 126, 160 Badische Fabrik v. Basle Works 145, 147, 168, 169, 170, 180 Baifel V. Miller ... ... ... ... ... 35 TABLE OF CASES. X\V PAGE Baglehole v. Walters ... ... ... ... 67, 303 Baj^Dt 7'. Chapman ... ... ... .. . . 64 Bailey v. Barnes ... ... ... . 217, 34o Bailey v. Piper ... ... ... -34 Bailev v. Sweeting ... ... ... ■• 45. .■)4 Bain'-y. Fothergill ... ... ... ... ...226,296 Baird 7'. Fortune ... ... ... ... . . 40 Baker and Selnion, Re ... ... ... ... 244 Baker v. Courage ... ... ... ... 61 Baker 7'. Dening ... ... ... ... ... -56 Baker 7'. Yorks. Fire Association ... ... ... o5 Baldey 2;. Parker ... ... ... ...123,124,163,178 Baldwyn v. Smith ... ... ... ... ... 17 Ballard v. Shutt ... ... ... ... ... 279 Balmanno t;. Lumley ... ... ... ... 2.34 Bambrigge v. Brown ... ... ... ... ... 82 Bamford 7-. Shuttleworth ... ... ... ... 220 Banister, i?e ... ... ... 6^,77,248,3.50,351 Bank of Africa 7'. Salisbury Mining Coy. ... ... 182 Bank of S. Australia, Re ... ... ... ... 2s9 Ilanner, Ex parte ... ... ... ... ... 148 Bannerman v. White... ... ... ... ... 131 Barclav v. .Messenger ... ... ... ... 229 Baring t;. Corrie ... ... ... ... 83.84.91,101 Barker v. Cox ... ... ... ... . -31 Barker, v. Illingworth ... ... ... 343 Barker v. Windle ... ... ... ... •■ 164 Barkshire 7;. Grubb ... ... ... ... ...313,314 Barkworth 7'. Young ... ... ... ... ... 45 Barlow t;. O.sborne ... ... ... ... ...349,351 Barnes v. Wood ... ... ... ... ••• 234 Barnwell 7'. Harris ... ... ... -.• ••• 245 Barr v. Gibson ... ... ... ... 66. 128, 129 Barr -■. Waldie ... ... ... ... • 161 Barren, Ex parte ... ... ... ... ■■■ 287 Bnrrick v. Buba ... ... ... •■• • 203 Br.rrow, Ex parte ... ... ... ... • ^^^ Barrow v. Arnaud ... ... ... ... • • 202.204 Barrow 7'. Isaacs ... ... ... •■■ • • 61 Barrv v. Van den Hurk ... ... ... ■•• 205 Barsht V. Tagg • 2.35,236,237 Bartholomew v. Freeman ... ... •. • • 347 Bartlett 7-. Holmes ... ... ... .•• ...161.162 Barton v. Dawes ... ... ••• ••• • • •''^^ Barwick v. English J. S. Bank ... ... • K'6 Baskcomb v. Beck with ... ... ■•• 216 XXVI TABLE OF CASES. PAGE Basnett v. Moxon ... ... ... ... ... 348 Bastable, Re ... ... ... ... ' ... 286 Batchellor v. Lawrence ... ... ... ... 184 Bateman and Parker's Contract, Re ... ... ... 354 Bateman v. Hunt ... ... ... ... ... 114, 324 Baumann v. James ... ... ... ... .•■ 47 Baumwell Manufactur. v. Furness ... ... -•• 189 Baxendale v. Seale ... ... ... ... ... 66 Baxter v. Middleton ... ... ... ... ... 2b'3 Bayley v. G.W. Rly. Coy. ... ... ... ... 313 Bayley and Shoosmith, Re ... ... ... ... 229 Bayley- Worthington and Cohen's Contract, Re ... 231 Bavliffe v. Butterworth ... ... ... ... 92 Bead v. Blandford ... ... ... ... ... 120 Beal V. S. Devon Rly, Coy. ... ... ... ... 97 Beale v. Kvte ... ... ... ... ... 63 Beardmer v. L. & N. W. Rly. ... ... ... ... 353 Beauchamp v. Winn ... ... ... ... ... 62 Beaufort, Re ... ... ... ... ... 284 Beaumont v. Brengeri ... ... ... .. 124 Beaumont v. Dukes ... .... ... ... ... 74 Beaumont v. Greathead ... ... ... ... 198 Beaumonts' Mortgage Trusts, Re ... ... ... 339 Becker v. Medd ... ... ... ... ... 97 Beckett v. Tasker ... ... ... ... ... 19 Beckett i». Tower Assets Coy. ... ... ... ... 6 Beckh V. Page ... ... ... ... ... 164 Beckham v. Drake ... ... ... ... ... 107 Bedford v. Dawson ... ... ... ... ... 358 Beer v. Walter ... ... ... ... ... 170 Behn v. Burness ... ... ... ... 69, 70, 131, 132 Belasyse v. Burbridge ... ... ... ... 36.3 Belding v. Read ... ... ... ... ... 127 Belfast Bank X'. Callan ... ... ... ... 236 Bell V. Balls ... ... ... ... ... 92, 108 Bell V. Gardiner ... ... ... ... ... 63 Bellairs v. Tucker ... ... ... ... ... 73 Bellamy and Metrop. Board of Works, Re ... ... 324 Bellamy v. Davey ... ... ... ... ... 192 Bellamy v. Debenham ... ... 32, 33, 232, 296', 298 Bellamy v. Sabine ... ... ... ... ... 263 Bellinger, Re ... ... ... ... ... 338 Belsize Motor Coy. v. Cox ... ... ... ... 2,154 Beningfield f. Baxter ... ... ... ... ... SI Benjamin v. .\ndrews ... ... ... ... 151 Bennett, Ex parte ... ... ... ... ... 81 TABLE OF CASES. PAGK Bennett v. Brumfitt ... ... ... ... ... 56 Bennett i;. Stone 230, 2:J1 , 23.j, 236, 278 Bennington v. Metropolitan Board of Worlds ... ... 361 Bentall z/. Burn ... ... ... ... 12.j, 162, ISl Bentinck and L. & N. W. Rly. Coy., Re ... ... 355 Bentlev and Co., Re ... ... ... ... ... 1. Alt ... ... ... ... S6, 94, 95, 97 Deighton and Harris, Re ... ... ... ...225,226 Delaney v. Wallis ... ... ... ... ... 151 Delaperelle v. St. Martin-in-the-Fields Vestry ... ... 239 De Lassalle v. Guildford ... ... ... ... 57, 73 Delves v. Gray ... ... ... ... ...302,309 De Montmorency v. Devereux ... ... 227 Denn d. Manifold v. Diamond ... ... ... 3 Denne v. Light ... ... ... ... ■•- 302 Denning v. Henderson ... ... ... ••• 228 Denny v. Conklin ... ... ... ■•• ••• HI Denny v. Hancock ... ... ... ... 67, 216, 303 Dent V. Bennett ... ... ... ... ... 82 De Pothonier v. De Mattes ... ... ... ... HI .TABLE OF CASES. XXXVll Derby and Kertjusson's Contract, Re ... Derby v. Huniber De Tastet v. Shaw ... Devaynes v. Robinson De Waal v. Adler Dewar v. Mintoft De Wolf V. Lindsell ... Dibb V. Walker Dibbins v. Dibbins Diikin v. Diikin Dickinson v. Dodds •• Dickson v. Zizinia Diinmock v. Hallett ... Dini*le v. Hare Dinham v. Bradford Dinn v. Grant Diplock V. Hammond Di.xon, Re ... Dixon V. London Small Arms Coy. ... Dixon V. Pyner Dixon V. Yates DoFjell V. Hutchinson Dobell V. Stevens Dodsley v. Varley Dodson V. Downey Doe V. Brydges Doe V. Knight Dominion Coal Coy. v. Dominion Iron Coy. Domville v. Berrington Donnell v. Bennett ... Donovan v. Fricker ... Douj^an v. .McPherson Dougherty v. Oates ... Doui^Ias V. Culver well Douglas V. Lock Downes v. Grazebrook Dowson and Jenkins' Contract, Re Dowson V. Solomon ... Drake, Ex parte Drew V. Corpe Drewe v. Hanson Drinkwater v. Goodwin Drummond v. Traoey Drummond v. Van Ingen Drysdale v. Mace •1, 73 179 PAGE 23!), 266 214 9 338 160 45, 48 184 114 184 307 23, Si 170 231, 232 91, 211 r>3 280 113 309 8 350 183, 185 47, 233 73 181 273 254 36 209 349 208 279 81 239 6 323 81, sm 89 275, 277 122 232 232 91 250 139 246 138, XXXVlll TABLE OF CASES, Dublin Dist. Coy. v. Doherty Du Cane and Nettlefold, Re Duddell V. Simpson Duke V. Barnett Duke of Newcastle's S.E., Re Duke of Rutland S.E., Re ... Duncan & Co., Re ... Duncan v. Dixon Duncan v. Topham ... Dunkirk Colly. Co. ■:;, Lever ... Dunlop V. Grote Dunlop V. Higgins ... Dunlop V. Lambert ... Dunmore v. Alexander Dunn V. English Dunn V. Flood Dupont V. Brit. S. Africa Coy. Duppa V. Mayo Durham v. Legard ... Durham v. Robertson Duthie V. Hilton Duthy and Jesson's Contract, Re Dutton V. Solomonson Dyer v. Hargrave Dykes v. Blake Dyster, Ex parte, Re Moline ... Eadie v. Addison Eaglesfiield v. Londonderry Earl of Devon's S.E., Re East Ham v. Aylett ... East India Coy. v. Hensley ... East London v. Metro. Rly. Coy. Eastern Counties Rly. v. Hawkes Eastwood V. Ashton Ebbw Vale v. Blaina Coy. Ebbw Vale v. Macleod Ebsworth and Tidy, Re Echliff V. Baldwin Edan v. Dudfield Edgell V. Day Edgington v. Fitzmaurice EdwardSj Ex parte Edwards, Re PAGE 158 336 226, 227 222 340 339 212 14 160 202 200 34 125, 168, , 169, ,180 35 98 337, ,340 149 42 233, , 305 112, ,283 129 238, ,252 ,294 147 278, 303, ,304 233 83, 84, 91 38 . 62, 72 247 236 90 297, ,363 298 311, ,316 133 161 .249, ,293 281 123, 124, , 125 220 74 359 157 TABLE OF CASES. XXXIX iid wards v. Brewer ... Edwards v. Hodding Edwards v. Meyrick ... Edwards v. Pearson ... Edwards-Wood v. Marjoribanks Egerton v. Matthews Egg V. Blayney Egmont V. Smith Ehlers v. Kauffman ... Eicholz V. Bannister ... Elbinger v. Armstrong Elbinger v. Clave Eley V. Read Ellen V. Topp Elliott V. Thomas Ellis V. Glover Ellis V. Goulton Ellis V. Hunt Ellis V. Kerr Ellis V. Rogers Ellis V. Thompson Elliston V. Reacher ... Elmore v. Kingscote ... Elmore v. Stone Elphick V. Barnes El worthy v. Billing ... Emery v. Wase Emery v. Wells Emmerson v. Heelis Em[)ress Engineering Coy., Re Engell V. Fitch Erlanger v. New Sombrero Phosphate Coy. Errington v. Metro. Rly. Coy. Esdaile v. La Xauze ... Esdaile v. Oxenham Esdaile v. Stephenson Essex V. Daniell Ethel and Mitchells and Butler, Re ... Evans v. Davies Evans v. Jackson Evans v. Kymer Evans v. Llewellyn Evans v. Prothero Evans v. Roberts Everett v. Remington I 183, 'AG1-: 188 295 20, »2 51, 213 06 55 237 237, 274, ,306, 309 155 213 .207, 213 104 346 132 123 150 220 158, 180, 185 9 . 50, 244 16U 330 . 51, 52 158 5 350 301 131 36, 84, ';>2 9 .228, ,296 75, ,297 3.53 ,362, ,363 89 237 280 .241, ,322 315 347 337 102 82 45 43 331 xl TABLE OF CASES. PAGE Eyre, Re 52 Eyton V. Denbigh, etc., Rly. Coy. ... 355 Falcke v. Gray 200 Falk V. Fletcher 148 Falkner v. Somerset and Dorset Rly. Coy. ... ... 353, 358 Falmouth v. Thomas 43 Farina v. Home 125, 158, 162 Farmeloe v. Bain 192 Farmer v. Dean Farmer v. Waterloo & City Rly. Co. ... 353,358 Farnham Brewery v. Hunt ... 229 Farquharson v. King 103, 150 Farr v. Ward 200,212 Farrar v. Farrar, Ltd. 11, 82, 345 Farrar v. Lacy 98 Farrow v. Wilson 116 Fawcett and Holmes, Re 232 Fawkes v. Lamb 91 Feise v. Wray 183,184 Felthouse v. Bindley 23,24 Fenton v. Browne 232 Fen wick v. Macdonald 141 Ferguson v. Wilson ... 11 Ferrers v. Robins 98 Field V. Lelean 182 Filby V. Hounsell 29,47 Fildes V. Hooker 235 Firth V. Mid. Rly. Coy. 38,51 Fisher and Grazebrook, Re ... 335 Fisher v. Smith 101 Fishmonger's Coy. v. Robertson 12 Fitt V. Cassanet 196,197 Fitzmaurice v. Bayley 96 Fleet V. Murton 92, 107 Fletcher 7;. L. & Y. Rly. Coy 279 Fletcher v. Tayleur ... 207 Flight V. Bolland ... 16, 298 Flight V. Booth 71, 232, 233, 239, 296 Flint V. Brandon 298 Flint V. Woodin 84,227 Flower v. Hartopp ... 222 Flower v. L. B. & S. C. Rly. ... 353 Fludver v. Cocker 262, 279 TABLE OF CASES. xli r.AGK F'liiieau V. Thoinhill 244,296 Foakes v. Beer 36 Foljambe v. Smith Brewery Coy. 2.58 Ford and Hill, Re ... 2()(J, 293 Ford V. Baynton 176 Ford V. Cotesworth 160 Ford V. Leetham 161 Ford V. Yates 182 Forrer v. Nash 244,296,298 Forrest v. Aramayo ... 159 Forteblow v. Shirley ... 280 Fortescue v. Lostwithiel, &c., Rly. 298 Forth V. Norfolk 290 Fortune v. Lingham 213 Foster v. Bates 96 Foster v. Deacon 274 Foster v. Mackinnon tjl Foster V. Manch. &c., Rly. Coy. 356 Foster v. Leonard 242 Forsyth t;. Manchester Corp. ... 106 Fotherby v. Metro. Rly. Coy. ... 359 Fothergill v. Rowland ...208,209 Fowle V. Freeman 26,37,299 Fowler v. McTaggart or Kymer 189 Fox :'. Chester 276 Fox V. Mackreth 81 Fox V. Wright 80 Fragano v. Long 149 Francis, Ex parte Is4 Franklin v. Brownlow 288 Frazer v. Marsh 189 Freeman v. Fairlie ... 109 Freer v. Rimmer 218 Freme v. Wright 50,222 Fremo's Contract, Re 307 Frend v. Buckley 221,257 Frewen x;. • Hays 51 Frith and Osborne, Re 338 Frost V. Aylesbury Dairy Coy. 139 Frost V. Knight ...203,200 Fry V. Fry ... 337 Fry V. Lane SO, f52 Fuller V. Abrahams ... 78 Fuller V. Fames 100 Furness v. Meek B3 xlii TABLE OF CASES, P.AG'a Furtado v. Lumley 219, 220 Fyson v. Kitton 45 Gadd V. Houghton ... 107 Gainsford v. Carroll 202, 204 Galloway v. London Corp. ... 353 Gambrell v. Falmouth 365 Games v. Bonnor 246, 247 Garbarron v. Kreeft ... 168 Gardom v. Lee 226 Gardner, Re ... 350 Garey v. Pike 199 Garnett v. Acton 285 Garrick v. Camden ... 277 Gedye v. Montrose ... 235, 274 Gee V. Pearse 219, 230, 240 Geldard v. Randall ... 350 Gen. Fin. Coy. v. Liberator Socy, ... 307 Gen. Meat Assoc, v. Bouffler 89 George V. Thomas ... 266 Gerard and Beecham, Re . 293, 355 Gerard and L. X. W. Rly., Re 363 Gibbins v. N.E. Metro. Asylum Dist. 23 Gibbs V. Gray 164 Gibson v. Carruthers . 157, 185 Gibson v. Holland 45 Gibson v. Jeyes 82 Gibson v. Woollard ... 351 Gilbey v. Rush 334 Giles V. Spencer 365 Gillespie v. Cheney ... ... 139 Gillett V. Abbott 246 Gilliat V. Gilliat . 78,142 Gillmann v. Carbutt ... 193 Gilmour v. Suffle 144 Gladstone, Re 344 Glass V. Richardson ... ♦ 320 Glegg V. Bromley 194 Glenton to Haden, Re . 261, 293 Gloag and Miller's Contract, Re ... 50, 301 , 304, 319 Gluckstein v. Barnes 98 Glvn i'. Thomas ... 366 Godts V. Rose 161 , 181, 182 Godwin v. Francis . 45, 56 Godwin v. Schweppes ... . 313, 314 TABLE OF CASES. xlui Gomery v. Bond Gompertz v. Denton ... Goodall V. Skelton Goode V. Harrison Goold V. Birm. Banking Coy. Gordon-Cumming v. I^ouldsworth Gordon v. Street Gordon v. Swan Gordon v. Whitehuuse Gordon v. Woodford Goren, Re Ex parte Cutts Gorton v. Mclntosii ... Gosbell V. Archer Gosling V. Gaskell Gosling V. Woolf Gougii V. \^'ood Gourlay v. Somerset Graham v. Campbell Graham v. Jackson ... Graham v. Johnson ... Graham v. Musson ... Graham v. Penfold ... Grant v. Fletcher Graves v. Weld Gray and Metrop. Rly. Coy., Re Gray v. Fowler Gray v. Gutteridgc ... Gray v. Haig Gray v. Smith Gray v. Stanion G.E. Rly. V. Low's Trustee ... G.N. Rlv. Cov. and Sanderson, Re G.N. Rly. V.' Witham G.W. Rlv. V. Carpalla Clav Cov. G.W. Rlv. V. Fisher ... ' ... ' G.W. Rly. V. May ... G.W. Rly. V. Swindon Greaves v. Ashlin Greaves v. Tofield Greaves v. Wilson Grebert-Borgnis v. Nugent ... Greenhalgh v. Brindley Green v. Bailey Green v. Baverstock ... Green v. Sevin Greenslade v. Dare ... r.VGIi 213 210 126 15 222 311 64 212 52 242 301 137 ... 45,296 «5 245 ... 150, 365 51,52 200 164 115 88 258 31,46,105 43 292 224,226,227,249,260 295 98 ... 45,229 218,235,244 175 226,293,307 ... 23, 3i 363 38,316 354 353, 355. .358 ..160,173, 182, 197,204, 206 264 226, 227, 22S ... 207, 213 304 253 78 229 259, 276, .324 xliv TABLE OF CASES. Gregg V. Wells Gregory v. Mighell ... Gregson v. Ruck Gresham Assoc. Coy. v. Crowther Greville v. Hemingway Grice v. Richardson ... Griffin v. Scott Griffiths V. Hatchard Griffiths V. Jones Griffiths V. Perry Grigg V. Nat. Guard. Assce. ... Grimoldby v. Wells ... Groom v. Booth Gudgeon v. Besset Guerreiro v. Peile Guest V. Homfray Guest V. Poole, etc., Rly. Coy. Guest V. Smythe Gunn V. Bolckow, Vaughan Gunnis v. Erhart Gunston v. East Gloucestershire Rly. Coy. Gunter v. Halsey Gurney v. Behrend ... Gurr V. Cuthbert .17S, 19; PAGE 150 52 31 115 318 178 367 243 69 202, 204 ISl 171, 172 222 63 91 224 357 350 178, 192 40 364 o9 194 182 Haddington v. Huson Hadley v. Baxendale Hadley v. London Bank of Scotland Haedicke and Lipski's Contract, Re . Haig V. Wallace Hale, Re Halifax Banking Coy. and Ward, Re .. Halifax Commercial Bank and Wood, Halkett v. Dudley Hall Dare, Re Hall V. Bromley Hall V. Burnell' Hall V. Byron Hall V. Conder Hall V. Franck Hall V. Warren Hallas V. Robin^ion Hallen v. Runder Hallett's Estate, Re 345 199,202,297 281 217, 221, 222, 261, 293, 294, 303, 306f 162 85 301 Re ... ... 253 ...280,296,298,299 348 320 213, 219, 295 312 198 325 299 128, 281 44 297 TABLE OF CASES. xlv Halsey v. Grant ... * Hambro v. Burnand ... Hanier v. Sharp Hamilton v. Magill ... Hamlyn v. Wood Hammond v. Anderson Hammond v. Messenger Hammond and Waterton, Re Hammonds v. Barclay Hampshire v. Wilkins Hands v. Burton Hankey v. Smith Hannaford v. .Sims ... Hanson v. Armitage ... Hanson v. Meyer Harding v. Hall Harding v. Harding ... Harding v. Metro. Rly. Coy. ... Hardman v. Booth Hardman v. Child ... Hardwick, Re Hardy v. Fothergill ... Hare and O'More's Contract, Re Hargrave v. Hargrave Hargreave v. Spink ... Hargreaves and Thompson, Re Harington v. Hoggart Harland and Wolff v. Burstali Harman and Uxbridge Rly. Coy., Re Harman v. Anderson Harman v. Reeve Harmer v. Cornelius ... . ... Harnett v. Yielding ... Harnor v. Groves Har[)er v. Godsell Harper v. Hayes Harper v. Williams ... Harrington v. Churchward Harris's Case Harris v. Llovd Harris v. Nickerson ... Harris v. Pepperell ... Harris v. Rickett Harrison and Micks, Lambert & Coy., Re Harrison v. Allen PAGE . . . 235, 304 102 ... 85,93 213 133 179 111 53 ... 101, 107 303 4 199 O') 125 144 368 113 359 ... 64,153 225, 315, 319 6 286 67, 294, 295 263. 151 ... 292, 294 219 163 249, 250, 325 181 ... 57,123 95 302 ... 40,171 89 ... 336,341 212 102 34 155 ... 23, 140 63 ... 38,39 165 212 xlvi TABLE OF CASES, PAGE Harrison v. Guest ... ... ... SO Harrison v. Holland and Hannen 295 Harrison v. Luke 4 Harrison v. Seymour Jt9 Harry v. Davey 10 Harsant v. Blaine 98 Hart V. Bush 125 Hart V. Hart 253 Hart V. Mills ...121,163 Hartley t». Hitchcock ... 173,177,181 Hartop V. Hoare 152 Harvey v. Barnard's Inn ... 28,38 Harvey v. Facey 23,56 Harvey v. Johnston ... 22 Harwood v. Bland 306 Haslam and Hier-Evans, Re ... 82 Hastie v. Couturier ... 128 Hatten v. Russell 226, 296, 335 Havves v. Armstrong 52 Hawes v. Watson 182 Hawker v. Dunn 184 Hawkes v. Eastern Counties Rly. Coy. 302 Hawkesley v. Outram 89,301 Hawkesworth v. Chaff ey 28,38 Hawkins v. Walrond 368 Haycraft v. Creasey ... 73 Hay ford v. Criddle ... 217 Haygarth v. ^^■earing ... 77,80 Haynes v. Haynes ... ...359,360 Hayton v. Irwin 105 Hay ward v. Daniel ... 130 Hay ward v. Scougall 164 Haywood v. Cope 67, 298, 302 Head v. Baldrey 123 Head v. Tattersall 145,211,213 Head's Trustees and Macdonald, Re ... ...244,296 Heard v. Pilley 88 Heard v. Wadham ... 235 Heath v. Crealock 249 Heathcote and Rawson, Re ... 320 Heilbutt V. Hickson ... .144, 170, 171, 210 Helby v. Matthews ... 2 Henderson v. Astwood 3 Henderson v. Williams 150 TABLE OF CASES. xlvii PAGE Henkel v. Pape ... ... ... ... •• 'M Henkle 7;. Roy. Exch. Assce. ... ... ... ... bS Henry v. Lowson ... ... ... ... ■ 109 Henthorn !». Frazer ... ... ... ... ;J3, 34, 35 Heppenstall v. Hose ... ... ... ... ... 228 Herbert v. Salisbury, ivc, Rly. ... ... ... 230 Hetling and Merton, Re ... ... ... ...231,324 Hewison v. Guthrie ... ... ... ... ■• 1S2 Hewitt V. Nanson ... ... ... ... ... 350 Hewson v. L. S. W. Rly. Coy. ... ... ... 360 Hexter z». Pearce ... ... ... ... ...233,297 Heywood ^. Mallalieu ... ... 216,217,239,240,303 Heyworth 7'. Hutchinson ... ... ... ...135,210 Hey worth v. Knight ... ... ... ... ■■ 40 Hibblewhite v. McMorine ... ... ... ... 150 Hick V. Raymond ... ... ... ... ••• 160 Hickman z-.'Haynes ... ... ... ... 161,204,206 Hicks V. Hankin ... ... ... ... .- 90 Hiern v. Mill 258 Higgin V. Pumpherstone Oil Coy. ... ... ... 161 Higgins and Hitchman's Contract, Re ... 227,294,354 Higgins and Percival, Re ... ... ... ... 255 Higgins V. Burton ... ... ... ... ... 153 Higgins V. Sargent ... ... ... ... ... 212 Higginson v. Clowes ... ... ... ...216,241 Highett and Bird's Contract, Re ...235, 236, 255, 275, 294,302 Hill V. Buckley 73 Hill V. Mid. Rly. Coy. ... ... ... ... 3-58 Hill V. Perrott ... ... ... ... ... 121 Hill V. Smith 151,152 Hills V. Street ... ... ... ... ... 367 Hinder;. Whitehouse ... ... ... ... 91,196 Hinder;. Liddell ... ... ... ... ...205,207 Hindle v. Brown ... ... ... ... ... 74 Hipwell V. Knight ... ... ... ... ... 224 Hitchin v. Groom ... ... ... ... ... 65 Hitchman v. Walton ... ... ... ... 241 Hoadly i». McLaine 55,121,130 Hoare v. Dresser ... ... ... ... ... 209 Hoare v. Kingsbury ... ... ... ... ... 59 Hobbs V. Mid. Rly. Coy. ... ... ... ... 354 Hobson 7;. Bell ... ... ... ... 222,224,253 Hochster v. De la Tour ... ... ... ... 203 Hockey v. Western ... ... ... ... ... 325 Hoddell V. Pugh ... ... ... ... ... 284 xlviii TABLE OF CASES, Hodgkinson v. Kelly Hodgson V. Johnson ... Hodgson V. Loy Hodson and Howe, Re Hodson V. Heuland ... Holland, Re . ... Holliwell V. Seacombe Holloway v. Hill Holloway v. Yorke ... Holmes, Re ... Holmes v. Blogg Holophane, Ltd. v. Heseltine Holroyd z'. Marshall ... Holt V. Holt Honck V. Muller Hone V. Gakstatter ... Honeyman v. Marryat Hood V. Mackinnon ... Hoole V. Smith Hooper v. Bourne Hooper v. Smart Hopkins v. Hemsworth Hopkins v. Tanqueray Hopkinson v. Chamberlain Hope V. Bayley Hope V. Liddell Hope V. Walter Hopper, Re ... Hore V. Becker Hore V. Milner Horlock V. Smith Horncastle v. Farran Home V. Wingfield ... Horner v. Williams ... Horniblow v. .Shirley Hc)rrocks v. Rigby Horsey v. Graham Horsfall v. Thomas ... Horsford v. Webster ... Hoskins v. Holland ... Hotham v. East India Coy. Houghton V. Banckart Houghton V. .Matthews Houlder Bros. v. Pub. Works Commr Houlditch V. Desanges PAGE 105 ... 42,57 ... 183,185 345 60 44, 45, 300 228 330 287 114 16 95 127 285 ... 165,167 295 26 61 343 ... 354, 356 ...234,305 115 131 222, 238, 265 127 325 302 53 61 !%• 253 182 246 234 235 ... 234, 305 42 67 365 111 182 53 ... 91,101 162 180 TABLE OF CASES. XllX PAOE Household Fire Insce. Coy. v. Grant ... 34, 3o Hove V. Gakstatten ... 295 Hovil V. Pack 96 Howard v. Bailie 89 Howard v. Castle 141 Howard v. Patent Ivory Coy. ... 9 Howard v. Sheward ... 102 Howatson v. Webb ... 64 Howcroft V. Laycock 137 Howcroft V. Perkins ... 137 Howe V. Lichfield 258 Howe V. Palmer 170 Howe V. Smith ... ... 126, 173, 196 219 240, 295 Howell V. Coupland ... 130 Hoy V. Smithies 227 Hoyle, Re ... . 45, 56 Hubert v. Treherne ... 56 Hucklesby and Atkinson's Contract, Re 219, 244 295, 296 Hudd V. Ravenor 365 Huddersfield Bank v. Lister ... 128 Huddersfield Corporation and Jacomb, R L' 353 Hudson V. Buck 38 Hudson V. Temple ... 229 Hatches and Ashley, Re 293, 306 313, 314 Hughes V. Graeme ... 209 Hughes V. Jones 233 Hughes V. Morris 59 Hughes V. Parker 50, 301 Hughes V. Pump House Hotel 112 Hughes V. Wynne 253 Humberston, Re 195 Humble v. Hunter ... 110 Hume V. Pocock 73, 222 Hunt V. Hecht 125 Hunt ■:■. Ho()|)tM- 155 Hunt V. Luck 266 Hunt V. Wimbledon Local Board 12 Hunter, Ex parte 196 Hunter v. Walters ... 64, 324 Hurrell v. Bullard ... 96 Hurrell v. Liltlejohn ... 334 Hussey v. Horne-Payne ... 28, 32, ^ 17, 55. 58 Hutchings v. Nunes ... 184. 190 Hutchinson v. Bowker 30,31 Hutchinson v. Eaton 107 TABLE OF CASES. Hutchinson v. Tatham Hutton V. Bullock H3de V. Price Hyde v. Wrench Hydraulic Eng. Coy. v. McHaffie PAGE i07 104 279 31 160 Icely V. Green Imp. Bank v. L. & St. Kath. Dock Coy. Imp. Loan Coy. v. Stone Ind, Coope & Coy., Re Inglis V. Buttery Ingram v. Thorpe Inl. Rev. Commrs. v. Glasgow & S. W. Rly. ... Inl. Rev. Commrs. v. Maple ... International Tea Stores v. Hobbs Ireland i;. Livingstone ... ... 88,89,94,162 Irvine v. Kirkpatrick Irwin, Re Isaacs V. Evans Isaacs V. Towell Isherwood v. Whitmore Islington Union v. Brentnall ... 241 184 \7 114 38,39 73 362 4 314 165, 184 72 315 60 227 170 69 Jackson ti Co. v. Napper Jackson and Haden, Re Jackson and Oakshott, Re Jackson v. Lowe Jackson v. Nickoll Jackson v. Oglander ... Jackson v. Rotax Motor Coy. ... Jackson v. Union Mar. Ins. Coy. Jacobs V. Latour Jacobs V. Morris Jacobs V. Phillips Jacobs V. Revell Jacob V. Scott Jacomb v. Turner Jamal v. Moolla Dawood Coy James, Ex parte James v. Griffin James v. Kerr James v. Smith Jared v. Clements 87 226,228,293 ...293,306 ... 47,54 ...185, 188, 189, 191 46 ...163, 164, 165, 166 160 ...180,181 102 253 68, 219, 220, 232, 239, 247, 296, 304 139 249 202 ... 20,81 ...182,185,186,188 82 88 249 TABLE OF CASES. 1i PACK Jarrett v. Hunter ... ... ... ... ... 48 Jarvis v. Jarvis ... ... ... ... ... 44 Jeffs i;. Day Hi Jenkyns v. Usborne ... ... ... ... ... 184 Jennings v. Broughton ... ... ... ... 73 Jersey v. Briton Ferry Dock Coy. ... ... ... 355 Jewry v. Bush ... ... ... ... ... 53 Jobson V. Eppenheim ... ... ... ... 186, 187 Johnson and lustin, Re ... ... ... ...251,294 Johnson v. Dodgson ... ... ... ... 45, 125 Johnson v. Edgware Rly. Coy. ... ... ... 361 Johnson 7). L. & Y. Rly. Coy. ... ... ... ... 147 Johnson !». Raylton ... ... ... ... ... HO Johnson v. Smiley ... ... ... ... ... 222 Johnston v. Boyes ... ... ... ... ... 23,323 Johnstone i>. Milling ... ... ... ... ...203,206 Jolly V. Handcock ... ... ... ... ... 253 Jones & Co. 1-. Tankerviile ... ... ... 58, 159, 20S, 297 Jones, Re (1855) 1 Jur. N.S. 817 351 Jones, Re (1897) 2 Ch. 190 ... ... ... ... 115 ■Jones V. Barnett ... ... ... ... ... 348 Jones V. Carter ... ... ... ... ... Ill Jones V. Cliff ... ... ... ... ... 182 Jones V. Clifford ... ... ... ... ... 66 Jones V. Daniel ... ... ... ... ... 28, 33 Jones V. Dowle ... ... ... ... ... 195 Jones V. Flint ... ... ... ... ... 12 Jones V. Gardiner ... ... ... ... ... 230 Jones -y. Gibbons ... ... ... ... 160,173,204 Jones V. Gordon ... ... ... ... ... 194 Jones V. Humphries ... ... ... ... ... L12 Jones V. Jones ... ... ... ... ... 179 Jones V. Joyner ... ... ... ... ... 45, 56 Jones V. Just ... ... ... ... ... 138 Jones V. Lewis ... ... ... ... ... 307 Jones V. Mudd ... ... ... ... ... 280 Jones V. Nanney ... ... ... ... -.• 218 Jones V. Padgett ... ... ... ... ... 139 Jones V. Pearle ... ... ... ... ... 181 Jones V. Price ... ... ... ... ... 224 Jones V. Rimmer ... ... ... ... ...216,304 Jones V. S. Staffs. Rly. ... ... ... ... 354 Jones V. .Stanley ... ... ... ... ... 282 Jones V. Tarleton ... ... ... ... ... 182 Jones V. Thurloe ... ... ... ... ... 181 TABLE OF CASES. PAGE Jones V. Watts 245 Jordan v. Norton 31 Joseph V. Lyons 127,128,281 Josling V. Irvine 204,205 Joyce V. Swann 143 Judd and Poland, Re 322,337 Judd V. Green 80 Judge and Sheridan, Re 220,244 Jupp, Re 309 Jureidini v. Nat. Brit. Insur. Coy. 132 Keates v. Lyon 330 Keeble and Stilwell's Brick Coy., Re 230,280 Keen v. Mear 93 Keith V. Burrows 6 Kelly V. Rogers 66 Kelly V. Selwyn 114 Kelly V. Solari 61 Kelly V. Webster 42 Kelner v. Baxter 9,97 Kelsey v. Dodd 9 Kemeys v. Proctor 36 Kemp V. Baerselman... 112,113 Kemp V. Falk 179, 183, 188, 190, 191, 194 Kemp V. Ismay 190 Kemp V. S. E. Rly. ... 353 Kempson v. Boyle ... 31, 105 Kendall v. Marshall ... 182, 183, 185, 186, 187 Kennedy v. De Traflford 345 Kennedy v. Green 259,324 Kennedy v. Panama Mail Coy. 64, 70 Kent V. Freehold Land Coy. ... 71,73 Kenworthy v. Schofield 41 Kerby v. Harding 365 Kerford v. Mendel 182 Kerr v. Pawson 232 Kershaw, Re 285 Kershaw v. Kershaw 230 Keyse v. Heydon ... 222, 251 Keyse v. Powell 217 Khan v. Duche 170, 210 Kharaskhoma .Syndicate, Re 52 Kibble v. Gough 124 Kidd and Gibbon's Contract, Re 258 Kidd V. Home 98 TABLE OF CASES. liii Kidderminster v. Hardwick Kidner v. Keith Kiell, Re Kilpin V. Ratley King V. Chamberlain King V. England King V. Howell King V. Wilson Kingdom v. Cox Kingston-upon-Hull v. Fetch Kinloch v. Craig Kirby V. G. W. Rly. ... Kirk V. Evans Kitchen -'. Palmer ... Kitson V. Hardwick ... Knapman, Re Knatchbull v. Grueber Knott V. Cottee Konig V. Brandt Lacey, Ex parte Lackington v. Atherton Lagunas Nitrate Coy. v. Lagunas Syndicate Laing v. Fidgeon Laird v. Pirn Lake v. Dean Lakeman v. Mountstephen ... Lamare v. Dixon Lamond v. Davall Lancaster v. De Trafford Lander and Bagley, Re Langport v. Tiler Langstaff v. Nicholson Langton v. Higgins ... Latham v. Chartered Bank of India Latter v. Braddell ... Lavery and Kirk, Re Lavery v. Pursell ... Lawrence v. Knowles Lawrie v. Lees Leach v. Mullett Leask v. Scott Leather Cloth Coy. v. Hieronimus Lee, Re, Ex parte Neville Lee V. Bayes PAGE ... 12, 87 37 179 6, 181 292 367, 368 98 229, 304 163, 165 26 . 182, 184 87 100 226 3 115 262, 304 349, 350 148 20, SI, 299 ... 162, 181 71 130 ...201, 297 216 107 ... 74,298 196, 197, 200, 241 300 303 196 51 127 183 79 293 44 157 245 232 194 ... 54, 156 97 150, 151 liv TABLE OF CASES. PAGE Lee V. Gaskell 44 Lee V. Griffin 8 Lee t'. Munn 219 Lee V. Risdon 44 Lee V. Sankey 325 Lee V. Soames ...296,297 Leech v. Schvveder ... 297 Leeming v. Snaith ... 164 Lees V. Nuttall 98 Leggett V. Barrett ... 39,318 Lehmann and Walker, Re 238 Leigh V. Paterson ... 204 Leppington v. Freeman 276,278,279 Leroux v. Brown 58 Leslie v. Thompson ... 68 Lester v. Foxcroft ... 60 Lesturgeon v. Martin 261 Lever v. Koffler 56 L'Evesque de Worcester's Case 152 Levita's Case 102 Levy V. Green 24, 164 Levy V. Stogdon 286 Lewis V. Branthwaite 217 Lewis V. Brass 27 Lewis V. Clay 64 Lewis V. Lyster 183 Lewis V. South Wales Rly. Coy. 235 Le viand and Taylor's Contract, Re 261,234,237,293 Lichfield Union v. Greene ... 183 Lickbarrow v. Mason 183, 193 Lillywhite v. Devereux 124,125 Limpus V. G. O. Coy. 102 Lindsay and Forder, Re 293 Lindsay Petrol Coy. v. Hurd 71, 73, 75 Litt V. Cowley 191 Livesey v. Harding ... 350 Llewellyn v. Jersey ... 311 Lloyd V. Bankes 114 Lloyd V. Grace 106 Lloyd V. Nowell 28,301 Lloyds' Bank and Lillington, Re 247,303,304 Lloyds' Bank v. Pearson 115 Locke V. Lomas 325 Lockett V. Nicklin 57, 182 Lockhart v. Reilly ... 184 Lockie and Craggs, Re 161 TABLE OF CASES. Iv Lodge V. Lyseley Loftus V. Roberts Logan V. Le Mesurier Lomas and Co. v. Banff London Assoc, of Shipowners v. London, &:c London Bridge Acts, Re London Corp. and Tubb, Ke ... London Freehold Coy. v. Suflfield London J. S. Bank v. Simmons Long V. Millar Long V. Preston Lonsdale v. Gaskarth Lord V. Lord Lord V. Stephens Love, Re Love and Stewart v. Instone and Co. Lovelock V. Franklyn Lovesey v. Palmer ... Low V. Low Lowes V. Lush Lucas V. James Lucas V. Tarleton Luddv's Trustee v. Peard Ludlow V. Charlton ... Luff V. Lord Lukey v. Higgs Lumley v. Ravenscroft Lyell V. Kennedy Lyle V. Richards Lynch v. Dalzell Lyons v. De Pass Lyon V. Weldon Lysaght v. Edwards ... ... 274, Lyttelton Times Coy. v. Warners L. B. & S. C. RIv. V. Truman L. C. D. Rlv. V. S. R. Rlv ... L. & N. W.Rlv. Cov. V. Bartlett ... L. S. W. Rly. V. Blackmore ... L. S. \V. Rlv. V. Gomm Macclesfield v. Davis ... Macey v. Metro. Board of Works Macfie V. Callander ... Mackay v. Dick Mackenzie v. Childers PAGE 290 63 ... 144, 145 164 ., Committee 3o3 317 317 37 194 39, 46, 48 213 ... 52 301 275 350 30 281 107 227 287 ... 56, 68 367 81 ... 12, 36 81 306 15, 233, 298 184 40 277 151 ...366,367 275, 27G, 21^, 280, 284 13» 353 212 187 354 354 209 358 351 ... 132, 199 331 Ivi TABLE OF CASES. PAGE Mackenzie v. Coulson ... ... ... ... 63 Mackreth 2>. Symons ... ... ... ... ... 280 Maclean -J. Dunn ... ... ... ... ...196,201 Macleay v. Tait ... ... ... ... ... 76 Maddison v. Alderson ... ... ... 57, 58, 59 Madeley v. Booth ... ... ... ... ... 232 McBlaine v. Cross ... ... ... ... ... 56 M'Carthy v. Capital and Counties Bank ... ... 287 M'Combie v. Davis ... ... ... ... ... 103 M'Culloch V. Gregory ... ... ... ... 227, 260 M'Donald v. Hanson ... ... ... ... 341 M'Namara v. Williams ... ... ... ... 278 M 'Queen v. Farquhar ... ... ... ... 304 McConnell v. Murphy ... ... ... ... 164 McEwan v. Smith ... ... ... ... ... 182 McGruther v. Pitcher ... ... ... .. 9 McKenzie v. Hesketh ... ... ... ...232,305 McLay and Co. v. Perry and Co. ... ... ... 164 McLaren, Re 179, 184 McMahon v. Field ... ... ... ... ... 213 McManus v. Fortescue ... ... ... 23,24,97,141 McMurray v. Spicer ... ... ... ... ... 49 McManus t;. Cooke ... ... ... ... ... 42,00 McPherson v. Temiskamming Coy. ... ... ... 155 Magdalen Hospital v. Knotts ... ... ... ... 257 Magee v. Atkinson ... ... ... ... ... 107 Magee v. Lavell ... ... ... ... ... 65 Maggenis ^». Fallon ... ... ... ... 261,276,278 Mahoney v. Davoren ... ... ... ... ... 250 Main's Case ... ... ... ... ... 281 Malins v. Freeman ... ... ... ... ... 195 Manchester Brewery v. Coombs ... ... ... 283 M. S. and L. Rly. Cov. v. No. Central Wagon Coy. .. 6 Mandel t;. Steel .." 200,210 Manders v. Williams ... ... ... ... 2, 145 Mangles v. Dixon ... ... ... ... ... 115 Manning, Ex parte ... ... ... ... -. 276 Mansell v. Mansell ... ... ... ... .- 281 March, Re 309 Market Overt, Case of ... ... ... ... 151 Markham v. Paget ... ... ... ... ... 9 Markwick v. Hardingham ... ... ... ■■ 7, 85 Marlborough, Re ... ... ... ... ... 58 Marlborough v. .Sartoris ... ... ■■■ • • 335 Marler Estates Ltd. v. Marler ... ... ... 99 Marner v. Banks ... ... ... ••• ■•• 152 TABLE OF CASES. Ivii Marquis of Ailesbury, Re Marquis of Ailesbury and Iveagh, Re Marriott v. Anchor Rev. Coy. Marsden v. Moore ... Marsh and Granville, Re ... ... ... 221, Marsh v. Jelf Marsh v. Jones Marsh v. Joseph Marsh v. Keating Marshall, Re Marshall v. Broadhurst Marshall v. Green ... ... ... 42, 43, 124 Marshall v. Poole ... Marston v. Phillips ... Marten v. Whale Martin v. Pycroft Martindale t;. Smith ... ... ... 144,181,196 Martineau v. Kitching Martini v. Coles ... ... "... Marvin v. Wallace ... Massey v. Nanney Matsoukis v. Priestman Mawson v. Fletcher ... May V. Belleville Mav V. Lane ... May -y. Piatt ... ... ... 39,50,63,65 May field v. Wadsley ... Measures Bros. v. Measures ... Meath v. Winchester Mechelen v. Wallace ... Mediana, The Meehan v. Bow Meehan v. N. E. Rly. Coy. ... Mellor V. Japing ... ... • Mellor V. W'almesley ... Menzies v. Menzies ... Mercer v. Liverpool Rly. Merchants' Banking Cov. v. Phoenix Steel Cov ... 176, ' 184, 186, Meredith v. May Mersey Steel Coy. v. Naylor ... ... 163,165, 167, Mess V. Duffus Messing v. Kemble ... Mestaer v. Gillespie ... Metcalfe, Re PAGE 334 336 340 235 248, 293 93 52 96 150 333 116 159, 181 200, 212 122 2, 154 57 197, 200 148 91 158 3 161 226, 228 323 113 316, 317 57 132 253 57 212 172 188, 191 170 40 63 359, 362 178, 183 192, 203 125 168, 296 203 366' 68 63 Iviii TABLE OF CASES. PAGE Metro. Rly and Cosh, Re ...294, 352, 354,358 Metro. Rly. v. Fowler 353 Michael v. Hart 198 Midgley v. Coppock ... 236, 237 Miles, Ex parte 184, 187 Miles V. Furber 365 Miles V. Gorton 177, 178, 179, 183 Miles V. Jarvis 347 Milford, &c., Coy. •:;. Mowatt ... 307 Milgate v. Keble ... 175 Millar's Karri Coy. v. Weddel 167 Miller v. Borner 164 Miller v. Sharp 60 Milligan v. Cooke 234 Mills"' Trusts, Re 284 Mills V. Ball 185, 186, 190 Milnes v. Gery 38,51,52,53 Minchin v. Nance 275 Minett v. Forester 109 Mirabita v. Imperial Ottoman Bank ... 148 Miramichi, The 148 Mitchell V. Holmes ... 254 Mitchell V. Xeale 323 Moakes v. Nicholson 182 Mody V. Gregson ...136,138,139, 140 Mogridge v. Clap 335 Moir V. Marten 100 Moline, Re: Ex parte Dyster 83,84,91 Moiling and Co. v. Dean 171 Molyneux v. Hawtrey 303 Molyneux v. Richard 293 Monckton and Gilzean, Re 306,315,319 Moneypenny v. Hartland 96 Monforts v. Marsden ... 51 Monighetti v. Wandsworth 311 Monro v. Taylor 50, 276, 278, 300, 303 Montague, Re 275 Montaignac v. Shitta 102 Montreal Assurance Coy. v. M'Gillivray 87, 88 Montreal, etc., Co. v. Sedgwick 129 Montreal Gas Coy. v. Vasey ... 23 Moody V. Corbett 354 Moody and Yates, Re 249,255,294 Moor V. Roberts 297 Moorcock, The 133 Moore v. Campbell ... 55,164 TABLE OF CASES. lix PAGE Moore v. Pyrke 36S Moore v. Shelley 160 Moore v. Singer Manufacturing Coy. 3,367 Mordaunt Bros. v. Brit. Oil and Cake Mills .. 192 Morgan v. Bain 175, 197, 203 Morgan v. Gath 163 Morgan v. Hill 184 Morgan v. Holford ... 299 Morgan v. Lariviere ... .. 199 Morgan v. Milman ... 51, 52, 53, 241 Morgan :•. Worthington 45 Morley v. Cook 224, 226 227, 251, 260 Morley 7-. Hay 182 Morris v. Cleasby 100 Morris v. Kearsley ... 251 Morrison v. Clarkson 172 Morrison v. Gray 183 Morrison v. Robertson .. 153 Morritt, Re ... 6 Mortimer -'. Bell 78, 142 Mortimer v. McCallan 107 Mortlock V. Buller 233, 302 305, 337, 341 Morton v. Lamb .. 157, 175 Morton v. Tibbett ... 123, 124, 125, 171, 172 Moss V. Sweet 5 Mostyn v. Mostyn 348 Moulton V. Edmonds 245, 253 Moxhay v. Inderwick 318 Moxon V. Payne 82 Moyce 7'. Newington ... 152 Mullens v. Miller 67, 73, 106 Mulliner z». Florence ... 182 MuUings V. Trinder ... 246, 303, 341 Munday v. Asprev ... 54 Mundy and Roper, Re 294^ 333, 336 Murgatroyd v. Wright 155 Murk -'. Huskisson ... ,. 230 Murray v. Mann 106 Mussen v. Price 200 Myers v. Watson 74 Napier v. Williams ... 9 Nash V. Dix ... 64 Nash V. Inman 16 Nash V. Wooderson ... 233 Ix TABLE OF CASES. PAGE Nat. Bank v. Hampson ... ... ... ... 150 Nat. Bol. Nav. Coy. v. Wilson ... ... 102 Nat. Prov. Bank, Ex parte ... ... ... ... 49 Nat. Prov. Bank and Marsh, Re ... ... 221,222,293 Nat. Soc. &c. V. Gibbs ... ... ... ... 317 Nathan, Re ... ... ... ... ... ... 178 Naylor v. Goodall ... * ... ... ... ... 49 Naylor and Spendla, Re ... ... ... ... 320 Neale and Drew, i?e ... ... ... ...233,234 Neate v. Ball ... ... ... ... ... 5 Neill V. Whitworth ... ... ... ... ... 162 Nelson v. Brj'dges ... ... ... ... ...276,278 Nelthorpe v. Holgate ... ... ... ...228,234 Nene Valley Commissioners v. Dunkley ... 47, 49, 50 Neville, Ex parte; re Lee ... ... ... ... 97 Neville, Re; Ex parte White ... ... ... 7, 8, 85 New V. Swain ... ... ... ... ... 178 Newbigging v. Adam ... ... ... ... ... 71 Newcombe v. De Roos ... ... ... ... 33,35 Newell V. Radford ... ... ... ... ... 48 Newman v. Maxwell ... ... ... ... 277 Newman v. Newman ... ... ... ... 114 Newman v. Thurston ... ... ... ... 184, 185 Newsom v. Thornton ... ... ... 91, 184, 185 Nichol V. Bestwick ... ... ... ... ... 206 Nicholl V. Ashton ... ... ... ... ... 129 Nicholls V. Le Feuvre ... ... ... ... 190 NichoUs V. White ... ... ... ... ... 125 Nichols and Van Joel's Contract, Re ... ... 292, 303 Nicholson v. Bradfield ... ... ... 164, 165, 166 Nicholson v. Knapp ... ... ... ... ... 272 Nicol V. Hennessey ... ... ... ... ... 120 Nisbett and Potts' Contract, Re ... ... 221,247,330 Nix V. Fitzwiiliam ... ... ... ... ... 368 Nixon V. Verry ... ... ... ... ... 184 Noble zi. Edwardes ... ... ... ... 223,240,297 Noel V. Weston ... ... ... ... ... 323 Nokes V. Kilmorey ... ... ... ... ... 223 Norfolk V. Worthy ... ... ... ... ... 231 Norman v. Phillips ... ... ... ... ... 172 North V. Percival ... ... ... ... 29, 38, 231 North V. Loomes ... ... .-.. ... ... 122 N. B. Rly. V. Budhill, &c., Coy. ... ... ... 363 N. B. Rly. t;. Todd ... ... ... ... ... 353 Northcote v. Doughty ... ... ... ... 15 N. E. Rly V. Reg. ... ... ... ... ... 106 TABLE OF CASES. Ixi' Norton v. Davison ... Nottingham Brick Coy. v. Butler Nouaille v. Flight Noyes v. Patterson ... Nugent V. Nugent Nutt V. Easton PAGE 126 66. 77, 217, 221, 23U, 240, 24-3, 330, 331 235 24S 350 98,345 V. Love and Stewart Oakbank Oil Coy Oakden v. Pike Oakes v. Turquand ... Oceanic Steam Nav. Coy. v. Ockenden v. Henley ... Offord V. Davies Ogdens, Ltd. v. Weinberg Ogg V. Shuter Ogilvie 2>. Foljambe ... Ogle V. Vane Okell V. Smith Oliver v. Court Oliver v. Hunting Onslow V. Londesborough Oppenheimer v. Attenborough Oppenheimer v. Eraser Orange and Wright, Re Ord V. Noel Oriental S. S. Coy.* v. Tylor Orme v. Wright Ormes v. Beadel Ormrod v. Huth O'Rorke v. Bolingbroke Osbaldiston v. Askew Osborne v. Foreman Osborne v. Harvey ... Overend, Gurney and Co. v. Owen V. Davies Owen V. Legh Owen V. Thomas Oxendale v. Wetherell Sutherberry Gibb 30 ... 224, 225 74 341 241 34 113 148, 159, 196 40, 45, 46, 49, 56, 244, 301 156, 161, 205, 206 172 336.337,341 ... 39,48 ...238,242 104 ...104,131 294 ...302, 336,337,341 133 336 79 51 80 304 349 279 97 291 367 49,55,300 ...121.163, 165, 166 Padwick v. Hurst Padwick -•. Stanley Pagani, Re ... Page V. Adam Page V. Cooper 102 102 291 226 333 Ixii TABLE OF CASES, PAGE Page V. Mid. Rly. Coy. 31o, 316,317 Page V. Morgan 123 Page V. Newman 200 Page V. Norfolk 28 Paget V. Marshall ... 63, 65 Paget V. Wilkinson ... 51 Paine v. Meller 273, 276, 277, 278, 282 Palairet 7;. Carew 337 Palliser v. Gurney 19 Palmer v. Goren 277 Palmer v. Johnson ... 39 Palmer v. Temple ...219,240 Palmerston v. Turner 231 Panoutsos v. Raymond Hadley Corp. ... 132, 167 Pape V. Westacott 365 Parchim, The 148, 159 Parfitt V. Jepson 141 Pariente v. Lubbock 90,95 Parker v. Crisp and Co. 126 Parker v. Gossage ... 184 Parker v. McKenna ... 81,98 Parker v. Palmer 171 Parker v. Tootal 303 Parker v. Wallis 124, 172 Parkinson v. Lee 138 Parr v. Lovegrove ... ... ...244 245, 246, 248, 253, 280 Parton v. Crofts 46 Patching v. Bull 307 Patman v. Harland ... 330 Patten v. Thompson ... 183, 194 Pattenden v. Hobson 337 Pattison v. Robinson ... 161 Pattle V. Hornibrook 40,63 Paul V. Dod ... 200 Pauley and London Prov. Bank, Re ... 284,342 Paxton V. Newton 298 Payne v. Cave 34,35,141 Payne v. Cork Coy. Ltd. 341 Payne v. Drewe 155 Pavne v. Fern 150 Payne v. Leconfield ... 92 Pearce v. Bastable's Trustee ... 286 Pearce v. Gardner 47,337 Pearce v. Watts 300 Pearson v. Benson ... 20 Pearson v. Dawson ... 192 TABLE OF CASES. Ixiii PAGE Pearson v. Pearson ... 59 Pearson v. Scott 106 Pease v. Courtney 331 Pechel V. Fowler 33d Peck and London School Board, Re ... 313,314 Pedder i-. Hunt 247 Peek V. Gurney 76 Peer v. Humphrey ... 149 Pegg V. Wisden 223 Pegler v. White 258 Peirce v. Corf 55 Pelly and Jacob, Re ... 231 Pember v. .Mathers ... 59 Pemberton v. Barnes 349 Pemsel and Wilson v. Tucker 233 Penn v. Baltimore ... 29S Penny v. Penny 361 Perfect v. Lane 73 Perham v. Kempster 282 Perkins v. Bell 170, 171, 172 Perriam, Re 306 Perry v. Smith 230 Perry v. Sufifields 32, 33 Peru Repub. v. Peruvian Guano Coy. ... 95 Peter v. Nicholls 302 Peters v. Lewes, &c., Rly. Coy. 334 Peterson v. Eyre 204 Phelps V. Comber 183, 190, 195 Phillimore v. Barry ... 56 Phillips V. Alhambra Palace Coy. 116 Phillips V. Caldcleugh 50, 245 Phillips V. Dickson ... 184 Phillips V. Eyre 96 Phillips V. Homfray ... ... .. •• 77 Phillips V. Silvester ... 274 Philpot V. Lehain 365 Phillpotts V. Evans 201, 202, 203 Phoenix Assurce. Coy. v. Spooner 277 Phoenix Steel Coy., Re ... 157,178,183, 1^4, 186, 192, 203 Pickering v. Busk ... S6,SS , 90, 103 Pickering v. Ely 29S Pickett V. Loggon 316 Pickles V. Sutcliffe ... 300 Pignatoro v. Gilroy ... 146 Piggott V. Birtles 365, 367 Pigott and G. W. Rly. Coy .,'Re 280, 293, 294 Ixiv TABLE OF CASES. Pilcher v. Rawlins Pimm V. Insall Pinciiin v. London & Blackwall Rly. Pitt V. Shaw- Pitt V. White Pitts V. Beckett Plant V. Bourne Plasycoed Collieries Coy. v. Partridge Playford v. Mercer ... Plevins v. Downing ... Plews V. Samuel Pole V. Leask Polenghi Bros. v. Dried Milk Coy. Pollard V. Clayton Pollard V. Gare Pollitt, Re ... Ponsford and Newport School Board, Re Ponsford v. Union of London, &c., Bank Poole V. Adams Poole and Clarke, Re Poole V. Hill Poole V. Shergold Pope, Re Popple and Barratt's Contract, Re Poppleton V. Buchanan Pordage v. Cole Portman v. Mill Postlethwaite v. Freeman Pott V. Flather Potter V. Duffield Potter V. Sanders Poulton V. Anglo-American Oil Coy. Poulton V. Lattimore Poussard v. Spiers Powell V. Doubble Edmonds ... Elliott 352 Powell V. Powell V. Powell V. Powell V. Hyland Jones Powell V. Marshall ... Powell V. Marshall Parkes & Co. Powell V. Martyr Power V. Barham Powle V. Gunn Poynter v. Buckley ... Price V. Macaulav ... PAGE 281 349 358, 360 367 349, 351 55 40,49 3,367 162 156, 161 273, 278 86, 88, 9D 170 209, 298 314 287 294 287 277 318 237 274, 278 256 292 246 157 68, 239 160 202 48, 300 281, 282 181, 192 200 168 232 39 304 79 95 295 287 279, 280 131 58 368 232 TABLE OF CASES. Ixv PAGE Price V. Metropolitan House Coy. ... ... ... 96 Price V. North ... ..." ... ... ... 233 Prickett -.'. Badger ... ... ... ... ... 100 Priddle v. Wood ... ... ... ... ... 50 Priest V. Last ... ... ... ... ...138,139 Priestley and Davidson, Re ... ... ... ...224,251 Priestley v. Fernie ... ... ... ... ... 104 Prince v. Clarke ... ... ... ... .. 95 Prinz Adalbert, The ... ... ... ... ...148,158 Prior V. Moore ... ... ... ... ... 85 Prior V. Penpraze ... ... ... ... ... 290 Pritchard i;. Ovev ... ... ... ... ... 52, 299 Proud V. Bates ' ... ... ... ... ... 323 Proudlove v. Twemlow ... ... ... 367 Pryce Jones and Williams, i?e ... Public Trustee v. Lawrence ... ... ... .. 343 Puckett and Smith, /?e ... ... ... 233,239,296 Pulbrook V. Lawes ... ... ... ... ... 57, 58 Purvis V. Rayer ... ... ... ... ... 245 Pvm V. Campbell ... ... ... ... . . 63 Pyrke x». Waddingham ... ... ... 244,303,-341 Quincy, Ex parte ... ... ... ... ... 241 Ouinion v. Home ... ... ... ... ... 228 Rabbidge, £.\- /)ar/e ... ... ... ... ...286,287 Rabe v. Otto ... ... ... ... ... 200 Radcliffe v. Evans ... ... ... ... ... 212 Radenhurst v. Bates ... ... ... ... ... 10 Raffles V. Wichelhaus ... ... ... ... 65 Rainbow v. Hawkins ... ... ... ... 92, 97 Raitt V. Mitchell ... ... ... ... ... 175 Ralph V. Horton ... ... ... ... ... 351 Ramsay 7>. Margrett ... ... ... ... ... 2 Ramsden v. Hurst ... ... ... ... ... 217 Ramsden v. Manch. &c., Rly. Coy ... ...353,358 Randall v. H.ill ... ... ... ... ... 74 Rawson v. Johnson ... ... ... ... ... 157, 195 Ray, Re ... ... ... ... ... ... 316 Ray V. Walker ... ... ... ... ... 354 Rayner t;. Preston ... ... ... ... 273.276,277 Rayner's Trustees and Greenaway, Re ... ... 340 Read v. .'\nderson ... ... ... ... ... lO'J Read v. Price ... ... ... ... ... 44 Read v. Shaw ... ... ... ... ' ... 341 B Ixvi TABLE OF CASES. PAGE Reddall v. Union Castle Coy. ... ... ... 187 Reddin v. Metro. Board ... ... ... ... 361 Recjgrave v. Hurd ... ... ... ... 71, 73, 76, 77 Reed, Re ... ... ... ... ... ... 64 Reese River Coy. v. .Smith ... ... ... ... 74 Reeve v. Berridge ... ... ... ... ...221,303 Reeve v. Palmer ... ... ... ... ... 195 Reeves v. Gill ... ... ... ... 237 R. V. Ambergate Rly. Coy. ... ... ... ... 357 R. V. Commrs. of Woods and Forests ... ... ... 36t3 Reg. V. Cooper ... ... ... ... ... 56 Rex V. Demers ... ... ... ... ... 23 R. V. Garland ... ... ... ... ... 320 R. V. Jones ... ... ... ... ... ... 182 Rex. V. Kane ... ... ... ... ... 83 R. V. Kennedy ... ... ... ... ... 362 Rex V. Kent JJ. ... ... ... ... ... 67 R. V. L. S.W. Rly 360 Rex z>. Longnor ... ... ... ... ... 63,87 R. V. Marsh ... ... ... ... ... ... 141 Rex V. Vice Registrar Land Registry ... ... 265 R. V. Wilson ... ... ... ... ... 320 Regent's Canal Coy. v. Ware ... ... ...280,363 Reid V. Bickerstaff ... ... ... ... ... 330 Reid V. Hoskins ... ... ... ... ... 208 Reid V. Shergold ... ... ... ... ... 341 Reis, Re ... ... ... ... ... ... 286 Renals v. Cowlisham ... ... ... ... 330 Rendlesham v. Meux ... ... ... ... 338 Reuss V. Picksley ... ... ... ... ... 54,55 Reuter v. Sala ... ... ... ...133,163,165,166 Reynolds v. Hooper ... ... ... ... ... 56 Reynolds v. Nelson ... ... ... ... ... 229 Rhodes v. Forwood ... ... ... ... ... 108 Rhodes v. Selsey ... ... ... ... ... 212 Riccard x;. Pritchard ... ... ... ... ... 113 Richards, Re ... ... ... ... ... 115 Richards v. Porter ... ... ... ... ... 55 Richards v. Swansea Improvement Coy. ... ...360,361 Richards v. Symons ... ... ... ... ... 181 Richardson v. Oxford ... ... ... ... 96 Richmond v. N. L. Rly. Coy ... ... 360 Ricket V. Metro. Rly. Coy. ... ... ... ... 361 Ridgway v. Gray ... ... ...233,235 Ridgway v. Sneyd ... ... ... ... ... 66 TABLE OF CASES. Ixvti PAOK Ridgway v. Stafford ... ... ... ... ... 368 Ridgway v. Ward ... ... ... ... ... 160 Ridgway v. Wharton ... ... ... 37,46,47 Ridout ?;. Fowler ... ... ... ... ...273,291 Rigge V. Burbridge ... ... ... ... ... 210 Riley to Streatfield, Re ... ... ... ... 230 Rimmer v. Webster ... ... ... ... 82 Ripley v. McClure ... ... ... ... ... 203 Rippinghall v. Lloyd ... ... ... .. 2o3 Roberts v. Berry ... ... ... ... ... 223 Roberts v. Brett ... ... ... ... ... 160 Roberts v. Gray ... ... ... ... ... 16 Roberts v. .Marchant ... ... ... ... 2^4 Roberts v. Wyatt ... ... ... ... ... lUo Robey v. Arnold ... ... ... ... ... 100 Robins v. Evans ... ... ... ... ... 216 Robinson, Re ... ... ... ... ... 347 Robinson v. Harman ... ... ... ...198,297 Robinson t;. -Mollett ... ... ... ... 89,92,93 Robinson v. .Musgrove ... ... ... ...223,232 Robinson v. Rutter ... ... ... ... ... 220 Robinson v. Waddington ... ... ... ... 366 Robson V. Drummond ... ... ... ... 110, 116 Rochefoucauld v. Boustead ... ... ... ... 88 Rocke V. Hills ... ... ... ... ... 366 Roden v. Eyton ... ... ... ... .. 366 Roderick v. Aston Local Board ... ... ... 353 Rodgers v. Parker ... ... ... ... ... 367 Rodwell V. Phillips ... ... ... ... ... 13 Rogers v. Hadley ... ... ... ... ... 40 Rogers ti. Hosegood ... ... ... ... ■•. 330 Rohde V. Thwaites ... ... ... ... ... 146 Roots V. Dormer ... ... ... ... ... 39 Roper V. Johnson ... ... ... ... ■. 205 Rose t>. Watson ... ... ... ... ...273,280 Rosenbaum v. Belson ... ... ... •■• 93 Rosenberg v. Cook ... ... ... ... •• 225 Rosevear China Clay Coy., Ex parte, Re Cock ... 162, 185, 186 Rossdale v. Denny ... ... ... ... ... 30, 38 Rossiter V. Miller ... ... ... ... 27,38,49 Roth V. Taysen ... ... ... ... •.• 203 Rothschild V. Brookman ... ... ... ■•• 98 Routledge v. Grant ... ... ... ... 30 Row V. Dawson ... ... ... ... ■•• HI Rowe Bros. v. Crossley ... ... ... ... 210 Ixviii TABLE OF CASES. Roxburghe v. Cox Roy. Bank of Canada v. Rex Roy. Bristol, &c., Socy. v. Bomash Ruck V. Hatfield .". Rucker v. Cammeyer Rudd V. Lascelles Rugg V. Minett Russell V. Harford Russell V. Plaice Russell V. Shoolbred ... Ryall V. Dowies Ryder v. Wombwell ... PAGE ... 111,115 213 ...274,275 180 91 ... 233, 305 ... 144, 145 239 338 184 114 16 St. Albans v. Shore ... St. Thomas' Hospital v. Charing Cross Rly. ... St. Thomas' Hospital v. Richardson ... Sale V. Lambert Salisbury v. G. N. Rly. Coy. ... Salmon v. Randall Salomon v. Brownfield Salomon v. Salomon & Co. Salomons v. Nissen ... Salter v. Metro. Rly. Coy. Salton V. New Beeston Cycle Coy. Salvesen v. R.A.N. ... Samuel v. Duke Sandbach and Edmondson, Re Sandeman v. .Senor Sander and VValford, Re Sanders v. Jameson ... Sanders v. Maclean ... 125, 133, Sanders v. Sadler Sanderson v. Graves Sansom and Narbeth, Re Santa Fe Coy. v. Forestal Land Coy. Sard V. Rhodes Sari V. Bourdillon Saunders v. Topp Saunderson v. Jackson Savill Bros. v. Bethell Sawyer and Baring, Re Saxby v. Thomas Schmaling v. Tomlinson Schneider v. Norris ... Scholfield V. Londesborough ... 244 360 286 19 357 357 100 11 194 360 109 94 155 ... 293,294 189 237 172 158, 180, 192, 193 145 43 311 29 183 45 171 ... 47,56 300 ...242,317 225 . 95, 111 56 103 TABLE OF CASES. PAGE Schotsman v. L. & Y. Rly. ... ... 185, 191 Scorell V. Boxall 43 Scott and Alvarez, Re 2iy, 221, 222, 293, 297 Scott V. Avery 53 Scott V. Coulson ... 61,128 Scott :;. England 199 Scott V. Hanson ... 73,304 Scutt V. Jackman 243 Scott V. Littledale 67 Scott V. Nixon 247 Scott V. Sebright 79 Scrivener t;. G.N. Rly. Coy. ... 180 Seaman v. V'avvdrey ... 217,234 Seddon v. N.E. Salt Coy. 75 Selby V. Bowie 336 Sellick V. Turner 221 Selwyn v. Garfitt 345 Senecal v. Pauze ... 4 Seton V. Slade 55,84 , 93, 108, 224, 299 Sewell V. Burdick {see Burdick v. Sewell) 194 Seymour, Re 6 Seymour v. Pychlan ... 94 Shackleton v. Sutcliffe . ...233,303 Shannon v. Bradstreet 284 Shardlow v. Cotterell 48, 49, 299 Sharman v. Brandt ... 92 Sharp V. Christmas ... 159 Sharp V. Gt. W. Rly. 172 Sharpe v. Fowie 366 Shaw V. Foster .27.S, , 278, 282, 283 Sheard v. Venables ... 227 Sheers v. Thimbleby 48 Sheffield Nickel Coy. v. Unwin 75 Sheldon v. Cox 4 Shell Transport Coy., Re 162 Shelley v. Nash 80 Shepherd v. Croft 68, 233, 239, 296, 303 Shepherd v. Harrison 148 Shepherd v. Norwich Corp. 358 Sheppard, Re 324 Sherwin v. Shakspear 224. 231, 274, 275. 27S Shipton, Anderson & Coy. v. Weil Bros. 163 Shipton V. Casson 163 Shrewsbury, &c., Rly. v. L. N. W . Rly. 302 Sibtree v. Tripp 183 Ixx TABLE OF CASES. Sidebotham v. Barrington Sidney v. Ranger Sievewright v. Archibald Siffken v. Wray Simpson v. Hartopp Simpson v. Henderson Simpson v. Hughes and Armstrong ... Simpson v. Lane, and Carl. Rly. Simpson and Moy, Re Simpson v. S. Staffs. Wat. Coy. Sims V. Bond Sims V, Marryat Sims V. Tuffs Sinnott v. Bowden Skeate v. Beale Skull V. Glenister Small V. Attwood {see Attwood v. Small) Smally v. Smally Smart v. Harding Smart v. Sanders Smethurst v. Taylor ... Smith, Re Smith V. Burnam Smith V. Chadwick ... Smith V. Chance Smith V. Hudson Smith V. Hughes Smith V. Jackson Smith V. Jeffreys Smith V. Kay Smith V. Land Corporation ... Smith V. Myers Smith V. Peters Smith V. Robinson ... ... Smith V. Surman Smith V. Wallace Smith t'. Wheatcroft ... Smith V. W'inter Smithson v. Powell Sneezum, Re .Soames v. Edge Societe Anon. Russo-Belge v. Scholefield Solly V. Rathbone Solomon and Meagher, Re .Somerset v. Cookson PAGE 261 ...349,350 44, 46, 105 ... 184,190 365 160 229 359 223 353 105 51 365 277 79 216 71, 72, 279 87 42 91, 109, 255 105 337 224 69, 72, 76 159, 161, 162 125 22, 65, 67 220 65 ... 72, 76 73 12S 52 222 43, 45, 55 ... 225,228 64 199 ... 223, 233 283 299 165 101 345 209 TABLE OF CASES. Ixxi PAGE Somerville and Furness, Re ... ... ... ... 342 Somerville and Turner, Re ... ... . ...284,285 Somes 7;. B. E. Shipping Coy. ... ... 173,177,191 Soper V. Arnold ... ... ... ... 126,219,240 Soper V. Kemp ... ... ... ... ... 226 Souter V. Drake ... ... ... ... ... 244, 245 S. E. Rly. V. Assoc. Portland Cement Coy. ... ... 329 South of Ireland Colliery v. Waddle ... ... 87 Southby V. Hutt ... ... ... ... ...253,261 Southern v. Harriman ... ... ... ... «50 South Wales Rly. v. Wythes ... ... ... 300 Southwell V. Bowditch ... ... ... ... 107 Spackman v. G. W. Rly. Coy. ... ... ... 361 Spalding v. Ruding ... ... ... ... ... 194 Sparkes z;. Marshall ... ... ... ... ... 146 Sparrow and James, Re ... ... ... ... 311 Sparrow v. O.xford, &c., Rly. Coy. ... ... ...358,361 Spartali 2;. Benecke ... ... ...157,182 Sp>encer's Case ... ... ... •• ... 329 Spencer v. Clarke ... ... ... . . ... 114 Spencer v. Harding ... ... ... ... ... 23 Spiller V. Spiller ... ... ... ... ... 281 Spindler and Mear, i?e 227,293 Spoor V. Green ... ... ... ... ... 67 Sprague v. Booth ... ... ... . ••. 219 Spurrier v. Hancock ... ... •■■ 223 Spurrier v. Le Cloche ... ... . ••• 53 Staines, Re ... ... ... ... .- ••• 347 Stamford and Knight, Re 249,251,252,293 Stamps V. Birm. &c. Rly. ... ... ... ... 359 Stanley v. Dowdesley ... ... .- ... 25 Stanton V. Tattersall ... .... ... .- ••• 261 Stapleton, Ex parte ... ... .•• ••• ...203,287 Stapvlton V. .Scott ... ... ... ... .. 68 Starr-Bowkett, i?e 225,228,261 Startup V. Macdonald ... ... ■■ ••• 162 Staunton v. Wood ... ... ... .• ••• 157, 160 Stebbing v. Metrop. Board ... ... .• •. 362 Stedman, Re 349,351 Steedman v. Drinkle ... ■■■ .•• ■•■ 223 Steel, Re 232 Steele v. Mid. Rly. Coy. ... ... ... ... 360 Steer v. Crowley ... ... ... ... 260 Stein, Forbes & Co. 7;. County Tailoring Coy. ... ... 200 Stephens v, Venables ... •• ••• •■■ •'3 Ixxii TABLE OF CASES. PAGB Stevens v. Austen ... ... ... ... ... 337 Stevens v. Biller ... ... ... ... ... 83,91 Stevens v. Guppy ... ... ... ... ... 262 Stevens v. Theatres, Ltd. ... ... ... ... 346 Stevenson v. Aktien. f. C.-l. ... ... ... ... 108 Stevenson v. Maclean ... ... ... ... 34 Stevenson v. Newnham ... ... ... ... 74 Stewart t;. Alliston ... ... ... ... 231,232,300 Stewart v. Cauty ... ... ... ... ... 202 Stewart t;. Kennedy ... ... ... ... 59,62,63,04 Stickney v. Keeble ... ... ... ... ... 229 Stock V. Inglis ... ... ... ... 149,159,162 Stock t;. Meakin ... ... ... ... ...236,237 Stockton and Darlington Rly. v. Brown ... ... 353 Stoddart v. Union Trust ... ... ... ... 115 Stogdon V. Lee ... ... ... ... ... 19 Stokes V. Whicher ... ... ... ... ... 39,48 Stone V. Marsh ... ... ... ... ... 150 Stone V. Yoevil Corpn. ... ... ... ...356,362 Stoneham v. Stoneham ... ... ... ... 6 Stones V. Dowler ... ... ... ... ... 39 Stoveld 7^. Hughes ... ... ... ... ...182,192 Stowell 7). Robinson ... ... ... ... ... 229 Strafford and Maples, Re ... ... .. ... 231 Streets. Blay ... ... ... ... ...200,210 .Strickland t;. Turner ... ... ... 61,66,128,213 Strong V. Hawkes ... ... ... ... ... 238 Stroud V. Austin ... ... ... ... ... 205 .Stroughill V. Austen ... ... ... ... ... 338 Stuart V. Kennedy ... ... ... ... ... 68 Stuart T». L. N. W. Rly. ... ... ... ... 300 Stuart and Olivant and Seadon's Contract, Re ... 252 Stubbs t;. Holywell Rly. Coy. ... ... ... ... 116 .Studds V. Watson ... ... ... .. ... 45,47 .Stumor V. Breen ... ... ... ... ... 97 Sumner v. John Brown & Coy. ... ... ... 126 .Surtees v. Woodhouse ... ... ... ... 236 Sutherland v. Allhusen ... ... ... ... 159 Sutton V. Tatham ... ... ... ... ... 92 .Sutton's Hospital, Case of ... ... ... ... 13 Swaisland v. Dearsley ... ... ... ... 65, 216 Sweet V. Meredith ... ... ... ... ... 306 Sweets;. Pym ... ... ... ... ...101,181 Sweeting v. Pearce ... ... ... ... ... 88, lOG Sweeting V. Turner ... ... ... ... ...144,148 TABLE OF CASES. Ixxiii Swinbanks, Ex parte Symes v. Hutley Symington v. Cal. Rly. Symons v. James Synge v. Synge Coy. PAGE 323 164 363 216 281 Tailby v. Official Receiver 'i'aniplin v. James Tiincred Arrol & Coy. v. Steel Coy. .. Tancred v. Delagoa Bay Coy. ... Tancred v. Leyland ... Tanner v. Scovell Tanner v. Smith 'ianqueray-Willaume and Landau, Re . Tansley v. Jurner Tarling v. Baxter 'J'ariing v. O'Riordan T.isker v. Shepherd ... Tasker v. Small late V. Williamson ... Taylor, Re ... Taylor v. Brown Taylor v. Bullen Taylor v. Caldwell Taylor v. Chambers ... Taylor v. G.E. Rly. ... Taylor v. Jones Taylor v. Kymer Taylor v. London, &c., Banking Coy Taylor v. Martindale Taylor v. McKeand ... Taylor v. Russell Taylor v. .Smith Taylor v. Stibbert Taylor v. Wakefield ... Teal V. Auty Teebay v. Manch. etc., Rly. ... Tennant v. Trenchard Tennants v. C. E. Wilson Terry and White, Re Tetley v. Shand Thackwray and Young, Re Thames Plate Glass Coy. v. Land, etc., Thol V. Henderson Thomas, Bartley and Thomas, Re 225, Tele ... 113, 127 ... (33,65 164 112 366 179 ...226,227 225 125,144,181 144 165 116 9, 10 82 286 223 136 ...130,276 151 ...124,188 121 101 260 216 150 282 46 281 125 43 318 350 161 228, 239, 240, 294, 305 171 ... 294,303,3-54 graph Cov. ... 289, 290 ...206,207 349 Ixxiv TABLE OF CASES. PACK Thomas v. Brown ... ... ... ... ... 58, 213 Thomas v. Uering ... ... ... ... ... 234, 305 Thomas v. Fredericks ... ... ... ... 54 Thomas v. Harrowing S.S. Coy. ... ... ... 156 Thomas v. Sorrell ... ... ... ... ... 159 Tliomas v. Williams ... ... ... ... 57 Thompson v. Gardiner ... ... ... ... 46, 105 Thompson v. Hickman ... ... ... ...311,363 Thompson v. Trail ... ... ... ... ... 180 Thomson v. Davenport ... ... ... ... 104, 105 Thomson v. Eastwood ... ... ... ... 81 Thorne r. Heard ... ... ... ... ...106,346 Thornett t'. Haines ... ... ... ... 23,78,141,142 Thornhill v. Neats ... ... ... ... ... 132 Thornley v. Thornley ... ... ... ... 309 Thornton v. Kempster ... ... ... ... 31, 105 Thoroughgood's Case ... ... ... ... 64 Thuman v. Best ... ... ... ... ... 84,93 Thurnell v. Balbirnie ... ... ... 54 Thursby v. Eccles ... ... ... ... ... 59 Thurston v. Nottingham Bldg. Socv. ... ... •■• 16 Tigress, The ' 184, 185, 190, 191 Tilley v. Bowman ... ... ... ... •-. 153 Tilley z'. Thomas 223,229,235,274 Tingley v. Muller ... ... ... ... ... 255 Tiverton, . Pike ... ... ... ... . 75 Ixxvi TABLE OF CASES. PAGE Vigers t;. Sanderson ... 137 Vimbos, Ltd., Re 85 Viney v. Chaplin 322, 323 Von Hatzfelt-Wildenberg v. Alexander 25, 29, 38 Voss, Re, Ex parte Llansamlet Tin Coy. 206 Vowles V. Bristol 228 Waddeil v. Blockey ... 202 Waddell v. Woolfe ... . 221, 245 Waddington v. Oliver 163, 165 Wadmore v. Toller ... 232 Wain V. Warlters 51 Wait V. Baker 12o , 168, 180 Wake V. Harrop . 40, 63 W'akeman v. Lindsey 365 Walden, Ex parte 6 Waidron v. Jacob 49 Walford, Re ... 351 Walker and Oakshott, Re ... 295 322, 337 Walker v. Bradford Old Bank 114 Walker v. Crabb 84 W^alker v. Drakeford 150 W'alker v. Xussey 126 W^alker v. Shore 337 Walker v. Southall ... 338 Walker v. Spooner ... 330 W^alkers and Shaw, Re 138 Wallace v. Roe 92 Waller v. Hendon and Cox ... 88 Wallis and Barnard, Re 292, 294 315, 319 W'allis and Grout, Re 246 Wallis V. Pratt .132, 137 172, 211 Wallis V. Russell 66 138, 139 Wallis V. .Sarel 231 Wall V. Bright 272, 278 Walmesley and Shaw, Re 293, 313 Walpole 7'. C)rford 301 W'alstab v. Spottiswoode 213 W' alter v. Maunde 243 Wancke v. Wingren 162 Want V. Stallibrass ... ... 219,224, 225, 251, 260, 295 Ward V. Duncombe ... 114, 115 Warde v. Dixon 224, 227 Waring v. Ward 318 Warlow V. Harrison ... 23, 141 TABLE OF CASES. Ixxvii Warner v. Jacobs Warner v. Willington Warren v. Richardson Warwick v. Bruce Washburn v. Burrows Waterhouse, Re Waters v. Towers Watkins v. Rymill Watson, Ex parte Watson V. Marston Watson V. Swann VVatteau v. Fenwick Watts V. Friend Watts V. Watts Wauton V. ('oppard ... Webb V. Hughes W'ebb V. Manch., Ike, Rly. ... Webb V. Smith Webster v. Cecil Webster v. Donaldson Wedgwood V. .Adams ... W^eeding v. Weeding ... Weeks v. Goode Weekes v. Gallard Weiner v. Gill Weiner v. Harris Weir, Re Weir V. Union S.S. Coy. Welcome v. Upton Weld V. S. \V. Rly. ... Welford v. Beazely ... Wellaway v. Courtier Wells V. Maxwell Wells V. Smith Welsh r. Rose Wentworth v. Cock ... Wentworth v. Outhwaite Wertheim v. Chicoutimi Pulp Coy. West of England, Ike, Coy. v. Isaacs ... West V. De Wezele ... West London Comm. Bank i'. Reliance Western v. Russell Weston V. Savage Weston and Thomas, Re Westwood V. Cowne Westzinthus, Re Building Soc\. .. '50 PAGE 345 54 222 15 43 237 208 121 190 ... 62,302 96 102 ... 43, 123 ...277,359 67 ... 229,230 353 114 69 278 302 299 ... 101, 182 .53 145 ... 86, 104 265 189 258 357 44 43 280 76 365 116 1 70. 187, 195 ...205,207 277 68 346 233, 305 297 228, 294 366 191, 191 Ixxviii TABLE OF CASES. ^^'heatley v. Westminster Brymbo Coy Wheeldon v. Burrows ... Wheeler v. Collier Wheeler v. D'Esterre Whincup V. Hughes ... W'histler v. Foster Whiston's Settlement, Re White and Smith, Re ... White -J. Cuddon White V. Damon White V. Ellis White, Ex parte White V. Foljambe ... White V. Gainer White V. Nutts White V. Proctor White V. Spettigue White V. White White V. Williams Whitehead v. Anderson Whitehorn Bros. v. Davison Whiteley, Ltd. v. Hilt Whiting to Loomes Whitley Partners, Re W'hittaker v. Whittaker Whittam, Re Whittemore v. Whittemore Whitting, Re Whittington v. Corder Whitworth v. Gaugain Wigan V. English Corporation Wiggins V. Lord W'igram v. Buckley W'igram v. Fryer Wilde V. Forte Wilde V. Watson Wilding V. Sanderson W'ilkins v. Birm. Corp. Wilkinson v. Evans ... Wilkinson v. King Wilkinson v. Lloyd ... Wilkinson v. Martin W'ilks V. Davis Willett and .\rgenti. Re Williams and Newcastle, Re Williams v. Agius PAGE 298 314 141 229 214 149 315 217, 293 303 ... 217, 302 337 298 115 7, B, 85 341 182 276 36, 84, 92 160 63 162 184 ,187 188 153 . 154 ,208 . 239 294 87 285 348 239 113 217 290 194 220 263 358 223 93 63 . 359 361 . 47, 54 151 159 100 . 51 241 238 ,252, 294 . 238, 294 204 TABLE OF CASES. Ixxix PAGE Williams v. Bayley ... ... ... ... ... 79 Williams v. Glenton ... ... ... ... 230, 231, 297 Williams v. Lake ... ... ... ... ... 48 Williams v. Lloyd ... ... ... .... ... 2.%' Williams v. Millington ... ... ... ... 92 Williams v. .Morgan ... ... ... ... .. 318 Williams i;. Phillips ... ... ... ... ... 249 Williams v. Reynolds ... ... ... ... 206 Williams v. Spargo ... ... ... ... ... 221 Williamson v. Allison ... ... ... ... 51,210 Willion V. Berkeley ... ... ... ... ... 152 Willoughby, Ex parte ... ... ... ... 175 Willoughby v. Backhouse ... ... ... ... 367 Willoughbv V. Willoughby ... ... ... ...281,282 Wills V. Stradling ... ' ... ... ... ... 60 Wilmot V. Pike ... ... ... ... ... 282 Wilmot V. Wilkinson ... ... ... ... 222 Willmott V. Barber ... ... ... ... ... 302 Wilmott V. Gardner ... ... ... ... ... 212 Wilmshurst v. Bowker ... ... ... ... 197 Willson V. Leonard ... ... ... ... ... 323 Wilson's Case ... ... ... ... ... 34 Wilson V. Breadalbane ... ... ... ... 68 Wilson V. Clapham ... ... ... ... 235, 274, 278 Wilson V. Ducket ... ... ... ... ... 365 Wilson V. Greenwood ... ... ... ... ... 350 Wilson V. Harper ... ... ... ... ... 116 Wilson V. Nightingale ... ... ... ... 365 Wilson V. N. & B. RIy. ... ... ... ... 199 Wilson V. Tucker ... ... ... ... ... 233 Wilson V. West Hartlepool Rly. Coy. ... ... 12 Wiltshire Iron Coy., Re ... ... ... ... 288 Wiltshire V. .Sims ... ... ... ... ... 88,98 Wimble v. Rosenberg ... ... ... ... 169 Winch V. Keeley ... ... ... ... ... 286 Winch V. Winchester ... ... ... ... ... 68 Winchester v. Paine ... ... ... •• 263 Winks t». Hassall ... ... ... ...161,177 Winn V. Bull ... ... ... ... ... 27,38 Winterbourne v. Morgan ... ... ... ... 367 Withers v. Parker ... ... ... ... ••• 155 Wolverhampton Corporation v. Emmons ... ... 298 Wood and Lewis, Re ... ... ... ...230,238 W^ood V. Benson ... ... ... ... ... 57 Wood V. Bernal ... ... ... ... ...230,234 Wood V. Griffiths ... ... ... 234 Ixxx TABLE OF CASES. Wood V. Manley Wood V. Midgley Wood V. Richardson Wood V. Scarth W'ood V. Tassall W^oodland v. Fuller Woolcott V. Peggie Woolfe V. Home Woolley V. Coleman W^orkman, Clarke & Co. v. Lloyd Brazileno Worley v. Frampton Worssam, Re Worthington, Ex parte Wortley v. Gregory Wray v. Kemp Wright V. Bigg WVight V. Dannah Wilson V. Dunn PAGE 58 38, 54 337 . 49, 69 159 155 225 . 92,197 . 348, 350 200 238, 242 , 317, 341 81 200 ... 365 95 24 84 47, 296 , 299, 300 Xenos V. Wickham 35,36 Yangtse Ins. Ass. v. Lakmanjee Yates V. Plumbe Yonge V. Toynbee Young and Harston, Re Young V. Harris Young V. Leamington Corporation Ystalyfera Iron Coy. v. Neath, &c., Rly. Yungmann v. Briesemann 159 238 109 231 258 12 357, 360 182, 195 Zagury v. Furnell Zick V. London Tramways, Ltd. Zwinger v. Samuda ... 144 361 150 I TABLE OF STATUTES. PAGE 21 J;u. 1., f. 1() (Slatute of LiniitaliDns, 1623) ... ... 11 10 Car. II., (-. 17 (iiedford Level Act, 1(503) ... ... 327 29 Car. II., c. 3 (.Staitute of Frauds, 1677) ss. 1-2 ... ... ... ... 36 s. 3 ... ... ... 36,321 s. 4 ... 41-44, 48, 55-60, 84, 88, 92, 215, 299, 301 -s. 10 ... ... 29 s. 17 ... ... ... 41, 88 2 Will. &■ Mar. ses.s. 1, c. 5 (.Sale of Distresses Act, 1690) s. 2 ... ... 365, 366,367, 368 s. 3 ... ... ... ... 365 7 Anne, c 20 (xMiddlesex Registry Act, 1708) ... ... 327 11 Geo. II., c. 19 (Distress for Rent Act, 1737-8) s. 8 ... ... ... 365,366*, 367 s. 10 ... ... ... ... 367 s. 19 365,367,368 14 Geo. III., c. 78 (Fires Prevention (Metropolis) Act, 1774) 277 54 Geo. III., c. 56 (.Sculpture Copyright Act, 1814) ... ... 36 3 & 4 Will. I\'., c. 27 (Real Property Limitation Act, 1833) ... ... 247,257 3 & 4 W'ill. IV., c. 74 (Fines and Recoveries Act, 1833) s. 13 ... ... ... ... 265 s. 40 ... ... ... ... 284 s. 41 ... ... ... 256,328 s. 47 ... ... ... ... 284 ss. 50-54 ... ... ... ... 328 s. 84 ... ... ... ... 266 s. 88 ... ... ... ... 253 a 8: 7 Will. 1\'., c. 86 (Registration of Births, Deaths, etc., 1836) ... ... 255,256, 257 7 Will. IV., and 1 \'ict. c. 26 (Wills Act, 1837) ... ... 285 1 & 2 Vict., c. 110 (Judgments Act, 1838) ... ... 290 2 & 3 Vict., c. 11 (Judgments Acts, 1839) ... 263,265 4 & 5 Vict., c. 38 (School Sites Act, 1841) ... ... 320 8 & 9 Vict., c. 16 (Companies Clauses Consolidation Act 1845) ... ... .'.. 36 F Ixxxii TABLE OF STATUTES. 8 & 9 Viot., c. 8 & 9 Vict., c. 8 & 9 Vict. 8 & 9 Vict. 8 & 9 Vict. 10 & 11 Vict. 15 & 16 & 16 & 17 & 17 & 18 & 18 & 19 & 16 Vict. 17 Vict. 17 Vict. 18 Vict. 18 Vict. 19 Vict. 19 Vict. 20 Vict. 20 & 21 Vict. 22 & 23 Vict, 23 & 24 Vict, 23 & 24 Vict, 23 & 24 Vict 25 & 26 Vict. 27 & 28 Vict. 30 &• 31 Vict. 30 & 31 Vict. 31 & 32 Vict. 32 & 33 Vict. 33 & 34 Vict. 33 & 34 Vict. 33 & 34 Vict. 33 & 34 Vict. PAGE 18 (Land Clauses Consolidation Act, 1845) . . . 112, 317, 320, 352, 364 20 (Railway Clauses Consolidation Act, 1845) c. 106 (Real Property Act, 1845) . c. 113 (Evidence Act, 1845) c. 118 (Inclosure Act, 1845) c. 11 (Waterworks Clauses Act, 51 (Copyhold Act, 1852) 51 (Succession Duty Act, 1853) ... 70 (Lunacy Regulation Act, 1853) 97 (Inclosure Act, 1854) . 217,314,363 . 36, 311, 321 ... 254 255 1847) 217, 314, 363 ... 255 258 ... 257 243. 255 113 (Real Estate Charges Act, 1854) ... 285 15 (Judgments Act, 1855) ... ... 264 111 (Bills of Lading Act, 1855) 149, 183, 193 99 (Mercantile Law Amendment Act, 1856) ... ... 184,209 c. 77 (Court of Probate Act, 1857) ... 254 c. 35 (Law of Property Amendment Act, 1859) 243,250 c. 38 (Law of Property Amendment Act, 1860) ... ... ... 250 c. 106 (Lands Clauses Consolidation Amend- ment Act, 1860) ... 341,352,355 c. 145 (Trustees and Mortgagees Act, 1860) (Lord Cranworth's Act) ... ... 338,343 c. 108 (ConHrmation of Sales Act, 1862) ... 339 c. 114 (Improvement of Land Act, 1864) ... 265 c. 48 (Sale of Land by Auction Act, 1867) ... 78,218 c. 69 (Real Estate Charges Act, 1867) .. c. 4 (.Sale of Reversions Act, 1867) c. 18 (Lands Clauses Consolidation Act, 1869) c. 14 (Naturalisation Act, 1870) ... c. 35 (Apportionment Act, 1870) c. 56 (Limited Owners' Residences Act, 1870) r. 03 (Married Women's Property Act, 1870) 285 SO 352 10 236 265 17, 18 1 TABLE U F STATUTES. Ixxxiii PAGE 34 & 35 Vict., c 84 (Married Women's Property Act, 1870, Ainendnient Act, 1871) 265 30 ii: 37 Vict., c. lU (Judicature Act, 1873) s. 24 71 s. 25(G) ... Ill, 112, 113, 114, 115, 283 s. 25(7) ... ... ... 133,223 37 iV 38 Vict., c. 5U (.Married Wouicn's Property Act, 1874) 17,18 37 & 38 Vict., c. 57 (Real Property Limitation Act, 1874 ... ... 247,264 37 i\,- 38 \'iot., c. 62 (Infants' Relief Act, 1874) ... 14, 15 37 & 38 Vict., c. 78 (Vendor and Purchaser Act, 1874) s. 1 ... ... ... 220, 221,245 s. 2 ... ... 238,245,246,258,310 s. 9 ... ... ... ... 292 37 i\: 38 \'ict., c. 88 (Ri^nistration of Births, Deaths, etc., 1874) ... ... 255,256 38 i\; 39 \ict., c. m (Public Health Act, 1875) 12,13,236,265 38 & 39 Vict., c. 87 (Land Transfer Act, 1875) 250, 265, 266-272, 327 40 & 41 Vict., c. 15 (.Settled Kstates Act, 1877) ... ... 16 40 \' 41 Vict., c. 31 (Limited Owners' Reservoirs and Water .Supply Act, 1877) ... 265 40 cV 41 \'ict., c. 34 (Real Estate Charges Act, 1877) ... 285 41 & 42 Vict., c. 31 (Bills of Sale Act, 1878) ... ... 149 44 & 45 Vict., c. 41 (Conveyancing and Law of Prop'crty Act, 1881) ... ... ... 16 307,321 ... 238, 243, 245, 247, 248, 251, 252 255, 258 284,342 ... 307 ... 241,312,313 316,317,322 322 ... 238 333-343 343,344 ... 345 ... 325 ... 348 ... 340 ... 243 ... 323 s. 2 s. 3 s. 4 s. 5 s. 6 s. 7 s. 8 s. 9 s. 19 s. 20 s. 21 s. 22 s. 25 s. 35 s. 45 s. 47 ixxxiv TABLE OF STATUTES. 44 & 45 Vict., c. 41 — Continued. PAGB s. 48 ... ... ... ... 255 s. 61 ... ... ... ... 315 s. 54 ... ... 259, 31U, 311,324 s. 55 ... ... ... ... 311 s. 56 311,323,324 s. 58 ... ... ... ... 329 s. 61 ... ... ... ... 325 s. 63 ... ... ... 312,313 s. 66 ... ... ... ... 338 s. 70 ... ... ... ... 348 45 & 46 Vict., c. 9 (Documentary Evidence Act, 1882) ... 254 45 & 46 Vict., c. 38 (Settled Land Act, 1882) ... 17,19,226 ss. 2,58 ... ... ... ... 333 s. 3 ... ... ... 333,334 ss. 4, 31, 53, 54 ... ... ... 334 s. 17 ... ... ... 335,339 ss. 19, 45,50,51 ... ... ... 335 s. 20 ... ... ... 320,336 s. 32 ... ... ... ... 284 s. 48 ... ... ... ... 255 s. 60 ... ... ... ... 340 45 & 46 Vict., c. 39 (Conveyancing Act, 1882) s. 7 ... ... ... 253, 266 ss. 8,9 ... ... ... ... 255 45 & 46 Vict., c. 75 (Married Women's Property Act, 1882) ... 2, 17, 18, 19, 87 46 & 47 Vict., c. 15 (Lands Clauses (Umpire) Act, 1883) 352 46 & 47 Vict., c. 37 (Public Health Act, 1875 (Support of Sewers) Amendment Act, 1883) 217,363 47 & 48 Vict., c. 14 (Married Women's Property Act, 1884) ... ... ... 17 47 & 48 Vict., c. 18 (Settled Land Act, 1884) ... 263, 265 47 & 48 Vict., c. 54 (Yorkshire Registries Act, 1884) 258,327 50 & 51 Vict., c. 73 (Copyhold Act, 1887) ... ... 284 51 & 52 Vict., c. 21 (Law of Distress Amendment Act, 1888) ... ... 365-367 51 & 62 Vict., c. 42 (Mortmain and Charitable Uses Act, 1888) 256,328 51 & 52 Vict., c. 43 (County Courts Act, 1888) ... 325, 366 51 & 62 Vict. c. 51 (Land Charges Registration and Searches Act, 1888) ... 262, 264, 290 TABLE OF STATUTES, Ixxxv 51 & 52 Vict. 52 & 53 Vict. 52 & 53 Vict. 52 & 53 Vict. 52 & 53 Vict. 53 & 54 Vict. 53 & 54 Vict. 54 & 55 Vict. o-l & 55 \'ict. 55 & 5(3 \ ict. 5G & 57 Vict. oG & 57 Vict. 5(j ^- 57 Vict. PAGIi 59 (Trustee Act, 1888) ... 324,340 7 (Inland Revenue Act, 1889) ... 25G 30 (Board of Agriculture Act, 1889 ... 255 45 (Factors Act, 1889) 103, 104, 149, 154, 174, 191-193 03 (Interpretation Act, 1889) ... ... 254 5 (Lunacy Act, 1890) ... 17,257,291 (39 (Settled Land Act, 1890) ... 284,334 39 (Stamp Act, 1891) 4, 239, 310, 326, 327, 3(3(3 04 (Land Registry (Middlesex Deeds) Act, 1891) ... ... 258,327 57 (Private Street Works Act, 1892) ... 230 53 (Trustee Act, 1893) 311, 323-325, 339, 340, 344 03 (Married Women's Property Act, 1893) 17,19 71 (Sale of Goods Act, 1893) 119, 120, 121, 143 ... 120 121 41, 12, 44, 48, 5(3, 59, 84, 88, 91, 92, 120, 122, 123-126 127 ... 128 129 52, 55, 130, 20(J 54,131 ... 133 ... 132,134,211 51,135,211 ... 40,136,211 40, 00, 67, 08, 136, 137, 140, 211, 213 139,140,211,213 143 ... 144 ... 144-147,206 II 7, 168,180, 18() .. 129,130,148 ... 103,149,151 ... 149,152 149,153 ... 149, 153, 154, 174,191 s. 1 s. 2 s. 3 s. 4 s. 5 s. 6 s. 7 s. 8 s. 9 s. 10 s. 11 s. 12 s. 13 s. 14 s. 15 s. 16 s. 17 s. 18 s. 19 s. 20 .ss. 21, 22 s. 23 s. 24 s. 25 IxXXVi TABLE OF STATUTES. 56 & 57 Vict., c. 71 — Continued. PAGE s. 26 155 s. 27 ... 129,130,156 s. 28 ... 156, 157,175, 176,206 s. 29 158-162,168,175 s. 30 24,30,163-165,211 s. 31 165-168 s. 32 168,169 s. 33 168-170 s. 34 170,171 s. 35 171,172 s. 36 172 s. 37 172, 173, 204 s. 38 174,183 s. 39 174 s. 41 125,174,177,180 s. 42 174,177-179 s. 43 174,177,179,180 s. 44 174,182-185 s. 45 174,182,185-189 s. 46 174, 182, 190 s. 47 177,182,191-194 s. 48 182, 194, 195 s. 49 175, 196', 197, 199,200 s. 50 ... 197,201-204 s. 51 204-208 s. 62 208,209 s. 53 ... 200,209-211 s. 54 202,212 s. 55 ... 40, 122, 148, 170, 177, 191, 206 s. 56 172 s. 58 22,34,38,78,141 s. 61 68,119,120 s. 62 ... 42,43,44,120,133,151,157, 162, 178, 184, 191, 192, 194, 197, 210 57 & 58 Vict., c. 10 (Trustee . ^ct, 1894) s. 3 339,344 57 & 58 Vict., c. 30 (Finance Act, 1894) ... 256,258 57 & 58 Vict., c. 46 (Copyhold Act, 1894) ... 255,284 57 & 58 c. 60 (.Merchant Shipping Act, 1894) ... 3G, 120 58 &■ 69 Vict., c. 11 (Lands CI auses (Taxation of Costs) Act, 1895) 362 60 & 61 Vict., c. 65 (Land Tra nsfer Act, 1897) ... 250, 251, 259, 266-272, 284, 285, 322, 327, 342 TABLE OF STATUTES. Ixxxvij PAGE 63 & 64 Vict., c. 26 (Land Charges Act, 1900) ... 263, 290 7 Edw. VII., c. 18 (Married Women's Property Act, 1907) ... ... ... 17,19 7 Edw. VII., c. 23 (Criminal Appeal Act, 1908) ... ... 153 8 Edw. VII., c. 27 (Married Women's Property Act, 1908) 17 8 Edw. Vn., c. 36 (Small Moldini^s and Allotments Act, 1908)* ... ... 13,360 8 Edw. VII., c. 69 (Companies (Consolidation) Act, 1908) 12, 13, 36, 87, 288, 289 10 Edw. VII., c. 8 (Finance (1909-10) Act, 1910) ... 326, 327 1 &• 2 Geo. v., c. 37 (Conveyancing Act, 1911) 284, 319, 342, 344, 345 4 8i 5 Geo. V., c. 59 (Bankruptcy Act, 1914) 116, 149, 254, 255, 264, 286, 287, 288, 320 G & 7 Geo. v., c. 50 (Larceny Act, 1916) ... ... 153 9 & 10 Geo. v., c. 57 (Acquisition of Land (Assessment of Compensation) Act, 1919) 352, 361 PART I. GENERAL PRINCIPLES OF THE LAW OF CONTRACT. CHAPTER L NATURE OF CONTRACT OF SALE. Section 1 — Ix Gi^nkkal., Definition'. — A contract of sale is an agreement enfoit:eable at law whereby the ownership of the subject-matter of the contract is transferred from the vendor to the purchaser in consideration of a mone)' price. The essentials of a valid contract of sale are thus : {a) Mutual assent — a consensus ad idon as between \endor and purchaser; (b) competency to contract on the part of both vendor and purchaser ; (c) a transfer of the ownership of the subject-matter of the contract; (d) a price in money paid or promised. If any of these essentials be wantin*^, there is no sale. The first and second of these essentials are common to all contracts, and will be considered later. Transfer of Ownership. — A contract of sale is a contract plus a transfer of ownership. An agreement to sell or bu\', t)r an executory contract, as it is called, i.e., a contract whollv unperformed, or in which there remains something to be done on both sides before the ownership passes, is a contract pure and simple, and gives rise merelv to a personal bond between the vendor and purchaser. But a completed or executed contract of siile effects a transfer of ownership with all the advantages and risks incident thereto. By an agree- ment to sell or buy, a right in personam is created; by a sale a right in ron is transferred. Thus, where an 1 VENDORS AND PURCHASERS. agreement to sell is broken b}' the seller, the buyer has only a remedy in damages against the seller; the goods are still the property of the seller, and he may dispose of them as he pleases. Similarly, where an agreement to buy is broken, the seller's only remedy is an action for damages. If there has been a sale and the seller does not deliver the goods the buyer has not only a personal remedy in damages against the seller, but also the usual proprietary remedies in respect of the goods themselves, such as the actions for conver- sion and detinue, for though delivery has not been made, the goods are the property of the buyer. Simi- larly, if on a sale the buyer makes default in payment, the seller may sue for the contract price. Again, on an agreement to sell, if the goods perish, the loss as a rule falls on the seller; whereas, on a sale, the loss, as a rule, falls on the buyer. An agreement to sell usually implies an agreement to buy. Sometimes, however, the buyer may ^ have only an option to buy;^ or the seller may have only an option to sell.^ In such cases an actual sale does not arise unless and until the option is exercised. In neither ease can the person having a mere option be treated as liable on an executory contract. As a general rule, the vendor and the purchaser must be different persons ; otherwise there can be no transfer of ownership. At common law there could be no contract of sale between husband and wife, since, in contemplation of law, husband and wife were but one person ; but this is no longer the case since the Married Women's Property Act, 1882.' And as a company is, in the eye of the law, a different person from the members of the company, the members may sell to themselves as a company, and the company may sell to any of its members. But there is no transfer of ownership where owners put up their property for sale by auction, and their agent, in order to prevent a loss, bids in for it. ' Helby v. Matthews (1895) A.C. 471 ; Belsize Motor Supply Co. V. Cox (1914) 1 K.B. 244 ; and see Marten v. Whale (1917) 2 K.B. 480. - Matuiers v. Williams (1849) 4 Exch. 339. ' 45 and 46 Vict. c. 75 ; and see Chap. II. post, pp. 17-19 ; and see Ramsay v. Margrett (1894) 2 Q.B. 18. NATURE OF CONTRACT 01-' SALK. 3 It may happen that one person is invested by common law or by statute Avith powers to sell the floods of another; as where ^oods are sold under a distress or execution, or by a pledgee, or a trustee in bankruptcy. In such cases the owner may purchase his own floods, since, in fact, the seller is a difterent person.' But the seller, in such cases, cannot, as a rule, be the purchaser, though he is sellin^r property in which he has no beneficial ri_<::;"ht, bein Keith V. Burrows (1876) 1 C.P.D. 722 ; Re Hardxcick (1886) 17 Q.B.D. 090: ReMorritt (1886) 18 Q.B.D. 222. " Beckett V. Tower Assets Co. (1891) 1 Q.P.. 1 ; cf. Manchester, &c. Rly. Coy. v. North Central Wai^on Coy., infra. •'' Douglas V. Cnlvcrwell (1862) 31 L.J. Ch. 65. ' Re Walden, ex parte Odell (1878) 10 Ch. D. 76. •'' See M. S. & L. Rly. Coy. v. North Central \Va< Cowern v. Nield (1912) 2 K.B. 419. 2 See Valentine v. Canali (1889) 24 Q.B.D. 166. •• Ibid. * See Goodc v. Harrison, 5 B. & A. 147 ; Carter v. Silber (1892) 2 Cli. 278; (1893) A.C. 360. ^ See Northcote v. Dotighty, 4 C.P.D. 385. ^ Warwicklv. Bruce. 2 M. & S. 205. ^ Lumleyv. Ravcnscroft (1895) 1 Q.B. 683. « Burghart v. Hall (1839) 4 M. & W. 727. IG VEN DORS AND PURCHASERS. for his benefit. ' The word " necessaries " must be regarded as a relative term, to be construed with refer- ence to the infant's age, state and degree;' and the Cfuestion whether goods supplied are necessaries is one of fact to be determined by the jury,'' and the 07ius is on the seller to show that the goods supplied are neces- saries.' Applying these general principles to sales and pur- chases of land : a completed sale of land b}' an infant is, as a rule, voidable at his option f he may recover the land, and, it would appear, in the absence of fraud, he cannot be obliged to refund the purchase-money/ Similarly, a completed purchase of land by an infant is voidable at his option ; but he cannot recover the price paid unless he be in a position to make entire restitution.' Thus, if an infant purchases leasehold land, which is a wasting property, he cannot recover the price paid for it.* If the infant buys land without paying the whole or part of the purchase-money, he holds the land subject to the vendor's lien thereon for the amount unpaid.^ Certain contracts by infants are valid; as where an infant not under twenty if a male, and not under seventeen if a female, may, with the consent of the Court, make a valid marriage settlement; or where, under various statutes, an infant may convey land for religious, charitable and public purposes; or where under the Settled Estates Act, 1887, the Court may authorise sales or leases of any settled estate to which the Act applies, on behalf of an infant; or where similar powers are given by the Conveyancing Act, 1881 ; or where the powers of a tenant for life may, ' Roberts v. Gray (1913) 1 K.B. 520. - 2 Steph. Com. 307 (Ed. 1880). ' Ryder V. Wombwell. L.R. 3 Ex 90. ' Nashv. Inman (1908) 2 K.B. 1. ■ Fliflht V. Holland (1828) 4 Russ. 298. " See Chapman v. Michaelson (1909) 1 Ch. 238. ■ Holmes V. lilogfl, 8 Taunt. 508 ; Valentine v. Canali, 24 Q.B.D. 166. " Holmes v. Blogg, supra. '■> Thurstan v. S'ottiniehohi Fire Insce. Coy. v. Grant (1879) 4 Ex. D. 216, 235. « Bagel V. Miller (1903) 2 K.B 212. « Sale of Goods Act, 1893. s. 58; Payne v. Cave (1789) 3 T.R. 148. 36 VENDORS AN D PURCHASERS. a Stipulation cannot be enforced.^ Further, the rule that an offer when accepted cannot be revoked applies also, so that after the fall of the hammer neither the vendor nor the purchaser can revoke the auctioneer's authority to sign a memorandum of the contract." Section 2 — Contracts under Seal. Certain contracts are not enforceable unless made by deed, sealed and delivered. Such are : Conveyances on sale and legal mortgages of land and interests in land other than copyhold;' leases of lands for more than three years or reserving a rent less than two-thirds of the full improved value ;^ assignments and surren- ders of such leases;* sale of sculpture, with copyright;^ transfers of shares in companies under the Companies Clauses Act, 1845^ (not being companies within the Companies Act, 1908);" transfers of British ships or any shares therein f contracts of corporations under the common law, with certain exceptions f contracts made without valuable consideration." Contracts under seal derive their legal effect from the formality of the deed and not, as in the case of simple contracts, from the mere fact of agreement. Delivery of the deed makes the deed operative, and is effected either by actually handing the deed to the other party to it or to a stranger for his benefit or bv words indicat- ing an intention that the deed should become opera- tive." If delivery is made subject to a condition, the ' See Sugden V. & P. 14th ed. 14; Dart V. & P. 7th ed. vol. 1, p. 136. "^ Emmcrson v. Hcelis (1809) 2 Taunt. 38; White v. Proctor flSU) 4 Taunt. 209; Kemcys v. Proctor (1820) 1 J. & W. 350. ' Real Property Act, 1845, Sect. 3. * Statute of Frauds, Sects. 1, 2, 3 ; Real Property Act, 1845, Sect. 3. ■'■ Sculpture Copyright Act, 1814, Sect. 4. " 8 & 9 Vict. c. Ifi, ss. 14. 16. ^ 8 Edw. 7, c. 69. * Merchant Shipping Act, 1894, Sect. 24. ^ See Chapter II., atttc, p. 12; Mayor of Ludlow v. Charlton, 6 M. & \V. 815. '° Foakes v. Rccr. 9 A pp. Gas. 605. " Xenos V. Wickham (1867j L.R. 2 H.L. 296 ; Doc v. Knight (1826) 5B. &C,671 s V / FORMAT ION OF CONTRACT. .^ 37 ^j deed does not take elTect until the condition is per- formed, and in such a case it is called an escroiv.' The condition may be expressly declared, or may be implied lioni the circumstances of the case." SixTiON 3 — Contracts in Writing. Agri:i:ment BiiFORt: Rkduction into Writing. — The question frequently arises as to whether a binding agree- ment has been made between parties before the formal execution of a document in writing i)V under seal. If parties have come to an agreement, the}' are not the less bound by that agreement because they express a desire to have it reduced into writing. If the original under- standing is that the terms agreed upon are to be reduced into writing, and that the parties are not to be bound until the terms are reduced into writing, then each party has a right to withch^aw before the agreement is signed. But if the terms are agreed upon by parol, and the writing is meant to record the transaction and to pre- serve a memorial of it, in that case they are bound. The circumstance that the parties do intend that a formal record of the transaction should be drawn up is strong evidence to show that thev did not intend the previous negotiations to amount to an agreement. It is a ques- tion of fact depending upon the circumstances of the case."" Where a vendor and purchaser of an estate agreed upon the terms, which were written down and signed by the vendor, who subjoined a letter instructing his solicitor to prepare a proper agreement, it was held there was an agreement binding upon the vendor not- withstanding the intention to. have a more formal docu- ment drawn up.' "Heads of agreement" containing the expression " subject to approval of conditions and form of agreement b}^ purchaser's solicitor " were held ' Shep. Touch. 58 : Kidncr v. Keith (1863) 15 C.B. N.S. 35. - London Freehold Coy. v. Sufficld (1897) 2 Ch. C21. " See the observations of Cranworth L.C. in Ridgway v. Wharion (1857) 6 H.L. Gas. 238 ; and Lord Wensleydale, ihid. : and see the cases cited on p. 25 ef. seg. ante. ' Foicle V. Freeman (1804) 9 Ves. 351 : Bolton Partners v. Lambert (1889) 41 Ch. D. ?95. 38 VENDORS AND PURCHASERS. a complete contract/ And where land was offered in lots upon certain printed conditions, adding that the purchaser will be required to sign a contract embody- ing the foregoing conditions, and a purchaser made an offer which was accepted, it was held there was a com- plete agreement." Hut where a proposed purchaser paid a deposit and took a receipt for part payment of the purchase-money, which stated " the terms to be expressed in an agreement to be signed as soon as prepared " ;'' and where an offer for the sale of an estate was accepted " subject to the terms of a contract being arranged." it was held there was no contract.^ Upon a sale of land at a valuation to be made by persons named, the valuation is a condition precedent, and the purchaser is not bound unless a valuation is made according to the agreement; but upon an agree- ment to sell at a fair valuation, no particular means of ascertaining the value being indicated, the Court may direct the mode of valuation." Similarly, upon a sale of goods subject to valuation.' A sale of land " subject to approval of title by purchaser's solicitor " is in terms conditional upon the solicitor's approval ; but this approval must be exercised bond fide and upon reasonable and legal grounds.^ Effect of Reduction into \\^ritixg. — Where a con- tract has been reduced into writing, previous negotia- tions, whether they resulted in a binding agreement or not, are presumptively merged in the writing, which thenceforth becomes exclusive evidence of the terms.** • North V. Pcrcival (1898) 2 Ch. 128; doubted in You Hatzfchlt- Wiliicnbiiifi v. Alexander (1912) 1 Ch. 284; Rossdalc v. Denny (1921) 1 Ch. 57. ■^ Rossiter v. Miller (1878) 3 App. Cas. 1124. ' Wood V. Midfiley (1854) 5 De G. M. & G. 41. * Harvey v. Barnard's Inn (1881) 50 L.J. Ch. 750; Hawkesworth v. Chaffey (1886) 55 L.J. Ch. 325; Winn v. Bull (1877) 7 Ch. D. 29; Crossley v. Maycock (1874) 18 Eq. 181 ; Jones v. Daniel (1894) 2 Ch. 332 ; and see cases cited in Note 3 on p. 25 ante. •' Milnes v. Gery (1807) 14 Ves. 400; Firth v. Midland Rly. (1875) 20 Eq. 100. •■' Clarke v. Westrope (1856) 18 C.B. 765. ■ Eadie v. Addison (1882) 52 L.J. Ch. 80; Hudson v. Buck (1878) 7 Ch. D. 683. " Harris v. Rickett (1859) 4 H. & N. 1 ; Inglis v. Buttery (1878) 3 App. Cas. 552 ; C.W.Rly. v. Fisher (1905) 1 Ch. 316. I-OUMATIOX OF CONTUACT. 39 But w here some only of the teiiiis have been carried into exetution by a deed or written contract, the remaining' terms may remain in force, as in the case of a contract for tile sale of land with clauses for compensation for any error in the particulars of sale, wliich may entitle the purchaser to compensation for errors discovered after he has accepted reconvevance of the propertv ;' for one writinn;- ma\' contain several contracts.' Contract Coxtained in Skvkral Writings. — Where several writings are relied upon as containing all the material terms of a contract, as in the case of negotiations by correspondence, the contract is complete in a written form if the writings are sufficiently con- nected togetlier by internal references. And extrinsic evidence is admissible to apply the references and to identify the writings; but extrinsic evidence is not admissible in such a case for an}' other purpose.^ If the writings are not sufficiently connected bv their contents as part of one agreement, the contract is not complete in writing.* Admissibility of Extrinsic Evidence to Explain or \\\RV Written Contracts. — As a general rule of law, contracts wholly in writing cannot be varied by extrinsic evidence of the intention of the parties; but this rule does not apply to contracts partly in writing and partly by parol, in which cases all the circumstances ma\ be proved in order to ascertain the terms of the agreement, and even to varv the contents of the writings.* And the same general rule, in similar circumstances, applies to proreeciings in ecjuity." Thus, if a sale by auction is followed bv a written contract, the writing cannot be explained, or added to, or varied by parol evidence of ' Palmer V. Johnson (1884) 13 O.B.D. 351 ; I.cggcttv. Barrett (1880) 15 Ch. D. 30r,. - Poivcll V. Edmunds (1810) 12 East 6; Roots v. Dormer i\'Ail) \ B. & Ad. 77; Harrison v. Seymour (1866) 1 C.P. 518. ■■ Oliver v. HuntinU (1890) 44 Ch. D. 205 ; Lon^ v. Millar (1.S75I 4 C.P.D. 450: Stokes v. Whicker (1920) 1 Ch. 411. •■ Brown v. Langley (1842) 4 Man. & G.466; and see Chapter l\'.. Sect. 2, post, pp. 46-48. •^ Harris v. Rickett (1859) 4 H. & N. 1 ; Infflis v. Bnttery (1878) 3 App Cas. 552; Bolton v. Tomlin (1836) 5 A. & E. 856; Stones v. Douler (1860) 29 L.J. Ex. 122. 6 May V. Piatt (1900) 1 Ch. 616; Clarke v. Grant (1807) 14 Ves. 519. 40 VENDORS AND PURCHASERS. what passed at the sale;^ and if goods are described in a written contract of sale as of a certain Ivind and quality, the contract can only be executed by delivering goods answering to the description in the contract.' Extrinsic evidence is admissible to prove the act of agreement, as, for example, that the name of a party was signed as agent only, though appearing in the writing as a principal f or that a writing purporting to be a contract of sale was signed merely for a collateral purpose and not as a real contract ;' or that a writing was signed or agreed to upon terms that it should not operate as a contract until the fulfilment of a stated condition." It is also admissible to show that a contract in writing was made subject to a usage or custom oi the trade or business to which the contract relates,*^ except that such usage must not contradict the express terms of the contract;' and where it is decided to exclude a usage of trade or to vary its effect, the intention must appear in writing.* Extrinsic Evidence as to Subject-matter of Con- tract. — Sometimes extrinsic evidence is necessary to ascertain and identify the subject-matter of the contract. Thus, in contracts for the sale of land, in the absence of a clear specific description of the property, evidence has been admitted to identify the property described bv situation, or by a name, or by the ownership, or by occupation.^ ' Gunnis v. Erhart (1789) 1 H.Bl. 289. '■^ Harnor v. Groves (1855) 15 C.B. 667 ; Sale of Goods Act, 1893, ss. 13. 14. » Wake V. Hanop (1862) 1 H. & C. 202 ; Pattlc v. Honiibrook (1S96) 1 Ch. 25. * Rogers V. Hadley (1863) 2 H. & C. 227. '• Pattle V. Honiibrook, supra. « Heyworth v. h'night (1864) 17 C.B. N.S. 298; Sale of Goods Act, 1893, s. 55. ' The Alhamhra (1881) 6 P.D. 68. *■ Clayton v. Gregson (1836) 5 A. & E. 302; Allan v. Siindin (1862) 1 H. & C. 123. » Raird V. Fortune (1861) 4 Macq. H.L. 149 ; Lvlew Richards (1866) 1 H.L. 222; Mellorw Walmeslcy (1905) 2 Ch. 164; Plant v. Bourne (1897) 2 Ch. 281 ; Ogilvie v. Foljambe (1817) 3 Mer. 53. CHAPTER IV. FORiMATIOX OF CONTRACT.— STATUTE OF FRAUDS AXD SALE OF GOODS ACT, 1893. Section 1 — Introductory. Statute of Frauds. — The fourth section of the Statute of Frauds' provides that no action shall be brought on any contract or sale of lands, or any interest in or concerning them, unless the agreement upon which such action shall be brought, or some memorandum or note thereof shall be in writing and signed by the party to be charged or his agent. Sale of Goods Act, 1893. — The fourth section of the ■Sale of Goods Act, 1893,' replacing Section 17 of the Statute of Frauds, provides that " a contract for the sale ■of any goods of the value of £10 or upwards shall not be enforceable by action unless the buyer shall accept part of the goods so sold, and actually receive the same, or give something in earnest to bind the contract, or in part payment, or imless some note or memorandum in writing of the contract be made and signed by the party io be charged or his agent in that behalf." In so far as the above two statutes require a note or memorandum in writing, the rules applicable to con- tracts, under the one statute apply equally to contracts under the other ; and, for the sake of convenience, are •discussed in detail in this chapter. The fourth section of the Sale of Goods Act, 1893, is discussed as a whole in its appropriate place.'' Contracts Within Statute of Frauds, s. 4. — The section applies to sales by auction as well as to sales by private contract ;" but it does not apply to sales by the Court." It applies also to any contract that concerns ' 29 Car. II. c. 3. •-' 56 and 57 Vict. c. 71. •' See post, Part II., Chapter I., p. 122 et seq. * Blagden v. Bmdbear (1806) 12 Ves. 466; Kcnxvorfliy v. Schofidd •(1824) 2 B. & C. 945. ■^ See Part IV., Chapter II., post. 42 vl:xdors and purchasers. land.' Anv transaction which substantially deals with, an interest in land is within the section r such as the- sale of a business with possession of the premises where- it is carried on ;" a contract to procure a lease or interest in land for another person;' an offer to sell, and the exercise of an option to purchase land ;' the equitable interest of a purchaser under a contract of sale;' a contract for sale of the benefit of a mortgage or charge- upon land.' Contracts W^ithix the Sale of Goods Act, 1893. — By Section 62 (1) of the Sale of Goods Act, 1893, unless the context or subject-matter otherwise requires,, "goods" include all chattels personal other than things in action and money, and in Scotland all cor- poreal moveables except money. The term includes emblements, industrial growing crops, and things attached to or forming part of the land which are agreed to be severed before or under the contract of sale. It is sometimes a matter of difficulty to determine whether a transaction in respect of growing crops is a sale of an interest in land within Section 4 of the Statute of Frauds, or a sale of goods within the Sale of Goods Act, 1893. Emblements or Frlxtus Industrl\les. — The sale of emblements, i.e., crops produced by cultivation, or jructus industriales, though in a growing state and intended to remain on the land until maturitv, and to be then severed, is not a sale of any interest in land within the fourth section of the Statute of Frauds, but is a sale of goods within Section 4 of the Sale of Goods Act, 1893.* Such are sales of a growing crop of corn f ' McManiis v. Cooke (1887) 35 Ch. D. 687. -' Kelly V. Webster (1852) 12 C.B. 290. •• Smart v. Harding (1855) 15 C.B. 052 ; Hodgson v. Jolinson fl859)' E B. & E. 685. * Horsey v. Graham (1869) 5 C.P. 9. Bhtninghani Canal Coy v. Carticright (1879) 11 Cli. D. 421. '' Kelly V. Webster, supra. ■ Toppin V. Lonias (1855) 16 C.B. 145. " See Diippa v. Mavo (1669) 1 Wms. Saund 394 n. ; Marshall v. Green (1875) 1 C.B.D. 35. » Joties V. Flint (1839) 10 A. & E. 753. FORMATION OF CONTRACT. 43 a i^rowin*^- crop of potatoes;' a i^Tow in<,^ crop of tur- nips," and presumably aitiluial <^rasses, such as clover.' I^""ri(^tl's XATfR \li:s. — A pri-Qwin^ crop of <^rass,' the natural j^rowth of the land, or growing trees or underwood,'" and a ton Union v. Brcntnall and Chhnid (1907) 71 J. I'. 407. •-' Webster V. Cecil (ISCl) 30 Heav. 62 ; see Wood v. Scartli (1S55) 2 K. & J. 33. ' Griffiths v. Jones (1873) 15 Eq. 279. ' See generally, Kerr on Fraud and Mistake. ■'' See Section 3, infra, pp. 75-78, ct seq. " See Belin v. Biirness (1863) 3 B. & S. 751, 753 ; Brit. Kqitit. Asscc, Coy.v. Baily (1906) A.C. 35. 70 VENDORS AND PURCHASERS. a reckless ignorance whether it was true or untrue. The insertion of a representation in a written instrument of contract cannot alter its nature. The question, however, may arise whether a statement in a written instrument is a mere representation, or whether it is a substantive part of the contract. This is a question of construc- tion to be determined by the Court. If the Court de- cides that such £1 statement by one party was intended to be a substantive part of the contract and' not a mere representation, the question may be raised whether this part of the contract is a condition precedent, or only an independent agreement. Breach of the latter will not justifv a repudiation of the contract, but will only be a cause of action for compensation in damages. The true doctrine, established by principle as well as authority, appears to be, generally speaking, that if a st£itement in a contract descriptive of the subject-matter thereof was intended to be a substantive part of the con- tract, it is to be regarded as a condition, on the failure or non-performance of which the other party may, if he is so minded, repudiate the contract in toto, and so be relieved from performing his part of it, provided it has not been partially executed in his favour. If he haS' received the whole or any part of the consideration for the promise on his part, the statement becomes a ivar runty, i.e., a stipulation by way of agreement, for the breach of which a compensation must be sought in damages.' Effect of Misrhprkskntation. — At common law, a representation forming part of the contract, where it was a condition, was availalDle as a defence, and justified repudiation of the contract on non-performance of the condition ; where it was a warranty, it was a ground for an action in damages only. Innocent misrepresenta- tion external to the contract, however, did not of itself give rise, as a general rule, to any right or liability, unle.ss it misled the other party into error as to an essen- tial matter, in which ca.se it invalidated his as.sent." The rule in equity was that " a contract can be set aside on proof that one party induced the other to enter into ' See lichu v. Biintcss (1863) 3 B. & S. 751 /)er Williams, J, at p. 753 ; and see Part II,. Chapter I., post p. 131 ef seq. * See Kctmcily v The Paiuniia Mail Coy. (1867) 2 Q.B 580. Ki:\I.I I V OF CONSKNT. t I ii by misrcprcsent.iiions ol iiKilL'iial tacts.'" " It was nut necessary to prove tliat the party obtaining it knew at tlie time when the representation was made that it was false." " l^ven assuming that moral fraud must be shown in order to .set aside a contract, \ou have it where a man, having obtained a beneficial contract by a statenieni which he now knows to be false, insists upon keeping that contract. To do so is a moral delin- i(uency : no man ought to seek to take advantage of his own fal.se statements."" By virtue of the Judicature Acis,'' equitable principles with regard lo misrepresen- tation are now, if they conflic t witli common law, to be applied in all Courts. Thus, innocent misrepresenta- tion, if it furnishes a material inducement, is ground for resisting .specihc performance of the contract or for asking to have it set aside. ]\IiSRi:i'RESi:NTATic)N MusT KK Matickial. — In order that a misrepresentation may support an action, it must be the assertion of a fact on which the person entering into the transaction relied, and in the absence of which it is reasonable lo infer thai he would not ha\-e entered into it £it all, Ol" at least not on the .same terms.' To be material it must be one nece.s.sarily influencing and in- ducing the transaction, and affecting and going to its very essence and substance. Misrepresentations which are of such a nature as, if true, to add substantially to the value of property," or are calculated to increase sub- stantiallv its apparent value," are material. It is not. however, necessar\- that the representation should have been the sole cause of the transiiction. It is enough that it mav have constituted a material induce- ment. If anv one of several .statements, all in their ' Lagunas Nitrate Coy. v. Laginuis Syiulicitc (1899) 2 Ch. 392, 423. - Redgrave v. Hiird (18S1) 20 Ch. D. 1, 12-13 : Ncithigging v. Adam (1886) 34 Ch. I). 593 : Browulic v. Campbell (ISSO) 5 AC. 950. " 36 & 37 Vict. c. 66, sect. 24. ' Smith V. Chadicick (1884) 9 App. Cas. 187; Angus v. Clin'ord (1891) 2 Ch. 449 ; Flight v. Booth (1S34) 1 P-ing. N.C. 370. ■■ Torrance v. Bolton (1873) 8 Ch. 118 ; cf. Blaiherg v. Keeves (1906) 2 Ch. 175. •^ Small V. Atticood (1832) You. 461 : Dimmoel; v. Uallett (1866) 2 Ch. 27; AV;;^ v. Freehold Land Cov. (1867) 4 I-:q 588; Lindsav Petroleum Cov v. Hiird (1874) 5 P.C. 221. VENDORS AND PURCHASERS. nature more or less capable of leading the party to whom they are addressed to adopt a particular line of conduct, be untrue, the whole transaction is considered as having been fraudulently obtained, for it is im- possible to say that the untrue statement may not have been precisely that which turned the scale in the mind of the party to whom it was addressed.' If the state- ment would tend to induce him to enter into the contract, or would be part of the inducement, the inference is that he acted on the inducement, unless he knew the facts or avowedly did not rel}' on the statement.' The test of material inducement is not whether the plaintiff's action would, but whether it might have been different, if the misrepresentation had not been made. The materiality of a misrepresentation depends on the cir- cumstances of the case. Reliance upon Misrepresentation. — A misrepre- sentation, to be of any avail whatever, must enure to the making- of the contract in question.'' If a man to whom a representation has been made knows at the time, or discovers before entering into a transaction, that the representation is false, or resorts to other means of knowledge open to him, and chooses to judge for him- self in the matter, he cannot avail himself of the fact that there has been misrepresentation, or say that he has acted on the faith of the representation.* So that proof that the party complaining was well aware and cognisant of the real facts of the case, if such proof is clear and conclusive, is an effectual defence.^ But constructive notice of the actual facts is not sufficient for that purpose. If a definite or particular statement be made as to the contents of property, and the statement be untrue, it is not enough that the party to whom the representation was made may have been acquainted with the property, or that he might have known the • Smith V. Kay, 7 H.L.C. 750. ■^ Arnison v. Smith (1889) 41 Ch. D. 369. •' Irvine V. Kirkjyatrick, 7 Bell, Sc. Ap. 186. * Smith V. Chadwick (1884) 9 App. Cas. 187; Aniison v. Smitli (1889) 41 Ch. D. 369 ; Attwood v. Small (1832) You. 4C1. '' Eaglesficld v. Londonderry (1875) 4 Ch. D. 702. KI-AMTY OF CONSKNT, truth by proper enquiry.' Equal means of knowledge is immaterial, where there is an express representation, for the plaintiff is tiiereby put ofT his guard; and a vendor of property cannot complain that the purchaser has taken the value of the property to be such as he represented it to be.'' Statements of Opinion, i:tc. — A misrepresentation, to be material, sliould be in respect of an ascertainable fact, as distinguished from a mere matter of opinion." But a statement of opinion may, like a statement of intention, be a statement of fact. A representation which merely amounts to a statement of opinion, judg- ment, probability, or expectation, or is vague and indefinite in its nature and terms, or is merely a loose, conjectural, or exaggerated statement, goes for nothing, thougii it may not be true, for a man is not justified in placing reliance upon it." Mere general a.ssertions of a vendor of property as to its value or the price whicii he has been offered for it, or in regard to its condition, qualities, and characteristics, are assumed to be so com- monly made by persons having property for sale that a purchaser cannot safely place confidence in them; such assertions are merely " dealers' talk," and a man who relies on them does so at his peril, and must take the consequences. •'■ But a false statement by the vendor of the price that he gave for the property would be a mis- representation of a fact,* as would a false statement of the rent at which the propertv had been let.^ ' Jones V. Rinimcr (1880) 14 Ch. D. 590; Redgrave v. Hurd (1881) 20 Ch. D. 21; Abcraiuan Iron Works v. Wiclccns (1868) 4 Ch. 101 : Hill V. Buckley 17 Ves. 394. 2 Redgrave v. Hiinl (1881) 20 Ch. D. 21 ; Dohcll v. Sfcvcus. 5 B. & C. 623 ; Perfect v. Lane, 3 De G. P. & J. 369. * Jennings v. Broiii^hton, 5 De G, M. & G. 126 ; Bellairs v. Tucker, 13 Q.B. D. 562. '' Haycraft v. Creasy, 2 East, 92. " Ingram v. Thorf>, 7 Hare, 24 ; Hume v. Pocock (1866) 1 Ch. 385 : Trower v. Nexvcoine, 3 Mar. 704 ; Colbv v. Gadsden, 34 Beav. 416 ; Stephens v. Venables. 31 Beav. 124 ; Scott v. Hanson (1826) 1 Sim. 13 : but see Smitli v. Land Corpn. (1882) 28 Ch. D. 7; De Lassallev. Guildford (1901) 2 K.B. 215. 6 Kent V. Freehold Coy. (1867) 4 Eq. 588 ; Lindsav Petrol^Cow v. Hurd (1874) 5 P.C. 221 : Mullens v. Miller (1882) 22 Ch. D. 194. ' Dimmock v. Hallett (1866) 2 Ch. 21. 74 VENDORS AND PURCHASERS. Misrepresentation' of Intention. — " It is always necessiiry to distinguish, when an alleged ground of false representation is set up, between a representation of an existing fact which is untrue, and a promise to do something in future, and to consider what the bargain is.'" A representation of an intention as to some future act which is not performed, though it ma}' have induced the agreement, is not, in general, a sufficient ground for avoiding it. But a representation may be made of an intention of a party at the time of contracting as of an existing matter of fact, and as a material inducement to the other party to make the contract ; and if such repre- sentation is false, it mav be sufficient ground for avoid- ing the contract.' Thus, where a vendor of property induces a sale b}- representation of his intention to make improvements, such as roads and buildings, affecting the propertv and its value,* and produces plans show- ing the improvements contemplated,* the Court will not give him specific performance unless he makes good his representation. AX'OI DANCE OF CONTRACT ON GrOUND OF MISREPRE- SENTATION. — A party who has been induced by the mis- representation of the other to enter into a contract may, imder the conditions stated, on discovering the truth, elect whether to affirm or avoid the contract by express words, or by some unequivocal act, under circumstances which render such words or acts binding.^ He ma}' also bring an action claiming to have the contract rescinded and restitution ; or if the other party brings an action for specific performance, he may set up such misrepresentation as a defence in avoidance of the con- tract, at the same time proving some act of avoidance in support of it, as the return of goods sold, or such other une(juivocal act as the case may require.'^ If, ' Ex piirfc Huncll (1876) 1 Cli. D. 552 per ]\Iellish, L.J. '-' E,l)iinf upon discoverinj;- the misiepreseniatitm, he ariirnis the contract by some unequivocal act, he cannot afterwards revoke his election; and delav in determining his elec- tion may operate presumptivelv in aFrirmance, if it goes beyond what is reasonable in tlie circumstances.' Rkstiti Tiox. — Avoidance of the contract involves a restitution of the parties to their original rights and pro- perty ; unless this can be done /« toio the contract cannot be avoided at all, but the party coniplaining of the non- performance, or of misrepresentation, mav resort to an action for damages.' ^\"here the contract has been completel}' executed there cannot be rescission for innocent misrepresentation.' The mere possession of property taken under a contract of sale, however, does not prevent the Court ordering a rescission of the sale, and a reconveyance of the propert^' upf)n equitable terms, if the situation of tiie parties has not been altered in any substantial wa\'.' Section 3 — Frai n. DivFixmox. — Fraud is a false representation of fact, made with a knowledge of its falsehood, or recklessly, without belief in its truth, with the intention that it .should be acted upon by the complaining party, and actuallv inducing him to act upon it.'' What has been said generalh' as to inducement, intention, representa- tion, etc., generallv in relation to misrepresentation, applies to fraud, and need not be repeated here. I-Iffect of I-'rai'I). — b^-aud by itself renders all con- tracts voidable ab initio, both at law and in equity; and where the person deceived has suffered damage, he may bring an action for deceit, whereas in the case of inno- cent misrepresentation, this, is not po.ssible. " Fraud 1 Cloiigh V. /.. & N.W.Rly.. supra ; Vificrs v Pike (1842) 8 CI. & F. 562 ; Erlanger v. Ncxc Soiiihnro Phosp'iuttc Coy. (1878) 3 App. Cas. 1218. - Chvnoux'th's Case {\?,m) 15 Ch. I). 20: Sliefticlil Nickel Coy. \. L';ru'/u (1877) 2 Q.B.D. 214. •' Seddon v. North Eastern Salt Coy (1903) 1 Ch. 326; Hindlev Hroxeit, 98 L.T. 45. ' Lindsay Petroleum Coy. v. iltird (1S74) 5 I'.C. 221 ; Ayle.\ford v. Morris (1873) 8 Ch. 484. •' See Anson : " Law of Contract," p. 187. 76 VENDORS AXD PURCHASERS. gives a cause of action if it leads to any sort of damage ; it avoids contracts only where it is the ground of the contract, and where, unless it had been employed, the contract would never have been made.'" It must be shown that the representation was fraudulent, that it was made to the party complaining, either directly or indirectlv, with the intention that he should act upon it ; and that the party complaining did so act on the faith of the misrepresentation, and suffered damage in con- sequence.' It is immaterial that the person defrauded had a full opportunitv of discovering the fraud, or that the truth was known to his agent. ^ Rescission of Contract.- — A contract induced, by fraud is voidable at the option of the party defrauded. He may, therefore, affirm the contract, and sue for such damages as he sustains from the misrepresentation; or he may, where the representation creates an estoppel, affirm the contract, and insist on the representation being made good where this is possible ; or he may avoid the contract, either by taking active steps to get it cancelled, or by resisting a suit for specific perform- ance, or an action for damages brought in respect of it. Restitution of the parties to their original rights and property is a condition of rescission ; and this right may be lost by delay, or by waiver of the right and affirmance of the contract, or by taking a benefit under the contract after full knowledge of the fraud ; or where third parties have inten-ened and acquired bond fide, and for value, rights in the property obtained bv the fraud.' Xon-Disclosure of Material Facts. — Non-disclo- sure of a material fact ma}- sometimes be equivalent to active misrepresentation, for such non-disclosure may make that which is stated absolutely false^ ; or the fact not di.sclosed may be such that it is impliedlv repre- ' Siiiith V. Kay (1859) 7 H.L.C.^t'i- Lord Wensleydale at p. 775. •^ Andrews v. Mockford (1896) 1 Q.B. 372; Peck v. Giinicv (1S73) 6 H.L. 377 ; Maclcay v. Taif (1906) AC. 24. ■' Rcdfiravc v. liiini (1881) 20 Ch. D. 1 ; WcHs v. Siiiif/i (19141 3 K.B. 722. * See, generally, cases cited under Misirpirscntatioit. ante, pp. 74, 75. •■■ Peck V. Gitrticy (1873) G H.L. 403 per Lord Cairns ; Swith y. Clurd- u-ick (1882) 20 Cb. D. 58 per Jessel, M.R. RKALirV OF CONSENT seined not to exist.' And when a party makes a state- ment which he afterwards finds out to be untrue, it is a fraudulent concealment for him to maintain silence and thereby allow, or still more induce, the other party to go on with the transaction in the belief that the state- ment is true." Mere non-disclosure, apart from circumstances im- porting a duty of informing- the other party or render- ing the fact material for him to know, is not sufficient ground for avoiding a contract. But the non-disclosure by the vendor of a material defect known to him in the title or the subject of sale, or of any other material fact, in the case of real property, will, in general, entitle the purchaser to avoid the sale; notwithstanding condi- tions of sale expressly providing that errors and omis- sions shall not affect the validity of the sale ; or expresslv recjuiring facts to be assumed which the vendor knows to be false." XoN-DiscLOSURi-: BY PiRCHASEi?. — A purchaser is not bound to give the vendor information of facts which mav influence his own conduct or judgment when bargaining for his own interest, unless he undertakes or professes to communicate them.' But where a purchaser, while communicating facts affecting the value, misrepresents or conceals facts of which he knows the vendor to be in ignorance, the transaction may be set aside, or specific performance refused.* Contracts Uberrunae Fidei. — There are certain con- tracts which, as regards disclosure by one party to the other of facts within his knowledge, stand in a special position. These contracts are such that from the nature of the case one party has coinmand of means of know- ledge impossible to the other, so that it becomes a inatter of good faith that the informed party should communi- 1 Coaks V. Boswell (1886) 11 A.C. 236 per Lord Selborne. - Broxvnlie v. Campbell (1880) 5 A.C. 950 per Lord Blackburn ; Red- grave V. Hurd (1881) 20 Ch. D. 12-13 ^t-r Jessel, M.R. •' Nottingham Brick Coy. v. Butler (1886) 16 Q.B. D. 778 ; Carlish v. Salt (1906) 1 Ch. 335 ; Re Banister (1879) 12 Ch. D. 131 ; Blaiberg v. h'ceves (1906) 2 Ch. 175. ■ Coaks V. Bosicell (1886) 11 App. Cas. 232. '■ Turner V. Harvey (1821) Jac. 169; Haygarth v. Wcarimi (1871) 12 Eq. 320 ; Phillips v. Horn/ray (1871) 6 Ch. 770. 78 VEXDORS AND PURCHASERS. cate his knowledge to the other. Such contracts are known as contracts uberrimae fldei. They comprise contracts of insurance, contracts for the sale of land/ contracts for famil}- settlements and arrangements, con- tracts for the allotment of shares in a company. Puffers at Auctions. — Formerly, a sale by auction ^\vas invalid at common law if a puffer was employed to bid on behalf of the vendor, unless the right so to bid iiad been expressly reserved. The rule in equity ap- pears to iiave been that the employment of one puffer might be justified to prevent a sale at an undervalue.^ Now, however, by the Sale of Land by Auction Act, 1867,'^ the employment of a puffer will invalidate the sale, unless the right to do so has been resei-ved in the parti- culars or conditions of sale; but if the right is reserved, the seller, or anv one person on his behalf, may lawfully bid. But tlie right to bid must be expressly reserved — it is not enough to state that the sale is subject to a reserv''e price.* Similar provisions as to the sale of goods by auction are contained in Section 58 of the Sale of Goods Act, 1898. ' Any sale contravening this Section niay be treated as fraudulent by the buyer. Similarly any conduct of the successful bidder intended to " damp the sale may be constructively fraudulent, so as to entitle the vendor to refuse completion.*^ Section 4 — Duress. 13efimtion. — Duress, as recognised in law, implies actual violence to the person, or threats thereof. An agreement apparently complete and sufificient to create a contract may be vitiated by such duress, as the party under duress is induced to consent onl}' by fear imposed by the violence or threats of the other party. The fear must (-()nc(M-n the personal safetv of the man, not his ' See Part III., Chapter I., post, pp. 231-234. '•^ Thonictt V. Haines (1846) 15 M. & W. 367 ; Green v. Biiversfock (1863) 14 C.B. N.S. 204; Mortimer v. Bell (1865) 1 Ch. 10. " 30 & 31 Vict. c. 48, ss. 4, 5 and 6 ; -see Part III., Chapter I., p'ost, p. 218. * Gilliat V. Gilliiit (1869) 9 Rq. 60. ■'■ See Part II., Chapter I., post, p. 141 , c'^ seq. '■' Fuller V. Abrahams (1821) 6 Moo. P.C. 316; Raxclings v. General Trading Coy. (1921) 1 K.B. 635. ri:alitv of consf.nt. 79 houses or goods,' because he may recover these or damages to their value; and the fear must be estimated with regard to the age, sex, and condition of the person threatened, so far as known to the party using the violence or threats." Gknhral Rule. — An agreement induced by duress is not absolutely void, but voidable only at the option of the party intimidated. If, after the duress is removed, he voluntarily acts upon the agreement, he thereby confirms it, and is afterwards precluded from avoiding it.'' Prima facie, all contracts are valid, and the partx seeking to avoid an agreement on the ground of duress must prove the duress affirmatively, unless the parties stand in a fiduciary position, in which case the onu.s' is cast upon the defendant of jjroving there was no duress.'' The duress must be the act of the other contracting party himself, or imposed with his know-ledge, and taken advantage of by him, for the purpose of obtaining the agreement." And, as a rule, the duress must be im- posed on the party seeking to avoid the agreement, and not on a third person, unless such third person is the party's parent, or wife, or child." Section 5 — Undue Influence. General Rule. — Agreements between persons in certain relative positions are treated in equity as pre- sumptively made under an undue influence of one party upon the w'ill of the other ; and when the relative posi- tion of the parties is such as prima facie to raise this presumption the transaction cannot stand, unless the person claiming the benefit of it is able to repel the pre- sumption by contrary evidence, proving it to have been in point of fact fair, just and: reasonable.^ 1 Co. Litt. 253b; Poiccll v. Hylcuid (1851) 6 Ex. 67; Latter v. Braddell (1881) 50 L.J. C.P. 448 ; Skcatc v. Bcale (1840) 1 1 A. & E. 983. "^ Scott V. Sebright (1886) 12 P.D. 21 ; see Cooper v. Cnine (1891) 1'. 369. 3 Ormcs V. Bcadel (1860) 2 De G.F. & J. 533. " Whclpdcxlc's Case (1605) 5 Co. 119a. '' 1 Kolle Abr. 688. « Ibid. 687 ; see Williams v. Bayley (1866) 1 H.L. 200. ' Aylesford v. Morris (1873) S Ch. 4S9, per Selborne L.C. ; and see Allcard V. Skinner\\^Sl) 36 Ch. D. 145. so VENDORS AND PLTRCHASERS. Sale of Reversion. — Upon the purchase of an estate in possession, and where no fiduciary relation exists between the parties, mere inadequacy of consideration, unless shown to be the result of fraud, surprise, mis- representation, or improper concealment on the part of the purchaser, is no defence to a suit for specific per- formance, unless the inadequacy of price is such as shocks the conscience, and amounts in itself to conclu- sive and decisive evidence of fraud in the transaction.' In the case of contracts for the sale or charge of rever- sionary interests, however, courts of equity imposed upon the purchaser the burden of proving that he gave full value, upon failure of which they held the property to be redeemable by the reversioner upon repayment of the consideration with interest.^ Where the sale was made by auction the burden of proof was shifted, because the price at a sale by auction was taken as priind facie evidence of the full market value. ^ Now by the Sales of Reversions Act, 1867, it is provided that " no purchase, made bond fide, and without fraud or unfair dealing-, of any reversionary interest in real or personal estate shall hereafter be opened or set aside merely on the ground of undervalue "; and " purchase" includes every kind of contract, conveyance, or assignment under or by which any beneficial interest in any kind of pro- perty may be acquired.* Trustees and Beneficiaries. — The general rule stated above applies in all cases of persons dealing with others to whom they stand in a recognised fiduciary relation. A trustee for sale, i.e., a trustee who is selling, is absolutely and entirely disabled from pur- chasing the trust property, directly or indirectly, by private contract or public auction, from himself, as the ' Coles V. Trccothick (1804) 9 Ves. 246, per Lord Eldon ; Harrison v. C.iicst (1860) 8 H.L.C. 481 ; Haygartli v. Wearing (1871) 12 Eq. 320. ■^ Aldborough v. Trye (1840) 7 CI. & F. 436; Re Slater's Trust (1879) 11 Ch. D. 227. ^ Shelley v. Nash (1818) 3 Madd. 232 ; Fox v. Wright (1821) 6 Madd. 111. * 31 Vict. c. 4, Sects. 1,2; and see Tyler v. Yates (1871) 6 Ch. 669 ; Jtidd V. Green (1875) 45 L.J. Ch. 108; O'Rorke v. Bolingbrobe (1877) 2 App. Cas. 814 ; Fry v. Latie (1888) 40 Ch. D. 312. • RKALITV OF CONSENT. 81 single trustee or with the sanction of his co-trustees.' The situation of the trustee gives him an opportunity of knowing- the value of the property, and as he acquires that knowledg^e at the expense of the beneficiary, he is bound to apply it for the beneficiarv's benefit.' The rule is universal, that however fair the transac- tion, the beneficiary is at liberty to set aside the sale and take back the property.'' And as a trustee cannot buy on his own account, he cannot buy as agent for a third person.* The rule is, however, that the trustee cannot buy from himself; there is no rule that a trustee, whether for sale or otherwise, mav not purchase from the beneficiary."' Therefore, while a purchase by a trustee conducting the sale, either personally or by his agent, cannot stand, a purchase by a trustee from a beneficiary, of the interest of the latter in the trust, may stand, if the trustee can show that the fullest information and every advantage were given to the beneficiary.^ Before any dealing with the beneficiary, the relation between the trustee and the beneficiary must be actually or virtually dissolved.^ Executor axd Legatee. — The same principle applies to an executor purchasing the assets of his testator or the interest of a legatee.* Solicitor and Client. — "There is no rule that a solicitor may not purchase his client's property, even while the relation subsists between them ; but the onus is thrown upon the solicitor to show that everything is perfectlv fair; and that the vendor knew what he was doing, and that the full price was given, and that no ' Fox V Mackreth (1788) 2 Bro. C.C. 400; Aberdeen Rly . Coy . v . Blakie, 1 Macq. 472 ; Crowe v. Ballard. 2 Cox 253 ; Parker v. McKcnna 10 Ch. 96; ex parte Bennett. 10 Ves. 394 - Ex parte James, 8 Ves. 348 ; Liuldy's Trustee v. Peard, 33 Ch. D. 500. •' Ex parte Laccy, 6 Ves. 625. ^ Ex parte Bennett. 10 Ves. 381 ; Coles v. Trecothick, 9 Ves. 248. ■'- Thomson v. Eastwood (1877) 2 App. Cas. 236 ; Coles v. Trecothick, supra . Dougan v. McPherson (1902) A.C. 197. 6 Darton v. Donner, 23 Beav. 285 ; Luff x . Lord, 34 Beav, 220. ^ Downes v. Grazebrook, 3 Mer. 208. ^ Beningfield v. Baxter (1886) 12 App. Cas. 167; Re Worssam (1882) 51 L.J. Ch. 669. 6 82 VENDORS AND PURCHASERS. advantage was taken of the character of solicitor."* The circumstance that the client was not advised by a separate solicitor will not of itself avoid the sale ; but the solicitor's proper course is to insist on his client taking such separate advice.^ Parent and Child and Guardian and Ward. — Agreements between a child and parent or ward and guardian are presumptively affected by undue influence and therefore voidable ; and the burden is thrown upon the parent or guardian of showing that the child or ward acted freely and with independent advice. The rule applies in the case of persons of full age, so long as they are not free from parental control.^ Other Cases. — The same general principle applies to all the variety of relations in which it is shown that dominion has been exercised by one person over another;^ as where a transaction is entered, into with a person who is illiterate and ignorant of business, and who has no independent advice;^ or WMth a person who is under such pecuniary necessity as not to be a free hgent ;* and in any case of a confidential adviser taking a benefit from the person dependent upon his advice.^ ' Gibson v. Jeves (1801) 6 Yes. 271 ; Farrar v. Farrars, Ltd. (1888) 40 Ch. D. 395 ; Wright v. Carter (1903) 1 Ch. 27. '^ Edwards v. Mcyrick. 2 Hare 60; Spencer \. Tophani, 22 Beav. 573 ; Re Haslam and Hier-Evans (1902) 1 Ch. 765. 770. •■' Bawhriggc v. Broun (1881) 18 Ch. D. 188; Tucker v. Bennett (1888) 38 Ch. D. 1. * Dent V. Bennett (1838) 4 M. & Cr. 277. * Evans v. Llewellyn (1787) 1 Cox 333 ; Fry v. Lane (1888) 40 Ch.D. 312. * James v. Kerr (1889) 40 Ch. D. 449. ^ Tate V. Williamson (1866) 2 Ch. 55 ; Moxon v. Payne (1873) 8 Ch. «81. CHAPTER VI. CONTRACTS OF AGENTS. Section 1 — Introductory. Definition. — An " agent " is a person having- autiiority, express or implied, to act on behalf of another person, called his " principal.'" He is a medium by which his principal is brought into con- tractual or other relations with third parties." General and Special Agents. — Agents are distin- guished in respect of authority as general and special agents. General agents include brokers, factors, auc- tioneers, solicitors, partners, and all persons employed in a business or profession or tilling a position of a gener- ally recognised character, and who have authority to act for their principals in all matters, or in all matters concerning a particular trade or business, or of a par- ticular nature, or to do some act in the ordinary course of their trade, business, or profession as agents. A special agent is one who has authority only to do some particular' act or to represent his principal in some particular transaction, such act or transaction not being in the ordinary course of his trade, profession or busi- ness as an agent." Factors. — A factor is a person to whom goods are consigned for sale by a merchant residing at a distance from the place of sale, and he usually sells in his own name without disclosing that of his principal ; the latter, with full knowledge of these circumstances, trusts him with the actual possession of the goods, and gives him authority to sell in his own name.' And he is not less a factor because, as between him and his principal, he is under restriction as to the price at which the goods are to be sold, or is bound to sell in the principal's name.^ 1 R. V. Kane (1901) 1 K.B. 472. - Re Moline, ex parte Dyster (1816) 2 Rose, 349. 3 See further, Section 5, infra, pp. 88-94. •" Baring v. Corrie (1818) 2 B. & Aid- 137. •' Stevens v. Biller (1883) 23 Ch. D. 31. 84 VENDORS AND PURCHASERS. Brokers. — The character of a broker is materially different from that of a factor; he is not intrusted with the possession of goods, and ought not to sell them in his own name/ He is to be considered as an agent of the seller, or the buyer, or of both, bound honestly to exercise his skill and fairly to communicate his opinion on the subject of the purchase to those who, for that purpose, have confidently employed him.^ Auctioneers. — An auctioneer is a skilled agent, to whom complete control of the operations at a sale is intrusted, and he is in the position of an independent contractor.^ He may or may not be intrusted with the possession and control of the property to be sold. Until the property is knocked down the auctioneer is the agent of the vendor, but after the fall of the hammer he is also the agent of the purchaser,^ and has implied authority to sign a contract of sale or a memorandum thereof on behalf of both vendor and purchaser, and his signature is a sufficient compliance with the require- ments of the Statute of Frauds, section 4, or of the Sale of Goods Act, 1893, section 4, so as to make the contract binding upon both vendor and purchaser.* But his authority as agent extends to sale only.* An auctioneer may at a sale by auction sell property of which he is himself the owner ;^ in which case he cannot sign the contract as agent of the purchaser.* House and Estate Agents. — As a general rule, the business of house and estate agents is to find offers and submit them to their principals for acceptance. Authority to enter into contracts on behalf of their employer cannot be inferred from the relations existing between them ;' and this is so, even though the price ' Baring v. Corrie, supra. - Re Moline, ex parte Dyster (1816) 2 Rose, 349. ' Walker v. Crabb (1916) 33 T.L.R. 119. ' Emvierson v. Heelis (1809) 2 Taunt. 38 ; White v. Proctor (1811> 4 Taunt. 209. ' Ibid. « Seton V. Slade (1802) 7 Ves. 265. ■ Flint V. Woodin (;i852) 9 Hare 618. " Bttckmaster v. Harrop (1802) 7 Ves. 341; (1807) 13 Ves. 456; Wright V. Dannah (1809) 2 Camp. 203. " Thuman v. Best (1907) 97 L.T. 239. CONTRACTS OF AGENTS. 85 at which tlie principal is prepared to sell his property is named in the instructions.* Del Credere Agents. — Del credere agents are mer- cantile agents who, in consideration of an extra remu- neration, called a del credere commission, guarantee to their principals that third persons with whom they enter into contracts on behalf of their principals shall duly pay any sums becoming due under those contracts. Such an agency may be implied from facts showing that the agent was charging an additional commission for risk. Section 2 — How Agency Arises. In General : The relation of agency arises, and can only arise, by virtue of the mutual assent, express or implied, of principal and agent,"^ except where the rela- tion is imposed by operation of law in certain cases of necessity.^ Where the principal or some person authorised by him appoints the agent by deed, by writing under hand, or by parol, the relation of agency is expressly consti- tuted." The relation of agency is implied by law from the conduct or situation, of the parties, or from the necessity of the case.* The relation may also be constituted w'here the prin- cipal has ratified an act done by the agent professedly on the principal's behalf." Where it is alleged that the relation of agency exists by virtue of an express agreement between the parties, the question is to be determined upon the true con- struction of the agreement and the intention of the parties.' If it is contemplated by the agreement thnt ' Hainerv. Sharp (1874) L.R. 19 Eq. lOS ; Chadburnv. Moore (1892) 61 L.J. Ch. 674 ; Prior v. Moore (1887) 3 T.L.R. 624. '^ Markwick v. Hardingham (1880) 15 Ch. D. 339. ■' See infra, p. 8G. * Gosling V. Gaskell (1897) A.C. 575; Re Vimbos Ltd. (1900) 1 Cli. 470 ; Re Hale (1899) 2 Ch. 107. = Trent V. Hunt (1853) 9 Exch. 14. ^ See Infra, p. 86. ' Markwick \. Hardingham (1880) 15 Ch.D. 339; Re Nevill,ex parte White (1871) 6 Ch. App. 397. 86 VENDORS AND PURCHASERS. the alleged agent is to act on his own behalf and not on behalf of the alleged principal, the relation of agency does not exist.' AoKXCV BY EsToiM'iJL. — "Where one has so acted as from his conduct to lead another to believe that he has appointed someone to act as his agent and knows that that other person is about to act on that belief, then, unless he interposes, he will in general be estopped from disputing the agency, though in fact no agency reallv existed." Thus, if a person sends goods to an auction room or repository for sale, or to a factor or broker whose business it is to sell such goods, he is presumed to authorise a sale without anv limitation as to price.' Agency may also be presumed from previous dealings of the principal, as the buying or selling of goods through a person professedlv acting as his agent. ^ Agexcv from Xecessitv of Case. — In exceptional cases authority is implied in law from the necessity of the occasion to contract on behalf of the person whose interest is concerned. A carrier of goods or master of a ship may in certain circumstances, in the interest of his employer, pledge his credit for the purpose of pro- tecting his property. A married woman becomes an agent of necessity to supply her ^\ants upon the credit of her husband who has left her without means o^ subsistence. Section o — Capacity of Parties. Of Principal. — \Miatever a person can do personally, he can, with certain exceptions, do bv an agent. ^ Con- versely, what a man may not do personally, he may not do by an agent ; the powers of an agent are limited by the limitation of the powers of the principal. Con- tracts not binding on the principal, as being ultra vires, ' Ibid : De Bussche v. Alt (1878) 8 Ch. D. 286. * Pole V. Leask (1863) 33 L.J. Ch. 162. •'' Pickering v. Bt4sk (1812) 15 East 43 ; Rainbow v. Howkitis (1904) 2 K.B. 322 ; and see Weiner v. Harris (1910) 1 K.B. 285. * Pole V. Lcask, supra. ■• Bevan v. Webb (1901) 2 Ch. 59. COXTKACTS OF AGEN'TS. 87 do not become binding- because they were entered into through tlie mechum of an agent/ The principles stated above are well-known common law rules, and apply equally to the exercise of statutory rights as to the exercise of other rights, in the absence of limitations, express or implied, imposed by the par- ticular statute in question.' It follows that where the signature of a person is required by statute, signature by his agent is sufficient unless the statute makes a personal signature indispensable.'' Of Agext. — To enable a person to act as agent on behalY of another, it is not necessary that he should "possess full contractual capacity.' Thus a married woman, independently of the Married Women's Pro- perty Acts, or an infant, may be an agent.* SeCTIOX 4 — AppOINTMIiNT OF AgEXTS. To Execute Deeds. — Where an agent is required to execute an agreement which by law must be by deed, it is essential that the agent's authority should be con- ferred under seal. Such an authority is called a power of attorney. An exception to the above rule mav be made where the principal is present at the execution of the deed on his behalf, and the agent's authority may in such case be given by word of mouth or by signs. "^ The appointment of an agent by a corporation, in accordance with the common law rule alread\' stated, must be under seal.^ This rule, however, does not apply to trading corporations* or companies incor- porated under the Companies Acts." ' Montreal Assurance Coy. v.M'Gillivray (1859) 13 Moo. P.C.C. 87. ■^ Jackson & Co.v. Napper (18S6) 35 Ch. D. 162. •' R. V. Kent J.J. (1873) L.R. 8 Q.B. 305; Re Whitley Partners (1886) il Ch. D. 337. ' Kirby v. Gt. W. Rly. Co. (1868) 18 L.T. 658. ' Sinally v. Smally (1700) 1 Eq. Aft. 6. « Rex V. Longnor (1833) 4 13. & Ad. 647. ■ Kidderminster v. Hardwicke (1873) L.R. 9 E.x. 13. " South of Ireland Colliery Coy. v. Waddle (1869) L.R. 4 C.P. 617. '■* See, generally, Chapter IL, Sect. 2, on Capacity of Corporations and Companies, ante, pp. 11-13. Vi:XD(^RS AND PURCHASERS. OiHtK Cash:s. — As a general rule, where an agent is appointed to perform certain acts on behalf of his prin- cipal, the appointment need not be by deed or in writing, unless by statute or by the terms of the power or authority under which the appointment is made an appointment by deed or in writing is required either expressly or by necessary implication.^ Thus, though a contract for the sale and purchase of land must be in writing by the Statute of Frauds, an agent appointed for the purpose of such sale or purchase may be appointed by parol .^ The same rule applies to con- tracts within section 4 of the Sale of Goods Act, 1893.^ Section 5 — Authority of Agents. Generally. — The nature and extent of an agent's authority is defined either by the express terms in which it is given, or b}^ the circumstances or conduct from which it is implied. In no case can the agent's authority exceed the power of the principal himself.* As between the principal and his agent, the authority may be limited by agreement or special instructions, but as regards third parties the authority of the agent is that which he is reasonably believed to have having regard to the circumstances of the case, or the nature of the agent's employment and duties.^ An authority conferred in general terms is construed as authority to act only in the usual way* and according to the ordinary course of business^ or trade.® And ' See Cooke v. Jackson (1850) 15 L.T. O.S. 523. 2 Waller v. Hendon & Cox (1723) 2 Eq. Gas. Abr. 50 ; Heard v. Pilley (1869) 4 Gh. App. 548; James v. Smith (1891) 1 Ch. 384 ; Cavev. Mackenzie (1877) 46 L.J. Ch. 564; Rochefoucauld v. Roiistead (1897) 1 Gh. 196. ■'' See Graham v. ^]iisson (1839j 5 Bing. N.G. 603; decided under Sect. 17 of the Statute of Frauds. * See Pole v. Leash (1860) 28 Beav. 562 ; Montreal Assurance Coy. V. M'Gillivray (1859) 13 Moo. P.G.G. 87. •• Brady v. Todd (1861) 9 G.B. N.S. 592. « Wiltshire v. Sims (1808) 1 Camp. 258. ' Ireland v. Livingston (1866) L.R. 2 Q.B. 99. " Sweeting v.Pearce (1861) 9G.B. N.S. 534 ; Pickering v. Busk (1812) 15 East. 38. CONTRACTS OF ACKNTS. 89 where an agent is authorised to transact business in a market with the usai^^es of which the principal is unacquainted, the principal is bound by the agent's contract if the usages of the market relate onlv to the mode of performing the contract and do not change its intrinsic character.' Where the authority of the agent is conferred in ambiguous terms so as to be fairly and reasonably capable of more than one construction, and the agent bond fide acts upon it according to one construction, the principal cannot repudiate the act as unauthorised because he intended the authority to be acted upon according to another construction/ PcnvERS OF Attorney. — Powers of attornex are to be construed strictly, and in all cases are to be examined carefully in order to see whether the act done bv the agent is expressly or by necessary implication within the scope of the authority conferred.'^ An express power includes all incidental powers necessary to be exercised in order to accomplish the object of the principal powers.^ The general object of the power is described in the recitals, and the operative part of the deed is controlled by these;* and words giving general authority are taken as restricted to the special purposes of the power.' A power of attorne\- to deal with land gives authority to sell the land, the conditions of sale depending on the wording of the authority;^ but the portion included in a voluntary settlement may not be sold.^ A power to sell land belonging to the principal does not give authority to exercise a power of sale vested in the principal as mortgagee;^ nor does a general power to ' Robinson v. Mollett (1875) L.K. 7 H.L. 802. ^ Ireland v. Livingston (1872) L.R. 5 H.L. 395. ■'* Attwood V. Munnings (1827) 7 B. & C. 278. •* Howard v. Baillie (1796) 2 H.Bl. 618. « Danby v. Coutts & Co. (1885) 29 Ch. D. 500. ^ Esdaile v. La Naiize (1840) 4 L.J. Ex. Eq. 46; Harper v. Godsell (1870) L.R. 5 Q.B. 422. ' Hawkesley v. Outrani (1892) 3 Ch. 359. " General Meat Supply Association v. Boufflcr (1879) 40 L.T. 126. 3 Re Dowson and Jenkins' Contract (1904) 2 Ch, 219. 90 VENDORS AND PURCHASERS. mortgag-e, sell or otherwise deal with an estate authorise the attorney to execute a deed as a voluntary settle- ment.' Authority ix Writing. — Written authority is not construed so strictly as authority under seal, and due ree:ard is had to all the circumstances of the case." Verbal Authority. — The construction and extent of authority given verbally are questions of fact, depending on the circumstances of the case and the usages of trade or business. Authority given in general terms confers power to act in the ordinary and usual way of business or trade and to do all subordinate and reasonable acts in relation to the business.^ Implied Authority. — As a general rule, where general authority is given to an agent, there is implied a right to do all subordinate acts incident to, and neces- sary for, execution of that authority, and if notice is not given that the authority is specially limited, the principal is bound by the agent's acts.^ Strangers can only look to the acts of the parties and to the external indicia of property and not to the private communica- tions which may pass between a principal and his agent. So if a person authorises another to assume the apparent right of disposing of property in the ordinary course of trade it must be presumed that the apparent authority is the real authority.* In the case of a general agent. the principal is bound bv all his acts; but it is other- wise in the case of a special agent ; the principal in that case can onlv be bound to the extent of the authority given .^ Factors. — A factor entrusted with goods for sale has implied authority to sell the goods in his own name at such times and for such prices as he thinks fit, on reason- able credit, with a warranty if it is usual to warrant that ' Re Bowles (1874) 31 L.T. 365. - Pole V. Leask (1860) 28 Beav. 562 ; Parientc v. Lubbock (1855) 20 Beav 588. ' Collen V. Gardner (1856) 21 Beav. 540. ^ Pickering v. Busk (1812) 15 East 38. •'' East India Coy. v. Hensley (1794) 1 Esp. Ill ; Brady v. Todd (1861) 9 C.B. N.S. 592; Hicks v. Hankin (1802) 4 Esp. 114. CON"! R ACTS OK AGIINTS. 91 class of goods, and to rcceixc paxmcnt of the pr'wv where he sells in his own name.' I^ut he lias no implied authority, as such, to delegate his autiiority, whether acting- on a del credere commission or not; or to barter or pledge goods or the bill of lading for goods entrusted to him for sale." Private instructions restrictive of the apparent authority due to the character of factors do not affect tile contracts made by him in the course of his business imless communicated to the other part}'. J3roki:ks. — A broker is an agent employed to buy and sell goods, differing from a factor in not being intrusted with the possession of the goods, and in not having authority to contract in his own name or to receive payment."' In the first place, he is an agent for the person who originally employs him, but when the contract is made he is an agent to $ign for both seller and buyer.' An entry in his book, signed by him, is a sufficient memorandum within the Sale of Goods Act, 1898, Section 4.'' The broker generall}- makes two copies of this entry, sending one (the " bought note ") to the buyer, and the other (the " sold note ") to the seller. These notes, if they agree, also constitute a sufficient memorandum to satisfy the statute.*^ A broker, signing himself in bought and sold notes as broker for a principal, whether the principal is named or not, is presumptively not a contracting party, and cannot sue or be sued personally on the contract.' But he may be made a party by the express terms of the contract, although he is known to be and is described 1 Baring v. Corrie, (1818) 2 B. & Aid. 143; Smart v. Sanders (1846) 17 L.J. C.P. 258; Houghton v. Matthcu-s (1803) 3 B. & P. 485: Dingle v. Hare (1859) 7 C.B. N.S. 145 ; Drinkwater v. Goodicin (1775) Cowp. 251. - Cochran v. Irlam (1813) 2 M. & S. 301 ; Gnerreiro v. Peile (1820) 3 B. & A. 616 ; Martini v. Coles (1813) 1 M. & S. 140 ; Neu-som V. Thornton (1805) 6 East 17. •' Baring v. Corrie (1868) 2 B. & A. 137 ; Stevens v. Biller (1883) 25 Ch. D. 31. * Thompson v. Gardiner (1876) 1 C.P.D. 777; Re Moline. ex parte Dyster (1816) 1 Mer. 155. •■• Hinde v. Whitehotise (1806) 7 East 558. •^ Rucker v. Cammeyer (1794) 1 Esp. 105 ; Chapman v Partridge (1805) 5 Esp. 256. ' Fawkes v. Lamb (1861) 31 L.J. Q.B. 98. 92 VENDORS AND PURCHASERS. in the contract as a broker;^ and by the express terms of his employment or by the usages of trade he may be personally liable to his principal for the validity and performance of the contracts made by him.^ A broker employed in a particular trade or market is impliedly authorised to contract according to the usages of the trade or place, so far as they are not inconsistent Avith his employment as broker ; and he is impliedly authorised " to make contracts upon the footing of such usages, provided they are such as regulate the mode of performing the contracts and do not change their intrinsic character";^ it is immaterial whether the employer is acquainted with the particular usages.^ Auctioneers. — An auctioneer has a possession, coupled with an interest, in goods which he is employed to sell f accordingly he has a general authority to sell the goods in his own name and prima facie may sue and be sued upon the contract so made.^ An auctioneer has an implied authority to sell without reserve, and if he does so the vendor cannot set up against the buyer a limitation of that authority not known to the buyer/ He has no general authority to warrant the goods sold beyond the description given by the owner for the pur- pose of sale.^ An auctioneer has implied authority at a sale by auction to sign a contract or memorandum thereof on behalf of both vendor and purchaser, and his signature is a sufficient compliance with the require- ments of the Statute of Frauds and the Sale of Goods Act, 1898.® His implied authority does not extend to ' Sharman v. Brandt (1871) L.R. 6 Q.B. 720. '' Fleet V. Murton (1871) L.R. 7 Q.B. 126. '■' Robinson v. Mollett (1875) L.R. 7 H.L. 836; Blackburn v. Mason (1893) 68 L.T.510. ' Sutton V. Tatham (1839) 10 A. & E. 27 ; Bayliffe v. Butterworth (1847) 1 Ex. 425. •' V/tlliams v. Millington (1788) 1 H. BI. 81 ; Consol. Co. v. Curtis (1892) 1 Q.B. 495. « Woolfe V. Home (1877) 2 Q.B.D. 355. ''Rainbow v. Howkins (1904) 2 K.B. 322; Rinnncr v. Webster (1902) 2 Ch. 163. *' Payne v. Leconfield (1882) 51 L.J. Q.B. 642. " Emmcrson v. Heelis (1809) 2 Taunt. 38; White v. Proc/or (1811) 4 Taunt. 209 ; Wallace v. Roe (1903) 1 Ir.R. 32 ; Bell v. Balls (1897) 1 Ch. 663. CONTRACTS OF AGENTS. 93 dealing, after sale, with the terms (tn which a title to the property sold shall be made; he is an agent tor sale only,' and for sale bv public auction only; he has no implied authority to sell by private contract even if the public sale proves aborti\e and he is offered more than the reserve price. ^ House and Estate Agents. — Estate agents, as a rule, have no general authority to enter into contracts on behalf of their principals unless expresslv authorised to do so, their duty being merely to submit to their principals any offers which may be made to them. If any authority to enter into contracts is given it must be proved and cannot be inferred from the relations exist- ing between the parties.' The employment of an estate agent with instructions to procure a purchaser, merely stating particulars and price of the property, gives no authority to the agent to sign a contract of sale.* But instructions given by an owner of real estate to an agent to sell the property for him, and an agree- ment to pay a commission on the purchase price accepted, are an authority to the agent to make a binding contract and to sign an agreement for sale f but the authority, in the absence of express instructions to the contrary, is limited to signing an open contract and does not authorise the agent to sign a contract with special conditions, e.g., as to title, which it is no part of an estate agent's duty to deal with.'' But an authority to act " in and about " the purchase of a property is not an authority to purchase.^ Commission Agents. — A commission agent is a person who establishes no privity of contract between his principal and other parties, but is employed to buy or sell goods for him on the best possible terms, receiv- ' Seton V. Sladee(l802) 7 Ves. 265. 2 Daniel v. Adams (1764) Ambl. 495 ; Marsh v. J elf (\S62) 3 F. & F. 234. ^ Thuman v. Best (1907) 97 LT. 239. ^ Hatiier v. Sharp (1874) L.R. 19 F.q. 108 ; Chadburn v. Moore (1892) 61 L.J. Ch. 674. 5 Ibid. ; Rosenbautn v. Belson (1900; 2 Ch. 267 : Wilde v. Watson, 1 L.R. Ir. 403 ; Keen v. Mear (1920) 2 Ch. 574. ^ Keen v. Mcar, supra. • Vale of Neath Colly. Coy. v. Furness (1876) 45 L.J. Ch. 276. 94 VENDORS AND PURCHASERS. ing botli the price of the goods and a commission for his services.' Therefore an agent who has bought upon commission cannot charge his principal for goods sold and delivered as upon a contract of sale,^ nor can the principal claim damages against the commission agent upon that basis, but for negligence in the execution of his commission.^ Section 6 — Delegation of Authority. General Rule. — The maxim is delegatus non potest delegare. This imports that " an agent cannot, with- out authority from his principal, devolve upon another obligations to the principal which he has undertaken to fulfil personally, and as confidence in the particular person employed is at the root of the contract of agency,* such authority cannot be implied as an ordinary incident in the contract." Where a principal appoints an agent, e.g., a broker, from the opinion he entertains of his personal skill and integrity, the agent has no right without notice to his principal to delegate the performance of his duties,^ however general they mav be. Implied Authority. — Where the exigencies of busi- ness render necessary the carrying out of the principal's instructions by a person other than the agent originally instructed, the rule must be relaxed so as to enable the agent to appoint a sub-agent and to constitute, in the interests and for the protection of the principal, a direct privity of contract between him and such substitute. An authority to delegate will, therefore, be implied where, from the conduct of the parties to the original contract of agency, the usage of trade, or the nature of the particular business which is the subject of agency, it may rejisonably be presumed that the parties to the contract of agency originally intended such authority .should exist, or where, in the course of the employment, ' Ireland v. Livingston (1872) L.R. 5 H.L. 407. ■^ Seymour v. Pychlan (1817) 1 B. & Aid. 14. •'' Salvcscn v. R.A.N. (1905) AC. 302. * See De Bussche v. Alt (1878) 8 Ch. D. 286. •^ Cochran v. Irlam (1814) 2 M. & S. 301. CONTRACTS OF AGENTS. 95 unforeseen emerg^encies arise which im]D()se upon the af^^ent the necessity of employing a substitute.' PosiTRW OF Sub-Ac;knt. — As a jii^eneral rule, there is no privity of contract between a principal and sub- aijent, and the sub-ai^ent is liable only to his immediate principal, the a^jent," and where the sub-air«"nt is em- ployed without the authorit}', express or implied, of the principal, the principal is not bound by his acts.' Hut where the principal is a party to the appointment of the sub-agent or has subsecjuently adopted his acts, and it was the intention of the parties that privitv of con- tract should be established between them, the sub-agent is liable to the principal, and his acts bind the principal.' Section 7 — Exixi'tion of Authority. Generally. — It is the duty of an agent to exercise his authority exactly in the terms in which it is given," and this applies particularly to the exercise of powers of attorney."^ An agent may deviate from his instructions in his endeavours to do the best he can for his principal, but he takes upon himself the risk whether his principal will approve of his conduct.' An agent who under- takes a duty for remuneration is bound to perform his undertaking;^ but there is no liability attached to the performance of a gratuitous undertaking.^ Professional Accents. — Public profession of an art is a representation and undertaking to all the world that the professor possesses requisite care and skill.'" And a 1 De Bussche v. Alt (1878) 8 Ch.^D. 286. ^ Schmaling v. Tomlinson (1815) 6 Taunt. 147. Hannaford v. Situs (1898) 79 L.T. 30. •■* Wray v. Kemp (1883) 26 Ch. D. 163. ^ De Bussche v. Alt (1878) 8 Ch. D. 286; Poxcell v. Jones (1905) 1 K.B. 11. •' Holophane Ltd. v. Hcsscltine (1896) 13 T.L.R. 7. ^ Attwood V. Mannings (1827) 7 B. & C. 278. ' Prince v. Clarke (1823) 1 B. & C. 186 ; Pent Republic v. Peruvian Guano Coy. (1887) 36 Ch. D. 489. ** Turpin V. Bilton (1843) 5 M. & G. 455 ; Pariente v. Lubbock (1856) 8 De G. M. & G. 5. » Coggs V. Bernard, 2 Raym. 909 ; Balfe v. West (1853) 13 C.B. 466. " Harmer v. Cornelius (1858) 5 C.B. N.S. 236. 96 VENDORS AND PURCHASERS. man who is employed to act for another as his agent is bound to exercise all the skill and knowledge he has of a particular business, all the diligence, zeal and energy- he is capable of, and any interests he may have himself he is bound to exercise to the fullest extent for the sole and exclusive benefit of the person for whom he is acting/ What is the usual or necessary, or a reasonable degree of skill, care or diligence, is a question of fact depending upon the nature of the agency and the cir- cumstances of the particular case." Section 8 — Ratification by Principal. Ratification implies the absence of original authority.' It is a general rule of common law that the person in whose name an act has been done may, if he thinks fit, aftenvards ratify and adopt it.* To constitute a binding adoption or ratification of acts done without previous authority, the acts must have been done for and in the name of the supposed principal ; full know- ledge of them and unequivocal adoption after knowledge must be proved ; or else the circumstances must warrant the clear inference that the principal was adopting the acts of his supposed agent whatever their nature.^ Ratification may be either a specific ratification of a particular act or a general ratification of everything done by the agent on behalf of his principal f but a contract cannot be ratified in part and repudiated in part; if ratified, the whole contract must be ratified." A contract can only be ratified by the principal con- templated at the time Avhen it was made. He need not be named. ^ He must be a person ascertained at the * Price V. Metrop. House Invest. Agency Coy. (1907) 23 T.L.R. 630 per Cozens-Hardy, M.R. 2 Moneypenny v. Hartland (1S24) 1 C. & P. 352 ; Hurrell v. Bullard (1863) 3 F. & F. 445. ■' Richardson v. Oxford (1861) 2 F. & F. 449 ; Foster v. Bates (1843> 12 M. & \V. ^ Phillips V. Eyre (1820) L.R. 6 Q.B. 1. ' Marsh v, Joseph (1897) 1 Ch. 213. ^ Fitzmanrice v. Bayley (i860) 9 H.L. Gas. 78. • Hovil V. Pack (1805) 7 East 164. *• Watson V. Swann (1862) 11 C.B. N.S. 756. CONTRACTS OF AGENTS. 97 time of the act and in existence either actually or in contemplation of law;' and his ratification must be made with full knowledije of the nature of the contract and the circumstances of the case.^ Section- 9 — Agent's Liability to Principal. Obedience to Instructions. — The duty of the agent to carry out his principal's instructions has already been discussed. If the agent carries out his instructions he is not liable to his principal for the consequences.' Where no definite instructions are given, or where the exercise of discretion is allowed, the agent must exercise his own judgment with the utmost good faith and in the interests of his principal.^ For any loss occasioned to the principal by the agent's want of proper care, skill or diligence in the performance of his duties, the agent is liable, even though the principal himself has been negligent.* In negotiating contracts the agent must take all reasonable precautions that may be requisite for the protection of his principal, and such contracts must be in accordance with his instructions, or in accordance with the usages of the trade, and capable of being enforced by the principal.^ To Account. — It is one of the first duties of an agent to keep an account and to communicate the contents of it to his principal." The principal of a general agent has no means of knowing, except through the agent's accounts, what the agent has received on his behalf, and if such an agent omits to keep proper accounts the Court will charge him with all moneys he might in the discharge of his duty have received for his principal.^ 1 Kelnerv. Baxter (1866) L.R.C.P. 174. 2 De Bussche v. Alt (1878) 8 Ch. D. 286. •• Overend, Giirney & Co., v. Gibb (1872) L.R. 5 H.L. 480. * Cullerne v. London & Suburban General Permanent Building Socy. (1890) 25 Q.B.D. 485. '' Beat V. South Devon Rail. Coy. (1864) 3 H. & C. 341 ; Becker v. Medd (1897) 13 T.L.R. 313. 6 Rainbow y.Howkins (1904) 2 K.B. 322 ; McManus v. Fortescue (1907) 2 K.B. 1 : Stumor v. Breen (1886) 12 App. Cas. 698. ' Chedworth v. Edwards (1802) 8 Ves. 46 ; Dadswell v. Jacobs (1887 34 Ch. D. 278. ** Re Lee, ex parte Neville (1868) 4 Ch. App. 43. 7 98 VENDORS AND PURCHASERS. It is further the duty of such agents as factors, brokers, auctioneers, to keep the property (including moneys received) of their principals unmixed with their own or the property of another.^ Where an agent is employed to sell property on his principal's behalf, he must not compromise his princi- pal's rights or part with his property until he has received payment in cash, unless authorised by his instructions or by usage of trade to do so." All moneys so received by him must be paid over or accounted for to the principal f and if he fail to pay over or to account for such moneys the principal may bring an action against him for money had and received or may claim an account/ Purchases from or Sales to Principal. — As a general rule, an agent may not enter into any transaction in which his dutv to his principal conflicts with his own interest, unless he has first made to his principal the fullest disclosure of the exact nature of his interest, and his principal has assented.* Thus, an agent employed to purchase, cannot buy his own property for his prin- cipal, neither can an agent employed to sell, purchase for himself his principal's property. Principals may either repudiate such transactions altogether or adopt and take the benefit of them.'^ Equity treats all transactions between an agent and his principal in matters in which it is the agent's duty to advise his principal as voidable unless and until the principal, with full knowledge of the material facts and in circumstances which rebut any presumption of undue influence, ratifies and confirms the same. In 1 Gray v. Haig (1854) 20 Beav. 218. 2 Pape V. Westacott (1894) 1 Q.B. 272 ; Kidd v. Home (1885) 2 T.L. R. 141 ; Wiltshire v. Sims (1808) 1 Camp. 258 ; Ferrers v. Robins (1835) 2 Cr. M. & R. 152 ; Farrar v. Lacy (1885) 31 Ch. D. 42. ^ Harsant v. Blaine (1887) 56 L.J. Q.B. 511. * Vide above cases generally. '•' Parker v. McKenna (1874) 10 Ch. App. 96 ; Gluckstein v. Barnes (1900) A.C. 240 ; Dunne v. English (1874) L.R. 18 Eq. 524; Rothschild V. Brookman (1831) 2 Dow. & CL 188 ; Nutt v. Easton (1900) 1 Ch. 29 ; Robinson v. Mollett (1874) L.R., 7 H.L. 802. <5 Bentley v. Craven (1853) 18 Beav. 75 ; Lees v. Nuttall (1835) 2 My. & K. 819 ; Cave v. Mackenzie (1877) 46 L.J. Ch. 564 ; King v. Howell (1910) 27 T.L.R. 114. CONTRACTS OF AGENTS. such cases the interest of the agent is in conflict with his duty, and there can be no real bargain at all. If the transaction be one of sale by the agent to the prin- cipal, the latter must, in order to avoid it, be able to restore the agent to his original condition. If he has resold the property or cannot restore it to its original condition, the right to avoid the transaction will, as a general rule, have been lost. But even so, he may be able to recover damages from the agent for negligence in the performance of his duties. Thus, an agent whose duty it is to acquire property on behalf of his principal cannot, without the consent of his principal, acquire it on his own behalf and subsequently resell it to his principal at an enhanced price. In such a case the principal can treat the property as originally acquired for him and the sale as nugatory, and may recover from the agent the money paid on such resale, less the original price and the expenses incurred by the agent in acquiring the property. This only applies where the relationship of principal and agent existed at the time w^hen the agent acquired the property. If it did not then exist, the property acquired was, at the outset, the agent's own property for all purposes, and the subsequent constitution of the relationship of principal and agent cannot deprive him of property already his own.^ Section 10 — Agent's Rights against Principal. Remuneration. — In order to found a legal claim for commission on a sale, there must not only be a causal, but also a contractual, relation between the introduction of the purchaser and the ultimate transaction. It is impossible to affirm in general terms that A is entitled to commission if he can prove that he introduced to B the person who afterwards became the cause of the sale. If A had no employment to sell, express or implied, he could have no claim to be remunerated. "" In the absence of an express contract for remunera- tion, such a contract may be implied from the circum- 1 Marler Estates Ltd. v. Marlcr (1913) 85 L.J. P.C. 167, per Lord Parker. 2 Toulmin v. Millar (1887) 58 L.T. 96. 100 VENDORS AND PURCHASERS. Stances of the case.' The employment of a professional agent, such as an auctioneer, raises the presumption of a contract to remunerate him, the amount of the remuneration and the conditions of its paynient being ascertainable from the usages of his profession.^ The right to remuneration arises when the agent has actually or substantially carried out his duties and fulfilled the conditions of his contract of agency.^ And his right is not lost by the fact that the transaction is not beneficial to his principal, or that it has subsequently fallen through, unless the agent was himself the cause of his services being abortive.* As a rule, no remuneration is payable upon transac- tions between the principal and third parties introduced to him by the agent arising after the termination of the agencv,'' unless they are in fact part of a larger transac- tion in which the agent was employed.*^ or there was an express contract to that effect." x-^nd an agent who is prevented from earning his remuneration by some wrongful act or default on the part of the principal is entitled to recover from the latter as damages the actual loss sustained by him.^ The contract of agency implies that the principal will reimburse the agent in respect of all expenses and indem- nify him against all liabilities incurred in the reasonable performance of his duties, in the absence of express terms to the contrary .'* LiEX. — Every agent has a lien on the property of his principal in his possession in respect of all just claims 1 Bryant v. Flight (1839) 5 M. & W. 114. '^ Broad v. Thames (1830) 7 Bing. 99 ; Turner v. Reeve (1901) 17 T.L.R. 592. •• Chapman v. Winson (1904) 91 L.T. 17 : KirL- v. Evans (1889) 6 T.L.R. 9. * Moir V. Marten (1891) 7 T.L.R. 330 ; Harris v. Petherick (1878) 39 L.T. 543 ; Fuller v. Barnes (1892) 8 T.L.R. 278. ■'' Tribe v. Taylor (1876) 1 C.P.D. 505. 6 Wilkinson v. Martin (1837) 8 C. & P. 1. • Salomon v. Brownfield (1896) 12 T.L.R. 239 ; Rohey v. Arnold (1897) 14 T.L.R. 39. "" Prickett V. Badger (1856) 1 C.B. N.S. 296. 9 Adamson v. Jarvis (1827) 4 Bing. 66 ; Morris v. Cleashy (1816) 4 M. & S. 566. CONTRACTS OF .UiKNTS. lOl he may liave as agent against his principal, either for remuneration earned, or advances made, or losses or liabilities incurred in the course of the agency, provided that the possession of the property was lawfully obtained by him in the course of the agency and in his capacity as agent and that the lien is not excluded by the contract of agency, and that the property did not come into his possession by any means inconsistent with the right of Hen.* The lien is a particular one only, that is to say, the right is confined to debts and obligations incurred in respect of the property subject to the right, ^ except where it is agreed, expressly or by implication, that it shall be a general lien, in which case the right extends in respect of debts and obligations incurred independently of the property subject to the right." A sub-agent appointed with the authority, express or implied, of the principal, has the same right of lien against the principal as he would have had if the agent had been the owner of the property;' otherwise, as a general rule, he has no such right of lien.'' The lien is extinguished or lost when the agent enters into any agreement or acts in any capacity which is incompatible or inconsistent with the continuance of the lien, or by waiver, express or implied/ Agent's Right to an Account. — The rights of prin- cipal and agent to an account are not necessarily correlative. The right of the principal rests upon the trust and confidence reposed in the agent, but the agent reposes no such trust or confidence in the principal. It is often impossible for the principal to discover, except by the oath of the agent, the extent and value of the agent's transactions. An agent, on the other hand, has usually all the knowledge requisite to support his ' Houghton V. Matthews (1S03) 3 B. & P. 485; Baring v. Corrie (1814) 2 B. & Aid. 137 ; Hammonds v. Barclay (1802) 2 East 227 : Re Bowes (1886) 33 Ch. D. 586 ; Fisher v. Smith (1878) 4 App. Gas. 1. ■^ Bock V. Gorrisscn (1861) 30 L.J. Ch. 39. •^ See above cases. ■• Taylor v. Kymer (1832) 3 B. & Ad. 320. « Solly V. Raihbone (1814) 2 M. & S. 298. ^ Sweet V. Pym (1800) ] East 4; N.W. Bank v. Poyntcr (1S95) AC. 56 ; Weeks v. Gooilc (1859) 6 C.B. N.S. 367. 102 VENDORS AND PURCHASERS. rights and requires no discovery.' Where, however, the accounts between the principal and his agent are of so complicated a nature that they cannot be satis- factorilv disposed of in an action at law, the agent has a right to have an account taken in a Court of Equity." Section" 11 — Principals and Third Parties. Acts of Agexts. — The principal is bound, as regards third parties, by every act done by his agent where such act is expressly authorised or is necessary for the proper execution of the express authority,' or is incidental to the ordinary course of the business conducted by the agent on his principal's behalf, or falls within the apparent scope of his authority ;* and he is likewise bound where he has by words or conduct held out another person or enabled such other person to hold himself out as having authority to act on his behalf.^ It is immaterial that the agent in doing such an act was acting fraudulently in his own interests and not in the interest of his principal.* But if an agent, in the course of his employment, does an act which is within the apparent scope of his authority, but is in fact outside his real authority, the principal is not bound by such an act if the third party has notice, actual or constructive, that the asfent is exceeding his authority.^ Dispositions of Property by Agents. — Dispositions by an agent of property intrusted to him are not bind- ing on the principal as a general rule if made without his authority, and in case of such disposition the prin- cipal is entitled to follow the property into the hands > Padwick V. Hurst (1854) 18 Beav. 575 ; Padwick v. Stanley (1852) 9 Hare 627. '^ Ibid. ; Harrington v. Churchward (1860) 29 L.J. Ch. 521. •' Hamhro wBurnand (1904) 2 K.B. 10; Montaignac v. Shi fta {1890), 15 App. Gas. 357; Jacobs v. Morris (1902) 1 Ch. 816. ■' Watteau v. Fcnwick (1893) 1 Q.B. 346 ; Howard v. Sheward (1866) 2 C.P. 148. 5 Re Bentley & Co. (1893)69L.T. 204; Levita's Case (1870) 5 Ch. App. 489. 8 Hambro v. Burnand, supra. ' Limpus V. G. O. Coy. (1862) 1 H. & C. 526; Nat. Bol. Nav. Coy. V. Wilson (1880) 5 App. Gas. 176; Evans v. Kymer (1830) 1 B. & Ad. 528. CONTRACTS OF AGFNTS. 103 of third persons and recover the property or its value.' If the principal has by his conduct allowed or enabled his agent to appear as owner of the principal's pro- perty, he is bound by any disposition of the property by the agent as regards all persons acquiring such property in good faith and for valuable consideration, provided they had no notice of the principal's title and believed the agent to be the owner." DiSPOSITIOXS UNDER THE FACTORS ACT, 18S9. — At common law, a person in possession of goods could not in general give to another, by sale or pledge, a better title to the goods than he himself had (nemo dat quod non habet) ; and though a factor had a general authority to sell, he had no such authority to pledge goods, even for the amount of his lien.^ Now, by the Factors Act, 1889, it is enacted that *' Where a mer- cantile agent is, with the consent of the owner, in pos- session of goods or of the documents of title to goods, any sale, pledge or other disposition of the goods made by him when acting in the ordinary course of business of a mercantile agent, shall, subject to the provisions of this Act, be as valid as if he were expressly authorised by the owner of the goods to make the same, provided that the person taking under the disposition acts in good faith, and has not at the time of the disposition notice that the person making the disposition has not authority to make the same " ;' and " where a mercantile agent has, with the consent of the owner, been in possession of goods or of the documents of title to goods, any sale, pledge or other disposition which would have been valid if the consent had continued, shall be valid notwith- standing the determination of the consent : provided that the person taking under the disposition has not at the time thereof notice that the consent has been 1 Farquharson Bros. & Co. v. King & Co. (1902) A.C. 325 ; Pickering v. Busk (1812) 15 East 38 ; and see Sale of Goods Act, 1893, sects. 21, 22 and Part II., Chapter II., post, p, 149 et seq. 2 Callow V. Kelson (1862) 10 W.R. 193; Cooke v. Es/ieZfty (1SS7) 12 App. Cas. 271 ; Scholfield v. Londesboroiigh (1896) A.C. 514. 8 M'Couibie v. Davies (1805) 7 East 5. ^ Sect. 2 (1). 104 VENDORS AND PURCHASERS. determined " ;' and " die consent of the owner shall be presumed in the absence of evidence to the contrary."^ Where A, the owner of goods, has given possession of the goods to B for the purpose of consignment or sale, or has shipped goods in B's name, and C, the consignee of the goods, has not had notice that B is not the owner of the goods, then C, in respect of advances made to A for the use of B, has the same lien on the goods as if B were the owner, and may transfer any such lien to any other person.^ But this does not limit or affect the validity of any sale, pledge or disposition by a mer- cantile agent.' Contracts of Agents. — Where an agent contracts on behalf of a disclosed principal, the presumption is that the principal and not the agent is the contracting party.* But an agent may make a contract by which he may become personally liable, w^hile he still makes it on behalf of his principal, so that the other party has a choice to go against either the one or the other ; that is to say, the contract may be such as to make the principal as well as the agent himself a party to the contract.'^ In such a case, the third party mav elect which to sue. If he proceeds against the agent, he may not, if he proceeds to judgment, afterwards proceed against the principal.^ An agent contracting on behalf of a foreign principal is alone liable;^ and the right to sue and be sued are correlative, so that a foreign prin- cipal may not sue upon a contract made in this country by an agent in his behalf.^ If A sells goods to B, supposing B to be the principal, but discovering afterwards that B is agent for C, he ' Sect. 2 (2). ''■ Sect. 2 (4) ; and see Wcincr v. Harris (1910) 1 K.B. 285 : Oppcn- hcimcr v. Fraser (1907) 2 K.B. 50; Oppcnhcimcr v. Attcnborough (1908) 1 K.B. 221. •'' The Factor's Act, 1889, sect. 7 (1). ^ Ibid, sect. 7 (2). ■'■' Thomson v. Davenport (1829) 9 B. & C. 78. « Elbiuger Gesellschaft v. Clayc (1873) 8 Q.B. 318. " Curtis V. Williaiiison (1S74) 10 Q.B. 59; Priestley v.Fernie (1865) 3 H. & C. 977. " Thomson v. Davenport, supra ; Htitton v. Bullock (1874) 9 Q.B. 572. ° Elbinger Gcssellschaft v. Clayc, supra. CONTRACTS OF AGENTS . 105 may recover the amount from C, though he may have already debited B with the amount; subject to this quaHlication, that the state of account between C and B is not altered to the prejudice of C/ It is also a well- established rule of law that where a contract not under seal is made with an agent in his own name for an undisclosed principal, either the agent or the principal may sue upon it, the defendant in that case being entitled to be placed in the same situation, at the time of the disclosure of the real principal, as if the agent had been the contracting party. This rule is most fre- quently acted upon in sales by factors, agents or partners, in which cases either the nominal or real contractor may sue.^ In all cases the principal must adopt the contract as made by his agent, though it differ in terms from the authority given. ^ Broker's Bought and Sold Notes. — Where a broker contracts on behalf of the buyer and seller, an entry of the transaction in his book, signed by him, constitutes a memorandum of the contract so as to satisfy the fourth section of the Sale of Goods Act, 1893,^ and a mistake in the bought and sold notes does not affect the validity of such a contract.* And where there is no signed entry, signed bought and sold notes constitute a sufficient memorandum so as to satisfy the statute,^ but not if there is a material variance between them.'' Effect of Particular Customs and Usages. — A contract made in a particular market is deemed to be made subject to the rules and regulations and the customs and usages of that market so far as they are not inconsistent with the express terms of the contract.^ ^ Thomson v. Davenport (1829) 9B. & C. 86 ; Armstrong v. Stokes (1872) 7 Q.B. 603. - Sims V. Bond (1833) 5 B. & Ad. 393. « Smethurst v. Taylor (1844) 15 M. & W. 545. ' Thompson v. Gardiner (1876) 1 C.P.D. 777. •"^ Siveivright v. -Archibald (1851) 20 L.J. Q.B. 529. « Ibid ; Kempson v. Boyle (1865) 3 H. & C. 763. ' Grant V. Fletcher (1826) 5 B. & C. 436; Thornton v. Kcmpstcr (1814) 5 Taunt. 786 ; Gregson v. Ruck (1843) 4 Q.B. 737. "* Hodgkinson v. Kelly (1868) L.R. 6 Eq. 496; Hayton v. Irxiin {1879) 5 C.P.D. 130. 106 VENDORS AND PURCHASERS. But the principal is not bound by any unreasonable rule or usage unless he had notice thereof and agreed to be bound thereby when he authorised his agent to make the contract/ Effect of Misrepresentation or Fraud of Agent. — A contract obtained for a principal by an agent by means of fraud or misrepresentation is voidable against the principal as if he had obtained it himself by the same means, although the agent, to this extent, was acting in the matter without the authority or knowledge of the principal f and an action in damages will lie against the principal in such a case.^ But the principal is not liable for representations of his agent made without authority and outside the scope of his employ- ment.* And whether the agent is acting for and by the authority of his principal or not, the agent is personally liable for his own fraud.'' Liability for Wrongs of Agent. — As a general rule, the principal is answerable for every such wrong of the agent as is committed in the course of his employ- ment and within the scope of his authority, and whether for the principal's benefit or not, though no express command or privity of the principal is proved.® Where the act is outside the scope of the agent's authority or is committed by the agent for his own private ends, the principal is not liable.'' Section 12 — Agents and Third Parties. Liability on Contracts. — The agent's liability, in general, on contracts entered into by him has already ^ Sweeting v. Pearce (1859) 7 C.B. N.S. 449; Pearson v. Scott (1878) 9 Ch. D. 198. - Murray v. Mann (1848) 2 Ex. 540; Mullens v. Miller (1882) 22 Ch. D. 194. '■'■ Baruick v. English Joint Stock Bank- (1867) 2 Ex. 259. ^ Coleman y. Riches (1885) 16 C.B. 104: Thome v. Heard (1895) A.C. 495. ■' Arnot \'. Briscoe (1748) 1 Ves. Sen. 95: Ciillen v. Thompsons Trustees (1862) 4 Macq. H.L. 424. '^ Baruick v. English Joint Stock Bank (1867) 2 Ex. 259 ; Smith v. Keal (1882) 9 Q.B.D. 340; Lloyd v. Grace, Smith & Co. (1912) AC. 716. ■^ Forsyth v. Manchester Corpn. (1912) 107 L.T. 600; N.E.Rlv v. Reg. (1889) 6T.L.R. 15. I CONTRACTS OF AGENTS. 107 been discussed in connection with the principal's liabiHty, and it is only necessary to add a few special remarks here. In contracts under seal, the parties liable are deter- mined exclusively by the form of the instrument; it is immaterial that an agent named therein as a party and executing the document is described to be and acts as agent for another who is named as his principal.' And a simple contract in writing is subject to the same con- struction, though it is not, like a deed, exclusive of the rights and liabilities of the principal not named in the contract.' Words merely describing a person as " agent," " broker," or the like are not alone sufficient to exempt him from personal liability ; it must appear that he contracts "for" or ''on account of" a principal and not on his own account.^ Where goods are bought by a broker, charging him- self as buyer in the bought and sold notes, both broker and principal are presumptively liable, so that the seller mav charge either.* And by usage of the trade, where the contract purports to bind the principal only, as in the case of broker's notes expressed in the terms bought or sold '' for " or " on account of " a principal, the broker may also be liable.^ Evidence of usage, how- ever, is not admissible so as to discharge an agent from personal liability where the agent has contracted in writing so as to make himself personally liiible.*^ Where the agent enters into a verbal contract which is not reduced to writing, the question whether he contracted personally or merely as agent is a question of fact ;' and if he professes to act as agent, whether the contract is merely verbal or is in writing, and it is shown that he is in fact the principal, he is personally liable.* 1 Appleton V. Binks (1804) 3 East, 148. ■^ Beckham v. Drake (1841) 9 M. & W. 79 : 11 M. & W. 315. » Hutchinson \ . Eaton (1884) 13 Q.B.D. 861; Southwell v. Bozcditch (1876) 1 C.P.D. 374 ; Gadd v. Houghton (1876) 1 Ex. D. 357 ; Pihe v. Ongley (1887) 18 Q.B.D. 708 ; and see Lovcsey v. Palmer (191G) 2 Ch. 242. * Mortimer v. McCallan (1840) 6 M. & W. 58. 5 Fleet V. Murton (1871) 7 Q.B. 126 ; Hutchinson v. Tatham (1873) 8 C.P. 482. ^ Magee v. Atkinson (1837) 2 M. & W. 440. ^ Lakeman v. Mountstephen (1874) 7 H.L. 17. 8 Carr v. Jackson (1852) 7 Ex. 382 : Adams v. Hall (1877) 37 L.T. 70. KIS \ ICNDUKS AND IHRCHA-SliRS. Section 13 — Deter.mination of Agency. By Agreement. — The relation of principal and agent is founded on the mutual consent of the parties and mav be determined b}' the same manner as that in which it originated. By Completion of the Transaction. — Where the authority was given only for the purpose of a particular transaction, the agency is determined on the completion of that transaction. Thus, a broker's or auctioneer's duties end with sale; they have no power afterwards to alter the terms of the contract, except with the express authority of their principals.' By Expiration of Period. — It is obvious that if the agencv was expressly fixed for a given period, it is determined when that period elapses. By Destruction of Subject-matter of Agency. — Where two parties mutually agree, for a fixed period, the one to employ the other as his sole agent in a certain business, at a certain place, the other that he will act in that business for no other principal at that place, there is no implied condition that the business itself shall continue to be carried on during the period named. Thus, where A w-as, for a period of seven years, to act as agent at a town L for the sale of coals on behalf of a colliery owner B, and at the end of four years B sold his colliery, A could not maintain an action for damages against B. The agreement did not bind B to keep his colliery.^ By Certain Events.— It is sometimes agreed between the parties that the happening of certain events shall determine the agency. Apart from such agreement, it may sometimes happen that an event occurs which renders the continuance of the agency unlawful.^ By Death, Lunacy, Bankruptcy of Principal or Agent. — Subject to what is stated below as to irrevo- cable authority, the authority of every agent, whether by deed or not, is determined by the death, lunacy, ' Blackburn v. Scholes (1810) 2 Camp. 343 ; Seton v. Slade (1802) 7 Ves. 265 ; Bell v. Balls (1897) 1 Ch. 663. ■•= Rhodes V. Foruood (1876) 1 A.C. 256. '■' Stevenson v. Aktiengcsellschaft f. C-I (1917) 1 K. B. 842. coxTUArrs of acma'ts. 1(IJ> unsoundness of mind or bankruptcy of the principal or agent, or by the dissolution of the corporation or com- pany where such corporation or company is the prin- cipal.' By RiiX ocatiox. — As a general rule, the authority of an agent, whether conferred by deed or not, is deter- mined by the principal giving to the agent notice of revocation at any time during the subsistence of the agency, or by the agent giving to the principal notice of renunciation.^ The right of either party to bring the relation to an end by notice given to the other is a term in the original contract of employment. The principal's right to revoke is, however, affected by the interests of third parties and of the agent. He may not, for instance, privately limit or revoke an authority which he has allowed his agent publicly to assume;' third parties are entitled to treat the agency in such a case as still subsisting. As affecting the agent, the right of revocation may be expressly or impliedly limited bv the liability of the principal to indemnify the agent from loss occurring in consequence of the employment. The rule that " an authority coupled with an interest is irrevocable " means that where an agreement is entered into on sufficient consideration, wherebv an authority is given for the purpose of con- ferring some benefit on the agent, such an authority is irrevocable.* ' See Minett v. Forester (1811) 4 Taunt. 541 ; Charnley v. Winstattley. 5 East. 266 ; Yongc v. Toyubcc (1910) 1 K. B. 215 : Salton v. New Beeston Cycle Coy. (1900) 1 Cli. 43. 2 Freeman v. Faii-ltc (1838) 8 L.J. Cli. 44; Bovine v. Dent (1904) 21 T. L. R. 82; Alexander v. Davis (1885) 2 T. L. R. 142; Henry v. Lowson, ibid, 199. •' Debenham v. Mellon (1880) 5 Q. B. D. 394 ; 6 A. C. 24. * Smart v. Sanders (1846) 5 C. B. 917; Carmichaels Case (1896) 2 Ch. 648 ; Read v. Anderson (1884) 13 Q. B. D. 779. CHAPTER VII. THE ASSIGNMENT OF CONTRACTS. Section 1 — In General. As a general rule, as has already been stated/ a contract cannot affect any but the parties to it. But, under certain circumstances, the liabilities imposed or rights acquired under a contract may be transferred to persons other than the contracting parties, either by the volun- tary act of the parties themselves, or of one of them, or by the operation of rules of law. Section 2 — Assignment by Act of Parties. Assignment of Liabilities. — As a general rule, a party to a contract cannot assign his liability thereunder without the other partv's consent; the one party has a right to object to the contract being performed by any person other than the other he contracts with,' and a right to the benefit he contemplates from the character, credit, and substance of that other party .^ This rule applies both at law and in equity,^ and is unaffected by statute.* But there are certain limitations to it, as where the liability assigned is not concerned with the skill, character, credit, or other personal qualifications of the assignor,* or where liabilities attaching to the enjoyment of land or of an interest in land pass with the land.^ And even in these excepted cases, the assign- ment of the liability without the consent of the other contracting party does not discharge the assignor from performance, but gives the other an option to look to ' See ante p. 9. 2 Rohson V. Drummond (1831) 2 B. & Ad. 303, 307. •* Humble v. Hunter (1848) 12 Q.B. 310, 317 ; and see Johnson v. Raylton (1881) 7 Q.B.D. 438. ■• Tolhurst V. Assoc. Portland Cement Manufacturers (1902) 2 KB. 660, 668, 677; (1903) A.C. 414. 5 Sec post, pp. 111-114. « British Wagon Coy. v. Lea (1880) 5 Q.B.D. 149. ' S&epost, p. 117. THE ASSIGNMENT OF CONTRACTS. Ill either the assignor or assignee for performance of the contract.' A transfer of liability with the other party's consent is in effect the rescission of one contract and the substitution of a new one, in which the same acts are to be performed by different parties, and is thus, strictly speaking, not an assignment at all. Assignment of Rights at Common Law. — At common law, apart from the customs of the law mer- chant, the benefit of a contract, or of rights of acti(jn arising from contract, cannot be assigned so as to enable the assignee to sue upon it in his own name, except with the consent of the other contracting party." Assignment of Rights in Equity. — In equity an assignment of rights under a contract was regarded as implying authority to the assignee to use the assignor's name for the enforcement of those rights, and the Court would compel the assignor to allow his name to be used for that purpose upon receiving an indemnity against costs,^ and would restrain him from suing for his own benefit.* Effect of Judicature Act, 1873. — By Section 25 (6) of the Judicature Act, 1873, " any absolute assignment by writing under the hand of the assignor (not purport- ing to be by w^ay of charge only) of any debt or other legal chose in action {i.e., a right which can only be claimed or enforced by action and not by taking physical possession*) of which express notice in writing" shall have been given to the debtor, trustee, or other person from whom the assignor would have been entitled to receive or claim such debt or chose in action, shall be ' British Wagon Coy. v. Lea, supra. - See Jones v. Carter (1845) 8 Q.B. 134; Boiilton v. Jones (1857). H. & N. 564; Schiiialing v. Thomlinson (1815) G Taunt. 147: Master v. Miller (1791) 4 Term Rep. 320. •■^ SeeTorkington v. Magee (1902) 2 K.B. 427. 432 ; (1903) 1 K.B. 644; Crouch V. Credit Fonder (1873) 8 Q.B. 374 ; De Pothonicr v. De Mattos (1858) E.B. & E. 467; Hammond v. Messenger {1818) 9 Sim. 327: Hoskins V. Holland (1875) 44 L.J. Ch. 273 ; Roxburghe v. Cox (1881) 17 Ch. D. 520. ^ Jeffs V. Day (1866) 1 Q.B. 372 ; and see, generally, Row v. Dawson (1749) 1 Ves. Sen. 331 ; Addison v. Cox (1872) 8 Ch. 76. * See Torkington v. Magee (1902) 2 K.B. 430. 6 See Denny v. Conklin (1913) 3 KB. 177. II'.? \-KNT>ORS AN'P PIRCHASERS. and be dceaied to have been effectual in law ysabject to all equities which would have been entitled to priority over the right of the assignee it this Act had not been passed) to pav and transfer the legal right to such debt or chose in action from the date of such notice, and all legal and other remedies for the same and the power to give a good discharge for the s^me without the con- currence of the assignor. A legal assignment may thus be made of any legal chose in action, and the assignee may sue in his own name to recover it if the prop>er requisites are fulfilled. These are : (a) the assignment must be absolute and not bv wav of charge only.^ i.e., it must not be subject to any condition,* and it must be an assignment of a sum due or about to become due. not of an amount to be determined by the state of accounts between the assignor and assignee:^ (b) the assignment must be in writing signed by the assignor ; it need not be by deed ; (c) express notice in writing must be given to the debtor, and the title of the assignee dates from such notice. Choses in* Action Within the Judicatl"re Act. 1873. — It is only legal choses in action which come within the Act; equitable choses in action are assign- able as before. The expression has been held to include a debt, which must be a definite sum.* but may be a specified sum not yet payable, e.g., instalments of purchase-money of furniture^' or of a ship ;* a claim under Section 68 of the Lands Clauses Consolidation Act. 184-5. to compensation in respect of lands injuri- ously afiected by a railway company acting under its stattitor}- powers ;* the benefit of a contract to supply goods of a particular kindr the benefit of a contract ' Tancred v. Delagoa Bay Coy. (1539) 13, Q.B.D. 255 - Durham Bros. v. Robertson (139SI I Q.B. 765 ; and see Hughes v. Pump Hous< Hotel Coy. (1902) 2 K.B. 195. ' Durham Bros. v. Robertson, supra. ' Jones V. Humphries (1902) 1 K.B. 10. ' Ibid . Re Davis & Co. (1838) 22 Q.B.D. 193. 8 Brice v. Bannister (1378) 3 Q.B.D. 569. ' Daarson v. Gt Northern and City Rly. Coy. (1905) 1 KB. 260. * Tolhurst V. Assoc. Portland Cement Mfrs. (1903) AC. 414; but see Kemp v. Baerselman (1906) 2 K.B. 604. THi: ASSIGNMENT OF CONTRACTS. 113 for the purchase of a reversionary interest. ' But the expression does not include the ri<^ht to sue for damages for a breach of contract already coniniittedr coniracis involving special personal qualifications on the part of the person claiming performance.^ An assignment which does not comply with the requirements of the Act is not necessarily ineffectual, for it may operate as an equitable assignment. But it is important to note that whereas if the assignment complies with the Act the assignee can maintain an action in his own name without joining the assignor as a party thereto, if the assignment is equitable only, the assignor must be joined as a party, either as plain- titt if he consents, or as defendant if he does not consent. Form of Assignment. — To constitute a legal assign- ment within the Act, no particular form is required;'' a direction^ or order*^ in writing under the hand of the assignor to the debtor to pay the assignee is sufficient, and it must be stamped as a conveyance. In the case of equitable assignments, the mode or form is imma- terial provided the intention of the parties is clear. ^ It may be verbaF unless, in the particular case, writing is required by law, as where interests in land are assigned.^ It may be addressed either to the debtor or to the assignee,^" and where in writing it should be stamped as a conveyance or mortgage, as the case may be, even if it is in form an order for the payment of money." ^ Torkington v. Magee (1902) 2 K.B. 427 ; and see Ogdens, Ltd. v. Weinberg (1906) 95 L.t. 567. - May V. Lane (1894) 64 L.J. Q.B. 236; cf. Ogdens v. Weinberg, supra. •' Tolhurst V. Assoc. Portland Cement Mfrs., supra ; Kemp v. Baerselman, supra. "• Except where a special form is required by statute in certain cases. 5 Harding v. Harding (1886) 17 Q.B.D. 442. 6 Brice v. Bannister (1878) 3 Q.B.D. 569. ' Tailby v. Official Receiver (1888) 13 App. Cas. 523. « Riccard v. Pritchard (1855) 1 K. & J. 277; Brown, Shipley & Co. V. Kough (1885) 29 Ch. D. 848. 9 Re Whitting (1878) 10 Ch. D. 615. 10 Brandt's Sons & Co. v. Dunlop Rubber Coy. (1905) A.C. 454. " Diplock V. Hammond (1854) 5 De G. M. & G. 320 ; Buck v. Robson (1878) 3 Q.B.D. 686. 114 XENDORS AND PURCHASERS. ^ Notice of Assignment. — In order that the assignee may obtain the benefit of Section 25 (6) of the Judica- ture Act, 1873, express notice in writing of the assign- ment must be given to the debtor, trustee, or other person from whom the assignor would have been entitled to receive or claim the debt or chose in action ; and the assignment only operates in such a case from the date of such notice. No limit of time is prescribed within which the notice must be given,' so that a notice given after the death of the assignor or assignee is effectual.^ Notice by the person in whom the equitable right is for the time being vested is sufficient.'' In the case of equitable assignments, whether voluntary or for value, no notice to the debtor is necessary,* for notice does not make the title perfect;" but in order to make the assignee's title effective against the debtor and third parties, notice of the assignment must be given to the debtor.* An informal notice is sufficient, pro- vided the fact of the assignment is definitely brought to the mind of the debtor.^ Priority of Notice. — Where A assigns his rights to B, C and D respectively at different dates and in the order given, the rule is that B, C and D are entitled to be paid in the order in which they give notice to the debtor, except that if, for instance, C or D had actual or constructive notice of the previous assignment to B, he cannot gain priority over B by being the first to give notice.** This is called the rule in Dearie v. Hall,^ and is an absolute rule, independent of the conduct of 1 See Bateman v. Hunt (1904) 2 K.B. 530. •^ Ibid ; Walker v. Bradford Old Bank (1884) 12 Q.B.D. 511 ; Dibh V. Walker (1893) 2 Ch. 429. •^ Ibid. ■* Burn V. Carvalho (1839) 4 My. & Cr. 702 ; Brandt's Sons & Co. v. Dunlop Rubber Coy. (1905) A.C. 454. « Ward V. Buncombe (1893) A.C. 369. « Ryall V. Rowlcs (1749) 1 Ves. Sen. 348 ; Dearie v. Hall (1823) 3 Russ. 1 ; cf. Webb v. Smith (1885) 30 Ch. D. 192 ; Kelly v. Selwyn (1905) 2 Ch. 117. ' Lloyd V. Bankes (1868) 3 Ch. App. 488 ; Nezviuan v. Neivman (1885) 28 Ch. D. 674. '' See Re Holmes (1885) 29 Ch. D. 786 ; Spencer v. Clarke (1878) 9 Ch. D. 137 ; Re Ind, Coope & Co. (1911) 2 Ch. 223. 9 (1823) 3 Russ. ] . THE ASSIGNMENT OF CONTRACTS. 115 a prior assignee. Bui this principle does not apply to equitable interests in land/ but it does apply to such interests in land as can only reach the assignor in the shape of money, e.g., proceeds of sale of real estate." Title.—" The general rule, both at law and in equity, is that no person can acquire title to a chose in action or any other property from one who has him- self no title to it." In other words, the assignee takes the chose in action subject to all the equities affecting it in the hands of the assignor/ and this rule has been embodied in Section 25 (6) of the Judicature Act, 1873.* If, then, the contract under which the debt arose is voidable by reason of the assignor's fraud, the debtor may set up the fraud in answer to an action brought by the assignee, even though the assignee gave value tor the assignment/ but if the debtor for any reason is not in a position to avoid the contract, he cannot, when sued by the assignee, set up in answer a claim for damage caused by the assignor's fraud.* Upon the same principle the debtor has the same rights of set-off against the assignee as against the assignor.^ But " after notice of assignment of a chose in action, the debtor cannot, by payment or otherwise, do anything to take away or diminish the rights of the assignee as they stood at the time of the notice."* Section 3 — Assignment by Operation of Law. In General. — The • rights and liabilities of either contracting party may, under certain circumstances, be assigned by operation of law when such party dies, or ' Hopkins V. Hcmsworth (1898) 2 Ch. 347; Re Richards (1890) 45 Ch. D. 589 ; Ward v. Diincombe (1893) A.C. 369. -' Llovd's Bank v. Pearson (1901)' 1 Ch. 865; White v. Ellis (1892) 1 Ch. 188; Greshani Assoc. Coy. v. Crowther (1914) 2 Ch. 219; (1914) W.N. 448. •' Roxburghc v. Cox (1881) 17 Ch. D. 520; Crouch v. Credit Fonder (1873) 8 Q.B. 380; Mangles v. Dixon (1852) 3 H.L.C. 735. ' See ante p. 111. "' Turton v. Benson (1718) 1 I'. Wmr. 496; Graham v. Johnson (1869) 8 Eq. 36. " Stoddart v. Union Trust, Ltd. (1912) 1 K.B. 181. ' Re Knapman (1881) 18 Ch. D.*300 ; Re Jones (1897) 2 Ch. 190. '^ Roxhiirghe v. Cox, supra. 116 VENDORS AND PURCHASERS. becomes bankrupt, or (in the case of a woman) marries. In the case of contracts relating to land, certain rights and liabilities are also in certain cases assigned by operation of law upon the transfer of land or of the reversion thereof. Effect of Death. — If in any case the contract is one which has relation to the personal conduct, skill, or qualifications of a contracting party, as in the case of a principal and agent, then the death of that party puts an end to the contract, and no rights or liabilities there- under in respect of future performance pass to his representatives.' But these representatives are entitled to sue for any money actually earned by the deceased under the. contract and accrued due during his lifetime," or even for remuneration accruing due after his death if it appears to have been the intention of the parties that remuneration should continue payable after the termination of the contract.^ If the contract is not of a personal nature, and is executory, the personal repre- sentative may complete it and demand the price,* or, conversely, mav be sued on the contract.^ And where a party assigns his rights in equity during his life, his personal representatives continue to represent him for the purpose of joining or being joined with the assignee in suing the debtor. * Effect of Bankruptcy. — In the case of a personal contract, the rights and liabilities of a bankrupt con- tracting party do not in general pass to his trustee in bankruptcy, though in certain cases the trustee may recover damages for breach of such a contract. In other cases the bankrupt's rights and liabilities devolve on his trustee, subject to the latter's right to disclaim onerous contracts.^ ' Phillips V. Alhambra Palace Coy. (1901) 1 K.B. 63; Farrow v. Wilson (1869) 4 C.P. 744 ; Tasker v. Shepherd (1861) 6 H. & N. 575 ; Robson V. Drummond (1831) 2 B. & Ad. 303- 2 Stubhs V. Holywell Rly. Coy. (1867) 2 Exch. 311. 2 Wilson V, Harper (1908) 2 Ch. 373. ^ Marshall v. Broadhurst (1831) 1 Cr. & J. 403. 5 Wentworth v. Cock (1839) 10 A. & E. 42 ; Cooper v. Jarman (1866) 3 Eq. 98. ^ Brandt v. Heafig (1818) 2 Moo. C.P. 184. ' See Bankruptcy Act, 1914, Sects. 51, 54. THE ASSIGNMENT OF CONTRACTS. 117 Covenants which Run with the Land. — On an assignment of land or of an interest in land, the burden or benefit of certain covenants passes by operation of law to the assignee. The conditions under which the benefit or burden passes are discussed in a later part of this book.' See Part IH.. Chapter IV., pp. 329-331, post. PART II. THE SALE OF GOODS ACT, 1893. (56 & 57 Vict. c. 71.) CHAPTER I. FORMATION OF THE COXTRACT. Section 1 — Introductory. The Act in General. — The Act is called " .Vn Act tor codifying the law reUiting to the sale of goods." It deals, however, only with those rules of law peculiar to the law of sale, so that the rules of the common law, including the law merchant, save in so far as they are inconsistent with the express provisions of the Act, and in particular the rules relating to the law of principal and agent, and the effect of fraud, misrepresentation, duress or coercion, mistake or other invalidating cause, continue to apply to contracts for the sale of goods.' Moreover, the Act relates onh- to contracts for the sale of goods as therein defined," and has no application to any transaction which is intended to operate by way of mortgage, pledge, charge, or other security." Contract oe Sale. — The Act defines a contract of sale as " a contract whereby the seller transfers or agrees to transfer the property in goods to the buyer for a money con.sideration, called the price."* It may ' See Sect. 61 and Part I. ante generally. - See Part L, Chapter IV., Sect. 1. ante. p. 42. and infra. ■■ Ibid., Chapter L, Sect- 2, ante, pp. 4-8. ^ See the Act, Sect. 1 (1). Appendix B, iv. post. "Sale" includes a bargain and sale as well as a sale and delivery; "Seller" means a person who sells or agrees to sell goods; "Buyer" means a person who buys or agrees to buy goods; "Property" means the general property in goods, and not merely a special property (see Part I., Chapter I., Sect. 1 ante, p 3) ; see the Act, sect. 62 (l). Appendix B, i\-., post. 120 VENDORS AND PUKCH.ASERS. be a contract between one part owner and another/ as where the purchaser is a partner in the vendor's firm;" and may be absolute or conditional/ Sale and Agreement to Sell. — Where under the contract of 5ale the property is transferred from the seller to the buyer, the contract is called a " sale," but where the transfer of the property in the goods is to take place at a future time or subject to some condition thereafter to be fulfilled, the contract is called an " agreement to sell."* An agreement to sell becomes a sale when the time elapses, or the conditions are ful- filled, subject to which the property in the goods is to be transferred.* Capacity of Parties. — Capacity to buy and sell is regulated by the general law concerning capacity to contract and to transfer and acquire property. Pro- vided that where necessaries are sold and delivered to an infant or a minor, or to a person who by reason of mental incapacity or drunkenness is incompetent to contract, he must pay a reasonable price therefor. Necessaries in this section means goods suitable to the condition of life of such infant or minor or other person and to his actual requirements at the time of the sale and delivery.* Section 2 — Formalities of the Contract. General Rule. — Subject to the provisions of the Act,' and of any statute in that behalf,^ a contract of sale may be made in writing (either with or without seal), or by word of mouth, or partly in writing and partly by word of mouth, or may be implied from the ' Sect. 1 (1) ; Bead v. Blandford (1828) 2 Y. & J. 278 ; Nicol v. Hennessey (1896) 1 Cora. Cas. 410. - Ex parte Cooper (1879) 11 Ch. D. 68. ^ Sect. 1 (2) ; and see pp. 131-1 39 ^os^ •• Sect. 1 (3) ; and see the effect of this distinction, Part I.. Chapter I., Sect. 1 ante, p. 1 . * Sect. 1 (4) ; and see pp. 143-147 /)0s^. ® Sect. 2 ; and see, generally, Part I., Chapter II., ante, pp. 10-21. ■^ See the Act, Sects. 4 and 61 (3). " Seec.4<. the Merchant Shipping Act. 1894, Sects. 24, 26, 65. J'OR.AIATION OF THK CONTRACT. 121 conduct of the parties.' Thus, a wrhlen offer to sell goods may be accepted verbally, or a verbal offer may be accepted in writing;^ a written order may be accepted by supplying the goods without furtiier communica- tion f a written offer with subsequent verbal alterations may be accepted by supplying the goods accordingly.* A contract may be implied where a person takes up a book from a bookstall and pays for it or otherwise appropriates it with the owner's consent ;* or where two parties act upon an unsigned agreement for sale accord- ing to its terms;® or where a person retains goods differ- ing in quantity for the quantity ordered.^ QuASi-CoNTRACTs OF Sale. — The Sale of Goods Act, 1893, deals only with contracts of sale, properly so- called. But it is necessary to note transiictions to which, independently of any expression of the will or intention of the parties, the law annexes consequences similar to those which result from a sale. Such transac- tions are usually termed " quasi-conircWis of sale." Thus, where the purchaser is sued for the price of goods and he consents to judgment, the transaction amounts to a sale of the goods as from the time of the judgment.* And where A is induced by C to sell goods to an insol- vent purchaser B, and then C obtains the goods for his own benefit from B, A has been held entitled to recover against C Again, where goods have been wrongfully taken, converted or detained, and the owner has brought an action for trespass, trover, conversion, or detinue, upon his recovering damages, the property in the goods passes in certain cases by operation of law to the defen- dant, the question whether the property does or does ' Sect. 3 ; the law affecting corporations is expressly excepted from the operation of this section. - See Waikins v. Rymill (188;,) 10 Q.B.D. 178, 188. ■^ Taylor V. Jones (1875) 1 C.P.D. 87. •• Hoadly V. M'Laine (1834) 10 Bing. 482. ■' See Blackstone: Comm. Bk. 2, c. 30. « Brogdcn v. Metrop. Rly. Coy. (1877) 2 App. Cas. 666. • Hart V. Mills (1846) 15 M. & W. 85 ; Oxendalc v. Wcthcrcll (1829) 9 B. & C. 386; Richardson v. Dunn (1841) 2 Q.B. 222. ^^ Bradley & Cohn v. Ramsay (1912) 106 L.T. 771. " Hill V. Perrott (ISIO) 3 Taunt. 274 ; Biddle v. Levy (1815) 1 Stark 20. 122 VENDORS AND PURCHASERS. not pass depending- upon the nature of the damages recovered/ In'terpri:tatio.\ of CoxNTracts. — Where the contract has been reduced into writing, it must be construed and given effect to Hke any other written contract.^ In all contracts within the Act, whether verbal or written, where any rig'ht, duty, or liability would arise under the contract by implication of law, it may be negatived or varied by express jigreement or by the course of dealing between the parties, or by usage, if the usage be such as to bind both parties to the contract/ Contracts of Sale for £10 and Upwards. — A con- tract for the sale of anv goods of the value of ten pounds or upwards is not enforceable by action* unless the buyer (a) accepts-part of the goods so sold and actually receives the same, or (b) gives something in earnest to Bind the contract, or in part payment, or (c) unless some note or memorandum" in writing of the contract is made and signed by the party to be charged or his agent in that behalf/ This provision applies to every such contract, notwithstanding that the goods may be intended to be delivered at some future time, or may not at the time of the contract be actually made, pro- cured, or provided or fit or be ready for delivery, or that some act may be requisite for the making or com- pleting the goods, or rendering them fit or readv for delivery.' A contract within the meaning of the above provision includes :* (a) an entire contract (e.g., where the price ' Adams v. Broiigliton (1737) Andr. 18; Cooper v. Shepherd (1846) 3 C.B. 266; Marston v. Phillips (1863) 9 L.T. 289; Brinsviead v. Harrison (1871) 6 C.P. 584 ; Ex parte Drake (1877) 5 Ch. D. 866. - Sev; Coddington v. Paleolngo (1867) 2 Exch. 193. ■' Sae the Act. Sect. 55. * " Action " includes counterclaim and set-off: Sect. 62 (1) ; see North V. Loonies (1919) 1 Ch. 378. •'' See Part I., Chapter IV., ante, pp. 44-56. ^ Sect. 4 (1) ; as to the distinction between a contract of sale within this section and cognate transactions, see Part I., Chapter I. ante, pp. 4-8; and as to what are "goods" within this section, see Part I., Chapter IV. ante, pp. 42-44 " Sect. 4 (2). *" See Law Quarterly Review, vol I., p. 11, article by Stephen, J., and Professor Pollock. for.mahon of THI-; C()NTi<\(T. i2»'5 is a lump sum or wlicic^ the iliin_<;s arc conlractcd tor at tlie same time, or arc itKiuded in one ^iccount) for the sale of g'oods, and for other objects, where the goods are of the viUue of £10 or upwards;' (/>) an entire contract for the sale of <^oods of imascertained xalue at the date of the contract, which are afterwards ascer- tained to be of the value of £10 or upwards;" (c) an entire contract for the Siile of a t^uantity of goods, whether all are in existence or not, each being under the value of i'lO. but collectively of the value of £10 or upwards." AcCKPTAXCF. — Tiiere is an acceptance of goods within the meaning of the aijove provision, when the i)U}er does anv act in relation to the goods which recognises a pre-existing contract of sale, whether there be an acceptance in performance oi the contract or not.' Thus, it is necessary to distinguish between " accept- ance " as here defined, which is merel)' a recognition of the existence of the contract, and a final acceptance in performance of the contract. A provisional accept- ance of this kind, together with actual receipt of the goods, operates merely as a waiver of written evidence of the contract, allowing the contract to be established bv parol evidence." It must be an acceptance which could not have been made except as an admission of the existence of a contract, and that the goods were sent in performance of that contract.* It must be clear and unequivocal, and may precede or be contempora- neous with actual receipt.' Whether the acts done in relation to the goods constitute an acceptance or an actual receipt is a question of fact." ' See Asfey v. Emery (1813) 4 M. & S 262 ; Huniuin \. Rccvc (1856) 18 C.B. 587 ; Head v. Baldrcy (1837) 6 A. & i:. 459. ■' Watts V. Friend (1830) 10 B. & C. 446. ' Baldey v. Parker {\S2Z) 2 B. & C. 37; Elliott %■. Thomas (1838) 3 M. & W. 170 ; Scott v. Eastern Counties Rty. Coy. (1843) 12 M. & W. 33 ; Bigg V. Whisking (1853) 14 C.B. 195. ' Sect. 4 (3). • Morton v. Tihbetf (1850) 15 Q.13. 428, 433. " Page V. Morgan (1885) 15 Q.B.D. 22S. per Brett MR ^ Ciisack V. Robinson (1861) 1 B. & S. 299. " Edan V. Diidfield (1841) 1 Q.B. 302. 124 \ KNDORS AND PURCHASERS, Thus, an acceptance takes place : where the buyer examines the goods/ or takes a sample thereof in cir- cumstances showing that he is doing so to see whether the goods are in accordance with a contract of sale to him;' or where goods are sent with a delivery note which the buyer receives and keeps, though he rejects the goods/ or where the buyer deals with the goods as owner, as where he resells or attempts to resell the whole or part of the goods whether before or after actual receipt by him / or where the buyer of a horse takes a third person to the seller's stable and offers to resell the horse to the third person f or where the buyer of a carriage having ordered certain alterations to be made sends for the carriage and takes a drive / or where the buyer does some act with the hill of lading, which represents the goods/ or where the buyer marks the goods as being goods to be delivered under a contract of sale/ or where the goods being at the time of the contract in the buyer's possession as the seller's bailee, the buyer acts in relation thereto in a manner inconsistent with the continuance of his pos- session as bailee so as to show that he has taken the goods as owner.** A mere rejection of goods is not inconsistent with other acts by the buyer in admission of a contract of sale, constituting an acceptance." Actual Receipt. — There is an actual receipt of the goods when the buyer, with the consent of the seller, assumes, by himself or his agent, control of the goods. Thus, there is an actual receipt : where the buyer agrees J Abbott V. Wolscy (1895) 2 Q.B. 97. 2 Ibid. ■^ Taylor v. The Gt. Eastern Rly. (1901) 1 K.B. 774; Parker v. Wallis (1855) 5 E. & B. 21 ; Chaplin v. Rogers (1801) 1 East 192 ; Marshall V. Green (1875) 1 C.P.D. 35; Morton w'Tibbctt (1850) 15 Q.B. 428. ■• Blenkinsop v. Clayton (1817) 7 Taunt. 597. '' Beaumont v. Brengeri (1847) 5 C.B. 301. '• Currie v. Anderson (i860) 29 L.J. Q.B. 87. ''Billv.Bament (1841) 9 M. & W. 36; Baldey v. Parker (1823) 2 B. & C. 37. " Edan V. Diidficld (1841) 1 Q.B. 302 ; Lillywhite v. Deverenx (1846) 15 M. &. W. 285. *■' Kibble V. Goitgh (1878) 38 L.T. 204. FOmiATIOX OF IHl-; CONTRACT. 12-5 to bii\' and afterwards sells goods he j^reviously held as the seller's a^ei'ent;' or where goods are at the time of sale in the possession of a third person, c.}^., an agent, a warehouseman, a wharfinger, or carrier, and the seller, the buyer, and the third person agree together that the third person shall cease to hold the goods for the seller and shall hold them for the buyer ;" or where a bill of lading, as being in the truest sense a symbol of the goods, is transferred from the seller to the buN-er;"* or where the buyer of timiber, growing on land in the possession of the seller's tenant, cuts down some of the trees and agrees to sell the tops and stumps to a third person ;^ or where goods are delivered by the seller to a common carrier or to one specially designated bv the buyer for conveyance to him or to a place named bv him f or where the seller agrees that he shall cease to hold the goods as owner and shall hold them as agent or bailee of the buyer ;'^ or where the seller does some act in relation to the goods sold, though they remain in his possession, which is, in fact, an abandon- ment of his lien ;'' or even where the goods are in the custody of the sheriff on the seller's premises.* Earnest and Part Payment. — The terms " earnest " and " part payment " are sometimes treated as synony- mous ; but whereas earnest is something given to bind ' Edan V. Diidfield (1841) 1 Q.B. 302 ; Taylor v. Wakefield (1856) 6 E. & B. 765; and see Lillvwhitc v. Devercitx (1846) 15 M. & W. 285. - See Blackburn on Sale, 28 ; Farina v. Home (1846) 16 M. & W. 119 ; Bentall v. Burn (1824) 3 B. & C. 423. •' Sanders v. MacLean (1883) 11 Q.B.D. 341 ; and see Godts v. Rose (1855) 17 C.B. 229. ' Marshall v. Green (1875) 1 C.P.D. 35 ; Tanslcy v. Turner (1835) 2 Bing. N.C. 151 ; Cooper v. Bill (1865) 3 H. & C. 722. ^ Dawes v. Peck (1799) 8 T.R. 330; Wait v. Baker (1848) 2 Ex. 1 ; Diinlop V. Lambert (1838) 6 Ch. & F. 600 ; Johnson v. Dodt^son (1837) 2 M. & W. 653. The carrier, in such cases, is, in contemplation of law. the bailee of the person to whom, not /;v whom, the goods are sent, and he only represents the buyer for the purpose of receivinti. not acceptini<. the goods: see Hanson v. Armitage (1822) 5 B. & Aid. 557 ; Hunt v. Hecht (1853) 8 Ex. 814 ; Meredith v. Mey (1853) 2 E. & B. 364 ; Hart V. Bush (1858) E. B. & E. 494 ; Smith v. Hudson (1865) 6 B. & S. 431. 6 Chaplin V. Rogers (1800) 1 East. 192; NichoUs v. White (1911). 103 L.T. 800 ; and cases there cited. ' But see sect. 41 (2) of the Act, and post pp. 179-182. ■^ Union Bank of London v. Lenanton (1878) 47 L.T. C.B. 409. 126 VENDORS AND PURCHASERS. the bargain, there can be no part payment till after the bargain is made. Earnest may be money or some gift given by the buyer to the seller and accepted by the latter to mark the assent of both parties to the bargain.' and it does not lose its character because the thing given may also avail as part payment." It must be given, so that where the buyer drew a shilling across the seller's hand and which the witness called " striking the bargain," and the buyer then returned the coin to his pocket, it was held insufficient.' And as it must be intended to bind the contract, a delivery of something in execution of the contract, as where bags are sent by the buyer to be filled, is not the giving of an earnest.' The part payment required by the Act must be inde- pendent of the contract,^ and must be made in circum- stances showing a recognition by the seller of the existence of the contract.* It may be made in anv way which constitutes payment. Thus, it was held there was no part payment where it was agreed as part of the contract that the amount of a debt previously due by the seller to the buyer should be deducted by the seller from the price of goods to be paid op a sale -/ or where the contract was that an over-payment on a pre- vious bargain should go in part payment.* But the receipt of payment coupled with a refusal to carry out the contract would be part payment.^ Note or Memorandum in Writing. — The require- ments of the Act as to a note or memorandum in writing have been fullv discussed in an earlier part of this boolc, and do not need further discussion here.'" ' See Houc v, Smith (1884) 27 Ch. D. 101-2, per Fry L.J. •^ See Bach v. Ozvcn (1793) 5 T.R. 409 ; Goodall v. Skelton (1794) 2 H. Bl. 316; Hall v. Btirncll (1911) 2 Ch. 551 ; Sopcr v. Arnold (1889) 14 App. Cas. 429. •' Blenkinsop v. Clayton (1817) 7 Taunt. 597. ■* Sumner v. John Brown & Co., (1909) 25 T.L.R. 745. •■' Walker v. Nussey (1847) 16 M. & W. 302. " See Parker v. Crisp & Co. (1919) 1 K.B. 481. ' Walker v. Nussey, supra. " Norton v. Davison (1899) 1 Q.B. 401. •' Parker y. Crisp & Co., supra; cf. Davis v. Phillips, Mills & Co. -(1907) 24 T.L.R. 4. '" See Part I., Chapter IV. ante, pp. 44-56. FORMATION OF THE CONTRACT. 127 Section ;] — Sl"bji:ct-.m \Tri;i^ ok tiii: Comkact. iixiSTiXG OR FiTURE GooDS. — IJy Section A ot tliL* Act : (1) The goods which form the sul)ject-matter of a contract of sale may be either existing goods, owned or possessed' by the seller, or future goods, i.e., goods to be manufactured or acquired bv the seller after the making of the contract of sale. (2) There may be a contract for the Siile of goods the accjuisition of which by the seller depends upon a contingency which mav or may not happen .■ Qi) Where by a contract of sale the seller purports to effect a present sale of future goods, the contract operates as an agreement to sell the goods. " A person cannot . . . assign that w hich is not in him.'" Therefore, though a seller may purport to make a present sale of goods which he does not own or possess, he cannot effect an actual sale of them, but such a contract will take effect as an agreement to sell.'* The property in the goods does not, therefore, pass immediately, but will pass subsecjiiently, if the seller, by some act done after his acquisition of the goods, clearly shoAvs his intention of giving effect to the agree- ment,^ or if the buyer obtains possession under authority to seize them.* And if the goods be identified sufficiently, the equitable interest in them passes to the buyer as soon as they are acquired, no new intervening act by either party being necessar\- to complete that title.' It is, however, only the equitable title which passes to the buyer by the contract. " A man cannot in equity, any more than at law, dssij^n what has no existence. A man can contract to assis^n property ' E.g. sales by agents, factors, etc. - See infra. ■' SeeBeldiiig v. Reaii (1865) 3 H. & C. 955, per Pollock, C.H.. at p. 961. * See Vickcrs v. Hertz (1871) 9 Alacph. 05, per Lord Westbury ; and Sect. 5 (3) supra. * Langton v. Higgins (1859) 28 L.J. Ex. 252. ^ Congreve v. Eveft.'; (1854) 10 Ex. 298 ; Hot>e v. Hayhy (1856) 5 E. & B. 830. ^ Holroyd v. Marshall (1862) 10 H.L.C. 191 ; Collyer v, Isaacs (1881) 19 Ch.D. 342 ; Joseph v. Lyons (1884) 15 Q.B.D. 280; Tailby v. The Official Receiver (1888) 13 App. Gas. 523. 128 VENDORS AND PURCHASERS. wliich is to come into existence in the future; and when it has come into existence, equity, treating as done that which ought to be done, fastens upon that property, and the contract to assign thus becomes a complete assignment (i.e., a complete assignment in equity, bv which the assignee acquires an equitable title only)."^ This equitable interest is liable to be defeated if before the buyer gets the legal property in the goods the seller disposes of them to a second purchaser without notice of the equitable title, who thus obtains the legal estate.* Goods Which Have Perished. — Where there is a contract for the sale of specific goods (i.e., goods iden- tified and agreed upon at the time of the contract), and the goods without the knowledge of the seller have perished at the time when the contract is made, the contract is void.^ Thus, where a sale was made of an annuity dependent on a life, and the life had already expired, the sale was held void, and the purchaser was allowed to recover back the price paid;* and where a cargo of corn, loaded on a vessel not yet arrived, was sold, and it was afterwards discovered that the corn having become heated had been discharged at an inter- mediate port and sold by the master of the ship in the preceding month, the purchaser was held rightly entitled to repudiate the contract.^ These cases are sometimes treated as dependent on an implied warranty by the seller as to the existence of the thing sold ; and sometimes on the ground thar there has been no contract at all in fact, the assent of the parties being founded on a mutual mistake of fact as to the existence of the subject-matter ;^ and sometimes on the ground of impossibility of performance. ' Collyer v. Isaacs, supra, per Jessel, M.R. at p. 351 ; and see Joseph V. Lyons, supra, per Brett, M.R. at pp. 284-5. 2 Joseph V. Lyons, supra ; Hallas v. Robinson (1884) 15 Q.B.D. 288. =* Sect. 6. * Strickland v. Turner (1852) 7 E.\. 208 ; and see Cochrane v. Willis (1865) 1 Ch. 58; Smith v. Myers (1870) 5 p.B. 429 ; Scott v. Coulson (1903) 2 Ch. 249. •' Hastie v. Couturier (1853) 9 Ex. 102 ; 5 H.L.C. 673 ; and see Barr V. Gibson (1838) 3 M. & W. 390. ® See Part I., Chapter V. ante, pp. 65, 66; and Huddersfield Bank V. Lister (1895) 2 Ch. 281. FORMATION OF THE CO NTRACT. 129 The above provision applies only to specific goods; generic goods, i.e., goods defined by description, come within the maxim genus niimquam peril; the vendor is still bound to supply goods answering to the descrip- tion. It would appear that " perished goods " would include goods which have ceased to have any commer- cial value as such, as where A contracts to sell a par- ticular ship to B, and the ship is found incapable of carrying a cargo;' or where a particular wagon-load of cement contracted to be sold has lost its distinctive character as cement." The rule of the Roman Civil Law that in case of partial loss the buyer may rescind the contract or have the price reduced is not recognised in English law. But it is conceivable that in the case of an entire con- tract for the sale of several things, if one or more of them have perished, the contract is void as to the remainder; or in the case of a single thing, it may be so far destroyed as no longer to answer to the description of it given by the contract.' Goods Perishing Before Sale, but After Agree- ment TO Sell. — Where there is an agreement to sell specific goods, and subsequently the goods, without any fault on the part of the seller or buyer, perish before the risk passes to the buyer, the agreement is thereby avoided.* The perishing of goods after the making of the con- tract affects its performance, not its formation. In the absence of any condition express or implied, to the contrary, impossibility of performance is no excuse to the party obliged to perform ; but a condition subsequent excusing performance will be implied where the parties intend that performance shall depend on the continued existence of the thing sold or a given state of circum- 1 Nickoll V. Ashton [(1901) 2 K.B. 133 ; Barr v. Gibson (1838) 3 M. & W. 400. 2 See Duthic v, Hilton (1868) 4 C.P. 138; Montreal, &c.. Coy., v. Sedgwick (1910) A.C. 598. « See Barr v. Gibson (1838) 3 M. & W. 390 ; Chalmers on the Sale of Goods Act : Benjamin on Sale, p. 162. ^ Sect. 7 ; and see Sects. 20 and 27 of the Act, d^ndpost, pp. 148. 157. 9 130 VENDORS AND PURCHASERS. Stances.' Thus, under the above provision (a) if the destruction of the goods is caused by either party, then that party is liable for non-delivery of the goods or payment of the price, as the case may be;^ (b) if it is caused by neither party,' then the agreement is avoided if the risk has not passed to the buyer, and the seller must bear the loss; but if the risk has passed to the buyer, then the buyer must pay for the goods, though undelivered. Section 4 — The Price. Ascertainment of Price. — The price in a contract of sale may be fixed by the contract, or may be left to be fixed in manner thereby agreed, or may be determined by the course of dealing between the parties. Other- wise the buyer must pay a reasonable price for the goods ; what is a reasonable price is a question of fact dependent on the circumstances of the case.^ A reasonable price within the meaning of the above provision may or may not agree with the current price of the goods at the place where and at the time when the bargain is made, for the current price may be highly unreasonable from accidental circumstances, as where the vendor has kept back the goods ; or it may be unreasonable with reference to the price at other places in the immediate vicinity.* In the absence of evidence of price or value, the Court will presume that goods of the lowest value of the kind have been sent." Agreement to Sell at Valuation. — Where there is an agreement to sell goods on the terms that the price is to be fixed by the valuation of a third party, and such third party cannot or does not make such valuation, the agreement is avoided; provided that, if the goods or any part thereof have been delivered to and appropri- ' See Taylor v. Ccddwcll (1863) 3 B. & S. 826 ; Howell v. Coiipland (1874) 1 Q.B.D, 258 ; Appicbv v. Myers (1867) 2 C.P. 651 ; c/. Hayward Bros. V. Daniel (1904) 91 L.t. 319. 2 See the Act. Sects. 20 and 27 ; and pp. 148, 151 post. ^ See Sect. 8 ; and see Part I., Chapter IV., pp. 51-54 ante. * See Acebal v. Levy (1834) 10 Bing. 376; Hoadly v. McLainc (1834) 10 Bing. 482 ; Laing v. Fidgeon (1815) 6 Taunt. 108 ; Valpy v. Gibson (1847) 4 C.B. 837. * Clunncs v. Pczzy (1807) 1 Camp. 8. FORMATION OF THE CONTRACT. \'M ated by the buyer, he must pay a reasonable price there- for. Where such third party is prevented from makincj the valuation by the fault of the seller or the buver, the party not in fault may maintain an action in damages against the party in fault.' Section 5 — Conditions and Warranties. In General. — It has been shown* that a mere repre- sentation, as a rule, is not an integral part of the contract. But it is sometimes a question of construc- tion^ whether a statement is a mere representation, or whether it is a substantive part of the contract. In the latter case the question arises as to whether it is a condition, a breach of which justifies a repudiation of the contract, or is an independent or collateral agree- ment, i.e., a warranty, a breach of which will only be a cause of action for compensation in damages. The answer to this question depends upon the intention of the parties, a question of fact depending upon the terms of the contract and the circumstances in each particular case." The same statement may, under certain circum- stances, be merely a description or representation, and under others the most substantial stipulation in the contract.* Thus, where A contracted to sell goods to B with an affirmation that they were free from sulphur, and the absence of sulphur was a vital term of the contract, B was held entitled to avoid the Siile and reject the goods upon failure or non-performance of the condition by A.^ But if B had received and accepted a part of the goods, the condition would then have become, for purposes of remedy at law, a ivarranty, and B would no longer be entitled to avoid the sale, but ' Sect. 9 ; and see generally Part I., Chapter IV. ante, p. 54. •^ See Part I., Chapter V. ante, p. 69. ■■' SeeBcntsenv. Taylor (1893) 2 Q.B. 280; Etncry v. Wells (1906) A.C. 515. ^ Cave V. Coleman (1828) 3 Man. & R. 2 ; Power v. Barliam (1836) 4 A. & E. 473 ; Hopkins v. Tanqiieray (1854) 15 C.B. 130 ; Stiicley v. Bailey (1862) 1 H. & C. 405 ; Bcntsen v. Taylor, supra. ■' Behn v. Burness (1863) 3 B. & S. 751 ; Oppenheim v. Fraser (1876) 34 L.T. N.S. 524. 6 See Bannerman v. White (1861) 10 C.B. N.S. 844. 132 VENDORS AND PURCHASERS. might only brincr an action for compensation in damages/ Apart from the case where one part}' has accepted a portion of the benefit of the contract and has thus ex post facto changed his remedy, the rule is uniform that a condition must be fully and strictly performed before the party liable to perform it can call on the other to fulfil his part of the contract.^ But the per- formance of the condition may be waived by the party in whose favour it is stipulated ; and waiver is implied in all cases in which the party entitled to exact per- formance of the condition either hinders or impedes the other in fulfilling- the condition, or incapacitates himself from performing his own part, or absolutely refuses performance of his own part.^ But where a condition is divisible, e.g., where goods are deliverable in instal- ments from time to time, a waiver of the condition by acceptance of the first instalment where the instalment does not comply with the condition can be recalled, and performance of the condition can be insisted on in respect of future instalments.* An implied condition, or implied warranty, as dis- tinguished from an express condition or warranty, is in all cases founded on the presumed intention of the parties. " The implication which the law draws from what must obviously have been the intention of the parties, the law draws with the object of giving efficacy to the transaction and preventing such a failure of con- sideration as cannot have been within the contemplation of either side. . . In business transactions . what the law desires to effect by the implication is to give such business efficacy to the transaction as must have been intended at all events by both parties, who are business men; not to impose on one side all the ' See the Act. Sect. 11 (1) (c) ; Wallis v. Praff (1911) A.C. 394; Ellen V. Topp (1851) 6 Ex. 424; Behn v. Burncss, supra. •■^ See Mackay v. Dick (1881) 6 A.C. 251 ; Sharp v. Christmas (1892) 8 T.L.R. 687. ■' See Bcntscn v. Taylor (1893) 2 Q.B. 274 ; Hotham v. East India Coy. (1787) 1 T.R. 645; Thornhill v. Meats (I860) 8 C.B. N.S. 831; Braithwaitc v. Foreign Hardwood Coy. (1905) 2 K.B. 543 ; Measures Bros. V. Measures (1910) 2 Ch. D. 248 ; Jureidini v. Nat. Brit. Insu. Coy. (1915) A.C. 499. * Panoutsos v. Raymond Hadley Corp. (1917) 2 K.B. 473. FORMATION OK THK CONTRACT. 133 perils of tJie tninsacliun, or to emancipate one side from all the chances of failure.'" The Act draws a distinction between a condition and a warranty, defining the latter (as regards England and Ireland) as ** an agreement with reference to goods which are the subject of a contract of sale, but colla- teral to the main purpose of such contract, the breach of which gives rise to a claim for damages, but not a right to reject the goods and treat the contract as repu- diated. "= Stipulations as to Time.— Inless a different inten- tion appears from the terms of the contract, stipulations as to time of payment are not deemed to be of the essence of a contract of sale. Whether any other stipu- lation as to time is ) If he does not signify his approval or acx^ejitance to the seller, but retains the goods without giving notice of rejection, then, if a time has been fixed for the return of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reason- able time. What is a reasonable time is a cjuestion of fact. To bring a case under this rule the circumstances must show that the buyer has an option to become the owner of the goods in the events mentioned. If the contract specifies any other event as essential to the passing of the property, the rule does not apply, for a different intention appears. And a sale subject to a right of the buyer to rescind it, if the goods are not approved, is equally outside the rule;' so also is the case where the option of treating the transaction as a sale if the groods are not returned is with the seller."^ ^ See Logan v. Le Mesurier, supra ; The Calcutta Coy. v. DeMattos (1863) 32 L.J. Q.B. 335; The Badischc, &c., Fabrik v. The Basle Chemical Works (ia98) A.C. 207; Sanders v. Sadler (1907) 95 L.T. 872. 2 See Turley v. Bates (1863) 2 H. & C. 200; Rugg v. Minett (1809) 11 East. 210. •' See Weiner v. Gill (1906) 2 K.B. 574 ; Eduards v. Vaughan (1910) 26 T.L.R. 545 ; Freeman v. Attenborough (1910) ibid. " Head V. Tattersall (1871) 7 Ex. 7 : Cranston v. Mallow (1912) Sess. Cas. 112. " Manders v. Williams (1849) 4 Ex. 339; and see generally I'ari I.. Chapter I. ante, p. 2. 10 146 VENDOR S AND PURCHASERS. Rule 5. — (1) Where there is a contract for the sale of unascertained or future goods by description, and goods of that description and in a deliverable state are unconditionally appropriated to the contract, either by the seller with the assent of the buyer, or by the buyer with the assent of the seller, the property in the goods thereupon passes to the buyer. Such assent may be express or implied, and may be given either before or after the appropriation is made. (2) Where in pursu- ance of the contract the seller delivers the goods to the buyer or to a carrier or other bailee or custodier (whether named by the buyer or not) for the purpose of trans- mission to the buyer, and does not reserve the right of disposal, he is deemed to have unconditionally appro- priated the goods to the contract. Thus (1), A bought twenty hogsheads of sugar cut of a lot of sugar in bulk belonging to B. Four hogs- heads were filled and delivered, sixteen others were filled and appropriated {i.e., set aside, marked or labelled) by B, who gave notice to A to remove them. A promised to do so. Held, this was an implied subsequent assent to the appropriation by the seller of the sixteen hogsheads; that the contract was thereby converted into a sale and the property passed.' (2) A contracted with B for two hundred firkins of butter at so much per cwt., f.o.b., payment by bill at two months from date of landing, to be shipped the same month. A month later B, the seller, received from X an invoice and bill of lading for these butters, which had not been shipped within the time stipulated. A waived the delay and consented to retain the invoice and bill of lading. The butter was aftersvards lost by shipwreck. Held, that the subsequent appropriation was complete by mutual assent ; that the property had passed and A must suffer the loss.^ Delivery to a carrier by order of the purchaser is an appropriation of the goods and a delivery to the buyer, and the property passes immedi- ' Rohde V. Thwaitcs (1827) 6 B. & C. 388 ; and see Pignatoro v. Gilroy (1919) 1 K.B. 459. "^ Alexander V. Gardner (1835) 1 Bing. N.C. 671; see also Sparkes V. Marshall (1836) 2 Bing. N.C. 761. EFFECTS OF THE CO NTRACT. _ 147 ately.' This only applies where the carrier is the buyer's agent to take deliverv. If the facts of the case show that the seller reserves a right of disposal,^ or agrees to deliver the goods at their destination,' the carrier is then the seller's agent, and deliver}- to the carrier is not a final appropriation. And, generally, the rule above stated is subject in all cases to the intention of the parties as expressed by the terms of the contract or inferred from the circumstances of the case. Reservation of Right of Disposal. — (1) Where there is a contract for the sale of specific goods or where goods are subsequently appropriated to the contract, the seller may, by the teiTns of the contract or appro- priation, reserve the right of disposal of the goods until certain conditions are fulfilled. In such case, notwith- standing the delivery of the goods to the buyer, or to a carrier or other bailee or custodier for the purpose of transmission to the buyer, the property in the goods does not pass to the buyer until the conditions imposed by the seller are fulfilled. (2) Where goods are shipped, and, by the bill of lading, the goods are deliverable to the order of the seller or his agent, the seller is prima facie deemed to reserve the right of disposal. (3) Where the seller of the goods draws on the buyer for the price, and transmits the bill of ex- change and bill of lading to the buyer together to secure acceptance or payment of the bill of exchange, the buyer is bound to return the bill of lading if he does not honour the bill of exchange, and if he wrong- fully retains the bill of lading the property in the goods does not pass to him.'' Thus, A in Hong-Kong orders goods from \\ in London without sending the money for them, {a) B may take the lading, making the goods deliverable to his own order or that of his agent in Hong-Kong and send it to his agent, w4th instructions not to transfer it 1 Diitton V. Solomonson (1803) 3 B. & P. 582 : Cork Distilleries Co. V. Gt. Southern, &c., Rly. Coy. (1874) 7 H.L. 269 ; Johnson v. L. & Y. Rly. Coy. (1878) 3 C.P.D. 499. 2 As under Sect. 19 (l) infra. ■^ Badischc Anilin, <''-c., Fabrik v. Hash- Chemical Works (1898) A.C. 200. •* Sect. 19. 148 VENDORS AND PURCHASERS. to A except on payment for the goods. Or (b) B may draw a bill of exchange for the price of the goods on A, and sell the bill to a London banker, transferring to the banker the bill of lading for the goods, to be delivered to A on due payment of the bill of exchange. In either case the property in the goods remains in B till the bill of lading has been endorsed and delivered up to A. Or (c), under the above section of the Act, B may draw upon A a bill of exchange for the price, and may send it, together with the bill of lading, direct to A. In this case it is often difficult to decide whether B intends to resen-e a right of disposal, and each case depends on its owm circumstances.^ Incidence of Risk. — Unless otherwise agreed, the goods remain at the seller's risk until the property therein is transferred to the buyer, but when the pro- perty therein is transferred to the buyer, the goods are at the buyer's risk, whether delivery has been made or not. Provided that where delivery has been delayed through the fault of either buyer or seller, the goods are at the risk of the party in fault as regards any loss which might not have occurred but for such fault. Provided also that nothing in this section shall affect the duties or liabilities of either seller or buver as a bailee or custodier of the goods of the other party. ^ The general rule is, thus, that the risk attaches to the ownership of the goods, ^ just as any accretion or benefit to them also attaches.* But the parties may by agreement intend otherwise, and a different intention may be inferred from the course of dealing between the parties or by usage binding them both.* The fact that * See Mirabita v. The Imperial Ottoman Bank (1878) 3 Ex.D. 164, 172; The Prinz Adalbert (1917) A.C. 586; Craven v. Ryder (1816) 6 Taunt. 433 ; Falk v. Fletcher (1865) 18 C.B. N.S. 403 ; The Miratuichi (1915) P. 71 ; Van Casteel v. Booker (1848) 2 Ex. 691 ; Joyce \ . Su-ann (1864) 17 C.B. N.S. 84 ; Ex parte Banner (1876) 2 Ch.D. 288; Konig v. Brandt (1901) 84 L.T. 748; Shepherd v. Harrison (1869) 4 Q.B. 196; (1871) 5 H.L. 116; Ogg v. Shuter (1875) 1 C.P.D. 47 ; Cahn v. Pockett (1898) 2 Q.B. 61 ; (1899) 1 Q.B. 643 ; The Parchim (1918) A.C. 157. - Sect. 20. •■ See Martineau \ . Kitching (1872) 7 Q.B. 453. * Sweeting v. Turner (1871) 7 Q.B. 313. ■'' See Sect. 55 of the Act. EFFEC TS OF THE CONTRACT^ 149 one party or the other is to insure the goods is material to the question.' A common instance of this kind is what is known as a " c.f.i." contract, i.e., a contract in which the price is to include the cost, freifjhl. and insurance of the c^oods. The buver is then in effect the insurer, and the risk prima facie attaches to him on and after shipment subject to the seller's (jblii^ation to tender valid effective shipping' documents.* Section- 2 — Transfer of Titli:. Sale by Person not the Owner.— (1) Subject to the provisions of the Act,^ where goods are sold by a person who is not the owner thereof, and who does not sell them under the authority or with the consent of the owner, the buyer acquires no better title to the goods than the seller had, unless the owner of the goods is by his conduct precluded from denying the seller's authority to sell. (2) Provided also that nothing in the Act shall affect (a) the provisions of the Factors Acts' or any enactment^ enabling the apparent owner of goods to dispose of them as if he were the true owner thereof ; (b) the validity of any contract of sale under any special, common law, or statutory power of sale or under the order of a Court of competent jurisdiction." General Rule. — As a general rule, no man can sell goods and convey a good title to them imless he conveys them as owner, or as the authorised agent of the owner. ^ Therefore, however innocently a person bu}'s goods from one who is not the owner, he obtains no property ' Fragano v. Long (1825) 4 B. & C. 219; Anderson v. Morice (1876) 1 App. Cas. 713 ; and see Co/. /n.s-/«. Coy., N.Z.. v. Adcluiilc Marine Insii. Coy. (1886) 12 App. Cas. 128. - See Calcutta Coy. v. Dc Matfos ilSb'i} 33 L.J. Q.I3. 214; Dtipont V. Brit. S. Afr. Coy. (1901) 18 T.L.R. 24; Tregellcs v. Scwell (1862) 7 H. & N. 574 : Biddcll Bros. v. E. Clemens Hor.-it Coy. (1911) 1 K.B 934 ; Stock v. Inglis (1885) 10 App. Cas. 263. ■' I.e. Sects. 22-25 ; vide infra. * 1889; see Appendix B. IIL ; and pp. 103, 104, ante. ■' E.^. Bills of Lading Act. 1S55; Bankruptcy Act. 1914, ss. iS. 47; Bills of Sale Act, 1878. •^ Sect. 21 ; and see Part IV., Chapters IL and IV.. post. ' Peer v, Humphrey (1835) 2 A. & E. 495 ; Whistler v. Foster (1863) 31 L.J. C.P. 161 ; Candy v. Lindsay (1878) 3 App. Cas. 459. 150 VENDORS AND PURCHASERS. in them (except in certain special cases) ;^ and even if he re-sells them to a third person in good faith, he remains liable in trover to the original owner." Exceptions to the General Rule. — The above rule does not apply where a person who is not the owner of goods enters into an agreement to sell them; such an agreement is valid. ^ By Section 21 of the Act, the rule is also excluded where the owner of the goods, by his conduct, has enabled the sale to take place, as where he stood by and allowed the sale,* or assisted in the sale,"* or issued a warrant in blank to the seller,* or allowed the seller to hold himself out as owner. ^ The owner in such cases comes within the broad general principle of law that " wherever one of two innocent persons must suffer by the acts of a third, he who has enabled such third person to occasion the loss must sustain it."^ But the term " enabled " in this rule must be construed with due regard to the circumstances of the case.* Sale by Authority or with Consent of Owner. — Instances of sales " under the authority or with the con- sent of the owner" within Section 21 of the Act, are sales bv agents acting within the scope of their actual or implied authority. And sales by a mortgagor of mortgaged chattels in the ordinary course of business and with the consent of the mortgagee also fall within this rule.'" ' See infra. '^ Stone V. Marsh (1827) 6 B. & C. 551 ; Marsh v. Keating (1834) 1 Bing. N.C. 198 ; White v. Spettigiie (1845) 13 M. & W. 603 ; Lee v. Bayes (1856) 18 C.B. 599. •' See Hibblewhite v. McMorinc (1839) 5 M. & W. 462; Ajello w Worsley (1898) 1 Ch. 274; and see ante, p. 127. ■' Gregg V. Wells (1839) 10 A. & E. 90. '' Walker v. Drakeford (1853) 1 E. & B. 749. " Zwinger v. Samuda (1817) 7 Taunt. 265. '' Henderson v. Williams (1895) 1 Q.B. 521. " See Fa rqiih arson v. King (1901) 2 K.B. 711-713 ; (1902) A.C. 332- 333. 335-337, 342. ■' See cases cited in notes 4-8, supra. '"See Nat. Bank v. Hampson (1880) 5 Q.B.D. 177; Taylor y. McKeand (1880) 5 C.P.D. 358; cf. Payne v. Fern (1881) 6 Q.B.D. 620 ; Gough V, Wood (1894) 1 Q.B. 713 ; Ellis v. Glover (1908) 1 K.B. 388. EFFECTS OF THK CONTRACT. l')l Sale in MARKrrr Overt. — A saio in market overt is an important exception to the general rule stated above. In the case of such sales, and accordinnr to the usage of the market, the buyer acquires a g'ood title to the iifoods provided he bu}s them (a) in d faith, i.e.. honcsth'. whether negligently or not,' and (/)) without notice of any defect or want of title on the part of the seller.' A S£ile in market overt protects the innocent purcha.ser only; it does not relieve the seller from liability.'' And the rule does not apply to the sale of horses.' The term " market overt " means *' an open, public and legall}- constituted market."* In the country it is held bv charter or prescription on special days;* but in the City of London every da\' except Sunday is market dav/ in the country the only place that is market overt is the particular area of ground set apart by custom for the sale of particular goods, and this does not include shops. In the Citv of London every shop in which goods are exposed publicly for sale is market overt for such goods as the owner openlv professes to trade in.* The shop must be one in which goods are openly .sold, i.e., in the presence and sight of anyone entering the shop ;' it is immaterial that the shop has glass windows or is not suilficiently open for passers-by to see in." A wharf in London is not market overt;" nor is anv shop a market overt for goods not usually sold there;" 1 See Sect. 62 (2) of the Act. 2 Sect. 22 (1). « Delaney v. Wallis (1883) 14 L.R Jr. 31. ^ Sect. 22 (2). •' Lee \' . Bayes {\B56) 18 C.B. 599, /)ct Jer\ is. C.J.. at p. 601: and see Benjamin v. Andrcu-s (1858) 5 C.B. N.S. 299. 6 Bl. Comm. 2, 449 ; Co. Inst. 2. 220 ; and see Bciijtiiiiin v. Amin-us, supra. ■ Case of Market Overt (1596) 5 Co. 83b. " Ibid. The custom does not protect a sale outside the bounds of the City. ^ Hargreave v. Spink (1S92) 1 Q.B. 25 ; Hill v. Smith (1812) 4 Taunt. 533. '" Lyons v. Dc Pass (1840) 11 A. <.' Where no conimct of sale exists, as where A obtains gfoods from B on " sale or return " or " approval," and A sells the goods to C before the pro- perty in the goods has passed to A upon an actual sale, the above rule has no application, and C obtains no good title." Revesting of Property in Stolen Goods on Con- viction OF Offender. — (1) Where goods have been stolen and the offender is prosecuted to conviction, the property in the goods revests in the rightful owner, not- withstanding an}- intermediate dealing with the goods, whether by sale in market overt or otherwise. (2) But where goods have been obtained by fraud or other wrongful means not amounting to larceny (i.e., theft), the propertv in such goods does not revest in the original owner by reason only of the conviction of the offender.'' Thus (1) If A has stolen goods from B, and sells them to C, and if A is prosecuted to conviction, the stolen goods revest in B (a) on A's conviction, if the Court thinks the title to the goods is not in dispute, and directs restitution at once; (b) on expiry of ten days after conviction if Court has not made any direction as in (a), and if there is no appeal ; (c) on dismissal of an appeal against conviction, whether C bought the goods from A in market overt or elsewhere. (2) If A has ob- tained the goods from B by fraud or other means not amounting to larcen\-. the property in the goods does not revest in B merely because A is convicted." Seller or Buyei^ in Possession after Sale. — (1) Where a person having sold goods continues or is in possession of the goods, or of the documents of title to the goods, the delivery or transfer by that person, or by a mercantile agent acting for him. of the goods or documents of title under any sale, pledge or other disposition thereof, to any person receiving the same ' Whitchorn Bros. v. Duvison (1911) 1 K.B. 463 ; Ti/lcv v . lioxviiuui (1910) 1 K.B. 745. - Higgins \\ Burton (1857) 26 L.J. I-.x. 342: Ihinlimin v. Hootli (1863) 1 H. & C. 803; Cuudy v. Limlsciy, supra ; Morrison \. Robert- son (1908) Sess. Gas. 332. ^ Sect. 24 ; and see Sect. 45 of the Larceny Act, 1916. * See the Criminal Appeal Act, 1907, Sect. 6. 154 VENDORS AND PURCHASERS. in good faith and without notice of the previous sale, shall have the same effect as if the person making the deliver}'^ or transfer were expressly authorised by the owner of the goods to make the same. (2) Where a person having bought or agreed to buy goods obtains, with the consent of the seller, possession of the goods or the documents of title to the goods, the delivery or transfer by that person, or by a mercantile agent actings for him, of the goods or documents of title, under any sale, pledge or other disposition thereof, to any person receiving the same in good faith and without notice of any lien or other right of the original seller in respect of the goods, shall have the same effect as if the person making the delivery or transfer were a mercantile agent in possession of the goods or documents of title with the consent of the owner. ^ Thus, where A sells copper to B, forwarding a bill of lading endorsed in blank, and a bill of exchange for acceptance, and B, who is insolvent, does not accept the- bill of exchange but transfers the bill of lading to X in fulfilment of a contract to supply him with copper, and X in good faith pays the price, A cannot stop the copper in transitu;' and where A delivers a car to B- under a hire-purchase agreement, by which the hire amounts to £x pavable by twenty-four monthly instal- ments, and B may purchase the car at any time within the two years by paying a further sum of £y ; and" B pledges the car with C, being at the time £z in arrears with his instalments, A can sue C for conversion, for B is not a person who has " agreed to buy " the car, he has merely an option to purchase;^ but where B agrees to buy a plot of land from A and also a car if his solicitors approve the title to the land, and B gets- the car without paying for it and then sells it to a bond fide purchaser C, and B's solicitor afterwards disapproves of the title to the land, C gets a good title to< the car, for B "agreed to buy " it.* * Sect. 25 ; reproducing Sects. 8 and 9 of the Factors Act, 1889. 2 Calm V. Pockctfs' Bristol Channel Coy. (1899) 1 Q.B. 643. •' Bclsize Motor Supjyly Co. v. Cox (1914) 1 K.B. 244; cf. Whitcley V. Hill (1918) 2 K.B. 808. ' Marten v. Whale (1917) 2 K.B. 480. EFFECTS OF THE CONTRACT. 155 Effect of W'kits of Execution, — If the huycr lias, at the time when he acquired his title to them, notice that any writ of fieri facias {i.e., the usual form of execu- tion for enforcing- the judgment of the Court), or any other writ by virtue of which the goods of the seller might be seized or attached, has been delivered' to and remains unexecuted in the hands of the sheriff,* the goods purchased by him are liable to seizure under such writ.^ The writ binds the propertv in the goods of the seller (the execution debtor) as from the time when it is delivered to the sheriff to be executed, but does not change the ownership ; the seller's transfer is therefore valid, but the purchjiser takes the goods subject to the rights of the creditor.' If, however, the purchaser had no notice of the writ, his title to the goods is protected, where he has acquired the goods in good faith and for valuable consideration." • See Harris v. Lloyd (1839) 5 M. & W. 432 : Hunt v. Hooper (1844) 12M.&W. 664; Withers v. Parker (1859) 4 H. & N. 524; Birstall and Candle Coy. v. Daniels (190S) 2 KB. 254: .Ahiri^atroyd v Wright (1907) 2 K.B. 333. - "Sheriff" includes any officer charged with the enforcement of a writ of execution : Sect. 20 (2). ^ See Sect. 26 (l) of the Act. ' Ibid. ; Payne v. Dreice (1804) 4 Kasf, 523 : Saniitel \ Duke (1S3S) 3 M. & W. 622 ; Woodland v. Fuller (1840) 11 A. & E. 859 ; MePhersoti V. Teniiskannning Lumber Coy (1913) A.C. 145. •'- See Ehlers v. Kauffinan (1884) 49 L.T. 806: Sect. 26 (1). CHAPTER III. PERFORMANCE OF THE CONTRACT. SiXTiON 1 — Obligations of Seller and Buyer in General. General Rule. — It is the duty of the seller to deliver* the goods, and the buyer to accept* and pay* for them, in accordance with the terms of the contract." The performance necessary to discharge the contract must be in strict accordance with the terms, unless a deviation from the terms is excused by the circumstances." A modification of performance by one parly at the request of the other may be equivalent to the performance stipu- lated for, so far as to preclude the latter party from objecting to its sufficiency.* The parties may make what bargain they please.'' Thus, where the buyer voluntarily extends the stipulated time for deliver}^ of the goods at the request of the seller, or the seller forbears delivery from time to time at the request of the buyer, the delay is excused and the deferred delivery or acceptance is equivalent to performance of the contract.* And delivery at a different place at the request of either party acceded to by the other is a performance in discharge of the con- tract.' Delivery and Pay.ment are Concurrent Condi- tions. — Unless otherwise agreed, delivery of the goods and payment of the price are concurrent conditions, that is to say, the seller must be iready and willing to give possession of the goods to the buyer in exchange for the price, and the buyer must be ready and willing to pay the price in exchange for possession of the goods.* ' These terms are defined infra. ~ See Sect. 27. •' Thomas v. Harrou-ing S.S. Coy. (1915) A.C. 58 ; Brandt & Co. v. Morris (1917) 2 K.B. 784. * See, generally, infra. ■'■ Calcutta Coy. v. De Mattos (1863) 32 L.J. Q.B. 328, per Blackburn, J ''Ogle V, Vane (1867) 3 Q.B. 272; Plcvins v. Downing (1S76) 1 C.P.D. 220. ' Leath&r Cloth Coy. \ , Hicroninins (1874) 10 Q.B. 140. PKKl-OU.M \N( i; OF THK t ONTKACT. 151 Similarly (idixcry of ilic ooods and acct-ptancc thereof are concurrent conditions." Where ^roods are dehverable by instahnents, tiie same concurrent con- ditions prima facie exist witii reijard to each insial- meni.' Thus, neither dehvery of the <4oods, nor jjav- ment of the price, is a condition precedent to the other; all that is necessary is that the parties should concur in the joint act.' It is not necessary that the seller should tender the goods, or that the buyer should tender tin- price, in order to satisfy the condition sufficiently U> maintain an action for not accepting and pa\ing for or not delivering the goods.'' If, however, the contract provides that payment shall be made after delivery, an actual delivery and not mere readiness and willingness to deliver, unless such delivery is waived or refused, is a condition precedent to claiming the price.* wSimilarly, if the contract provides that pavment shall be made before delivery, an actual payment is a condition pre- cedent to claiming the goods. Where goods are sold on credit, and nothing is agreed upon as to the time of delivery, the buyer is immediately entitled to possession of the goods; but this right is lialjle to be defeated if the louver becomes insolvent before he obtains jiossession.' Shctiox 2 — Di:i.i\i:rv. Delivery. — " Delivery " means voluntary transfer of possession from one person to another.* A contract of sale transfers the property in the goods; performance of the contract involves transfer of possession of the goods, according to the directions of the buyer. The delivery may be made by any act of the seller or buyer which the ' Sect. 28 ; Morton v. Lamb (1797) 7 T.R. 125. ^ See, generally, cases cited infnr. * Brandt v. Lawrence (187G) i (j.B.D. 344. * See Pordagc v. Cole (1669) 1 Wras. Saund. ed. 1S71. p. 551 ; Rauson V. Johnson (1801) 1 East. 203. * Rawson v. Jo/mson, supra ; Laurence v. Knowles (1839) 5 Bing. N.C. 399; Gibson v. Carruthers (1841) S M. & W. 321. 6 Spartali v. Beneckc (1850) 10 C.B. 212 : Staunton v. Wood (1851) 16 Q.B. 638. ' Re Edwards (1873) 8 Ch. App. 289 ; Re Phcenix Steel Coy. (1876) 4 Ch.D. 108 ; Bloxam v. Sanders (1825) 4 B. & C. 948 ; cf. Chinery v, Viall (1860) 29 L.J. Ex. 183. •^ Sect. 62 (1). 158 VENDORS AND PURCHASERS. parties aoree shall be treated as delivery/ e.g., delivery to a carrier." Delivery may be actual or constructive. It is constructive when it is effected without any change in the actual possession of the thing delivered, as in the cases of attornment and symbolic delivery. Delivery by attornment may take place in three classes of cases; {a) the seller may be in possession of the goods, but after sale he attorns to the buyer and continues in possession as the buyer's bailee;^ {h) the goods may be in the buyer's possession, as the seller's bailee, before sale, and after sale he holds them on his own account;* (c) the goods may be in the possession of a third person as the seller's bailee, and after sale such third person attorns to the buyer and continues to hold the goods as the buver's bailee.^ The delivery of the key of a warehouse in which the goods sold are stored is often spoken of as symbolic delivery of the goods; it is really a transfer of such control of the goods as the nature of the case admits.* The transfer of a bill of lading has the same effect as delivery of the goods themselves.^ Place of Delivery. — Whether it is for the buyer to take possession of the goods or for the seller to send them to the buyer is a question depending in each case on the contract, express or implied, between the parties. Apart from any such contract, express or implied, the place of delivery is the seller's place of business if he have one, and if not, his residence ; provided that, if the contract is one for the sale of specific goods which to the knowledge of the parties when the contract is made are in some other place, then that place is the place of delivery.' ' See Castle v. Sxvorder (1860) 5 H. & N. 281. - See Sect. 32 (l) ; and p. 168, post. ■' Dublin City Distillery Coy. v. Doherty (1914) A.C. 828 ; Elmore v. Stone (1808) 1 Taunt. 458 ; Marvin v. Wallace (1856) 25 L.J. Q.B. 369. * See Cain v. Moore (1896) 2 Q.B. 283. ■' See Sect. 29 (3); ^.\6l, post; and Farina v. Home (1846) 16 M. & W. 119. 6 See Pollock on Possession, p. 61 ; Ellis v. Hunt (1789) 3 T.R. 464 ; Chaplin v. Rogers (1800) 1 East., 192. ^ Sanders v. MacLean (1883) 11 Q.B.D. 327; Biddell Bros. v. E. Clemens Horst & Co. (1911) 1 KB. 957 ; The Prinz Adelbert (1917) AC. 589. " Sect. 29 (1). PERFORMANCE OF THE CONTRACT. loU Thus in the absence of any condition lo the contrarv. it is prima facie the duty of' the buyer to take the j^niods, and the seller's duty is fulfilled by his puttinj^ the *;^oods at the buyer's disposal at the place of delivery,' Where the buyer is to take the goods from the seller's land or premises, the contract of sale impliedly confers on the buyer a licence to enter upon the land or premises to remove the goods.* Where goods are sold " ex quay or warehouse " the place of delivery is within the option of the seller, and it is a condition precedent to the buver's liability to accept the goods that the seller should notify the buyer of the phice of delivery.' The place of delivery is within the buyer's option if the goods are deliverable " f.o.b." (free on board) at a specified port; it is his duty to name the ship/ An " f.o.b." contract means that the seller is to put the goods on board at his own expense on account of the person for whom thev are shipped, and delivery is made and the goods are at the buyer's risk from the moment the goods are put on board.* In the case of a contract " ex ship," there is a good delivery if, when the vessel has arrived at the port of delivery, the seller pays the freight and supplies the buyer with an effectual direction to the ship to deliver.' Time of Delivery. — Performance must be completed at or within the time stipulated; performance accepted after the time operates in satisfacion of the breach and not in pursuance of the contract. Where under the contract of sale the seller is bound to send the goods to the buyer, but no time is fixed for .sending them, the ' See Woo J V. Tassel I (1844) 6 p.B, 234; Siiiitli v. Chance (1819) 2 B. & Aid. 753 ; Wilkinson v. Lloytl (1845) 7 Q.B. 27. ■^ SeeCarringfon v. Roofs (1837) 2 M. & W. 248; Joties il- Co. v. Tankerville {\909) 2 Ch. 440: Thomas v. Sorrell (1673) Vaugh. 330; Wood V. Manlcy (1839) 11 Ad. & KI. 34 ; Marshall v. Green (1875) 1 C.P.D. 35. ■'' Davies v. McLean (1873) 21 W.R. 264. * Armitage v. Insole (1850) 14 Q.B. 728; Siitherhnul v. Allhusen (1866) 14L.T. 666; Forrestt & Son v. Araniayo (1900) 83 L.T. 355: Sharp V. Christmas (1892) 8 T.L.R. 687. ' Brown v. Hare (1858) 3 H. & N. 484 ; Ogg v. Shnter (1875) 10 CP 159 ; Stock V. Inglis (1884) 12 Q.B.D. 564. 6 Yangtse Ins. Ass. v. Lakmanjec (1918) 34 T.L.R. 320; and see Bidden Bros. v. E. Clemens Horst & Co. (1911) 1 K.B. 957 ; Ibid. 952 ; (1912) A.C. 18; The Parchim (1918) A.C. 157. 164. 160 VENDORS AND PURCHASERS. seller is bound to send them within a reasonable time.* What is a reasonable time is a question of fact depending on the circumstances of the case, including the place where the goods are when sold, their condition, and the usage of any market, and any facts subsequently causing delay without the seller's fault." Excessive delay may operate in frustration of the buyer's adventure and entitle him to refuse acceptance.^ The parties may stipulate for delivery " directly," " as soon as possible," " immediately," " on demand," "on request," "on notice," "forthwith," "not later than , " etc. What the parties intended by such terms must be decided on the particular facts and on a reasonable construction of the terms of the contract. A reasonable time for delivery imports a more protracted delay than a delivery " directly."* Delivery " as soon as possible," may mean delivery " as soon as the sellers can in fact deliver,"^ or it may mean " as soon as the sellers could deliver if they were supplied with all proper appliances and facilities for the speediest delivery."* Delivery " on demand " or "on request " or " on notice " or " immediately on demand," implies that the seller is entitled to a reasonable time after demand or notice-^ The term " forthwith " may mean no more than " without loss of time " f and where delivery is to take place " not later than " a specified date, subject to an extension of time in the event of delay from specified causes or "causes beyond the seller's control," it is a question of fact whether any delay in ^ Sect. 29 (2) ; Greaves v. Ashlin (1813) 3 Camp. 426. 2 Ellis V. Thompson (1839) 3 M. & W. 445 ; Ford v. Cotesworth (1870) 5 Q.B. 544 ; Postlethwaite v. Freeland (1880) 5 App. Cas. 599; De Waal v. Adlcr (1886) 12 App. Cas. 141 ; Carlton Coy. v. Castle Mail Coj. (1898) A. C. 486; Hick v. Raymond (1893) A.C. 22; Jackson v. Union Marine Insurance Coy. (1874) 10 C.P. 125. ■^ Re Carver & Co. and Sassoon & Co. (1911) 17 Com. Cas. 59. ' Duncan v. Topham (1849) 8 C.B. 225." ■"' Attwood V. Emery (1856) 1 C.B. N.S. 110. 6 The Hydraulic Eng. Coy. v. McHaffie (1878) 4 Q.B.D. 670. '' See Brighty v. Norton (1862) 3 B. & S. 305 ; Toms v. Wilson (1862) 4 B. & S. 442 ; Moore v. Shelley (1883) 8 A.C. 285 ; Bach v. Owen (1793) 5 T.R. 409 ; Bowdcll v. Parsons (1808) 10 East. 359 ; Jones V. Gibbons (1853) 8 Ex. 920. ** Staunton v. Wood (1851) 15 Q.B. 638 ; Roberts v. Brett (1865) 11 L.C. 337; Simpson v. Henderson (1829) M. & M. 300. PERFORMANCE OF THE CONTRACT. 161 a particular case may be excused.' Where the seller is by express agreement entitled to suspend or cancel delivery in some specified event, it is a question of fact and of the construction of the contract whether the event has happened.^ A postponement of delivery at the request of the seller or the buyer, and acceded to by the other, jmd which does not amount to a contract, is a mere for- bearance by the one at the other's re(|ii('si, and either may insist at any time upon his rights under the con- tract." Gooixs IX Possession oi-" Third Pkkson, — Where the goods at the time of sale are in the possession of a third person, there is no delivery by seller to buver unless and until such third person acknowledges to the buyer that he holds the goods on his behalf; but this provision does not affect the operation of the issue or transfer of anv document of title to goods.' The ack- nowledgment required b)- this provision is an attornment by the third person to the buyer, and is thus a construc- tive delivery within the third class of cases already con- sidered.^ It must be given by the third person with the consent of both seller and buyer;* and if the third person refuses such acknowledgment the buyer may repudiate the contract.^ Both buyer and seller must each do what is necessary to obtain the third person's acknowledg- ment.* If the buyer is in default in this respect, the ' Re Lockie v. Craggs (1901) 7 Com. Gas. 7 ; Matsoukis v. Pricstman (1915) 1 K.B. 681. 2 Ford & Sons v. Lcetham (1915) 21 Corn. Gas. 55 : Role bow Vaughan v. Compania Mincra (1916) 33 T.L.R. Ill; Ebbw Vale Steel Coy. v. Macleod & Co. (1917) 33 T.L.R. 268; Tennants v. C. K Wilson & Co. (1917) A.G. 495. " Oglev. Vane (1868) 3 Q.B. 272; Hickman v. Haynes (1875) 10 G.P. 598; cf. Plcvins v. Downing (1876) 1 G.P.D. 220; Tyers v Rosedale Iron Coy. (1875) 10 Ex. 195 ; Rarr v. Waldie (1893) 21 Rettie 224 ; Higgin v. The Puntplicrstonc Oil Coy. (1893) 20 Rettie 532. * Sect. 29 (3). "' See ante, p. 158, and cases cited in note 3 on that page. « SeeGodfs v. Rose (1855) 17 G.B. 229; Poulton & Son v. Anglo- American Oil Coy. (1911) 27 T.L.R. 216. ^ Pattison v. Robinson (1816) 5 M. & S. 105. 110. " Smith V. Chance (1819) 2 B. & Aid. 753 ; Winks v. Hassall (1829) 9 B. & G. 372; Bartlett v. Holmes (1853) 1 G.L.R. 159; Buddie v. Green (1857) 27 L.J. Ex. 33. 11 162 VENDORS AND PURCHASERS. seller may treat the delivery as made.' If the seller is in default, there is no delivery.^ As between the buyer and seller, the onlv document of title that would appear to be within the above proviso is a bill of lading, for a transfer of this document per se transfers possession. All other documents such as a wai^rant, delivery order, etc., require an attornment by the bailee/ Hour of Demand or Tender. — Demand or tender of deliverv may be treated as ineffectual unless made at a reasonable hour. What is a reasonable hour is a question of fact.* Expenses of and Incidental to Delivery. — Unless otherwise agreed, the expenses of and incidental to putting- the goods into a deliverable state must be borne by the seller.* " Deliverable state " means such a state that the buyer would under the contract be bound to take deliverv.* As a general rule the expenses of and incidental to making deliverv of the goods must be borne by the seller; the expenses of and incidental to receiving delivery, or incurred subsequently to delivery, must be borne bv the buyer.'' In the case of an " f.o.b." contract, the seller must defray the expenses of and up to shipment;^ in the case of a " c.i.f." contract the price payable bv the buyer includes the cost and insurance and freight charges, and the seller must in such a case defray the insurance and freight charges.' ' Bartlctt V. Holmes, supra. ^ Smith V. Chance, supra. ^ See Farina v. Home (1846) 16 M. & W. 119; Lackington v. Atherton (1844) 7 Man. & G. 360 ; Buddie v. Green, supra ; Bentall v. Burn (1824) 3 B. & C. 423 ; Haig v. Wallace (1831) 2 Hud. & B. 671. ^ Sect. 29 (4) ; and see Startup v. Macdonald (1843) 6 Man. &G. 593 ' Sect. 29 (5). « Sect. 62 (4). ^ Neillv. Whitworth (1865) 18 C.B. N.S. 435; (1866) 1 C.P. 684; Playford v. Mercer (1870) 22 L.T. 41 ; Acme Wood Flooring Coy. v. Sutherland Innes Coy. (1904) 9 Com. Cas. 170; Re Shell Transport Coy. and Consol. Petrol Coy. (1904) 20T.L.R. 517 ; White v. Williams (1912) A.C. 814; Stock v. Inglis (1884) 12 Q.B.D. 564. " Cowasjee v. Thompson (1845) 5 Moo. P.CC. 165 ; Re Cock, ex p. Rosevear China Clay Co. (1879) 11 Ch. D. 560 ; Stock v. Inglis, supra. ^ Ireland v. Livingston (1872) 5 H.L. 395 ; Wancke v. Wingren (1880) 58 L.J. Q.B. 519 ; Houlder Bros. & Co. v. Pub. Works Commr. (1908) A.C. 276. PERFORMANCE OF THE CONTRACT. 163 Dkli\ KRv OF Wrong Quantity or of Mixkd Goods. — Prima facie, every contract for a quantitv of goods is an entire contract for that quantity.' The seller, therefore, does not perform his part of the contract when he delivers to the buyer a quantity of goods less than he contracted to sell, and in such a case the buyer may reject them, and the seller cannot claim the price under the contract. But if the buyer accepts the goods so delivered, he must pay for them at the contract rate." Conversely the buver cannot call for a portion of the goods con- tracted for without being ready and willing to accept the whole.'' Where the deficiency in quantity is so small as to be negHgible the court applies the maxim, de minimus non curat lex (the law takes no account of trifles).* There is likewise no performance of the contract by the seller where he delivers goods in excess of the quan- tity contracted for, and in such a case the bu\er may accept the goods included in the contract and reject the excess, or he may reject the whole.* If the buyer accepts the whole of the goods so delivered he must pay for them at the contract rate, except where the excess is trifling and the seller does not insist on payment for the excess." There is likewise no performance of the contract by the seller where he delivers the goods he contracted to sell mixed with goods of a different description not included in the contract, and in such a case the buyer ' Mefsey Steel & Iron Coy. v. Nay/or. Bcnzon & Co. (1884) 9 App. Cas. 434. 439 ; Baldcy v. Parker (1823) 2 B. & C. 37 ; Bi^H v. Whisking (1853) 14 C.B. 195. - Sect. 30(1). Oxendale v. Wethcrcll (1829) 9 B. Sc C. 386; Col. Inau.Coy.of N.Z.v. Adelaide Mar. Insii. Coy. (1886) 12 A.C. 128; Waddington v. Oliver (1805) 2 B. & P.N.R. 61 : Renter v. Sala (1879) 4 C.P.D. 239; Braf. (1917) 2 KB. 473. 168 VENDORS AND PURCHASERS. Where, however, the instalments are portions of. a quantity which in its nature is an indivisible whole (e.g., a machine deliverable in parts), or a full delivery of the quantity contracted for is of the essence of the contract, and the seller makes default in the delivery of any instalment, the buyer may on returning any instalments previously received, repudiate the contract ab initio, and recover any part of the price paid.^ Delivery to Carrier. — Apart from contract, express or implied, the seller is not bound to send the goods to the buver;^ but where in pursuance of a contract of sale the seller is authorised or required to send the goods to the buyer, delivery to a carrier, whether named by the buyer or not, for the purpose of transmission to the bu5'^er. is prima facie a delivery to the buyer;' the carrier, for this purpose, being regarded as the bailee of the person to whom and not by whom the goods are sent.* But where the seller reserves the right of dis- posal* or undertakes the delivery himself at a place other than that where the goods are when sold,* the carrier is the seller's agent, though the buyer takes the risk of any deterioration in course of transit.^ Where the buyer names a particular carrier there is no proper deliverv unless and until the seller delivers to the carrier so named.* The seller must duly follow any instructions of the buver as to the mode of transmission of the goods consistent with the terms of the contract. If he fails to do so, the goods are at his risk during the transit.' If the buyer's instructions are followed, the risk is with the buver.'" ^ Poussardv. Spiers (1876) 1 Q.B.D. 410; Clarke v. Dickson (1858) E.B. & E. 148; Mersey Steel Cov- v. Navlor. supra ; Chanter v. Leese (1839) 5 M. & W. 698. ■^ See ante, p. 158 ; and Sect. 29 (l) of the Act. •' Sect. 32 (1). •■ Badische Anilin Fabrik v. Basle Chemical Works (1898) A.C. 200; Dunlop V. Lambert (\8Zd>) 6 C\. & F. 600; Vale v. Bayle (1775) 1 Cowp. 294 ; Dawes v. Peck (1799) 8 T.R. 330 ; Wait v. Baker (1848) 2 Exch. ]. •■' See Sect. 19 (1) ; ante, p. 147; Gabarron v. Krceft (1875) 10 Ex. 274 ; Wait v. Baker, supra. ^ Dunlop V. Lambert, supra. ' See Sect. 33; post, p. 169. " Vale v. Bayle, supra. » Ullock V. Rcddelein (1828) Dan. & LI. 6. "* Vale V. Bayle, supra. PERFORMANCE OF THE CONTR.\CT. 109 Unless otherwise authoiised 1)\ the I)u\im-, the seller must make such contract witli tlie carrier on behalf of the buyer as may be reast)nable, ha\in^ repircl to the nature of the goods and the other circumstances of the case. If the seller omits to do so, and the n^oods are lost or damaged in course of transit, the l)uyer may decline to treat the delivery to the carrier as a delivery to himself, or may hold the seller responsible in damages.' It is the seller's duty " to take the usual and ordinary precaution ... to do whatever is necessary to secure responsibility of the carriers for the safe delivery of the goods and to put them into such a course of conveyance as that in case of a loss the buyer might have his indemnit\- against the carriers."' Unless otherwise agreed, where g(X)ds are sent by the seller to the buyer by a route involving sea transit, in ■circumstances in which it is u.sual to insure, the seller must give such notice to the buyer as may enable him to insure them during their sea transit, and, if the .seller fails to do so, the goods are deemed to be at his risk during such transit.' This rule is excluded by the terms of contracts " f.o.b.," "c.i.f." or "ex-ship."' Risk Whkrk Goods Dki.ivkrkd at Distant Plack. — Prima facie, where the seller agrees to deliver goods at a particular place, he takes the risk of deterioration during the transit, as the property does not pass till delivery.' But by Section 33 of the Act, where the seller agrees to deliver the goods at his own risk at a place other than that where they are when sold, the iDuyer must, unless otherwise agreed, take any risk of deterioration necessarily incident to the cour.se of transit.* The risk of cxccptiDual deterioration is im the seller if he contracted to deliver the g(K)ds at their ' Sect. 32 (2). ■^ See C/(7rAv V. Hntcliins flSll) 14 East 475, per Lord ICllenborough. ■C.J.. at p. 476. •■' Sect. 32 (3). •■ See Wimble v. Rosenber}> (1913) 1 K.U. 279. "' See Calcutta Coy. v. De Mattos (1863) 32 L.J. Q.B. 322. 335: Dinilop V. Lambert (1839) 6 CI. & P. 600, 621 ; Radischc Atiilin Fahrik v. Rasle Chemical Works (1898) A.C. 200.207; Riilgwav v. Ward (18S4) 14 g.B.D. 110, 119. <■' See Bull v. Robinson (1S54) 10 E\ch. 342 (iron rusted in transit). 170 VENDORS AND PURCHASERS. destination, or has othenvise retained the right of disposal of the goods; and is on the buyer if the goods were merely to be sent off.^ Section 3 — Acceptance. Buyer's Right of Examining Goods. — Where goods are delivered to the buyer which he has not previously examined, he is not deemed to have accepted them unless and until he has had a reasonable opportunity of examining them for the purpose of ascertaining whether they are in conformity with the contract." Unless other- wise agreed, when the seller tenders delivery of the goods to the buyer, he is bound to afford the buyer a reasonable opportunity of examining the goods for the purpose of ascertaining whether the}^ are in con- formity with the contract.^ " No acceptance can be properly said to take place before the purchaser has had an opportunity of rejection," and " no complete and final acceptance, so as irrevocably to vest the property in the buyer, can take place before he has exercised or waived that right " of inspection.* Thus the examina- tion may be for the purpose of seeing whether the goods agree with the description, or warranty, or that the bulk corresponds with the sample.^ The right of inspec- tion mav be waived by express agreement, course of dealing or usage.* It is waived in the case of " c.i.f." contracts, or in cases where payment is to be made in exchange for the document of title.' The time and place of deliverv is prima facie the time and place for examination of the goods by the ' See Badischc case, supra ; Dickson v. Zizinia (1851) 10 C.B. 602; Crozier y. Aucrhach [1908) 2 K.B. 161; Beer v. Walter (1877) 46 L.J. Q.B. 677; Burrows v. Smith (1894) 10 T.L.R. 246. 2 Sect. 34 (1) : see Sect. 15 (2) ; Heilbutt v. Hick-son (1872) 7 C.P. 438; Islierwood V. Whitmore (1842) 11 M. & W. 347; Clemens Horst & Co. V. Bidden (1912) A.C. 18. ■^ Sect. 34 (2). ^ Borf Lead Mining Coy. v. Montague (1861) 10 C.B. N.S. 481. ■' See Lorvmer v. Smith (1822) 1 B. & C. 1 ; Howe v. Palmer (1820) 3 B. & Aid. 321 ; Heilbutt v. Hickson. supra; Perkins v. Bell (1893) 1 Q.B. 193: Mellor v. Japing (1889) b5 T.L.R. 574; Chalmers v. Paterson (1897) 34 Sc. L.R. 768. ^ See Sect. 55. ■^ Polenghi Bros. v. Dried Milk Cov. (1904) 92 L.T. 64; Clemens Horst V. Bidden, supra; Castle v. Sworder (1860) 5 H. & N. 281; (1861) 6 H. & N. 828 ; Khan v. Diichc (1905) 10 Com. Cas. 87. PERFORM ANCK OF THE CONTRACT. 171 buyer;' but each kase depends on its own liicuin- stances,- for a latent defect may not be discoverable by ordinary diligence in examination at the place of delivery/ in which case the buyer may on a subsetjuent inspection reject the goods if they are not in confor- mity with the contract." A tender of goods not in con- formity with the contract is not a final breach of the contract, as the seller may still tender other goods in accordance with the contract before the time of comple- tion has elapsed.* Whi:n Acci^ptaxck Taki:s I'laci;. — There can be no acceptance before the right of rejection has been exer- cised or waived/ The buyer cannot reject the goods the property in which has passed to him. unless he is entitled to take advantage of a condition subsequent;* but where the property has not passed, or where, after the property has passed, the buyer is entitled to take advantage of a condition subsequent, the right of rejection arises/ Where the right of rejection has not been exercised or waived, acceptance takes place when the buyer intimates to the seller, i.e., by written or spoken words,* that he has accepted them.' Such an intimation is express. Acceptance may also be implied from the bu^^er's con- duct, where he does any act in relation to the goods delivered to him which is inconsistent with the owner- ship of the seller,'" as where he resells the goods," or ' Perkins v. Bell (1893) 1 Q.B. 193. - See Clemens Hoist v. Biddell (1912) A.C. 18 ; Hcilbiitt v. Hick-son (1S72) 7 C.P. 438 ; Grimoldby v. Welts (1875) 10 C.P. 391 ; Moiling .''-■ Co. V. Dean (1901) 18 T.L.R. 217. ■'• Heilhiitt V. Hickson, supra \ Grimoldby v. Wells, supra. * Borrowman V. Free {1878) 4 Q.B. D. 500 ; Tefley v. Sliaitd (1871) 25 L.T. 658; cf. Oath v. Lees (1865) 3 H. & C. 558; Aslimore v. Co.v (1899) 1 g.B. 436. ■'' Bog Lead Mining Coy. v. Montague (ISGl) 10 C.B. N.S. 481. 6 See Varley v, Whipp (1900) 1 Q.B. 513. ^ Perkins v. Bell (1893) 1 Q.B. 193; Varley v. Whipp. supra. " Abbot & Co. V. Wolsey (1895) 2 Q.B. 97. " Sect. Z5: Saunders v. Topp (1849) 4 Exch. 390; cf. Varley v. Whipp, supra. '" Sect. 35. 1' Parker V. Palmer (1821) 4 B. & Aid. 387; Chapman v. Morton (1843) 11 M. & W. 534; Harnorv. Groves (1855) 15 C.B. 667: Perkins V.Bell, supra: Morton v. Tibbett (1850) 15 Q.B. 428; Chaplin \. Rogers (1800) 1 East. 192. 172 VENDORS AND PURCHASERS. inspects them and sends them on to a sub-buyer,^ or uses or otherwise deals with the goods as owner. ^ Acceptance may also be implied where, after the goods have been delivered to him, the buyer retains them and delays rejection or is silent on the matter for an un- reasonable time." What is an unreasonable time is a question of fact, depending on the nature of the goods, place of delivery, and the circumstances of the case generall}^'* Buyer not Bound to Return Rejected Goods. — Unless otherwise agreed, where goods are delivered to the buyer and he refuses to accept them, having the right so to do, he is not bound to return them to the seller, but it is sufficient if he intimates to the seller that he refuses to accept them.^ Before the passing of the Act, the rule was that the buyer could reject the goods, either by giving prompt notice of rejection, or by doing any unequivocal act notifying his rejection ; and he was not bound to return the goods, or to place them in neutral custody.* After rejection of the goods, the buyer must act in relation to them in a reasonable manner, but subject thereto, the goods are at the seller's risk/ Liability of Buyer for Neglecting or Refusing Delivery. — When the seller is read}^ and willing to deliver the goods, and requests the buyer to take delivery, and the buyer does not within a reasonable time after such request take delivery of the goods, he is liable to the seller for any loss occasioned by his neglect or refusal to take delivery, and also for a reason- able charge for the care and custody of the goods. The ' Perkins v. Bell, supra; Morton v. Tibbett, supra; Currie v. Anderson, infra. 2 Parker v. Wallis (1835) 5 E. & B. 21 ; Wallis v. Pratt (1911) A.C. 304 ; Meehan v. Bow (1910) 47 Sc. L.R. 650. ■' Morrison v. Clarkson (1898) 25 R. 427 ; Sharp v. Gt. W. Rlv. Coy. (1841) 9 M. & W. 7 : Sanders v. Jameson (1848) 2 Car. & Kir. 557 ; Bushel V. Wheeler (1844) 15 Q.B. 442; Nonnan v. Phillihs (1845) 14 M. & W. 277 ; Currie v. Anderson (1860) 2 E. & E. 592. * See Sect. 56. •^ Sect. 36. « Grimoldhy v. Wells (1875) 10 C.P. 391. ^ Okell V. Smith (1815) 1 Stark. 107. i'i:rfoum.\nck of the contract. IT^i rights of the seUer, where the neglect or refusal of the buyer to take delivery amounts to a repudiation of the contract, remain unafl'ected by this provision.' The seller, of course, cannot charge for custody where he detains the goods against the buxer's will in ex«-rcise of his right of lien." I'nder lliis provision dilliculties of construction may .sometimes arise, as it implies that the buyer's neglect or refusal to take delivery within a reasonable time does not necessarily amount to a repu- diation of the contract, whereas such default is, as a rule, regarded as being default extending to the utmost limits allowed b\" law.^ ' Sect. 37 ; and see Greaves v. Ashlin (1813) 3 Camp 426 ; Somes v. Brit. Empire Shipping Coy (1860) S H.L.C. 338 ; Hartley v. Hitchcock (1816) 1 Stark. 408. ^ Somes V. BE. Shipping Coy., .supra. •^ See Hou-e v. Smith (1804) 27 Ch.D 89, 105; Jone.s v. Gibbous (1853) 8 Exch. 920. CHAPTER IV. RIGHTS OF UNPAID SELLER AGAINST THE GOODS. Section 1 — In General. Definition. — The seller of goods is deemed to be an ■" unpaid seller " within the meaning of the Act : (a) when the whole of the price has not been paid or tendered; (5) when a bill of exchange or other negotiable instrument has been received as conditional payment and the condition on which it was received has not been fulfilled by reason of the dishonour of the instrument or otherwise. And the word " seller " includes any person who is in the position of a seller, e.g., an agent of the seller to whom the bill of lading has been endorsed or a consignor or agent who has himself paid, or is directly responsible for the price. ^ Unpaid Seller's Rights. — Subject to the provisions of the Act," and of any statute in that behalf,^ notwith- standing that the property in the goods may have passed to the buyer, the unpaid seller of goods, as such, has, by implication of law : (a) a lien on the goods (or right of retention) to retain them for the price while he is in possession of them ; (b) in case of the insolvency of the buyer a right of stopping the goods m transitu after he has parted with the possession__ of them ; (c) a right of re-sale as limited by the Act. Where the property in the goods has not passed to the buyer, the unpaid seller has, in addition to his other remedies, a right of with- holding delivery similar to and co-extensive with his rights of lien and stoppage in transitu where the property has passed to the buyer.* Conditions Precedent to Existence and Exercise of Rights. — On a contract of sale, as we have seen, the > Sect. 38. 2 See Sects. 25 (l) and (2) ; 41-43 ; 44-46 ; 48 ; 55 ; and see post. " Sects. 8-10 of the Factors Act. 1889 ; see Appendix B, 111. post. " Sect. 39. RIGHTS OF UNPAID SELLER. 17n right of pr<>i)('rty in the goods passes to ilir hiiyrr. Prima facie, the right of possession also passes at the same time. In the absence of conditions to the contrary, the parties are presumed to contract on the footing that the seller is to receive the price when he parts with the goods.' But the parties may make what bargain the\ please, and the buyer's right of possession or tlie seller's right to payment of the price may be defeasible on the non-performance of conditions precedent imp. Chaltiicrs (1873) 8 Ch. 289 ; Morgan v. Bain (1874) 10 C.P. 15. ■'' See Sect. 49 ; and p. 199, post. * See Raift v. Mitchell (1815) 4 Camp. 146. 150. ■' See Milgafe v. Kcbble (1841) 3 M. & G. 100: Ex p. WillougUby (1881) 16 Ch.D. 604 ; Gt. Eastern Rly. v. Low's Trustee (1908) 2 K li 54 ; (1909) A.C. 109. 6 See Blackburn on Sale, p. 308; t/. Bolton v. L. f- Y. Rly. Coy. '(1866) 1 C.P. 439. 176 VENDORS AND PURCHASERS. attaches when the buyer is in default whether he is solvent or insolvent, and only where the actual posses- sion of the goods is in the seller. The right of stoppage in transitu arises only when the buyer is insolvent, and the seller's lien is gone, for it pre-supposes that the seller has parted with the possession as well as the property in the goods. A true lien can only be exercised tipon the property of another. Where the propertv in the goods has not passed to the buyer, the seller has the analogous right, sometimes described as quasi-lien, that of withholding delivery of the goods. This right, being co-extensive with the rights of lien and stoppage in transitu, arises when the price is due and unpaid, or the buyer becomes insolvent. The exercise of the rights of lien, stoppage in tratisitu, and withholding delivery, does not affect the right of property in the goods, but the exercise of the right of re-sale, as limited by the Act, effects a transfer of the right of property in the goods to the second buyer. ^ Instalment Contracts. — Every contract of sale is prima facie, an indivisible or entire contract for the quantity of goods ordered, even though the goods may be deliverable by instalments; and in such a case the buyer is not entitled to the possession of any part of the goods unless he is ready and willing to accept and pay for the whole,^ and the unpaid seller's rights then extend over every part of the goods not in the buyer's posses- sion for the price unpaid.^ But if the parties have agreed that each instalment shall be treated as a separate con- tract, the seller's rights are apportionable accordingly. And even where there is no such provision, when the instalments are to be separately paid for, the contract will be treated as apportionable, so that the seller cannot retain the instalments paid for by reason of the non- payment of the price of the remainder of the goods ;* though, on the buyeir's insolvency, any instalment ' See post, p. 195 et scq. " See Sect. 28 ; and ante. p. 165. ■'' Ford V. Baynton (1832) 1 Dowl. P.C. 357 ; Wentworflt v. Outhwaite (1842) 10 M. & W. 436 ; Ex p. Chalmers (1873) 8 Ch. 289. * Merchants' Banking Coy. v. Phoenix Steel Cov. (1877) 5 Ch.D. 205. Kiciirs oi-- I \i'\ii) ^11 I.IK. 177 iinjiaid for may be reiaincd until the price for that instal- ment and any other insiahiieni previously delivered is paid.' Section 2 — Untaii) Si:li.i:k's Likn. Whi:n' Iaks Exists. — Suhjeci to the provisions of the Act," the unpaid seller who is in possession of the g^oods is entitled to retain possession of them until payment or tender of the price : (a) where the ds have been sold without any stipulation as to credit; (6) where the <^oods have been sold on credit, but the term of credit has expired; (c) where the buver becomes insolvent. The seller may exercise his ri^^ht of lien notwithstanding- that he is in possession of the goods as agent or bailee or custodier for the buyer.' A lien in general is a right of retention of property until a debt due to the person retaining the property has been satisfied.' In the case of a sale of goods, it extends only to the price and not to charges incurred in course of detention,^ for such detention is for the sole benefit of the seller exercising the right. But the parties may agree that certain charges, such as customs duties, mav be treated as part of the price, in which case the lien will attach in respect of them.' Where no Stipulation as to Ciu:i)It. — " The general rule of law^ is, that where there is a sale of goods, and nothing is specified as to delivery or pay- ment, although everything may have been done so as to devest the property out of the vendor, and so as to throw upon the vendee all risk attendant upon the goods, still there results to the vendor out of the original con- tract a right to retain the goods until payment of the price. ^ • Exp. Chalmers (1873) 8 Ch. 289. - See Sects. 42. 43 (1). 47. 55. '■' Sect. 41. * See Hamttiomis v. Barclay (1802) 2 East. 235. ' Somes V. The British Empire Shipping Coy. (1860) 8 H.L C. 338 , Hartley v. Hitchcock (1816) 1 Stark. 408. 8 Winks V. H assail (1829) 9 B. & C. 372. ^ Miles V. Gorton (1834) 2 C. & M. 504, per Bay ley. B.. at p. 51 1 12 178 VENDORS AND PURCHASERS. Where Goods Sold on Credit. — The seller's lien, which was waived by the grant of credit, revives upon the e.\piration of the term of credit, even though the buyer is not insolvent, if the goods remain in the seller's possession till the credit has expired.' Insolvency of Buyer. — Where the goods are in the seller's possession, the rule that the lien attaches on the buyer's insolvency applies whether credit has been given or not and whether insolvency occurs during the period of credit.^ The buyer is deemed to be insolvent for this purpose when he has either ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they, become due whether he has committed an act of bankruptcy or not, and whether he has become a notour bankrupt^ or not.^ Where Seller is Buyer's Bailee. — At common law, where the seller had attorned to the buyer, i.e., had agreed to hold the goods sold as the buyer's agent, the lien was gone, for it had been waived." But if the buyer became insolvent, the lien revived, for the law would not compel the seller to deliver the goods to an insolvent buyer.® If the buyer is solvent, he can, of course, call upon his agent, the seller, to deliver the goods, for in such a case there is no right of lien which the seller may exercise.^ Part Delivery. — Where an unpaid seller has made part delivery of ihe goods, he may exercise his right of lien on the remainder, unless such part delivery has ^ See New v. Swain (1828) 1 Dans. & L. 123 ; Bunney v. Poyntz (1833) 4 B. & Ad. 568. '■^ Bloxam v. Sanders (1825) 4 B. & C. 941 ; Miles v. Gorton (1833) 2 C. & M. 504; Grice v. Richardson (1877) 3 A.C. 319; Griffiths v. Perry (1859) 1 E. & E. 680 ; Gunn v. Bolckow, Vaughan & Co. (1875) 10 Ch. App. 491 ; and see Re Nathan (1879) 10 Ch.D. 586. ^ A Scotch term denoting a person who is not only bankrupt, but whose insolvency is made known to the public by steps of legal diligence having been taken against him for the recovery of debts. * See Sect. 62 (3) ; and Re Phoenix Steel Coy. (1876) 4 Ch.D. 108. '^ See Cusack v. Robinson (1860) 1 B. & S. 299, per Blackburn, J., at p. 308 ; Baldey v. Parker (1823) 2 B. & C. 37, 44. <> Giinnv. Bolckow, Vaughan & Co. (1875) 10 Ch. 491, ^cr Mellish, L, J., at p. 501 ; Townley v. Crump (1836) 4 A. & E. 58 • Grice v. Richardson (1877) 3 A.C. 319. ' See Bloxam v. Sanders (1825) 4 B. & C. 941. RIGHTS OF UNPAID SKLLER. 179 been made in such circunistanct's as to show an aj^ree- nirnt to waive the lien.' The common law rule was that a delivery of part of the goods sold is not equivalent to a delivery of the whole, so as to destroy the vendor's lien." The seller may, if he chooses, give up part anil retain the rest; and then his lien will attach to the part retained in his possession for the prirf:e of the whole." The fact that the goods are in the seller's own possession is important to show that a part delivery is not intended as a ct)nsiruciive delivery of the whole.* But there mav be circumstances suflFicient to show that there was no intention to separate the part delivered from the remain- der, and then the delivery of part operates constructively as a delivery of the whole and puts an end to the vendor's possession and conseqiientlv to his lien.' Thus, if goods are deliverable by instalments, which are not to be separately paid for, no lien exists. An agreement to waive the lien may be inferred where the part delivery is of an essential part of the whole, e.g., an essential part of a machine;* or where the character of the person taking delivery, or the object for which it is taken, is such as to show a common intention to treat the part deliverv as a delivery of the whole, ^ or where the part delivery takes place in circumstances showing that the seller's agent in possession of the goods has acknow- ledged to the buver that he holds the goods on his behalf.-* Tf.rmixation of Lien. — The unpaid seller of goods loses his lien thereon : {a) when he delivers the goods to a carrier or other bailee or custodier for the purpose of transmission to the buyer without reserving the right of ' Sect. 42 ; and see Biittncv v. Poyntz (1833) 4 B. & Ad. 568 ; Tatmcr V. ScovcU (1845) 14 M. & W. 28: Dixon v. Yates (1833) 5 B. & Ad. 313 ; Re McLaren (1879) 11 Ch.D. 68. 2 See Kcmpw Falk (1882) 7 A.C.. per Lord Blackburn at p. 5S6 ; Re McLaren, supra. ' See ante, p. 176- * Miles V. Gorton (1834) 2 Cr. & M. 504. 510. ■^ See Benjamin on Sale, p. 971. ^ Re McLaren, supra, at p. 75, per Cotton, L J. " Jones V. Jones (1841) 8 M. & W. 431. ** Hammond v. Anderson (1803) 1 Bos. & P. N.R. 69; and see Re Kicll (1880) 14 Ch.D. 446. 456 ; Re McLaren, supra, at p. 74. 180 VENDORS AND PURCHASERS. disposal of the goods ; (6) when the buyer or his agent lawfully obtains possession of the goods; (c) by waiver. The unpaid seller, having a lien, does not lose his lien by reason only that he has obtained judgment or decree for the price of the goods. ^ A delivery to a carrier for conveyance to the buyer is, as a rule, such a delivery of actual possession to the buyer through his agent, the carrier, as suffices to put an end to the seller's lien." But if the seller undertakes to deliver the goods to the buyer at their destination, the carrier is then the seller's agent. ^ The seller may also reserve the right of disposal, as where on shipment of goods he takes a bill of lading making the goods deliverable to the order of himself or of his agent/ It is only by the endorsement and deHvery of the bill of lading that a symbolical delivery of the cargo is effected.* And the seller's lien is not lost by sending goods on board a vessel, even where delivery is made f.o.b. to the buyer, if the seller on delivery to the ship takes or demands a receipt for the goods in his own name ; for such a receipt entitles him to the bill of lading, and the goods are therefore still in his possession.* But the possession of such a receipt is not conclusive, as the general rule may be excluded by the terms of the con- tract, or custom or usage. ^ Where at the time of the contract the goods are in the possession of the seller's agent,* the lien is lost when the agent with the consent of the seller acknowledges to the ' Sect. 43 ; and see Houhiitch v. Desanges (1818) 2 Stark. 337 ; Scrivener v. Gt. Northern Rlx. Coy. (1871) 19 W.R. 368; but see Jacobs V. Latonr (1828) 5 Bing. 130. ■' Ellis V. Hunt (1789) 3 T.R. 464 ; Dau'cs v. Peck (1799) 8 T.R. 330 ;- Wait V. Baker (1848) 2 Ex. 1 ; Diinlop v. Lambert (1838) 6 CI. & F. 600. •' See Dunlop w Lambert, supra ; Badischc Fabrik v. Basic Chemical Works (1898) A.C. 200. * See Sect. 19 (2) ; and ante, p. 147 ; Wait v. Baker, supra. ■' See Wait v. Baker, supra ; Sanders v. Maclean (1883) 11 Q.B.D. 341. G Craven v. Ryder (1816) 6 Taunt. 433 ; Ruck v. Hatfield (1822) 5 B, & Aid. 632 ; Thompson v. Trail (1826) 6 B. & C. 36. ^ Cou-asjee v. Thompson (1845) 5 Moo. P.C. 168. '^ See Sect. 41 ; and p. 177 ante. Kiciiis ()i- I \i'\ii> sf.i.i.i:r. LSI buyiT tliat he liolds tin- i^ootls on his hch.ilf.' If at ihc time of the contract the <^oocls arc in thr possession of a third person, not the seller's aj^ent, the hen is lost when the seller puts the Lioods at the hiiver's disposal, so that the buyer is able, without interference by a third person, to lake possession of the j^oods." And where the jj^oods are in the possession of the buNcr or the seller's aj^ent or bailee, there is nothinj^ to j)revent the parties from enterinier. Oil Coy. (1911) 27 T.L.R. 216. ■' Tansley v. Turner (1835) 2 Bing. N.C. 151 : Cooper v Hill (1865) 3 H. & C. 722; and see Marshall v. Green (1875) 1 C.P.D. 35. ■^ Cain V. Moon (1896) 2 Q.B. 283 ; Kilpin v. Ratley (1892) 1 Q.B. 582. * See Dodslev v. Varley (1840) 12 A. Sc E. 632 ; Richards v Syinons (1845) 8 Q.B. 90 ; and Sect. 55 of the Act. •^ Martindale v. Smith (1841) 1 Q.B. 389. « Jacobs V. Latonr (1828) 5 Bing. 130 ; Valpy v Gihson (1847) 4 C.B. 837. ' Valpy V. Gihson, supra ; Jones v. Pearle (1723) 1 Stra. 556: Jones V. r/n<»-/oe (1723) 8 Mod. 172: Hartley v. Hitchcock (1816) 1 Stark. 408; Siveet v. Pint (1800) 1 East. 4. 182 VEXDORS AND PURCHASERS. circumstances show that the goods are sold on credit;^ or where the seller takes from the buyer a bill of exchange or other security payable at a future day, which is inconsistent with the existence of the lien ;' or where the seller repudiates the contract by wrongfully refusing or rendering himself unable to deliver the goods/ or deals with them in a manner inconsistent with a mere right of possession, as by consuming them ;* or where the seller claims to keep the goods on some other ground than upon his right of lien/ Section 3 — Stoppage ix Transitu. When Right Exists. — Subject to the provisions of the Act/ when the buver of goods becomes insolvent, the unpaid seller who lias parted with the possession of the goods has the right of stopping them in transitu, that is to say, he may resume possession of the goods as long as they are in course of transit, and may retain them until payment of the price. ^ The right of stoppage in transitu arises solelv when the seller has parted with the possession of the goods, and the goods are in course of transit to the buyer, i.e., they are in the possession Qf the carrier as the buyer's agent.*' It arises solely upon the insolvency of the 1 See R. V. Jones (1898) 1 Q.B. 219; Sparfali v. Bencckc (1850) 10 C.B. 212; Ford v. Yates (1841) 2 M. & G. 549; Lockett v. Nicklin (1848) 2 Ex. 93 ; Greaves v. Ashlin (1813) 3 Camp. 426 ; cf. Godts v. Rose (1855) 17 C.B. 229 ; Field v. Lelean (1861) 6 H. & N. 617. - Hewison v. Guthrie (1836) 2 Bing. N.C. 755; Horncastle v. Farran (1820)3 B. & Aid. 497; Alsagerv.St. Katherine's Dock Cox- (1845) 14 M.&W. 794; Angus v. McLachlan (1883) 23 Ch.D. 330; Bank of Africa v. Salisbury Gold Mining Coy. (1892) A.C. 281. ■'• Jones V. Tarleton (1842) 9 M. & W. 675 ; Kerford v. Mendel (1859) 28 L.J. Ex. 303 ; Davies v. Vernon (1844) 6 Q.B. 443; Joiu\s v. C//# (1833) 1 C. & M. 540; Gurr v. Cuthbert (1843) 12 L.J. Ex. 309; Mullincr v. Florence (1878) 3 Q.B.D. 484. * Gurr V. Cuthbert, supra ; Mulliner v. Florence, supra. ■' Boardman v. Sill (1808) 1 Camp. 410 ; Youngniann v. Bricseinann (1893) 67 L.T. 642; White v. Gainer (1824) 2 Bing. 23; Cannec v. Spanton (1844) 8 Scott. N.R. 714; Weeks v. Goode (1859) 6 C.B. N.C. 367 ; Mo r ley v. Hay (1828) 3 Man. & Ry. 396. " See Sects. 45-48 (1) ; and infra. ■ Sect. 44. 8 Kendall v. Marshall (1883) 11 Q.B.D. 356 ; James v. Griffin (1836) 1 M. & W. 20; cf. Hawes v. Wat.son (1824) 2 B. & C. 540; Stovcld v. Hughes (1811) 14 East. 302; Moakes v. Nicholson (1865) 19 C.B. N.S. 290; Cahn v. Pockctt (1899) 1 Q.B. 643; McEican v. Smith (1849) 2 H.L.C. 309; Kinloch v. Craig (1790) 3 T.R. 783. RIGHTS OF INI'AID SLLI.I U. 1 S:3 buyer, and is based on the plain reason ot jusiici' and equity that one man's goods shall not he a]-)plicd to the payment of another man's di'bts.' It is "a ri. Miles, supra ; Johsoii V. Eppetiheini, supra. " Wcntworth v. Oiiflncaite (1842) 10 M. & W. 436. ■• Sect. 45 (2) ; Whitehead v. Anderson (1842) 9 M. & W. 51S. 534. ■^ L.N.W. Rlv. Coy. v. Bartlett (18G1) 7 H. & N. 400; Cork Distil- leries Coy. V. Gt. S. & \V. Rlv. Cov. (1874) 7 H.L. 269; Kendall v. Marshall (1883) 11 Q.B.D. 369; and see Reddall v. Union Castle Mail Coy. (1914) 84 L.J. K.B. 360. ^ Reddall v. Union Castle Mail Coy., supra. ' Sect. 45 (3). .l(S8 VENDORS AND PURCHASERS. rejected by the buyer, and the carrier or other bailee or custodier continues in possession of them, the transit is not deemed lo be at an end, even if the seller has refused to receive them back.^ The appointed destination is the place to which under the contract the goods are to be consigned,^ the " further destination " is the place to which the buyer intends for his own purpose that the goods shall go, and with which the seller has no concern. \\"hether, when the goods have reached their destination, the carrier is in possession of the goods as carrier or as the buyer's agent to receive them and hold them, is a question of fact. If the carrier has the intention to hold the goods for the buver and not as an agent to forward, and the buyer intends the carrier so to hold them for him, the transit is at an end; but both these intents must concur, the carrier cannot convert himself into the buyer's agent to hold the goods so as to terminate the transit without the cons.ent of the buyer, nor can the buyer change the carrier's possessory capacity without the carrier's con- sent. "^ The carrier may hold the goods on the buyer's behalf, and yet retain them in exercise of his lien for unpaid freight;^ but in order to rebut the presumption that such a retention is made in his capacity as carrier to forward and not as the buyer's agent to hold the goods there must be proof of some agreement between the carrier and buyer that the former should, while retaining his lien, become the buyer's agent to hold the goods. ^ Delivery on Ship Chartered by Buyer. — When goods are delivered to a ship chartered by the buyer it ' Sect. 45 (4) ; in such a case the carrier retains possession as carrier , see James v. Griif^n (1837) 2 M. & W. 623 : Bolton v. L. & Y. Rly. Cow (1866) 1 C.P. 431. '■* See Mcchan v. N.E. Rly. Coy. (1911) Sess. Cas. 1348. • '■' See Blackburn on Sale. 248; James v. Griffin (1837) 2 M. & W. 623; Jackson v. Nickol (1839) 5 Bing. N.C. 508'; Ex p. Cooper (1879) 11 Ch.D. 68 ; Bolton v. L. & Y. Rly. Coy. (1866) 1 C.P. 431 ; Taylor v. G.E. Rly.Coy. (1901) 17 T.L.R. 394; Ex p. Barrow (1877) 6'Ch.D. 783 ; Whitehead v. Anderson (1842) 9 M. & W. 518. * Allan V. Gripper (1832) 2 Q. & J. 218 ; Kemp v. Falk (1882) 7 A.C. 573. 584, per Lord Blackburn. ■'■ Crawshay v. Eades (1823) 1 B. & C. 181 ; Edwards v. Brewer (1837) 2 M. & W. 375 ; Exp. Barrow, supra ; Kemp v. Falk, supra. RKiHTS (.W rXI'AII) sr[,i.i:r. 18{> is a question dependirif:^ on the circumstances of the particular case whether they are in the possession of the master as a carrier, or as agent to the buyer.' It depentis on the nature of the charter-party (i.e., the shijjpin*^;^ contract) whether a vessel chartered by the buyer is to be considered as his own ship. Where the buyer is, by the law merchant, owner for the voyage, so that the master is the buyer's servant, delivery on board the ship is delivery to the buyer and the transit is at an end; but if the effect of the charter is merely to secure to the buyer the exclusive use and employment of the vessel for purposes of carriage onl\- and the vessel's owner has his own master on board, then delivery to the ship is not a delivery to the buyer but to an agent for carriage.^ Carrikr's Wrongful Refusal to Delivi-:r. — Where the carrier or other bailee or custodier wrongfully refuses to deliver the goods to the buyer or his agent on that behalf, the transit is deemed to be at an end.* A refusal is wrongful where the buyer is entitled to demand delivery ;* it is not a wrongful refusal where the carrier refuses delivery on the buyer's demand made during the transit, for the buyer cannot, any more than a seller, anticipate the end of the transit by demanding' the possession of the goods unless the carrier attorns to him.^ Part Delivery. — Where part delivery of the goods has been made to the buyer or his ag-ent in that behalf, the remainder of the goods may be stopped in transitu unless such part delivery has been made under such circumstances as to show an agreement to give up possession of the whole of the goods.* ' Sect. 45 (5). ■^ See Blackburn on Sale, 242 ; Foicler v. McTaggiirf or h'yincr (1797) 7 T.R. 442; Siuidcmmi v. Hcnor (1866) 2 Q.B. 86; Fnizcr v. Marsh (1811) 13 East. 238; Baumiccll Maniifactitr \\ Fiiniess (1893) A.C. 8; Weir V. Union S.S. Coy. (1900) A.C. 525. •' Sect. 45 (6) ; Bird v. Brown (1850) 4 Exch. 786. ■" See Blackburn on Sale, 260. ' Seejirckson v. Nickol (1839) 5 Bing. N.C. 508; Bootli S S. Coy. v. Cargo Fleet Coy. (1916) 2 K.B. 570. 600. •^ Sect. 45 (7) ; and see ante, p. 179. 190 VENDORS AND PURCHASERS. Exercise of Right. — The unpaid seller may exercise his right of stoppage in transitu, either by taking actual possession of the goods, or by giving notice of his claim to the carrier or other bailee or custodier in whose posses- sion the goods are. Such notice may be given either to the person in actual possession of the goods or to his principal. In the latter case the notice, to be effectual, must be given at such time and under such circumstances tkat the principal, by the exercise of reasonable diligence may communicate ii to his servant or agent in time to prevent a delivery to the buyer. ^ Thus a demand for the bill of lading is a good stoppage ;" and so is the taking possession of a part of the goods in the name of the whole ;^ and so is the giving of notice of claim to customs officials ;* but a notice to consignees to hold the proceeds ot the goods to his order is not a good stoppage, for it implies that the goods themselves will be delivered to the buyer. ^ The seller need not prove his right to stop; he takes the risk of the stoppage being justified.* Where timely service of notice is sent to the principal of the agent in possession, it is the duty of such principal to forward the notice to his agent/ When the right is exercised and persisted in, the seller must take or give -directions as to the delivery of the goods and to discharge the carrier's freight; if he repudiates this obligation, he is liable to the carrier in damages for loss sustained by the latter through non-completion of transit/ Duty of Carrier on Stoppage. — When notice of stoppage in transitu is given by the seller to the carrier, or other bailee or custodier in possession of the goods, he must redeliver the goods to, or according to the directions of, the seller. The expenses of such redelivery ' Sect. 46 (1). - Exp. Watson (1877) 5 Ch.D. 35; and see Kemp v. Isiiiay (1909) 100 L.T. 996. •' HiitcJungs V. Nicnes (1863) 1 Moo. P.C.C. 243. * Northey and Lewis v. Field (1794) 2 Esp. 613. ■■' See Phelps v. Comber (1885) 29 Ch.D. 813 ; Siffken v. Wrav (1805) •6 East. 371 ; ^]ills v. Ball (1801) 2 B. & P. 457 ; N'icliolls v. Le'Fcuvrc •(1835) 2 Bing. N.C. 81. 8 The Tigress (1863) Br. & Lush 38. ^ See Kemp v. Falk (1882) 7 A.C. 585, per Lord Blackburn. - Booth S.S. Coy. v. Cargo Fleet Coy. (1916) 2 K.B. 570. RKiHTS OF IM'MD SKLLKR. 191 must be borne by the seller/ If the carrier, after a valid notice of stoppage, refuses to deliver to the seller, or if he delivers to the buyer, he is guilty of conversion.^ Section 4 — Re-sale or Pledge by Buyer. Effect of Sub-sale or Pledge by Buyer. — Subject to the provisions of the Act," the unpaid seller's right of lien or retention or stoppage in transitu is not affected by any sale, or other disposition of the goods which the buyer may have made, unless the seller has assented thereto. Provided that where a document of title* to goods has been lawfully transferred* to any person* as buyer or owner of the goods, and that person transfers the document to a person who takes the document in good faith (i.e., honestly, whether negligently or not^) and for valuable consideration, then, if such last-men- tioned transfer was by way of sale the unpaid seller's right of lien or retention or stoppage in transitu is defeated, and if such last-mentioned transfer was by way of pledge** or other disposition for value, the unpaid seller's right of lien or retention or stoppage in transitu can only be exercised subject to the rights of the transferee." The seller's assent must be such as in the circum- stances shows that the seller intends to renounce his 1 Sect. 46 (2); see The Tigress (1863) 32 L.J. Adm. 97, per Dr. Lushington; Booth S.S. Coy. v. Cargo Fleet Coy. (1916) 2 K.B. 570; Somes V. Brit. Emp. Shipping Coy. (1858) 8 H.L.C. 338. 2 Jackson V. Nickoll (1839) 5 Bing. N.C. 508 ; Litt v. Cowley (1816) 7 Taunt. 170 ; Pontifex v. Mid. Rly. Coy. (1877) 3 Q.B.D. 23 ; see also Meehan v. N.E. Rly. Coy. (1911) Sess. Cas. 1348; Schotsmann v. L. & v. Rly. Coy. (1867) 2 Ch. 340. ■' See Sects. 25 (2), and 55 ; and see Sect. 9 of the Factors Act, 1889, Appendix B. IIL, ^os^. ■• See Sect. 62 (1) ; and see Sect. 1 (4) of the Factors Act, 1889, Appendix B. IIL. post : and see Kemp v. Falk (1882) 7 App. Cas. 573, at p. 584. ■' See Sect. 11 of the Factors Act, 1889, Appendi.x B. IIL, ^os^ and Sect. 62 (1) of the Sale of Goods Act, 1893 ; Cahn v. Pockett (1899) 1 Q.B. 655, per Collins, L.J. ^ See Sect. 1 (6) of Factors Act, 1889, Appendix B. Ill,, post. ^ See ibid., Sects. 1 (5) and 5. ** Re Westgiuthiis (1833) 5 B. and Ad. 817 ; Coventry v. Gladstone (1868) 6 Eq. 44 ; Kemp v. Falk, supra ; •and see Sect 1 (5) of the Factors Act, 1889. '•> Sect. 47. 192 VENDORS AND PURCHASERS. rights against the goods ;^ as where, by his words or condtict, he expressly or impHedly represents to the transferee {i.e., the person to whom the buyer disposes of the goods) that the goods will be deliverable to him free from the seller's rights as unpaid seller;" a mere acknowledgment by the seller of the receipt of informa- tion of the fact of such disposition by the buyer is not enough f and an anticipatory assent will not be inferred from the mere fact that the seller has issued to the buyer a document containing merely a statement that the goods are ready for delivery/ or an engagement to deliver them/ or similar statements, which document is not othe'rwise a document of title/ or whicli does not contain due representation that the goods are free from lien so as to preclude the seller from averring against the buyer a different state of things/ The seller's assent, if given to the transferee at a time when the buyer is entitled to possession of the goods, is not revocable as against the transferee by reason of the buver's subsequent default in payment or insolvency/ By " document of title " is meant " any bill of lading, dock warrant, warehouse-keeper's certificate, and warrant or order for the delivery of goods, and any other document used in the ordinary course of business as proof of the possession or control of goods, or authorising or purporting to authorise, either by indorsement or by delivery, the possessor of the docu- ment to transfer or receive goods flTereby represented."^ Bills of lading are symbolic of the goods, ^^ and their ^ Mordaunt Bros. v. Brit. Oil y3resslv reserves a right of re-sale in case the bu}'er should make default, and on the buyer making default he re-sells the goods, the original contract of sale is thereby rescinded, but without prejudice to any claim the seller may have for damages. At common law it was laid down that the seller's right of re-sale depends upon whether there has been a repudiation by the buyer, so as to entitle the seller to treat the contract as rescinded, and to re-sell the goods/ The buyer's default in not paying or tendering the price within the time limited by the terms of the contract of sale, or within a reasonable time (a question of fact) after receipt of notice of the seller's intention to re-sell, is a default " down to the last moment which the law gives,"^ and is thus hardly distinguishable from a repudiation of the contract by the buyer. Notwith- standing, therefore, that under Section 48 (4) a re-sale operates as a rescission of the contract, while Section 48 (3) does not expressly enact that a re-sale rescinds the contract, it is submitted that these two sub-sections re-enact the common law rule. When the contract is thus rescinded, the property in the goods re-vests in the seller, and he re-sells as owner. He may then retain any profit realised on the re-sale,^ and may recover any deficiency on the re-sale and the expenses of re-sale from the buyer, allowing credit for any part of the price paid.* After a re-sale of undelivered goods, the buyer is no longer liable for the price .^ But if the seller, without re-selling, keeps the goods for the buyer, he may sue the buyer for the price.^ and exercise the rights ' See Ogg V. Shtiter (1875) 10 C.P. 159, 165 ; Cornwall v. Henson (1900) 2 Ch. 298; Langport v. Tiler (1704) 1 Salk. 113; Hindc v. Whitehousc (1806) 7 East. 558, 571 ; Bloxaw \ . Sanders (1825) 4 B. & C. 945 ; Maclean v. Dunn (1828) 4 Bing. 722 ; Fitt v. Cassanet (1842) 4 M. & G. 898; Howe v. Smith (1884) 27 Ch. D. 89; Lamond v. Davall (1847) 9 Q.B. 1030 ; Chinery v. Viall (i860) 5 H. <& N. 288. '^ Howe V. Smith, supra, p. 105 ^cr Fry, L.J. * On general principles ; see also Ex parte Hunter (1801) 6 Ves. 94 ^ Ibid. ■ Edwardes v. Noble (1877) 5 Ch. D. 378 ; Lamond v. Davall, supra. ' Horc V. Milner (1797) Peake 5Sn. ; Maclean v. Dunn, supra; Chinery v. Viall. supra. ^ See Sect. 49 (1) ; post. p. 199. RIGHTS OF UNPAID SELLER. 197 reserved in liini niuler Section -iT of the Act.' Where the re-sale takes place under an express power to that etifect given bv the contract, the seller must follow the terms of the power." A re-sale without default on the part of the buyer is wrongful and entitles the buyer to sue the seller for non-delivery^ or to treat the re-sale as a repudiation of the contract by the seller, in which case he may rescind the contract" and recover any part of the price paid together with damages. If at the time the buver is entitled to the possession of the goods, such a re-sale is a conversion."^ Section T — Right of Withholding Delivkrv. Existence and I^xercise of the Right. — i^y Section 39 (2) of the Act, where the property in goods lias not passed to the buyer {i.e., on an agreement to buy),' the unpaid seller has, in addition to his other remedies,' a right of withholding delivery similar to and co-extensive with his rights of lien and stoppage in transitu where the property has passed to the buyer. Thus this right arises when the price is due and unpaid, or the buyer becomes insolvent. The right exists as well on an agreement to sell goods to be delivered by instalments as on a sale of specific goods.* • See ante, p. 172; Greaves v. Ashlin (1818) 3 Camp. 426. '^ Laniotui v. Diivall, supnx. •■* Bowdcll x . Parsons (1808) 10 East. 359; Woolfc v. Home (1877) 2 Q.B.D. 353. * See Fitt v. Cassanct, supra. ' Martindale v. Smith (1841) 1 Q.B. 389 ; Chinery v. Viall. supra ; cf. Wilinshttrst v. Rowkcr (1839) 5 Bing. N.C. 541. •^ See Sect. 02 (l) ; and ante, p. 120. ' See Sects. 49 (2) and 50, post, pp. 200, 201. ^ Hx parte Chalmers (1873) 8 Ch. 289; Morgan v. Bain (1874) 10 C.P. 15 ; Griffiths v. Perry (1859) 1 E. & E. 680. CHAPTER V. REMEDIES FOR BREACH OF CONTRACT. Section 1 — Introductory. Two Kinds of Remedy. — A breacli of contract is attended with two kinds of remedy : an action for damages or pecuniary compensation ; and an action for specific performance of the contract according to its terms, so far as the breach will admit. The latter remedy was formerly available only in courts of equity, but now, by virtue of the Judicature Act, 1873, is granted in all courts. Damages. — " The rule of the common law is, that where a party sustains a loss by reason of a breach of contract, he is, so far as money can do it, to be placed in the same situation, with respect to damages, as if the contract had been performed.'" Where no loss accrues from the breach of contract, the damages are nominal only, i.e., " a sum of money that may be spoken of, but that has no existence in point of quan- tity."" As a general rule, the damages recoverable are no more than what may fairly and reasonably be con- sidered as naturally arising from the breach, according to the usual course of events; damages which would not arise in the usual course of events, but which do arise from circumstances peculiar to the case in ques- tion, are not recoverable unless the special circumstances are known to the person committing the breach; but where the special circumstances are known or have been communicated to the party in default, and where the damage complained of flows naturally from the breach under those special circumstances, then such special damage is recoverable, as it must be supposed to have been contemplated b\- the parties to the contract when it ' Robinson v. Harmon, 1 Ex. 855 ; Hall v. Condcr (1857) 2 C.B. N.S. 22 ; Michael v. Hart (1902) 1 KB. 482. ^ Beaumont v. Greathead (1846) 2 C.B. 499. Ri:Mi:nii:s for bri:ach of contract^ 199 was made.' Damages for breach of contract are, in all cases with which we are concerned here, by way of compensation only. Spixific Pkrformanti;. — Specific performance is granted only where damages would be an inadequate remedy." In the case of an agreement to sell goods, courts of equity would decree the specific performance only in the case of chattels possessing a special beauty, rarity or interest. It is only by statute,' and in the case of a breach of contract to deliver specific goods, that the court may direct the contract to be performed specifi- cally without allowing the seller an option to retain the goods and pay damages. Specific performance by payment of the price under a contract of sale is sub- stantially the same thing as damages for the detention of the money, and the ordinary remed)' b}' action for the debt was considered sufficient both in law and in equity;* and where under the contract the seller has the option of paying damages instead of specific per- formance by delivery of the goods, the court has no jurisdiction to decree specific performance. Section 2 — Remkdies of the Seller. Action for the Price. — Where, under a contract of sale, the property in the goods has passed to the buyer, and the buyer wrongfully neglects or refuses to pay for the goods according to tiie terms of the contract, the seller may maintain an action against him for tiie price of the goods.- Thus, where the property has pa.ssed and the buyer is in possession of the goods, and the price is payable, the seller stands in the position of an ordinary creditor ; all his speci^il remedies as seller ' Hadlcy v. Baxendalc (1854) 9 Exch. 354 ; Ai^ius v. G W . Collv. Coy. (1899) 1 Q.B. 413 ; cf. Bostock v. Nicholson (1904) 1 K.B. 725 ; Re Vic Mill (1913) 1 Ch. 183. 465. ■^ Wilson V. N. & B. Rly. (1874) 9 Ch. 284. ■^ See post. p. 208. ^ Broitgh v.Oihlv (1829) 1 Russ. & M. 55; Morgan \. Lurivicre (1875) 7 H.L. 623. •' Sect. 49 (1) ; Scoft v. Knglaiui (1844) 2 Dow. & L. 520 ; Hanker V. Smith (1795) Peake. 42n. ; Mach'ay v. DicL- (1881) 6 A.C. 251'; Garey v. Pike (1839) 10 A. & E. 512; Smith v. Winter (1852) 12 C.B. 487. 200 VENDORS AND PURCHASERS. are gone ; his sole remedy is by personal action ; mere delay on the part of the buyer in paying the price will not justify the rescission of the contract by the seller unless that right is expressly reserved/ The measure of damages recoverable is the price fixed by the contract, or, where no price has been agreed upon, the value of the goods at the time of delivery ; discount upon the fixed price may be allowed by the contract or by usage of trade/ The damages for detaining the money due, unless interest is recoverable, are nominal/ If the buyer alleges a breach of warranty on the part of the seller, he may " set up against the seller the breach of warranty in diminution or extinction of the price.'"* Where goods are sold under a contract by the terms of which the buyer is to pay for them by a bill of exchange, and no bill is given, the damages are the value of a bill in the terms stipulated for / and if the action is brought after the bill would have become due, interest is charge- able upon the amount as if the bill had been given/ Where, under the contract, the price is payable on a day certain, irrespective of delivery, and the buyer wrongfully refuses or neglects to pay such price, the seller may maintain an action for the price, although the property in the goods has not passed, and the goods have not been appropriated to the contract/ This rule applies to instalments of the price as well as to the whole, where the price of each instalment is separately payable/ ' See Martindalc V. Smith (1841) 1 Q.B. 389; and see Lamond v. Davall (1847) 9 Q.B. 1030. ■^ See Sect. 8 ; Valpy v. Gibson (1847) 4 C.B. 837, 864 ; Acebal v. Levy (1834) 10 Bing. 376; Exp. Worthington (1876) 3 Ch. D. «03. •"' Page V. Newman (1829) 9 B. & C. 378; Graham v. Campbell (1878) 7 Ch. D. 494 ; Wallis v. Smith (1882) 21 Ch. D. 257. " See Sect. 53; and p. 209 post; Street v. Blay (1831) 2 B. & Ad. 456; Allen v. Cameron (1833) 1 Cr. & M. 832 ; Mandcl v. Steel (1841) 8 M. & W. 858 ; Poulton v. Lattimorc (1829) 9 B. & C. 259 ; and see Bostock V. Nicholson (1904) 1 K.B. 725. ■' Mussen V. Price (1803)4 East. 147; Paul v. Dod (1845) 2 C.B. 800 ; Rabe v. Otto (1904) 89 L.T. 562. « Marshall v. Poole (1810) 13 East. 98 ; Farr v. Ward (1837) 3 M. & W. 25 ; Davis v. Smyth (1840) 8 M. & W. 399. ' Sect. 49 (2) ; DiinloP v. Grote (1845) 2 C. & K. 153 ; Stein, Forbes & Co. V. County Tailoring Coy. (1916) 86 L.J. K.B. 448. *• Workman, Clark & Co. v. Lloyd Brazileno (1908) 1 K.B. 968. J5EMED1ES FOR BREACH OF CONTRACT. 201 Damagks for X on- Acceptance. — Where the buyer wrongfully neglects or refuses to accept and pav for the goods, the seller may maintain an action against him for damages for non-acceptance/ The measure of damages is the estimated loss directly and naturally resulting, in the ordinary course of events, from the buyer's breach of contract." Where there is an avail- able market for the goods in question, the measure of damages is prima facie to be ascertained by the differ- ence between the contract price and the market or current price at the time or times when the goods ought to have been accepted, or if no time was fixed for acceptance, then at the time of the refusal to accept.' Actual delivery of the goods is not necessarily a con- dition precedent to the seller's right of action for the price. In every case, however, where the buyer refuses to accept and duly pay for the goods under the contract of sale, the seller can elect to treat the contract as broken, €ven though the goods may have passed to the buyer, and can sue for damages for breach of contract.* And, in cases where the seller has not actually transferred to the buyer the property in the goods, the breach of the promise to accept and pay can only affect the seller by way of damages. The goods still remain his property; he may re-sell them or not at his pleasure.^ His only action against the buyer is for damages for non-accept- ance, except in the case where the price is payable on a day certain irrespective of delivery.® As a general rule, the seller can recover only the damage he has sustained, not the full price of the goods. ^ And since he may take his goods into the market (if they are marketable) and obtain the current price for them, the ordinary measure of damages is the diflference between the contract price and the market price at the ' Sect. 50 (1). '^ Sect. 50 (2). ^ Sect. 50 (3) ; Phillpotts v. Evans (1839) 5 M. & W. 475. * Maclean v. Dunn (1828) 4 Bing. 722. •^ Ibid. « See ante, p. 200. ^ Laird v. Pirn (1841) 7 M. & W. 474 ; Atkinson v. Bell (1828) 8 B. -& C. 277; Boswell v. Kilbont (1862) 15 Moo. P.C. 309. 202 VENDORS AND PURCHASERS. time when the contract is broken;^ or if the goods are to be accepted in instalments at several times, the damages are the sum of the instalment differences at those times." The price obtained upon a re-sale within a reasonable time is relevant evidence as to the market price -^ but the price obtained after a delav during which the price may have materiallv altered is not.* Li" no evidence is given of any loss upon the market price. i.e., if the contract price is equal to the market price, the damages recoverable are only nominal,* unless there are special circumstances affecting the case.* Where there is no market for the goods, the seller is entitled to the full damage sustained, i.e., such an amount as would place him in the same position as if delivery had been duly accepted.^ Prima facie, the time at which damages should be assessed is the time expressly or impliedly appointed for acceptance,'^ whether or not the seller resells the goods. If he resell he is bound, in order to minimise the buyer's, loss, to obtain the best price he can; he is not obliged to postpone the sale in order to obtain better prices; but if he does, and obtains better prices, the buyer is not entitled to the benefit ; on the other hand, the buyer is not subjected to a greater loss if the market price decreases after the date of the breach.' But the date of the breach of contract ma}' precede the date fixed for performance ; for the buyer may, in advance, repudiate the contract by intimating his inten- ' See Barrow v. Arnaiid (1846) 8 Q.B. 604; Phillpotts v. Evans (1839) 5 M. & W. 475 ; Gainsford v. Carroll (1824) 2 B. & C. 624 ; Boonnan v. Nash (1829) 9 B. & C. 145; Valpv v. Oaklev (1851) 16 Q.B. 941 ; Grimths v. Perry (1859) 1 E. & E. 680; Boswcll v. Kilborn, supra . ■^ Broun V. Mullcr (1872) 7 Ex. 319. ^ Stewart V. Caiitv (1841) 8 M. & W. 160; Pott v. Flather (1847) 16 L.J. Q.B. 366. ^ Waddcll V. Blockcy (1879) 4 Q.B.D. 678. ^ Valpy \ Oakley, supra ; Nichol v. Bestwick (1858) 28 L.J. E.\. 4. « See Sect. 54; and see Hadley v. Baxendale (1854) 9 Ex. 341. ■ See Dunkirk Colly. Coy. v. Lever (1878) 9 Ch. D. 20; Cort v. Amhergate (1851) 17 Q.B. 127. " Sect. 50; see Boorntan v. Nash (1829) 9 B. & C. 145; Brown v. Muller (1872) 7 Ex. 319; Phillpotts v. Evans (1839) 5 M. & W. 475. •' Seejamal v. Moolla Dawood, Sons & Co. (1916) A.C. 175. REMEDIES FOR BREACH OF CONTRACT. 203 tion not lo accept the goods.' The seller may then either treat the notice of intention as inc^perative and await the time for performance and then iioUl the buyer responsible for all the consequences of non-performance, or treat the repudiation as puttin Where the buyer does not ^et the oroods he boui^ht. it is assumed that these would be worth to him, if he had them, what they would fetch in the open market; and hf should receive by way of damages enough to enable him to buy similar goods in the open market.' Damages, as a rule, are not increased or lessened by circumstances arising subsequent to the moment of default." The market is the place to which the goods are to be carried according to the intention of the parties as declared by them or to be inferred from the circumstances; priind facie, the market is the place where the buver was to take delivery;' but if the goods were intended for a resale, and this fact was known to the seller, the market price is to be fixed by reference to the price ruling at the place to which they were ultimately to be carried.^ \Vhere there is no market at: the place of deliverv, the market price at the nearest place, or in a controlling market, or at a place which according to the course of dealing between the parties is the destination of the goods, less the cost of carriage, mav be taken/ Tf the delivery is to be made in instal- ments, the measure of damages is the sum of the differ- ences of the market value at the several times of deliver}- ; and the damages are to be thus calculated, though the action is brought upon a complete breach before the times for deliverv have all elapsed.* The full market value in every case is to be taken, though the goods have become enhanced in value since the sale, owing to scarcity, or increased demand, or any other cause. ^ The buyer cannot claim damages for the loss of profit on a resale of the goods at a price higher than the market price, unless the seller had notice of the intended ' Wertheim v. Chicoutiiiii Pulp Coy. (1911) A.C.311 : and see SAroHf/ V. Austin (1883) Cab. & Ell. 119. •^ Barry V. Van den Hurk (1920) 36 T.L.R. 663; cf. Ogle v. Vane (1868) 3 Q.B. 272. ^ Hinde v. Liddell (1875) 10 Q.B. 265: Werthciw v. Chicoutiini Pulp Coy., supra. * Van den Hurk v. Martens & Co. (1920) 1 KB. 850. •^ Wertheim v. Chicoutiini Pulp Coy., supra. ' Josling V. I)~i'ine, supra ; Roper v. Johnson (1873) 8 C.P. 167 ; Brown v. Muller (1872) 7 Ex. 319. ^ Josling V. Irvine, supra. 206 VENDORS AND PURCHASERS. resale, so as to make him liable for the risk.' If the contract price and the market price are equal in amount, the damages recoverable are only nominal." If the buyer has paid the price, he is entitled to the full market value of the goods at the time appointed for delivery ; and the same rule applies where the price has been paid by a bill ; but if the bill is subsequently dis- honoured the buyer is in the same position as if he had not made payment, and can only recover the difference between the contract price and the market value. If payment of the price was a condition precedent to deliver}^ and the buyer has not made payment, either b}^ reason of the dishonour of the bill or otherwise, the seller is excused altogether.^ Where the buyer has paid an increased price in special consideration of delivery b}' a certain day, he is not thereby entitled to greater damages.^ If the buyer forbears delivery at the request of the seller, the damages will be regulated by the state of the market when he withdraws the forbearance and claims delivery, and he will have the benefit of a rise in the market at that time.* If the buyer forbears delivery for his own convenience and not at the request of the seller, the mere forbearance in fact does not entitle him to claim the benefit of a rise in the market price after the appointed time for delivery.® Neither buyer nor seller can prevent the damages accruing from a fall or rise in the market price by merely giving notice to the other that he does not intend to accept or deliver the goods when the appointed time 'comes, unless the other party accepts such notice as an immediate breach of the con- tract.' ' Williams v. Reynolds (1865) 6 B. & S. 495 ; Thol v. Henderson (1882) 8 Q.B.D. 457. 2 Valpy V. Oakley (1851) 16 Q.B.D. 941 ; Nichol v. Bcstunck (1858) 28L.J. Ex. 4. ^ Ibid. ; and Gri-Ffiths v. Perry (1859) 1 E. & E. 680; and see Sects. 18. 28, 55. ^ Brady v. Oastlcr (1864) 3 H. & C. 112. •^ Ogle V. Vane (1868) 3 Q.B. 272 ; Tyers v. Roscdale Iron Coy. (1875) 8 Ex. 305 ; 10 Ex. 195 ; Hickman v. Haynes (1875) 10 C.P. 598. 8 Re Voss (1873) 16 Eq. 155. ^ Frost V. Knight (1872) 7 Ex. Ill ; Johnstone v. Milling (1886) 16 Q.B.D. 460. KKMKniKS FOR BRr.\( H OF CONTRACT. JOT The measure of damages by the market price is avail- able only where there is a market for the goods bought or sold to which buyer or seller can resort. " W'licre, from the nature of the article, there is no marktn in which it can be obtained, tiiis rule is not applicable; but it would be unjust if, in such cases, the damage must be nominal ; and there are several decisions show- ing that such is not the law."* Where the buyer was unable to procure goods of precisely the same kind and was obliged, in order to meet his own contracts, to buy the nearest substitute he could get, which was of a superior qualitv and price, it was iield that he was entitled to charge that price as damages.' And where goods of a similar (|uality are not procurable in the market, the price at which the buyer had contracted to re-sell the goods in the ordinary course of his business is presumptively the basis of value, subject to the deduction of anv matter of mitigation;' btit the profits or losses on a resale, tis such, cannot be charged as damages unless the seller had notice that the goods were bought for the purpose of resale, and only so far as the terms of the resale were brought to his notice.* Where the seller knew that the goods were intended for shipment and sale abroad, and made default in delivery, and delivered a portion only after delay, and the goods were not procurable in tiie market, he was held liable for the extra freight and insurance upon the late delivery, but not for damages payable to the buyer under a sub- contract/ The damages recoverable for non-delivery of a specific chattel are measured by the cost of pro- curing another, if reasonably possible, and if it cannot be procured, or until it can be procured, the damages are measured by the average profit made by the ordinary use of such article.* The contracts made by the buyer in the course of business for the use of the article when ' Elbinger v. Armstrong (1874) 9 Q.B. 476. 2 Hinde v. Liddell (1875) 10 Q.B. 265. ** Wertheim v. Chicoiitimi Pulp Coy. (1911) A.C. 301. •■ Elbinger v. Armstrong, supra ; Thol v. Henderson (1882) 8 Q.B.D. 57 ; Grebert-Borgnis v. Nugent (1885) 15 Q.B.D. 85. * Rorries v. Hutchinson (1865) 18 C.B. N.S. 445. ^ Fletcher V. Taylciir (1855) 17 C.B. 21 ; Cory v. ThcJDics Ironuorks Coy. (1867) 3 Q.B. 181. 208 VENDORS AND PURCHASERS. delivered, though not specifically chargeable as damages, are evidence of the ordinary profits for which the seller is liable.^ Specific Performance. — In any action for breach of contract to deliver specific or ascertained goods the court may, if it thinks fit, on the application of the plaintiff, by its judgment or decree direct that the con- tract shall be performed specifically, without giving the defendant the option of retaining the goods on payment of damages. The judgment or decree may be uncon- ditional or upon such terms and conditions as to damages, payment of the price, and otherwise, as to the court may seem just, and the application by the plaintiff may be made at any time before judgment or decree.^ At common law a contract to sell or transfer a thing was treated as a merely personal contract, for the breach of which damages, and damages only, were recoverable ; but in equity the due performance of the contract itself would, in certain cases, be enforced, upon the ground of the inadequacy of the damages recoverable for the breach. " The question in all cases where the specific performance of an agreement relative to personalty was sought was this : — Would damages at law afford an adequate compensation for breach of the agreement ? If thev would, there was no occasion for the interference of equity;^ the remedy at law was complete; if they would not, specific performance of the agreement, as in the case of an agreement relating to realty, would be enforced."* Thus, specific performance of a contract of sale of goods would not be granted where the breach was satisfied b}^ damages assessed at the market price for which such goods might be bought or sold f and where the plaintiff fixed a money value for goods it was contrary to the practice of the court to order specific delivery.* The same rule applied to a contract for the 1 Waters V. Towers {l853) 8 Ex. 401. 2 Sect. 52. •" See Fofhcrgill v. Rou-laml (1873) 43 L.J. Ch. 252 ; 17 Eq. 132. '' See White and Tudor's Leading Cases in Equit}'. 7th ed., vol. II., 423; Falcke v. Gray (1859) 4 Drew. 651. 658; Dounell v. Bennett (1883) 22 Ch. D. 835 ; /. Jones & Sons v. Tankervillc (1909) 2 Ch. 440. •' Cuddce V. Rutter (1719) 5 Vin. Ab. 538. 6 Whitcley, Ltd., v. Hilt (1918) 2 K.B. 808. KKAIEUIES FOR BRliACH OF CONTRACT. 209 sale of ^oods to be delivered at future times by instal- ments, although dama,i,''es in such cases must be assessed upon conjecture as lo tlic future market price;' nor would the court i^rani an injunction to restrain the seller from disposing- of the qoods otherwise than according" to the contract.' Where there had been a specific appropriation so as to vest rm ec|uitable title to the goods in the buyer, and the ^oods so appropriated could be identified, the court would jsrotect his pro- prietary- right, but not otherwise.' By Section 2 of the Mercantile Law Amendment Act, 1856, in actions for breach of contract to deliver specific goods, the court had a statutory power to order execution for the delivery of such goods without giving the defendant the option of retaining the goods upon paying the damages assessed, and this right is now confirmed by the section of the Sale of Goods Act under discussion. Where the sale of goods is attended with exceptional circumstances, as in the case of goods possessing special mercantile value and no other like goods being procurable in the market at the time,'* or where the goods have a special and peculiar value to the party entitled, as in the ca.se of valuable works of art,"' family picture.*^ and heir- looms,* specific delivery will be ordered. Remedy for Bre.\ch of Warranty. — Where there is a breach of warranty b}- the seller, or where the buyer elects or is compelled to treat any breach of a condition on the part of the seller as a breach of a warranty, the bu^■er is not by reason only of such breach of warranty entitled to reject the goods; but he may (a) set up against the seller the breach of warranty in diminution or extinction of the price, or (6) maintain an action against the seller for damages for the breach of war- > Pollard V. Clayton (1855) 1 K. & J. 462; Fothcrgill v. Rowland, infra ; Dominion Coal Coy. v. Dominion Iron Coy. (1909) A.C. 293. 2 Fothcrgill v. Rowland (1873) 17 Eq. 132. '^ Hoare v. Dres.scr (1859) 7 H.L.C. 290. J Hughes V. Graeme (1864) 33 L.J. Q.B. 335. •"' Somerset v. Cookson (1735) 3 P. Wms. 389. 6 Macclesfield v. Davis (1814) 3 V. & B. 16. 14 210 VENDORS AND PURCHASERS. raniy.' The measure of damages for breach of warranty is the estimated loss directly and naturally resulting, in the ordinary course of events, from the breach of warranty.^ In the case of breach of warranty of quality, such loss is prima facie the difference between the value of the goods at the time of delivery to the buyer and the value they would have had if they had answered to the warranty/ The fact that the buyer has set up the breach of warranty in diminution or extinction of the price does not prevent him from maintaining an action for the same breach of warranty if he has suffered further damage.* The buyer's right to reject goods upon breach of a condition has already been considered." The distinction between a condition and a warranty has also been considered/ And it is laid down by the Act that a warranty is " an agreement with reference to goods collateral to the main purpose " of the contract, such that its breach does not give rise to a right to reject the goods. ^ On the sale of specific goods the measure of damages varies according to whether the goods have been returned, or kept. A breach of warranty in itself is not sufficient to entitle the buyer to reject the goods, so that the buyer can reject the goods only where the contract so provides in the event of a breach of warranty ; or where the contract is made conditional upon the war- ranty ; or where the seller agrees to take the goods back ; or where the sale was effected by a fraudulent warranty and the buyer has repudiated it on that ' Sect. 53 (1) ; see Williamson v. Allison (1802) 2 East. 446; Wood V. Smith (1829) 5 M. & Ry. 124 ; Brown v. Eilgingfon (1841) 2 Man. & G. 279 ; Rowe Bros. v. Crosslcy (1912) 57 Sol. Jo. 144 ; Klian v. Diichc (1905) 10 Com. Cas. 87. - Sect. 53 (2). •■' Sect. 53 (3). •■ Sect. 53 (4) ; see Mondel v. Steel (1841) S M. & W. 858; Riggc \ . Bnrbridgc (1846) 15 M. & W. 598; and see Davis v. Hedges (1871) 6 Q.B. 687. ■' See ante, pp. 131-139; and see Street v. Blay (1831) 2 B. & Ad. 456 ; Gompcrtz v. Denton (1832) 1 Cr. & M. 207 ; Heilbittt v. Hickson (1872) 7 C.P. 438 ; Heyworth v. Hutchinson (1867) 2 Q.B. 447. 6 See ante, pp. 131-139. ^ See Sect. 62 (1). REMi;DIli:S FOR BREACH OF CONTRACT. 211 I^TDund.' If the i^oods have been returned, the measure of damages is the price paid for them, unless the goods were returned under an agreement to a different effect. If the goods are kept, the measure of damages is the diminution in value owing to the defect warranted against; unless the buyer is, by the terms of the con- tract, precluded from recovering any damages.^ The loss of profit on a resale cannot as a rule be recovered; but such a sale at a diminished price, after discovery of the breach of warranty, would be evidence of the real value of the goods/ Upon a sale of goods by descrip- tion, the seller is bound to deliver goods answering to the description, which he substantially warrants; the buver mav refuse to accept inferior goods and sue the seller for not delivering goods according to the con- tract, in which action the measure of damage is the value of goods of the description contracted for at the time appointed for delivery, or the difference between I hat value and the contract price, accordingly as the price has or has not been paid. If the goods have been rks Company or to a local authoritv for purposes of " sanitary works," does not include the minerals unless they are expressly inchided in the purchase.' Any charge upon the estate, or right restrictive of the purchaser's enjoyment of it, the release of which cannot be procured by the vendor, should be stated ;^ and reference should also be made to rights of way or water;* but matters affecting the property and of which the pur- chaser has notice in the legal sense of the word, need not be mentioned ^ Section 3 — Conditions of Sali:. Gknkkalia. — The Conditions of vSale should be printed and circulated some time previously to the sale, or at any rate in the auction room, so as to give each intending purchaser an opportunity of ascertaining the terms on which the property is sold Many provincial I^aw Societies have printed common-form conditions which are used on every sale ; these are or may be modi- fied or extended bv the inclusion of such special condi- tions as the particular sale may necessitate or render desirable. If the conditions are merely written and produced and read over at the sale, but not circulated, ' See Lewis v. Branthwaite (1831) 2 B. & Ad. 437; Keyse v. Powell (1853) 2 E. & B. 132. ■^ Whittington v. Corder (1852) If) jiir 1034. •■' Uppcrton V. Nicholson (1871) 6 Ch. 436. ^ Rly. CI. Consol. Act, 1845, Sect. 77; Wat. CI. Act, 1847, Sect. 18; Pub. Health Act, 1875 (Support of Sewers) Amendment Act, 1883. ■'' See Torrance w Bolton (1872) 8 Ch. 118 ; Nottinglutni Brick Coy. V. Butler (1886) 16 Q.B.D. 778 ; Re Davis ami Cavey (1888) 40 Ch. D. 601 ; Seaman v. Vinnlrev (1810) 16 Ves. 390: Rawsilen v. Hurst (1858) 6 W.R. 349; Re White and Smith (1896) 1 Ch. 637 ; Re Haedicke and Lipski (1901) 2 Ch. 666. ^ See Heywood v. Mallalieu (1883) 25 Ch. D. 357. ' SeeBailevv. Barnes (1S94) 1 Ch. 25: White v. Cuddon (1842) 8 C. & F. 766: Hayford v. Criddle (1855) 22 Beav. 480; but see p. 30, ante. 218 VENDORS AND PURCHASERS, a purchaser is very liable to be misled or insufficiently informed on some material point, and the contract may then be liable to rescission.^ Biddings. — At sales by auction, it is usual to stipu- late that the amount of each biddino^ shall be such sum as is specified in the conditions or such sum as shall be given bv the auctioneer at the sale; that no bidding shall be retracted, notwithstanding- that such a stipulation may be unenforceable;^ that the highest bidder shall be the purchaser, subject to any rights reserved by the vendor;^ and that in case of any dispute as to biddings, the auctioneer shall put up the property again at the last undisputed bidding. Vendor's Reservations. — Section 5 of the Sale of Land by Auction Act, 1867, provides that the particulars or conditions of sale shall state whether the land will be sold without reserve or subject to a reserved price, or whether a right to bid is reserved ; and if it is stated that such land will be sold without reserve, or to thai effect, then it shall not be lawful for the seller to employ any person to bid at such sale, or for the auctioneer to take knowingly any bidding from any such person. Section 6 of the same Act provides that where the sale is declared either in the particulars or conditions of such sale to be subject to a right for the seller to bid, it shall be lawful for the seller or any one person on his behalf to bid at such auction as he mav think proper.* It is, therefore, usual to provide that the vendor reserves the right to bid as often as he mav please ; and if the sale is subject to a reserved price, the right of bidding generallv is reserved to the vendor as well. Payment of Deposit. — Under an open contract of sale, the purchase-monev is not payable until the time fixed for completion, i.e., the time when the vendor has shown a good title." The conditions of sale, however, usually stipulate that the purchaser shall immediately 1 See Torrance v. Bolton (1872) 8 Cli. lis. and see ante, p. 23. ^ See ante, pp. 35 and 36 : and seejovcs v. N'unncy (KS24) 13 Pr. 99 ; Freer y. Riiiniicr (184^) 14 Si. 39\. ■' See ante, pp. 23, 35 ; and intra , ne.xt paragraph. ' See ante, pp. 23, 24, ■ Binks V. RoL-ehv (1819) 2 Suanst. 222; Gray v. Sftrnion (1836) 1 M. & W. 695. Ri;.\L PROPKKTV : CONTRACT OF SALM. 219 after ihe sale pav a deposit of a certain amount (usually ten per cent, of tlii' piircliase price), and that it shall be paid either to the auctioneer or to the vendor's solicitor. The payment of the deposit serves as a guarantee for the due performance of the contract by the purchaser; on completion it is applied as part payment of the purchase- monev,' and the purchaser cannot elect to forfeit the deposit and avoid the a prt)per subject of cuiiipcnsaiiitii or inclt*ninit\, hccaiise ihe purchaser was liable to be deprived of the |)r()perty.' PoSSKSSION OR RlXKIl'T OK RkNTS AND I'roFITS. — It is usual to provide that upon completion of the pur- chase the purchaser shall be entitled to possession' of ihc land sold or receipt of the rents and profits accruini;- therefom as from tlie day fixed for completion, and shall be liable to all outerty is sold subject to the existing tenancies and the claims of tenants'* and to rights of way and water and other easements affecting it, to the rights (if anv) of adjoining owners, and to all (if any) chief rents and outgoings and incidents of tenure. Such a condition does not absolve the vendor from his dutv to disclose to the purchaser all matters affecting the pro- perty which are within his knowledge.' and such matter^ should, as far as pcjssible, be stated in the particulars. But such a condition protects the vendor if it subse- quenth' appears that there is some right subsisting in a third part\' of which he was ignorant at the date of the contract.' The condition, however, only applies to rights available against the vendor and not to the rights of one tenant as against another.* Notwithstanding that the condition provides that "anv error, mis-statement or omission shall not annul the sale, nor shall any compensation or abatement be allowed in respect thereof." the ventlor cannot enforce specific performance with or without abatement, if the mis-description is material and substantial,^ and in such ' Whiting to Loonies (1880) 14 Ch. D. 822 ; (1881) 17 Ch. D. 10 : Hx parte Birkbeck Freehold Laud Soc. (1883) 24 Ch. D. 119; Coleman \ Coleman (1898) 79 L.T. 66. ■^ Stamp Act, 1891, sect. 117. •' See Re Derby and Fergnsson'^ Contract (1912) 1 Ch. 479. * Heyu-ood \. Mallalieu (1883) 25 Ch. D. 357; Nottingham Brick Coy. V, Butler (1886) 16 g.H.D. 778 ; Donghertv v. Oates (1900) 45 So!. Jo. 119. ■^ Russell V. Harford (1866) 2 Eq. 507. « Daniel v. Anderson (1862) 8 Jur. N.S. 328; Delaf>arelle v. St Martins-in-the-Ficlds Vestry (1890) 34 Sol. Jo. 545. ■ Jacobs V. Revell (1900) 2 Ch. 858; Flight v. /ioo//i (1834) 1 Binp N.C. 370; Portman v. Hill (1826) 2 Russ. 570; Whittemore v Whittemore (1869) S Eq. 603; Re Arnold (1880) 14 Ch. D. 270; Cordinglev v. Cheeseborough (1862) 4 De F. & J. 379; Re Terry .'- U7i;7c (1886) 32 Ch. D. 14; Re Pnckett & Smith (1902) 2 Ch. 258; Shepherd v. Croft (1911) 1 Ch. 521. 240 VENDORS AND PURCHASERS. circumstances the purchaser is entitled to rescind the contract and recover his deposit/ On the other hand, the purchaser cannot enforce the contract against the vendor with compensation ; but he may take the propertv without compensation." Forfeiture of Deposit and Re-Sale.- — It is usual to insert a condition providing for forfeiture of the deposit and a re-sale of the property in case the purchaser does not comply with the conditions of sale/ and that any deficiency upon such re-sale, together with the costs thereof, shall be borne by the purchaser. Even without such a condition, the vendor is entitled to retain the deposit if the purchaser's conduct amounts to a repudia- tion of the contract,* for the deposit is not merelv a part payment of the purchase-money but also an earnest of the performance of the contract f or the vendor may re-sell and bring an action for damages, i.e.. the amount of the loss (if any) on re-sale, against the purchaser. "^ If upon the re-sale, under an express power on that behalf reserved by the conditions of sale, the estate produces more than the original purchase-money, the purchaser in default cannot call for an account of the surplus.^ A condition providing that the purchaser making default should pay a specified sum (exceeding the amount of the deposit) as liquidated damages* w^as held at law not to amount to a condition for forfeiture of the deposit f and the usual condition for forfeiture of the deposit is not a bar to an action for general damages if the purchaser " Nottingham Brick Coy. v. Butler (1886) 16 Q.B.D. 778 ; Hcywood v. Mallalieu (1883) 25 Ch. D. 375. - Cordinglcy v. Cliccscborough (1862) 4 De G. F. & J. 379; Re Terry & White s Contract (1886) 32 Ch. D. 14. ^ See Gee v. Pearse (1848) 2 De G. & S. 325. * Howe V, Smith (1884) 27 Ch. D. 89 ; Levy v. Stogdon (1898) 1 Ch. 478 ; (1899) 1 Ch. 5 ; Cornwall v. Henson (1900) 2 Ch. 298. '• Howe V. Smith, supra; Collins v. Stimson (1883) 11 Q.B.D. 143; Soper V. Arnold (1889) 14 A.C. 435. •^ Noble V. Edwardes (1877) 5 Ch. D. 378. ^ Ex parte Hunter (1801) 6 Ves. 97. " /.c, a sum proportioned to the damage resultin.s; from the purchaser's breach of contract and not in the nature of a penalty. ^ Palmer v. Temple (1839) 9 A. & E. 508; Houc v. Smith, supra, 100. RKAI, I'ROPKRIA : CONTRACT OF SALE. 1^41 refuses to complete;' but after a re-sale at a loss the vendor cannot sue for the original purchase-money.^ Where the vendor re-sells and the deposit has been for- feited, the deposit is taken into account in assessing (he damages on a claim for deficiency on the re-sale.' Where the vendor does not succeed in effecting a re-sale, he is entitled to retain the deposit and to the costs of the abortive sale.* SkCTIOX 4 SlMXTAr. Conoition's. FiXTURKS. — In the absence of express stipulations, common fixtures, "* including such as are not strictly fix- tures, will be held to be included in a contract for sale, and Avill pass by the conve\ance, unless a contrar\- inten- tion can be inferred.' It is usual to insert a condition as to fixtures if the purchaser is to pay for any; and the price is either staled in the particulars or the condition provides that the price shall be as determined by valua- tion in a specified manner. It is sometimes further stipulated that failing such valuation, the fixtures shall be taken at a fair valuation or price. This last provision enables the court to direct a reference to ascertain the price." Tlmber. — If it is intended that the purchaser shall pay separately for timber, express provision should be made, as in the absence of express stipulations, such timber is included with the land.* Where a particular statement was appended to the descriptions of lots C and D that the timber on them should iDe paid for, it was held that the effect of the general condition was destroyed as to lots A and B.* " Timber " includes oak, elm and ash, 1 Icely V. Green (1836) 6 N. & M. 467. - Lamomi v. Duvall (1847) 9 Q.B. 1030. •'' Ockemhii V. Henley (1858) 1 E. 1^. & E. 485. • Essex V. Daniell (1875) 10 C. P. 538. • See ex parte Quincy (1750) 1 Atk. 477. 6 Conv. Act. 1881, sect. 6; Colegrave v. Dias Santos (1823) 2 B. & C. 76; Hitchman v. Walton (1838) 4 M. & VV. 409 • See Wilks v. Davis (1817) 3 Mer. 507; Morgan v. Milnian (1S53) 3 De G. M. & G. 24. " Higginson v. Cloves (1808) 15 Ves. 516. 9 Ibid. 16 242 VKNDORS AND IH'RCHASERS. everywhere; and, b}^ local custom, beech/ and various other trees such as cherry, chestnut and walnut ;' but no wood, however, is timber until of twenty years' growth.'' Pollards may be timber by local custcjm. The expression " timber and timber-like trees " includes not only ordinary timber and such trees as bv local custom are considered timber, but even " thinnings " and also, it would seem, sound pollards/ Covenants for Title. — Where the vendor is selling under a trust for or power of sale, e.g., as trustee or mort- gagee or executor or administrator as the case may be, it is usual to insert a condition stating the character in which he sells and providing that the purchaser shall not require the concurrence of the persons beneficially interested in the property sold or the purchase-money, and shall not be entitled to any covenant for title other than the statutory covenant by the vendor that he has not encumbered. Such a condition does not absolve the vendor from showing that he has power to sell in the character stated, and it only expresses the rights of the parties apart from the condition, since a vendor-trustee need covenant against his own acts only, provided notice of the fact that he is selling as trustee is given. "" If the vendor is in fact a trustee, but notice of the trust has been kept off the title, he should not disclose his character but should stipulate that no covenant for title should be given except an express covenant that he has not encumbered. Section 5 — Sale bv Auction in Lots. Where land is sold by auction in lots, conditions of sale similar to those discussed above are invariably made, but they are expressed to bind the purchaser of anv lot. It is usual to stipulate thdt any documents forming part ^ Aubrey v. Fisher (1809) 10 East 446 ; Dashxcooci v. Maiiuiac (1891) 3 Ch. 306. - Chaiulos V. Talbot (1731) 2 P.W. 606. ■'' Foster v. Leonard (1582) Cro. Eliz. 1 : and see Honeywood w Honeywood (1874) 18 Eq. 306; Dashwood v. Ma^niac, supra. * Gordon V. Woodford (1859) 27 Beav. 603 ; Chandos v. Talbot, supra. 'See Worlcy v. Frampton (1846) 5 Hare 560; Onslow v. Londcsborough (1852) 10 Hare 67 ; and see Re Saicyer S- Barins^'s Contract (1884) 51 L.T. 356. REAL PROPERTY ; CONTRACT OF SALE. t34-3 of the title to several lots shall be retained bv the vendor until all those lots have been sold, whether at the auction contemplated or at some future sale, and shall then be delivered to the nurchaser who shall then have boui^ht the largest part in value of these lots.' Under the ("on- \eyancing" Act, 1881, and in the absence of a contrarv intention expressed in the contract," a purchaser at the same auction of several lots held under the same title is not entitled to more than one abstract of title, except at his own expense.' If the land sold is subject to an entire rent-charge, and the owner of the rent is imable or tinwilling to concur in an apportionment thereof under the provisions of the Inclosure Acts,' or to release the land under the Law of Property Amendment Act, 18o9, or the owner of the land is unable to redeem the rent- charge under the Conveyancing Act, 1881/ it is usual to stipulate that each purchaser shall pay a specified por- tion of the rent-charge, and the amount apportioned to each lot should, in such a case, be stated in the particu- lars. If any part of the land comprised in two or more lots is held on lease at an entire rent, or if all or any part of the property comprised in one lot is let together with other property at an entire rent, the consent of the tenant to an apportionment of the rent should, if possible, be obtained before ihe sale. If such consent cannot be OF AND INVESTIGATION OF TITLt. 257 proof of his intestacy, but search should be made to see that no will has been proved.' L.\ND Tax. — Redemption of land tax is proved bv the certificate of the Commissioners, with endorsed receipt, or an official extract from the register." Le.\ses. — The lease under which the prop>erty is held is proved by production of the original.* Leases to which the property is subject, are sufficiently proved by production of the counterpart.* Legacies. — The discharge of a legacy is proved bv a release or receipt signed by the legatee. Llnacv. — Orders in lunacy are proved by office copies.* Makrl\ge. — Marriage is proved by a ceniticate of marriage under the seal of the General Register Office.* or by a cenified extract from the parish register." Evi- dence of identity- of the panies is not usually required. Orders an"d Proceedings of Court. — Orders and proceedings of Coun are proved by the originals or office copies.* Sale by approbation of the judge is proved by an office copy of the certificate of the result of the sale.' Portions. — Discharge of f)ortions is proved by a re- lease, accompanied by evidenre rhrit rh^^ releasor^ if^ the portionists and are of age. "^ --ESSORY Title. — Where me iiue dejjends on the •n of the Statute of Limitations," e\-idence of the circumstances under which the jx>ssession commenced is essential : and as the 12 years' bar only applies against a person entitled in pK)S5ession. and also sui juris when time began to run, evidence on this point is necessar\- ■ E'art. V. & P.. 7th ed. 375. ' E>arT. V. & P.. 7ih ed. 393. See FrmJ v Buckl^F '1S70» 5 Q.B. 213. • See MagdaUn Hasp. v. Knotts (1879» 4 App. Cas. 324 ' Lunacy Re^nlatioa Act. 1S53. sect 100 : Lanacv Act. 1890. sect. 144. « 6 i 7 WnL W . c. 86. sect 38. ' Dart. V. 4 P., 7th ed. iS6 • 5ee Dart. V. ft P. 7th ed. 354. Sag. 116 - See anti. p 247. 17 258 VENDORS AND PIRCHASERS. as well as evidence of no acknowledgment having- been given to the person barred/ Recited Facts. — Recited facts and matters in deeds, instruments, Acts of Parliament, or statutory declara- tions 20 vears old at the date of the contract, are suf- ficiently evidenced by the recital.^ Registration. — Registration of a document of title in Middlesex or Yorkshire is proved by the endorsed cer- tificate of registration.^ Rent. — Payment of rent is proved by production of the last receipt.* Evidence that the person giving the receipt is entitled to the reversion cannot in general be required.* Seisin. — Seisin may be proved by showing acts of ownership done with respect to the land, such as the grant of a lease under which possession has been taken bv the lessee and rent paid,* but mere possession, al- though sufficient to give prima facie title in an action of ejectment, raises no presumption of seisin as between vendor and purchaser. '^ Succession Duty. — Payment of succession duty is proved bv the receipt of the Inland Revenue Office or certificate of payment.* Wills. — Wills are verified by production of the pro- bate or official copy ;^ but, if neither be in the vendor's possession, the register at Somerset House may be 1 See Dart. V. & P., 7th ed. 471 ; Re Alison (1879) 11 Ch. D. 295 : Young V. Harris, 65 L.T. 45. 2 V. & P. Act, 1874, sect. 2 ; and see (jnfc p. 246. •' Sug. 415 ; York Reg. Act, 1884, sect. 9 ; Land Reg. (Middlesex Deeds) Act, 1891, sched. r. 7. ■• Conveyancing Act, 1881, sect. 3. * See Pcgler v. White (1864) 33 Beav. 403. ^ Welcome V. Upton (1840) 6 M. & W. 536; Clarkson v. Woodhouse (1782) 5 T.R. 412; cf. Foljambe v. Smith's Tadcnstcr Brezcerv Coy. (1904) 73 L.J. Ch. 722. ' Graham v. Pen/old (1838) 8 C. & P. 536 ; Hiern v. Mill (1806) 13 Ves. 114 ; and see ante, p. 247. " Succession Duty Act, 1853, sect. 52; Finance .\ct. 1894, sect. 13; Howe V. Lichfield (1867) 2 Ch. 155; Re Kidd and Gibbon's Contract (1893) 1 Ch. 695. 3 Dart, V. & P. 7th ed. 358. PROOF AND INVESTIGATION Ol- TITLE. 259 inspected. An unproved will of a person dying before 1898, if relating only to freeholds or copyholds, seems to be sufficiently verified by production of the original copy attested, together with letters of administrntion to the testator's estate, but search should be made to see that no other will has been proved. In case of death since the 1st January. 1898, production of the probnte should be required.' SlX'TION 4. I\Vi:STIG.\TIC)N OF AND RkQUISITIONS ON Title. Generally. — The extent of the investigations which may be made of the vendor's title by a purchaser de- pends, in most cases, upon the stipulations contained in the contract for sale. The nature of the title which a purchaser may require, and the evidence upon which he may insist, have already been discussed.^ When the aljstract of title has been provided, and the evidence wiiich the purchaser may require has been produced, the investigation of the title comprises : (a) a comparison of the abstract with the title deeds and other evidence of title; (6) information sought for and obtained from the vendor b}- the delivery of requisitions and observations on title; and (c) information sought for and obtained from various public registers and records by means of searches.^ EXAMIN.ATION OF DOCUMENTS OF TiTLE. — The moSt scrupulous care is recjuired in the examination and com- parison of the abstract with the documents of title. It is necessarv to ascertain that what has been abstracted is correctly and sufficiently abstracted; that what is omitted is clearh- immaterial to the title; that the docu- ments are perfect as regards execution, attestation, en- dorsed receipts, registration, acknowledgment, enrol- ment, stamps, etc. ; that there are not any endorsed notices or other circumstances attending the mode of execution, attestation, etc.. calculated to excite sus- picion.* If an important point is overlooked, the ' See I^nd Transfer Act. 1897. sect. 1. - See initc. pp. 244-247. ^ See f>ost. pp. 262-266. * See Kennedy v. Green (1834) 3 My. & K. 699 : Greensladc v. Dure (1855) 20 Beav. 284 ; but see Conveyancing Act, 1881, sect. 54. 2GU VENDORS AND PURCHASERS. purchaser, after the conveyance is executed and the pur- chase-money is paid, will have no remedy against the vendor unless is falls within the covenants for title.' Requisitions and Inquiries. — Subject to the pro- visions of the contract for sale, a purchaser is entitled to deliver to the vendor written requisitions and objec- tions with reference to the title or defects therein which may appear upon the abstract and be disclosed bv an examination of the documents of title, and the vendor is bound to comply therewith. Such requisitions and objections are usually to the effect that the abstracted documents do- not show the title which the purchaser is entitled to, in which case a further abstract ma}' be re- quired ;" that particular documents have not the effect re- quired in order to make out the vendor's title; that there are incumbrances on the property remaining unsatisfied; that the identity of the property is in doubt ; that the documents do not comply with necessary formalities, such as stamping, execution, or other matters; and that additional evidence to that already provided is required as to matters of pedigree, payments, or otherwise. In addition to these objections to title, the purchaser generally addresses inquiries to the vendor which are intended to protect himself from the possible omission by the vendor to disclose matters affecting the title, such as improvement or other charges f to obtain additional information as to the property, e.g., as to insurance, easements, tenant rights, party walls, the making up of roads, notices served by local authorities, outgo- ings, and to arrange for completion. Objections clearlv frivolous, made and persisted in, will indispose, even if they do not prevent,* the Court from enforcing a contract at the suit of the purchaser. It is sometimes desirable to make requisitions w^hich, strictly are not entitled to be made, for points which cannot be insisted upon, but which are of importance, ' See M'Culloch v. Gregory (1855) 1 K. & J. 286. '■^ See Morlcy v. Cook (1842) 2 Hare 106. Ill ; Blackburn v. Smith (1848) 2 Exch. 783 ; Want v. Sfallibrass (1873) 8 Exch. 175 ; Gray v. Foivler (1873) 8 Exch. 249 ; Steer v. Crowley (1863) 14 C.B. N.S. 33'7. * Re Ford and Hill (1879) 10 Ch. D. 365; Taylor v. London. &c.. Bankin!< Coy. (1901) 2 Ch. 231. * Sug. 352. PROOF AND INVESTIGATION OF TITLE. '^Gl may, if urged, be conceded. Hut where the condition ennbUng the vendor to rescind does not expressly pro- vide that notice shall be given to the purchaser of in- tended rescission if the requisition is persisted in. it is necess<'U'y to exercise great i-aution in framing recjuisi- lions.' On the otluT hand, if a purchaser knowingly holds back important objei-lions or recjuisitions. the ques- tion ma\- arise whether he has not imi)liedly waived them.'' Waiver of Objections to Title. — Where a pur- chaser, having taken several objections, expresses him- self w illing to accept the title upon a specified objection being removed, this waiver of the other objections is merelv conditional upon the removal of the specified objection.'' Acceptance of the title, as abstracted, is no waiver of the purchaser's right to have the abstract veri- fied,' nor will the Court imply a waiv^er of any objection not clearly raised by the contents of the abstract f nor does a purchaser, by waiving his right to an abstract, necessarih- waive objections to the title otherw ise known to him ;" nor does acceptance of the title bind the pur- chaser, where the vendor conceals some material fact.' Waiver, however, need not be expressed ; it may be im- plied from words or conduct, as where the purchaser fails to send in re(|uisitions or objections within the time fixed bv the contract for that purpose ;" or where, though not satisfied with the vendor's replies, he nevertheless does not insist upon satisfactorv answers;^ or where he ' See Re Dailies and Wood (1888) 29 Ch. D. 626; Re Glcnton to Hadcn (1886) 53 L T 434 ; Re Starr-Rou^kett and Sibiin (1889) 42 Ch. D. 375. - See Ma}iennis v. Fallon (1828) Sug. 347 ; Stanton v. Tattersall (1853) 1 S. & G. 529; Alexander v. Crosby (1844) 1 J. & L. 666; and see next paragrapli. " Lesturi^eon v. Martin (1834) 3 My. & K. 255. * Sotithhy V. Hiitt (1837) 2 M. & C. 217. •'■ Blacklow V. Laws (1842) 2 Hare 47 ; Hentlev v Craven (1853) 17 Beav. 204. « Sidebofhain v. Barrinf^ton (1839) 3 Jur. 947. ■ Boiisfield V. Hodges (1863) 33 I^eav. 90; Re Haedicke and I.ipski (1901) 2 Ch. 666. " See ante, p. 223. '•' BiirroiiLilis v. Oakley (1819) 3 Swan. 159. 262 VENDORS AND PURCHASERS, enters into possession, or pays the whole or part of the purchase-money, or does other acts which a purchaser is not bound to do or entitled to do until a good title has been made.^ But where the purchaser enters into pos- session under an express term of the contract enabling him to do so before completion,' or where the vendor consents to his doing so without prejudice to his right to require a good title, or where the purchaser was already in possession at the time of the sale, no waiver of objec- tions to title is implied, unless the purchaser retains the abstract for a long time without raising objections to the tide.' Section 5 — Searches and Inquiries. Necessity for Searches. — Immediately, or as near as possible before completion, searches should be made in registers or other public records for such incumbrances affecting the title as are required by law to be registered. Unless the purchaser expressly authorises his solicitor not to search, the latter is liable for any loss occasioned by his omission to make such searches as are proper in the circumstances of the case.* In practice, searches are confined to the period since the last preceding sale or legal mortgage in fee.^ Usual Searches. — The searches usually made are for (a) writs and orders affecting the land; (b) Us pendens: (c) annuities; (d) bankruptcies; (e) deeds of arrange- ment ; (/) land charges ; (g) registration under the Land Transfer Acts, 1875 and 1897 : (h) registration under the Middlesex and Yorkshire registries; (/) entries on Court rolls affecting copyhold lands; (/) disentailing assur- ances ; and {k) acknowledgments of deed by married women. Writs and Orders. — Under the Land Charges Registration and Searches Act, 1888, Sections 5 and 6, as ' Fludyer v. Cocker (1805) 12 Ves. 25 ; Binks v. Rokehy (1S18) 2 Swan. 222; Knatchbull v. Gnieber (1815) 1 Madd. 153. 2 Bolton V. London School Board (1878) 7 Ch. D. 766. •^ Stevens v. Guppy (1828) 3 Russ. 171 ; Vancouver \ . Bliss (1805) 11 Ves. 458. * Sug. 547 ; Williams. V. &. P. 533 ; Cooper v. Stephenson (1852) 21- L.J. Q.B. 292. ■" See Dart. V. & P. 1218. PROOF AND INVESTIGATION OF TITLK. 263 amended b\- ihe Land Cliarijcs Ait, 1!M)(). S •ction -'5, eviTx w lit or order atfertinj^ land issued or niaoe hv anv C'ourt for the purpose of enforcinevel, a .search .should be made in the registries established for the.se areas. ^ CoLRT Rolls. — On a sale of copyhold or customary freehold land, search should be made in the Court rolls of the manor of which the land forms part in order to ascertain that all incumbrances and matters affecting the land are disclo.sed by the abstract.' Disentailing Assurances. — Where a title depends upon the fact of an estate tail not having been barred, search should be made in the Enrolment Department of the Central Office for disentailing assurances." AcKXOWLKDc.MKXTs OF Marrii:i) W'omi-.n. — \\'here it is suspected that a married woman entitled to the land sold before 1883 has made a conveyance of it which is not disclosed by the abstract, a search may be made at 1 See Improvement of Land .Act. ISM: Limited Owners' Residences Act, 1870; Limited Owners' Residences .\ct, 1870. .\mendment Act. 1871 ; Limited Owners' Reservoirs and Water Supply I'urtlier I'acilities .\ct. 1877; Settled Land Act. 1882. sect. 30. ^ R. V. Vice-Rc^istnir of Office of l.] . r. 9. 266 VENDORS AND PURCHASERS. the Central Office for a certificate of acknowledgment of the deed of conveyance. Official Searches. — Official searches may be requisi- tioned to be made at the office of the Land Registry for writs and orders affecting land, lis pendens, life annui- ties, deeds of arrangement, and land charges; and in the Central Office for disentailing assurances, and certifi- cates of acknowledgments of deeds by married women. The official result of the search is, according to its tenor, conclusive, affirmatively or negatively as the case may be, in favour of a purchaser as against persons interested under or in respect of the matters or documents regis- tered, and also protects solicitors and trustees, executors and other persons in a fiduciary position, whether acting through solicitors or not, against any loss that may arise from any error in the certificate. Official searches can also be obtained in the Middlesex and Yorkshire Regis- tries, but while the official certificate protects solicitors, trustees and others in a fiduciarv position, it is not con- clusive in favour of purchasers. An official search in bankruptcy cannot be obtained. Inquiries as to Tenancy. — Where the land sold is in the occupation of a tenant, the purchaser should make inquiries of the tenant, as to the terms of his tenancy,' and as to the person to whom he pays his rent.' Section 6 — Registration of Title. Registration. — Under the Land Transfer Act, 1875. a system of voluntary registration of title was set up throughout England. The Land Transfer Act, 1897, provided"' that Orders in Council might, subject lo cer- tain conditions, be made declaring that registration of title should, on and after a day specified in the Order, be compulsory on sale in any county or part of a county mentioned in the Order. Compulsory Registration. — Registration is now compulsory in the County of London on sale, both with ' Fines and Recoveries Act, 1833, sect. 84 ; Conveyancing Act. 1882. sect. 7 (7). •■' See Hiiitf V. Lucb (1901) 1 Ch. 45; (1902) 1 Cli. 428; Re Derby and Fergussotis Contnict (1912) 1 Ch. 479; George v. Thomas (1904) 52 W.R. 416. ■'■ Section 20. I'KOOI' AND I.W I.M K, AlK ).\ ()!• I II 1.1 . 'J(), regard to freeholds and to leaseliolds having foriy years to run or two lives to fall in, and to giants of leases and underleases for similar periods. In other parts of the country registration is still voluntary, but may be made compulsory by Order in Council in any county or pari of a county, the county council of which passes, at :i meeting at which iwothirds of the whole number of members are present, a resolution declaring its desire thai registration should be made compulsory in the county or part of the count}'. Certain kinds of property, how- e\(M", are t-xemj^ted from compulsory registration, I'/r;., — (a) Incorporeal hereditaments;' (6) mines or minerals apart from the surface; (c) leases having less than forty years to run or two lives to fall in ; {d) undi\'ided shares in land; (e) freeholds intermixed witli, and indistinguish- able from. Lands of other tenure; (/) corporeal heredita- ments parcel of a manor and included in the sale of a manor as such ; (g) leaseholds created for mortgage purposes; and (h) leaseholds containing an absolute pro- hibition against alienation.^ |{i'Fi:cT OF O.MissioN TO R KGISTKR. — If, in a district where registration is compulsory, the owner neglects to register, the .Act provides that on a conveyance on sale the purchaser shall not acquire the legal estate in free- holds." Similarly, in the case of leaseholds, the legal estate will not pass to the purchaser, and the assignment or lease will operate onl\- as an agreement for lease or sale, except in cases where, since January Isi, 1904, the assignment or lease is made to trustees under the Settled Land Acts, and the tenant for life is registered wiihin one month. A'oLUN'TAin Ri;(;isTKATi()N\ — \'oluntary registration mav be made in the case ot (u) freehold land; (b) lease- holds for a life or lives, or determinable on a life or lives, or for a term of years of which more than twenty-one are unexpired, except leaseholds created for mortgage pur- poses, and leaseholds containing an absolute prohibition against alienation. Where, in this last case, tlie pro- hibition is not absolute, but only against alienation ' I.e., reversions, remainders, annuities, &c. - L.T.A.. 1875. sect. 11 : L.T..\ , 1S97. sect. 24. ■' L.T.A.. 1S97. sect. 20. 268 VENDORS AXD PURCHASERS, without licence, the lease may be registered, but the registry must contain an entr}^ of the limited prohibition I'ndivided shares may be registered, but are exempted from compulsory registration. Freehold Land. — Application for registration of free- holds may be made by {a) any person who has contracted to buy for his own benefit an estate in fee simple in land, whether subject to incumbrances or not, provided the vendor consents to the application ; (6) any person en- titled for his own benefit at law or in equity to an estate in fee simple in land, whether subjecf or not to incum- brances; (c) an}- person capable of disposing for his own benefit by way of sale of an estate in fee simple in land, whether subject or not to incumbrances;^ (d) a tenant for life of settled land, who may register in his own name, or, where there are trustees with powers of sale, in the names of those trustees, or, where there is an over-riding power of appointment of the fee simple, in the names of the persons in whom that power is vested.' Titles which may be Registered. — The owner may register (a) an absolute title; or {h) a possessory title; or (c) a qualified title. An absolute title will vest in the owner an estate in fee simple in the land, subject (1) to any incumbrances entered on the register ; (2) to incidents of tenure, easements, and other liabilities which are not treated as incumbrances on the register, unless the con- trary is expressed ; (3) where the registered proprietor is a trustee, or other person not entitled for his own benelit, to any unregistered estates, rights, or equities enforceable against him ; but free from all other estates and interests, including rights of the Crown .^ Registration of a possessory title is no evidence of title, and does not affect or prejudice the enforcement of any estate, right, or in- terest adverse to, or in derogation of, the title of the person registering, and subsisting or capable of arising at the time of registration.' A qualified title arises where an absolute title is required, but it appears that a title can only be established for a limited period, or ' T..T.A., 1875, sect. 5. ■'' L.T.A., 1897, sect. 6. ■' L.T.A.. 1875, sect. 7. ■* Ibid , sect. 8. I'RooF AND i.w i:sii(; \i ION ()!• TiTi.i:. :j(il* subject to certain reservations. The rej^ister will then except any estate, right or interest arising before ,i certain date or covered by any reservation, and the per- son registering will then have an absolute title, except that the registration will not affect or prejudice anv ex- cepted estate, right or interest.' 1:>easl:holij Land. — A separate register is kept i)f leasehold land, and application for registration may be made by any person who has contracted to bii\' for his o\\ n benefit any leasehold land of the periods stated, and subject to the exceptions stated," whether subject or not to incumbrances, provided that the vendor consents to the application; and any person entitled for his own benefit, at law or in equity, to such leasehold land, whether subject or not to incumbrances ; and any per- son capable of disposing for his own benefit by way of sale of such leasehold land, whether subject or not to incumbrances. Further, if the person registering holds under a lease which is derived immediately from free- hold land and is able to submit for examination the title of the lessor, a declaration of the title of the lessor to grant the lease may be added to the registration." The owner may register (a) an absolute title which will vest in him the whole leasehold estate in the land, subject to the three limitations mentioned in the case of freeholds,* and all express and implied covenants, ob- ligations, and liabilities incident to such leasehold estate ; except that where there is no declaration added as to the title to the lessor to grant the lease, the registraion shall not affect or prejudice the enforcement of any estate, right, or interest affecting the title of the lessor to grant the lease ; (b) a qualified title, w'here it appears that the lessors only had a qualified title to grant the lea.se; (r) a possessory title.* The Certificate. — On registration the owner mav re- quire a land certificate prepared under the T.and Registrv seal showing the title, or, in the case of lea.seholds, an 1 L.T.A., 1875. sect. 9. ■^ See ante p. 267. ■' L.T.A.. 1875. sect. 11. ^ See ante p. 208. ■' L.T.A.. 1875. sects. 11, 15 270 VKNDORS AND PIRCHASKRS. office cop3^ of the registered lease. This certificate is prima facie evidence that the title is as mentioned in the certificate. It may be delivered to the owner of the land or kept in the registry-. ^ Thi-: Register. — The Register consists of three parts — (a) the Property Register, which contains a description of the land; (b) the Proprietorship Register, which states the nature of the title and the name of the regis- tered proprietor, and sets out all cautions, inhibitions, and restrictions ; (c) the Charges Register, which dis- closes all incumbrances. Any mistake in the register which cannot be rectified and which causes loss to any person will entitle him to be indemnified for his loss, provided the mistake was not caused by his own fault.* Evidence of Title. — A purchaser of registered land is not entitled to any evidence of title other than (a) in- spection of the register, or of a certified copy of it; (5) a statutory declaration as to the existence of an}' lia- bilities, rights and interests declared by the Acts not to be incumbrances; (c) in the case of an absolute or quali- fied title, evidence of title to incumbrances entered on the register as subsisting at the first registration of title, or evidence of the discharge of such incumbrances; (d) in the case of a qualified title, evidence as to any estate, right or interest excepted from the registration; (e) in the case of a possessory title, the same evidence of the title subsisting, or capable of arising, at the first registration of title, as the purchaser would be entitled to if the land had not been registered.^ Transfers. — Registered land is transferred in certain prescribed forms, and the purchaser's name is entered on the register as the owner.* The effect of the transfer, provided the transfer itself be registered, is as follows. (1) Transfers of Freeholds. — (a) Where the title is absolute, a transfer for valuable consideration passes the fee simple, subject to any incumbrances on the register, and any liabilities and rights which are declared by the Act of i89T not to be incumbrances, (b) Where the title • Sects. 10, 16, 80. - L.T.A., 1897, sects. 7, 21. •^ Sect. 16. * L.T.A., 1875, sects. 29-39. rUOOF AND INVESTlCiATlON OF TITLE. . 271 is qualifieci. a transfer for valuable consideration has a similar effect, save as to any estate, right or interest excepted on the register ; (c) where the title is possessor)', a transfer for valuable consideration has a similar effect, except that it shall not affect any estate, right, or interest adverse to, or in derogation of, the title of the first registered proprietor which was subsisting, or capable of arising, at the date of his registration. (2) Transfers of Leaseholds, — (a) When the title is absolute, a transfer for valuable consideration passes the whole interest of the owner, subject to the limitations mentioned above in the case of freeholds: and all ex- press covenants, obligations, and liabilities incident to such leasehold estate. (6) In the case of a qualified title, a transfer for valuation consideration has a similar effect, (c) In the case of a possessory title, a transfer for valuable consideration has the same effect as in the case of freeholds. In the case of a voluntary transfer, "the transferee is also bound by any unregistered estate, rights, interests, or equities to which the transferor was subject.' Where the registered property changes hands on death or bankruptcy the proper person may be entered on the register as proprietor.^ Charges and Mortgages. — The registered property, too, may be charged or mortgaged in certain prescribed forms, the chargee being given a certificate of charge.^ The charge or mortgage should be registered, and where this is done the owner inipliediv covenants : (a) to pav the principal sum and interest; (b) in the case of lease- holds, to pay rent and observe the covenants of the lease.* The chargee or mortgagee may enter on the lands or into receipt of the rents and profits, or he mav sell or foreclose.^ Equitable mortgages may be created by deposit of the land certificate, or oiifice copy of a regis- tered lease, or the certificate of charge.* Registered ' L.T.A., 1875, sects. 33, 38. 2 L.T.A.. 1875, sects 41-43. •'' L.T.A., 1875, sect. 22. * L.T.A., 1875. sects. 23, 24. •'' L.T.A., 1875, sects. 25. 26. fi L.T.A.. 1897. sect. 8 (4). 272 VENDORS AND PURCHASERS. charges rank according to the order in which they appear on the register, unless the contrary is stated/ and may be transferred by registered transfers." Cautions. — Any person interested may lodge a '* caution," which entitles him to fourteen days' notice of any proposed dealing with the land by the registered proprietor, who may also be prevented from dealing with the land by an " inhibition."^ Adverse Possession. — Where land is registered, a title to the land adverse to or in derogation of the title of the registered proprietor cannot be acquired by any length of possession, and the registered proprietor may at anv time make an entry or bring an action to recover possession of the land ; provided that — (a) where a per- son would, but for this provision, have acquired a title by possession, he may apply to the Court for an order for rectification of the register; and (&) where any person who was in possession of the land at the date of its registration had acquired an adverse claim in respect of length of possession, his claim is good as against any person registered as first proprietor with a posses- sory title only.* • L.T.A., 1875. sect. 28. ■^ L.T.A., 1897, sect. 9. •' L.T.A., 1875, sects. 53-57. * L.T.A., 1897, sect. 12. CHAPTER III, EFFECTS OF THE CONTRACT. Section 1 — Rights and Oblkjations of Partiks in RESPIXT OF THF PrOPKRTV SoLD. OwNKRSHip. — Subject to the contract beinj;" enforce- able in equity, the beneficial ownership in the property sold passes to the purchaser as from the time of enter- ino^ into the contract.' He may then dispose of the land bv sale, mortj^^age, or otherwise, or devise it by will.* The legal estate in the land does not, however, pass under the contract, this remains in the vendor until con- veyance. Subject to payment of the purchase-money, therefore, until conveyance, the vendor holds the pro- perty in trust for the purchaser — subject to the qualifi- cation that during this period he has a personal and substantial interest in the property, a right to protect and an active right to assert that interest, if anything is done in derogation of it.' When the title has been accepted and the purchase-money paid, and as long as he remains in possession, this paramount right of the vendor ceases, and the trusteeship exists without quali- fication,' and the purchaser is personally liable to indemnify the vendor as trustee from the liabilities of the trust property.^ If the contract is rescinded, or specific performance has been refused to one of th^ parties, the vendor is then free from any liability arising out of the relationship of trustee and cestui que trust. ^ 1 Wall V. Bright (1820) 1 Jac. & W. 494 ; Rose v. Watson (1864) 10 H.L. Cas. 672; Plews v. Samuel (1904) 1 Ch. 464. ■^ Paine V. Meller (1801) G Ves. 349; Shaw v. Foster (1872) 5 H.L, 321. •^ Shaw V. Foster, supra : and see Re Carpenter (1854) Kay, 418 ; Re Colling (1886) 32 Ch. D. 333. * See Rayner v. Preston (1881) 18 Ch. D. 13 ; Ridoiit v. Fowler (1904) 1 Ch. 658 ; (1904) 2 Ch. 93. ■'• Dodson V. Downey (1901) 2 Ch. 620. * Plews V. Samuel, supra ; Ridoiit \\ Fowler, supra. 18 274 VENDORS AND PURCHASERS. Possession, — Subject to any stipulation to the con- trary, the vendor is entitled to remain in possession of the property sold until the sale is actually completed by payment of the purchase-money.' Where the contract provides, as upon a sale by auction under the usual conditions," that the balance of the purchase-monev shall be paid on a particular day, and also that possession shall be taken by the purchaser on that day, it is held that such possession is intended as mav safely be taken on the one hand and given on the other, and time is not, as a rule, of the essence of the contract; and as the pur- chaser is not bound to take possession until he can safely do so, that is, until the vendor has shown a good title, so the vendor cannot be compelled to deliver up possession without receiving payment of the whole price. ^ If, however, the contract provides, in such man- ner that time is either expressly or impliedh' of the essence of the contract, that possession shall be given to the purchaser on a certain day, the purchaser is entitled to take possession on that day without paying the pur- chase-money.* Maintenance of Property. — Since the purchaser is, in equity, the owner of the property as from the time of the contract, and the vendor, as long as he remains in possession, is a trustee for the purchaser, the ven- dor is bound during that period to take reasonable care to preserve the property in the same condition in which it was at the date of the contract for sale ;^ he must take the same care as a prudent owner would take of his own property."^ Thus, he must cultivate the lands in a husbandlike manner,' keep the property 1 Lysaght v. Edwards (1876) 2 Ch. D. 499. '•^ See ante, pp. 229, 235. ■■* Tilleyv. Thomas (1867)3 Ch. 61 ; Phillips v. Silvester (1872) 8 Ch. 172. * Gedye v. Montrose (1858) 26 Beav. 45 ; and see ante., p. 235. » Phillips V. Silvester (1872) 8 Ch. 173 ; Egmont v. Smith (1877) 6 Ch. D. 469 ; Royal Bristol, &c., Bldg. Soe. v. Bomash (1887) 35 Ch. D. 390; Clarke v. Ramiiz (1891) 2 Q.B. 456. « Wilson V. Clapham (1819) 1 J. & W. 36; Sherivin v. Shakspear (1854) 5 De G. M. & G. 517. '' Foster v. Deacon (1818) 3 Madd. 394. EFFECTS OF THK a^XTRACT. 275 in a reasonable state of repair,' and take proper precautions against injury to the lands by tres- passers;" and if he fails in any of these duties, the purchaser will be entitled to an allowance by way of compensation to be deducted from the purchase-monev,'' or in case of his completino- the purchase in ignorance of the vendor's breach of duly he may sue the vendor for damages for the loss sustained thereby.' As a rule, the vendor is bound to exeCute at his own expense such repairs as are necessary in order to preserve the property from deterioration until completion of the contract,* because until then he is entitled to the correlative benefit accruing from the rents and profits.' The vendor is n(n bound, however, to improve the property, and if he expends money on improvements he will have no right to recover any sums so expended from the pur- chaser, unless the purchaser has authorised such expen- diture." From the time when the purchaser might reasonably have taken possession, he will not be entitled to any allowance or compensation tor anv deterioration which the property may have suffered since that time."* Where the property is leasehold, the vendor must per- form all the covenants of the lease up to the time when the purchaser should take possession.' IxcinENCi; OF Risk. — Since the equitable estate in the property sold is in the purchaser as from the time of the contract, it follows that the purchaser bears all losses and takes the advantage of all additions or improve- ments which happen or are made to the property after ' Binks V. Rofcehv (1818) 2 Swanst. 222 ; Lord v. Sfcpliens (1835) 1 Y. & C. 222 : Rova'l Bristol, &c.. Blcf}i. Soc. v. Bomash (1887) 35 Cli. D. 390. •^ Clarke v. Ramiiz (1891) 2 Q.B. 486. ' Binks V. Rokeby, supra ; Royal Bristol, &€.. Bld;^. Soc. v. Boninslt. supra. * Clarke v. Rainuz, supra. ■' Biiiks v. Rokchy, supra ; Royal Bristol, &c., Bdg. Soc. \\ Bomash, supra : Shcrwin v. Shakspcar (f854) 5 De G. M. & G. 517. « Ly.saght v. Edwards (1876) 2 Ch. D. 499 ; Re Cary Elu•es^ Contract (1906) 2 Ch. 143 ; cf. Re Montas^u (1897) 2 Ch. 8. " See post, p. 276. " Binks V. Rokeby, supra : Mincliin v. Nance (1841) 4 Heav. 332. " Doic.son V. Solomon (1859) 1 Drew & Sra. 1 ; Re Highett and Bird's Contract (1902) 2 Ch. 214. 276 VENDORS AND PURCHASERS. that time. Thus, if after the making of the contract, but before its completion, a house or any otlier building erected on the land sold is accidentally destroyed bv lire, the loss falls on the purchaser, and he is none the less obliged to perform his contract without any abate- ment of the price.' The same rule is applicable if the lands sold are destroyed or damaged by flooding, or other natural causes," or there is a loss in value by reason of a fall in prices.'' If the property improves in value owing to the operation of natural causes, or the dropping of lives on the sale of a reversion or remainder/ or the death of the incumbent on the sale of an advowson,* or a general rise in the value of the land,*^ the purchaser takes the benefit. And if the vendor himself makes permanent improvements, as bv building after the con- tract, the purchaser will be entitled to the benefit thereof without further payment.^ Similarly the purchaser is also entitled to all things which belong to the owner as against a tenant for life impeachable for waste, such as timber trees blown or cut down,* or minerals gotten whether by a trespasser or by the vendor otherwise than in working mines or quarries open at the time of sale.^ Insurance Money — Wher& the property sold is insured by the vendor, and the property is destroyed by fire or otherwise, the contract for sale does not, in the absence of express stipulation, entitle the purchaser to the insurance money, nor does it entitle him to deduct from the purchase-money the amount received by the ' Paine V. Mcller (1801) 6 Ves. 349; Rayner v. Preston (ISSl) 18 Ch. D. 1 ; cf. Taylor v. Caldwell (1863) 3 B. & S. 826. - Lysaght v. Edwards (1876) 2 Ch. D. 499; and see Taylor v. Caldwell, supra. ■' Poole V. SJiergold (1786) 1 Cox 273. ■* White V. Nnfts (1702) 1 P. Wms. 61 ; Ex parte Manning (1727) 2 P. Wms. 410. ^ Fox V. Chester (1829) 3 Bl. N.S. 123 ; Nicholson v. Knapp (1838) 9 Sim. 326; Creenslade v. Dare (1853) 17 Beav. 502. ^ Paine v. Mcller, supra. "' Clare Hall v. Harding (1848) 6 Hare 273 ; Monro \ . Taylor (1850) 8 Hare 51. " Poole V. Shergold, supra ; Magennis v. Fallon (1829) 2 Moll. 561. » Nelson V. Bridges (1839) 2 Beav. 239; Brown v. Dibbs (1878) 25 W.R. 776; Lcppington v. Freeman (1891) 40 W.R. 348. liFFKCTS OF THK CONTUACT. 277 vendor under the policy;' for tlie policv of insuranre is a collateral contract; and such a policv is not, as a rule, assionable without the consent of the insurer.* The contract of insurance is a contract of indemnitv, and the vendor cannot, therefore, profit b\- it so as to be paid twice over; so that if he receives lioth the insurance money and the purchase-mone\' without deduction, he nuist refund the insurance money to the ofriqe.' Moreover, unless the conHract contains an; express or implied stipulation to that effect, the vendor is not bound to maintain the policv on foot, or to inform the purchaser that it has lapsed/ But on a sale of lease- holds the omission of the vendor to observe a covenant to insure the j^remises is a defect in liis title;" and under a condition that the vendor shall pay outgoings up to the dav fixed for completion, he must, if und(^r a covenant to insure, pay the insurance premiums/ The purchaser is, however, a person " interested in or entitled unto " the property within the Fires Prevention (Metropolis) Act, 1774," and as such he can require the insurance companv to i-xpend the policy moneys in rebuilding or reinstating the premises, provided that, at the tim(^ of his rec|uest, they have not alreadv paid the monews to the vendor/ Ri:nts and Profits. — L'ntil the time for completion, in the absence of any agreement to the contrary, the vendor is entitled to possession of the property and re- ceipt of the rents and profits accruing therefrom for his own benefit ;* after that time they belong to the ' Poole V. Ad, tins (1864) 12 W.K. 683: Rtjyiicr v. Preston (18811 18 Ch D. 1. •^ Lviicli V. Diilzcll (1730) 4 Bro. P.C. 431 ; CastcUain v Preston (1883)' 11 Q.B.D. 380: West of England. &c.. Coy. v. Isaacs (1897) 1 Q.B. 22C).'Ph(Viiix Assurance Coy. v. Sf>ooner (1905) 2 KB. 753. •' Castelhiin \ . Preston, supra. * Paine v. Metier (1801) 6 Yes. 349: Doieson v. Solomon (1S59) 1 Drew. & Sm 1. ■ Palmer v. Cioren (1856) 4 W.R. 688. " Douson V. Solomon, supra, cf. Wicman \. Maxwell (1899) 80 L T. 681. • 14 C;eo. ,i, c. 78. ■ I hid., sect, 83 : Sninott v. Boxeden (1912) 2 Ch. 414. '■' Garrick v. Camden (1790) 2 Co.\ Eq. Cas. 231 ; Cuddcn v. Tite (1858) 1 Giff. 395: Watts v. Watts (1873) 17 Eq. 217: and see ante, p. lib. 278 VENDORS AND PURCHASERS. purchaser/ and the vendor receives them until actual completion as trustee for the purchaser, and must account for them accordingly.' These profits include the ordinary rents and profits accruing' from the use and enjoyment of the property in the circumstances in which it was used and enjo\ed at the date of the con- tract. Thus, the vendor is entitled to gather in and dispose of the crops in due course of husbandr}", and to retain the proceeds for his own benefit/ and may work mines and quarries which were open at the time of sale,' and if the land be let, he is entitled to receive the rents as they become payable,^ and, in the case of the sale of a manor, may take the fines accruing due on admittances.*^ But he is not entitled to take any profit or benefit which forms part of the inheritance, such as timber trees blown or cut down,' or minerals gotten after the contract by a trespasser or by the vendor other- wise than in a proper course of working open mines or quarries,^ for these belong in equity to the purchaser. And between the time for completion and the date of actual completion, if the vendor is in occupation, he ma}' be charged an occupation rent.^ Where the purchaser enters into possession before the time fixed for completion, he is, in the absence of any agreement to the contrary, entitled to the rents and 1 Paine v. Mcller (1801) 6 "Ves. 349 ; Plcvrs v. Samuel (1904) 1 Ch. 464 ; Monro v. Taylor (1850) 8 Hare 51. ■•^ M'Naiiiara v. Williams (1801) 6 Ves. 143 ; Wilson v. Chtpham (1819) 1 Jac. & VV. 36; Plexvs v. Samuel, supra. =' Webster v. Donaldson (1865) 34 Beav. 451. ^ Leppington v. Freeman (1891) 40 W.R. 348 ; cf. Nelson v. Bridges (1839) 2 Beav. 239. ■• Paine v. Meller, supra; Wall v. Bright (1820) 1 Jac. & W. 494; Shaw V. Foster (1872) 5 H.L. 321 ; Lysaght v. Edwards (1876) 2Ch. D. 499; Re Gary Ehves' Contract (1906) 2 Ch. 143; Plews v. Samuel, supra. « Cudden V. Tite (1858) 1 Giff. 395. ' Poole V. Shergold (1786) 1 Cox 273 ; Magennis v. Fallon (1829) 2 Moll. 561. •^ Nelson v. Bridges, supra; Broun v. Dibbs (1878) 25 W.R. 776; Leppington v. Freeman, supra. 3 Dyer v. Hargrave (1805) 10 Ves. 505 ; Sherwin v. Shakspear (1854) 5 DeG.M. & (>. 517; Bennett v. Stone (1902) 1 Ch. 226, 237; (1903) 1 Ch. 509. iiFI'liCTS OF Till-; CONTRACT. 27!) profits from tlie time of takin<^ possession,' and to some extent, may act as owner without thereby prechidinj;- himself from afterwards objecting to the title. Thus, he may gather in crops or cut underwood in a proper course of husbandry." but may not do anv acts which tend to depreciate the vendor's securit}' for the purchase- money, such as cutting- down limber or otherwise com- mitting- waste," for in this respect the purchaser's posi- tion resembles that of a mortg-agor in possession. And if the contract is rescinded by the vendor or not com- pleted by the purchaser, the latter may be liable to account for the rents and piofits received by him dur- ing possession." Outgoings. — In the absence of anv agreement to the contrary, the vendor must pa}- all outgoings until the time for completion," for this obligation must be re- garded as correlative to his right to receive the rents and profits during the same period. As to such out- goings as are current at the end of the period and are legally apportionable, the vendor bears the part attri- butable to the period." Intf:kl:st. — If a time is fixed for completion, and there is delay attributable to the purchaser, he must from that day pay interest upon the purchase-money, though it has been lying idle and appropriated to the purchase.' and though he has not had possession of the propert}'. If, on the other hand, a day is fixed for completion, and there is delav attributable to the vendor, the purchaser, if he has been in actual possessi(^n or in receipt of the ' Potiv// V. Miirtvr (1803) 8 Ves. 146 ; Fliitlycr v. Cocker (1805) U Yes. 25: Birch v.Jov (1852) 3 H.L. Cas. 565: Ballard v. Shiitf (1880) 15 Ch. D. 122: Lcppin^ton v. Frccnuni (isyi) 40 W.R. 348: Fletcher v. L. & Y. Rly. Coy. (1902) 1 Ch. 907. ■^ Burroughs v. Oakley (1819) 3 Swan. 159 ; Small v. Attwood (1832) You. 506: Osborne & Harvev (1841) 1 Y. and C.C.C. 116: and see TurqUaiul v. Rhodes (1868) 37 L.J. Ch. 830. ^ See Crockford v. Alexander (1808) 15 Ves. 138 : Donovan \ . Fricker (1821) Jac. 165. * See Leppin^fon v. Freeman , suprti. ^ Carrodus v. Sharp (1855) 20 Beav. 56. ^ As to " outgoings " and " apportionment" see ante, p. 236. ' Calcraft v. Roebuck (1790) 1 Ves. 221 : and see Hyde v. Price (1837) 8 Si. 593. 280 VENDORS A.\D PURCHASERS. rents and profits, must pay interest unless and until his money has been appropriated to the purchase and lying idle, and notice of such being the case has been given to the vendor;' but if out of possession, it would appear that he will be chargeable with interest only from the time when he might prudently have taken possession, i.e., when a good title was shown" and verified;" and though he may, if he please, in the interim, pay interest and take the rents and profits from the time fixed for completion, he is not bound to do so where the interest exceeds the rents and profits.' Where the contract is silent as to the time for completion, interest is payable from the time when the vendor has made out his title so that the purchaser could safely take possession.' The interest usually payable, unless the contract pro- vides otherwise, is at the rate of four per cent, per annum. LiKX. — Independent!}' of any agreement between the parties, the vendor has an equitable lien upon the pro- perty .sold in respect of the unpaid purchase-money.*^ even though the purchaser has been let into possession, and the latter may be restrained by injunction from commit- ting any act by which the yendor's security- might be diminished.' The purchaser has an analogous lien in respect of purchase-money wholly or partly paid pending completion," provided failure to complete is not due to the purchaser's default.' ' Pouell V. Martvr (\803) SVes. 146: Roberts v. Massey (1807) 13 Yes. 561 ; Regent's Canal Coy. v. Ware (1857) 23 Beav. 575. - Fortebloiv v. Shirley (1806) 13 Yes. 81 ; Binks v. Rokehv (1819) 2 Sw. 222; yo«c'.s v. Mmhl (1827) 4 Kuss. US; Carrodtis v. Sliarp (1855) 20 Beav. 56. ■' Parr v. Lovegrove (1857) 4 Drew. 170. ^ Esdailc V. Stevenson (1822) 1 S. & S. 123 ; Jones v. Mudd, supra. ■■ Carrodus v. Sharp, supra ; Wells v. Maxn-ell (1863) 32 Beav. 550; Re Pifiott & G.W. Rlv. Coy. (1881) 18 Ch. D. 146; Re Keehlc and Stilwell's Brick Coy. (1898) 78 L.T. 383; Halkett v. Dudley (1907) 1 Ch. 590 ; and see generally, ante. pp. 230. 231. 6 See Lysaght v. Edwards (1876) 2 Ch. D. 499. 506; Mackrcth v. Symons (1808) 15 Yes. 329; and see post, p. 285. ' Crockford v. Alexander (1808) 15 Yes. 138. " Rose v. Watson (1864) 10 H.L.C. 672. •' Dinn v. Grant (1852) 5 De G. & Sm. 451. EFFECTS OF THE CONTRACT. 281 SkCTION 2 AsSlCiNMENT. ASSIGNMKNT OV THE PROPERTY SoLU. — (1) Bv THE Vendor. — Since, from the time of the contract for sale, the purchaser is the equitable owner of the propert\' sold, the vendor is not entitled to dispose of it, whelhcr by way of sale or otherwise, to any other person ; £ind any such disposition constitutes a breach of contract for which the purchaser is entitled to a remedy in damages, without making any offer to complete the con- tract or other formality,^ and the vendor ma\' be re- strained by injunction from so parting with his estate in the land." If, however, the vendor makes such a dis- position, either for a legal estate to a volunteer, whether such volunteer has or has not notice of the contract f(jr sale, or to a purchaser who has notice of the contract,' or for an equitable estate only to any person,' the alienee takes subject to the purchaser's eciuities under the contract, and may be joined as a party to an action for specific performance of the contract, and ma}' be ordered to convev his interest in the land to the pur- chaser in order to complete the sale."" But if, upon such an alienation by the vendor, the alienee accjuires the legal estate for viiluable consideration actually paid or executed in good faith and without notice of the con- tract for sale, he is entitled to hold this estate free from all equities of the purchaser, whose sole remedv is then against the vendor in damages." And the alienee, tak- ing in good faith and for the like valuable consideration, is entitled to the .same priority over the purcha.ser, not onl}' where he has accjuired the legal estate, but also • Main's Case (1596) 3 Co. Rep. 20b; Lovelock v. Fmiiklvn (1J>46) 8 Q.B. 371 ; Synge v. Synge (1894) 1 Q.B. 466. •^ Hadley v. London Hank of Scotland (1865) 3 De G. J. & Sm. 63 ; SpillerwSpiller (1819) 3 Swan. 556: Echliffv. Baldxvin (1809) 16 Ves. 267; Curtis v. Buckingham (1813) 3 Ves. & B. 160. •^ Dawson v. Ellis, 1 J. & W. 524. * Willoiigtiby V. Willoiighby (1756) 1 T.R. 763, 773. •'' Taylor v. Stibhert (1704) 2 Ves. 437: Poffer v. Samlcrs (18461 6 Hare 1 . " Mansell v. Mansell (1732) 2 P. Wras. 678 ; Synge v. Synge, supra ; Cleniow V. Gcach (1870) 6 Ch. App. 147; Pilcher v. Raxolins (1872) 7 Ch. App. 259; Joseph v. Lyons (1884) 15 QBD. 280: Hallas v. Robinson (1885) 15 O-B.D. 288. '■282 VENDORS AND PURCHASERS. where he has, before notice of the contract for sale, acquired the best right to call for the legal estate/ If the vendor, pending completion, resells the land and con- veys the legal estate therein to a third person without receiving payment of the whole price, such third per- son is protected against the original purchaser's prior equity as regards so much of his purchase-money as he has paid before receiving notice of the first sale, and is entitled to hold his legal estate as security for the amount so paid; but after he has received such notice he cannot safely pay the balance, for he will not be entitled to set up his contract of sale as specifically en- forceable against the original purchaser, and, as between himself and the vendor, his contract w^ill be rescinded and discharged from performance." And if such third person takes only an equitable estate in the land sold for valuable consideration, he cannot, after notice of the original contract for sale, protect himself against the original purchaser's claim by taking a conveyance of the legal estate." (2) By the Purchaser, — As we have seen,' the pro- perty sold is, in equit\-, the purchaser's property from, the time of the contract, subject to the contract being specifically enforceable. He may therefore sell, charge or devise his equitable interest in the property as he pleases.* Assignment of Benefit of Contract. — Either the vendor or the purchaser may voluntarily assign the bene- fit of the contract to another person," and such a disposi- tion mav be either by wav of absolute assignment of the whole contract or for the purpose of securing some lesser advantage to the assignee, such as the repayment of ' WiHoti,i A.C. 244 ; Bailey v. Barnes (1894) 1 Ch. 25. ' See ante, p. 273. •' Paine v. Meller (1801) 6 Ves. 349, 351. '' Wood V. Griffiths (1818) 1 Swan. 43; Sluru- v. Foster {\?,12) 5 H.L. 321 ; Tolhurst \''. Assoc. Portland Cement Manufacturers (1900), (1903) A.C. 414 ; Dan-son v. G.N. & Citv Rlv. (1905) 1 K.B. 260. KFiixis OF I hi: coxtract. 28-"> monev lent;' ar it ina\' be an assignment of the contracL as to part of the property. Thus, if the purchaser assigns the benefit of his contract to a sub- purchaser, and notice of the assignment is gi\en to the vendor, the sub-purchaser is entitled to stand in the place i)f the original purchaser, and can obtain specific per- formance against tiie vendor." The sub-purchaser must, howexer, be readv and willing to undertake the burden as well as the benefit of the contract.' Although it is usually necessary to make the (jriginal purchaser a party to an action bv the sub-purchaser for specific performa'nce, that is not so where there has been a novation of the contract, i.e., where the vendor has accepted the sub-purchaser in place of the original purchaser, and there are no equities l3et\\een the original contracting parties.' Such an assignment of the benefit of the contract is an assign- ment of a legal chose in action within Section 25 (6) of the Judicature Act, 1873, enabling the assignee in his own name to sue the vendor for damages for breach of con- tract, provided the assignment was an absolute assign- ment in writing under the hand of the assignee, not pur- porting to be by way of charge only, of which express notice in writing was given to the vendor .'' Neither partv to the contract can, however, by the mere assign- ment of his interest therein, transfer also his obligations so as to escape from his liabilitv thereunder; that can onlv be brought about b}- the consent of all three parties, when there is, in fact, a novation of the contract.'' Effect of Death of Vendor. — On the death of a vendor of freeholds, after the making of a valid and en- forceable contract for sale, , the purchase-money forms part of his personal estate, and his rights under the contract can be enforced by his personal representatives, who have power to convev the land for all the estate and ' Brounc v. London Necropolis Cow (1867) 6 W.R. 188; Shaw w Foster (1872) 5 H. L. 321 : Dnriunn v. Robertson (1898) 1 Q.B. 765. ■^ Shaii' V. Foster, supra. "' Crabtree v. Poole (1871) 12 IC(] 13 ; Sliaic \. Foster, supra. * Manchester Brewery Coy. v. Coombs (1901) 2 Ch. 60S. •'■ Torkington v. Ma gee (1902) 2 K.B. 427. * Tolhurst V. Assoc. Portland Cement Mfrs. (1903) A.C 414 ; and see generally, a)ite, pp. 110-115. 284 VENDORS AND PURCHASERS. interest vested in the deceased vendor at his death in any manner proper for giving effect to the contract.' Where the deceased vendor sold in exercise of a power, the pur- chaser may enforce the contract against those who be- came entitled on the vendor's death.' If the vendor were seised of the property sold for an estate tail, and he died without having barred the entail, his estate therein passes to the heir in tail, or if there is no such heir, to the reversioner or remainderman, and the contract is not en- forceable against these persons, and the purchaser's only remedy is an action against the vendor's representatives to recover his deposit with interest and expenses.^ In the case of a sale of copyholds, if the vendor had an equitable interest only, the contract can be enforced by and against his personal representatives;' but, where the vendor had a legal estate in the copyholds, such estate passes to his devisee or customary heir, according as the vendor dies testate or intestate in respect thereof, pro- vided the title has been accepted and the contract is valid at the time of his death f and if the customary^ heir is an infant, the purchaser must apply to the Court for a vesting order." Where the deceased vendor was tenant for life under the Settled Land Acts, and agreed to sell in that capacity, the contract is enforceable against and by every successor in title for the time being of the deceased vendor, and may be carried into effect by any such successor.' Effect of Death of 1'urchaser. — On the death of the purchaser, if the contract was enforceable against ' Conveyancing Act, 1881, sect. 4 (I) ; Land Transfer Act, 1897, sect. 2 (2) ; and see Conveyancing Act, 1911, sect. 12, over-riding Re Pawley and London ami Provincial Bank (1900) 1 Ch. 58 ; and see Roberts v. Marchant (1843) 1 Ph. 370 ; Hoddel v. Piigh (1864) 33 Beav. 489. - Shannon v. Hradstrcct (1803) I Sch. & Lef. 52 ; Mortlock v. Biillcr (1804) 10 Ves. 292. ^ Fines and Recoveries Act, 1833, sects. 40, 47. ' Land Transfer Act, 1897, sect. 1 (4) ; Re Sontervi/le and Turner (1903) 2 Ch. 583. •''Copyhold Act, 1887, sect. 45: Copyhold Act, 1894. sect. 88; Lysaght v. Edwards (1876) 2 Ch. D. 499; and see Re Mill's Trnsfs (1887) 37 Ch. D. 312 ; (1888) 40 Ch. D. 14. « Re Beaufort (1898) W.N. 148. " Settled Land .\ct, 1882. sect. 32 (2) : Settled Land Act, 1890. sect. 6. EFFECTS OF THE CONTRACT. 285 him at the time of his death,' it may be enforced bv tlie persons who succeed to his ecjuitable estate in the land contracted to be sold. A general or residuar)- devise in a will will pass this estate," though where the property agreed to be bought is freehold or an equitable estate in copyhold,' it will vest in the lirst place in the deceased purchaser's legal personal representatives.' Sint-e both the heir or devisee and the personal representatives are interested, the one in having a proper conveyance and a good title, and the others in the payment of the pur- chase-money, they should be joined as parties in a suit to enforce the contract against the vendor.^ Formerly, the heir or devisee was entitled to have the purchase- money raised and paid out of the deceased purchaser's personal estate ]^ but under the Real Estate Charges Acts, 1854, 1867 and 1877,' the persons entitled to the property take it charged with the vendor's lien for the purchase-mone\', whether the property is freehold, copy- hold or leasehold,** unless the purchaser has made a will, and has expressed a contrary intention.^ Moreover, if the contract was so framed that the vendor had no lien for his purchase-money, the Acts would not apply, and the heir or devisee could claim to have the purchase- money paid out of the personal estate." And w^here the Arts do apply, if the contract is subsequently rescinded, or for any other reason is not performed, the heir or devisee cannot now claim to have the purchase-money raised and expended in the purchase of the land, but is entitled to nothing.'^ I Biickinasfer y. Harrop (1802) 7 Ves. 341, 344; Broome v. Monck (1805) 10 Ves. 597, 601. 611. - Wills Act, 1837, sects. 3. 23. 24. • Re Somerville v. Turner (1903) 2 Ch. 583. ■" Land Transfer Act, 1897. sect. 1. ' Fry. Specific Performance, 4th ed., § 217. ^ See Whittaker \- . Whittakcr {1792) '\ Bro. C.C. 31; Holt v. Holt (1694) 2 Vern. 322 ; Garnett v. Acton (1860) 28 Beaw 333. ' Locke King's Acts, 17 and 18 Vict. c. 113, sect. 1 ; 30 and 31 Vict, c. 69, sects. 1, 2 ; 40 and 41 Vict. c. 34, sect. 1. ^ Re Kershaw (1888) 37 Ch. D. 674. '•^ Re Cockcroft (1883) 24 Ch. D. 94. "' Ibid. " Ibid. *286 VENDORS AND PURCHASERS. Effect of Bankruptcy of Vendor,- — Upon the bank- ruptcy of a vendor, under an uncompleted contract, the leg"al estate in the property agreed to be sold vests in his trustee in bankruptcy, subject to the purchaser's equit- able right under the contract to have the propertv con- veyed to him upon payment of the purchase-money.^ Where the whole of the purchase-monev has been paid before the act of bankruptcy, the vendor would have become a bare trustee for the purchaser, and the pro- perty would not be assets in the bankruptcy, and would not pass to the trustee in bankruptcy.^ The purchaser's remedy is either in damages for breach of the contract, in which case his claim is provable in the vendor's bank- ruptcy,'' or for specific performance against the trustee in bankruptcy;' and where the trustee cannot disclaim the property agreed to be sold on the ground that it is burdened with onerous covenants,^ or where, though he might disclaim the property, he does not do so, he can- not disclaim the contract.^ And even where the con- tract imposed an obligation upon the vendor to do some act which would cast An expense upon his estate, and the property is leasehold or freehold, subject to onerous covenants, though disclaimer bv the trustee of both property and contract would free the estate from the ob- ligation to do that act and expend the money, it would not affect the equitable interest in the land which the purchaser had acquired under the contract.' And although the disclnimer of the contract would determine the trustee's right to call upon the purchaser to pa^' an\- money or perform any other act under the contract, yet 1 Ex parte Rahbiiige (1878) 8 Ch. D. 367; and see Si'. Thomas' Hospital V. Richardson (1910) 1 K.B. 271 ; Ca)-valho v. Burn (1833) 4 B. & Ad. 382. - Bankruptcy Act, 1914. sect. 38 (1); Winch v. Kcclcy (1787) 1 T.R. 619; Bocidinfifon v. Caselli (1853) 1 E. & B. 879; Ex parte Rabbidsie. .supra ; cf. Re Bastable (1901) 2 K.B. 518, 529. •■' Bankruptcy Act, 1914. sect. 28. ' Hardy v. Fothcrgill (1888) 13 App. Gas. 351 ; Pcarcc v. Bastable s Trustee (1901) 2 Ch. 122 ; Re Reis (1904) 2 K.B. 769 ; Re Taylor (1910) 1 K.B. 562; Levy v. Stofidon (1898) 1 Ch. 478. ■"' Bankruptcy Act, 1914, sect. 54. * Pearce v. Bastahle's Trustee, supra ; Re Bastable, supra. "• Re Bastable, supra; ]3ankrnptcy Act, 19)4, sect. 54. EFFECTS OF THE CONTRACT. 281 tlie purcliaser could still call upon the trustee to convey the land to him,' or could apply to the Court for an order vesting the property in him." Where the purchaser has notice of an act of bankruptcy, he should not pay his purchase-money to the bankrupt, for the trustee could claim it again from him ; but he may treat the contract as broken and sue for the return of his deposit f and a purchaser who pays his purchase-money to the vendor after the latter has been adjudicated bankrupt cannot obtain a conveyance of the property from the trustee without paying the price again to him, even though he had no notice of the bankruptcy.' Effect of Bankruptcy of Purchaser. — Where the purchaser becomes bankrupt, his rights under the con- tract vest in, his trustee in bankruptcy," who may either elect within a reasonable time' to complete the contract, or may disclaim the contract as " unprofitable."" The disclaimer operates as from its date, and, thereupon, the vendor's only remedy is to prove as a creditor in the bankruptcy for the loss he has suffered by the dis- claimer,' and to retain the deposit,** for he cannot obtain specific performance of the contract against the pur- chaser's trustee in bankruptcy .'•' If the vendor has notice of an act of bankruptcy committed by the purchaser, he cannot safely proceed with the contract so long as the act of bankruptcy remains available, for anv money sub- sequently paid to him by the purchaser may be recovered by the trustee in bankruptcy under a consequent adjudi- cation of bankruptcy against the purchaser.'" For this ' Bankruptcy Act, 1914, sect. 54 ; Re Bastablc (1901) 2 K.B. 518. •^ Ibid. '^ Lowes V. Lush flSOS) 14 Ves. 547; Poiccl! v. Mursluill Pcirl;es and Co. (1899) 1 Q.B. 710. * Ex Parte Rabbidge (1878) 8 Cli. D. 367. * E.x parte Stapieton (1879) 10 Ch. D, 580, 590. ^ Bankruptcy Act, 1914, sect. 54. ' Ibid. " Ex parte Barrcll (1875) 10 Ch. App, 512 ; Collins v. S7/;;/,so«. (1883) 11 Q.B.D. 142. 3 Holloway v. Yorke (1877) 25 W.R. 627. '*> See Ponsford v. Union of London &c. Bank (1906) 2 Ch. 444 ; Re Pollitt (1893) 1 g.B. 175, 455; Davis v. Petrie (1906) 2 Q.B. 786; cf. M'Carthy v. Capital and Counties Bank (1911) 2 K.B. 1088. 288 VENDORS AND PURCHASERS. reason, a purchaser who has committed an act of bank- ruptcy which remains available against him cannot en- force specific performance of the contract against the vendor/ If time is of the essence of the contract, and the purchaser's act of bankruptcy is still available against him on the date fixed for completion, the vendor may treat the contract as broken and retain the deposit ;" and if time is not of the essence of the contract, the vendor, on notice of the purchaser's act of bankruptcy, may re- pudiate the contract on the ground that the purchaser is not, and will not at the time fixed for completion, be capable of making a valid payment of the purchase- money/ Where the vendor has no notice of an act of bankruptcy committed bv the purchaser, and. the con- tract is executed by payment of the purchase-money be- fore an adjudication in bankruptcy, the transaction is expressl}^ protected, and the purchaser's trustee cannot recover the money back/ If the purchaser is adjudi- cated bankrupt pending completion, the vendor should make an application in writing to the trustee requiring him to decide whether he will disclaim the contract or not ; for if the trustee does not disclaim within twenty- eight days of such application, or such extended period as the Court may allow, he will be deemed to have adopted the contract/ The trustee cannot enforce the contract against the vendor without the express per- mission of the committee of inspection/ Effect of Winding-up of Company. — Every dis- position of the property of a company made after the commencement of the winding-up by the Court is void unless the Court otherwise orders/ Therefore, a con- tract for the purchase or sale of land from or to a com- pany cannot safely be completed after the presentation of the winding-up petition/ After the winding-up order ' Franklin v. Brownlow (1808) 14 Ves. 550. - Collins V. Stimson (1883) 11 Q.B.D. 142. '^ Ibid. ^ Bankruptcy Act, 1914, sect. 45. "' Ibid., sect. 54. '^ Ibid., sect. 56; and see Re Vavaaoiir (1900) 2 Q.B. 309; Re Sneczum (1876) 3 Ch. D. 463. ' Companies Act. 1908, sect. 205 (2). ^ See Re Wiltshire Iron Coy. (1868) 3 Ch. App. 443, 447; Re Civil Service and General Store. Ltd. (1887) 57 L.J. Ch. 119. liFFtCTS OF THli COXTUACT. 2Si) lias been madi', the complelion of the contract rests, sub- ject to the control of the Court,' witli the liquidator, who may, in the exercise of his powers to realise the assets of the company, adopt and carry into effect a contract of sale. But apart from this, it is the duty of the liquidator, if the contract is specifically enforceable, to complete the title of the purchaser b\- aftixing the company's common seal to a conveyance of the legal estate, and to receive the purchase-money. In the case of a contract for pur- chase, the liquidator may, with the concurrence of the vendor, resell the land and pay the vendor pro tanto out of the proceeds, leaving the vendor to prove in the wind- ing-up for any deficiency in the price.' In the case of a voluntary winding-up, the powers of the directors cease on the appointment of a liquidator,' and aftci- this dale completion with the compan}- cannot take place. But the liquidator has the same power to carry the contract into effect as in the case of a winding-up by the Court,' and he ought to complete a contract for sale which is specifically enforceable. If he is in doubt as to what is beneficial for the company, he can apply to the Court for directions,* or submit the matter to a general meeting of the members.*^ If the licjuidator under a compulsory or voluntary winding-up declines to complete the con- tract, the other party can either prove in the winding- up for any loss which he has sustained,' or bring an action for specific performance.* Where judgment is given for specific performance and the company is the vendor, completion will follow by conveyance by the company and payment of the purchase-money to the ' Companies Act, 1908, sect. 151 (2) (a) : see Re Colonial aiui Getienil Gas Coy. (1867) W.N. 42. - See Thames Plate Glass Cov. v. Land and Sea Telegraph Coy. (1870) 11 Eq. 248, 250. •"* Companies Act, 1908, sect. 186 (iii). * Ibid., sects. 151 (2) (a), 186 (iv) ; see Re Bank of South Auxtralia (1895) 1 Ch. 578, 592. ■' Companies Act, 1908, sect. 193. * Ibid., sect. 194. ' See Ciirric V. Consolidated Kent Collieries Corpn. (1906) 1 K.P>. 134. " See Thames Plate Glass Coy. v. Land and Sea Telegraph Coy., supra. 19 .290 XliXDORS AND PL RCHASKRS . liquidator; if the company is the purchaser, the vendor's claim, as the result of specific performance, is a money claim in the windincf-up for the deficiency in the pur- chase-money left after resale of the land, and payment of the proceeds to the vendor.' Where the other party to the contract refuses to complete, the liquidator can bring an action in the name of the company, either for breach of contract or for specific performance. Effect of Writ of Execution. — Neither a vendor nor a purchaser of land is concerned with a writ of exe- cution or order affecting the interest of the other party in the land, unless the writ or order is registered." An execution creditor of the vendor, whose writ is duly registered, acquires a chattel interest in the land, and also a charge upon the vendor's interest therein, the interest of the judgment creditor being subject to the purchaser's equitable interest in the land under the con- tract for sale.* Consequently, though the right of the purchaser to completion of the contract by conveyance is unaffected, he cannot safely pay the purchase-money without either satisfying the judgment creditor so far as possible thereout, or obtaining his consent to pa3ment of the whole amount to the vendor.^ and the creditor should join in the conveyance. Where execution is not levied until after the whole of the purchase-money has been paid, so that the vendor has no longer any beneficial interest in the land, an execution by a creditor of the vendor will not, it seems, affect the land .sold;" but, in such circumstances, a judgment creditor of the purcha.ser can obtain a charge on his interest in the land.*^ The appointment of a receiver of the vendor's interest in unpaid purchase-money, or of the purchaser's interest in the land, is ineffectual if for any reason the c(jntract is not completed, so that the money or land, as 'See Thames Plate Glass Coy v. Land and Sea Telegraph Coy. (1X70) 11 Eq. 248. 250. '^ Land Charges Registration and Searches Act, 1888, sects. 5, 6 ; Land Charges Act, 1900, sect. 3 ; see ante. pp. 262, 263. =* Lodge v. Lyselcy (1832) 4 Sim. 70: Whitwovth v. Gaiigain (1846) 1 Ph. 728. * Forth V. Norfolk (1820) 4 Madd. 503. '■ See Prior v. Penpraze (1817) 4 Price 99 ; Sug. 14th ed. 527. • Statute of Frauds, sect. 10 ; Judgments Act, 1838, sect. 11. RFF['.( IS OF IIIK CONTRACT. 291 the case mav be, does iKjt come into the hands of the debtor.' Effect of Lunacy. — The contract will not be avoided by the fact that either party becomes a lunatic before completion, provided that such party was sane when the contract was entered into,^ and provision for its com- pletion in such an event is made by the Lunacy Act, LS9().' JMuis, where the vendor becoines a lunatic or insane after the purchase-money has been paid, or the contract so far performed that a decree for specific per- formance would be a matter of course, and the lunatic is a mere trustee for the purchaser, the latter can obtain an order vesting the estate in him.' And in other cases the judge in lunacy may order, authorise and direct the committee of the estate of the lunatic so found to perform any contract relating to the property of the lunatic entered into by the lunatic before his lunacv;'' and the committee must, in the name and on behalf of the lunatic, execute and do all such assurances and things for giving effect to any such order as the judge directs, and every such assurance and thing will be valid and take effect accordingly." in the case of a person of unsound mind who is not a lunatic so found by inquisition, similar j^owers are exercisable bv such person as ihc judge mav ilirect.' SiiCTiox 3 — Dktei^mination of Rights of Parties — Vendor and Purchaser Summons. Vendor and Purchaser Summons. — A vendor or pur- chaser of real or leasehold estate in England, or their representatives respectively, may at any time or times, and from time to time apply in a summary way to a judge of the Chancery Division of the High Court in chambers, in respect of any requisitions or objections, ' RidoKt V. Fowler (1904) 2 Ch. 93. -' Owen v. Diivies (1747) 1 Ves. Sen. 82; Hall v. Warren (1804) 9 Ves. 605. ' 53 and 54 Vict. c. 5. * Ibid., sect. 135; Re Ciditing (1869) 5 Ch. App. 72; Re Pagani <1892) 1 Ch. 236. ■■' Lunacy Act, 1890, sect. 120. ^ Ibid., sect. 124. ' Ibid., sect. 116. 292 VENDORS AND PURCHASERS. or any claim for compensation, or any other question arising- out of or connected with the contract, not being a question affecting the existence or validity of the con- tract, and the judge can make such order upon the application as to him seems just, and will order how and by whom all or any of the costs of and incident to the application shall be borne and paid.' Scope of Jurisdiction. — Whatever could be done in chambers upon a reference as to title under a decree for specific performance, when the contract was estab- lished, can be done upon proceedings under the above enactment.^ It enables the parties to put themselves in chambers in exactlv the same position in which they would have been, with all the rights which they would have had, under a judgment for specific performance; so that evidence by affidavit may be given, and the de- ponents may be cross-examined.^ And in cases where this procedure is available, it must be adopted in pre- ference to bringing an action f but it was not intended to enable the Court summarily to try disputed questions of fact,'' nor can a vendor and purchaser summons be treated as if it were an action for specific performance, or for rescission of the contract, or for any other pur- , pose.^ By this procedure, either party is enabled to ob- tain a decision upon some isolated point or points with- out having recourse to an action for specific perform- ance,*^ such as whether a requisition has been sufficiently answered or is precluded by the conditions,' or any short point of law or construction arising out of the con- tract, abstract, or requisitions.^ ^ Vendor and Purchaser Act, 1874, sect. 9. - Re ISiirrouf// (1814) 3 Ves. & B. 187; Horrocks V. Rigby (1878) 9 Ch. D. 180. - Re Terry and White (1886) 32 Ch. D. 14. •' Thomas v. Bering (1837) 1 Keen 729. /iL^ffo^f- ^'■'^''■"•"•■o" (1870) 5 Ch. App. 534 ; cf. Hooper y. Smart (1874) 18 Eq. 683. ,'^,":^''""'^- '^^'^^'■'^ (1865) 34 Beav. 611 ; cf. McKenzic v. Hesketh (1877) 7 Ch. D. 675; Rudd v. Lascellcs, supra. ^ See ante, pp. 231-234. 20 CHAPTER IV. CCXMPLETIOX AND COXXEYAXCE. Section 1 — Preparation and For:^! of Conxevance. Preparation. — In the absence of agreement to the contrary, it is the duty of the purchaser, at his own expense, to prepare the deed of conveyance and to tender it to the vendor for execution by him. The tendering' of the deed by the purchaser does not neces- sarily operate as ci waiver of objections or requisitions upon the title;' and even alihough the purchaser has accepted the title shown, he is not thereby precluded from making objections or requisitions upon points not disclosed to him by the vendor, but discovered by searches or inquiries made by the purchaser on his own account," or upon points which are matters of con- veyance and not of title," unless the objection or requi- sition is one precluded by the contract.'* Form of Convpzyance. — The form of the conveyance is primarily a matter for the purchaser to determine, provided that the burden laid on the vendor, in respect of expense and othersvise, is not materiallv increased bv the purchaser's choice/ Where properties of different kinds, or held under different titles, or separated bv considerable distances, are sold by one contract, the purchaser may require them to be conveyed by separate deeds and ma}- apportion the purchase money as he ma\ think iit.*^ If the purchaser desires to take a conveyance by separate deeds of plots of land included in a prix-ate contract as one entire estate, it is advisable to insert an express stipulati- incimibran^ e, the Court may, if it thinks fit, on the application of anv party to the sale, direct or allow pa\nient into Court of a sum of money sufficient to provide for the amount charged on the land md futun' costs, expenses and interest;* and the Court may. if it thinks fit, and either after or without notice to the incumbrancer, declare the land to be freed from the incumbrance, and make any order for conveyance, or vesting order, proper for giving effect to the sale. This enables a vendor to procure land, which is subject to mortgages or charges, to he conveved to the pur- chaser for an unincumbered estate without the con- currence of the inctmibrancers.' Partics to Coxvfy. — What persons are necessarv parties to the conveyance will have been ascertained on ' Sudden. V. & P. ]4tli ed. 555, 557 ; Jones v. Lczvis (1847) 1 De G. & Srn. 245 : Reeves v. Gi/l (1838) 1 Beav. 375. '■^ See General Finance, f-c. Cow v. Liberator, &c., Soev. (1887) 10 Ch. D. 15. 20. ■' Sect. 5 : see sect. 2 (viii). ' See Patching v. Bull (1882) 30 W.K. 244 ; Diclcin v. Dickin (1882) 30 W.R. 887. • See Milford. &c. Coy. v. Mou-att (18S5) 30 Ch. D. 402. " Re Frenie's Contract (1895) 2 Ch. 256. ' But see Re G.N.R. Coy. and Sanderson (1S84) 25 Ch. D. 788. •308 VENDORS AXD PURCHASERS. the investigation of the title. Everv person in whom is vested any portion of the legal and equitable estate contracted for in the land sold, or any interest therein, must concur in the conveyance to the purchaser, unless his interest is such that it will be conveyed or defeated by the execution of some paramount trust or power intended to be exercised bv the deed of conveyance. A vendor absolutelv entitled to the land at law and in equity, and if of full capacity, is alone the conveving party. If he is a vendor under disability or has a limited or special capacity, he, or some person or persons on his behalf, mav be able to convev under special statu- tory or other powers.' Parties to who.m Co.weyaxce is made. — The pur- chaser is, as a rule, entitled to have the conveyance by the vendor made either to himself or as he shall direct, and for such estate and interest, not exceeding the interest purchased, as he pleases. Where, however, the grantee is to enter into covenants with the vendor, the purchaser cannot substitute a new covenantor for himself without the vendor's consent, and in such a case the nominee must not be under disability. Where a purchaser assigns the benefit of his contract before com- pletion, it is usual, for the purpose of saving the expense of a sec(md conveyance and double stamp dutv, to take the assurance direct to the sub-purchaser. Upon an assignment of the contract the original purchaser is not usually a necessary party to the conveyance, but the vendor may require a recital in the conveyance of the original contract and the assignment; nor is the original purchaser a necessary party on a re-sale by him of the land before completion of his contract, if there is no increase in price. But as the burden of a covenant cannot be assigned over without the covenantee's con- sent, as where a purchaser is bound to enter into a covenant indemnifying the vendor in respect of pav- ment of rent and performance of onerous covenants, the vendor is not obliged to accept the covenant of the purchaser's assignee as a substitute, and mav require the original purchaser to be joined as a part\- to the con- veyance. W^here there is a re-sale at an increased price, the ccmveyance usually states the increased price as the ' See ante, pp. 10-21, 110-117. 243 : and seeposf, pp. 333-346. co.MiM.KiioN ANP COW i;n wci:. '■>i\'.) consideration and llie ori<;inal purchasci" is joined as the party receivin^j;- the increase.' W^here land is conveyed to persons wlio an- partners, it is ti"enerally mosi conx-enient, where the land is in- icndcd III he ])arl ncrsliip propert\', to nialxc ilic con- Aeyance to th(' partners as joint tenants ai law, but as part of their partnership property in equity. Upon a purchase by trustees, it is the usual practice to convey to them as joint tenants, so that on the death of one, the other or others will lake by sur\-ivorship. W^here it is desired for any purpose and in particular circum- stances not to create a joint tenancy, the conveyance shoidd exjDressly state that the q;rantees take as tenants in common. Land con\e\'ed to a man and his wife is not now conveyed to them as tenants bv entireties, l)ut as joint tenants or tenants in common, as the (\ase may be;" but a c-onveyancc to a husband and his wife and a third person will only give the husband and wife a moiet\- of the land between them.' SkCTIOX 2 h\)R.M AM) CoNTKXTS OF DkKD OF COWKVAXCK. (i.) COXVKVANCK OF FkKKHOLDS. Form axd Con'TKNTS of Dfkd. — The assurance of free- hold property to the purchaser is effected by deed, the form of which is .settled by him. It should be framed in su(-h a way that it may: .serve as a g"Ood root of title' at a future date. The ordinary parts of such a deed are the names and descriptions of the parties."* the recitals (if any), the o|o<'rative part (including- the con- sideration, the conveyance itself, the parcels, and the hiihcudiiui , and the covt^nants (if anv are required). Rt;< iTAi-s. — Recitals are of two kinds — narrative recitals and introdiiclory recitals. Narrative recitals relate the past history of the property conveyed; intro- ductorx' recitals indicate the purpose of the deed in which ' See E'fiiiiout v. Si)iith (1S77) 6 Ch. D. 469 ; but see Delves v. Gray (1902) 2 Ch. r.OG. ■^ Kc March (1884) 27 Ch. D. 166 ; riiornlcy v. Tlionilcv (1.S9J) 2 Ch. 229: /^f Dixon (1889) 42 Ch. D. 306. •' Rcjnpp (1888) 39 Ch. D. 148. * See (iitfc, p. 247. ■■ See diifc, p. 307-309. 310 VENDORS AND PURCHASERS. they are contained. As a general rule, no recital should be inserted which is not necessary to render the subse- quent part of the deed clear and intelligible, or which has not a logical connection with some operative part of the deed. Xo document or matters which are irrele- v£int, or which cast doubts on the validit}' of the title, or which might be difficult or impossible to explain or produce on a future sale, should be recited. In particu- lar cases, however, recitals not strictly necessary may frequently, with advantage, be included with a view to their becoming evidence under the provisions of the Vendor and Purchaser Act, 1874,' and thereby simplify- ing the title on a future sale. The contract for sale is not recited as a document; the fact of agreement is alone stated. If the vendor is himself entitled to the whole of the interest sold, a recital that he is seised in fee simple is desirable and useful, as it operates b}- way of estoppel ; but otherAvise it may be omitted altogether. Where the vendor is not an absolute owner, the recitals show how he is entitled to convey. When outstanding estates and interests are got in or released by the con- veyance, or where at the date of the contract the propertv is incumbered, and the incumbrancers are paid off on completion and join in the conveyance, the recitals show the title of these additional conveying parties. If the conveyance is made in exercise of a power, the recitals should show how the power was created, how^ it has become exercisable and that all necessary consents have been obtained, and, if possible, the consenting parties should join in the deed. CoNsiDKRATiox. — The consideration paid b\- the pur- chaser must be specified together with all other facts and circumstances which affect the dutv which will have to be paid;' the (^mission to do so, though it will not affect the sufficiency of the stamp, or the validitv (jf the deed, will expose the parties to a penalty,'' and may raise the presumption of a resulting use to the; vendor. Moreover, in the case of deeds executed after 1881, a receipt for consideration money in the bodv of a deed operates as a sufficient discharge to a purchaser, the paver thereof, without any further receipt being ' See ante. pp. 246, 258. - See post. pp. 326, 327. =' See Stamp Act, 1891, sect. 5. C()Mn.i:ri()\ and cc)NVi;v.\nci:. -ill endorsed ;' and such a receipt is also sufficient evidence, in deeds executed after 1881, of such payment in favour of a subsequent purchaser who has no notice that the mone\- has not in fact been paid;" and such a receipt, whether contained in the bod\' of the deed or indorsed on ii, operates as an authority to the purchaser to pay the nione\" to the solicitor who produces the deed.' Oi'i.KAiUi: Words. — The word "grant" is appro- priate, but not essential, to pass all hereditaments, corporeal and incorporeal; the word "convey" is fre- (|Ut'nil\- used instead, any word indicating- an intention to grant being sullicient for the purpose.' PxKCiiLS. — As a rule the description in the deed should correspond with the description in the contract for sale.' but if the description in the contract is not sufficientlv clear and precise, the purchaser is entitled to have inserietl in the deed such a new description, whether in the body of the deed or in a schedule, and supplemented by a plan attached thereto, as will clearly identifv the land intended to be conveyed;"" and where such a new description is inserted, it is desirable to connect it with the old description by stating that the lands were formerly known by the old description, giving the old description.' It is usual to describe the property conveyed both by words and by reference to a plan ; in which case it is desirable that the plan should be used merelv in aid of the description, and not as operating to enlarge or limit the verbal description. ** ' Conxeyancing Act. KSM , sect. 5.4. ' Ibid., sect. 55. •■* Ibid., sect. 56; Trustee Act, 1893, sect. 17. ^ See Co. Litt. 301 b. ; Real Property .\c». 1845. sect. 2 ; and see schedule to Conveyancing .\ct, 1881. '■ See Monifilicffi v. Werndswortli Borough Council (1908) 73 J. P. 91. •5 Re SaJJsoiii iitul Narbcth (1901) 1 Ch. 741 : and see Gonlon- Ciiiiiiiiin!< V. Hoiildsicortli (1910) A.C. 537. ■ Ibid. " See Llewellyn v.Jersev (1843) 11 M. & W. 183; Barton v. nones (1880) 10 C.B. 261; Davis v. She/)lierd (1866) 1 Ch. App. 410; Thompson v. Hickman (1907) 1 Ch. 550; A\' Sparrozv and James (1902) 79 L.J. Ch. 491 ; Re Sansniii and Ntrrbcfh. supra; EasHvood V. Ashton (1915) AC. 900. 312 VENDORS AND PURCHASERS. (xENERAL Words. — The parcels were formerly followed by what were called " general words," and " all the estate " clause, but these are rendered unnecessary by sections 6 and 63 of the Conveyancing Act, 1881, which appl}^ onl}' so far as a contrary intention is not expressed in the deed of conveAance. Thus, a conveyance of land is deemed to include and bv virtue of the Act operates to convev, with the land, all buildings, erections, fixtures, commons, hedges, ditches, fences, ways, waters, watercourses, liberties, privileges, easements, rights and advantages whatsoever, appertaining or reputed to appertain to the land or anv part thereof, or at the time of conveyance^ demised, occupied or enjoyed ■\yith, or reputed or known as part or parcel of or appur- tenant to the land or any part thereof;' (b) a conveyance of land, having houses or other buildings thereon, is deemed to include and by virtue of the Act operates to convey, with the land, houses, or other buildings, all outhouses, erections, fixtures, cellars, areas, courts, courtyards, cisterns, sewers, gutters, drains, wavs, passages, lights, watercourses, liberties, privileges, ease- ments, rights and advantages whatsoever, appertaining or reputed to appertain to the land, houses, or other buildings conveyed, or any of them, or anv part thereof, or at the time of conveyance, demised, occupied, or enjoyed with, or reputed or known as part or parcel of or appurtenant to, the land, houses, or other buildings conveyed, or any them, or any part thereof;^ (c) a con- veyance of a manor is deemed to include and bv virtue of the Act operates to convey, with the manor, all pastures, feedings, wastes, warrens, commons, mines, minerals, quarries, furzes, trees, woods, underw^oods, coppices and the ground and soil thereof, fishings, fisheries, fowlings, courts leet, courts baron, and other courts, view of frankpledge and all th£it belongs to view of frankpledge, mills, mtilctures, customs, tolls, duties, reliefs, heriots, lines, sums of monev, amercia- ments, waifs, estrays, chief rents, quit rents, rentcharge, rents seek, fee farm rents, services, royalties, liberties, privileges, easements, profits, advantages, rights, emolu- ments, and hereditaments whatsoever, to the manor ' See Hall v. Byron (1877) 4 Ch. D. 667. *■' Conveyancing Act, 1881, sect. 6 (1). •' Ibiil.. sect. 6 (2). CO.MPLKTION AM) C( >N\i:^ ANX K, 313 appertainirii^ or reputed to appertain, or at ihe time of conveyance demised, occupied, or enjoved with the same, or reputed or known as part, parcel, or member thereof;' and (d) every conveyance, by virtue oi the Act, is effectual to pass all the estate, ri^hi, title, interest, claim, and demand which the conveying" parties respec- tively have in, to, or on the property conveved, or expressed or intended so to be, or which they respec- tively have power to convey, in, to, or on the same." Section 6 of the Conveyancing- Act of 1881, is not intended, however, to alter the rights of the parlies under a contract of sale.' .\ contract for sale of land, either with or withoiu mention of "appurtenances," passes only such rij^hls, privileges, or easements as are legally appendant or appurtenant thereto; and does not in the absence of special stipulations, entitle the pur- chaser to have conveyed to him anv privileges, ea.se- menis, or advantages which were used bv the vendor in connection with the land sold oxer adjoining or other land of his own, but are not necessary for the enjf)\- ment of the propertv as sold.' The vendor may, there- fore, require that words shall be inserted in the con- veyance modifving the provisions of Section 6 of the Conveyancing Act, 1881, to the extent neces.sary to g"ive to the contract for sale its true effect." If, however, the use of some privilege or advantage over the adjoin- ing land retained by the vendor is necessary to the proper enjovment, as contemplated by the contract,'' of the propertv sold, the purchaser will be entitled to have that privilege or advantage granted to him by the con- veyance as a legal easement or right." And as the vendor ' Convej'ancing Act, 1881, sect. 6 (3) ■^ IhicL. sect. 63 (1). •' Re Peck and London School Board (1893) 2 Ch. 315 ; Re Wahiicslcv and Shaw (1917) 1 Ch. 93. ^ Bolton V. Bolton (1879) 11 Ch. D. 968 : Barkshire v. Gnibh (1881) 18 Ch. D. 616 ; Re Peck and London School Board, supra ; Re Hughes and Ashlev (1900) 2 Ch. 595 ; and see Birntinghani Banking Cov. v. Ross (1888) 38 Ch. D. 295: Burrows v. Lang (1901) 2 Ch. 502: (Godwin V. Schweppes (1902) 1 Ch. 926. ' Re Peck and London School Board, supra ; Re Hugltes antl Ashley, supra: and see Broonifield v. Williams (1897) 1 Cii. 602. 6 See Bayley v. G.W.R. Coy. (1884) 26 Ch. D. 434. ' See Brozcne v. Flower (1911) 1 Ch. 219, 224. 314 VEXDORS AND PURCHASERS. may, where necessar}', exclude or restrict the operation of the statutory general words and in place thereof, define his liabilities in express and unambiguous terms, so the purchaser is not obliged to accept the general description of his rights which would be given by such general words, but is entitled to have such rights par- ticularly and exactlv defined/ Exception's and Reservations. — If any exceptions or reservations are intended to be made, they will con- venientlv follow the description of the parcels. An exception must be of part of the thing granted and which is existing at the time, e.g., the minerals under the surface. A reservation is of some right created for the first time over or in connection with the thing granted, e.g., a rent or royalty, a right of way or other easement, or privilege to be enjoyed over the land, l^xcept where a conveyance of land is made under the Railwavs Clauses Consolidation Act, 1845, or the Waterworks Clauses Act, 1847, mines and minerals pass with a convevance of land unless thev are expressly excepted out of the grant. In everv case, where a ven- dor is selling part of his land, the nature and extent of the easements or quasi-easemenis which he intends to retain should not be left to mere presumption, but should be expresslv reser\-ed. l^nless the right to be reserved bv implication is clearly necessar\- to the enjovment of the property retained by the vendor, the ordinary rule, that a grantor shall not derogate from his absolute grant, will prevent its being claimed against the purchaser.^ But a purchaser is not entitled to an easement over the property retained by the vendor, to an extent inconsistent with the intention to be implied from the circumstances existing at the time of the sale and known to the purchaser, where the con- tract is silent on the question." ' See Bolton v. Bolfoti (1879) 11 Ch. D. 968; Berkshire v. Gnihh (1881) 18 Ch. D. 616: Re Pcch and London School Board (1893) 2 Ch. 315; Re Ihnihcs and Ashley (1900) 2 Ch. 595 ; Re Hinniniihani Banking Coy. v. Rosfi (1888) 38 Ch. D. 295. 2 See Broom field V. Williams (1897) 1 Ch. 602; Pollard v. Care (1901) ] Ch. 834; International Tea Stores v. Hobbs (1903) 2 Ch. 165: Allen V. Tavlor (1880) 16 Ch. D. 355; Wheeldon v. Biirrous (1879) 12 Ch. D. 3"l ; Cable v. Bryant (1908) 1 Ch. 259. » Birminfrtgage, restrictive covenants, an easement, or a subsisting tenancv for an\' term, the vendor is entitled to have the limitation in ihe con- \e\ance so expressed, in order that the operation of his covenant for title may not extend to the removal of such incumbrance;' but he cannot insist on property being conve\ed subject to covenants, conditions and restric- tions not mentioned in the abstract,' or which though mentioned in the abstract were not referred to in the particulars or (~onditions of sale." CV)\i:x AN rs FOR Titlk. — I^verv vendor of land, besides conveving the land sold to the purchaser, is always required to give the ustial covenants for title. The ordinary covenants for title are for right to convey, for fjuiei enjovment, for freedom from inctimbrances, and for further assurance. The \-endor need not "five abso- ' Conveyancing Act, 1881. sect. 51 -' Re F.thcl (uul Mitchells and Biitlcr (1901) 1 Ch. 945 ; h'c WJiistoii.s Sctflciiu'iit. Loviitf V Williaiiisoii (1894) KCli. r^rA ; Re Iricii, (1904) 2 Ch. 752. ■' Re Ethel uiul Mitchells ni * Diiviil V Scihin (1S9J) 1 Ch. 523; Pa^e v. MiJlmul Rlv. Cow (1894) 1 Ch. 11 ; May v. Phitt (1900) 1 Ch. 616. •■' Re Moiicktoii ami Cilzean (1884) 27 Ch. D. 555 '' Haniniaii v. Child (1885) 28 Ch. D. 712 ; Re Wallis and Barnard (1899) 2 Ch. 515. •316 VKxnaRs and purchasers. lute covenanis for ihe tiik' to the land sold,' but may limit his liability to the acts or omissions of himself and those claiming- by, through, under or in trust for him, and of those Avho have been in possession since the last conveyance for value.' The vendor's qualified covenants are now ustialh- imported into the deed of conveyance bv the use of the words prescribed by Section 7 of the Convevancino^ Act, 1881. and they vary in comprehensiveness according" to the character or capacity in which the vendor conveys.' Thus, in a con- veyance of freeholds made after 1881 for valuable con- sideration, other than a mortgage, the covenant implied on the part of a vendor who conveys as beneficial owner is that, notwithstanding an}^ act or omission by him or anyone through whom he derives title other- wise than by purchase for value, he has full power to convey the property in the manner expressed in the con- veyance; that the property shall be quietly enjoved by the grantee and his successors in title, freed and dis- charged from estates and incumbrances other than those to which the conveyance is expressly made subject; and that the reasonable requirements ot the purchaser for the purpose of further assuring the propety to him shall be complied with.'' Where a conveyance is expressed to be made by a person by direction of another who directs as beneficial owner, a covenant is implied on the part of the person so directing.' ^^"here a vendor conveys as trustee, mortgagee, per- sonal representative of a deceased person, committee of a lunatic so found," or under an order of the Court," there is implied only a covenant against incumbrances, limited to things done or suffered by the person so conveying, or ' Church V. Brou^n (1808) 15 Ves. 258. ■■* Sugden, V. & P., 14th ed., 574, 599, 605: and see Browning v. Wright (1799) 2 Bos. & P. 13, 22; Pickett v. Loggon (1807) 14 Ves. 215 ; Daviii v. Sabin (1893) 1 Ch. 523. ■' See Conveyancing Act, 1881, sect. 7 ; Dnviil v. Sabin, supru. ■* Ibid., sect. 7 (1) (A) ; David v Sabin. supra : Page v. Mid. Rly. Cov. (1894) 1 Ch. 11 : Mav v. Platf (1900) 1 Ch. 616; Turner v. Moon (1901) 2 Ch. 825 ; G.W.R. v. Fisher (1905) 1 Ch. 316 ; Eastu-ood v. Ashton (1915) A.C. 900. •'■ Conveyancing Act, 1881, sect. 7 (2). 6 Re Ray (1896) 1 Ch. 468. " See Cottrell v. Cottrell (1866) 2 Eq. 330. CC^MPLl.TION AND CONAKVANCli. 317 to which lie lias been pari\- or privy.' And a trustee cannot be C(jmpelled lo enter int(^ any but the usual limited covenant ai^ainst incumbrances." Where a tenant for life sells under his statutory powers.' or trustees sell with his consent, the implied covenants i^iven b}' the tenant for life are usuallv limited, as re- j^ards the reversion, to his (^\vn acts, and the acts of persons claiming under him;' but the mere fact that he conxeys as tenant for life in exercise of a power of itself confers no such protection.' Where the vendors are tenants in common, the covenants on the part of each are usually limited so as to apply only to their respective shares. If they are joint tenants, their covenants are .sometimes joint and. sometimes joint and several. '^ A \endor sellino- compulsorily under the Lands C'latises Consolidation Act, 1845,' does not enter into covenants for title; but upon a sale of land by the promoters of an undertaking the word " grant " implies the usual covenants for title.* The covenants for title implied by virtue of the Con- vevancing Act, 1881, are subject to any exception, vari- ation or extension expressed in the conveyance, and it is important in the vendor's interest that any matter to which it is not intended that the implied covenants shall ex.tend be expressly mentioned and the conveyance made subject thereto. ** And the object of the deed being not merelv to vest the estate in the purchaser, but to express in a binding and clear form all the terms of the con- tract, express or implied, between the parties so far as it has not been performed,'" it follows that all obligations ' Conveyancing Act. 1881, sect. 7 U) (F). - Worlcy V. Fnjiiipton (1846) 5 Hare. 560. " See post, pp. 333-336. ' See Re London Bridge Acts, ex parte ClotliieorL-ers' Cow (1842) 13 Sim. 176; Poulett v. Hood (1868) 5 Eq. 115: Re Saicver and liarinii (1884) 53 L.J. Ch. 1104. ' Re Tyrrell (1900) 82 L.T. 675. « Nat. Soc. &c. V. Gihbs (1900) 2JCh. 280. • See post. pp. 352-364. ■^ Lands CI. Consol. .\ct, 1845. sect. 132. •' See Page v. Mid. Rlv. Cov. (1894) 1 Ch. 11 ; May \ . Piatt (1900) 1 Ch. 616. "' Re Cooper and Crondace (1904) 90 L.T. 258. 318 VENDORS AND PURCHASERS. of either part}' which will not be satisfied at the time of completion should be expressly mentioned, since omis- sions from the conveyance cannot be supplied bv a reference to the contract/ The parties have no right to look at the contract for sale either for the purpose of enlargino- or diminshing- or modifying- the final contract which is to be found in the deed of conveyance." In certain circumstances, the vendor can require the purchaser to enter into some covenant or covenants with him by the deed of conveyance. Thus, if the property sold is the subject of any covenant or contract which is binding on the vendor, and under which the vendor ma\' incur liability in case the purchaser fails to perform or observe the covenant or contract, a purchaser who agrees to buy that interest in the land which the vendor is able and has contracted to convey is bound to enter into a covenant protecting the vendor from the consequences of any breach of such pre-existing covenant or contract;^ l)ut he is entitled to have the covenant so framed that its effect is limited to an adequate protection of the A^endor against liability.' On this principle, where land is sold subje.ct to some charge which the vendor is liable to pav, as on the sale of an equity of redemption, the purchaser is boimd to covenant to indemnify the \'endor against liability for non-payment of the charge.^ Similarly, where the land sold is subject to restrictive covenants as to user, and the vendor either was himself the covenantor, or has undertaken to respect the covenants, he would incur liabilities in the event of breaches of such covenants by the purchaser, and he is therefore entitled to a covenant for his protection." But where the contract for sale makes no mention that the land is subject to a restrictive covenant, the purchaser can insist on a conveyance according to the contract, and ' Williams V. Morgan (1850) 15 Q.H. 782; Tcchav v. Matichesfcr, /."-f., Rlv. (1883) 24 CI). D. 572 ; Grcvillc v. Hcniiiisiicay (1902) 87 L.T. 443. - Lcggott V. Barrett (1880) 15 Ch. D. 309. ' See Waring v. Ward (1802) 7 Yes. 332 ; Moxhay v. Indcru-ick (1847) 1 De {;. & S. 708. * Re Poole and Clarke (1904) 2 Ch. 173. ■'' Waring \ . Ward, supra. " Moxluiy V. I mhriciclc, supra. COMPLliTION AND CONVEYANCE. 319 is not bound to have such restrictive covenant inserted in the conveyance, and consequently he gives no covenant for indeninit\ in respect of it;' but he may be liable to observe it on the ground that he took the land with notice of liie restriction." Where land haxing a common title with other land is disposed of to a purchaser (other than a lessee or mort- gagee) who does not hold or obtain possessicjn of the documents forming the common title, such purchaser, notwithstanding any stipulation to the contrary, may require that a memorandum giving notice of anv provi- sion containetl in the disposition !'. liiin restrictive of user of, or giving rights over, an\' other land comprised in the common title, shall, where practicable, be indorsed on, or, where impracticable, be permanentlv annexed to some one docunient selected by the purchaser but retained in the possession or power of the person who makes the disposition, and being (jr forming part of the common title; but the title of any person omitting to require an indorsement to be made or a memorandum to be annexed is not affected or prejudiced b\- the omission.'' This provision does not. howcx'er. applv to dispositions of registered land.' The purchaser's right to a covenant for, or an acknow- ledgment of his right to production, and undertaki'ng for the s£ife custody of, documents of title retained bv the vendor, has al reach' been discussed.^ ii. ASSIRAXCK OF C'OPVHOLDS. Modi-; uv Assti^AXCE. — An assurance of copyhold land on sale is iisualh- effected by a surrender of the land by the vendor to the lord of the manor to the use of the purchaser, followed b\' the admittance of thi^ purchaser as tenant on the court rolls; such an admittance is essential to transfer the legal estate in ' See Re Monckton and Gilzean (1884) 28 Ch. D. 555; Hardwan and Child (1885) 28 Ch. D. 712 ; Re Wallis and Barnard (1899) 2 Ch. 515. 2 Re Wallis and Barnard . supra : Re Cloag and Miller (1883) 23 Ch. D. 320 ; and see post , pp. •' Conveyancing Act, 1911, sect. 11. * Ibid., and see ante, pp. 266-272. ' See ante, p. 238. 320 VENDORS AND PURCHASERS. ordinary cases. But a surrender is not necessary in all cases. Thus, where a testator devises his copyhold land; to such uses as his trustee shall appoint, or where there is no devise but the trustee has merely an authority to sell, the trustee can appoint the land by deed to a purchaser and the lord will be bound, to admit the appointee without the necessity of any mesne surrender or admittance and upon payment of a single tine only.^ And the same is the case where a trustee in bankruptcy sells copyhold land, forming part of the bankrupt's property." But if the land was devised to the trustee, he must be admitted tenant on the court rolls before he can confer the right to be admitted as a pur- chaser.^ Upon every change in the legal tenancy upon the court rolls, a fine is payable to the lord; but no fine is payable on the devolution of a merely equitable interest,' and such an interest is assignable by deed.' A person exercising the powers of a tenant for life under the Settled Land Acts, 1882 to 1890, can transfer the right to admittance to copyhold to a purchaser by an ordinary conveyance without surrender, and the steward of the manor is compellable to enter this on the court rolls, and the purchaser can thereupon claim to be admitted as tenant;* and only one fine is payable, even though the settlement was made bv a will containing a devise of the land to trustees, provided the trustees have not been admitted prior to the tenant for life's conveyance.^ And where copyholds are acquired com- pulsorily under the Lands Clauses Consolidation Act, 1845, no surrender is required.** Under the School Sites Act, 1841, conveyances of copyhold land not exceeding one acre in extent may be made for the purposes of the Act in the form given in Section 10 of that Act. > Glass V. Richardson (1852) 2 De G. M. & G. 658; R. v. Wilson (1862) 3 B. & S. 201 ; Re Hcathcote and Rawson (1913) 108 L.T. 185. 2 Bankruptcy Act, 1914, sect. 48 (4). " R. V. Garland (1870) 5 Q.B. 269. ' Hall V. Bromley (1887) 35 Ch. D. 642. •' See Scriven on Copyholds, 7th ed. 116. 6 Settled Lands Act, 1882, sect. 20. ' Re Naylor and Spcndla (1886) 34 Ch. D. 217. Lands CI. Consol. Act, 1845, sect. 95 ; and see post . pp. 352-364. COMPLKTION AND CON VliVANCi:. 321 CovKNAN'TS FOR TiTLK. — Covenants for title cannot he included or implied in a surrender, or entercti on the court rolls, and it is usual to have a separate deed con- taininii' them expressly or impliedh' ; and such a deed may be executed before or after the surrender. L'sually the deed takes the form of a covenant to surrender, in which case the statutory covenants for title may be imported into it.' If the covenants for title are contained in a deed executed after the surrender, thev must be inserted in tlicir full form, since the statute' does not then apply.'- iii. — Assukancf: of I.easi^holds. Modi-: of Asstraxck. — An assurance of leaseholds does not differ much from an assurance of freeholds, but there are necessarily certain essential dififerences. Practically all the negotiations previous to completion follow the ordinary course, except that the purchaser is precluded from calling- in question certain matters of title. ^ By the joint effect of the Statute of Frauds'" and the Real Property Act, 1845," an assurance of leaseholds must be by deed, even though the term does not exceed three years. Recitals. — It is usual to recite the lease and devolu- tion of title to the vendor; but where there have been numerous dealings with the property since the granting of the lease, the intermediate dealings are recited generally, and onh' the ultimate assurance to the vendor is particularly set otit. Parcels. — It is usual to describe the propertv as " all and singular the hereditaments and premises comprised in and demised by the said lease," or to repeat the de- scription as employed in the lease. Covenants for Title. — On an assurance of lease- holds for valuable consideration (other^vise than by way * See Conveyancing Act, 1881, sect. 2 (v). - Conv. Act, 1881. •' Ibid., sect. 2 (v). ^ See ante, p. 245. •' Sect. 3. 6 Sect. 3. 21 322 VENDORS AND PURCHASERS. of mortgage), the same covenants for title are implied by a person who conveys and is expressed to convey as benelicial owner as in the case of freeholds/ with an additional covenant that the lease is valid and subsisting and that all rent has been paid and all covenants have been performed at the time of conveyance.^ Where the conveyance is made by the vendor as settlor, or as trustee, mortgagee, personal representative of a deceased person, committee of a lunatic so found, or under an order of the court, the same statutory covenants are implied as in a similar conveyance of freeholds.^ Covenants by Purchaser. — Where the vendor will remain liable for the payment of rent or the performance of covenants under the lease, the purchaser must covenant to perform and observe the lessee's covenants and to indemnify the vendor againt liability in respect of any future omission or breach.* Sale in Lots. — Where leasehold property is sold in lots, the sale is usually effected by an assignment of the whole to one of the purchasers on trust to grant under- leases to the others; and trustees with a power of sale may adopt this method.* Section 3 — Completion. Execution of Conveyance. — Since January 1st, 1882, the purchaser is not entitled to require that the con- veyance to him shall be executed in his presence or in that of his solicitor; but he is entitled, at his own cost, to have the execution of the conveyance attested by some person appointed, by him, who may, if he thinks fit, be his solicitor.*^ As a rule, the purchaser can require the conveyance to be executed by the vendor and all necessarv parties in person, and cannot be required to accept execution on behalf of any necessary party by attorney, except where circumstances make this course ' See ante, pp. 315-319. 2 Conveyancing Act, 1881, sect. 7 (1) (B). » See ante, pp. 316, 317. " Sec post, pp. 329-331. 5 See Re Jiidd and Poland and Skelcher (1906) 1 Ch. 684, over- ruling Re Walker and Oakshott (1901) 2 Ch. 383. ^ Conveyancing Act, 1881, sect. 8; and see Vincy v. Chaplin (1858) 2 De G. & J. 468 ; Essex v. Daniell (1875) 10 C.P. 538 ; and see Land Transfer Act. 1897, sect. 9 (1). COMPLETION AND CONVEYANCE. 323 absolutely necessary ;' and in this latter case, the pur- chaser should be satisfied that the power of attorney has not been revoked, or that it is valicl in favour of the pur- chaser notwithstanding- any matter which would operate to revoke it.^ Execution by the purchaser is necessary where the conveyance contains any covenants by him or reservations of easements to the vendor ; though after the purchaser has accepted the benefit of the convey- ance, his non-execution will not prevent the vendor and persons claiming under or through him from enforcing their rights.' Payment of Purchase-Money and Receipt. — As a rule payment of money due should be made to the per- son to \vhom it is due; payment to his solicitor or other agent is no discharge of the debt, unless such solicitor or agent is expressh- or impliedly authorised to receive it." But, on the completion of sales of land, where a vendor has executed a deed having- in the body thereof or indorsed thereon a receipt for the purchase-money, and the deed is produced by the vendor's solicitor, the deed is sufficient authority to the purchaser to pay or give the purchase-monev to the solicitor, without the solicitor producing any separate or other direction or authority for the purpose from the vendor."^ The solicitor must be the solicitor acting for the vendor in the transaction, and he must actually produce the deed; the fact that the deed is under his control is in itself insufficient. "^ The payment to the solicitor must be made in cash, unless the solicitor is authorised to receive pa}'- ment bv cheque.^ \ 1 Mitchel V. Neale (1755) 2 Ves. Sen. 679; Noel v. Weston (1821) Madd. & G. 50. - See Conveyancing Act, 1881, sect. 47 : Trustee Act, 1893, sect. 23. •'• See Doiiglaf; v. Lock (1835) 2 Ad. & El. 705 : Promi v. Bates (1865) 11 Jur. (N.S') 441 ; Willson v. Leonard (1840) 3 Beav. 373; May v. Belleville (1905) 2 Ch. 605. * Viney v. Chaplin (1858) 2 De G. & J. 468 ; Ex parte Swinbanks (1879) 11 Ch. D. 525. ■^ Conveyancing Act, 1881, sect. 56. 6 Day V. WooluHch Rqiiit. Blclti. Socy. (ISSS) 40 Ch. D. 491 : but see King v. Smith (1900) 2 Ch. 425. ■ See Clarke v. King (1826) 2 C. & P. 286 : Bluinberg v. Life Interests, &c., Corpn. (1897) 1 Ch. 171 ; (1898) 1 Ch. 27; Johnson v. Boyes (1899) 2 Ch. 73. 324 VENDORS AND PURCHASERS. Section 56 of the Conveyancing Act, 1881, does not apply to sales by trustees, so that until this section was extended to such cases by the Trustee Act, 1888, Section 2, replaced by the Trustee Act, 1893, Section 17, a pur- chaser might decline to pay the purchase-money to the trustees' solicitor, as it would in general be a breach of trust for trustees to allow their solicitor to receive such payment on their behalf/ But now a trustee or trustees may appoint a solicitor to receive payment of the pur- chase-money, and to give a discharge for the same, by permitting the solicitor to have the custody of and to produce a deed containing an}" such receipt as is referred to in Section 56 of the Conveyancing Act, 1881 ;' and a purchaser is not concerned to inquire whether the soli- citor has in fact been appointed to receive the purchase- money unless there are suspicious circumstances.'' But, for this purpose, a deed executed by an attorney for the trustees is not sufficient.* If the receipt appears in the body of the deed, no en- dorsed receipt is necessary,^ and a receipt either in the bod}' of the deed or endorsed thereon is sufficient evi- dence of payment in favour of a subsequent purchaser not having notice that payment was not in fact made;" and such a receipt creates an estoppel in favour of a purchaser against a vendor whose agent misappro- priates the purchase-money.^ Absence of a receipt is sufficient to put a subsequent purchaser upon inquiry as to whether the original purchaser paid the purchase- money.^ Where there are incumbrances upon the property sold which are discharged out of the purchase-money, the ' Re Bellamy and Mctrop. Board of Works (1883) 24 Ch. D. 387- Re Hefliiig and Merton (1893) 3 Ch. 269. 2 Trustee Act, 1893, sect. 17. * Re Hetling and Merton, supra ; Kint^ v. Siiiifli (1900) 2 Ch. 425. ^ Re HetUnti and Merton. supra; and see 7?t' SJieppard (1911) 1 Ch. 50. •' Conveyancing Act, 1881, sect. 54. ^ Ibid., sect. 55. " See Hunter v. Walters (1871) 7 Ch. App. 85 ; Bickcrton v. Walker (1885) 31 Ch. D. 151 ; Bateman v. Hunt (1904) 2 K.B. 530. '^ Grcenslade v. Dare (1855) 20 Beav. 284 ; Kennedy v. Green (1834) 3 My. & K. 699. (•().Mi'M:ri()\ AM) coNxicvwcic. 325 purchast'i' must pay the proper amounts to the incum- brancers direct, and only pay the balance to the vendor. Where there are several mortgagees who are expressed (in a mortgage executed since IScSl) to have iidvaiiced the mortgage money (jn a joint acc(junt, or j(jintly, the receipt in writing of the survivors or last survivor of them, or of the personal representatives of the last sur- vivor, is a complete discharge for any money thu- under the mortgage.' And the written receipt of a mortgagee is a suiticient discharge for any money arising on a sale under the mortgagee's statutory power, and a person paying the same to the mortgagee is not ccjncerned to inquire whether any money remains due on the mort- gage.' Where the mortgagees are trustees, but the existence of the trust is not disclosed, the Court will not go behind a recital that the money is advanced on a joint account, and a purchaser need not concern himself with the trusts.' Hut where the trust is disclosed, the pur- chaser must satisfy himself that he will get a valid re- ceipt from the trustee mortgagees.' A written receipt by a trustee for money j^ayable to him under any trust or power is a sufficient discharge, and the purchaser is not required to see to the appli- cation of the purchase-money.^ All trustees who have not disclaimed the trust or retired from it ought to join." Where they are unable to give a discharge for the money, it may be paid into Court,' or if the amount be under i'oOO, into a I'ost Office Savings Bank."* As a rule, a surviving trustee mav exercise the powers of the trustees, and accordingly may give a valid receipt;® but A\here trustees are appointed bv the Court to receive ' Conveyancing Act, 1881, sect. 61. - Ihiil . sect. 22 (1) : and see Hockey v. Western (1898) 78 L.T. 1 ■^ Re Haniuin and Uxhridf^e, &c., RIy. Coy. (1883) 24 Ch. D. 720. * Re Rlaiher^ and Abrahams (1899) 2 Ch. 340. •■' Trustee Act, 1893, sect. 20 (1). « Lee V. Sankcv (1873) 15 Rq. 204; Hall v. Franck (1849) 11 Heav. 519; Locke v. Lomas (1852) 5 DeC. & Sm. 326; Hope v. Liddcll (1855) 21 Beav. 183. ' Trustee Act, 1893, sect. 42 ; Cox v. Cox (1855) 1 K. (S: J. 251 . " County Courts .\ct, 1888, sect. 70. •' Trustee .\ct, 1893, sect. 22. 326 VENDORS AND PURCHASERS. the purchase-money arising on a sale out of Court, the purchaser should not pay the purchase-money to the surviving trustee, but should pay it into Court.' Adjustment of Accounts. — The subjects of compen- sation for misdescription,^ apportionment or rents and profits and outgoings,' and the handing over of title deeds on completion,'' have already been discussed. Section 4 — Stamps. Rates of Stamp Duty. — A conveyance on be stamped at the following rates of duty : — ' Where the amount or value of the considera- tion for the sale does not exceed £5 ... Exceeds £5 and does not exceed £10 £10 £15 £20 £25 £50 £75 £100 £125 £150 £175 £200 £225 £250 £275 £300 £15 £20 £25 £50 £75 £100 £125 £150 £175 £200 £225 £250 £275 £300 sale,' must c £ s. d. 1 2 3 4 5 10 15 1 1 5 1 10 1 15 2 2 5 2 10 2 15 a 10 For every £50, and also for any fractional part of £50, of such amount or value ... If, however, the amount or value of the consideration for the sale does not exceed £500, and the instrument contains a statement certifying that the transaction there- by effected does not form part of a larger transaction, or of a series of transactions, the aggregate value of which exceeds £500, the diit\- will be only half the dut}' stated above. ^ ' It would be contrary to the usual practice of the court to do Otherwise. 2 See cinfc. pp. 231-235. •' See ante, pp. 235-237. " See ante, p. 238. '• See infra, p. 327. '^ Stamp Act, 1891, sched. 1 ; amended by I'inance (1900-10) Act, 1910, sect. 73. ' Finance (1909-10) Act, 1910, sect. 73. CO.MPI.KTIOX AND (( )N\■|•:^ AXCK, -VJT .Mi:ANIN(i OF " L'ONVKYANCE ON SaLK." — A " ((Jlivev- aiict* on sale " includes every instrunieni and every de- cree or ortler of anv Court, or of any commissioners, wherebv an\- propert\' and any estate or interest in any property, upon the sale thereof is transferred to or vested in a purchaser, or an\- other person on his behalf or by his direction.' CnNVKVAXCK OF Si:i'AKATK PaRCKLS BY DlFFFKi:XT Dkkds. — Where property contracted to be sold for one consideration is conveyed to the purchaser in separate parcels b\' different instruments, the consideration is apportionable as the parties think iit; but a distinct con- sideration for each separate part must be set forth in each instrument, and tiie dutv must be paid in respect of each convexance accordingly.' Where the contract is for sale at one consideration to two or more persons jointl}-, or to a person purchasing on' behalf of several, and tile property is conveyed in separate parcels and for distinct considerations to the .several persons interested, each conveyance is chargeable in respect of the part of the consideration therein specified.' C()xvf:vancf to Sub-Purchasf:r. — Where a convey- ance is made direct to a sub-purchaser, the duty payable is calculated in respect of the purchase-money paid by the sub-purchaser.' The .same rule applies where ther-'^ are several sub-purchasers, no regard being paid to the value of the original consideration.^ SeCTIOX 5 RkGISTR.\TION, ExROLMFXr AXn XOTICFS. Registration'. — Whenever the land .sold is situate in the counties of Middlesex or Yorkshire, or in the Bed- ford Level district, a memorial of the convevance should be registered as soon as po.ssible after execution."^ The registration of title under the Land Transfer Acts, 187-') and 1807, has already been discu.ssed.' ^ Stamp Act. 1891, sect. 54; and see Finance (1900-10) .\ct, 1910, sect. 6. ■■^ Stamp Act. 1891. sect. 58 (1) ; see Finance (1909-10) Act, 1910. sect. 73. '■' Stamp .Act, 1891. sect. 58 (J). ' Ibid., sect. 58 (4). •'■ fhid.. sect. 58 (5). ^ Middlese.x Registry .\ct, 1708, sect. 1 ; Land Registry (Middlesex Deeds) .'\ct, 1891, sect.' 1 ; Yorksliire Registries .Act, 1884, sects. 3. 4; Bedford Le\el .\ct, 1663. • See f7;/^f, pp. 2667272. ^28 VENDORS AND PURCHASERS. Enrolment. — Assurances of land in favour of chari- ties must be made by deed executed in the presence of at least two witnesses, and must be enrolled within six months of execution in the Central Office/ The Court may order the enrolment of certain assurances notwith- standing that they have not been enrolled within the requisite time, if satisfied that the omission to enrol the deed in proper time has arisen from ignorance or inad- vertence, or through destruction or loss of the deed b}' time or accident." Assurances for certain purposes, and to certain universities, colleges, and societies, are, how- ever, exempted from these provisions.^ Where the ven- dor of freehold is a tenant in tail, and it is intended to bar the entail and pass an estate in fee simple, the assurance must be enrolled by either vendor or purchaser within six months after execution by the vendor, in the Central Office;^ and a deed barring an estate tail in copyhold must be entered on the court rolls of the manoi-* within the same period." Notices. — On the purchase of an equitable estate In land, notice of the transaction should always be given to the persons in whom the legal estate is vested, especi- ally if thev are mortgagees, in order to prevent further advances being made by them to the mortgagor which might be valid as against the purchaser. Section 6 — Rectification and Restitution. Rectification of Conveyance. — The power of the Court to rectify a deed of conveyance on the ground of mistake, so as to make it conform to the real agreement between the parties, has already been discussed/ Restitution. — Where there has been mistake in a substantial and material matter going to the root of the contract, or fraud or misrepresentation amounting to fraud, on the part of one of the parties, and the parties ' See Mortmain and Charitable Uses Act, 1888, sect. 4. ^ Ihid., sect. 5. •^ Ibid., sects. 6 and 7. ^ Fines and Reco\eries Act, 1S33, sect. 41. ■' Ibid., sects. 50, 54. * See ante, p. 63, and, <;enerallj', pp. 61-69. I COMPLETION AND CONVEYANCE. 329 fan be restored suhsianiiall}- lo their orijj^inal jxjsition.s. the Court will, in a proper rase, order a reconveyance of the propert\- to the \endor and restoration of the pur- chase-money to the purchaser, with all necessary adjust- ment of accotints.' Section T — Ric;hts and Obligations of Parties as tc> covknants. Covi:.\ANTs RuxNixci WITH nil-: Land. — Covenants touching or concerning land, if entered into with a per- son having an estate therein, are said to run with the land, i.e., the benefit of them passes to every successive transferee of the land, provided that he is in the same estate as the original covenantee." Covenants for title, and covenants to indemnify land against charges on it, are instances of covenants of this kind. It is not necessary, in order to make the benefit of a covenant run with the land, that the word " assigns" or even " heirs " should be used.' At law, the burden of a covenant between vendor and purchaser as to the user, etc., of land, unless operating as a grant of an easement or rent or other estate in the land.' never runs A\ith th" land so as to affect a purchaser from tJie e-o\-enantor.' Such a covenant is, ne\'ertheless, valid and binding for all time against the covenantor personally, whether an individual or a corporation, and as against the estate of the covenantor after his death." It is enforceable so long as the covenantor retains the land to which the covenant relates, by an action for specific performance, and after he has parted with the land it sounds in damages. In equity, however, a restrictive covenant, i.e-, one of a negative or prohibitive character such as against build- ing on the land or carrying on objectionable trades, etc., as distinguished from affirmative covenants, such as to erect or mainlain buildings, will hv binding on a ' See, generally, ante, pp. 63, 70-78. ■^ Spencer'.-; Case (1582) 1 Sm. L.C. 22. •' Conveyancing Act, 1881, sect. 58. ■* See Rowhotluini \. \V'(7.so/i, 8 H.L.C. 348. « Austerberry v. Oldluuii Coi-pn. (1885) 29 Ch. D. 750. « S.E. Rly. Coy. v. Assoc. Portland Cement Coy. (1910) 1 Ch. 12. 330 VENDORS AND PURCHASERS, purchaser, including a lessee,^ taking with notice,^ other- wise than through a purchaser for value without notice;" and such notice may be constructive only, and will be implied against a purchaser who neglects to make or debars himself by the contract from making the usual examination of title, which, if made, would have brought the restriction to light/ A scjuatter, however, and per- sons claiming under him, is bound by a restrictive covenant of which he has no notice.' Injunction against Breach. — As regards such restrictive or negative covenants, equity will interfere by injunction against the original covenantor, or any per- son claiming under him, either as a volunteer or as pur- chaser for valuable consideration with notice of the covenant, to restrain him from doing any act which would be a breach of the covenant.*^ Application of Rule in Tidk v. Moxhay.— Restrictive covenants are generally intended to prevent some adjoining land belonging to the covenantee from being depreciated by the acts prohibited. If the covenantee afterwards conveys to another the whole or part of the adjoining land, the benefit of the covenant will pass in equity to thq grantee if it appears from the deed of conveyance or can be implied from the cir- cumstances of the case, that it was the intention of the parties that the benefit should so pass, but not other- wise.' And such an intention will more readily be pre- sumed where the sale comprises the whole of the land than where it comprises a part only.* 1 Hollou-ay v. Hill (1902) 2 Ch. 612. 2 Tulk V. Moxhay (1848) 2 Ph. 774. ••* Walker v. Spooncr (1911) 2 K.B. 473. •■ Patman v. Harland (1881) 17 Cb. D. Z5i: Nottimllunii Brick Coy, V. Butler (1886) 16 Q.B.D. 778 ; Re Cox and Neve (1S91) 2 Ch. 109. '' Re Nisheff and Potts (1906) 1 Ch. 386. 6 See Tulk v. Moxhay (1848) 2 I'h. 774 ; Cafo \ . Thompson (1882) 9 Q.B.D. 618. ' Renals v. Cowlishaw (1879) 11 Ch. D. 866; Rogers v. Hoscgood (1900) W.N. 157; Elliston v. Readier (1908) 2 Ch. 374; Reid v. Bickerstaff (1909) 2 Ch. 305. " Keatcs v. Lyon (1869) 4 Ch. 218. COMPLETION AND C ()N\ i;VAN( IC. 'hU Building Schlmk. — W'herr there is a building scheme tor tlie sale of an estate in lots accordino- to some defined plan, and it is part of the arrangement that the pur- chasers shall enter into restrictive covenants for their benefit, in such case, the covenants, though expressed to be entered into with the vendor only, will be mutually enforceable in ecjuity by and against all persons who come in as purchasers under tlie scheme.' Whether there is a building scheme intended to be binding on all purchasers inter se, is a question of fact depending on the particulars and conditions of sale, and the other circumstances of the case, and it is a material circum- stance that the sale comprises the whole of the vendor's estate in the particular place. If a part of the property is not included in the sale, the prima facie inference would be that the covenants are for the protection of the vendor in respect of the retained land.^ If a vendor shows an intending purchaser a plan of a building estate show- ing plots with houses marked on them, and the agree- ment with regard to a plot of land purchased by the purchaser is on a printed form and contains restrictive stipulations, the purchaser is not entitled to assume that the whole estate is governed by a building scheme, and that the other plots shall be built upon strictly in accord- ance with the plan and subject to the same stipulations.' ' Collins V. Castle (1887) 36 Ch. D. 243: Mackenzie v. Cliihlers (1890) 43 Ch. D. 265. ■^ Nottingham Brick- Coy. v. Butler (1886) 16 Ci H.D. 778 : Collins v. Castle, supra ; Re Birniin^haui Land Cov irml Altilav (1893) 1 Ch. 342. ■■' Tucker V. Vou-les (1893) 1 Ch. 195; and see /iVt;v// \ . Reniin! Skctiox 2 — Mom-: and C'oxdlct oi- Sai.i:. Modi-: of Sai.f. — The sale may be ortk'red to be carried out either {a) b\- ,layini:;- proposals before the judge in (hanibers for his sanction, or (b) by proceedings alto- gether out of couri, an\- moneys produced thereby being ])aid into court or to trustees, or otherwise dealt with as the judge in chambers may decide. Proceedings altogether out of court are not to be authorised unless and until the judge is satisfied by such evidence as he deems sufficient thai all persons interested in the land to be sold are before the Court or are boimd by the order for sale, and every order authorising such proceedings must be prefaced by a declaration that the judge is so satislu'd and a statement of the e\"idence tipon \\hicli sucli declaration is made.' The sale is, as a rule, by public auction ;" but proposals may be carried in for sale by private contract.' An advantageous offer will be at once accepted," and without intiuiry in chambers, if the evidence is satisfactory.' CoNF)UCT of S\li:. — The conduct of the sale is (except in cases of administration, where the property ordered to be sold is vested in an executor, administrator, or trustee") usually given to the plaintiff or other person having the carriage of the judgment or order ;'^ though but for the action he might not have been entitled to interfere in the .sale;^ unless he has leave to bid.* But the conduct of the sale rnay be given to another w'here a probable benefit, e.g., by saving expense, will result to ' Order 51. Rule la; and see Pitt v. White. 57 L.T. 659; Re Stcdman, 58 L.T. 709 : Ciimhcrlomi Banking Co. v. Mnryfiort Sfccl Coy. (1892) 1 Ch. 92. i '^ See Pcmbcrton v. Barnes (1872) 13 Eq. 349. •' Pimm V. Insall (1853), 10 Ha. Appendix II. l.Kxi/. ; O.sbornc v. Foreman (1856). 8 De G.M. & G. 122; Barloiv v. Osborne (1858). 6 H L. Cas. 556; Bousfield v. Hodges (1863). il Beas-. 90; Berry v. Gibbons, ex parte Lee (1872). 15 F-q. 150; Re Thomas. Barfley v. Thomas (1911), 55 Sol. Jo. 567. * Pimm V. Insall, supra. * See Order 50, Rule 10. « Knotty. Cottee (1859) 27 Beav. 33, Dale v. Hamilton (1853) 10 Hare, App. I., vii. ■ Dale V. Hamilton, supra. " Domville v. Berringfon, 2 Y. & C. 723 : Sidnev v. Riinger, 12 Sim. 118. ' • -350 VENDORS AND PURCHASERS. the parties/ If the conduct of the sale has been given to some independent person, neither the plaintiff nor the defendant, with liberty to bid, will be allowed to interfere by advertising the sale.' The solicitor of the party having the conduct of the sale is considered, as between vendor and purchaser, to be the agent of all parties to ■the sale f and everv party having the title deeds is bound to facilitate the sale.' Leave to Bid. — As a general rule a party to the action will not be allowed to bid at the sale, or become the purchaser without previously obtaining leave;" but the sale will not necessarily be set aside because a party to the action has without leave bid and become the pur- chaser.'^ Leave to bid is sometimes contained in the judgment or order for sale, but an order for that purpose may be obtained at chambers on notice to the other parties. Leave to bid will not in general be given to the party having the conduct of the sale,^ nor to an executor in an administration action;* nor to a receiver;® nor to a trustee unless all the beneficiaries who are of age con- sent and no other purchaser at an adequate price can be found;" nor to a solicitor of a part}' who cannot himself buy." If all parties to the action obtain leave to bid, the conduct of the sale will be given to an independent solicitor.'" 1 Dixon V. Pyner (1850) 7 Ha. 331 ; Knott v. Cottee (1859) 27 Beav. 33; Hewitt V. Nanson (1858) 7 W.R. 5; Davics v. Wright (1886) 32 Ch. D. 220 ; Woollcy v. Cohiian, 21 Ch. D. 169 ; Cobdcn v. Maynard, 1 N.R. 354 ; Re Gardner (1879) 48 L.J. Ch. 644 ; Re Love (1885) 29 Cli. D. 348. '■* Dean v. Wilson. 10 Ch. D. 136. •^ Dalhy v. Piillen (1830) 1 Russ. & M. 296; Dale v. Hamilton, (1853) 10 Hare, Appendix I. vii. ; Re Banister (1879) 12 Ch. D. 131. ' Knott V. Cottee, supra ; Livescy v. Harding, 1 Beav. 343. •'• Elu-orthy v. Billing (1841) 10 Sim. 98. •^ Wilson V. Greenwood, ibid, 101 n. ; and see Sidney v. Ranger (1481) 12 Sim. 118. ' Dovivillc V. Bcrrington, 2 Y. & C. 723 : Sidney v. Ranger, supra ; Verrall v. Cathcart, 27 W.R. 645. " Geldard v. Randall, 9 Jur. 1085 ; Coaks v. Boswell, 11 App. Cas. 232. 3 Nugent V. Nugent (1907) 2 Ch. 292 ; (1908) 1 Ch. 546. '"> Tennant v. Trenchard, 8 Ch. 537 ; Farmer v. Dean, 32 Beav. 327. " Guest V. Smythe, 5 Ch. 551. •2 Dean v. Wilson (1878) 10 Ch. D. 136. s\Li:s r.\i)i:i^ oi^ni-u of court. 351 Pari icn.Aus and C'ondu ions. — By Order 5J, rule 2, before a sale b\- the Court, an abstract (jf the title is, unless other^vise < rdered, to be laid before a conveyanc- ino; counsel for his opinion, toenable the Court to give the necessary directions respecting the conditions, and other matters connected with the sale; and a time for delivery of the abstract is to l)e specified in the conditions; but the Court has discretion to dispense with his assistance.' The conveyancing^ coimsel, as between vendor and pur- chaser is treated as the agent of the vendor." The formal conditions of sale are prepared by the solicitor of the party having the conduct of the sale, and are, together with the abstract and memorandum of reference, laid before the conve^•ancing counsel, b\' whom the special conditions are prepared and settled. A\"hen the par- ticulars and conditions of sale have been settled bv the conveyancing counsel, and his certificate that the sale may proceed has been obtained, the auctioneer is appointed and his remuneration is fixed, and the state- ment of the reserve price is handed to him in a sealed envelope which is not to be opened till the sale."^ Ckrtifving THi^ Result. — By Order 51, Rule 6a, the particulars of sale are to be signed by, and the result of the sale certified under the hands of the auctioneer and the solicitor of the party having the conduct of the sale. The Master then makes his certificate of the result of the sale, and this is transmitted by the ^Master to the Central Office to be there filed, and thenceforth becomes binding on all parties to the proceedings, unless discharged or varied on application by summons, within eight clear days after the filing; subject to the power of the Court, on motion or summons, to open anv such certificate at anv time after the same has become bindintj.' ' See Gibson v. WooUard (1854) 5 De M. & G. 835 ; Re Jones (1855) 1 Jur. N.S. 817; Ralph v. Morton (1870) 19 W.R. 220. * Re Banister, 12 Ch. D. 131. •■' See Pitt \. White (1887) 57 L.T. 650: Re Stedwan (1888) 58 L.T. 709; Re Walfonl (1888) W.N. 178. * Order 55. rules 70, 71 ; and see Bridger v. Pen/old, 1 K. & J. 28: Barlow v. Osborne (1858) 6 H.L.C. 556. CHAPTER III. SALES UNDER THE LANDS CLAUSES ACTS. Section 1 — Introductory. Object of Lands Clauses Acts — Prior to 1845, every Special Act of Parliament authorising the acquisi- tion of land for public purposes or for the purposes of commercial undertakings of public utility such as rail- ways, canals, and waterworks, had to be self-contained and always comprised a large number of clauses com- mon to all such Acts, combined with special clauses peculiar to the undertaking" authorised bv the Act. In order to diminish the bulk of these special Acts, and to ensure precision, brevity, and, as far as possible, uni- formity, the clauses which were common and indispens- able to all these Special Acts were classified into one general Act called the Lands Clauses Consolidation Act, 1845, so that every Special Act afterwards passed might incorporate the general Act by reference. The principal .\ct has since been amended by subsequent Acts,^ and these are all to be read together as constituting a single code. Enabling and Restrictive Provisions of Code. — The promoters of an undertaking cannot take or inter- fere with any particular piece of land unless it is clear from their Special Act that they are authorised to do so. Otherwise, the promoters may enter upon, take, and use the lands delineated and described in the plans and books of reference deposited by them on application to Parlia- ment for the necessary compulsory powers of acquisition and sanctioned by the Special Act. Although an ease- ment over or through certain land might be sufficient for the purposes of the promoters, they cannot compel a land- owner to grant them such an easement.^ nor are they enabled to take a stratum of land only or to appropriate ' The Lands Clauses Consolidation Acts Amendment Act, 1860 ; the Lands Clauses Consolidation Act, 1869 ; the Lands Clauses (Umpire) Act, 1883 ; the Lands Clauses (Taxation of Costs) Act, 1895 ; the Acquisition of Land (Assessment of Compensation) Act, 1919. '^ See Pinchin w London & Blacliwall Rly. Cov. (1854) 5 De. G.M. and G. 851 ; Re Metrop. Rly. Co. and Cosh (1880) 13 Ch. D. 607. SALi:s rXDKR LANDS CLAUSES ACTS. 353 * aiul use tlu' subsoil onlv, c^., for the purpose of makini^ a uinnel ;' the entire land must be purchased in the abscnci' of special provisions to the contrar\-, c^r unless the owner is willinof to agree otherwise." The plans and books of reference referred to above are only binding to the extent to which they are incorporated and referred to in the Special Act, and only for the purposes in regard to which that Act refers to them.' The purposes for which the land may be taken ma\- include the execution of works, in which case the land mux be taken for all the works, of whatever nature, authorised to be executed ' The power to determine which portion of the land is required for their legitimate purposes rests with the pro- moters of the undertaking," and it is immaterial that the w(jrks might be carried out in another wax which might cause less inconvenience," provided the promoters act honestly and in good faith.' Superfluous Lands. — Lands acquired under the Special Act, whether by agreement with the owners thereof or compulsorily, which are subsequently found to be superfluous for the purposes of the undertaking, must be sold within the period prescribed by the Special Act, or, if no period is prescribed, within 10 years after the expiration of the time limited in the Special Act for ' Ramsdcti v. Munch. & Alfrincham Rly. Coy. (1848) 1 Exch. 723: Falkner v. Somerset and Dorset Rlv. Coy. (1873) 16 Eq. 458 ; Mctrop. Rly. Coy. v. Fowler (1893) A.C. 416. -' G.W.Rly. Cov. V. Swindon &c. Rly. Cow (1884) 9 App. Cas. 787: Farmer V. Waterloo & Citv Rly. Coy. (1895)" 1 Cli. 527: Roderick v. Aston Local Board (1877) 5 Ch. D. 328. •■ N.B Rlv. V. Todd (1846) 12 CI. & Fin. 722: Beardmerv. L.N.W. Rly. Cov. (1849) 1 Mac. & G. 112, 114 : Breynton v. L.N.W. Rlv. (1846) 10 Beav. 238: R. v. Cal. Rly. Coy. (1850) 16 Q.B. 19: Att'.-Gcn.v G.E. Rlv. Coy. (1872) 7 Ch. App. 475: Re Huddersfield Corpn. and Jacomb (1874) 10 Ch. App. 92. ' Simpson v. S. Staffs Waterworks Coy. (1865) 34 L.J. Ch. 380: Cother V. Mid Rly. Coy. (1848) 5 Ry. & Can. Cas. 187 : London Assoc, of Shipowners v. London, &c. Joint Committee (1892) 3 Ch. 240 : Webb V. Manch. & Leeds Rly. Coy. (1839) 4 My. &. Cr. 116: and see Galloway y. London Corporation (1866) 1 H.L. 34. ^ Stockton and Darlington Rly. Co^k v. Brown (1860) 9 H.L. Cas. 246. « Ibid. ; LB. & S.C.Rly. v. Truman (1885) 11 App. Cas. 45. ' Ibid. ; Webb v. Manch. & Leeds Rly. Coy. (1839) 4 My. & Cr. 116 Flower v. LB. & S.C.Rly. (1865) 34 L.J. Ch. 540 : Kemp v. S.F.Rlv. Coy. (1872) 7 Ch. App. 364 : Errington v. Metrop. Dist. Rly. (1882) 19 Ch. D. 559. 23 354 VENDORS AND PURCHASERS. the completion of the works.' The promoters may sell such lands at any time they consider the land super- fluous; the sale must be an absolute sale and the pro- moters mav not retain anv interest in such land." Before sale, the promoters must, unless the superfluous lands are situate within a town or are lands built upon or used for building purposes, first offer to sell the same to the person then entitled to the land, if any, from which the same were originally severed.^ If such person refuses to purchase the lands, or cannot be found, then the like offer must be made to the person or persons, including those having limited interests, whose lands adjoin the lands so proposed to be sold, provided those persons are capable of entering into a contract for such purchase.* If any person having such a right of pre-emption desires to exercise it, he must signify his desire to the promoters within six weeks after their offer. If he accepts the offer but fails to agree with the promoters as to the price of the land, the price must be ascertained bv arbitration, and upon payment or tender to the promoters of the purchase-money so agreed or determined thev must convey the land to the purchaser.* If the promoters make default in absolutely selling or disposing of the superfluous lands within the time limited, then all super- fluous lands remaining unsold at the expiration of that period absolutely vest in and become the propertv of the owners of the land adjoining in proportion to the extent of their lands respectively adjoining the same.* ' Lands Cl. Act, 1845, Sect. 127. ■^ See L. & S.W.RIv. Cow v. Goiiiiii (1S82) 20 Ch. D. 526: Ray v. Walker (1892) 2 Q.B. 82 ; Re Thackeray and Young (1888) 40 Ch. D. 34 ; Re Higgins and Hitchman (1882) 21 Ch. D. 95. =^ Lands Cl. Consol. Act, 1845, sect. 128 ; See //oftft.s v. Mid. Rly. Cov. (1882) 20 Ch. D. 418 ; Corrington v. Wycombe Rly. Coy. (1868) 3 Ch. App. 377; L.S.W.Rlv-yBlackniore (1860) 4 H.L."610 :" G.iy./^/j. Cor. V. May (1874) 7 H.L. 283. < Coventry v. LB. & S.C.Rly. (1867) 5 Eq. 104; L.S.W.Rly. v. Blackmorc, supra ; Hooper v. Bourne (1880) 5 .\pp. Cas. 1 ; Re Rateman and Parker's Contract (1899) 1 Ch. 599. •'■ Lands Cl. Consol. Act, 1845, Sects. 129, 130, 131 ; Jones v. S. Staffs. Rly. Coy. (1869) 19 L.T. 603. •^ Lands Cl. Consol. Act, 1845, Sect. 127 ; Moodv v. Corbett (1866) 1 Q.B. 510; G.W.Rlv. v. Mav (1874) 7 H.L. 283; Macfie v. Callander and Oban Rly. Coy. (1898) A.C. 270; Re Metrop. Dist. Rly. Coy. and Cosh (1880) 13 Ch. D. 607. SALES UNDER LANDS CLAUSES AC;TS. 355 Section 2 —Acquisition of Land by Agreement. Power to Purchase. — Subject to the provisions of the code and the Special Act the promoters may agree with the owners of any lands which are authorised by the Special Act to be taken and which are required for the purjDoses of the Special Act, and with all parties having any estate or interest in such lands, or who are by the ccKle or the Special Act enabled to sell and convey the same, for the absolute purchase of any such lands or parts thereof and of all estates and interests in such lands.* Where the owner is able and willing to sell an easement or similar right over his land, and such right is sufficient for all purposes sanctioned by the Special j\ct the parties mav agret' for the sale of such a limited right." Though manv of the iiersons who under the code or the Special Act are authorised to sell and convev have powers of sale under settlements or under other Acts,' the promoters cannot require them to sell under these other powers so as to save costs of re-investment,* and if the sale purports to be carried out under the code, its validitv must be determined according to the provisions of the code, independently of the other powers.' Consideration for the Salic — The sale must be for a consideration in money, "^ but all parties empowered bv the Act to sell and convey may sell either in considera- tion of a gross sum or of an annual rent-charge pavable bvthe promoters of the undertaking.' The yearly rents so reserved become charged on the tolls or rates, if any, payable under the Special Act,^ and become a prior charge on the net earnings of the undertaking and have prioritv over the debentures;® or they may be secured in ' Lands CI. Cons. Act, 1845, sect. 6 ; and see also sections 7-15. - G. W. RIy. Co. V. Sii^indoit, f^-. T^fy. Co. (1S84) 9 App. Cas. 787. ■'' E.g. the Settled Lands Act ; and see ante, pp. 333-346. ' Re Bcntinck and L.N.W. Rly. Coy. (1895) 12 T.L.R. 100. '■ Peters V. Lcu-es and Hast Grinstead Rly. Coy. (1881) 18 Ch. D. 429. ''• Lands Ci. Cons. Act, 1845, sect. 0. ~ Ibid., sect. 10 ; amended by the Lands CI. Cons. Act .\mendment Act, 1860. sects. 1-4. " Ibid., sect. 11; Lands CI. Cons. Act Amend. .Xct, 1S60, sect. 4 ; Re Gerard and Bcechani's Contract (1894) 3 Ch. 295. ' Evton V. Denbigh &c. RIv. Cow (1869) 7 Eq. 439 ; of. Jersey v. Briton Ferry Dock Coy. (1869) 7 Eq. 409. 356 VENDORS AND PURCHASERS. such Other manner as may be agreed upon between the parties.' When the lands are to be purchased or taken from any person under any disabihty or incapacity and not having power to sell or convey such lands except by virtue of the code or the Special Act, the purchase- money, rent-charge, or other compensation to be paid, and also the compensation for any permanent damage or injury to any lands held by such persons, must not, except wh^re the same shall have been determined by the verdict of a jury or by arbitration, or by the valua- tion of a surve-s'or appointed by two justices as provided hv the code, be less than shall be determined by the valuation of two able practical surveyors, one of whom shall be nominated by the promoters and the other by the other party, and if such two surveyors cannot agree in the valuation, then by such third surveyor as any two justices shall upon application of either party, after notice to the other party, for that purpose nominate; and all such purchase-money or compensation must be deposited in the Bank of England for the benefit of the parties interested, in the manner provided by the code." Purchase for Extraordinary Purposes. — The power to sell and conve}' lands conferred by the code upon persons who otherwise would be under disability or incapacity, extends to lands which the promoters are authorised to purchase for extraordinary purposes, i.e., purposes for which, at the time of the passing of the Special Act, it was not foreseen that lands would of necessity be required." But the promoters mav not purchase more than the prescribed quantit\" from any persons.' The lands so acquired for extrd- ordinary purposes, or any part thereof, may be sold by the promoters in such manner and for such considerations and to such persons as they may think fit, and they ma}' again purchase other lands for the like purposes and aherwards sell the same; but the total quantity of land ' See note 9 on p. 355 ; Foster v. Munch. &c. Rly. Co. (1880) 49 L.J. Ch. 454 ; Lands CI. Cons. Act, 1845, sect. 11. - Lands CI. Cons. Act, 1845, sect. 9 ; and see also sects. 25-62 ; Stone V. Yeovil Corporation (1876) 2C.P.D. 99; Bridgend Gas Coy. V. Diinraven (1885) 31 Ch. D. 219. ■ Lands CI. Cons. Act, 1845, sect. 12; Hooper v. Bourne (1877) 3 Q.B.D. 258. •• Ibid., sect. 14. SALES UNDKR LANDS CLAUSES ACTS. '557 to be held by the promoters for these purposes at any one time must not exceed the quantil\- prescribed b\- the Special Act.' Six HON ;5 — Comiulsokv Acquisition of Land. l-lxKNCisi". OF PowKUs. — Where the undertakini^- is intended to be carried into effect by means of capital to be subscribed b\- the promoters, the whole of the cajiital or estimated sum for defra\ing- the expenses of the under- taking- must be subscribed imder contract binding the parties thereto, their heirs, executors and adminis- trators, for the payment of the several sums by them respectively subscribed.^ This restriction does not. how- ever, extend to cases where an existini^ company is authorised to construct additional works.'' The com- pulsorv powers of purchasing; and takino^ lands cannot be exercised after the expiration of the period prescribed bv the Special Act, or if no period is prescribed but the code is incorporated, then not after the expiration of three years from the passinor of the Special Act.' If th.e code is not incorporated and no period is prescribed, the powers ma\ be exercised so long as mav be required for carrying out the purposes of the Act.* lender the code, the service of a notice to treat within the period is a suflRcient exercise of the compulsory powers to comply with the condition as to time;" and the time may be extended by a subsequent statute.^ XoTiCE TO Tri:at. — When the promoters retjuire to ])urchase or take any of the lands which by the code or the Special Act they are authorised to purchase or take, thev must give notice thereof to all the parties interested ' Lands CL Cons. Act. 1845, sect. 13. "^ Lands CL Cons. Act, 1.S45, sect. 10; R v A ui her ante Rly. Cay. (1853) 1 E. & B 372; (Jiicst v. Poole and Boiirnciiioiith Rly. Coy. (1870) 5 C.P. 553 ; and see Re U.\hriil-ie and Rickinans-.corth r'Iy Coy. (1890) 43 Ch. D. 536. •" K. V. G.W.R. Coy. (1852) 1 !•:. & H, 253: Weld v S.W.R. Coy. (1863) 33 L.J. Ch. 142. * Lands CL Cons. Act, 1845. sect. 123. * Salmon v. Randall (1838) 3 My. & Cr. 439. « Sali.^hury v. G.N.R. Coy. (1852) 17 Q.IL 840: Tiverton. &c. Rly. Coy. V. Looscmorc (1884) 9 App. Cas. 480.' '' Ystalyfcra Iron Coy. v. Neath and Brecon Rly. Coy. (1873) 17 Eq. 142; Bcntley v. Rotherham, &c. Local Board (1876) 4 Ch. D. 588. 358 VENDORS AND PURCHASERS. in such lands or to the parties who are enabled b}' the code to sell and convev or release the same, or to such of them as shall, after diligent inquiry, be known to the promoters, and b}' such notice must demand from such parties the particulars of their estate and interest in such lands, and of the claims made by them in respect thereof ; and everv such notice must state the particulars of the lands so required and that the promoters are willing^ to treat for the purchase thereof and as to the compensation to be made to all parties for the damage that may be sustained by them bv reason of the execution of the works/ These notices must be served personally on such parties or left at their last usual place of abode ; and in case any such parties are absent from the United Kingdom or cannot be found after diligent inquiry, the notice must also be left with the occupier of such land?-, or, if there is no such occupier, must be affixed upon some conspicuous part of such lands. ^ If the promoters merely desire to interfere with incorporeal rights in pro- perty, e.g., easements, and do not desire to acquire such rights, no notice need be served/ But if for the purposes of the undertaking it would be sufficient for the promo- ters to purchase and take onlv easements* or corporeal rights in land, e.g., a stratum of land for the purpose of constructing a tunnel, thev must serve notice to treat for the whole of the land^ unless there is express power in their Special Act to acquire an easement or some such limited right/ Effixt of Notice to Treat. — Subject to its validity, the service of a notice t(^ treat binds the promoters to ' Lands Cl. Cons. Act, 1845, sect. l.S. '^ Ibid., sect. 19 ; and see ibid., sect. 20 ; S/icplicrd v. Noricich Cor- ■boration (1885) 30 Ch. D. 553. » Maccv V. Metrop. Board of Works (1864) ii L.J. Ch. 377 ; Bedford V. Dau^son (1875) 20 Eq. 353 ; Wigraiu v. Fryer (1887) 36 Ch. D. 87. •• Pincliin v. iMiidon and Blackicall Rly. Cov. (1854) 5 De ISL & G. 851. •■■ Ranisdcii v. Manch., &c., Rly. Coy. (1848) 1 Exch. 723; Sparroiv V. Oxford, &c. Rly. Cov. (1852) 2 De M. & G. 94 ; Falkticr v. Soincr.'n'f, &c., Rly. Coy. (1873) 16 Eq. 458 ; Re Metrop. Di.sf. Rlv. Coy. and Co.sli (1880) 13 Ch'. D. 607. ^ Hill V. Mid. Rlv. Coy. (1882) 21 Ch. I). 143 ; Farmer v. Waterloo. &c., Rlv. Cov (1895) 1 Ch. 527; of. (Mr. A'. Cov. v. Szvindon, &c..Rlv. Coy. (1884) 9' App. Cas. 787. SALKS I NHKR LANDS CLAISKS ACTS. '>o'> lake the land and the landowner to o^ive up the land subject to pa\ment of compensation.' But strictly speakinii", there is no contract between the parties until ihev have come to some definite arrangement as to the terms, or until the value of the land to be taken has been ascertained in manner provided by the code.' Thus, where the landowner, after service of the notice, stated the price he was willinj];- to take, but died before his offer was accepted, it was held that, althou<2^h the pur- chase was afterwards completed at that price, there was no contract binding- on the heir." Where the price i.-^ ascertained, the contract is complete and may be specifically enforced by or against the company,' An owner who has received a notice to treat in respect of his kmds cannot deal with such land or lands held therewith so as to increase the burden upon the promoters as regards compensation or otherwise,^ but subject thereto he may sell or convey such lands or otherwise deal with them and the right to the payment of compensation mav be assigned and dealt with as property.* If the land taken under a notice to treat proves insufficient for the author- ised purposes of the undertaking the promoters mav serve a second notice to the same owner in respect of additional lands w[ihin the limits to which their compulsorv powers extend;' and the compulsory power is not exhausted bv a single notice, even as regards the land to which the original notice extended, so that where a notice has been validly withdrawn," the promoters are in the same posi- tion as if no notice had been given and mav give anv ' Adams V. Loiuinii ami Blackwall Rly. Coy. (1850) 2 Mac. & G. 118 ; Haynes v. Hayiu-s (1861) 1 Drew. & Sm. 426 ; Tiverton. &c., Rlv. Coy. V. Loo.scniorc (1884) 9 App. Cas. 480; Mercer v. Liverhool, &c , R/y. Coy. (1903) 1 K.B, 652. - Fotherby v. Metrop. Rly. Coy. (1866) 2 CI". 188; Tiverton, c'-c. R/y. Coy. v. Looseinore. supra. ■' Re Arnold (1863) il Beav. 591. ' Harding V. Metrop. Rly. Coy. (1872) 7 Ch. 154 : Watts v. W'att.'t (1S73) 17 Eq. 217; Havnes v. Haynes, supra ; Re Carv Klxees Contract (1906) 2 Ch. 143. ■' Ex parte Hdu-ards (1871) 12 Eq. 389: Wi/L-ins v. Birni. Corpn. (1S83) 25 Ch. I). 78; Mercer v. Liverpool, f'-c. Rlv. Cov. (1904) AC 461. " Dau-son v (i.N.R. Coy. (1905) 1 K.B. 260. " Siinp.-ion v Lane. ^^ Carl. Rlv. Cov. (1847) 15 Sim. 580 : Stamps v. Hirm.. &c., Rly. Coy. (1848) 7 Hare 251 " See infra. -3G0 VENDORS AND PURCHASERS. number of fresh notices during- the continuance of their compulsory powers, whether in respect of the whole land comprised in the first notice or not. The notice cannot, however, operate for an indefinite time; it must be acted on within a reasonable period, or it will he deemed to have been abandoned/ The obligation imposed bv a notice to treat cannot be avoided by either party without the consent of the other,* unless the landowner is entitled to serve a counter-notice requiring the promoters to take more land than they desire, in which case the promoters may withdraw their notice,^ or unless the promoters are en- titled by the provisions of their Special Act to withdraw their notices.* Restrictions on Taking Part of House or Manu- factory. — If the notice to treat relates to part only of any house or other building or manufactory, and the owner is able and willing to sell and convey the whole of his interest therein, he may, under the code, require the promoters to purchase and take the whole, and can- not be required at anv time to sell and convey a part only.^ In such a case, the promoters may purchase the whole or mav withdraw the notice to treat and the parties are then in the same position as if no notice to treat had been given. "^ The word " house " is construed liberally, so as to include all that would pass on the conveyance of a house, e.g-, a house, shrubbery, gardens and orchards connected with it,' even though the house is unfinished or in a ruinous state.* ' Richmond v. N.L.R. Coy. (1868) 3 Ch. 678; Ystalyfera Iron Coy. V. Neath, &c., Rly. Coy. (1873) 17 Eq. 142 ; Pinchin v. L. & Blackwall Rly. Coy. (1854) 5 De M. & G. 851. '■* Haynes v. Hayncs (1861) 1 Drew & Sm. 426. ■^ /i..jj., under Lands CI. Cons. .\ct, 1845, sect. 92 ; and see infra, next paragraph . * E.g., Small HoldinKs and Allotments Act, 1908, sect. 39 (8) ; R. v. Coniviissioncrs of Woods and Forcits (1850) 15 Q-B. 761. •' Lands CI, Cons. Act. 1845, sect. 92: St. Tlionia.'i's Hospital v. Charing Cro.'^s Rly. Coy. (\^b\) 30 L.J. Ch. 395; R. v. L.S.W. Rly. Coy. (1848) 12 Q.B. 775; Richards v. Swansea Improvement Cov. (1878) 9 Ch. D. 4"25. « R. V. L.S.W. Rly. Coy., supra. ' Hewson v. L.S. W. Rly, Coy. (1860) 8 W.R. 467 ; Salter v. Metrop. Dist. Rly. Coy. (1870) 9 Eq. 432; cf. Steele v. Mid. Rly. Coy. (1866) 1 Ch. App. 275. •• Alexander v. Crystal Palace Rly. Coy. (1862) 30 Beav. 556, SALES UNDER LANDS CLAUSES ACTS. 361 Whether premises are a '* manufaclory " or not depends on the main use to which the premises are put,' and it is then immaterial that part of the premises may be used for other purposes or may be temporarily let to another occupier." If the main business carried on is not manufacture, it is immaterial that some manufacture is carried on incidentalh- thereto.' Section 4 — Assessment of Purchase-Price AND Compensation. General Pkinciple. — The provisions of the code as to assessment of compensation are designed specially to meet the case where the owner is under disability or refuses to treat with the promoters ; the cases where the promoters are able to acquire lands by agreement with the owners do not need special notice here. Where land is compulsorih- accjuired, its value must first be ascer- tained, either bv arbitration or the verdict of a jur\-, or in certain cases by a valuation.' The compensation payable to the owner of the land or the person whose interest in such land is acquired or affected is the loss which such person may sustain in consequence of the exercise of the promoters' powers,^ and this loss must be ascertained as at the date of the service of the notice to treat. "^ Interests in lands created after such date are not a subject of compensation." In ascertaininc^ the value of the land, all its potentialities and the actual use to which it is put or might in the course of events and within a reasonable time be put by the owner, must be considered so that the purchase-price or compensation to be paid ' Richards v. Swansea Improvement Coy. (1878) 9 Ch. D. 425. ■^ See Sparrow v. Oxford, &c. Rlv- Cov. (1852) 2 De M. & G. 94 : Spackmau v. G W R . Coy. (1855) 1 Jur. (N.S.) 790. •'' Bcniiiiigfoii V. Mctrop. Board of Works (1886) 54 L.T. 837 : Rcdditi V. Mctrop. Board of Works (1862) 4 De F. & J. 532. * See Lands CL Cons. Act, 1845, sects. 22-62 : and see the Acquisition of Land (Assessment of Compensation) .\ct, 1919. ■'■ //)/(/., sects. 18, 68: Rickcfv. Mctrop. Rlv. Coy. (1865) L.J. O.B. 257. 8 Pcimv V. Penny (1867) 5 Eq. 227 ; Bwllfa, &c. Collieries v. Pout\- pridd W'aterzcorks'Coy. (1903) AC 426 : Dawson v. G.N.R. Cov (1905) 1 K.B. 260. ^ Johnson v. Hdfiwarc, ^'■■c. Rlv. Cov. (1866) 14 L.T. 45 : Wilkins v. Birm. Corpn. (1883) 25 Ch. D. 78'; d.'Xick v London Tranru-avs. Ltd. (1908) 2 K.B. 126. 362 VEXDORS AND PURCHASERS. approximates more or less to the price the owner might obtain by baroaining with a purchaser in the open market/ The amount of compensation payable is to be tested by the vakie of the land to the owner and not its value to the promoters ; whether the latter is greater or less than the former value is immaterial." Compensation for Injury by Severance — Where part of an owner's land is taken, he may suffer damage in consequence of the injury thereby caused to his remaining lands. The code provides that in such cases the owner is entitled to be paid compensation for damage caused by such severance or injurious affection.^ It is not necessary that the part taken and the part remaining should be actuallv contiguous provided that the posses- sion and control of each gives an enhanced value to all of them/ The principle applies whether the severance be as between two fields or as between the surface and the minerals underneath/ All damage that can reasonably be foreseen should be taken into account and must be settled once and for all/ Compensation for Mines and Minerals. — The term lands, under the code, includes the mines and minerals underneath. But when lands are acquired under the provisions of the Railways Clauses Consolidation Act, 1845, the Waterworks Clauses Act, 1847, and the Public Health Act, 1845 (Support of Sewers) Amendment Act, 1888, it is provided that the promoters shall not be entitled to any mines of coal, ironstone, slate or other minerals under any land purchased bv them, except only such parts thereof as shall be necessarv to be dug or carried away or used in the construction of the works, I Inl. Rev. Commrs. v. Glasgow & S.W. Rly. Coy. (1887) 12 App. Gas. 315 : and see Cooper v. Mefrop. Board of Works (1883) 25 Ch. D. 472; Bidder V. N. Staffs. Rly. Coy. (1S78) 4 Q.B.D. 412. ■^ Stebbing v. Mctrop. Board of Works (1870) 6 Q.B. 37. ■^ Lands CI. Cons. Act, 1845, sects. 49, 63. ' Cooper- Essex v. Acton Local Board (1889) 14 App. Cas. 153 ; cf . R v.-Kennedr (1893) 1 Q.B. 533; Bexlev Heath Rlv. Co. v. North (1894) 2 g.B. 579. •' City & S. London Rly. Coy. v. St. Mary. &c. United Parishes (1905) AC. 1 : Errington v. Mctrop. Disf. Rly. Coy. (1882) 19 Ch. D. 559. '■' Brogden v. Llynfi Rly. Coy. (1860) 30 L.J. C.P. 61 ; Broun v. Rlys. Comnir. (1890) 15 App. Cas. 240; Mercer v. Liverpool. &c. Rlv. Coy. (1904) A.C. 461 ; Croft v. L.N.W. Rly. Cov. (1863) 32 L.J. Q.B. 113; Stone V. Yeovil Corpn. (1876) 2 C.P.D. 99. SALl£S UNDER LANDS CLAUSKS ACTS. '56::$ unless the same shall have been expressly pui( hased ; and all such mines, excepting as aforesaid, are deemed to be excepted out of the conveyance of such lands, unless the\' are expressly named therein and conveyed thereby. ' If the minerals are required for the purposes of the undertaking", thev ma\' be purchased with the land or subsequently within the period limited for the exercise of the promoters' statutory powers," or they may be acquired for such purposes b}- agreement at an\- time."* Whether a particular substance is or is not a mineral depends on whether at the date of the con- ACAance that substance was described as a mineral in the ^•ernacular of the mining world, the commercial world, and lando\vners; each case is a question of fact and must be decided on its own circumstances."* SeCTIOX 5 — COMl'LKTIOX AXP C'OXVEVAXCE. Spi:cific Pereor.manck. — When notice to treat has been served and the price or compensation has been agreed upon or ascertained, the relation of vendor and purchaser is then estal:)lished between the owners and the ]:)romoters, and all the ordinary rules applicable to agreements appl\-, unless the Special Act contains pro- visions to the contrary.* Either the vendor or the pro- moters may then enforce the contract specifically, but the owner must show- a good title to the land and specific per- formance will therefore be granted subject to his title being investigated and proved.* CO.MPLETIOX WHERE OWXER IX DeFAILT If the owner refuses to accept tender of the purchase-money or ' See Rly. CI. Cons. Act. 1845. sect. 77 : Wat. CI. Act, 1847. sect. IS; I'ublic Health .\ct, 1845 (Support of Sewers) Amend. Act. 1883. '' Ernii}in the remedy of distress may always be controlled b\ agreement between the parties/' The full right of sale. however, is not lost or curtailed by any such agreement unless it clearly appears that such was tin* intention of the parties/ Notice of Distress. — Whenever a .sale of the goods distrained is intended, notice of distress must always be given to the tenant in writing;^ and the notice must inform the tenant w^hat are the goods taken.' U.sually the notice is subjoined to a copy of an inventory of the goods distrained; and the distress mtist be (^onfined to the articles comprised in the inventory." .An omission to give the proper notice does not, however, render the distress illegal, and a mere defect or error in it will be immaterial.* Usually, the notice specifies the amount ' See Skle of Distresses Act (2 W. & M. Sess. 1. c. 5.). sect. 3 ; Distress for Rent Act (11 C^eo. 2, c. 19), sect. 8 : Law of Distress Amendment Act. 1888, sects. 5 and 6 ; Wilson v. Ducket, 2 Mod. 61 ; Simpson \. Hartopp, 1 Sm. L.C. 437; Bclasysc \. Biirl>riiif>e, 1 Lutw. JIJ ; Clml: V. Gaskarth, 8 Taunt. 431 ; Piggott v. Births, 1 M. & W. 44S. - Sale of Distresses Act. sect. 2 ; Pliilpott v. Lcluiin. 35 L.T. 855 . Hiidd V. Ravenor, 2 B. & B. 662. ' Giles V. Spencer, 3 C.B. N.S. 244 ; UV/.s7i v. Rose, 6 liing. 638; GoHgh V. Wood (1894), 1 Q.B. 713 ; Horsford v. Webster, 1 CM. dt K. 696 ; Miles v. Fnrber, 8 Q.B. 77 ; Rape v. Westucott (1894). 1 y.B. 272. ' Welsh V. Rose, supra ; Ex parte Bull 18 O.B.D. 642. •^ See Sale of Distresses Act. sect. 2 ; Kerby v. Harding, 6 E.xcli. 240 . Wilson V. Nightingale, 8 Q.B. 1034. •^ Kerby v. Harding, supra; Wakenuin \. Lindsey, 14 Q.B. 625. ' Sims V. Tuffs, 6 C. & P. 207 ; Bishop v. Bryant, ibid. 484. - Distress for Rent Act. sect. 19 ; Trent v. Hunt. 9 Exch. 14 ; Worth x V. Gregory 2 Y. & J. 536; Ganibrell v. Falmouth. 4 A. & E. /3 ♦366 VENDORS AND PURCHASERS. of rent in arrear, but as this is presumed to be within the tenant's own knowledge, the distrainor is not bound to state this amount, and if an amount is stated, an error in the amount is immaterial.' Appraisement. — Except in the case of growing crops, ' appraisement of the goods distrained is now never neces- sar}' before sale except on a special request made by the tenant or the owner of the goods.'' Where it is resorted to, the appraisers must be competent and disinterested though not necessarily professional persons,' and the tenant is not precluded by such appraisement from after- wards questioning whether the best means have been taken to make it.* Except by consent of the tenant, two appraisers must be appointed. *" The distrainor himself cannot act as an appraiser.' The appraisement is usuallv written on the inventory and signed bv the appraisers, and stamped with the appropriate stamp.* The expenses of appraisement are to be paid by the tenant or owner who requires it. Time of Sale. — If the goods have not been replevied.' the sale may take place five days after the taking of the distress and delivery of the notice. ^J' This means that five clear days must intervene;" but such five days are now to be extended upon the request of the tenant or the owner of the goods to fifteen. "^^ A premature sale, though 1 Tancrcd v. Lcyland, 16 Q.B. 680 ; Glyn v. Thomas, 11 Exch. 870. ■^ See Distress for Rent Act, sect. 8. •■' Messing v. Keinble, 2 Camp. 115 ; Bishop v. Bryant, 6C. & P. 484 ; and Law of Distress Amendment Act, 1888, Sect. 5. * See Rodcn v. Eyton, 6 C.B. 427. '' Clarke v. Holford, 2 C. & K. 540 ; Cook v. Corbctt, 24 W.R. 181. 6 See Sale of Distresses Act. sect. 2 ; Allen v. Flicker, 10 A. & E. 640. 7 Westwoodv. Cowne, 1 Stark 172: Rocke v. Hills, 3 T.L.R. 298; Lyon V. Wei don, 2 Bing. 334. " See Stamp Act, 1891, sect. 24, and 1st Sched. ^ " Replevin " is the name given to the process by which the owner of goods distrained obtains their re-delivery upon giving security to try, by action, the right of distress, and to restore them if the action goes against him ; and see County Courts Act, 1888, and County Court Rules. '" See Sale of Distresses Act, sect. 2. " Robinson v. Waddington, 13 O-B. 753 : Sharpe v. Fowle, 12 <2.B.D. 385. ■ '2 See Law of Distress Amendment Act, 1888, sect. 6. SALES LXPER DISTR.\IXTS FOR REM . U, irregular, does not make the distress illegal, and the lenant is not entitled in such a case to recover in respei t of it unless he suffers actual damage.' The distrainor has a reasonable time after the lapse of the five (or fifteen) days in which to sell and remove the goods,' but if he exceeds such time he becomes a trespasser, unless the tenant requests or consents to a postponement of the sale/ Place of Sale. — Whether the goods are impounded* on or off the premises, the tenant or owner of the goods may, by written request for the purposes of sale, '''have them removed at his own risk and expense to a public auction room or some other fit or proper place specified by him : but there seems to be nothing in the provisions of the Distress for Rent Act* to prevent the landlord from removing the goods, if he so pleases, in order to sell them. Parties to Sale. — The vendor is the distrainor;' the purchaser must be some third f)erson; the landlord cannot purchase the goods himself* even at a sale bv public auction.' Mode of Sale. — The sale need not necessarily be by auction, nor need the goods be disp)osed of in anv par- ticular order. Effect of Sale. — The sale of the goods by transfer- ring the ownership, puts an end to the right to reple\y * Distress for Rent Act. sect. 19; see Pmudloix v Cr. & M. 326: Lucas v. Tarleton, 3 HAN. 116: and see L>tMre» tor Rent Act. sect. S; Chcen \. Legh, 3 B. & A. 470: Rodgers v Parker. 18 C.B. 112. ^ Pitt V. Shav. 4 B. & A. 208. ' Grimn v. Scott. 1 Ld. Ray. 1424; 'i. v Sh East 395 : Hills v. Street. 5 Bing. 37 : ;■ v ffcjiv B. & C. 821. * Impounding the distress is placing it within custody of the law ^ See Law of Distress Amendment Act. 1888. sect 5. * See sect. 10 : but see Piggott v. BirtUs. 1 M. & W. 448. ' See Sale of Distresses .\ct, sect. 2. * King V. England. 4 B & 5. 782 ; Plasycoed ColUcries Co. r. Part- ridge (1912) 2 K.B. 345. * Moore v. Singer Mfg. Coj. (1904) 1 K.B. 820. 368 VENDORS AND PURCHASERS. them ^ The purchaser acquires a good title to the goods even though the sale has been conducted irregularly,* but not if the sale is altogether wrongful." Price. — The best price must be obtained for the goods/ Any negligence or mismanagement during the conduct of sale, e.g., not lotting the goods properly, or allowing them to become damaged by weather, or selling subject to a condition which lowers the price obtained, will support a claim for not selling at the best price. ^ Overplus. — Any overplus there may be from the sale, after satisfaction of the rent and expenses, should be left in the hands of the sheriff, under-sheriff, or constable, for the owner's use.° ' See Jacob v. Iving, 5 Taunt. 451 ; Moore v. Pyrlcc, 11 East 52. -' Lyon V. Weldon, 2 Bing. 334 ; Distress for Rent Act, sect. 19. ■' Harding v. Hall, 14 L.T. 410 ; King v. England. 4 B. & S. 782. * Sale of Distresses Act, sect. 2. ■'■ See Poynterv. Buckley. 5 C. & P. 512; Ridgway v. Stafford. 6 Exch. 404; Nix v. Fitzwilliain, 9 J. P. 212; Hazckins v. Walrond, 1 C.P.D. 280. '' Sale of Distresses Act, sect. 2. APPENDICES. 24 APPENDIX A. FORMS. I. PARTICULARS OF A FREEHOLD ESTATE. Ihe several freehold pieces or parcels of land or ground situate at S., in the county of Y. [delineated in the plan in the margin hereof, or], containing by estimation acres, more or less, called or known by the several names of , and now •in the occupation of The property is subject to a fee farm ronl, payable to the lord of the manor of , [or to a mortgagee in fee {or by demise for a term of years), by indenture dated , and made between and , for securing the payment of ;t jjrincipal sum of £ and interest, which principal sum of £ , with interest thereon from , is to be paid and discharged by the purchaser]. IL PARTICULARS OF CROWING TIMIUIR. [50Uj oak trees and [300] elm trees, marked with , and now standing in or upon the farm and land [woods and grounds] hereinafter mentioned, that is to say : III. CONDITIONS OF SALE OF REAL ESTATE. 1. A l-KiiKHOI.D OR COPVUOLD KSTATK IN ONE LOT. L No person shall advance less than £ at a bidding; .md no bidding shall be retracted. 2. There will be a reserve price, and llie vendor reserves the right to bid hv Iiimself or his agent. a. The highest bidder shall be the purchaser; and if any dispute shall arise resix.'cting a bidding, the property shall be [Hit up again at the last undisputed bidding, or the auctioneer may deal with the dispute as he shall think lit. 372 APPENDIX A. 4. Imnifdiately after the fall of the hammer the purchaser shall pay to the auctioneer [or, to Mr. , the vendor's solicitor) a deposit of £ per cent, upon the amount of the purchase-money, and sign the subjoined agreement. 5. The title to the proj^erty shall commence with an indenture dated , being a conveyance upon a sale [or being a mort- gage]. 6. The purchaser shall require no other evidence of the identity of the property ]jurchased with the property described in the deeds and other documents offered by the vendor- as the title, than a statutory declaration, to be made, if required, at the purchaser's expense, that the. property has been enjoyed consis- tently with the title for the last twenty years. 7. The purchaser shall send his objections and requisitions, if any, in respect of the title and the abstract, particulars and conditions, and anything appearing therein respectively to the vendor's solicitor within days from the delivery of the abstract, and in this respect time shall be of the essence of the contract ; and in default of, or subject to, any such objections and requisitions, he shall be deemed to have accepted the title. If he shall insist upon any objection or requisition which the vendor shall be unable or shall not think fit to remove or comjjly with, the vendor may, notwithstanding any negotiation or litiga- tion upon the subject of such objection or requisition, or any attempt to remove or comply with the same, by notice in writing rescind the sale ; in which case he shall return to the purchaser the deposit without any interest, costs or other payment. 8. The remainder of the purchase-money sliall be paid, and the purchase completed, on the day of next at the office of Mr. , the vendor's solicitor; and if from anv cause whatever the purchase shall not be completed on that dav the purchaser shall pay to the vendor interest on the unpaid purchase-money at the rate of £ per cent, per laiiiiini from that day until the completion of the i:)urchase. 9. The purchaser shall be entitled to possession of the property from the said day of next, up to which time all outgoings shall be cleared by the vendor ; and all current rents and outgoings shall be a|;j)ortioned for the purpose of this condition. 10. Upon ]jayment of the residue of the purchase-mone}' at the time and place aforesaid, the vendor shall make and execute to the i)urchaser a pro])er assurance of the property, such assur- ance to be prepared by and at the e.xpense of the ]iurchaser, and to be left by him for execution at the said office not less than seven davs before the said dav of next. API'KNDIX A. 373 11. riu' pr()|JC'ily is sold subject to cxistinj^ tcnjiniies and to all easements, if any, affertinj; the same, wlieiher mentioned in the partirulars or not. 12. The quantities stateil in the |iaitii iilars are believed and shall be taken to be eoi-rect ; and if any error shall be discovered in the particulars before the completion of the purchase, but not afterwards, com|)ensation shall be made in res|X!ct thereof by the vendor or by the purchaser, as the case may require, the amount of such comix^nsation to be settled, in case of difference, by two referees, one to be apjjointed by each party, or by an innpire to be appointed by two referees before they proceed in ihc reference. [But this condition shall not ])reju(licc the ritiiil nf tlie vendor to rescind under Condition 7|. 13. If the purchaser shall neglect or fail to comply with anv of the above conditions, his deposit shall be forfeited, and the vendor shall be at liberty to re-.sell the property at such time •and in such manner as he shall think fit, with or without notice to the purchaser at the present sale ; and any deficiency of price resulting from the re-sale, and all exjxMises attending the same, shall immediately after such re-sale be made good by the defaulter at the pre.sent sale, and in case of non-])ayment shall be recover- able by the vendor as liquidated damages. 2. .SPIXIAI, CONDITIONS. (1) Fixtures, etc., to be paid for separately. The [fixtures of eveiT description and the] timber and other trees, pollards, stands, saplings, and underwood upon the pro- perty, down to and including those of the value of Is. each [and the crops, manure, and straw], shall be taken by the purchaser at a valuation, and he shall pay for the same in addition to the purchase-money bid by him at the sale. The valuation shall be made by two referees, one to be chosen by each party, or their umpire. Each partv shall ajjpoint a referee and give notice thereof in writing to the other party on or before the day of ne.xt, and the referees shall, before they begin to act, appoint an umpire in writing. In case either party shall neglect or refuse to appoint a referee, or to give such notice within the time specified, or if the referee appointed by either party shall neglect or refuse to act, the referee appointed by the other party, if duly notified, shall make a final valuation alone. If no such valuation as aforesaid shall be made, the said [fixtures and] trees, etc. [and crops, manure, and straw], shall be paid for by the purch?iser at their fair value. 374 APPENDIX A. (2) Farming Stock and Crops. The purchaser shall pay by valuation, as below provided, for the tillage of the summer lands ; for seed, sowing and hoeing of turnips ; for all hay and straw left on the premises which shall be stacked in the usual places ; for all fuel and after grass on the pastures and stubbles ; for all clover and other seeds, and for sowing, harrowing, and cultivating the same, with the spring crops ; for muck inixtures and composts, and for labour in turning over such as shall not be carted on the land, and for the carting, when carted on the land ; and also for all such other matters and things as are customary to be allowed and paid by an incoming to an outgoing tenant. The present year's corn and crops are to be laid in the barn, or stacked on the premises : The purchaser shall pay for threshing and dressing, and getting in the stacks, and canying the corn, when dressed, to market, not exceeding the distance of , etc., and have the straw, chaff and calder arising therefrom, the vendor appoint- ing the threshers and having the use of the barns and barn-yards up to the dav of for that purpose. (3) Covenant by Trustee. The vendor being a trustee [or a mortgagee selling under a power of sale] will give only the statutory covenant implied by his being expressed to convey as trustee [or mortgagee]. IV. MEMORANDUM OX SALE BY AUCTION. I, , of , hereby acknowledge that I have this day purchased [lot of] the property described in the above [or within] particulars, subject to the above [or within] condi- tions at the price of •£ , and have paid to the sum of £ by way of deposit and in part payment of the purchase money ; and I hereby agree with C. D., the vendor, to complete the purchase in accordance with the said conditions. As witness my hand this day of , 19 . [Purchaser's signature.] £ s. d- Purchase-money ..... Deposit paid ...... Balance due ... £ As agents for the said C. D. we ratify the sale; and as stake- holders we acknowledge the receipt of the deposit. [Auctioneers' signature.] APPENDIX B. STATUTES. AUCTIONEERS ACT. 1845. (,"? o- 9 Vict., c. 15) (a). 1. [Repeal of auction duties s«ranted by 6 Geo. IV. c. 81.] 2. There shall be raised, levied, collected and paid to Her Majesty the following annual sum or duty of excise, that is to say, for and upon every licence to be taken out by every person exercising or carrving on the trade or business of an auctioneer in any part of the United Kingdom, the sum of ten pounds. 3. That the said duty hereby imposed shall be under the manage- ment of the commissioners of excise (b), and shall be collected, paid, and accounted for in the same manner as other the duties of excise, and shall be charged, raised, levied sued for and paid under the provisions of this Act, and the general or special pro- vision.^, clauses, enactments, regulations, pains, penalties, and forfeitures contained in any Act or Acts relating to the collection and management of the revenue of excise ; and all penalties by this Act imposed shall be prosecuted, recovered, and applied as any other penalties under the laws of excise. 4. That every person who exercises or carries on the trade or business of an auctioneer or who acts in such capacity at any sale or roup, and everv person who sells or offers for sale any goods or chattels, lands, tenements, or hereditaments, or any interest therein at any sale or roup where any person or persons become the purchaser of the same by competition and being the highest bidder, either by being the single bidder, or increasing upon the biddings made by others, or decreasing on sums named by the auctioneer or person acting as auctioneer, or other person at such sale, or by any other mode, of sale by competition, rhall (except as hereinafter in this Act mentioned) be deemed to carry on the trade or business of an auctioneer and shall be required to take out such licence as by this Act directed ; and < tenements, or hereditaments, of whatever tenure : " Agent " shall mean the solicitor, steward, or land agent of the seller : " Puffer " shall mean a person appointed to bid on the part of the owner. 4. And whereas there is at present a conflict between Her Majesty's courts of law and equity in respect of the validity of sales by auction of land where a puffer has bid, although no right of bidding on behalf of the owner was reserved, the courts of law holding that all such sales are absolutely illegal, and the courts of equity under some circumstances giving effect to them, but even in courts of equity the rule is unsettled ; and whereas it is expedient that an end should be put to such conflicting and unsettled opinions : be it therefore enacted that, from and after the passing of this Act, whenever a sale by auction of land would be invalid at law by reason of the employment of a puffer, the same shall be deemed invalid in equity as well as ati law. 5. [And whereas, as sales of land by auction are conducted, many of such sales are illegal, and could not be enforced against an unwilling purchaser, and it is expedient for the safety of both seller and purchaser that such sales should be so conducted as to be binding on both parties : be it therefore enacted by the authority aforesaid as follows : that] (a) the particulars or con- ditions of sale bv auction of any land shall state whether such land will be sold without reserve, or subject to a reserved price, or whether a rijjht to bid is reserved. If it is stated that such la) The words within brackets [ ] have been repealed- I .\im'i:m)|.\ h. 'M'.i land will be sold willuiul rescivu, or tu thai ftfctt, tht-n il ^liall nut be lawful for the seller to employ any person to bid at such sale, or for the auctioneer to take knowingly any bidding from any such person. 6. And where any sale by auction of land is declared either in the particulars or conditions of such sale to be subject to a right for the seller to bid, it shall be lawful for the seller or anv one person on his behalf to bid at such auctions in such manner as he may think proper. 7. And whereas it is the long-settled practice of courts of equity in sales by auction of land under their authority to 0]x;n biddings, even more than once, and much inconvenience has arisen from such practice, and it is expedient that the courts of equity should no longer have the power to open biddings after sales by auction of land under their authority : be it further enacted by the authority aforesaid that the practice of opening the biddings on any sale by auction of land under or by virtue of any order of the High Court of Chancery shall, from and after the time appointed for the commencement of this Act, be discontinued, and the highest bona fide bidder at such sale, pro- vided he shall have bid a sum equal to or higher than the reserved price (if anv), shall be declared and allowed the purchaser, unless the court or judge shall, on the ground of fraud or improper conduct in the management of the sale, upon the application of any person interested in the land (such application to be made to the court or judge before the chief clerk's certificate of the result of the sale shall have become binding), either open the biddings, holding such bidder bound by his bidding, or discharge him from being the purchaser, and order the land to be re-sold upon such terms as to costs or otherwise as the court or judge shall think fit. 8. Except as aforesaid, nothing in this .Vet contained shall affect any sale of land made under or by virtue of any order of the High Court of Chancery in England, of the High Court of Chancerv in Ireland, or of the Landed Estates Court there, or of the Court of Chancery in the County Palatine of Lancaster, or of any countv or other court having jurisdirtimi in equity. 9. This .\ct shall not extend to Scotland. 380 APPENDIX B. III. FACTORS ACT, 1889. {S2 &-■ 53 Vict. c. 45.) All Act to amend mid consolidate the Factors Acts. [26th August, 1889. PreJiniinary. 1. For the purpose of this Act — (1.) The expression " mercantile agent " shall mean a mercantile agent having in the customary course of his business as such agent authority either to sell goods, or to consign goods for the purpose of sale, or to buy goods, or to raise money on the security of goods : (2.) A person shall be deemed to be in possession of goods or of the documents of title to goods, where the goods or documents are in his actual custody or are held by any other person subject to his control or for him or on his behalf : (3.) The expression " goods " shall include wares and mer- chandise. (4.) The expression " document of title " shall include any bill of lading, dock warrant, warehouse-keeper's certifi- cate, and warrant or order for the delivery of goods, and any other document used in the ordinary course of business as proof of the possession or control of goods, or authorising or purporting to authorise, either by endorsement or b}' delivery, the possessor of the document to transfer or receive goods thereby represented : (5.) The expression " pledge " shall include any contract pledging, or giving a lien or security on, goods, whether in consideration of an original advance or of an}' further or continuing advance or of any pecuniary liability : (6.) The ex])ression " person " shall include any body of persons corporate or unincorporate. Dispositions by Mercantile Agents. 2. — (1.) Where a mercantile agent is, with the consent of the owner, in possession of goods or of the documents of title to goods, any sale, pledge, or other disjiosition of the goods, made by him when acting in the ordinary course of business of a mercantile agent, shall, subject to the |jrovisions of this Act, be as valid as if he were expressly authorised by the owner of aim'i:m»ix m. ;J,SI the _<4t)ucls tu inaki' llit- same : prnvidi'd that the person taUin;^ under the disposition acts in good faith, and lias not at the time of the dis])osition notice tiiat the person maUinj^ the dispt)silion lias nut authority to make the same. (2.) Where a mercantile agent has, with the consent of the owner, been in possession of goods or of the documents of title to goods, any sale, pledge, or other disposition, which would have been valid if the consent had continued, shall be valid not- withstanding the determination of the consent : provided that tiie person taking under the disjiosition has not at the time lliereof notice that the consent has been (U-tt-rmined. (3.) Where a mercantile agent has obtained possession of any documents of title to goods by reason of his being or having been, with the consent of the owner, in jjossession of the goods represented thereby, or of any other documents of title to the goods, his possession of the first-mentioned documents shall, for the purposes of this Act, be deemed to be with the consent of the owner. (4.) For the purposes of this Act the consent of the owner shall be presumed in the absence of evidence to the contrary. 3. A pledge of the documents of title to goods shall be deemed to be a pledge of the goods. 4. Where a mercantile agent pledges goods as security for a debt or liability due from the pledgor to the pledgee before the time of the pledge, the pledgee shall acquire no further right to the goods than could have been enforced by the pledgor ;it the time of the pledge. 5. The consideration necessary for the \alidily of a sale, pledge, or other disposition, of goods, in pursuance of this Act, may be either a ])aynient in cash, or the delivery or transfer of other goods, or of a document of title to goods, or of a negotiable security, or any other valuable consideration ; but where goods are pledged bv a mercantile agent in consideration of the delivery or transfer of other goods, or of a document of title to goods, or of a negotiable securit}-, the pledgee shall acquire no right or interest in the goods so pledged in excess of the value of the goods, documents, or securitv when so delivered or transferred in exchange. 6. For the purposes of this .\ct an agreement made with a mercantile agent through a clerk or other person authorised in the ordinarv course of business to make contracts of sale or pledge on his behalf shall b<- deemed to be an agreement with the a£*ent. 382 APPEXDIX B. 7. — (1) Where the owner of goods has given possession of the goods to another person for the purpose of consignment or sale, or has shipped the goods in the name of another person, and the consignee of the goods has not had notice that such person Is not the owner of the goods, the consignee shall, in respect of advances made to or for the use of such person, have the same lien on the goods as if such person were the owner of the goods, and may transfer anv such lien to another person. (2.) Nothing in this section shall limit or affect the validity of anv sale, pledge, or disposition by a mercantile agent. Disposiiioij by Sellers atui Buyers of Goods. 8. Where a person, having sold goods, continues, or is, in pos- session of the goods or ( f the documents of title to the goods, the deliverv or trasfer by that person, or by a mercantile agent acting for him, of the goods or documents of title under any sale, pledge, or other disposition thereof, or under any agreement for sale, pledge, or other disposition thereof, to any person receiving the same in good faith and without notice of the previous sale, shall have the same effect as if the person making the delivery or transfer were expresslv authorised bv the owner of the goods to make the same. 9. Where a person, having bought or agreed to buy gOvjds, ■obtains, with the consent of the seller, possession of the goods or the documents of title to the goods, the delivery or transfer, by that person or by a mercantile agent acting for him, of the goods or documents of title, under any sale, pledge, or other disposition thereof, or under anv agreement for sale, pledge, or other dis- position thereof, to any person receiving the same in good faith and without notice of anv lien or other right of the original seller in respect of the goods, shall have the same effect as if the person making the delivery or transfer were a mercantile agent in posses- sion of the goods or documents of title with the consent of the owner. 10. Where a document of title to goods has been lawfully trans- ferred to a person as a buyer or owner of the goods, and that person transfers the document to a person who takes the document in good faith and for valuable consideration, the last-mentioned transfer shall have the same effect for defeating any vendor's lien or right of stoppage in transitu as the transfer of a bill of lading has for defeating the right of stoppage in transitu. API'KNDIX B. 380 Si(f)f>h'i)iental. 11. Fur the iiuiposes of this Art, llic transfer of a clurumeni may be by endorsement, or, where the document is by custom 01 by its express terms transferable by delivery, or makes the gu<;ds deliverable to the bearer, then bv deliverv. 12. — (1.) Nothing in the Act shall authorise an agent to exceed or depart form his authority as between himself and his principal, or exempt him from any liabilit\-, civil or criminal, for so doing (2.) Nothing in this /-.ct shall prevent the owner of goods from recovering the goods from an agent or his trustee in bankruptcv at any time before the sale or pledge thereof, or shall prevent the owner of goods pledged by an agent from having the right to redeem the goods at any time before the sale thereof, on satisfy- ing the claim for which the goods were pledged, and paying to the agent, if by liim required, any money in respect of which the agent would by law be entitled to retain the goods or the docu- ments of title thereto, or any of them, by way of lien as against the owner, or from recovering from any person w'ith whom the goods have been pledged anv balance of money remaining in his hands as the produce of the sale of the goods after deducing the amount of his lierk (3.) Nothing in this Act shall prevent the owner ui goods sold by an agent from recovering from the buver the price agreed to be paid for the same, or any part of that price, subject to anv right of set off on the part of the buyer against the agent. 13. The ])rovisions of this Act shall be construed in amplifica- tion and not in derogation of the powers exercisable bv an agent independently of this Act. 14. [Repeal of enactments mentioned in Schedule.] . 15. [Commencement of Act.] 16. This Act shall not extend to Scotland. 17. This Act mav be cited as " The Factors Act, 1889." oS4 APPExVDIX B. IV. THE SALE OF GOODS ACT. 1893. CH.\PTER 71. An .Act for codifying' the Law relating to the Sale of Goods. [20th February, 1891.] Be it enacted by the Queen's most Excellent Majesty, by and with the advice and consent of the Lords Spiritual and Temporal, and Commons, in this present Parliament assembled, and by the authority of the same, as follows : PART L Formation of the Contract. Contract of Sale 1. — (1.) A contract of sale of goods is a contract whereby the seller transfers or agrees to transfer the property in goods to the buyer for a money consideration, called thft price. There may be a contract of sale between one part owner and another. (2.) A contract of sale may be absolute or conditional. (3.) Where under a contract of sale the property in the goods is transferred from the seller to the buyer the contract is called a sale ; but where the transfer of the property in the goods is to take place at a future time or subject to some condition thereafter to be fulfilled the contract is called an agreement to sell. (4.) An agreement to sell. becomes a sale when the time elapses or the conditions are fulfilled subject to which the property in the goods is to be transferred. 2. Capacity to buy and sell is regulated by the general law- concerning capacity to contract, and to transfer and acquire jjroperty. Provided that where necessaries are sold and delivered to an infant, or minor, or to a person who by reason of mental incapacity or drunkenness is incompetent to contract, he must ])av a reasonable price therefor. Necessaries in this section mean goods suitable to the condition in life of such infant or minor or other person, and to his actual requirements at the time of the sale and. delivery. k AI'PKXDIX H. tiS't l''or))uiliiics til Ihc Citiilnul. 'A. Subjtct tn ilie provisions of tliis Art and of an\ slatiiti- in that behalf a contract of sale may be made in \vrilin<4 (eitlier with or without seal), or by word of mouth or partlv in wiitinj^ .-.nd partly by word of mouth, or ma\ be implied from the londuei of the parties. Provided thai nuthir.if in this section shall alfiri the law relatinf* to corporations. 4. — (1.) A contract for the sale of any ^oods of the value of ten pounds or upwards shall not be enforceable by action unless the buyer shall accept part of the goods so sold, and actually receive the same, or give something in earnest to bind the contract, or in part pavment, or unless some note or memorandum in writing of the contract be made and signed by the party to be charged or his agent in that behalf. (2.) The provisions of this section apply to every such contract, notwithstanding that the goods may be intended to be delivered at some future time, or may not at the time of such contract be actuallv made, procured, or provided, or fit or ready for delivery or some act may be requisite for the making or completing thereof, or rendering the same fit for delivery. (3.) There is an acceptance of goods within the meaning of this section when the buyer docs any act in relation to the goods which recognises a pre-existing contract of sale whether there be an acceptance in performance of the contract or not. (4.) The provisions of this section do not ajjply to Scotland. Subject matter of Conlracl. 5. — (1.) The goods which form the subject of a contract of sale may be either existing goods, owned or possessed by the seller, or goods to be manufactured or acquired by the seller after the making of the contract of sale, in this Act called " future goods." (2.) There may be a contract for the sale of goods, the acquisi- tion of which by the seller depends upon a contingency which may or may not happen. (3.) Where bv a contract of sale the seller purports to effect a present sale of future goods, the contract operates as an agree- ment to sell the goods. 6. Where there is a contract for the sale of specific goods, ind the goods without the knowledge of the seller have perished at the time when the contract is made, the contract is void. 15 386 APPENDIX B. 7. Where there is an agreement to sell specific goods, and sub- sequently the goods, without any fault on the part of the seller or buyer, perish before the risk passes to the buyer, the agreement is thereby avoided. The Price. 8. — (1.) The price in a contract of sale may be fixed by the contract, or mav be left to be fixed in manner thereby agreed, or may be determined bv the course of dealing between the parties. (2.) Where the price is not determined in accordance with the foregoing provisions the buyer must pay a reasonable price. W^hat is a reasonable price is a question of fact dependent on the circum.stances of each particular case. 9. — (1.) W^'here there is an agreement to sell goods on the terms that the price is to be fixed by the valuation of a third party, i^nd such third party cannot or does not make such valuation, the agreement is avoided ; provided that if the goods or any part thereof have been delivered to and appropriated bv the buyer he must pay a reasonable price therefor. (2.) Where such third party is prevented from making the valu- ation bv the fault of the seller or buyer, the party not in fault may maintain an action for damages against the party in fault. Couditious and ]]'arranties. ■ 10. — (1.) Unless a different inteniton appears from the terms 'of the contract stipulations as to time of payment are not deemed to be of the essence of a contract of sale. Whether any other stipulation as to time is ot the essence of the contract or not depends on the terms of the contract. 2). In a contract of sale " month " means prima facie calendar month. 11. — (1.) In England or Ireland — (a.) Where a contract of sale is subject to any condition to be fulfilled by the seller, the buyer may waive the condition, or may elect to treat the breach of such condition as a breach of warranty, and not as a ground for treating the contract as repudiated. (b.) Whether a stipulation in a contract of sale is a condition the breach of which may give rise to a right to treat the contract as repudiated, or a warranty, the breach of wi/ich may give rise to a claim for damages but not to a right to reject the goods and treat the contract as repudiated, depends in each case on the construction of the contract. A stipulation ma}' be a condition, though called a warranty in the contract : APPKN'DIX B. 38" (f.) Whore a contract of sale is not severable, and tlie buyer has accepted the goods, or part thereof, or where the contract is for specific i^'oods, the property in which has passed to the buver, the breach of anv condition to be fulfilled by the seller can only be treated as a breach of warranty, and not as a i^round for rejecting the goods and treating the contract as repudiated, unless there be a term of the contract, cxprcs or implied, to that efiect. (2.) In Scotland failure by tiie seller to perform anv mat.vial part of a contract of sale is a breach of contract which entitles the buyer either within a reasonable time after delivery to reject the goods and treat the contract as repudiated or to retain the goods and treat the failure to perform such material part as a breach which may give rise to a claim for compensation or damages (3.) Nothing in this section shall affect the case of any condition or warranty fulfilment of which is excused by law by reason of impossibility or otherwise. 12. In a contract of sale unless the circumstances of the contract are such as to show a different intention, there is — (1.) An implied condition on the part of the seller that in the case of a sale he has a right to seil the goods, and that in the case of an agreement to sell he will have a right to sell the goods at the time when the property is to pass : (2.) An implied warranty that the buyer shall have and enjoy quiet possession of the goods : (3.) An implied warranty that the goods shall be free from any charge or encumbrance in favour of any third party, not declared or known to the buyer before or at the time when the contract is made. 13. Where there is a contract for the sale of goods by descrip- tion, there is an implied condition that the goods shall correspond with the description ; and if the sale be by sample, as well as by description, it is not sufficient that the bulk of the goods corresponds with the sample if the goods do not also correspond with the description. 14. Subject to the provisions of this Act and of any statute in that behalf, there is no implied warranty or condition as to the quality or fitness foi any particular purpose of goods supplied under a contract of sale, except as follows : — (I.) Where the bu\er, expressly or by implication, makes known to the seller the particular purpose for which the goods are required, so as to show that the buyer relies on the seller's skill or judgment, and the goods are of a description which it is in the course of the seller's business to supply (whether he 388 APPENDIX B. be the manufacturer or nut), there is an impHed condition that the goods shall be reasonably fit for such purpose, pro- vided that in the case of a contract for the sale of a specified article under its patent or other trade name, there is no implied condition as to its fitness for any particular purpose : (2.) Where goods are bought by description from a seller who deals in goods of that description (whether he be the ma.iu- facturer or not), there is an implied condition that the goods shall be of merchantable quality ; provided that if the buyer has examined the goods, there shall be no implied condition as regards defects which such examination ought to have revealed : (3.) An implied warranty or condition as to quality or fitness for a particular purpose may be annxed by the usage of trade. (4.) An express warranty or condition does not negative a warranty or condition implied by this Act unless inconsistent therewith. Sale by Sample. 15. — (1.) A contract of sale is a contract for sale by sample where there is a term in the contract, express or implied, to that effect (2.) In the case of a contract for sale by sample — (a.) There is an implied condition that the bulk shall correspond with the sample in quality : (b.) There is an implied condition that the buyer shall have a reasonable opportunity of comparing the bulk with the sample : (c.) There is an implied condition that the goods shall be free from anv defect rendering them unmerchantable which would not be apparent on reasonable examination of the samole. PART II. Effhcts of the Contr.\ct. Transfer of Property as between Seller and Buyer. 16. Where there is a contract for the sale of unascertained goods no property in the goods is transferred to the buyer unless and until the goods are ascertained. 17. — (1.) Where there is a contract for the sale of specific or ascertained goods the property in them is transferred to the APl'KNDIX H. ' 389 buyer at siuli tinic as (lie piutit's to ihe contract intend it to be transferred. (2.) For (he pur|)()se of ascertainin<4 the intention of the parlies rejijard shall be had to the terms of the contraet, the conduct of the parties, and the circumstances of Ihe case. 18. Unless a different intention appeals the foUowinj^ are rules for ascertaining the intention of the parties as to the tinv; at which the property in the goods is to pass to the buver. Rule 1. — Where there is an unconditional contract for the sale .)f specific goods, in a deliverable stale, the property in the goods passes to the buyer when the contract is made, and it is immaterial whether the time of j)ayment or the time of delivery, or both, be postponed. Rule 2. — Where there is a contract for the sale of specific goods and the seller is bound to do something to the goods, for the purpose of putting them into a deliverable state, the property does not pass until such thing be done, and the buyer has notice thereof. Rule S. — Where there is a contract for the sale of sp-vific goods in a deliverable state, but the seller is bound to weigh, measure, test, or do some other act or thing with reference to the goods for the purpose of ascertaining the price, the property does not pass until such act or thing be done, and the buver has notice thereof. Rule 4. — When goods are delivered to the buyer on aj^proval or " on sale or return " or other similar terms the property therein passes to the buyer : — - (a.) When he signifies his approval or acceptance to the seller or does any other act adopting the transaction : (b.) If he does not signify his approval or acceptance to the seller but retains the goods without giving notice of rejection, then, if a time has been fixed for the rcvarn of the goods, on the expiration of such time, and, if no time has been fixed, on the expiration of a reasonable time. What is a reasonable lime is a question of fact. Rule .■),. — (1.) Where there is a contract for the sale of unascer- tained or future goods by description, and goods of that description and in a deliverable state are unconditionally appropriated to the contract, either by the seller with the assent of the buyer, or by the buyer with the assent of the seller, the property in the goods thereupon passes to the buver. Such assent may be express or implied, and mav be given either before or after the appropriation is made. 390 APPKXDIX B. (2.) Where, in pursuance of the contract, the seller delivers the goods to the buyer or to a carrier or other bailee or cus- todier (whether named by the buyer or not) for the purpose of transmission to the buyer, and does not reserve the i i^ht of disposal, he is deemed to have unconditionally appropriated the goods to the contract. 19. — (1.) Where there is a contract for the sale of specific goods or where goods are subsequentlv appropriated to the con- tract, the seller may, by the terms of the contract or appropiia- tion, reserve the right of disposal of the goods until certain conditions are fulfilled In such case, notwithstanding the delivery of the goods to the buyer, or to a carrier or other bailee or custodier for the purpose of transmission to the buyer, the property in the goods does not pass to the buyer until the con- ditions imposed by the seller are fulfilled. (2.) Where goods are shipped, and by the bill of lading the goods are deliverable to the order of the seller or his agent, the seller is prima facie deemed to reserve the right of disposal (3.) Where the seller of goods draws on the buyer for the price, and transmits the bill of exchange and bill of lading to +he bu)'er together to secure acceptance or payment of the bill of exchange, the buyer is bound to return the bill of lading if he does not honour the bill of exchange, and if he wrongfully retains the bill of lading the property in the goods does not pass to him. 20. Unless otherwise agreed, the goods remain at the seller's risk until the property therein is transferred to the buyer, but when the property therein is transferred to the buyer, the goods are at the buyer's risk whether delivery has been made or not. Provided that where delivery has been delayed through the fault of either buyer or seller the goods are at the risk of the party in fault as regards any loss which might not have occuTed but for such fault. Provided also that nothing in this section shall affect the duties or liabilities of either seller or buyer as a bailee or custodier of the goods of the other party. Transfer of Title. 21. — (1.) Subject to the provisions of this Act, where goods are sold by a person who is not the owner thereof, and who does not sell them under the authority or with the consent of the owner, the buyer acquires no better title to the goods than the seller had, unless the owner of the goods is by his conduct pre- cluded from denying th'j seller's authority to sell. \im'i:n[)|\ u. ;;!il {•2.) Provided rdsn thai iK.lhint^ in liiis Act -^hall alfort— (a.) The provisions of tiie Factors Acts, or any enactment enabling the apparent owner oi jijoods to dispose of them as if he were the true owner thereof ; (b.) The validity of any contract of sale under any special common law or statutory power of sale or under the orHer of a court of competent jurisdiction. 22. — (1.) Where goods are sold in market overt, according tO' the usage of the market, the buyer acquires a good title to the goods, provided he buys them in good faith and without notice of any defect or want of title on the part of the sellcM". (2.) Xotliing in tiiis section shal! affect the law relating t.i the sale of horses. (3.) The provisions of this section do not apjjly to .Scotland. 23.. When the seller of goods has a voidable title thereto, but his title has not been avoided at the time of the sale, the buyer acquires a good title to the goods, provided he buvs them in good faith and without notice of the seller's defect of title. 24. —(1.) Where goods have been stolen and the offender is prosecuted to conviction, the property in the goods so stolen revests in the person who was the owner of the goods, or his personal representative, notwithstanding any intermediate dealing with them, whether bv sale in market overt or otherwise. (2.) Notwithstanding anv enactment to the contrary, where goods have been obtained by fraud or other wrongful means not amounting to larceny, the property in such goods shall not revest in the person who was the owner of the goods, or his personal representative, bv reason only of the conviction of the offender. (3.) The provisions of this section do not apply to .Scotland. 25. — (1.) W'here a person having sold goods continues or is in possession of the goods, or of the documents of title to the goods, the deliverv or transfer by that person, or by a mercantile agent acting for him, of the goods or documents of title under any sale, pledge, or other disposition thereof, to any person receiving the same in good faith and without notice of the previous sale, shall have the same effect as if the person making the delivery or transfer were expressly authorised by the owner of the goods to make the same. (2.) Where a person having bought or agreed to buy gc ids obtains, with the consent of the seller, possession of the goods or the documents of title to the goods, the delivery or transfer by that perst)n, or by a mercantile agent acting for him, of the 392 APPENDIX B. goods or documents of title, under any sale, pledge, or other dis- position thereof, to any person receiving the same in good faith and without notice of anv lien or other right of the original seller in respect of the goods, shall have the same effect as if the person making the delivery or transfer were a mercantile agent in pos- session of the goods or documents of title with the consent of the owner. (3..) In this section the term " mercantile agent " has the same meaning as in the Factors Acts. 26. — (1.) A writ of fieri facias or other writ of execution against goods shall bind the property in the g(H)ds of the execu- tion debtor as from the time when the writ is delivered to the sheriff to be executed ; and, for the better manifestation of such time, it shall be the duty of the sheriff, without fee, upon the receipt of any such writ to endorse upon the back thereof the hour, day, month and year when he received the same. Provided that no such writ shall prejudice the title to such goods acquired by any person in good faith and for valuable consideration unless such person had at the time when he acquired his title notice that such writ or any other writ by virtue of which the goods of the execution debtor might be seized or attached had been delivered to and remained unexecuted in the hands of the sheriff. (2.) In this section the term " sheriff " includes any officer charged with the enforcement of a writ of execution. (3.) The provisions of this secticjn do not apply to .Scotland. PART III. Performance oe the Contract. 27. It is the duty of the seller to deliver the goods and ot the buyer to accept and pav for them in accordance with the terms of the contract of sale. 28. Unless otherwise agreed, delivery of the goods and pay- m.ent of the price are concurrent conditions, that is to say, the seller must be ready and willing to give possession of the goods to the buyer in exchange for the price and the buyer must be ready and willing to pay the price in exchange for possession of the goods. 29. — (1.) Whether it is for the buyer to take possession of the goods or for the seller to send them to the buyer is a question depending in each case on the contract, express or implied, be- tween the ])arties. Apart from any such contract, express or AIM'KNDIX n. '.]U'] iinplitHl, till' place of dt'ivorv is iho seller's placo ■>( bi!sin(>-.s, if he have one, and if not, his residence : Provided thai, if the ton- tract be for the sale of specific ijoods, which to the knowledtje of the parties when the contract is made are in sonic other place then that |)lace is the place of delivery. (2.) Wliere under the contract of sale the seller is bound to send the j^oods to the buyer, but no time for serulin^ them is fixed, the seller is bound to send them within a reasonable ti.ne. (3.) Where the j^oods at the time of sale are in the possessioji of a third person, there is no delivery bv seller to buver unless and until such third person acknowledi^es to the buyer that he holds the -jjoods on his behalf; provided thai nothinjij in this section shall affect the ojjeration of the issue or transfer of :)nv document of title to t«oods. (4.) Demand or tender of delivery may be treated as ineffectual unless made at a reasonable hour. What is a reasonable hour is a question of fact. (o.) Unless otherwise at*reed, the expenses of and incidental to puttinj.^ the i^oods into a deliverable state must be borne by the seller. 30. — (1.) Where the seller delivers to the buyer a quantity of goods less than he contracted to sell, the buyer may reject them, but if the buyer accepts the goods so delivered he must pay for them at the contract rate. (2.) Where the seller delivers to the buyer a quantity of goods larger than he contracted to sell, the buyer may accept the goods included in the contract and reject the rest, or he may reject the whole. If the buyer accepts the whole of the goods so delivered he must pay for them at the contract rate. (3.) Where the seller delivers to the buyer the goods he con- tracted to sell mixed with goods of a different description not in- cluded in the contract, the buyer may accept the goods which are in accordance with the contract and reject the rest, or he mav reject the whole. (4.) The provisions of this section are subject to any usage of trade, special agreement, or course of dealing between the parties. 31. — (1.) Unless otherwise agreed, the buyer of goods is not ■bound to accept delivery thereof bv instalments. (2.) Where there is a contract for the sale of goods to be de- livered by stated instalments, which are to be separately paid for, and the seller makes defective deliveries in respect of one or more instalments, or the buyer neglects or refuses to take delivery of or pav for one or more instalments, it is a question in each case ■depending on the terms of the contract and the circumstances of 394 APPENDIX B. the case, whether the breach of contract is a repudiation of the whole contract or whether it is a severable breach giving rise to a claim for compensation but not to a right to treat the whole con- tract as repudiated. 32. — (1.) Where, in pursuance of a contract of sale, the seller is authorised or required to send the goods to the buj'er, delivery of the goods to a carrier, whether named by the buyer or not, for the purpose of transmission to the buyer is prima facie deemed to be a delivery of the goods to the buyer. (2.) Unless otherwise authorised by the buver, the seller must make such contract with the carrier on behalf of the buyer as may be reasonable having regard to the nature of the goods and the other circumstances of the case. If the seller omit so to do, and the goods are lost or damaged in course of transit, the buyer may decline to rreat the delivery to the carrier as a delivery to himself, or mav hold the seller responsible in damages. (3.) Unless otherwise agreed, where goods are sent bv the seller to the buyer by a route involving sea transit, under circum- stances in which it is usual to insure, the seller must give such notice to the buyer as mav enable him to insure them during^ their sea transit, and, if the seller fails to do so, the goods shall be deemed to be at his risk during such sea transit. 33. Where the seller of goods agrees to deliver them at his own risk at a place other than that where they are when sold, the buyer must, nevertheless, unless otherwise agreed, take any risk of deterioration in the goods necessarily incident to the course of transit. 34.- — (1.) Where goods are delivered to the buyer, which he has rot previouslv examined, he is not deemed to have accepted them unless and until he has had a reasonable opportunity of examining them for the purpose of ascertaining whether they are in con- formity with the contract. (2.) Unless otherwise agreed, when the seller tenders deliverv Of gojds to the buyer, he is bound, on request, to afford the buver a reasonable opportunity of examining the goods for the purpose of ascertaining whether they are in conformity with the contract. 35. The buyer is deen;ed to have accepted the goods when he intimates to the seller that he has accepted them, or when the goods have been delivered to him, and he does any act in relation to them which is inconsistent with the ownership of the seller, or when after the lapse of a reasonable time, he retains the goods without intimating to the seller that he has rejected them. 36. Unless otherwise agreed, where goods are delivered to the buyer, and he refuses to accept them, having the right so to do, h«- APPENDIX B. .'i!>"» is nut bound to return ilciu to the seller, but il is sufllcient if he intimates to the seller that he refuse-? to accept them. 37. When the seller is read\ and willinj^ to deliver the goods, and requests the buyer to take delivery, and the buver does not within a reasonable time- after such request take deliverv of the goods, he is liable to the seller for any loss occasioned bv his neg- lect or refusal to take deliver)-, and also for a reasonable ch^rge for the care and custody of the goods. Provided that nothing in this section shall aft'ect the rights of the seller when- the neglect or refusal of the buyer to take deliver\ amounts to a repudiation of the contract. PART IV. Rights oi-- Umv\ii> .Si;i.i.1sk against timc Goods. 38. — (1.) The seller of goods is deemed to be an " unpaid >ellei " within the meaning of this Act — (a.) When the whole of the price has not been paid or tende'ed ; (b.) When a bill of exchange or other negotiable instrument has been received as conditional payment, and the condition on which it was received has not been fulfilled by reason of the dishonour of the instrument or ctherwise. (2-) In this part of this Act the term " seller " includes any person who is in the position of a seller, as, for instance, an agent of the seller to whom the bill of lading has been indorsed, or a consignor or agent who has himself paid, or is directly responsible lor, the price 39. — (1.) Subject to the provisions of this .\ct, and of any statute in that behalf, notwithstanding that the iM-operty in the goods mav have passed to the buver, the unpaid seller of goods, as such, has bv implication of law — (a.) A lien on the goods or right to retain tlicm foi- the prirc while he is in possession of them ; (b.) In case of the insolvency of the buyer, a right of stopping the goods in transitu after he has parted with tiie possession of them ; (c.) A right of re-sale as limited by this Act. (2.) Where the property in goods has not passed to liie buyer, the unpaid seller has, in addition to his other remedies, a right of withholding delivery, similar to and co-extensive with his rights of lien and stop]jage in transitu where the property has passed to the buyer. 396 APPENDIX B. 40. In Scotland a seller of goods may attach the same while in his own hands or possession bv arrestment or poinding; and such arrestment or poinding shall have the same operation and effect in a competition or otherwise as an arrestment or poinding by a third party. Unpaid Seller's Lien. 41. — (1.) Subject to the provisions of this Act, the unpaid seller of goods who is in possession of them is entitled to retain posses- sion of them until payment or tender of the price in the following cases, namely : — (a.) Where the goods have been sold without any stipulation as to credit ; (6.) Where the goods have been sold on credit, but the term of credit has expired ; (c.) Where the buyer becomes insolvent. (2.) The seller may exercise his right of lien notwithstanding that he is in possession of the goods as agent or bailee or cus- todier for the buyer. 42. Where an unpaid seller has made part delivery of the goods, he may exercise his right of lien or retention on the remainder, unless such part delivery has been made under such circumstances as to show an agreement to waive the lien or right of retention. 43. — (1.) The unpaid seller of goods loses his lien or right of retention thereon — (a.) When he delivers the goods to a carrier or other bailee or custodier for the purpose of transmission to the buyer without reserving the right of disposal of the goods ; (b.) When the buyer or his agent lawfully obtains possession of the goods ; (c.) By waiver thereof. (2.) The unpaid seller of goods having a lien or right of reten- tion thereon, does not lose his lien or right of retention by reason only that he had obtained judgment or decree for the price of the goods. Stoppage in tratisitit. 44. Subject to the provisions of this Act, when the buyer of goods becomes insolvent, the unpaid seller who has parted with the possession of the goods has the right of stopping them in transitu, that is to say, he may resume possession of the goods as long as thev are in course of transit, and may retain them until payment or tender of the price. aimm:m)Ix b. ;{97 45. — (1.) Goods are lieiMncd io be in course oof transit from the time when they are dehvered to a carrier by land or water, or other bailee or custodier for the purjjose of transmission to the buyer, until the buyer, or his a^<'nl in that behalf, lakes delivery of them from such carrier or other bailee or cutodier. (2.) If the buyer or his af^Jent in that behalf obtains delivery of the goods before their arrival at the apixjinled destination, the transit is at an end. (3.) If, after the arrival of the goods at the appointed destina- tion, the carrier or other bailee or custodier acknowledges to the buyer, or his agent, that he holds the goods on his behalf and continues in possession of them as bailee or custodier for the buyer or his agent, the transit is at an end, and it is immaterial that a further destination for the goods may have been indicated by the buyer. (4.) If the goods are rejected by the buyer, and the carrier or other bailee or custodier continues in possession of them, the tran- sit is not deemed to be at an end, even if the seller has refused to receive them back. (5.) When goods are delivered to a ship chartered bv the bu\er it is a question depending on the circumstances of the particular case, whether they are in the. possession of the master as a carrier, or as agent to the buyer. (6.) Where the carrier or other bailee or custodier wrongful!) refuses to deliver the goods to the buyer, or his agent in that behalf, the transit is deemed to be at an end. (7.) Where part delivery of the goods has been made to the buyer, or his agent in that behalf, the remainder of £he goods may be stopped in transitu, unless such part delivery has been made under such circumstances as to show an agreement to give up possession of the whole of the goods. 4(5. — (1.) The unpaid seller may erercise his right of stoppage in transitu either by taking actual possession of the goods, or by giving notice of his claim to the carrier or other bailee or custodier in whose possession the goods are. Such notice may be given either to the person in actual possession of the goods or to his principal. In the latter case the notice, to be effectual, must be given at such time and under such circumstances that the princi- pal, by the exercise of reasonable diligence, may communicate it to his servant or agent in time to prevent a delivery to the buyer. (2.) When notice of stoppage in transitu is given by the seller to the carrier, or other bailee or custodier in possession of the goods, he must re-deliver the goods to, or according to the direc- tions of, the seller. The expenses of such re-delivery must be borne bv the seller. 398 APPENDIX B. Re-sale by Buyer or Seller. 47. Subject to the provisions of this Act, the unpaid seller's right of lien or retention or stoppage in transitu is not affected bj- any sale, or other disposition of the goods which the buyer may have made, unless the seller has assented thereto. Provided that where a document of title to goods has been lawfully transferred to any person as buyer or owner of the goods, and that person transfers the document to a person who takes the document in good faith and for valuable consideration, then, if such last-mentioned transfer was by way of sale the unpaid seller's right of lien or retention or stoppage in transitu is defeated, and if such last-mentioned transfer was by way of pledge or other disposition for value, the unpaid seller's right of lien or retention or stoppage in transitu can only be exercised subject to the rights of the transferee. 48. — (1.) Subject to the provisions of this section, a contract of sale is not rescinded bv the mere exercise bv an unpaid seller of his right of lien or retention or stoppage in transitu. (2.) Where an unpaid seller who has exercised his right of lien or retention or stoppage in transitu re-sells the goods, the buyer acquires a good title thereto as against the original buver. (3.) Where the goods are of a perishable nature, or where the unpaid seller gives notice to the buyer of his intention to re-sell, and the buver does not within a reasonable time pay or tender the price, the unpaid seller may re-sell the goods and recover from the original buver damages for anv loss occasioned by his breach of contract. (4.) W^here the buver expresslv reserves a right of re-sale in case the buyer should make default, and on the buyer making default, resells the goods, the original contract of sale is thereby rescinded, but without prejudice to any claim the seller may have for damages. PART V. AcTioN.s FOR Breach of the Contr.act. Remcties of the Seller. 49. — (1.) Where, under a contract of sale, the property in the ^oods has passed to the buj-er, and the buyer wrongfully neglects i>r refuses to pay for the goods according to the terms of the con- tract, the seller may maintain an action against him for the price of the goods. APPENDIX B. •»!>(» (2.) Where, under a contract of sale, the price is payable on a daj- certain irrespective of delivery, and the buyer wrongfully neglects or refuses to pay such price, the seller may maintain an fiction for the price, although the property in the goods has not passed, and the goods have not been appropriated to the contract. (3.) Nothing in this section shall prejudice the right of the seller in Scotland to recover interest on the price from the date of tender of the goods, or from the date on which the price was pay- able, as the case may be. 5Q. — (1.) Where the buyer wrongfullv neglects or refuses t« accept and pay for the goods, the seller may maintain an action against him for damages for non-acceptance. (2.) The measure of damages is the estimated loss directly and naturally resulting, in the ordinary course of events, from the buyer's breach of contract. (3). Where there is an available market for the goods in ques- tion the measure of damages is prima facie to be ascertained by the difference between the contract price and the market or cur- rent price at the time or times when the goods ought to have been accepted, or, if no time was fixed for acceptance, then at the time of the refusal to accept. Remedies of the Buyer. 51. — (1.) Where the seller wrongfully neglects or refuses to deliver the goods to the buyer, the buyer may maintain an action against the seller for damages for non-delivery. (2.) The measure of damages is the estimated loss directly and naturally resulting, in the ordinar\- course of events, from the seller's breach of contract. (3.) Where there is an available market for the goods in ques- tion the measure of damages is prima facie to be ascertained bv the difference between the contract price and the market or current price of the goods at the time or times when they ought to have been delivered, or, if no time was fixed, then at the time of the refusal to deliver. 52. In any action for breach of contract to deliver specific or ascertained goods the court may, if it thinks fit, on the application of the plaintiff, by its judgment or' decree direct that the contract shall be performed specifically, without giving the defendant the option of retaining the goods on payment of damages. The judg- ment or decree may be unconditional, or upon such terms and conditions as to damages, payment of the price, and otherwise, as to the court may seem just, and the application by the plaintiff mav be made at any time before judgment or decree. 400 APPENDIX B. The provisions of this section shall be deemed to be supplemen- tary to, and not in derogation of, the right of specific implement in Scotland. 53. — (1.) Where there is a breach of warranty by the seller, or where the buyer elects, or is compelled, to treat any breach of a condition on the part of the seller as a breach of warranty, the buyer is not by reason only of such breach of warranty entitled to reject the goods ; but he mav (a) set up against the seller the breach of warranty in diminution or extinction of the price ; or (b) maintain an action against the seller for damages for the breach of warranty. (2.) The measure of damages for breach of warranty is the estimated loss directl}' and naturally resulting, in the ordinary course of events, from the breach of warranty. (3.) In the case of breach of warranty of quality such loss is prima facie the difference between the value of the goods at the time of delivery to the buyer and the value they would have had if they had answered to the warranty. (4.) The fact that the buyer has set up the breach of warranty in diminution or extinction of the price does not prevent him from maintaining an action, for the same breach of warranty if he has suffered further damage. (5.) Nothing in this section shall prejudice or affect the buyer's right of rejection in Scotland as declared by this Act. 54. Nothing in this Act shall affect the right of the buyer or the seller to recover interest or special damages in any case where b\' law interest or special damages may be recoverable, or to recover money paid where the consideration for the payment of it has failed. PART VI. SUPPLEMENT.ARY. 55. Where any right, duty, or liability would arise under a con- tract of sale by implication of law, it may be negatived or varied by express agreement or by the course of dealing between the parties, or by usage, if the usage be such as to bind both parties to the contract. 56. Where, by this Act. any reference is made to a reasonable lime the question what is a reasonable time is a question of fact, 57. Where any right, duty, or liability is declared by this Act, it mav, unless otherwise by this Act provided, be enforced by action. AI'PKNDIX B. 401 58. ~In the case of a sale by auction — (1.) Where goods are put up for sale by auction in lots, each lot is prima facie deemed to be the subject of a separate contract of sale ; (2.) A sale by auction is complete when the auctioneer announces its completion by the fall of the hammer, or in other customary manner. Until such announcement is made any bidder may retract his bid : (3.) Where a sale by auction is not notified to be subject to a right to bid on behalf of the seller, it shall not be lawful for the seller to bid himself or to employ any person to bid at such sale, or for the auctioneer knowingly to take any bid from the seller or any such person : Any sale contravening this rule may be treated as fraudulent by the buyer : (4.) A sale by auction may be notified to be subject to a reserved or upset price, and a right to bid may also be reserved expressly by or on behalf of the seller. Where a right to bid is expressly reserved, but not otherwise, the seller, or any one person on his behalf, may bid at the auction. 59. In Scotland where a buyer has elected to accept goods which he might have rejected, and to treat a breach of contract as only giving rise to a claim for damages, he rnay, in an action by the seller for the price, be required, in the discretion of the court before which the action depends, to consign or pay into court the price of the goods, or part thereof, or to give other reasonable security for the due payment thereof. 60. The enactments mentioned in the Schedule to this Act are hereby repealed as from the commencement of this Act to the extent in that schedule mentioned. Provided that such repeal shall not affect anything done or suffered, or any right, title, or interest acquired or accrued before the commencement of this Act, or any legal proceeding or remedy in respect of any such thing, right, title or interest. 61. (1.) The rules in bankruptcy relating to contracts of sale shall continue to apply thereto, notwithstanding anything in this Act contained. (2.) The rules of the common law, including the law merchant, save in so far as they are inconsistent with the express pro- visions of this Act, and in particular the rules relating to the law of principal and agent and the effect of fraud, misrepresentation, duress or coercion, mistake, or other invalidating cause, shall continue to applv to contracts for the sale of goods. 26 402 APPENDIX B. (3.) Xothinj^ in this Act or in anv repeal effected thereby shall affect the enactments relating to bills of sale, or any enactment relating to the sale of goods which is not expressly repealed by this Act. (4.) The provisions of this Act relating to contracts of sale do not apply to any tansaction in the form of a contract of sale which is intended to operate by wav of mortgage, pledge, charge, or other securit)'. (5.) Nothing in this Act shall prejudice or affect the landlord's right of hypothec or sequestration for rent in Scotland. 62. — (1.) In this Act, unless the context or subject matter otherwise requires, — " Action " includes counterclaim and set off, and in Scotland condescendence and claim and compensation : " Bailee " in .Scotland includes custodier : " Buyer " means a person who buys or agrees to buy goods : " Contract of sale " includes an agreement to sell as well as a sale : " Defendant " includes in Scotland defender, respondent, and claimant in a multiplepoinding : " Delivery " means voluntary transfer of possession from one person to another : " Document of title to goods " has the same meaning as it has in the Factors Acts : " Factors Acts " mean the Factors .Act, 1889, the Factors (.Scotland) .\ct, 1890, and any enactment amending or substituted for the same : " Fault " means wrongful act or default : " Future goods " mean goods to be manufactured or acquired by the seller after the making of the contract of sale : " Goods " include all chattels personal other than things in action and money, and in .Scotland all corporeal moveables except money. The term includes emblements, industrial growing crops, and things attached to or forming part of the land which are agreed to be severed before sale or under the contract of sale : " Lien " in Scotland includes right of retention : " Plaintiff " includes jjursuer, complainer, claimant in a multiplepoinding and defendant or defender counter- claiming : " Property " means the general ])roperty in goods, and not merely a special property : I APPENDIX B. 403 " Quality of goods " includes their state or condition : " Sale " includes a bargain and sale as well as a sale and delivery : " Seller " means a person who sells or agrees to sell goods. " Specific goods " mean goods indentified and agreed upon at the time a contract of sale is made : " Warranty " as regards England and Ireland means an agree- ment with reference to goods which are the subject of a contract of sale, but collateral to the main purpose of such contract, the breach of which gives rise to a claim for damages, but not to a right to reject the goods and treat the contract as repudiated. As regards Scotland a breach of warranty shall be deemed to be a failure to perform a material part of the contract. (2.) A thing is deemed to be done " in good faith " within the meaning of this Act when it is in fact done honestlv, whether it be done negligently or not. (3.) A person is deemed to be insolvent within the meaning of this Act who either has ceased to pay his debts in the ordinary course of business, or cannot pay his debts as they become due, whether he has committed an act of bankruptcy or not, and whether he has become a notour bankrupt or not. (4.) Goods are in a " deliverable state " within the meaning of this Act when they are in such a state that the buyer would under the contract be bound to take delivery of them. 63. This Act shall come into operation on the first day of January one thousand eight hundred and ninety-four. 64. This Act mav be cited as the Sale of Goods Act, 1893. INDEX. INDEX. ABANDONMENT of contract, 167 of lien, 12o of notice to treat, 360 " ABOUT," " MORE OR LESS," ETC., effect of words and expressions such as, OS, 1G4, 165 ABSTRACT OF TITLE. commencement of, 220, 221, 247-249 conditions of sale limiting commencement of, 220-222 delav in delivery, rights of purchaser, 223-22-") delivery of, 223-225 " not an act of part performance, 59 documents to be abstracted for purposes of the, 246, 249, 2")') expenses of, liability for, 251, 252, 253 failure to deliver, effect of, 224, 225 length of title to be shown b\ , 220, 221 nature of, 246, 247 " perfect," meaning of, 251 questions as to, determinable on vendor and purchaser summons, 292, 293 registered land, contents of, 2.-)0, 251 time for requisitions on delivery of, 223-225 ABSTRACTED DOCUMENTS. proof of, 253 what are, 249, 250 ACCEPTANCE by acting on proposal, 24, 121 communication of, to agent, sufficient, 24 conditional, 25 how mav be made, 22, 121 implied from conduct, 22 must be absolute and unqualified, 25 no, where goods delivered differ from tht)se ordered, 24 notification of, may be dispensed witn, 24 of goods, buver's right of examining before, 170, 171 delav in rejection as implying, 172 express, by buyer, 171 implied, by buyer, 171, 172 in performance of contract, 170, 173 408 INDE X. Acceptance — continued. of goods — continued. in recognition of contract, 122, 123 re-sale by buyer as implied, 171 when buyer deemed to have made, 124, 170 of title, as abstracted, no waiver of objections to title, 261 revocation of, 35 " subject to contract," effect of, 25, 38 unconditional, of offer, makes binding contract, 25 ACCOUNT STATED with linfant, 14 ACKNOWLEDGMENT, of goods, 161 right to production and undertaking for custody of documents, of, by purchaser, 238, 319 ACKNOWLEDGMENTS, of married women, proof of, 253 searches for, 265 ACTION : See Damages : Injunction : Rectification : Rescis- sion : Specific Performance : Vendor and Purchaser Summons. by administrator of convict's property, 11 by alien enemy, 11 by and against brokers, 91, 92 commission agents, 94 corporations, 12 infants, 13-16 married women, 17-19 urban authorities, 12 debenture holder's, 347 effect of bankruptcy on rights of, 116, 283-288 : See Stoppage in transitu death on rights of, 35, 116, 283-285 for contract price, 2, 121, 196, 199, 200 conversion, 2, 121, 195, 197 detinue, 2, 121, 195 money had and received, 98 non-delivery, 195 trespass, 121, 195 trover, 121, 150 incapacitv of convict in respect of, 11 parties to, 9, 10, 104, 105, 107, 111-113 redemption and foreclosure, 348 statutory provisions as to enforcement of rights of, 41, 55-59, 122 INDKX. 409 ACTS OF PARLIAMENT. proof of, 254 ACTUAL RECEIPT, delivery of goods to carrier as effecting, 125 goods by buyer, of, when taking place, 124, 125 instances of, 124, 125 ADMINISTRATOR, see Executor. appointment of, proof of, 254 of convict's property, power of Crown to appoint, 11 power of, in relation to contracts, 11 ADMI'ITANCE, assurance of copyholds by surrender and, 319, 320 ADVERSE CLAIMS AND POSSESSION, where land registered, 271, 272 ADVERTISEMENT OF SALE, effect of, 23, 140 ADVOWSON, title to be shown on sale of, 220, 245 AFFIDAVIT, evidence by, on vendor and purchaser summons, 292 AFFIRMATIVE COVENANTS, restrictive distinguished from, 329 AGENCY by estoppel, 86 capacity of parties to, 86 contract of, distinguished from sale, 7 determination of, 108, 109 from necessity of case, 86 how it arises, 85 what it implies, 7 AGENT, see Auctionkers, Brokers, Del Credere Agents, Estate Agents, Factors, Partners, Solicitors. appointment of, 87, 88 authority of, 89 delegation of, 94, 95 execution of, 95 generally, 88 implied, 89 under power of attorney, 89 capacity of, 86, 87 contracts of, 104 410 INDEX. Agent — con tin iied. corporations must contract by means of, 12 definition of, 83 dispositions of property by, 102, 103, 104 duty of, to principal, 97 fraud of, 106 general, distinguished from special agent, 83 is medium by which principal may be charged, 10 is representative of principal, 7 liability of, to principal, 97 to third parties, 102, 106, 107 where principal incapable of contracting, 9 non-existent, 9 lien of, 100 misrepresentation of, 67, 106 position of, selling to or purchasing from himself, 21 post office is, of sender of letter, 33 professional, 95, 96 ratification of acts of, 96 remuneration of, 99 representations by, 73, 106 right of, to account, 101 signature bv, satisfies statutory formalities, 41, 47, 48, 55, 56, 87 special, distinguished from general agent, 83 to sell or buy, duties of, 7, 98, 99 third parties" and, 102, 106, 107 vendor's, bidding on behalf of vendor, effect of, 2 wrongs of, 106 " AGREED TO BUY," meaning and effect of, 154 AGREEMENT, definition of, 22 * determination of agency by, 108 for lease, payment of rent in advance under verbal, whether part performance, 59 " heads of," effect of, 37 principles of, 22-37 to sell, at fair valuation, 38 distinguished from contract of sale, 1, 2 option to sell, 2 sale, 1, 2, 120 when it becomes a sale 120 to transfer propcrtx . not treated as a sale, when, 4 AGRICULTURAL LAND, vendor's dutv i)cnding completion as to, 274, 27") iNi>i:x. 411 ALIKN. r;i|)acity of, to contract, Id ALIKN ENKMV, contracts with, 11 " ALL THK LS'IATL " CLAL SL, omission of, 312 ALTLRXA'I INi: CONS'lRrc ' IIOXS, oo, 56 A.MBKil ITY, effect of, 65, 68, 69 ANXUniES, cessation of, proof of, 254 searches for, 263, 264 AXNOUXCKMLXT OF SALE BY TEXDER, not an otTer, 23 " AXTICIPATORV BREACH," of contract, seller's rights on, 203 what constitutes an, 203 APPOINTMEXT, default in exercise of power of, how proved, 254 of administrator, proof of, 254 of trustee, proof of, 254 APPORTIOXMEXT : See OimwMNCis : Rknts and Proi its. APPROPRLVnOX of goods, 146, 147, 209 deliverv to carrier bv purchaser's order as effecting, 146, 147 meaning of, 146 when seller deemed to have made, 146 of purchase-money on sale of land, 279, 280 APPROVAL. contracts for sale or return or on, 5. 145, 153 of title, by solicitor, 38 ARBrrRATIOX. condition that dispute shall l)e referred to, effect of on sale by description, 137 object of, 53 valuation distinguished from, 53, 54 412 INDEX. ASSIGNMENT by act of parties, 110-115, 281-283 by operation of law, 115-117, 283-291 , contract to assign becomes an, when, 127, 128 effect of Judicature Act, 1873, as to, 111-112 form of, 113 includes sale, 7 notice of, 114 priority of, 114 of benefit of contract, 282, 283 choses in action, 112, 113 liabilities under contract, 10, 110, 111 rights at common law, 10, 111 in equity. 111 purchaser's rights in respect of, 281, 282 title passing by, 115 ASSURANCE, of copyholds, 319-321 freeholds, 309-319 leaseholds, 321-322 ATTORNMENT, 158, 161, 187 AUCTION, sales by, biddings at, accepted by fall of hammer, 35 constitute offers, 35, 141 opening of, on ground of fraud, 69 revocation of, 35, 36 stipulations as to, 35, 36, 218 advertisement of, not offers 140 conduct tending to " damp," effect of, 78 employment of puffers at, 78, 142 of property in lots, 141, 242, 243 of settled land, 334 powers of mortgagees as to, 343 tenant for life, as to, 334 trustees as to, 340 statutory provisions as to, 78, 141, 218 unider distraints for rent, 367 order of court, 349 vendor's reservations on, 23, 78, 141, 218 within Statute of Frauds, 41 AUCTIONEER, see Agent. defined, 84 deposit paid to, 219, 220 extent of authority of, 84, 92, 93 INDEX. 413 Auctioneer — continued. implied autliority of, 84, 92, 93 is agent for vendor and purchaser to sif^n memorandum of sale, 84 except when seUinj^ his own property, H4 of vendor until hammer falls, 84 signature of, fulfils statutory formalities on sale, 84, 92 AWARDS, proof of, 255 BAILEE, attornment as affecting position of, 158, 161, 178, 187 buyer as seller's, effect of disposition bv, 124 delivery of goods to, for transmission to buyer, effect of, 146, 'l47, 179, 180, 185 " delivery order " to, meaning of, 193 delivery to carrier as, 168 duty of, on notice of stoppage in transitu, 190 seller's agreement to hold goods as buver's, effect of, 125, 175, 178 \vrt)ngful refusal of delivery b\ , ('dVct of, ls9, 191 BAILMENT, distinction between, and exchange, 5 sale, 4, 5 BANKRUPTCY, adjudication in, proof of, 255 annulment of, proof of, 255 effect of, 108, 116, 178, 182, 286-288 searches for, 264 trustee in, powers of : See Trustek. BARTER, sale distinguished from, 4 BEDFORD LEVEL, registiation of title to lands in, 265, 327 BENEFICIAL OWNER, covenants for title implied on conveyance by vendor as, 316, 322 BENEFICIARY, rights of, enforced through his trustee, 10 against his trustee, 80, 81 transactions between trustee and, 20 BIDDINGS, see Auction. 414 INDEX. BILL OF EXCHANGE, inference as to interest when, given, 200, 212 lien terminated by acceptance of, 182 pa3-ment by, nature and effect of, 174, 206 remedy of seller where buyer fails to give agreed, 200, 212 stoppage in transitu defeated b}' acceptance of, in absolute payment, 183 transmission of bill of lading to buver to secure acceptance of, effect of, 146, 147, 148 BILL OF LADING, buver's dutv to return, on non-acceptance of bill of exchange, 147 delivery of goods restricted bv, effect of, 147, 180, 186 by,' 146, 158 of, effect of, 183, 193 to ship-master, effect of, 186 demand for, a good stoppage in transitu, 190 lien preserved bv, 180 nature of, as a 'symbol, 124, 125, 158, 180, 192 operation of, 158," 192, 193 transfer of property by,, 146, 162, 193 BILLS OF SALE, provisions relating to, not affected, 149 BIRTH, proof of, 255 BOUGHT AND SOLD NOTES, broker's, memorandum of contract formed bv, if identical, 31, 46, 96, 105 no contract if variance in, 31, 46, 105 no contract if, in absolute terms but sale subject to conditions as to quality, 55 BREACH, see Action : Condition : Warranty. BRrnSH SHIPS, incapacity of aliens to hold or acquire, 10 BROKER : See Agent : Bought and Sold Notes. distinguished from factor, 84, 91 functions of, 84, 91 implied authority of, 92 liability of, by usages of trade, 91, 107 signed entry by, effect of, 91, 105 when a contracting party, 91 BUILDING CONTRACTS, nature of, 43 materials, contract for sale of, nature of, 43, 44 scheme, rights and liabilities of purchasers under, 331 INDEX. 415 BUVHR, see Pi kc ii askk. acceptance of j^'ouds by, 41, V2-2-\2\, 131, 17(1-172 actual receipt of goods by, 41, ll22, 124, V2') attornment to, effect of, 158, 1(31, 17lS, 1S7 deemed to be insolvent, when, 17S, 1S4, is.5 definition of, 119 delivery at t)ption of, when, l.ji) on b(jard vessel rhaiiered b\ , when deliverv to buver, l>s.'lM) of, how restrained, 1*^(3 to, by attornment, loS, lUl carrier may be delivery to, l.jS, IGN, liiit. ISO duty of, on ])urchase, 6G, 138 to accept and pay for goods bought, lo6 take goods bought, lo9 earnest given by, effect of, 41, 122, 12o, 12fJ effect of c.i.f. contract as to risk of, 140 death of, 35, 116 election of, to treat breach of condition as breach oi warranty, 134, 135 equitable title of, how seller may defeat, 128 on sale of future goods, 127 exercise of judgment by, effect of, 66, 138 expenses of and incidental to receiving deliverv to be borne bv, 162 goods are at risk of, when, 148 implied conditions and warranties on sale to, 135-140 insolvency of, effect of, 157, 174, 177, 178, 182-185 intention of parties determines when prof>ertv ])asses to, 1, 143-149 liabilit}- of, for neglecting or refusing delivery, 172, 173 when valuer j^revented from making valuation, 54, 131 loss on sale falls on, 2 part payment by, effect of, 41, 122, 125, 126 property passes to, subject to intention of parties, 143-149 when goods ascertained on sale of unas- certained goods, 143 reasonable price must be paid bv, where goods appropriated by buyer, 130, 131 where no price fixed. 180 remedies of, 204-214 remedy of, on breach of agreement to sell, 2 condition, 70, 131, 132, 134 warranty, 70, 131, 132, 134, 209-211 non-delivery of goods, 2, 204-208 resale by seller to third party, 195-197 416 INDEX. Buyer- — continued. resale or pledge by, effect of, 191-194 rights of, to examine goods before acceptance, 170, 171 when goods ordered are mixed with goods not ordered, 163, 164 sold on credit, 157 wrong quantity delivered, 163 where delivery to be made bv instalments,' 165-168 176 risk of deterioration in transit is on, when, 169, 170 sale effects transfer of property to, 1, 143 seller and, must be different persons, 2, 3 title of, effect of writ of execution on, 155 on sale by person not owner, 149 in market overt, 151, 152 of stolen goods, 153 under voidable title, 152-158 undelivered goods must be paid for by, when, 129, 130 waiver of condition by, 134 wrongful refusal of carrier to deliver to, effect of, 189 C.I.F. CONTRACT, meaning and effect of, 149, 162, 169, 170 CANCELLATION, see Rescission. CAPACITY TO CONTRACT, companies, 11-13 convicts, 11 corporations, 11-13 drunkards, 17 general rule, 10 infants, 13-17 lunatics, 17 married women, 17-19 of aliens, 10, 11 CARRIER, attornment by, 158, 161, 187 delivery to, as buver's agent or at buver's request, effect of, 125, 146, 147, 168 when delivery to buyer, 157, 158 where seller reserves right of disposal, effect of, 168 ship-master as, effect of, 188, 189 duration of transit of goods in possession of, 185-188 duty of, on receipt of notice of stoppage in transitu, 190 INDKX. 417 Carrier — continued. liability of, on failuiv to comply with notice of stoppaj^e in transitu, 191 lien of, for unpaid freight, 188 seller's duty as to contract with, 169 loss of lien on delivery to, 179, 180 wroni^fui refusal to deliver by, effect of, 189 CAVEAT EMPTOR. meanintj and a|)i)lication of maxim, G6, 67, 138 CERTIFICATE : See S.\i,i£ undkr Okdkr oi-- Court : 'I'liiA-.. CESTUI QUE TRUST : See Bkni:i-iciaky. CHARTER-PARTY, meaning of, 189 CHATTELS, included within " goods," 42 sale of, when specific performance decreed on, 199 CHEQUE, PAYMENT BY : See Purciiask-monmcv. CHILD : See Parent. CHOSE IX ACTION : See Assignment CLIENT : See Solicitor. COLLATERAL AGREEMENT : See Warranty. breach of, effect of, 73 COMMENDATION : See Intention : Opinion. statements of, effect of, 73 COMMISSION AGENT: See Agent. character of, 93 duties of, 93, 94 liability of, 94 rights of, 94 COMMITTEE : .See Bankruptcv : Lunatic. COMP.ANY : See Corfor.ation : Sale under Lands Clauses Acts. contracts ultra vires the, effect of, 9 non-existent, cannot contract, 9 when formed mav adopt contract made by promoter, 9 COMPENSATION, assessment of, on compulsurs jjurchase, 361, 362 conditions of sale as to, for errors of description, 228, 231, 232, 234 damages for breach of contract are in the nature of, 199, 297 deterioration of property pending completion as subject of, 275 injurv bv severance on compulsory purchase, as subject of, 362 418 INDEX. Compensation — continued. measure of, on compulsory purchase, 361, 362 mines and minerals left unworked as subject of, 362. 363 misdescription as subject of, 231, 235 rescission in lieu of, 228 specific performance with, 299, 303-305 vendor and purchaser summons mav deal with question of, 293, 294 when purchaser cannot insist on, 239 may be forced to take property with, 231, 232 vendor compelled to convev what he has with, 233, 234, 299, 305 where land taken under statutory powers, 356, 358, 361-362 COMPLETION OF SALE OF LAND, 322-326 adjustment of accounts on, 326 conditional on title being made, 222, 223, 235, 244, 296 conviction for treason or felony as affecting, 11 disposition by purchaser before, right of, 282, 283 effect of assignment by vendor pending, 281, 282 bankruptcy of purchaser pending, 287, 288 vendor „ 286, 287 death of purchaser pending, 284, 285 vendor ,, 283, 284 lunacy of parties pending, 291 winding-up of company pending, 288-290 writs of execution pending, 290 execution of conveyance on, 322, 323, incidence of risk pending, 275, 276 maintenance of property pending, 274, 275 payment of interest where time for, fixed, 230, 231, 279, 280 not fixed, 280 purchase-money on, 323-326 possession pending, on sale of trust property, 341 rights of parties pending, 273-280 purchaser to title deeds after, 238 rights to rents and profits or possession pending, 235, 236, 274 277-279 time for, 229 vendor may refuse, when, 78 vendor's dutv where depending on consent of third parties, 237 where land compulsorily purchased, 363, 364 COMPULSORY ACQUISITION : See Sales under Lands Clauses Acts. CONDITIONAL OFFER : See Offer. acceptance, see Acceptanxe. payment, see Bill of Exchange. iNDi:x. 419 CONDITION, agreement to sell becomes sale on fulfilment of, 120 becomes warranty, when, 131, 134, 135 breach of, effect of, 70, 131, 133 delivery of and payment for goods are concurrent, 156-157 express and implied, distinguished, 132 implied, as to bulk corresponding with sample, 139, 140 quality and fitness, 137-139 sale of goods may be subject to, 120 warranty distinguished from, 70, 131, 133 CONDITIONS OF SALE, OF LAND, biddings under, 218 commencement of title, 220-222 completion, 229-230 conveyance, 237 covenants for title, 242 deposit, forfeiture of, 240, 241 payment of, 218-220 easements, 239, 240 fixtures, 241 functions of, 215, 216 generally, 215, 216 identity 'of property, 222, 223 interest on purchase-money 230, 231 misdescription, 231-235 objections and requisitions, 223-225 outgoings, 236, 237 payment of deposit, 218-220 interest, -230, 231 possession, 235 profits, receipt of, 235 rents, receipt of, 235 requisitions, 223-225 resale, 240, 241 rescission, 225-228 reserve price, 218 sale bv auction in lots, 242, 243 special, 241, 242 stamps, 238, 239 timber, 241, 242 title, 220-222 title-deeds, 238 vendor's reservations, 218 CONFIDENTIAL ADVISER, position of, 82 420 INDEX. CONSENT, mutuality of, essential, 1, 22 realit\- of, 61-82 effect of duress, 78-79 fraud, 75-78 misrepresentation, 69-75 mistake, 61-69 non-disclosure of material facts, 76-78 undue-influence, 79-82 CONSIGNMENT, sale distinguished from, 7 CONTRACT, assignment of rights and liabilities under, 110-117 building, 43 contract to enter into a, not recognised in law, 25 executed, 57, 58 for work and labour, 8 materials, 8 in writing, 37-40 ndmissibility of extrinsic evidence to explain, 39, 40 memorandum constituted by, 46-48 of sale, agreement to sell distinguished from, 5 / definition of, 1, 119 essentials of, 1 formation of, 22-60 interpretation of, 122 open, meaning of, 215 or return, 5 parties affected bv, 9, 10 to, 9-21 description of, 48, 49 proceedings under, 9, 10 Uberrimae Fidei, 77, 78 under seal, 36, 37 writing generally exclusive evidence of, 38 CONVERSION : See Action. CONVEYANCE, companv, bv, when winding up resolutions recited in, 288-290 costs of, by whom payable, 237, 306 distinction between, and security, 6 enrolment of, 328 execution erf, 322-323 executors and administrators, by, 342 form and contents of deed of, 309-322 INUKX. 421 CoN\KV.\NCK — CiDiti tilted. form of, may l)c dealt with on vciitlor and purchaser summons, purchaser settles, 2;17, 3UG husband and wife, to, when as joint tenants, 309 joininj^ of jjarties for collateral purpoM's in, 3U8 morti^aj^ee, by, 34o nominee of purchaser, to, necessary parties to, 30H on sale, as root of title, 248 meanin}4 of, for purposes of Stamp Duty, 4, 327 Stamp Duty on, 326 where land within comjjulsory registratin : Maintknwck : Prkskr- VATION. DEPRECIATORY CONDITIONS, sales bv trustees and mortgages subject to, 340, 345 426 INDEX. DESCRIPTION : See Sale of Goods : Sale of Land. of parties in written contract, 48, 49 property, 50 sale of goods by, 136-137 DESTINATION, appointed, meaning of, 186, 187, 188 final distinguished from, 186-188 DESTRUCTION : See Loss. of property, price may be payable notwithstanding, 130 DETINUE : See Action. DETERIORATION, of goods in transit, incidence of risk of, 169, 170 of land, liability for, pending completion, 274, 275 DISCLAIMER : See Trustee in Bankruptcy. DISCLOSURE : See Consent : Non-Disclosure. DISCOUNT, allowance of, by contract or usage, 200 DISENTAILING ASSURANCES, proof of enrolment of, 256 searches for, 265 DISPOSAL, reservation of right of, 147, 148 DISPOSITION OF PROPERTY : See Assignment. by agents, 102, 103, 104 bv buver in possession, 153, 154 with assent of seller, 154, 191, 192 purchaser, pending completion, 273, 282 seller in possession, 195-197 vendor, pending completion, 281, 282 under Factor's Act, 103, 104 DISTRAINORS : See Distress, Sales UxNOER. DISTRESS, SALE UNDER. appraisement on, does not put an end to right to replevy, 366 must be signed and stamped, 366 not conclusive of value of goods, 366 to be at tenant's expense, 366 where necessary for purpose of, 367 appraisers «n, distrainor caniaot be one of, 366 number of, 366 who may be, 366 best price must be obtained at, 368 iNDix. 427 Distress, Sale under — cuuiinucd. disposal of overplus at, 368 effect of neglect or niismanagcnunt durinf,', 368 extends only to tjouds cmnprisfd in invi-nimx , 36.") mode of, 367 disposal of goDcls at, may be in an\ urdn , 367 where wronijful or irreLiular, 368 no right of, at common law , MG.") not compulsory, 365 except as to corn and growing crops, 365 notice and inventory of goods not necessary before, 365 notice before, irregular, effect of, 365, 366 must be in writing, 365 of amount of arrears not nee ess.iry, 366 service of, 365 parties to, 367 landlord cannot be purchaser, 367 place of, 367 removal to auction room for purpose of, 3fi7 time of, 366, 367 effect of premature and delayed, 366, 367 may be postjjoned by request, 367 where no repievx within live drtys, 366 fifteen days, 366 DOCK WARRANT : See DociMiiN r ck i rr-i.ii effect of, 193 DOCUMENT OF TITLE, Factor's Act as as affecting transfer of, 103, 104 meaning of, 192 transfer by buyer or owner of, effect of, 154, 101, 103 pledge, effect of, 153, 154, 194 of, mode of, 194 when carefully transferred, 191, 193, 194 requiring an attornment, 162 DOCUMENTS : See Akstk.utkd !)<.( imkms lost, evidence as to contents of, 253 DOUBTFUL TITLE, specific performance may be refused on sal • with, 303 DRUNKARDS, capacity of, to contract, 17 DURESS, effect of, 78-79 428 INDEX. EARNEST, definition of, 125, 126 payment of, effect of, 122, 126 EASEMENTS, circumstances of the case may negative implied grant of, 314 conditions of sale as to existing, 239 contract for sale includes only such, as are legally appendant or appurtenant to the land sold, 313 creation of, by reservation, 314 nature and extent of, should be expressly reserved, 314 necessary, pass under contract for sale, 313 non-disclosure of, effect of, 233 objection to undisclosed, an objection to title, 226 particulars of sale should refer to, 217, 239 provisions of Conv. Act, 1881, as to, 312, 313 purchaser's right to, determinable on vendor and purchaser summons, 293 requisitions and inquiries by purchaser as to, 260 vendor's duty to disclose, 239 EMBLEMENTS, defined, 42 sale of, 42, 43 ENEMY : See Alien Enemy. ENROLMENT : See Conveyance. proof of, 256 EQUITY OF REDEMPTION : See Mortgage : Mortgagor. ERRORS IN DESCRIPTION : See Misdescription. ESCROW, meaning of, 37 ESTATE AGENT : See Agent. authority of, 93 business of, 84, 85 duty of, 93 ESTATE DUTY, payment of, proof of, 256 EVIDENCE : See Title. extrinsic, admissibility of, 31, 39, 40, 48, 50, 63 of mercantile meaning of terms in broker's notes, 31 parol, admissibility of, 48, 50, 63 EXAMIN.ATION OF GOODS, buyer's right of, before acceptance, 170, 171 I INDEX. 429 EXCEPTIONS : See Rkskkvations. EXCHANGE, sale distinguislu'd frmn, I EXECUTED COXTRAC I, meaninj4 and offcrt of, 1, 2 EXECUTION, writs of, efTect of, 155, 29i) EXECUTORS AND ADM INIS 1 RA'I ORS. covenants implied where persons convex as, 242, MKi, ;122 description of, in nienioranduni of contract, 49 enforcement of contracts !>> and atfainsl, 1(1, 116, 283-285, 342 power of sale of, 341, 342 purchasins:;' assets of testator or interest of legatee, position of» 81 vesting of property in, 341-342 EXECUTORY CONTRACT, meaning and effect of, 1, 2 EXPENSES, liabilitx- for, for stamps on documents, 238, 239, 294 of and incidental to delivery of goods, 102 agent, 100 attested copies of deeds, 23S making and delivering abstracts, 251 perusal and execution of conveyance, 237, 238 294 preparation of conveyance, 237, 3(Hi production of deeds, 222, 252-253 repairs pending completion, 275 searches, 294 on c.i.f. contract, 162 f.o.b. contract, 159, 162 re-deliverv of goods after stoppage, 19ll pending completion on sale of land, 236, 237, 279 recovery of, on repudiation by jjurchaser, 295-297 EXPRESSIONS : See Intkntion : Opinion. EX QUAY OR WAREHOUSE, sale of goods, effect of, 159 EX SHIP, sale of goods, effect of, 159 l-:XTRAORDIXARY PURPOSES: See Sales undkk Lands Clauses Acts. 4o0 INDEX. FACTOR : See Agent. defined, 83 implied authority of, 90, 91 FAILURE OF CONSIDERATION, 213, 214 FALSE DEMONSTRATION, rejection of, 65 FALSE REPRESENTATION : See Misrepresentation. FEE SIMPLE, limitation of estate in, words necessary, 315 FELONY, conviction for, as affecting contractual rights, 11 FIDUCIARY CAPACITY, contracts by persons standing in, 20, 21 FIRE, loss by, incidence of, 275, 276 FIRM,- partnership, transactions of members of, 21 FITNESS, of goods, implied condition as to, 137-139 FIXTURES, compensation for removal of, a question determinable on vendor and purchaser summons, 294 conditions of sale as to, 241 sale of, when within Sec. 4 of Statute of Frauds, 44 FORFEITURE OF DEPOSIT, provisi m for, 219, 240 when arising, 240, 241 FRAUD : See Consent : Non-disclosure. defined, 75 effect of, 75, 76 rescission of contract on ground of, 76 FREEDOM FROM INCUMBRANCES : See Incumbrances. implied covenant for, 50, 315, 316 warranty as to, 135 nature of covenant for, 316 FREEHOLDS : See Title. conveyance of, consideration on, 310, 311 covenants bv purchaser on, 318 for title on, 315-319 description of parcels in, 311 exceptions and reservations on, 314 form and contents of deed of, 309 iNPKx. 4;U Freeholds — continued. conveyance oi—conlintted. general words in, use aiiij t-ffect of. 312, 313, 314 habendiiin in, function of, 315 operative words in, 311 recitals in, 309, 310 root of title on sale of, 248 title to be shown to, under open contract, 220, 245 F.O.B. CONTRACT, effect of, 159, 169 expenses incidental to delivery under, 162 place of delivery under, 159 FRUCTUS INDVSTRIALES and FRICTI'S XATURALES : See Emblemknts : Growing Crops. FURTHER ASSURANCE, covenant for, 315, 316 FUTURE GOODS, as subject-matter of contract, 127 definition of, 127 present sale of purported, effect of, 127 seller's power to contract to sell, 127, 128 when appropriated to the contract, 146 GAVELKIND, sale of infant's land by custom of, 17 GENERAL PROPERTY, special property distinguished from, 3 GENERAL WORDS, usual to omit, in conveyance, 312 *' GENERIC " GOODS, sale of, effect of, 129 GIFT, sale distinguished from, 6 GOODS : See Sale of Goods Act, 1893. definition of, within Sale of Goods Act, 42 " GRANT," use of word, effect of, 311 GROWING CROPS, sale of, 42, 43 GUARDIAN, agreements between ward and, 20, 82 432 INDEX. HABENDUM, function of, 315 " HEADS OF AGREEMENT," effect of, 37 HEIRS, use of word, unnecessary in limitation of fee simple estate, 315 HOSTILITIES, effect of, 11 HOUSE, meaning of, under Lands Clauses Acts, 360 HOUSE AGENT : See Estate Agent. HUSBAND AND \\TFE : See Married Women. IDENTITY, of contracting parties, mistake as to, 64 of propert}^ evidence of, conditions as to, 222 proof of, 256 mistake as to, effect of, 65 IGNORANT PERSONS, transactions with, presumption as to, 82 ILLITERATE PERSONS, tranactions with, presumption as to, 82 IMPLIED CONDITION, as to fitness, 137, 138 merchantable quality, 137, 138 quality or fitness for particular purpose, 137 may be annexed by usage of trade, 137 contract of sale by sample, 139, 140 mav be negatived by express agreement, 138 on what founded, 132 operation on contract of sale, 135 part of the seller, on the, 135 IMPLIED COVENANTS FOR TITLE, how conveyed, 316, 317 IMPLIED UNDERTAKING .^S TO TITLE, 135, 136 IMPLIED WARRANTY, for freedom from charges or incumbrances, 135 quiet possession, 135 on what founded, 132 iiegatived by usage of trade, 138 where none, 67 , INDEX. 433 IMPROVEMENTS, expenditure on, as act of part performance, 60 purchaser entitled to, without further payment under con- tract, 275, 276 representation b\ vendor of intention to malvc, effect of, 74 vendor not bound to i'.\]H'nd nmnev on, pending completion, 275 INCIDENCE OF RISK: See Loss: Risk. INCLOSURE AWARD, as root of title, 248 expenses of production, by whom payable, 252 proof of, 255 INCUMBERED EAND, sale of, 307 INCUMBRANCERS, joining of, as parties on conveyance, 307 payment to, in discharge on sale, 324, 325 when concurrence of, unnecessary, 307 INCUMBRANCES, abstract should show vendor can convey free from, 251 concealment of, liability for, 250 discharge of, on sale, 307 evidence of title as to,. 250, 270 registration of title subject to, 268, 269, 270 requisitions as to, 226, 260 searches for, 262-266 specific performance refused where trustees agreed to dis- charge, 302 statutory covenant bv trustees, mortgagees, etc., as to, 242, 316, 317, 341 vendor's dutv to disclose, 217, 315 rights as to, on conveyance, 315 INDE.MNITY, contract of insurance is a contract of, 277 purchaser's covenant for, 318, 319, 322 seller's liability for, in case of undelivered goods, 185 vendor entitled to, as trustee for purchaser, 273 where deficiency on sale of land, 234, 235 INDEPENDENT ADVICE, necessity for, 82 INF.ANTS, contracts of, at common law, 13 enforcement of, 15, 298 provisions of Infant's Relief Act, as to, 14, 15 valid, 16, 17 voidable at option of infants, 15 28 434 INDEX. Infants — continued. definition of, 13 " necessaries " supplied to, meaning and effect of, 16, 120 purchase of necessaries by, 15, 16, 120 purchases and sales of land by, 16 recovery of purchase-money paid bv, when possible, 16 specific performance not decreed at suit of, 15, 298 " IN FEE SIMPLE," limitation of estate, effect of, 315 •• IN GOOD FAITH," meaning of, 151 INQUIRIES : See Caveat Emptor, matters in which should be made, 260, 266 purchaser, by, nature of, 260 tenancies as subject of, 266 INSOLVENT BUYER, definition of, 178, 184 seller's lien on goods sold to, 177 right of stoppage in transitu in case of, 182 INSTALMENT, contracts, damages on breach of, 200, 202, 206 delivery of goods under, 165-168 unpaid seller's rights under, 176, 179 INSURANCE, contract of, is a contract of indemnity, 277 inquiries as to, of land, 260 proceeds of policy of, purchaser not entitled to, on loss or destruction of property, 276, 277 INTENTION, course of dealing between parties as evidence of, 148 declarations of, not offers, 23 determination of, of parties, 4 extrinsic evidence of, not generally admissible to vary or explain writings, 39, 40 where ambiguity as to subject-matter of contract, 65 misrepresentation of, effect of, 74 nature of transaction subject to, of parties, 4, 6, 7, 37, 85 rectification of document by Court to give effect to, 63 signature to document subject to, 63 statements of, effect of, 73 time of passing of property on sale depends on, 143-147 whether representation a condition or warranty depends on, 69, 131 I INDEX. 435 INTEREST, award by way of damaj^es, 212 date from when runniriff, 212, 230, 279, 280 inference as to, where bill or note j^iven, 212 mortgaj;*ee's rights where, in arrear and unpaid, 343 payable on price by agreement, 230 payment of, a question determinable on vendor and purchaser summons, 293 vendor's or purchaser's rights as to, 230, 231, 279, 280, 295 usual rate of, 280 INTESTACY, proof of, 2.56, 257 IN TRANSITU : See Stoppage in transitu. INTRODUCTORY RECITALS, 309 LAND, charges, f.earches for, 264, 265 interests in, what may be, 42, 43 licence to enter on, interest in land not conferred by, 43 to remove goods, irrevocability of, 44 sale of thing attached to but severable by buyer from, 42-44 LANDLORD, description as, insufficient, 49 LAND REGISTRY: See Rfx.istration of Title. searches to be made at the, 263-266 LAND TAX, redemption of, proof of, 257 LAND TRANSFER ACTS, searches in respect of registration under, 263-266 LANDS CLAUSES ACTS : See Registration of Title : Sales UNDER Lands Clauses Acts. LAPSE OF OFFER, by death, 35 LARCENY, of goods, effect of, 153 revesting of stolen property on offender's conviction for, 153 vesting of goods obtained by fraud not amounting to, 153 LATENT AMBIGUITY, 65 LATENT DEFECTS, 66 436 INDEX. LEASEHOLDS : See Tni.i:. assurance of, 321-322 covenants bv purchaser in, 322 for title in, 321, 322 description of parcels in, 321 how made when sold in lots, 322 recitals in, 321 purchase of, by infant, 16 root of title on sale of, 249 title to be shown to, under open contract, 220, 245 vendor's duty on sale of, pending completion, 275 LEASES, proof of, 257 LEGACIES, discharge of, proof of, 257 LETTERS, .' contracts formed by, 32, 33, 39, 45, 46-48 LICENCE, buyer's right to remove goods from seller's land under, 43, 44, 159 LIEN, abandonment of 125 agent's right of, 100, 101 carrier's right of, on stopped goods, 188 definition of, 177 delivery of instalments as affecting seller's right of, 179 effect of judgment on, 180 part delivery on exercise of, 178, 179 exercise of right of, 176, 177 existence of, 177 extent of, in case of goods, 177 extinction or loss of, 101, 179, 181 " general," meaning of, 101 how liable to be defeated, 191-194 loss of, bv seller, 179-181 rule as to, 179, 180 of factor, 103 part delivery as affecting seller's, 178, 179 " particular," meaning of, 101 pledge distinguished from, 5 preservation of, by bill of lading, 180 purchaser's, for money paid pending completion, 250 redelivery of goods to seller as revesting, 181 rescission not effected b\- exercise of seller's right of, 194, 195 revival of, after waiver, 178 I NDEX. 437 Lien — continued. sale by buyer as atfecting seller's, 191-194 unpaid seller after exercising his right of, effect of, rjo-197 nut rescinded by exercise i»f right of, ]^ sub-agent's right of, lUl termination of, 179-181 vendor's, for unpaid purchase-money, 1(1, 171, 177-1^2, 2b0 Nvaiver of, 179-182 LIQUIDATOR, powers and duties of, 288-290 LIS PE\'DE.\S, meaning of, 263 searches for, 263 LOCAL AUTHORITIES, expenses payable to, liability for, 236, 237, 27!', 326 power to acquire and hold land, 13 LOSS, incidence of, 2, 129, 130, 169, 170, 27o, 276 of bargain, damages for, not claimable as a rule, 296 profit on resale, damages for, not claimable as a rule, 205 LOST DOCUMENTS, evidence as to contents of, 2o3 LOTS, custody of title deeds where property sold in, 242, 243 effect of building scheme where sale in, 331 purchaser's right to abstract where sale in, 243 sale of leaseholds in, how effected, 322 LUNACY, effect of, 291 orders in, proof of, 257 LUNATICS, capacity of, to contract, 17 committee of, powers of, 17 MAINTENANCE, of property, vendor's duty as to, when in possession pending completion, 274, 275 MANAGING PARTNER, transactions between firm and, 21 MANSION HOUSE, sale of, 334 438 INDEX. MANUFACTORY, meaning of, within Lands Clauses Acts, 361 MANUFACTURED GOODS, passing of property in, 127 MARKET OVERT, efTect of sale where seller again becomes owner, 152 exemption as to sale of horses in, 151 passing of propert\ on sale in, 151, 152 meaning of, 151, 152 MARKET PRICE, as a measure of damages, 201, 202, 204, 205, 207 when not applicable, 207 what is the, 205 MARKETABLE TITLE, definition of, 244, 341 vendor's duty to make, 244, 341 MARRIAGE, proof of, 257 MARRIED WOMEN, acknowledgments of, proof of, 253 searches for, 265 contracts of, at common law, 17 in equity, 18 under statute, 18, 19 MATERIAL FACT, avoidance of contract for non-disclosure of, 67, 76, 77 false representation by vendor as to, effect of, 70, 71 MATERIALS, building, contract for sale of, 43 contract for work and, sale distinguished from, 8 MEASURE OF DAMAGES : See Damages. MEMORANDUM OR NOTE IN WRITING,' agreement of party charged must appear from, 54 broker's bought and sold notes as constituting, 46 contained in several writings, 46-48 contents of, 48 contents of lost original, mav be proved bv secondary evidence, 44 contract in writing is sufficient, 44 document signed by party to be charged when sufficient, 45 instances of sufficient, 45, 46 must agree with contract charged, 54, 55 contain all material terms, 54, 55 no special form of, required, 44 parties to contract, how described in, 48, 49 INDIA'. 439 MiiMORANDl'M OK NoTK IN Wkitisi: -cotitintied. price must appear in, 51, 52 property sold, how described in, 4l>, 50 signature of, by agent, 56 party to be charged, 55, 56 may be printed, stamped, etc., 56 place for, 56 what writings sufficient to constitute, 44-46 when to be made, 44 MERCANTILE AGENT, dispositions by, 103, 104, 150. 153, 154 MERCANTILE CONTRACT, effect of usages of market upon, 89, 92 MERCANTILE USAGE, broker impliedly autht)rised to contract subject to, 92 contract may be subject to, 66, 105. 148, 180 evidence as to, 40, 107, 164 implied conditions as to qualit\ and fitness mav be negatived by, 138 principal may be bound by, 106 MERCHANTABLE QUALITY, when a condition, 137 when goods are of, 139 MERGER, of verbal agreement in written contract, 38 MIDDLESEX, registration of document of title in, 327 proof of, 258 searches in registry of, 265 MINES AND MINERALS, com[X'nsation for, on compulsory purchase of land, 362, 363 sale of, by mortgagee, 344 tenant for life, 339 trustees, 338, 339 what are, 363 MISDESCRIPTION, compensation for, provisic)n for, 231-23S MISREPRESENTATION, avoidance of contract on ground of, 74, 75 damages for, 75 definition of, 69 effect of, 70, 71 innocent, effect of when material, 71 material, what is, 71 matter of opinion distinguished from, 73 440 INDEX. Misrepresentation — continued. mistake distinguished from, 69 must be material, 71 relied upon, 72, 73 form material inducement, 71, 72 rescission on account of, 75 restitution on account of, 75 MISTAKE, as affecting reality of consent, 61-69 to act of agreement, 63 existence of property, 65, 66 expression of agreement, 63 extent of property, 68 identity of other contracting party, 64 property, 65 nature of transaction, 64 price, 68, 69 quality of subject-matter of contract, 66-68 quantity of subject-matter of contract, 68 subject-matter of contract, 65-69 at sales by auction, 24 by one party to knowledge of other party, 64, 65 modes of, 61, 62 nature of, 61 of fact, 62, 63 of law, 62 MIXED GOODS, buyer's liability on consuming, 164 delivery by seller of, buyer's right as to, 163, 164 MONEY-PRICE : See Price. " MORE OR LESS," effect of words and expressions such as, 68, 164 MORTGAGE, abstracted documents need not include equitable charges by way of, paid off, 250 should include instruments of, 249 conveyance subject to, right of vendor to, 315 defined, 6 ■ distinguished from pledge, 5 sale, 6 sale with option of re-purchase, 6 equitable, creation of, where land registered, 271 legal, as root of title, 248 purchaser's rights as to outstanding, 307 transaction bv w^av of, excluded from operation of Sale of Goods Act, 1893, 119 i INDEX. 441 MORTGAGEE, covenants for title implied on sale b\ , 242, 31G, ;}22 description as, sufficient for purposes of memorandum, 49 equitable, cannot convey legal estate, even thoui^h mortgage by deed, 345 is answerable for loss due to ncgligonro of hinis«.df or his agent, 346 liable as trustee for balance of mi>fiey after pavment to himself of principal, interest and costs, 346 not answerable to mortgagor for loss on sale subject to depreciatory conditions, 34o not a trustee when exercising power of salo, 34o may impose restrictions as to building, etc., 344, 345 no implied power of sale in, where mortgage not by deed, 343 parties to suit by, 10 payment to, on completion, 325 person damnified by improj^er exercise of power of sale by, has remedy in damages, 345 paying purchase-money to, not concerned whether money remains due on the mortgage, 325 powers of, to convey, 345 where land registered, 271 purchaser not concerned to see or inquire whether case has arisen to authorise sale by, 345 power of sale properly exercised by, 345 receipt of, a sufficient discharge for money arising on sale under statutory power, 325 sales by, 343-346 statutory power of sale of, 343-344 effect of foreclosure decree on, 346 surviving, receipt of, 325 where part only of land sold, may create easements, 344 MORTGAGOR, covenants for title implied on sale bv, where land registered, 271 in possession, purchaser in possession pending completion resembles, 279 parties to suit against, 10 MUNICIPAL AUTHORITIES : See Local Authorities. MUTUAL ASSENT, how expressed or implied, 22 • NARRATIVE RECITALS, 309 NECESSARIES, contracts for, 13, 15, 120 meaning of, 16, 120 442 IND EX. NECESSITY, agency of, 85, 86 presumption as to transactions withj person under pecuniary, 82 NEGLIGENCE, liabilty of agent for, 94, 97 NEGOTIABLE INSTRUMENT, paj'ment by, nature of, 174, 183 NEGOTIATIONS, preliminary, 37 subsequent, 32 NOMINEE, parties to conveyance to, 302 NON-ACCEPTANCE, seller's right to damages for, 201 NON-DELIVERY, buyer's right to damages for, 204 NON-DISCLOSURE, avoidance of contract on ground of, 77 by purchaser, effect of, 77 vendor, effect of, 77 NOTE OR MEMORANDUM : See Memorandum. NOTICE TO TREAT, abandonment of, 360 cannot operate indefinitely, 360 compulsory power not exhausted by single, 359 contents of, 358 effect of, 358-360 land included in, 358 service of, 357, 358 when unnecessary, 358 withdrawal of, 359, 360 OBJECTIONS, to title, condition as to, 223 rescission on non-removal of, provision for, 225-223 waiver of, what will amount to, 823, 224, 261, 262 OCCUPATION RENT, when allowed against vendor, 278 OFFER, conditional, 24, 25 continuing, 23 counter, 30 implied from conduct, 22 Offer — continued. lapse of, 35 revocation of, 34, 35 standing, 23 OFFICIAL SEARCHES, requisitions for, 266 OPEN CONTRACT, nature of an, 24 OPERATIVE WORDS, nature of, in conveyance, 311 OPINION, statements of, effect oi, 73 misrepresentation distinguished from, 73 OPTION, to purchase or sell, when sale arises under, 2, 5 ORDER OF COURT : See Sales under Order or Court. ORDERS AND PROCEEDINGS OF COURT, proof of, 257 searches for, 262, 263 OUTGOINGS, meaning of, 236 provision in contract for payment of, 236, 237 vendor's obligation as to, 236, 237, 279 PARCELS, description of, in deed of conveyance, 311, 321 PARENT, transactions between child and, 20, 82 PAROL AGREEMENT : See Agreement. EVIDENCE : See Evidence. PART DELIVERY : See Deeiverv : Instalments. PARTICULAR PURPOSE, implied condition as to fitness for, 137 meaning of, 138, 139 PARTICULARS OF SALE : See Conditions of Sale. ambiguity in, effect of, 216 contents of, 216, 217 function of, 215, 216, 217 misdescription in, effect of, 39 misrepresentation contained in, effect of, 216 omission from, effect of, 216 444 INDEX. PARTIES, affected by contract, 9, 10 assignment by act of, 110-115 capacity of, to contract, 10-21, 120 description of, in memorandum of contract, 48, 49 number of, 9 to contract, 9-21 to conveyance, 307-309 PARTNERS, transactions between, 21 PART PAYMENT, definition of, 126 effect of Sale of Goods Act as to, 126 not sufficient part performance, 38, 59 PART PERFORMANCE, acts of, must be referable to contract, 59 merely ancillary or introductory to completion of contract not acts of, 59 delivery of abstract of title not an act of, 59 doctrine of, 12, 58-60 expenditure on repairs or improvements as acts of, 60 making valuations not actS( of, 59 must be by party enforcing the contract, 59 payment of part or whole of purchase-money not, 38, 59 rent in advance under verbal agreement for lease not, 69 possession as an act of, must be taken under and after contract, 60 not per se sufficient, Gt) usual acts of, 60 viewing property not an act of, 59 PASSING OF PROPERTY : See Transfer. PATENT. ambiguity, 65 defects, 66 PAWN : See Pledge. PAYMENT : See Deposit : Purchase-money. delivery of goods and, as concurrent conditions, 156, 157 PEDIGREE, liability for falsification of, 250 PERISHED GOODS, invalidity of contract for sale of goods not known to be, 128- 130 what goods included within, l^fiO ^^ INDEX. 445 PERSONAL REPRESENTATIVKS: See FCxkcutoks and Ad- ministrators. PETITION, winding-up for, effect on company's contract, 288-290 PLACE OF DRLIXERY : See Di-i.ivkkv. PLAN, function of, in description of properly, 216, 311 PLEDGE, lien distinguished from, 5 mortgage distinguished from, 5 sale distinguished from, 5 POLICY : See Insurance. PORTIONS, discharge of, proof of, 257 POSSESSION, delivery or taking of, as part performance, 60 provision as to, 235, 274 rights of vendor or purchaser in, pending completion, 235, 236, 273-2S0 POSSESSORY TITLE : Sec RiiCiSTRATioN oi- Title. proof of, 257, 258 POST, contracts by, 33, 34 PRICE, determined by valuation, 52 mode of ascertainment of, must be specified in memorandum of contract if not fixed, 51 must if fixed be specified in memorandum of contract, 51, 52. on sale of goods, how determined, 52 reasonable, may be implied by law, 52 where to be fair value of property, must be so stated, 52 subsequently arranged, effect of, 53 PRODUCTION OF TITLE DEEDS, acknowledgment of right to, 238 PROFESSIONAL AGENTS : See Agent. what implied as to, 95, 96 PROPERTY : See Parcels : Transfer. description of, in memorandum of contract, 49, 50 general and special, distinguished, 3 PROPRIETOR, description as, 49 446 INDEX. PUFFERS AT AUCTION, position at common law, 78, 141, 142 rule in equity as to, 78, 142 statutory provisions as to, 78, 141, 142, 218 PURCHASE-MONEY : See Consideration : Deposit : Price. absence of receipt for, effect of, 324 amount of, should be specified in conveyance, 310 deposit of, effect as to payment of interest, 219 devolution of, on death of vendor, 283, 284 inadequacy of, effect of, 6 on sale of reversion, 80 interest of vendor pending payment of, 272 on, condition as to, 230, 231, 279, 280 payment of, mode of, 98, 323 not a part performance, 38, 59 time of, 218, 229, 235 to agent, 219, 220, 323 incumbrancers, when necessary, 324, 325 solicitor, 220, 323, 324 purchaser's lien in respect of paid, pending completion, 280 receipt for, how given, 310, 323, 324 of mortgagee or trustee for, 325, 326 vendor cannot sue for original, after re-sale at a loss, 241 vendor's right to receive, how secured, 280 PURCHASER, acceptance of title by, 223 act of bankruptcy bv, vendor's completion without notice of, effect of, 288 as equitable owner pending completion, 273 bankruptcy of, pending completion, effect of, 287, 288 completion with bankrupt, effect of, 288 covenant of indemnity by, when necessary, 318, 319, 322 covenants as to user by, effect of, 318, 319, 329, 331 damages recoverable by, 297 delay in delivery of abstract to, rights on, 223, 224 devolution on death of, 284-285 discharge on purchase from tenant for life, 335 disposition before completion by, effect of, 282-283 duty as to disclosure, 77 expenses of production of evidence of title, when to be borne by, 252 recoverable by wav of damages on vendor's breach, 297 may be shut out by alienee of vendor, 281 no remedy where statements mere puffing, 73 payment of interest by, when let into possession, 279, 280 money by, not a part performance, 38, 59 _^ INDEX. 447 Purchaser — continued. position of, after aj^recmcnt for sale, 273-280 recoverv of deposit by, 295, 296 registration of writ of execution as affecting rij^hts of, 290 remedies on vendor's non-disclosure of deftrts in title, 70,77 remedy of, where property alienated before completion, 281 282 repudiation for defect of title by, 296, 297 right to compel specific performance, 233, 234 damages for breach of contract, 297 good title, nature of, 244 prepare assurance, 306 repudiate contract, when arising, 296 rights and liabilities pending completion, 273-2sO in respect of covenants for title, 315-319, 321 when in possession : See Possession. searches to be made by, 262-266 settles form of assurance, 306 vendor not affected by erroneous opinion of, 60-67 vendor's remedies on bankruptcy of, 2^7-2!-^8 QUALIFIED TITLE : See Registration ok Title. QUALIFYING WORDS, effect of, such as " about," " mure or less,'' etc., 68, 164 QUALITY, application of maxim caveat emptor to defects of, 66, 138 concealment of defects of, by vendor, efifect of, 67 descriptive statement as to, effect of, 136 implied condition or warranty as to, 137 on sale by sample, 139, 140 merchantable, implied condition as to, 137 when goods are of, 139 misrepresentation as to, effect of, 71 no implied warranty that land sold is of particular, 67 non-disclosure of defects of, by vendor, effect of, 67, 77 patent and latent defects of, 66, 67 statements of opinion as to, effect of, 73 vendor's duty of disclosure as to, 68 warranty of, not essential element of sale, 67 QUANTITY, delivery of wrong, buyer's rights on, 163 material error as to, effect of, 68 qualifying words as to, effect of, 68, 164 QUASI-CONTRACTS, 121 QUASI-LIEN, 176 448 INDEX. QUIET ENJOYMENT, covenant for, 315, 316 QUIET POSSESSION, implied warranty of, 135 RATIFICATION by infant, 14 of agent's contracts by principal, 96, 97 REASONABLE PRICE, implication that sale to be, in case of goods, 52, 53, 130 sale at, not implied where memorandum silent on the ques- tion, 52, 53 RECEIPT : See Actual Receipt : Purchase-money. RECEIVING ORDER, purchaser's risk on completion after, 286-287 RECITALS, as evidence in support of title, 246, 247, 258 in assurance of leaseholds, 321 introductory, function of, 309, 310 narrative, function of, 309 object of, 309, 310 power, of. where exercised by conveyance, 310 RECITED FACTS, proof of, 258 RECTIFICATION, where mutual m.istake, 63, 65, 68, 69, 328 REDEMPTION, of land tax, proof of, 257 REGISTERED LAND, cautions in respect of, 272 charges or mortgages affecting, 271, 272 evidence of title on sale of, purchaser's rights as to, 250-251, 270 rights of persons claiming bv adverse possession in respect of, 272 searches to be made on purchase of, 265 transfers of, 270-271 REGISTRATION OF TITLE, certificate of, 269, 270 compulsory, 266, 267 evidence of title to which purchaser entitled, 270 matters included in, 270 omission of, effect of, 267 to freehold, 268 leasehold, 269 voluntary, 267, 268 . IXDKX. 449 REJECTED GOODS, buyer not bound to rclurn, 172 REJECTION, buyer's duty after, 172 delay in, as affecting acceptance, 172 exclusion of right of, 171 time for, what is reasonable, 172 REMEDY : See Action : Damagks : Srixii ic I'i.ki ormanci:. RENT, apportionment of, where land sold in lots is subject to an en- tire rent, 243 occupation, when allowed against vendor, 27s payment of, proof of, 258 RENT CHARGES, apportionment of, where land sold in lots, 243 searches for, 263, 264 RENTS AND PROFITS definition of, 278 entry into receipt of, effect of, 235, 278, 270 maintenance of property to be paid out of, pending completion, 279 right to possession or, pending completion, 235, 277-270 REPAIR, expenditure of money for improvements and, as act of part performance, 60 vendor's dutv to keep propert\- in, [)ending comi)I(tion, 274, 275 REPRESENTATIVES : See Executors and Administrators. REPUDIATION, "anticipatory " breach may amount to, 203 breach of collateral agreement does not justify, 70, 133 condition gives right of, 70, 131 buyer's default as equivalent to, 196, 295 intimation not to accept goods a, 262, 263 notice of his insolvency to seller may operate as, 203 principal's right of, on acts of agent, 98 purchaser's right of, on vendor's default, 296 resale bv seller without default on buvc-r's part equivalent to, 197 severable breach not sufficient to justify, 167 where purchaser cannot exercise right of, 200, 207 REQUISITIONS ON TITLE, 'delivery of, time of, 223, 224 failure to make, effect of, 223, 261 29 450 INDEX. Requisitions on Title — continued. nature of, and objections, 260 practice as to, 260 requisitions as to conveyance distinguished from, 226, 228 rescission by vendor on insistenue on, 22o waiver of, what may amount to, 223, 261, 262 when may be made out of time, 224, 225 RESALE, lien distinguished from right of, 176 of goods, effect of, 196, 197 of land, provision for, 240, 241 vendor's rights as to, 240, 241, 297 stoppage in transitu distinguished from, 176 unpaid seller's right of, 174, 195-197 when arising, 195 RESCISSION, " anticipatory " breach as effecting, 203 assignment as effecting, 111 buyer's delay in payment may not justify, 200 caution as to requisitions where vendor not bound to give notice of, 261 exercise of unpaid seller's rights of lien and stoppage iii tran- situ does not efYect, 195 fraud as ground for, 76, 328, 329 innocent misrepresentation not sufficient ground for, where contract executed, 75 misrepresentation as ground for, 14, 328, 329 provision as to, 225-228 purchaser's mistake 'through non-circulation of particulars of sale as ground for, 217 rightful repudiation operates as, 297 rights on, where vendor in default, 295 reasons for, need not be stated, 228 resale by seller effects, 196 right of, exercise of, 228, 295 a question determinable on vendor and purchaser summons, 293 waiver of, bv commencement of action for specific performance, 227 when arising, 225 lost or destroyed, 226, 227 mav not be exercised, 228 RESERVATIONS, exceptions distinguished from, 314 express mention should be made of, 216, 217, 304 _ INDEX. 451 Reservations — continued. inclusion of, in conveyance, 314 mines and minerals may be subject of exceptions or reserva- tions on conveyance of land, 338, 334, 339, 344 RESERVED BIDDING, statutory provisions as to, 141, 218 vendor's rij^ht as to, 28, 141, 142 RESERVED PRICE. effect where sale subject to, 141, 142 *;tatutory provisions as to 141, 218 vendor's right to fix, 78 RESTITUTION, avoidance of contract is subject to possibility of, 75, 76, 296, 297 Court may direct, in a proper case, 328, 329 RESTRAINT ON ANTICIPATION, 17, 18 RESTRICTIVE COVENANTS, affirmative covenants distinguished from, 329 benefit of, transfer of, 330 building scheme subject to, 331 conditions and particulars of sale should notice, 217, 239, 315 inquiries as to, by purchaser, 26'0 object of, 330 purchaser as affected by, 319, 329, 330 remedy by injunction against breach of, 330 rights of purchaser from common vendor under, 319 transfer of registered land subject to, 271 vendor's duty to disclose, 239 vendor not entitled to enforce contract subject to undisclosed, 233, 303 vendor's right to covenant of indemnity when land sold subject to, 308, 318, 319, 322 when vendor entitled to insert, in conveyance, 315 not so entitled, 315, 319 RETRACTION OF BIDS, 35, 141 REVERSION, sale of, 80 title on, 221, 246 REVOCATION : See Acceptance : Agency : Ofker. RIGHT OF DISPOSAL, * reservation of, 147, 148 RIGHT TO CONVEY, covenant for, 315, 316 452 INDEX. RISK, effect of c.i.f. contract as to, 149 incidence of, generally, 148, 149, 275, 276 on sale of perishable goods, 129, 130 when attaching to buyer, 66, 68, 73, 74, 148, 168-170, 275, 27& seller, 148, 168-170 where goods delivered at distant place, 169, 170 ROOT OF TITLE, condition as to, 221 conveyance on sale as a, 248 deed of appointment as a, 248 disentailing deed as a, 248 document forming, should be abstracted, 249 general devise as a, 248 inclosure award as a, 248 legal mortgage in fee as a, 248 meaning of, 247, 248 order of exchange or partition as a, 249 settlement as a, 248 specific devise as a, 248 title must be deduced to arrive at a proper, 221, 248- underlease as a, 249 voluntary settlement as a, 248 SALE, agency distinguished from, 7 agreement to sell, when becoming a, 120 assignment distinguished from, 7 bailment distinguished from, 4, 5 barter, distinguished from, 4 conditional on reserve price being reached, 24 consignment distinguished from, 7 contract for work and materials distinguished from, 8 contract of sale or return distinguished from, 5 contract of, agreement to sell distinguished from, 120 completion of, on sale of land, 306-331 definition of, 1, 119 effects of, 143-155, 273-305 essentials of, 1 formalities of, 120-126 formation of, 22-40, 119-142, 215-216 nature of, 1-8 option to sell distinguished from, 2 parties to, 9-21 performance of, 156-173 remedies for breach of, 198-214, 295-305 statutory requirements as to, 41-60 INDEX . 453 Sale — continued. exchange distinguished from, 4 gift distinguished from, 6 lien distinguished from, 5 mortgage distinguished from, 6 pawn or pledge distinguished from, 5 transfer of ownership characteristic of, 1 SALE BY AUCTION, advertisement of, not an offer, 140 biddings at, 35, 140, 141, 218 employment of puffers at, 78, 141, 142 goods put up for, in lots, effect of, 141 retraction of bids at, 141 statutory provisions as to, 141, 218 stipulation as to retraction of bids at, 35, 36, 218 vendor's reservations as to reserve price, 78, 141, 218 right t>. bid at, 78, 141, 218 when complete, 141 SALE BY ORDER OF COURT. abstract of title on, 351 administration action, in, 347, 349 approbation of judge, sale with, 349 auction, by, before master, 349 certificate of result of, 351 discharging or varying, 351 settlement of, 351 chambers, by auction or tender in, 349 Chancery Division, sale of real estate assigned to, 347 conditions of sale on, 351 leaving at chambers, 349, 351 settlement of, 351 conduct of sale, discretion of court as to giving, 349, 350 conveyancing counsel, reference to, 351 costs of, security for, by plaintiff in redemption action, 34S debenture-holders, on application of, 347 defendant allowed to be purchaser, though not having leave to bid, 350 equitable interests bound by order for sale, 348 mortgagee's action, in, 348 executor in administration action not allowed to bid, 350 foreclosure action, in, 348 goods, wares and merchandise, of, under Order 50, 347 jurisdiction of court to order, 347 liberty to parties to bid at, 350 order for, how obtained, 350 to whom given, 350 when necessary, 350 454 INDEX. Sale by Order of Court — continued. order for, when made, 347, 348 effect of, 348 to whom given, 347, 348, 349, 350 particulars and conditions of sale on, 351 perishable property, of, 347 private contract, by, 349 proof of, 257 proposals, carrying in, for sale by private contract, 349 sale out of court, on, to be brought into court, 349 receiver not allowed to bid at, 350 redemption action in, 348 solicitor of party having conduct of, duties of, 350, 351 SALE IN LOTS, of goods, 141 land, 242-243 leaseholds, how effected, 322 SALE OF BUSINESS, 42 SALE OF GOODS ACT, 1893. application of, 119 capacity to buy and sell under, 120 contracts partly within, actions on, 57 within, 42 effect of section 4 of, 56-60, 122-126 formalities required by section 4 of, 41, 122 " goods within," meaning of, 42, 43 relation to general law, 119, 120 sale of emblements within, 42 growing crops within, 42 caving clauses in, 119 subject-matter of contract within, 127-130 SALE OR RETURN, 5, 145, 153 SALE IJNDER DISTRESS : See Distress. EXECUTION : See Execution. SALE UNDER LANDS CLAUSES ACTS, assessment of compensation on, 361-363 by agreement, 355-357 compensation for injury by severance on, 362 mines and minerals on, 362-363 completion and conveyance on, 363-364 where owner in default, 363-364 compulsory, 357-361 consideration on, 355-356 _^_ INDEX. 455 Sai.k unw:k Land Claisks Acts coutiuued. land required for cxtraordin;ir\ [)urpuses, 356 notice to treat on, 357-.'3G() object of Acts, 352 provisions of Acts, 352-353 restrictions on taking part of hous» or manufactory, 360, 361 specific performance on, 363 superfluous lands, sale of, 353-354 must be absolute, 354 restrictions upon, 354 when must be sold, 353, 354 SAMPLE, " guarcinteed equal to," effect of sale of goods, 135 of specific goods with warranty that they are equal to, buyer's rights on, 135 sale by, application of maxim caveat emptor tn, 138 as well as by description, effwct of, 136 »onditions implied on, 139, 140 wh»n contract of sale is contract for, 139 taking of, by buyer, effect of, 124 SCHOOL SITES, copyhold, conveyance of, 320 SEARCHES, 262-266. necessity for, 262 official, '266 usual, 262 SEA TRANSIT, insurance of goods during, duty of seller as to, 169 SELSIN, proof of, 258 SELLER, abandonment of lien by, effect of, 125 assent to disposition by buyer, effect of, 191, 192 attornment by, effect of, 125, 128 buver's rights on breach of warranty by, 209, 210 cannot be buyer, 3 contract of sale b\ , implied undertaking on, 51 definition of, 119, 174 delivery by, how effected, 157, 158 disposition by, when in possession after sale, 153, 154 duty as to contract with carrier, 169 third partv's acknowledgment of buyer's rights, 161 of, on sale of goods, 138, 139, 156 to follow buyer's instructions as to delivery, 168 where goods deliverelf bv sea transit, 169 456 INDEX. Seller — continued. ignorance of destination does not affect right of stoppage in transitu of, 186 implied conditions on part of, as to title, 135 liability of, as to expenses of delivery, 162 for concealment of instrument of title, 250 falsification of pedigree, 250 for non-delivery, 2, 204 lien of, as affected by attornment, 125, 178 exercise of, 176, 177-182 loss of, 179, 180, 181 meaning of, 119, 174 memorandum of contract must describe, 48 notice to carrier by, of stoppage in transitu, effect of 190, 191 part owner may be, 120 reasonable opportunity to examine goods to be afforded to buyer by, 170 redelivery of goods to, as revesting lien, 181 remedy for breach of contract, where property passed, 199, 201 where agreed bill of exchange not given, 200, 212 reservation of right of disposal by, effect of, 147 right of, as to bidding at auctions, 78, 141 fixing reserve price, 78, 141 stoppage in transitu in, 182-191 rights and liabilities of, on delivery of mixed goods, 163, 164 as to delivery by instalments, 165-168 of, on delivery of more or less than con- tracted for, 163-165 may be varied by agreement, 175 of unpaid. 174-197 where buyer refuses to take delivery, 172, 173, 201 risk as to delivery of perishable goods, 130 sale bv, under voidable title, effect of, 152 transfer of bill of lading to buyer by, effect of, 125, 158. 162 when buyer buys on judgment of, 138 deemed unpaid, 174 loss or risk attaches to, 2, 130, 143, 148, 149, 168, 169 SEPARATE DEEDS, when property in parts should be conveyed by, 306 SETTLED LAND ACTS : See Tenant for Life : Trustee. limited owners within, who are, 333 " mansion house," what is, 334 object of legislature as to, 333 principle of, 333 settled land within, what is, 333 INDEX. 457 Settled Land Acts — continued. settlement within, definition of, 333 tenant for life, within, definition of, 333 SIGNATURE, as importing agreement of party signing, 48 of agent, 56, 84, 91, 92, 93 party to be charged, 55-56 what, sufficient, 56 where to be placed, 56 SKILL : See Caveat emptor : Agents. SMALL HOLDINGS, power of local authorities to acquire lands for purposes of, 13 SOLICITOR, liability of, for omission to make necessary searches, 202 payment of deposit to, 220 purchase-money to, 323, 324 presumption as to sales between client and, 20, 81, 82 SPECIAL DAMAGE, seller's or buyer's right to, 198, 212. 297 SPECIAL PROPERTY, general property distinguished from, 3 transfer of, not a sale, 3 SPECIFIC ARTICLE, sale of, implied condition on, 137 SPECIFIC GOODS, as distinguished from unascertained goods, 129, 141 definition of, 128 delivered on approval or sale or return, when jjassing, 145 passing of property in, when seller bound to weigh, measure or test, 144 place of deliver} under contract for sale of, 158 sale of, unknown to be perished, effect of, 128 where perishing before risk passes, effect of, 129 SPECIFIC PERFORMANCE, against trustee in bankruptcy, 286 by liquidator of company, 289 circumstances in which, decreed in absence of memorandum in writing, 58 discretion of court as to, 297, 298 effect of bankruptcy on rights of parties to, 286-288 lunacy on right to, 291 representation in suit for, 74 inadequacy of consideration no defence in suit for, 80 infant cannot as a rule enforce, 15 jurisdiction of court as to, 199, 208, 209 4S8 IND1£X. Specific Performance — continued. parties to suit for, 10, 281, 283 part performance as ground for, 58-60 right of purchaser to repudiate where, decreed, 296 vendor and purchaser summons cannot be treated as action for, 292 vendor's suit for, as affecting vendor's right of rescission, 227 when granted, 199, 208, 209, 234, 299 when innocent misrepresentation ground for resisting, 71 when refused, 232, 233, 298, 300-303 with compensation, 233, 234, 304, 305 SQUATTER, as affected by restrictive covenants, 330 STAKEHOLDER, duty of, 219, 220 position of, 219, 220 STAMP DUTY, circumstances affecting, must be specified in conveyance, 310 legal assignment subject to, 113 meaning of conveyance on sale for purpose of, 4, 327 payable on conveyance on sale, 326, 327 sale of goods, 4 rates of, 326 where cpnveyance to sub-purchaser, 327 title conveyed by several instruments, 327 STAMPS : See Stamp Duty. appraisements on distress must be stamped with appropriate, 366 examination of title deeds as t®, 259 liability for, a question determinable on vendor and purchaser summons, 294 of vendor for, on documents of title, 238. 239 objections to title on ground of want of, 260 sufficienc}' of, not affected by omission to specify the considera- tion and circumstances affecting stamp duty, 310 STANDING OFFER, meaning of, 23 STATUTE OF FRAUDS, contracts partly within, actions on, 57 within, 41, 42 effect of, 56-60 formality required by, 41 sale by order of court not within, 41 of emblements not within, 42 growing crops, when within, 43 INDKX. 450 STATUTES, interpretation of, dealt with on vendor and purchaser summons, 293 STATUTES OV LI.M I'lATlONS, effect of, 11, 247, 2.'57, 264 possessory title under, 247, 257 STATUTORY COVENANTS, variation of, 317 STIPULATION, as to time, 133 may be a ctjndition or warranty, 70, 131 statement in contract may be mere, 73, 131 STOLEN GOODS revesting of property in, 153 STOPPAGE in tramitu, against whom right may be e»:ercised, 1»4, 185 delivery on ship chartered by buyer, effect of, 188, 189 duty of carrier on notice of, 190, 191 effect of, when buyer solvent, 185 where goods sent in parts by different routes, 186, 187 essential feature of, 185 exercise of right of, 174, 175, 190 where part delivery made, 189 how liable to be defeated, 191-194 lien distinguished from right of, 175, 176 loss of right of, 183 resale distinguished from right of, 176 right of, available only against goods, 183 sale not rescinded by, 194, 195 unpaid seller's right of, 174, 1S2-191 when right of, arises, 174, 182, 183 who mav exercise right of, 183, 184 " STRIKING THE BARGAIN," insufficiencv of, as earnest or part pa>ment. l'J6 SUB-AGENT, appointment of, when implied!} authorised, 94, 95 lien of, 101 position of, 95 "SUBJECT TO," " approval of solicitor," " preparation and ajjproval of formal contract," " approval of title," " conditions of sale," " conditions of lease," " conditions on plan," " a con- tract to be settled," " a proper contract," " strikes and lock-outs," " valuation," effect of stipulations such as, 26, 27, 28, 29. 30, 32, 33, 37, 38 460 INDEX. SUB-PURCHASER, parties to conveyance to, 308, 309 stamp duty on conveyance to, 327 when original purchaser a necessary party to conveyance to, 308 SUB-SALE OF GOODS, effect of, by buyer, 191-194 SUCCESSION DUTY, payment of, proof of, 258 SUMMONS : See Vendor and Purchaser Summons. SUPERFLOUS LANDS : See Sales under Lands Clauses Acts. SURRENDER, assurance of copyholds by admittance and, 319, 320 copyholds, of, preparation of, 321 when unnecessary, 320 TELEGRAPH, contracts by, 33, 34 errors in transmission by, effect of, 34 TENANCIES, disclosure of particulars of existing, necessary, 239, 249 inquiries to be made as to, 257, 260, 266 vendor's duty as to existing, 239 TENANT FOR LIFE : See Settled Land Acts : Trustee. cannot agree to sell at valuation, 334 conditions restricting exercise of powers of, 335 contract by, effect of, 334 conveyance by, effect of, 335, 336 deemed to be a trustee, when, 334 may bid at auction of property, 334 fix reserve price at sale by auction, 334 impose restrictions as to building or user, or mines and minerals, 334 not sell mansion house, without consent of trustees or order of court, 334 sell subject to stipulations as to title or evidence of title, 334 surface and minerals separately, 334, 335 powers of, 333, 334 sale by, 334-335 may be by auction or private treaty, 334 in one or several lots, 334 must be for best price, 334 INDEX. 461 TENDER, conveyance, of, purchaser's duty to make, to vendor, 306. delivery of, when to be made, 162 goods, of, not in conformity with contract, effect of, 171 price, of, puts an end to seller's lien, 181 unpaid seller's rights where buyer does not make, 195 TERM, purchaser's right as to, when outstanding, 237, 260, 307, 315 TESTING, goods to ascertain price, of, 144, 145 THIRD PARTY, agents' liability to, on contracts, 106, 107 assignment of rights and liabilities under contract to : See Assignment. authority of agent as affecting, 88, 90, 91 completion depending on, vendor's duty as to, 237, 3n7, 308 delivery where goods held by, 161, 162 duress of, when sufficient to avoid contract, 79 duty of, when in possession to attorn to buyer, 161 election of, to sue principal or agent, 104 fixing of price by valuation by, 52-54, 130, 131 goods in possession of, effect on delivery, 158, 161, 162 principal may follow property into hands of, where, 102, 103 principal's; liability to, for acts of agent, 102, 103, 106 protection of, on conveyance to him by vendor pending com- pletion with purchaser, 282 refusal of acknowledgment of bu\er's title by, effect of, 161 sale of goods warranted free from charge in favour of, 135 specific performance may be refused where decree would involve breach of prior contract with, 302 be injurious to, 301, 302, 305 TIMBER, conditions of sale as to, 241 effect where buver of, cuts down trees and agrees to sell tops, 125 inclusion of, by implication, 241 meaning of, 241, 242 purchaser in possession no right to cut, pending completion, 279 trees blown or cut down, purchaser's equitable right to, pending completion, 278 trustees with power of sale cannot sell land without, 338, 339 except with sanction of the court, 339 462 INDEX. TIME : See Date for Completion. acceptance of goods, of, 171 compensation on compulsory purchase, when to be assessed, 361 compulsory powers must be exercised within, 357 damages, when value to be ascertained, 200-206 delivery of abstract, for 223, 224 goods, of, a question of construction, 156, 159, 1^0 provisions relating to, 159-161 requisitions and objections on title, 223, 224 examination of goods, for, 170, 171 extension of, for completion, 229, 230 failure of delivery of abstract within limited, effect of, 224 good title must be shown within, 244 limitations of, on mortgage, effect of, 6 sale, must be strictly observed, 6 memorandum of contract may be made at any, 44 no limit of, as to notice on assignment, 114 notice of sale by tenant for life, of, 335 stoppage in transitu, of, 190 passing of property, of, a matter of construction, 143 a question of intention, 143 rules as to ascertaining intention of parties as to, 144-147 payment of deposit, for, 219 interest, for, 212, 230, 279, 280 purchase-money, for, 218, 235 reasonable, a question of fact, 160 revesting of property in stolen goods, of, 153 stipulations as to, when conditions, 133 title deduced from, under open contract, 220-222, 245-246 transit of goods, of, 185 unreasonable, a question of fact, 172 when mortgagees mav sell, 343 not of essence of contract, 223, 274 of essence of contract, 133, 223, 224, 22i.), 229 purchaser liable for outgoings, 236, 237, 279 may enter into possession or receipt of rents and profits, 235, 274, 277-279 risk passes to purchaser, 275, 276 sale under distress, may be made, 366 searches should be made, 262 superfluous lands must be sold, 353, 354 trustees may sell, 337 unpaid seller may re-sell, 195, 196 TITHE title to be shown on sale of, 220, 246 INDEX . 463 TITLE : See Abstract of Titlk : Assignment : Covhnants for Title : Registration of Title. acceptance by purchaser, when presumed, 223, 224 of, extent to which bindinj^, 2G1, 300' approval of, by purchaser's solicitor, 38 assignment of future goods passes only equitable, 127, 128 buyers right where seller has a voidable, 152 commencement of, condition as to, 220-222 completion on vendor making out his, 235 concealment of instrument of, penalty on, 250 condition covering " errors in the description" does not extend to defects in, 234 conditions of sale should state what evidence of, purchaser to be entitled to, 216 deed, proof of, where executed by altornev, 255 deed, acknowledgment of right to production and undertaking for safe custody of, 238 costs of obtaining, when not in vendor's possession, 251-25} custody of, 243 examination of, 259 production of, liability for expense, 238, 251-253 right to, 238 right to, 238, 243, 294 disclosure of tenancies affecting, necessary, 239 exclusion of statutory restrictions as to, 221 extent implied in agreement for sale of land, 50 " good," meaning of, 244, 304 when shown, 245 how shown, 246-247 implied undertakings as to, 51, 135 indemnity not compellable to be given or taken against defects in, 234 inquiries as to, 260, 261 investigation of, 259-262 length of, to be shown by vendor's abstract, 245, 246 on open contract, 220, 244, 245, 247 "marketable," meaning of, 244 particulars of sale should not deal with, 216 proof of, 245, 246, 247, 253-259 production of evidence by vendor in, 222 purchaser's rights under oi)en contract as to, 220, 245 when vendor has no, 228, 233, 244, 295 questions as to, determinable on vendor and purchaser summons, 293, 294 repudiation by purchaser for defect in, 244, 296, 304 requisitions as to, 223-225, 226, 259-261, 306 464 INDEX. Title — continued. restrictions as to investigation of, 221, 222 root of : See Root of Title. stipulations as to, effect of, 221, 222, 245 transfer of, 149-155 under Factors Act, 103, 104 under Statute of Limitations, 247 vendor may stipulate acceptance of, 222, 245 must show a good marketable, 244 vendor's duty to disclose defects in, 77, 222 obligation as to, 222, 244-247 waiver of objections to, 261, 262 when more than 40 years, may be required, 220, 245 when made, 244 shown, 244 where sale in market overt, 151 TRANSFER : See Assignment : Conveyance : Registration of Title. documents of title, of : See Documents of Title. ownership, of, 1-3, 273 property by agents, of, 102, 103 in goods, of, 143-148 title in goods, of, 149-155 TRANSIT, anticipation of end of, by buyer, 187, 189 course of, how fixed, 186 duration of, 185 end of, 187-189 TRANSMISSION, delay and loss in, by post and telegraph, effect of, 34 errors in, effect of, 34 TREASON, convection for, as affecting contracts, 11 TRESPASS : See Action. TROVER : See Action. TRUSTEE : See Settled Land Acts : Tenant for Life. appointment of solicitor by, to receive payment, 324 breach of trust by, 337 cannot agree to grant option to purchase, 341 sell at price to be fixed by valuation, 341 capacity of, to sell, 20, 21, 80, 81, 82, 336 conveyance of copyhold by, 320 to, where more than one, as joint tenants, 309 covenants entered into by, on sale, 238, 242, 316, 317, 322, 341 depreciatory conditions on sale by, 340 INDEX. 465 Trustee — con tinii ed . duralion of power of s.ilc of, 'M7 duties of, 20, 81, 33G, 337 emi)luyinent of valuer by, 337 enforieiiient of contr.itl aj^ainst, by bi'iielii iary, 21)9 for sale, purrhase of trust properlv Ijy, 21, 80-82 in bankruptcy, conveyance of copyholds by, 320 deemed to have ado|)tcd contract, when, 28S disclaimer of contract by, IIG, 2SG pro[x;rty by, 28G enforcement of contract by, 10, IIG, 28G power of election of, 286,287 power of sale in, 3 property of bankrupt vests in, 28G, 287 knowledjfc of trust property must be applied for beneficiary's benefit by, 81 liability of, on sales, 336', 341 may adopt provisions of Sect. 18 of C^)nv. Act, 1881, 338 may not purchase his own land for the trust, 21 mode of sale by, 340 mortgagees, duty of purchaser on sale by, 325 must ascertain value of estate to be sold, 341 sell for gross sum of money as a rule, 340 shew good title, 341 of settlement, may exercise powers of infant tenant for life, 17, 339, 340 power of sale of, docs not prima facie include power to lease, 337 mortgage, 337, 338 partition, 338 exercise of, purchaser cannot question discre- tion, 33S for purpose of raising a charge, may imply power to mortgage, 338 with discretion as to postponement of sale and maintenance of proj^erty, implies power to mortgage, 338 to sell or exchange of, authorises a partition, 338 purchasing from beneficiary, sale voidable, when, 20, 81 sale of leaseholds by, 322, 337 sales by, general powers on, 33G, 337, 340, 341 implied powers on, 337, 338 sanction of, to conditional contract entered into by benefi- ciaries, 33G, 337 selling under a trust for sale, description as, sufficient for purposes of memorandum, 49 30 466 INDEX. TkustkI') — coniiniicd. should not let purchaser into possession until purchase-money paid, 341 specific performance of contract by, where refused, 3U2 surviving, may generally exercise powers of trustees, 325 purchaser should not pay purchase-money to, when, 326 time for sale by, 337 title to be shown by, on sale, 341 vendor is, for purchaser, 273, 274 who has not disclaimed or retired from trust must join in giving discharge for purchase-money, 325 with power of sale onlv, may not exclude standing timber or minerals, 338, 339 except with sanction of Court, 339 to raise money by mortgage, may not sell, 338 sale or mortgage, may execute mortgage with power of , rr . r nrv^ SalC, 338 written receipt by, eilect ot, 325 ULTRA VIRES. contracts, of companies, effect of, 9, 13 UNASCERTAINED GOODS, contract of sale of, effect of, 143 implied condition on sale of, 136 risk in respect of, to whom attaching, 139 when property in passes, 143, 146 UNDERLEASE, evidence of title on sale of property held by, purchaser's rights as to, 245 root of title should not be, 249 UNDERTAKING : See Title. UNDUE INFLUENCE, agreements induced by, rule as to, 79 as affecting consent, 79-82 presumption as to, in transactions between executor and legatee, 81 guardian and ward, 82 parent and child, 82 solicitor and client, 81, 82 trustee and beneficiary, 80, 81 where no independent advice, 82 one party under great pecuniary necessity, 82 on sale of reversion, 80 with illiterate or ignorant person, 82 INDKX. 407 UNPAID SELLKR OF GOODS, definitii)n of, 171 distini't'u)!! bctut'i-n ri-^lils of, l";"), 170 cxeiTisc of rii^lUs of, 17 J, 17."), liM, ID.", lien (.f, 177-L^2 |HMSons williin mraniii^ nf, 174 a-mi'dii's of, 1!»!), 20 J re-sale by, l!)o-l')7 rij^ht of stoppaj^e in Iraiisitii of, lS2-li)l to withhoUl ilcliverv, ]lt7 rights of, 174-1<)7 UNPAID VENDOR OF LAND, lien of, 280 remedies of, 2!)."i, 2!)7-;iO.") rights and ol)lii;ations of, 27;i-2S0 UNSTAMPED DOCUMENTS, liability in respect of, 238, 239 URBAN AUTHORITIES, contracts of, 12 USAGE OF TRADE, admissibility of evidence as to, to explain or varv wrillcn contract, 40, 164 aj^ent must contract in accordance witli, iJ7 authority to dclej*ate a^^ency mav be implied bv, i)4 broker may be personally liable to his principal bv, !)2 contract by broker's notes by, effect of, 92, 107 discount ujjon fixed price may be allowed by, 200 effect of particular, 105-106, 180 implied condition as to qualilv or fitness for a |)articular l)ur|)ose may be annexed l)\', 137 [)rin(i|)al bound b\-, on acts of his agent, when, 89, 106 remuneration of agent may be governed bv, 100 rights, duties, or liabilities under contract mav be negatived or varied by, when, 122, 138, 148 VALUATION, agreement for price to be fixed ]>\\ may aniounl to submission to arbitration, 53 arbitration distinguished from, 53, 54 Court mav direct mode of, when, 38, 52, 241 enforce agreement and ascertain price, when, 53 fixtures sold by, conditions as to, 241 object of, 53 price determined by, 52, 53, 130-131 4GS INDEX. \'.\LUATiON — continued. right to action for damages where either party prevents a, 54, 131 sale at, effect where valuer cannot or will not make valuation, 54, 130 si^ecilicd mode of, must be strictly followed, 52 when condition precedent to contract, 38 VARIATION, acceptance proposing, effect of, 30 ^■E^'DOR, account of rents and profits received by, 277-279 acknowledgment of right of purchaser to production of deeds by, 238 and purchaser summons, application for, 291 consequential relief obtained by, 294 hearing of, 291, 292 jurisdiction of the Court as to, 292 order for return of deposit may be made by, 294 on, powers, 292 procedure on issue of, 292 questions determinable on, 293, 294 when procedure by, must be adopted, 292 bankruptcy of, vesting of legal estate on, 286-287 commission of act of bankruptcy by, effect of, 287 concealment of defects by, 67, 77 covenants for title by, 238, 242, 315-319, 321, 322 delay in completion by, 229, 230, 231 description as, in memorandum, effect of, 48 disclosure by, duty as to, 68, 231-233, 239-240 of onerous or unusual covenants by, 233, 239 duty as to conditions of sale, 217 covenants for title when a trustee or mortgagee, 238, 242 preservation and repair, 274, 275 of stakeholder on breach of contract by, 220 to disclose defects in title, 68 enforce rights pending completion, 273 enforcement of contract against representatives of, 283-284 execution of assurance by, 306, 322, 323 extent of interest implied by, under agreement to sell, 50, 216 general assertions by, effect of, 73 insurance by, purchaser's rights in respect of, 277, 278 interest of, after agreement for sale, 273 INDEX. 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