line Ltd v Rapid Shipping & Freight (U) Ltd (High Court Civil Suit No. 314 of 2008) [2008] UGCommC 62 (25 September 2008) | Agency Liability | Esheria

line Ltd v Rapid Shipping & Freight (U) Ltd (High Court Civil Suit No. 314 of 2008) [2008] UGCommC 62 (25 September 2008)

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\par }{\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 COMMERCIAL DIVISION \par \par \par HCT-00-CC-}{\fs24\lang1036\langfe1033\langnp1036\insrsid2906547\charrsid4600539 CS}{\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 -0}{\fs24\lang1036\langfe1033\langnp1036\insrsid2906547\charrsid4600539 314}{ \fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 }{\b\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 -}{\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 2008}{ \b\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 \par \par }{\fs24\lang1036\langfe1033\langnp1036\insrsid9189587\charrsid4600539 \par }{\fs24\insrsid9506056\charrsid4600539 COPYLINE LTD. \'85\'85\'85\'85\'85.\'85\'85\'85\'85\'85\'85..\'85\'85\'85\'85.. PLAINTIFF }{\fs24\insrsid9189587\charrsid4600539 \par \par }{\fs24\insrsid9506056\charrsid4600539 VERSUS}{\fs24\insrsid9189587\charrsid4600539 \par \par }{\fs24\insrsid9506056\charrsid4600539 RAPID SHIPPING & FREIGHT (U) LTD \'85..\'85\'85\'85\'85\'85DEFENDANT }{\fs24\insrsid9189587\charrsid4600539 \par \par \par BEFORE: HON. MR. JUSTICE LAMECK N. MUKASA \par \par \par RULING: \par }{\fs24\insrsid360208\charrsid4600539 \par }{\fs24\insrsid1407831\charrsid4600539 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid9189587\charrsid4600539 The plaintiff, Cop}{\fs24\insrsid6176361\charrsid4600539 y}{\fs24\insrsid9189587\charrsid4600539 line Limited}{\fs24\insrsid6315048\charrsid4600539 ,}{\fs24\insrsid9189587\charrsid4600539 filed HCT\emdash 00-CC-CS-314-2007 against Rapid Shipping and Freight Uganda Ltd for breach of cont}{\fs24\insrsid6315048\charrsid4600539 ract to clear the plaintiff\rquote s good}{\fs24\insrsid2631244\charrsid4600539 s at Mombasa por}{\fs24\insrsid9189587\charrsid4600539 t, transport an}{\fs24\insrsid6315048\charrsid4600539 d deliver them to the plaintiff}{ \fs24\insrsid9189587\charrsid4600539 at Busi}{\fs24\insrsid6315048\charrsid4600539 a}{\fs24\insrsid9189587\charrsid4600539 entry border point.}{\fs24\insrsid6754790\charrsid4600539 \par }{\fs24\insrsid9189587\charrsid4600539 \par At }{\fs24\insrsid5520146\charrsid4600539 the}{\fs24\insrsid9331663\charrsid4600539 }{\fs24\insrsid6315048\charrsid4600539 S}{\fs24\insrsid9331663\charrsid4600539 cheduling Conference two documents were by consent of both parties received as plaintiff exhibits. The}{\fs24\insrsid6315048\charrsid4600539 s}{\fs24\insrsid9331663\charrsid4600539 e were Receipt No. 6674 issued by Rapid }{ \fs24\insrsid2631244\charrsid4600539 S}{\fs24\insrsid9331663\charrsid4600539 hipping and Freight (U) Ltd, (the defendant), exhibit P1, and the Combined Transport Bill of Lading HBL No. RFI SF 70032 E issued }{\fs24\insrsid5520146\charrsid4600539 }{ \fs24\insrsid6583028\charrsid4600539 }{\fs24\insrsid9331663\charrsid4600539 by Rapid Freight International }{\fs24\insrsid6315048\charrsid4600539 L. L}{\fs24\insrsid9331663\charrsid4600539 . C. exhibit P2. \par \par On the basis of the two exhibits Mr. Noah Mwesigwa, counsel for the defendant, raised a preliminary objection that the plaintiff has no cause of action against the defendant. Counsel argued that exhibit P2 is a }{\fs24\insrsid6315048\charrsid4600539 B}{ \fs24\insrsid9331663\charrsid4600539 ill of Lading and as such basically }{\fs24\insrsid2368945\charrsid4600539 the parent contract document in any carriage contract. That the Bill of Lading was issued by Rapid Freight International LLC. That the defendant was only a notifyi ng party and a delivery agent. That exhibit P1, a receipt issued by the defendant was for payment for freight charges from Dubai to Busia. Counsel contends that the receipt was in respect of the Bill of Lading issued by Rapid Freight }{ \fs24\insrsid2631244\charrsid4600539 I}{\fs24\insrsid2368945\charrsid4600539 nternational LLC, on which }{\fs24\insrsid9331663\charrsid4600539 }{\fs24\insrsid6583028\charrsid4600539

}{\fs24\insrsid2368945\charrsid4600539 the defendant is indica}{ \fs24\insrsid5711751\charrsid4600539 t}{\fs24\insrsid2368945\charrsid4600539 ed merely as notifying party and / or delivery agent. Further coun sel argued that the defendant, as an agent of a disclosed principle, Rapid Freight International LLC, who had issued the Bill of Lading and shipper cannot be held liable. That the proper party should be Rapid Freight International LLC. Counsel }{ \fs24\insrsid941899\charrsid4600539 cited }{\i\fs24\ul\insrsid941899\charrsid4600539 Kenfreight (U) Ltd Vs Leather Industries (U) Ltd HCCS. No. 119 of }{\i\fs24\ul\insrsid13991507\charrsid4600539 2000}{\i\fs24\ul\insrsid2631244\charrsid4600539 ,}{ \fs24\insrsid941899\charrsid4600539 }{\fs24\ul\insrsid941899\charrsid4600539 Pheneas Agaba Vs Swift }{\fs24\ul\insrsid6315048\charrsid4600539 F}{\fs24\ul\insrsid941899\charrsid4600539 reight HCCS No. 1000 of 1999, Equinox Global Trading Vs Panaphi}{ \fs24\ul\insrsid6315048\charrsid4600539 na}{\fs24\ul\insrsid941899\charrsid4600539 HCCS No. 570 of 1999}{\fs24\insrsid941899\charrsid4600539 .}{\fs24\insrsid9189587\charrsid4600539 \par }{\fs24\insrsid941899\charrsid4600539 \par On the otherhand Mr. Adibango, Counsel for the plaintiff}{\fs24\insrsid6315048\charrsid4600539 ,}{\fs24\insrsid941899\charrsid4600539 submitted that the plaint disclosed a cause of action in compliance with Order 7 rule 1 (e) of the Civil Procedure Rules}{\fs24\insrsid6315048\charrsid4600539 . Counsel}{\fs24\insrsid941899\charrsid4600539 }{\fs24\insrsid8655763\charrsid4600539 relied on }{ \i\fs24\ul\insrsid8655763\charrsid4600539 Auto Garage & Others Vs M}{\i\fs24\ul\insrsid2631244\charrsid4600539 o}{\i\fs24\ul\insrsid8655763\charrsid4600539 toko}{\i\fs24\ul\insrsid6315048\charrsid4600539 v}{\i\fs24\ul\insrsid8655763\charrsid4600539 (No 3) (1971) EA 514}{\fs24\insrsid8655763\charrsid4600539 . He argued that in the plaint the plaintiff discloses that he agreed with and contracted the defendant to clear the }{\fs24\insrsid13991507\charrsid4600539 plaintiff\rquote s}{ \fs24\insrsid8655763\charrsid4600539 goods from Mombasa, transport and deliver them to }{\fs24\insrsid13991507\charrsid4600539 the plaintiff}{\fs24\insrsid8655763\charrsid4600539 at entry boarder point at Busia and for that a payment of US$ 2160 was made to the defendant who duly issued the receipt exhibit P1. }{\fs24\insrsid6315048\charrsid4600539 H}{\fs24\insrsid8655763\charrsid4600539 e su bmitted that the plaint had sufficiently disclosed a cause of action against the defendant. \par \par Order 7 rule 1 (e) }{\fs24\insrsid5777715\charrsid4600539 of the Civil Procedure Rules states that a plaint shall contain facts }{\fs24\insrsid13991507\charrsid4600539 constituting the}{\fs24\insrsid5777715\charrsid4600539 cause of action and when it arose. Under rule 11 (a) of the same order a plaint shall be rejected where it does not disclose a }{\fs24\insrsid13991507\charrsid4600539 cause of}{\fs24\insrsid5777715\charrsid4600539 action. In }{ \i\fs24\ul\insrsid5777715\charrsid4600539 Auto Garage Vs Motoko}{\fs24\insrsid6315048\charrsid4600539 v }{\fs24\insrsid5777715\charrsid4600539 (above) }{\fs24\insrsid16076957\charrsid4600539 Spy VP held that there are three essential elements to support a ca}{\fs24\insrsid6315048\charrsid4600539 u}{\fs24\insrsid16076957\charrsid4600539 se of action: \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6315048\charrsid4600539 \hich\af0\dbch\af0\loch\f0 1.\tab}}\pard \qj \fi-390\li750\ri0\sl360\slmult1\widctlpar \jclisttab\tx750\aspalpha\aspnum\faauto\ls1\adjustright\rin0\lin750\itap0\pararsid4600539 {\fs24\insrsid6315048\charrsid4600539 t}{\fs24\insrsid16076957\charrsid4600539 he plaintiff enjoyed a right}{\fs24\insrsid6315048\charrsid4600539 ,}{ \fs24\insrsid16076957\charrsid4600539 \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6315048\charrsid4600539 \hich\af0\dbch\af0\loch\f0 2.\tab}}{\fs24\insrsid6315048\charrsid4600539 t}{\fs24\insrsid16076957\charrsid4600539 he right has been violated}{ \fs24\insrsid6315048\charrsid4600539 ,}{\fs24\insrsid16076957\charrsid4600539 \par {\listtext\pard\plain\lang1033\langfe1033\langnp1033\langfenp1033\insrsid6315048\charrsid4600539 \hich\af0\dbch\af0\loch\f0 3.\tab}}{\fs24\insrsid6315048\charrsid4600539 t}{\fs24\insrsid16076957\charrsid4600539 he defendant is liable}{ \fs24\insrsid6315048\charrsid4600539 .}{\fs24\insrsid16076957\charrsid4600539 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid16076957\charrsid4600539 The Plaintiff in it}{\fs24\insrsid6315048\charrsid4600539 s}{\fs24\insrsid16076957\charrsid4600539 plaint claims:- \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid4600539 {\fs24\insrsid16076957\charrsid4600539 \'933.}{\fs24\insrsid742465\charrsid4600539 --- }{\fs24\insrsid2631244\charrsid4600539 \par (a) }{\fs24\insrsid742465\charrsid4600539 O}{\fs24\insrsid16076957\charrsid4600539 n }{\fs24\insrsid742465\charrsid4600539 or }{\fs24\insrsid16076957\charrsid4600539 about the 13}{\fs24\super\insrsid16076957\charrsid4600539 th}{ \fs24\insrsid16076957\charrsid4600539 day of March 2007 the plaintiff contracted with the D}{\fs24\insrsid1663547\charrsid4600539 efendant to clear the plaintiff}{\fs24\insrsid742465\charrsid4600539 \rquote }{\fs24\insrsid1663547\charrsid4600539 s goods at Mombasa port, transport and deliver them to the plaintiff at Busia entry boarder point at US$2160 (}{\fs24\insrsid742465\charrsid4600539 United S}{\fs24\insrsid1663547\charrsid4600539 tate}{\fs24\insrsid742465\charrsid4600539 s}{ \fs24\insrsid2631244\charrsid4600539 }{\fs24\insrsid1663547\charrsid4600539 Dollars two thousand, one hundred sixty only). A Photostat copy of the receipt is hereto attached as annexture \'93A\'94 }{\fs24\insrsid742465\charrsid4600539 \par }{\fs24\insrsid1663547\charrsid4600539 ----}{\fs24\insrsid941899\charrsid4600539 \par }{\fs24\insrsid1663547\charrsid4600539 (c) To date the defendant has failed to transport and deliver the consignment to the plaintiff at the agreed destination de}{\fs24\insrsid226819\charrsid4600539 s}{\fs24\insrsid1663547\charrsid4600539 pit}{ \fs24\insrsid226819\charrsid4600539 e}{\fs24\insrsid1663547\charrsid4600539 several calls and reminders to do so.\'94 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid1663547\charrsid4600539 \par }{\fs24\insrsid226819\charrsid4600539 At the S}{\fs24\insrsid1663547\charrsid4600539 cheduling Conference two documents were b}{\fs24\insrsid2631244\charrsid4600539 y consent received as plaintiff}{\fs24\insrsid1663547\charrsid4600539 exhibits}{ \fs24\insrsid14963158\charrsid4600539 P1 and P2}{\fs24\insrsid226819\charrsid4600539 ,}{\fs24\insrsid14963158\charrsid4600539 Annextures \'93A\'94 above is exhibit P1, a receipt issued by }{\fs24\insrsid13991507\charrsid4600539 the defendant}{ \fs24\insrsid226819\charrsid4600539 ,}{\fs24\insrsid14963158\charrsid4600539 Rapid Shipping and Freight (U) Ltd. It is in receipt of US$ 2160 received by the defendant from the plaintiff \'93}{\fs24\insrsid11820445\charrsid4600539 }{ \fs24\insrsid14963158\charrsid4600539 in settlement of f}{\fs24\insrsid5460921\charrsid4600539 reight D x B/Busia LCL Shipment 7000094/ }{\fs24\insrsid226819\charrsid4600539 SF}{\fs24\insrsid5460921\charrsid4600539 70032E\'94 }{ \fs24\insrsid1663547\charrsid4600539 \par }{\fs24\insrsid5460921\charrsid4600539 \par Counsel for the plaintiff contends that the plaint read together with exhibit P1 disclosed a cause of action against the defendant. \par \par On the otherhand Counsel of the defendant contends that exhibit P1 cannot be divorced from exhibit P2, which both show that the transporter was Rapid Freight International L}{\fs24\insrsid226819\charrsid4600539 L}{\fs24\insrsid5460921\charrsid4600539 C, for whom the defendant had received payment as agent of a disclosed principle. \par \par In }{\i\fs24\ul\insrsid5460921\charrsid4600539 Kenfreight (U) Ltd Vs Leather Industries (U) Ltd }{\fs24\insrsid5460921\charrsid4600539 (supra) Justice C. K. Bya}{\fs24\insrsid2631244\charrsid4600539 m}{\fs24\insrsid5460921\charrsid4600539 ugisha held}{ \fs24\insrsid226819\charrsid4600539 that}{\fs24\insrsid5460921\charrsid4600539 in CIF contracts the bill of lading constitute the contract of carriage. Exhibit P2 is a }{\fs24\insrsid226819\charrsid4600539 C}{\fs24\insrsid5460921\charrsid4600539 ombined Transport Bill of Lading issued by Rapid Freight International}{\fs24\insrsid226819\charrsid4600539 LL. C}{\fs24\insrsid5460921\charrsid4600539 under Ref. HBL No. RFI SF 70052 E. On it is the following information, relevant for courts consideration:- \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid4600539 {\fs24\insrsid5460921\charrsid4600539 Shipper/Exporter }{\fs24\insrsid11302617\charrsid4600539 \tab }{ \fs24\insrsid226819\charrsid4600539 \tab -}{\fs24\insrsid5460921\charrsid4600539 Steve Lubega c/o Rapid Freight }{\fs24\insrsid11302617\charrsid4600539 \par }\pard \qj \fi720\li2160\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin2160\itap0\pararsid4600539 {\fs24\insrsid11302617\charrsid4600539 }{\fs24\insrsid5460921\charrsid4600539 Intl LLC \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid4600539 {\fs24\insrsid6952162\charrsid4600539 Export reference}{\fs24\insrsid1407831\charrsid4600539 \tab }{ \fs24\insrsid6952162\charrsid4600539 \tab }{\fs24\insrsid226819\charrsid4600539 -}{\fs24\insrsid6952162\charrsid4600539 Rapid Freight }{\fs24\insrsid11352199\charrsid4600539 International}{\fs24\insrsid6952162\charrsid4600539 LLC \par Consignee\tab \tab }{\fs24\insrsid1407831\charrsid4600539 \tab }{\fs24\insrsid226819\charrsid4600539 -}{\fs24\insrsid6952162\charrsid4600539 Copyline Ltd}{\fs24\insrsid11352199\charrsid4600539 \par Notifying P}{\fs24\insrsid226819\charrsid4600539 arty}{\fs24\insrsid11352199\charrsid4600539 }{\fs24\insrsid6952162\charrsid4600539 }{\fs24\insrsid1407831\charrsid4600539 \tab }{\fs24\insrsid226819\charrsid4600539 \tab }{ \fs24\insrsid11352199\charrsid4600539 -Rapid Shipping and Freight (U) Ltd }{\fs24\insrsid6952162\charrsid4600539 \par }{\fs24\insrsid11352199\charrsid4600539 Place of receipt }{\fs24\insrsid1407831\charrsid4600539 \tab \tab }{\fs24\insrsid11352199\charrsid4600539 - D X B \par P}{\fs24\insrsid226819\charrsid4600539 or}{\fs24\insrsid15756641\charrsid4600539 t of Discharge}{\fs24\insrsid1407831\charrsid4600539 \tab }{\fs24\insrsid11302617\charrsid4600539 \tab }{\fs24\insrsid15756641\charrsid4600539 - Mombasa}{ \fs24\insrsid11352199\charrsid4600539 \par }{\fs24\insrsid15756641\charrsid4600539 Delivery Agent }{\fs24\insrsid1407831\charrsid4600539 \tab \tab }{\fs24\insrsid226819\charrsid4600539 - Ra}{\fs24\insrsid15756641\charrsid4600539 p}{\fs24\insrsid226819\charrsid4600539 id S}{ \fs24\insrsid15756641\charrsid4600539 hipping & Freight (U) Ltd. \par \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid15756641\charrsid4600539 The }{\fs24\insrsid13991507\charrsid4600539 Bill of Lading shows}{\fs24\insrsid15756641\charrsid4600539 that the shipper was Rapid Freight }{\fs24\insrsid7080041\charrsid4600539 International LLC and the consignee is the Plaintiff. The parties to the }{\fs24\insrsid659723\charrsid4600539 contract of carriage evidenced by the Bill of Lading, exhibit P2, were the Plaintiff and Rapid Freight International LLC. The defendant is therein only named as a \'93Notify Party\'94 and \'93Delivery Agent}{\fs24\insrsid1121539\charrsid4600539 .}{ \fs24\insrsid659723\charrsid4600539 \'94 }{\fs24\insrsid1121539\charrsid4600539 }{\fs24\insrsid659723\charrsid4600539 By the Bill of Lading the defendant was not the transporter. The defendant was representing Rapid Freight International LLC as it}{ \fs24\insrsid15947232\charrsid4600539 s}{\fs24\insrsid659723\charrsid4600539 notify party}{\fs24\insrsid1121539\charrsid4600539 and as its delivery agent. Co unsel for the defendant argued that the Receipt Exhibit P1, issued by the defendant, shows that payment was for freight from Dubai}{\fs24\insrsid15947232\charrsid4600539 upon the B}{\fs24\insrsid1121539\charrsid4600539 ill of Lading issued by Rapid Freight International LLC. That the Bill of Lading indicated that freight and charge were payable on freight collection. He therefore submitted that the defendant had received payment on behalf of }{ \fs24\insrsid6250378\charrsid4600539 Rapid Freight International LLC, whom he argued was a disclosed principle.}{\fs24\insrsid15756641\charrsid4600539 \par }{\fs24\insrsid6250378\charrsid4600539 \par In }{\i\fs24\ul\insrsid6250378\charrsid4600539 Phenehas Agaba Vs Swift Freight International Ltd}{\fs24\insrsid6250378\charrsid4600539 (supra) Justice Arach \endash Amoko found that the Air }{\fs24\insrsid15947232\charrsid4600539 W}{ \fs24\insrsid6250378\charrsid4600539 ay Bill was issued by Swift Freight International LLC of Dubai \endash UA}{\fs24\insrsid15947232\charrsid4600539 E}{\fs24\insrsid6250378\charrsid4600539 . The plaintiff was both the consignor and consignee. There was no reference at all to the Defendant, Swift Freight International Ltd, on the Airway Bill. She also found that under the law }{\fs24\insrsid16389898\charrsid4600539 Swift Freight International LLC and Swift Freight International Ltd }{\fs24\insrsid13991507\charrsid4600539 were different}{\fs24\insrsid16389898\charrsid4600539 legal entities. Her Lordship held that the Airway Bill was prima facie evidence of the conclusion of the contract of carriage betwe en the plaintiff and Swift Freight International LLC Dubai, and not the defendant. She further found that from the evidence on record it was apparent that the defendant was an agent of a disclosed principle and stated}{ \fs24\insrsid2631244\charrsid4600539 :-}{\fs24\insrsid6250378\charrsid4600539 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid4600539 {\fs24\insrsid16389898\charrsid4600539 \'93The general rule is that where an agent makes }{\fs24\insrsid12612752\charrsid4600539 a contract on behalf of his principal, the contract is that of the principal }{\fs24\insrsid1719823\charrsid4600539 not }{\fs24\insrsid276851\charrsid4600539 t}{\fs24\insrsid1719823\charrsid4600539 hat of the agent, and prima facie at common la}{ \fs24\insrsid276851\charrsid4600539 w the only person who can sue is}{\fs24\insrsid1719823\charrsid4600539 the principal and the only person who can }{\fs24\insrsid2631244\charrsid4600539 be }{\fs24\insrsid1719823\charrsid4600539 sued is the principal \'94 Per }{\i\fs24\ul\insrsid1719823\charrsid4600539 Wright J, in Mon}{\i\fs24\ul\insrsid276851\charrsid4600539 t}{\i\fs24\ul\insrsid1719823\charrsid4600539 gomerie Vs }{\i\fs24\ul\insrsid276851\charrsid4600539 United}{ \i\fs24\ul\insrsid1719823\charrsid4600539 Kingdom Mutual Steam}{\i\fs24\ul\insrsid276851\charrsid4600539 ship A}{\i\fs24\ul\insrsid1719823\charrsid4600539 ssociation (1891) 1 QB 370 at 371}{\fs24\ul\insrsid1719823\charrsid4600539 .}{ \fs24\ul\insrsid276851\charrsid4600539 \'94}{\fs24\ul\insrsid16389898\charrsid4600539 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid1719823\charrsid4600539 \par In }{\i\fs24\ul\insrsid1719823\charrsid4600539 Equinox Global Trading Co Ltd Vs Panalpi}{\i\fs24\ul\insrsid276851\charrsid4600539 n}{\i\fs24\ul\insrsid1719823\charrsid4600539 a Uganda Ltd}{\fs24\insrsid1719823\charrsid4600539 (Supra) the }{ \fs24\insrsid276851\charrsid4600539 B}{\fs24\insrsid1719823\charrsid4600539 ill of Lading was issued by Paintainer Express Lin}{\fs24\insrsid276851\charrsid4600539 e.}{\fs24\insrsid1719823\charrsid4600539 }{\fs24\insrsid276851\charrsid4600539 I}{ \fs24\insrsid1719823\charrsid4600539 t showed the carrier as Pantainer Ltd }{\fs24\insrsid11280445\charrsid4600539 of Basle Swizerland; the port of Loading as Tillbury, Po}{\fs24\insrsid276851\charrsid4600539 int of }{ \fs24\insrsid11280445\charrsid4600539 discharge as Mombasa and the place of delivery as Kampala. The plaintiff\rquote s Counsel had argued that there was a contract with the defendant to transport the goods from Mombasa. Justice Arach-Amoko he ld that the Bill of Lading showed that the carrier thereon was Pantainer Express Line Ltd and not the defendant. That the Bill of Lading is a document acknowledging the shipment of the consignor\rquote s goods for carriage by sea. It operates as a receipt for the goods; it summarises the terms of the contract of carriage and act as a document of title for the goods. Further that there couldn\rquote t be two contracts in respect of transporting the same goods. She stated:}{\fs24\insrsid1719823\charrsid4600539 \par }\pard \qj \li567\ri567\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin567\lin567\itap0\pararsid4600539 {\fs24\insrsid11280445\charrsid4600539 \'93}{\fs24\insrsid16260127\charrsid4600539 --- The assertion that there was a contract with the defendant to transport the goods from Mombasa is clearly inconsistent with the terms of the Bill of Lading, as the defendant is not named therein as the carrier. Court therefore finds on the basis of the evidence of DW1 that the defendant merely acted as an agent of Pantainer for purposes of negotiating and securing payment. There was no contract of carriage between it an}{\fs24\insrsid276851\charrsid4600539 d}{\fs24\insrsid16260127\charrsid4600539 the plaintiff. The contract was with Pantainer Ltd.\'94}{\fs24\insrsid11280445\charrsid4600539 \par }\pard \qj \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid16260127\charrsid4600539 \par In the }{\fs24\insrsid3214617\charrsid4600539 instant case, Counsel for the Plaintiff contends that there was }{\fs24\insrsid2631244\charrsid4600539 an }{\fs24\insrsid3214617\charrsid4600539 agreement between the plaintiff and the defendant independent of the Bill of Lading. The plaintiff in its pleadings states that it \'93contracted with the defendant to clear }{\fs24\insrsid4604244\charrsid4600539 the plaintiff}{ \fs24\insrsid12336114\charrsid4600539 \rquote }{\fs24\insrsid4604244\charrsid4600539 s goods at Mombasa port, transport and deliver to the plaintiff at Busia entry boarde}{\fs24\insrsid2631244\charrsid4600539 r point,\'94 which the defendant has}{ \fs24\insrsid4604244\charrsid4600539 failed to do. }{\fs24\insrsid276851\charrsid4600539 The p}{\fs24\insrsid4604244\charrsid4600539 laintiff concedes that up to Mombasa the defendant was }{\fs24\insrsid276851\charrsid4600539 a}{ \fs24\insrsid4604244\charrsid4600539 n agent of Rapid Freight International LLC but contends that fr}{\fs24\insrsid276851\charrsid4600539 o}{\fs24\insrsid4604244\charrsid4600539 m the point of clearing the goods, and transporting them from Mo mbasa to Busia there was a separate agreement for which the defendant was the principal party. }{\fs24\insrsid16260127\charrsid4600539 \par }{\fs24\insrsid4604244\charrsid4600539 \par The instant case is distinguishable from the }{\i\fs24\ul\insrsid4604244\charrsid4600539 Rheneh}{\i\fs24\ul\insrsid276851\charrsid4600539 u}{\i\fs24\ul\insrsid4604244\charrsid4600539 s Agaba}{\fs24\insrsid4604244\charrsid4600539 and }{ \i\fs24\ul\insrsid4604244\charrsid4600539 Equinox Grobal}{\fs24\insrsid4604244\charrsid4600539 cases above. The decision}{\fs24\insrsid276851\charrsid4600539 s}{\fs24\insrsid4604244\charrsid4600539 therein were based on the evidence adduced by both parties. In the instant case the issue is being considered at a preliminary }{\fs24\insrsid2964998\charrsid4600539 level on the pleadings and documents exhibited in Court at the scheduling. Secondly the Bill of Lading only indicates the point of discharge which is Mombasa. It does not }{\fs24\insrsid13991507\charrsid4600539 name}{ \fs24\insrsid2964998\charrsid4600539 a place of delivery. Busia which is pleaded as the point of delivery only appear on Exhibit P1, the receipt issued by the defendant. }{\fs24\insrsid4604244\charrsid4600539 \par }{\fs24\insrsid2964998\charrsid4600539 \par In the circumstances I am of }{\fs24\insrsid276851\charrsid4600539 t}{\fs24\insrsid2964998\charrsid4600539 he considered view that the issue whether there is a contract between the plaintiff and th e defendant cannot be properly adjudicated upon on the pleadings and the two exhibits without hearing evidence interparties. I }{\fs24\insrsid276851\charrsid4600539 therefore }{\fs24\insrsid2964998\charrsid4600539 find that the pleading}{ \fs24\insrsid276851\charrsid4600539 s}{\fs24\insrsid2964998\charrsid4600539 disclose a cause of action against the defendant. The preliminary objection }{\fs24\insrsid276851\charrsid4600539 fails }{\fs24\insrsid2964998\charrsid4600539 with costs to the plaintiff. \par \par }\pard \ql \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid2964998\charrsid4600539 \par }{\fs24\insrsid1407831\charrsid4600539 \par }{\fs24\insrsid2964998\charrsid4600539 \par }\pard \qc \li0\ri0\sl360\slmult1\widctlpar\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid4600539 {\fs24\insrsid2964998\charrsid4600539 Hon. Mr. Justice Lameck N. Mukasa \par }{\b\fs24\insrsid2964998\charrsid4600539 JUDGE \par }{\fs24\insrsid2964998\charrsid4600539 26}{\fs24\super\insrsid2964998\charrsid4600539 th}{\fs24\insrsid276851\charrsid4600539 }{\fs24\insrsid2964998\charrsid4600539 September, 2008}{\fs24\insrsid8655763\charrsid4600539 \par }}