British Sugar Plc v NEI Power Projects Ltd [QBD]

JurisdictionEngland & Wales
JudgeAlliott J.
Judgment Date21 February 1997
CourtQueen's Bench Division
Date21 February 1997

Queen's Bench Division

British Sugar plc
NEI Power Projects Ltd and Another

Contract - meaning of consequential loss

Consequential loss

Consequential loss meant loss over and above that which arose as a direct result of such breaches as the plaintiff might prove in accordance with the rules laid down in Hadley v Baxendale ([1854] 9 Ex 341).

Mr Justice Alliot so held in the Queen's Bench Division on December 20 when determining as a preliminary issue the proper construction of a term of a contract between British Sugar plc and NEI Power Projects Ltd.

HIS LORDSHIP said that the contract was worth £106,000 but the plaintiffs claimed damages totalling £5,009,637.

Having considered Millars Machinery Co Ltd v David Way & SonUNK ((1935) 40 Com Cas 204); Saint Line Ltd v Richardsons, Westgarth & Co LtdELR ([1940] 2 KB 99) and Croudance Construction Ltd v Cawoods Concrete Products LtdUNK ([1978] 2 Lloyd's Rep 55) and making allowance for the fact that every case of construction would turn upon the particular contract or term, his Lordship said that he found those authorities applicable, binding and helpful.

He concluded that "consequential loss"...

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1 cases
  • Star Polaris LLC v Hhic-Phil Inc.
    • United Kingdom
    • Queen's Bench Division (Commercial Court)
    • 17 November 2016
    ...Com Cas 204, at 210; Saint Line v Richardson [1940] 2 KB 99, at 103–104; Croudace v Cawoods [1978] 2 Lloyd's Rep 55, at 62; British Sugar PLC v NEI Power Products Ltd [1997] CLC 622, at 48–51; Deepak v ICI [1999] 1 Lloyd's Rep. 387, at paras 88–93; and Hotel Services v Hilton International ......

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