Carl Zeiss Stiftung v Rayner & Keeler Ltd (Directions: Existence of East Germany); Rayner & Keeler Ltd v Courts & Company

JurisdictionEngland & Wales
JudgeTHE MASTER OF THE ROLLS,LORD JUSTICE PEARSON,LORD JUSTICE SALMON
Judgment Date27 July 1964
Judgment citation (vLex)[1964] EWCA Civ J0727-1
Date27 July 1964
CourtCourt of Appeal
Carl-Zeiss-Stiftung
Plaintiffs
Respondents
and
Rayner & Keeler Limited
Degemhardt & Company Ltd. and
Carl-Zeiss-Stiftung
Defendants Appellant

[1964] EWCA Civ J0727-1

Before

The Master of the Rolls

(Lord Denning)

Lord Justice Pearson and

Lord Justice Salmon

In The Supreme Court of Judicature

Court of Appeal

From Mr Justice Cross

MR MARK LITTMAN, Q. C., MR T. M. SHELFOKD and MR P. LEWIS (instructed by Messrs Herbert Smith & Co.) appeared as Counsel for the Appellants.

MR GUY ALDOUS, Q. C., MR E. LAUTERPACHT and MR D. W. FALCONER (instructed by Messrs Courts & Co.) appeared as Counsel for the Respondents.

THE MASTER OF THE ROLLS
1

This action is brought in the name, as plaintiffs, of Carl-Zeiss-Stiftung. The defendants are two English Companies and a concern of the same name as the plaintiffs, Carl-Zeiss-Stiftung. The plaintiffs say that the defendants have passed off their goods, namely, optical instruments and glasses, as the defendants' goods. The defendants say that this action is brought without any proper authority and have applied to stay it on that ground. There has been a very long enquiry already before Mr Justice Cross as to the position of the plaintiffs. Are they people who have properly instructed their solicitors to bring this case?

2

The outline of the facts, as I understand it, is that before the war there was in Germany a very big and important Foundation called the Carl-Zeiss-Stiftung, which manufactured cameras, lenses and glass. It had a world wide trade. Its headquarters apparently were at Jena. After the war some people in Jena, which is in East Germany, purport to have been carrying on the business of the Foundation there. These folk in Jena are the plaintiffs. But in West Germany other people have set up a concern at Heidenheim and they say they are carrying on the business of the Carl-Zeiss-Foundation. These folk at Heidenheim are being sued as the defendants in this action.

3

The question which was debated before Mr Justice Cross was whether the plaintiffs have any locus standi before the Court at all. In order to determine this question, it is necessary to ask and answer these questions: What law governs the institution known as Carl-Zeiss-Stiftung? Has the institution continued at all in the new regime in East Germany? Has it been confiscated? Has it been taken over by some other concern altogether? Does the Carl-Zeiss-Stiftung continue to exist? In order to answer those questions, one must know a good deal about the constitutional position in East Germany. Are the laws in East Germany recognised by this country? In the course of the case the defendantsseem to have admitted that there was some legislative authority in East Germany which was able to enact laws which this Court would recognise. It might be the new East German Government or the Russians acting through the people there. But it was accepted that there was a legislative authority there. Mr Justice Cross in the course of his judgment said: "At all events, in some respects the law to which we must look is the law of the German Democratic Republic of East Germany".

4

In the appeal to this Court the defendants want to raise the question here whether or no Her Majesty's Government have recognised the German Democratic Republic and its Government. They wish to see whether these laws to which the Judge paid attention are to be recognised in this country or not. So they ask that a letter be written on behalf of the Court to Her Majesty's Secretary of State for Foreign. Affairs asking whether Her Majesty's Government has granted recognition to the German Democratic Republic. That is a matter...

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