Union Electric Company, Ltd, v Holman & Company

JurisdictionScotland
Judgment Date05 June 1913
Date05 June 1913
Docket NumberNo. 131.
CourtCourt of Session
Court of Session
1st Division

Lord President, Lord Kinnear, Lord Johnston, Lord Mackenzie.

No. 131.
Union Electric Co., Limited,
and
Holman & Co.

JurisdictionArrestmentArrestment jurisdictionis fundand causaAction for delivery of goods in terms of contract and failing delivery for damagesForeignContract.

Held that jurisdiction in an action concluding for delivery of goods in terms of a contract between the parties, and failing delivery for damages was competently founded by arrestments ad fundandam jurisdictionem.

On 9th January 1913 the Union Electric Company, Limited, Glasgow, brought an action in the Sheriff Court at Glasgow against Holman & Company, suppliers of dynamos, arc-lights, carbons, &c., who carried on business at Southwark, London, E.C. The action was founded upon an alleged breach by the defenders of a contract in terms of which they were bound to supply to the pursuers 30,000 pairs of carbons.

In the initial writ the pursuers craved the Court to ordain the defenders to deliver to the pursuers 30,000 pairs Excello yellow flame carbons 600 m/m by 10 m/m and 9 m/m in terms of the said contract between the parties, and that within such short space of time as the Court may appoint; and failing the defenders so delivering the same to grant a decree against them for payment to the pursuers of 1000 sterling, with interest thereon at the rate of 5 per centum per annum from the date of citation to follow hereon till payment; or alternatively, to decern against the defenders for payment to the pursuers of the sum of1000 sterling, with interest thereon at the rate of 5 per cent per annum from the date of citation till payment.*

The pursuers averred in their condescendence that they had constituted jurisdiction against the defenders by arrestments ad fundandam jurisdictionem in the hands of a firm of engineers in Glasgow.

The defenders pleaded, inter alia;(1) No jurisdiction; and separatim, the action is incompetent in respect that a decree ad factum prstandum cannot be granted by the Sheriff of Lanarkshire against an English company.

On 24th February 1913 the Sheriff-substitute (Lyell), after hearing parties on the question of jurisdiction, closed the record and appointed the case to be put to the Procedure-roll.

By interlocutor, dated 17th March 1913, the Sheriff-substitute

allowed the pursuers to amend their record, inter alia, by adding to the crave of the initial writ the words printed above in italics, and by interlocutor, dated 2nd April 1913, he allowed a proof before answer and also allowed the defenders to add to their pleadings the following pleas in law:(1A) The amendments made by pursuers being incompetent and insufficient to alter or vary the ad factum prstandum conclusions still sought primo, the action should now be dismissed. (1B) In any event, in the action as amended by pursuers in terms of interlocutor dated 17th March 1913, the defenders plead no jurisdiction in so far as the ad factum prstandum conclusions are concerned; and separatim, the action is incompetent as regards the ad factum prstandum conclusions, in respect that a decree ad factum, prstandum cannot be granted by the Sheriff of Lanarkshire against an English company; the action should therefore be dismissed, with expenses.

The defenders obtained leave to appeal against this interlocutor, and the appeal was heard before the First Division on 5th June 1913.

Argued for the appellants;The jurisdiction which was founded by arrestment was a purely artificial jurisdiction and its scope should not be extended beyond the limits which were clearly recognised by authority.1 Jurisdiction could not properly be so founded in actions other than those which were purely petitory; this was the ratio of the decisions excluding jurisdiction founded by arrestment in actions of declarator and in actions concerning...

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5 cases
  • Highlands And Islands Airports Limited V Shetland Islands Council
    • United Kingdom
    • Court of Session
    • 21 Abril 2015
    ...is the first stage in every petitory action, whether or not such a declarator is expressly concluded for (Union Electric Co v Holman & Co 1913 SC 954, Lord President Dunedin at pp 957-958). In my view, the 1973 Act does not abridge these principles. [14] But even if one interprets sections ......
  • Highlands And Islands Airports Ltd V. Shetland Islands Council
    • United Kingdom
    • Court of Session
    • 4 Febrero 2014
    ...found a claim for part implement. [29] This step by step approach was consistent with the decision in Union Electric Co Ltd v Holman & Co 1913 SC 954 which did not concern prescription, but concerned an action for delivery of goods or damages. The argument was about whether, this being an a......
  • Ecclesiastical Insurance Office Plc Against Lady Iam Hazel Virginia Whitehouse-grant-christ
    • United Kingdom
    • Court of Session
    • 2 Marzo 2016
    ...285 Link Housing Association v PBL Construction Ltd 2009 SC 653, M.R.S. Hamilton v Baxter 1998 SLT 1075 Union Electric Co v Holman & Co 1913 SC 954 Wylie v Avon Insurance Co. Ltd & another 1988 SCLR 570. Text books Johnston Prescription and Limitation 2nd Ed Background [5] The following sho......
  • White and Carter (Councils) Ltd v McGregor
    • United Kingdom
    • Court of Session (Inner House - Second Division)
    • 17 Noviembre 1960
    ...second occasion on which the case came before the Second Division. 2 Reference was made to Union Electric Co., Limited v. Holman & Co., 1913 S. C. 954; Trayner's Latin Maxims, (4th ed.) p. 27; Bell's Commentaries, (7th ed.) vol. i, p. 471; Gloag on Contract, (2nd ed.) pp. 592, 655, 664; Chi......
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