Description
Sale of goods – acceptance of goods – opportunity to inspect goods – interest on the purchase price – interest on commercial rate – specific damages – general damages – exemplary damages – no evidence to justify an award of exemplary damages – calculated so as to make a profit.
- The plaintiff ordered from the defendant supply of a 230 kVA Perkins generator. The generator was delivered to the plaintiff’s representative who signed the delivery note acknowledging receipt of 230kVA generator. Then the plaintiff used the generator for over 11 months. Subsequently, the generator blew up and upon inspection it was discovered that the generator was 180kVA and not 230 kVA as ordered that is why it blew up. The plaintiff sued the defendant for compensation. It was held that acceptance of goods in the matter at hand could have been deemed if the buyer had an opportunity to inspect the goods. There was no evidence that the upon delivery, the plaintiff’s representative was given a chance to inspect the goods and it was also realised that the defendant’s sales person did not inspect the generator to ascertain as to whether the goods supplied is the one ordered by the plaintiff (p. 15). Therefore, the Court concluded that the defendant did not supply the plaintiff a generator of 230kV A rather it was 180kVA (p. 15). Also the plaintiff was awarded a refund of the total purchase price of the generator (p. 17).
- Interest was awarded on the purchase price to be refunded on grounds that if the money could have been invested it could have earned some interest. The Court ordered the interest to be chargeable annually at the commercial rate prevailing on the date when the defendant was notified of the default but declined to remedy, and from the date of filing of the suit to the date of judgement.
- Specific damages have to be specifically pleaded and proved.
- A prayer of general damages was declined because the interest awarded on specific damages suffices to cover the loss, if any, suffered by the plaintiff.
- Exemplary damages are not compensatory but are rarely awarded to the plaintiff in two classes of cases namely when there is oppressive, arbitrary or unconstitutional action by servants of the Government; or where the defendant’s conduct has been calculated by him to make a profit for himself. Such damages were declined because no evidence was adduced by the plaintiff to show that the conducts of the Defendant was so calculated so as to make a profit for itself.
