Chapter 2B – Cases relating to Implied Term and Classification of Terms

CHAPTER 2B – Term 2
Topic Case Brief Description
IMPLIED TERMS
Custom Implied Term Hutton v Warren (1836) 1 M&W 466 租客約滿後可獲業主給予該租客期間所付出的種子及勞力打理農地
Custom Implied Term Fleet v Murton (1871) L.R. 7 Q.B. 126 Agent與第三者簽約如無列明 Principal是誰,慣例是 agent 需個人承擔即使是 principal 導致的法律責任(如 Principal 破產
Custom Implied Term Smith v Wilson (1832) 3B & Ad 728 白兔數量 — 需從習俗方言來解讀合約文字
Factual Implied Term – Business Efficacy Test (with Implied Term) The Moorcock (1889) LR 14 PD 64 碼頭不安全 for 卸貨但其安全性無列明於合約
Factual Implied Term – Officious Bystander Test Shirlaw v Southern Foundries (1926) Ltd [1939] 2 KB 206
Factual Implied Term – Officious Bystander Test (No Implied Term) Spring v National Amalgamated Stevedores and Dockers Society [1956] 1 W.L.R. 585 原告被公會解僱,理由為 implied term in Bridlingon agreement,但fail officious bystander test
Factual Implied Term – Officious Bystander Test (with Implied Term) Independiente v Music Trading Online (HK) Ltd CA [2007] Settlement Agreement has Implied Terms based on Officious Bystander Test
Factual Implied Term – combine both test (England case) Reigate v Union Manufacturing Co [1918] 1 K.B. 592 Both tests (Business Efficacy Test and Officious Bystander Test) are combined into one
Factual Implied Term – tests treated as alternative to each other (England case) Mosvolds Rederi A/S v Food Corporation of India [1986] 2 Lloyds Rep. 68 The two tests (Business Efficacy Test and Officious Bystander Test) are treated as alternative to each other
Factual Implied Term – combine both test (HK case) BP Refinery (Westernport) Pty Ltd v Shire of Hastings (1978) 52 ALJR 20 Both tests (Business Efficacy Test and Officious Bystander Test) are combined , together with few more tests as well.
Term implied in law – landlord/tenant Liverpool City Council v Irwin [1977] AC 239 業主有 Implied責任維持住宅環境不被破壊
Term implied in law – Employment contract Malik v Bank of Credit and Commerce International SA (in liquidation) [1998] AC 20 銀行因欺詐清盤,員工被譴散並帶污名,官判銀行有僱主 Implied 責任履行 trust and confidence
Term implied in law – Employment contract Andayani v Chan Oi Ling [2001] 1 HKC 252 印傭口頭接受工資被壓但合約仍列示最低工資,其後合約被解除,印傭欲討回實收工資與合約所示最低工資差額,官判原合約 illegal and void
Term Implied by Statute Rowland v Divall [1923] 2 KB 500 Sale of Stolen Car

 

車代理買車後,賣方賣時原來沒有擁有權,因那是偷車,即賣方無權將車擁有權透過買賣轉予車代理

– A car dealer had bought a car to which the seller had no title

Term Implied by Statute Harlingdon & Leinster Enterprises Ltd. v Hull Fine Art Ltd [1990] 1 All E.R. 737 假畫買賣買方雖較賣方專長故沒有依賴有關 description (i.e. not sold by description,故買方承擔因自已判斷買了假畫的後果
CLASSIFICATION OF TERMS
Term Classification – Intermediate Terms (or Innominate Terms) – ‘in every way fitted’. Hong Kong Fir Shipping Co v Kawasaki Kisen Kaisha [1962] 2 QB 26 甲包船予乙共保證船性能好,但乙發現不符保證,官判該保證 guarantee 屬 intermediate terms,未至於構成中止合約之理據
Term Classification – Intermediate Terms (or Innominate Terms) – ‘Prompt’ Yam Seng v ITC Ltd [2013] ‘Shipped Promptly’ – ‘Prompt ‘ is good example of intermediate term
Term Classification –  Extreme consequences if blindly following the ‘Condition’ label Schuler AG v Wickman Machine Tool Sales Ltd [1974] A.C. 235; [1973] 2 W.L.R. 683. [A]與[R]之合約指明[R] 需在四年半內 visit 1,400 間英國車製造商,並在合約指明此條款為 Condition,[R] 少 visit 數次後[A] 以 Condition 未能履行而終止合約
Term Classification – follow the ‘Condition’ label Lombard North Central plc v Butterworth [1987] QB 527 合約指明不準時付款足以終止合約,縱使遲付款的 consequences對原告來說不大
Term Classification –Contrary to commercial sense if blindly following ‘Condition’ label Rice v Great Yarmouth Borough Council [2001] 3 LGLR 4 條款指明任何合約內之條文未能實行均可構成終止合約,此條款被判太 broad,終止合約與否應按違背個別條款後果之嚴重性作準
Term Classification – Time Clauses in merchantile contracts are Condition Bunge Corporation v Tradax Export SA [1981] 2 All E.R. 513 船期遲了四日通知,需 not serious consequences,但 time clauses in mercantile contracts 是 Condition
Term Classification – Time Clauses is Condition Union Eagle Ltd v Golden Achievement Ltd [1997] 1 HKC 173 樓宇買賣協議列明 time is of the essence,買家遅到 10 分鐘足令賣方終止協議
Term Classification – ‘ Good Condition’ is Intermediate Term Cehave NV v Bremer Handelsgesellschaft mbh [1976] Q.B. 44  (the Hansa Nord) “ Good Condition” 是Intermediate Term
Term Classification – Certainty Approach The Mihalis Angelos [1970] 3 All E.R. 125 Classification of terms still valuable in certain contracts, e.g. charter party 傭船契約