Contract Law
New Fads Ltd, (the seller) agrees to sell computer components on “fob” terms to Bell Ltd., (the buyer) a company based in Nigeria. Shipment scheduled for October, fob Liverpool. The following fax was received from the buyer on 07 April: “We intend to nominate The Moyvale which will be entering port on 13 April. Ship will be ready to load on 15 April”.
Owing to an oversight of an employee of New Fads Ltd (the seller) the fax was not brought to the attention of New Fads Ltd. until the 15th April. It is uncertain if normal loading rate (specified in the contract) will enable completion of loading before the expiry of the shipment period.
In the interim the goods are kept in a warehouse in Manchester. On 14 April a massive strike was called by rail workers which paralysed the rail network.
Advise the parties to the fob contrac
Necessary cookies are absolutely essential for the website to function properly. This category only includes cookies that ensures basic functionalities and security features of the website. These cookies do not store any personal information.
Any cookies that may not be particularly necessary for the website to function and is used specifically to collect user personal data via analytics, ads, other embedded contents are termed as non-necessary cookies. It is mandatory to procure user consent prior to running these cookies on your website.