In the first appeal the respondents, an English company, brought an action under the Legal Proceedings against Enemies Act 1915 to have it declared that contracts entered into by them with the appellants, a German firm, were avoided by the outbreak of war with Germany. The contracts contained a clause providing that if owing to war the respondents were prevented from delivering the ore which was the subject of the contracts the obligation to ship and/or deliver should be suspended during the continuance of the impediment and for a reasonable time afterwards. The Court of Appeal decided in favour of the respondents on the ground that the contracts involved intercourse with the enemy ( 116 L.T.R. 810). Held that this view was correct, and that in any view the contracts were void as being contrary to public policy.
In the other two appeals there were contracts in somewhat similar terms, but executed in Germany in the German language. It was contended that the rights of the parties fell to be determined by German law. Held that even if this were so the onus of proving the German law different from the English had not been discharged by the appellants. Further, that even had they proved that German law regarded such a contract as enforceable, that fact would not weigh with the English courts if they considered the contract contrary to public policy. The ruling in the first appeal therefore applied.
Judges:
Lords Dunedin, Atkinson, Parker, and Sumner
Citations:
[1918] UKHL 784, 55 SLR 784
Links:
Statutes:
Legal Proceedings against Enemies Act 1915
Jurisdiction:
England and Wales
Contract
Updated: 20 November 2022; Ref: scu.631463