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Smart and another v Sandars and Others: CCP 12 May 1848

A factor to whom goods have been consigned generally for sale, and who has subsequently made advances to his principal on the credit of the goods, has no right to sell them, contrary to the orders of his principal, on the latter neglecting, on request, to repay the advances, although such, sale would be a sound exercise of discretion on his part ; his authority to sell not becoming, by reason of the unpaid advances, irrevocable, as an authority coupled with an interest.
Wilde CJ said: ‘where an agreement is entered into on a sufficient consideration, whereby an authority is given for the purpose of securing some benefit to the donee of the authority, such an authority is irrevocable. This is what is usually meant by an authority coupled with an interest, and which is commonly said to be irrevocable. But we think this doctrine applies only to cases where the authority is given for the purpose of being a security, or, as Lord Kenyon expresses it, as a part of the security; not to cases where the authority is given independently, and the interest of the donee of the authority arises afterwards, and incidentally only.’

Wilde CJ
(1848) 5 CB 895, [1848] EngR 499, (1848) 136 ER 1132
Commonlii
England and Wales
Citing:
Appeal fromSmart And Another v Sandars And Others 6-Jul-1846
The mere relation of principal and factor confers, ordinarily, an authourity to sell at such times and for such prices as the factor may, in the exercise of his discretion, think best for his employer: but, if he receive the goods subject to any . .

Cited by:
CitedMainwaring and Yeoman’s Row Management Limited v Trustees of Henry Smith’s Charity (No 2) CA 3-Oct-1996
The tenants had sought to purchase the freehold under the 1987 Act. One tenant having signed an ‘irrevocable’ agreement to participate, withdrew his involvement in the purchase, and the remaining number of tenants were no longer a sufficient . .
CitedBailey and Another v Angove’s Pty Ltd SC 27-Jul-2016
The defendant had agreed to act as the claimant’s agent and distributor of the claimant’s wines in the UK. It acted both as agent and also bought wines on its own account. When the defendant went into litigation the parties disputed the right of the . .

Lists of cited by and citing cases may be incomplete.

Contract, Agency

Leading Case

Updated: 10 November 2021; Ref: scu.261586

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