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Scottish Court of Session Decisions >>
William Simpson v The Creditors of Duncanson. [1786] Mor 14204 (2 August 1786)
URL: http://www.bailii.org/scot/cases/ScotCS/1786/Mor3214204-039.html Cite as:
[1786] Mor 14204
Sale, when completed. - Price not stipulated. - Where the Buyer's faith is followed.
William Simpson v. The Creditors of Duncanson
Date: 2 August 1786 Case No. No 39.
What delivery requisite to transfer the property?
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William Simpson employed Duncanson to build a ship for him.
The materials composing the hull were to be provided by the builder; but the employer was to furnish the masts and other articles necessary for completing the vessel, and the price was to be paid in three different portions; one at laying the keel; another, when the vessel was built up and planked to the top of the gunwall and the remaining sums when the ship was launched.
After receiving payment of the first portion, Duncanson, the shipbuilder, became insolvent. The factor or his sequestrated estate insisted, that the ship, in its then imperfect state, was to be viewed as still the property of the bankrupt, the proceeds of which were to be divided among his creditors in general. Mr Simpson, on the other hand, contended, That by the construction of the vessel in terms of the contract, it became his, specificatione; the builder being to be considered merely as a mandatary, who acquired, not to himself, but to his constituent
The determination of the case was thought by the Judges to depend, not so much on general principles of law, as on the special terms of the agreement. By these the employer was to pay the price in different portions. Before payment, however, he had a right to see the work so fat properly performed. Thus, as the builder proceeded, such an appropriation took place, as prevented his creditors from attaching the ship without refunding the sums advanced.
The Lords found the claim of Mr Simpson to be preferable to that of the creditors of the bankrupt.
Lord Reporter, Monboddo.Act. Mat. Ross, Tait.Alt. Wight, Rolland.
Fol. Dic. v. 4. p. 251. Fac. Col. No 290. p. 446.
