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{\f387\fbidi \froman\fcharset163\fprq2 Cambria Math (Vietnamese);}{\flomajor\f31508\fbidi \froman\fcharset238\fprq2 Times New Roman CE;}{\flomajor\f31509\fbidi \froman\fcharset204\fprq2 Times New Roman Cyr;}
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{\flomajor\f31514\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}{\flomajor\f31515\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}{\flomajor\f31516\fbidi \froman\fcharset163\fprq2 Times New Roman (Vietnamese);}
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{\fdbmajor\f31522\fbidi \froman\fcharset162\fprq2 Times New Roman Tur;}{\fdbmajor\f31523\fbidi \froman\fcharset177\fprq2 Times New Roman (Hebrew);}{\fdbmajor\f31524\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}
{\fdbmajor\f31525\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}{\fdbmajor\f31526\fbidi \froman\fcharset163\fprq2 Times New Roman (Vietnamese);}{\fhimajor\f31528\fbidi \froman\fcharset238\fprq2 Cambria CE;}
{\fhimajor\f31529\fbidi \froman\fcharset204\fprq2 Cambria Cyr;}{\fhimajor\f31531\fbidi \froman\fcharset161\fprq2 Cambria Greek;}{\fhimajor\f31532\fbidi \froman\fcharset162\fprq2 Cambria Tur;}
{\fhimajor\f31535\fbidi \froman\fcharset186\fprq2 Cambria Baltic;}{\fhimajor\f31536\fbidi \froman\fcharset163\fprq2 Cambria (Vietnamese);}{\fbimajor\f31538\fbidi \froman\fcharset238\fprq2 Times New Roman CE;}
{\fbimajor\f31539\fbidi \froman\fcharset204\fprq2 Times New Roman Cyr;}{\fbimajor\f31541\fbidi \froman\fcharset161\fprq2 Times New Roman Greek;}{\fbimajor\f31542\fbidi \froman\fcharset162\fprq2 Times New Roman Tur;}
{\fbimajor\f31543\fbidi \froman\fcharset177\fprq2 Times New Roman (Hebrew);}{\fbimajor\f31544\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}{\fbimajor\f31545\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}
{\fbimajor\f31546\fbidi \froman\fcharset163\fprq2 Times New Roman (Vietnamese);}{\flominor\f31548\fbidi \froman\fcharset238\fprq2 Times New Roman CE;}{\flominor\f31549\fbidi \froman\fcharset204\fprq2 Times New Roman Cyr;}
{\flominor\f31551\fbidi \froman\fcharset161\fprq2 Times New Roman Greek;}{\flominor\f31552\fbidi \froman\fcharset162\fprq2 Times New Roman Tur;}{\flominor\f31553\fbidi \froman\fcharset177\fprq2 Times New Roman (Hebrew);}
{\flominor\f31554\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}{\flominor\f31555\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}{\flominor\f31556\fbidi \froman\fcharset163\fprq2 Times New Roman (Vietnamese);}
{\fdbminor\f31558\fbidi \froman\fcharset238\fprq2 Times New Roman CE;}{\fdbminor\f31559\fbidi \froman\fcharset204\fprq2 Times New Roman Cyr;}{\fdbminor\f31561\fbidi \froman\fcharset161\fprq2 Times New Roman Greek;}
{\fdbminor\f31562\fbidi \froman\fcharset162\fprq2 Times New Roman Tur;}{\fdbminor\f31563\fbidi \froman\fcharset177\fprq2 Times New Roman (Hebrew);}{\fdbminor\f31564\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}
{\fdbminor\f31565\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}{\fdbminor\f31566\fbidi \froman\fcharset163\fprq2 Times New Roman (Vietnamese);}{\fhiminor\f31568\fbidi \fswiss\fcharset238\fprq2 Calibri CE;}
{\fhiminor\f31569\fbidi \fswiss\fcharset204\fprq2 Calibri Cyr;}{\fhiminor\f31571\fbidi \fswiss\fcharset161\fprq2 Calibri Greek;}{\fhiminor\f31572\fbidi \fswiss\fcharset162\fprq2 Calibri Tur;}
{\fhiminor\f31575\fbidi \fswiss\fcharset186\fprq2 Calibri Baltic;}{\fhiminor\f31576\fbidi \fswiss\fcharset163\fprq2 Calibri (Vietnamese);}{\fbiminor\f31578\fbidi \froman\fcharset238\fprq2 Times New Roman CE;}
{\fbiminor\f31579\fbidi \froman\fcharset204\fprq2 Times New Roman Cyr;}{\fbiminor\f31581\fbidi \froman\fcharset161\fprq2 Times New Roman Greek;}{\fbiminor\f31582\fbidi \froman\fcharset162\fprq2 Times New Roman Tur;}
{\fbiminor\f31583\fbidi \froman\fcharset177\fprq2 Times New Roman (Hebrew);}{\fbiminor\f31584\fbidi \froman\fcharset178\fprq2 Times New Roman (Arabic);}{\fbiminor\f31585\fbidi \froman\fcharset186\fprq2 Times New Roman Baltic;}
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{\title \'93this is a quote, has said, of me saying \'91this is a quote\'92\'94}{\author senikuraciri_r}{\operator baleimatuku_l}{\creatim\yr2016\mo1\dy25\hr16\min34}{\revtim\yr2016\mo1\dy26\hr8\min48}{\version3}{\edmins0}{\nofpages33}{\nofwords13834}
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{\pntxtb (}{\pntxta )}}\pard\plain \ltrpar\qr \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 \rtlch\fcs1 \af0\afs24\alang1025 \ltrch\fcs0 
\fs24\lang5129\langfe1033\cgrid\langnp5129\langfenp1033 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid2359815 [1979]}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181  25 FLR 99}{\rtlch\fcs1 
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\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\qc \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \b\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 IN THE SUPREME COURT OF FIJI}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
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\par }\pard \ltrpar\qc \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \b\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
PACIFIC WESTERN EQUIPMENT INCORPORATED}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
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\ltrch\fcs0 \fs27\cf1\insrsid11742181 
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\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\qc \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \b\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
DILLINGHAM CONSTRUCTION (QUEENSLAND) PROPRIETARY LTD}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
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[SUPREME COURT Kermode, J., 11 January 1979]}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Civil Jurisdiction}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
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\ltrch\fcs0 \fs27\cf1\insrsid11742181 
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Contract - Fundamental breaches - test of repudiation - accepted - damages}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
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\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Newman Q.C}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . with}{\rtlch\fcs1 \af0 \ltrch\fcs0 
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\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 for the Plaintiff}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Bainton Q.C}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . with}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 M. Johnson}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 for the Defendant}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Plaintiff sued for damages for breach of contract in relation to the sale to it by the defendant of certain earth moving equipment and spare parts therefore for $875,000.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 After the contract was entered into, Peter
sen (the plaintiff s senior executive) told Williams who represented the defendant that he proposed reselling some of the equipment to persons at a profit. One such purchaser was Merriman who did not finally receive any of the equipment because, according
 to Petersen, the defendant, kept changing the dates of availability.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Generally speaking the items were to be available at many times, as their use by the defendant in construction the highway from Suva to Nadi wa
s no longer required i.e. as the project approached completion, so that they could have been released by the defendant as intended and sold.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There were originally 42 items of plant to be available at various dates. Each had a price attached to it making up part of the purchase pace total of $875,000.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The plaintiff as the defendant knew, proposed selling the equipment as and when it could. This meant that the available dates were of great significance.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 If an item to be sold was promised to be available
 on a specific date and the plaintiff arranged to sell it relying on that date, and the date was not met, plaintiff would have difficulty with its own purchaser, to whom it had undertaken delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The Court made findings as to the interpretation of the contract including:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93available\'94
 in certain schedules of equipment to be sold to the plaintiff meant available for release or delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par \~
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
If the plaintiff had first paid for any equipment before a stated release date, the defendant would have been committed to deliver that equipment on that date.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par \~
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The defendant was not committed to deliver equipment until paid for and then only when the plaintiff was ready to ship.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Plaintiff was not legally obliged to take delivery on the defendant\rquote 
s stated delivery dates but defendant was obliged to deliver the equipment on or after those dates, provided plaintiff had first paid for them.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The defendant did contract to hold the items in schedules mentioned available for release to the plaintiff on the dates there indicated; these were firm availability dates.
}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Held:}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Defendant was in breach of contract when it altered or did not adhere to delivery dates. Plaintiff did not acquiescence in this.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Also the defendant was in breach of its contractual obligation to maintain the equipment (to be sold) in accordance with its own 1977 standard.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Defendant repudiated the contract when by conduct it was clear it did not intend to honour this obligation in it.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The breaches regarding availability dates and maintenance were of conditions, fundamental, and entitling plaintiff treat the contract as discharged.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Defendant did not after breach affirm the contract but made it clear was no longer prepared to be bound by it and intended seeking damages. He elected to treat the contract as cancelled.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The trial Judge referred to difficulties in fixing damages, due to lack of evidence. There was no acceptable evidence of the market value of the equipment if maintained.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The only way in the circumstances referred to in evidence to fix damages was to assess a reasonable percentage of profit based on the contra
ct price of the unsold equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 A fair return to the plaintiff was 15% on the balance of the equipment to be purchased for $670,000, i.e. approximately $100,000.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Judgment for the plaintiff for $100,000. Counterclaim dismissed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Cases referred to:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Tramways Advertising Pty. Ltd., v. Luna Park (NSW) Ltd.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1938) 38 S.R. N.S.W. 632.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Associated Newspapers, Ltd. v. Banks}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\field\fldedit{\*\fldinst {\rtlch\fcs1 
\af0 \ltrch\fcs0 \insrsid12015627 HYPERLINK "http://www.paclii.org.vu/cgi-bin/LawCite?cit=%281951%29%2083%20CLR%20332" \\o "View LawCiteRecord"}{\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid2359815 {\*\datafield 
10d0c9ea79f9bace118c8200aa004ba90b0200000003000000e0c9ea79f9bace118c8200aa004ba90baa00000068007400740070003a002f002f007700770077002e007000610063006c00690069002e006f00720067002e00760075002f006300670069002d00620069006e002f004c006100770043006900740065003f00
6300690074003d0025003200380031003900350031002500320039002500320030003800330025003200300043004c0052002500320030003300330032000000795881f43b1d7f48af2c825dc485276300000000a5ab0000}}}{\fldrslt {\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs16\ul\cf2\lang2057\langfe1033\langnp2057\insrsid11742181 (1951) 83 C.L.R. 332.}}}\sectd \ltrsect\linex0\endnhere\sectlinegrid360\sectdefaultcl\sectrsid6953918\sftnbj {\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hong Kong Fir Shipping Co., Ltd. v. Kawasaki Kisen Kaisha, Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . (1962) 2 Q.B. 26.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Suisse Atlantique d\rquote Armement Maritime S.A. v. N.V. Rotterdamsche Kolem Centrale}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1966) 2 All E.R. 61.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Scarf & Jardine}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1882) 7 App. Cas. 345.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Heyman v. Darwins Ltd.}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1942) 2 A.C. 356.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 W.L. Thompson. Ltd. v. Robinson (Gunmakers) Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . (1955) Ch. 177.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hadley v. Baxendale}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 9 Ex. 341.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Patrick v. Russo-British Grain Export Co.}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1927) L.R. 235.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hammond v.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Bussey}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\field\fldedit{\*\fldinst {\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid12015627 
HYPERLINK "http://www.paclii.org.vu/cgi-bin/LawCite?cit=%281988%29%2020%20QBD%2079" \\o "View LawCiteRecord"}{\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid2359815 {\*\datafield 
10d0c9ea79f9bace118c8200aa004ba90b0200000003000000e0c9ea79f9bace118c8200aa004ba90ba800000068007400740070003a002f002f007700770077002e007000610063006c00690069002e006f00720067002e00760075002f006300670069002d00620069006e002f004c006100770043006900740065003f00
6300690074003d00250032003800310039003800380025003200390025003200300032003000250032003000510042004400250032003000370039000000795881f43b1d7f48af2c825dc485276300000000a5ab0000}}}{\fldrslt {\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs16\ul\cf2\lang2057\langfe1033\langnp2057\insrsid11742181 (1988) 20 Q.B.D. 79.}}}\sectd \ltrsect\linex0\endnhere\sectlinegrid360\sectdefaultcl\sectrsid6953918\sftnbj {\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Household Machines, Ltd. v. Cosmos Exporters, Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . (1947) 1 K.B. 217.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \b\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 KERMODE, J.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\qc \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ab\af0 \ltrch\fcs0 \b\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 JUDGMENT}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In this action the plaintiff
 is seeking damages from the defendant for breach of contract. The defendant by way of counterclaim is also seeking damages alleging the plaintiff repudiated the contract.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The contract was for sale by the defendant to the plaintiff of some 42 items of us
ed earthmoving equipment for $875,000 and spare parts pertaining to such equipment, at cost price to the defendant. There is some doubt as to the precise date the contract was in fact entered into but, since it is not disputed that the parties entered int
o
 a valid binding contract, the precise date is not material. There is also some doubt as to whether the contract was legally entered into in Fiji or America, but I do not consider it necessary to resolve such doubt, I treat the contract as having been ent
ered into in Fiji, which is where the defendant in its defence contends it was entered into.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Mr. Newman Q.C. and with him Mr. Parmandam appeared for the plaintiff and Mr. Bainton Q.C with Mr. Miles Johnson for the defendant.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The hearing, which was originally estimated to take 3 days, took 26 days to conclude and this had its effect on junior counsel. Mr. Newman was often without the assistance of his junior as was Mr. Bainton to a much lesser extent towards the end of the hea
ring.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I propose to first set out the background to the dispute between the parties, which necessitates reference to matters that occurred before the contract was entered into.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The plaintiff, whom I shall hereinafter refer to as PWE, is a American based 
firm of which Mr. Howard Petersen is the president and sole shareholder, PWE are international dealers in used logging and construction equipment. Most of PWE\rquote 
s sales were to dealers in such used equipment but a small percentage of their sales were to end users.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The defendant, whom I shall hereinafter refer to as DWG, is a consortium of three overseas firm engaged by the Fiji Government to construct the Suva/Nadi Highway. For the construction of the highway DWG had assembled a large quantity of earthmovin
g equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
When PWE and DWG entered into the contract, about June, 1977, DWG was then engaged on the third and last stage of the highway. Up to the end of 1976 DWG had sold some equipment considered surplus to DWG\rquote s requirements. Mr. Williams, DWG\rquote s ad
ministration manager, handled those sales for DWG as he did the sale to PWE.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
It is convenient at this stage to state and find as a fact that there is no dispute that DWG was at all relevant times aware that PWE was a dealer in used earthmoving equipment and was purchasing the equipment with a view to reselling it at a profit.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Ear
ly in 1977 the construction of the last stage of the highway had reached the state when DWG considered it could plan for the disposal of all its equipment progressively as and when such equipment became surplus to requirements. Mr. Williams was given the 
task of planning and effecting the sale of this equipment}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Purely for the purposes of brevity, I will hereafter refer to Mr. Petersen and Williams and similarly with other named persons after the initial references to their names.}
{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams, between the 14}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 January and 5}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May 1977, wrote 3 letters to Carpenters Tractor and Equipment Ltd a Fiji Company (Exhibits GGG 1,2 and 3). In GGG 2 he advised that company he was preparing a schedule of all DWG\rquote s construction equipment \'93showing sale prices and likely 
availability\'94. With GGG 3 he forwarded that schedule and stated in the letter:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93
Please note the hours and availability dates given in this schedule are indicative only\'94.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Although the schedule attached to GGG 3 had a column headed \'93available\'94 showing ea
ch item of the Caterpillar equipment as being either immediately available or as stated month and year, Williams\rquote  correspondence indicates the availability dates may not have been firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 A copy of this schedule was one of the schedules given by Will
iams to Petersen some three weeks later, but no letter was then given to Petersen which would indicate to him that the availability dates were not firm dates. DWG relies on Exhibits GGG 2 and GGG 3 and what was said by Williams and MR Clark, DWG\rquote 
s project manager, to Petersen on 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May 1977 in support of their contention that it was made clear to Petersen before he made his offer that the dates were probable or approximate dates only.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I do not accept GGG 2 and 3 as evidence that DWG, who had made it app
arent to Carpenters three weeks before negotiating with Petersen that the dates they had given Carpenters were not firm dates, must have acted consistently and likewise made it clear to Petersen that the dates were not firm dates. What I have to determine
 on this issue is what was in fact discussed and understood by the parties before Petersen made his offer for the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Carpenters are Caterpillar equipment dealers and was the only company in Fiji likely to be interested in DWG\rquote s equipment. DWG\rquote s as
king price as $1,202,500, but DWG was prepared to give a discount of 15% for bulk purchase. Carpenters were not interested in the equipment and it must have then been apparent to Williams that only an overseas international dealer would be interested. He 
had previously sent a list of DWG\rquote s equipment to a Mr. Thom of Dillingham Corporation of Australia advising Thom the equipment would become available progressively from June, 1977 onwards.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Thom made up a list of equipment said to be available from various
 sites which he sent with a letter to a Mr. Schriefer of Hawaiian Dredging Company in Honolulu. This company is a subsidiary of the Dillingham Group and a Mr. Bajadali was connected with that company. The letter (Ex. K) stated the equipment listed was ava
ilable for disposal. Neither the letter nor the schedule attached to it, on which the Fiji equipment is listed, reflects Williams\rquote 
 advice to Thom that the Fiji equipment would be available progressively from June, 1977 onwards. Bajadali was in contract with
 Petersen and informed him of the availability of the Fiji equipment, and the outcome of this advice resulted in both of them coming to Fiji on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 
\af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May 1977 to inspect the equipment. PWE is not a large firm with large financial resources. If PWE did p
urchase the Fiji equipment it would need to find about one million dollars. Before coming to Fiji Petersen made arrangements while in Japan for $1,000,000 finance to be available if required. The information he then had was that all the equipment was avai
l
able, but he learned when he came to Fiji that the equipment would be progressively available over a period of about one year. He decided the spread of availability dates made it possible for him to finance the propose transaction himself without the Japa
nese finance.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Petersen and Bajadali on their May visit inspected most of the equipment on their way from Nadi to Suva and noted the condition of the equipment and the work on which it was engaged. They met up with Williams on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May 1977 who took th
em on a tour of inspection returning to Fisherman\rquote s Lodge, DWG\rquote s headquarters, about noon that day.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen said he was given a copy of Exhibit N, which is a copy of the schedule attached to GGG 3, by 
Williams. Williams says Petersen was given one or more of Exhibits 13, 14 and 15. It appears to me likely that he was given copies of all three. Exhibit 13 is a copy of Exhibit N. Exhibit 14 and 15 have a list of equipment including Hyster Compactors and 
P & H Cranes, equipment not listed on Exhibits N or 13 and which Petersen agreed to purchase.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Exhibits 13, 14 and 15 all have a column marked "Available" with a month and year (1977 or 1978) against each items of equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen said most of the discussion with Williams in Williams' office on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}
{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May 1977 before going into lunch at Fisherman\rquote 
s lodge and that, before going into lunch where they met Clark, he had made a verbal offer of $875,000 for the purchase of 42 items of equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 A Mr. Simonson came to Fiji in November 1977 and Petersen said he sold him item 12 which was never made available to Petersen.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Peterson left Fiji and went to Singapore where he met Elwood and renegotiated the sale of the six graders. The November list showed tha
t grader 180 was to be available on 31 December 1977. There is abundant evidence which I accept, that DWG never made item 180 available.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams was specifically advised by Petersen of the amended deal with Emeco by letter dated 12}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 December 1977 (Ex. 
G). He referred in that letter to the contractual arrangement for specified release dates and he asked for \lquote substantive remuneration\rquote  or in other words compensation.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 On 21}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 December 1977 Petersen wrote to Hawaiian Dredging Company after a discussion he ha
d had with a Mr. Lee of that firm (Ex. YY). He set out his problems in that letter and was seeking assistance in obtaining a reduced price on the remaining DWG items.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The last schedule in Ex. YY indicates Petersen was seeking to claim $197,300 by way of 
rental for extended use of the equipment beyond the original specified release dates. This sum approximates the $200,000 Petersen in January 1978 sought to have taken off the purchase price in discussion he then had with DWG. This claim to a rental is app
a
rently not unusual with equipment dealers. Ex. 9(14) written by Tractor Singapore to Emeco complaining about delay in delivery of two graders had sold to Emeco also mentions $5000 rental a month for usage of the tractors beyond the contractual delivery da
tes.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Exhibit UU are some notes that Petersen made at a meeting with Williams on 18 November 1977. Very little was said in evidence about these notes or the contents thereof. I accept only that Williams and Petersen did discuss delivery of about 13 items f
or shipment on the Hobart Star early in November 1978 and that they would be tidied up before delivery as other evidence discloses DWG did get\~ eleven items ready for shipment on that vessel and deliver them to Carpenters yard.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 On the 13}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 January, 1978 
Petersen came to Fiji and inspected these 11 items in Carpenters yard. Petersen said he was shocked by the appearance of the equipment and he was of the view that DWG was in breach of its contractual obligation to maintain the equipment pending delivery t
o him. This is a matter I have to fully consider later in the judgment. He complained both to Clark and Williams who denied any breach of contract by DWG.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Amongst other things said by Petersen at the time was that his balance debt should be reduced by at 
least $200,000 which he considered generous. DWG rejected his suggestion.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 At Petersen\rquote s suggestion a meeting between the parties was held in Messrs. Cromptons\rquote  office on the 21}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 st}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
January 1978. This was a \'93without prejudice\'94 meeting but during the hearing of this action both parties agreed to waive privilege and DWG\rquote 
s notes of that meeting were introduced into evidence (Ex. WW). No settlement of the dispute resulted from this meeting and on 26 January 1978 PWE commenced this action. There is one other matter which is of some relevancy.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Prior to the meeting in Cromptons office Petersen wrote letter (Ex. J) on the 18}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}
{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
January 1978 which he handed to Williams. He made therein an offer to purchase the balance of the equipment on different terms for US$500,000 an intimated that if the offer was not accepted it would be better if DWG resold the equipment and that PWE seek 
damages. Williams admitted that Petersen when handing him Exhibit J made it clear that he, Petersen, was not carrying on with the contract. The offer was not accepted.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The foregoing is broadly the background to the dispute but before considering and deter
mining the nature of the contract between the parties it is necessary to explain the reasons for DWG changing the original schedule or schedules.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I referred earlier to DWG\rquote s contract for the construction of the Suva/Nadi Highway and the fact that the sta
ge had been reached when DWG was considering the ultimate disposal of its remaining equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 DWG put in evidence a document (Ex. 65) relating to section II of the Highway Contract, that is the last stage from Suva to Deuba. Ex:65 is of assistance as it
 fully describes the status of the Project as at 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May 1977 when Petersen made his written offer to purchase the equipment. It is apparent from Ex. 65 that there still remained a considerable amount of work to be done to complete section III which would require utilisation of most of DWG\rquote 
s earthmoving equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par \~
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
With the tender to the Fiji Government DWG had submitted a construction programme. This was current in May 1977. A photocopy was admitted in evidence Ex. 66. Exhibit 66 is a detailed programme 
showing dates work was to be done and the specific items of equipment to be used for such work. It indicates ,that section III would be substantially completed by 30 March 1978. This programme was used by DWG to decide when equipment could be released and
 was used to compile the original schedules of equipment showing availability dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 At the time the first schedule of equipment was prepared DWG must have thoroughly considered the programme for the remainder of the work. Being competent and experienced 
engineers with several years of experience of local conditions gained while completing the earlier stages of the highway contract it can be assumed that the programme DWG had drawn up made due allowances for foreseeable factors which might delay completio
n.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Exhibit 67 indicates however, that there were factors which were not foreseen or fully considered by DWG which resulted in delays and two further programmes being drawn up after Ex. 67, one in September 1977 and another in February 1978. The September 
programme showed completion date as 18 May 1978 some 7 weeks later than the date shown in Ex. 66. This gave rise to the September amended schedule where dates were put back 6 weeks. Exhibit 67 summarises the factors which resulted in the change of program
me dates. They are-}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri2016\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin2016\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
(i) Lower productivity achieved than planned;}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (ii) Wet weather not allowed for;}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (iii) Additional work due to variations or under - assessment of work required or both;}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (iv) Changed methods of working;}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (v) Lower equipment availability than planned;}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (vi) Unforeseen conditions affecting item (1).}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There was between May and November 1977 wide spread drought conditions. This resulted in gravel production being reduced to less than 50% of that programmed. Bulldozers w
ere required to work double shifts and at night.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In June 1977 it was discovered that a section of the work had been constructed to incorrect levels and had to be redone.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The delays caused by these factors resulted in equipment not being available for d
isposal at the times first programmed and resulted in the changed schedules of availability dates given by Williams to Petersen. In addition equipment, particularly bulldozers, were after May 1977 used much more extensively than Petersen stated Williams i
nformed him would be the case when he and Williams in May 1977 discussed the future use of the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The foregoing is a summary of sufficient of the background facts gleaned from over 200 pages of typed up notes of evidence and perusal of over 200 do
cumentary exhibits to indicate what is in dispute between the parties and how it arose.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have now to consider and determine the nature of the contract. It is common ground that a partly written partly verbal contract was entered into by the parties in o
r about June 1977. It is however mainly a verbal contract followed by written confirmation of matters agreed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There is a dispute as to only two of the agreed terms and as to what those terms mean, so it is not necessary to spell out all the terms which w
ere agreed. I have set out earlier the full contents of Exhibit B, the confirmation of a verbal offer, and Exhibit A confirmation of verbal acceptance of the offer. These exhibits refer to the basic terms which were agreed and in particular refer to avail
ability and the standards of maintenance the two matters very much in issue in the instant action.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Ignoring at this stage any verbal agreement or understanding which might qualify
 or limit the clear stated availability dates in the schedules, the first matter to consider is what \'93available\'94 means in schedules 13, 14 and 15. There can be no doubt that \lquote available\rquote 
 in its context means available for release or delivery. If PWE had first paid for any equipment before a stated release date, DWG would have been committed to deliver that equipment on that date.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The statement of claim which was amended on more than one occasion indicates that, whoever prepared the document, did not fully 
appreciate that, DWG were not committed to release or deliver equipment until it was paid for. In the amended statement of claim, paragraph 11, three is a correct reference to \lquote delivery dates\rquote  having expired. While \lquote available\rquote 
 clearly in my view means avai
lable for release or delivery it did not follow that the actual release or delivery dates would be the same as in the schedules. While the dates could be the same, the evidence indicates that delivery was only to be made by DWG after PWE paid for availabl
e
 equipment and then only when PWE was ready to ship the equipment. DWG may not have fully appreciated this aspect of the contract for some time after entering into it. In August 1977 Williams was pressing Petersen for payment of available equipment only t
o be informed by Petersen that he did not have to pay until he shipped the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 That Petersen was correct in his view of the arrangements regarding payment can be confirmed from Exhibits B & A. In the second last paragraph of Exhibit B Petersen spec
ified that PWE \'93will pay all further money as directed by you before shipment from Fiji is made as the equipment becomes available.\'94 Williams in Exhibit A states \'93
It is confirmed that payment for each shipment will be made by you prior to shipment.\'94}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
On my interpretation of the contract PWE was not legally obliged to take delivery on the DWG stated available dates but DWG were, on the other hand, committed to deliver on or after those dates provided PWE had first paid for the equipment. This, I believ
e, is the reason why Petersen in Ex. B stated PWE would make payment in full by the 30}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May 1978. Williams was correct in his oft repeated statement in Court that the only firm delivery date envisaged by the contract was 30}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May 1978. What DWG may have fa
iled to appreciate is, that as and when equipment became available for release according to the scheduled dates, dates for delivery became firm when PWE paid for such equipment and DWG was then obligated to deliver within a reasonable time after the date 
of payment. While I have expressed some doubt and have made some assumptions there is evidence that strongly suggests that Williams did at first appreciate the situation regarding PWE\rquote 
s obligation to take delivery. The loading of the prices of the individual pieces of equipment which were listed for earlier delivery could work to PWE\rquote 
s disadvantage if delivery was not sought by PWE when the equipment became available for release by DWG. Equipment in use deteriorates very rapidly and the longer PWE delayed in
 seeking delivery for equipment purchased at a premium price the less profit PWE stood to gain on a resale of that equipment. The arrangement did have advantages and disadvantages for PWE. The advantages were that PWE could seek purchasers of the equipmen
t and the finance from such sales would be available to pay DWG since PWE\rquote s sale contract would require payment before shipment from Fiji. For him it was a flexible arrangement which made it easier for him to resell.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The evidence also indicates that DWG a
ppreciated that PWE would be shipping the equipment out of Fiji. There is not a frequent cargo service to the West Coast of America and some of the heavy equipment could only be lifted by vessels with powerful winches. Not all vessels visiting Fiji have s
u
ch winches. DWG, I consider, must have appreciated that PWE could have problems if there was insistence on PWE taking delivery on the stated available dates and that is the reason they agreed to PWE paying before shipment. It is a reasonable assumption th
at DWG did however seek to make it unprofitable to PWE to delay seeking delivery by loading the prices of the equipment for earlier delivery and 30 May 1978 was fixed as full completion date, when PWE had to pay the full purchase price.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Notwithstanding the unqualified dates in the schedules, DWG\rquote 
s case on this issue is that those dates were not firm dates. On the documentary evidence they were firm dates in so far as DWG were committed to have and hold the equipment available for release or delivery to PWE
 as and when PWE paid for it. DWG however contends that Exhibit A and discussions both Williams and Clark had with Petersen on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May, before an offer was made for the equipment, made it clear to Petersen that the availability dates were not firm dates. Exhibit A, which as I have stated, purports to be confirmation of what Williams and Petersen discussed on the 28}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May refers to the attached list \'93showing indicative availability dates\'94. DWG contend that the use of the word \lquote indicative\rquote  in that contex
t conveys the meaning that the dates are not firm dates but probable or estimated dates. Petersen for his part denies that Williams used the word \lquote indicative\rquote 
 when they discussed availability dates, and that he was led to believe the dates were for the dat
es some equipment could be available earlier than listed. Williams admitted he did tell Petersen some equipment could be received earlier but he also said he told Petersen some could be available later than listed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \lquote Indicates\rquote  in its various forms is a w
ord with various shades of meaning according to the context in which it is used. Williams when giving evidence used the word no less than 14 times on Mr. Newman\rquote s count.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \lquote Indicative\rquote  is defined in The Shorter Oxford Dictionary as \'93that points out, states or declares that hints or suggests\'94
. In its context in Ex. A I do not consider the word has been used to hint or suggest dates thereby implying uncertainty as to the dates. Any uncertainty could be disclosed by using words such as \lquote probable\rquote  \lquote likely\rquote  or \lquote 
estimated\rquote . Where difficulty in interpretation arises, if the word means \lquote points out\rquote  or \lquote states\rquote , is its use following the word \lquote showing\rquote . \lquote Showing availability dates\rquote 
 and showing dates that state or disclose availability to my mind convey the same meaning. The word could safely be omitted and its inclusion in my view adds nothing to the meaning. I do not consider the word conveys any uncertainty as DWG contends.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There is however another aspect. Exhibit A is Williams\rquote  understanding and confirmation of wh
at was discussed some days before and attaches a schedule which was not in existence when the discussion took place. What I am concerned with is what said, understood, or agreed by the parties during discussions on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May. The exhibit A schedule is o
ne Williams prepared and unilaterally altered from schedules 13, 14 and 15 by adding a specific day to each date, although I do not consider such alteration a material one, as it merely adds the last day to each month. Petersen and Williams never discusse
d Schedule A before the contract was entered into and I do not consider Williams\rquote 
 later preparation of and reference to that schedule is material. Petersen was handed exhibits 13, 14 and 15 which states specific months and years without qualification.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hav
ing considered all the evidence, I am of the view and hold as a fact, that DWG did contract to hold the relevant items shown on Exhibits 13, 14 and 15 available for release to PWE on the dates indicated on those schedule which were later but more specific
ally shown on the Exhibit A schedule and such dates were firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 My reasons for this finding of fact necessitates a somewhat lengthy review of the evidence. The contract was an unusual one. It was not a sale on a \'93as is where is\'94
 basis. It involved the future sale and purchase of a large quantity of used equipment the bulk of which was still in use and which would become available to the purchase progressively over a period of almost a year.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Factors which a dealer purchase like would have taken into account on purchasing the equipment and in assessing what price he should offer would be the following:}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 1. Age of the equipment}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 2. Hours machines had worked}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 3. Condition of machines and inspection}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 4. Nature of the work machines were and would later be doing}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 5. When machines would be available for delivery}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 6. Standard of maintenance on machines before delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen had particulars of the year of manufacture of such machines and DWG\rquote s state
d hours each machine had previously inspected all but a few of the machines and seen the nature of the work on which they were then employed and he was told what further work had to be done. The schedules handed to him by Williams informed him when machin
e
s would be available for release by DWG. His inspection of the equipment would have given him some idea of the quality of the maintenance that had been carried out prior to his inspection and he was at pains to see that DWG continued to maintain the equip
ment until he took delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen in his business sold equipment in America, Hawaii, Japan, Singapore and Australia. To enable him to sell in any of those countries he had to be assured 
equipment would be available to him on the dates stated. That Petersen was well aware of these factors is apparent from his discussions with Williams before making his offer.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen was accompanied by Bajadali on his May 1977 visit and both were presen
t when discussions took place with Williams. At one stage Clark joined the three of them. These four persons all testified as to what was said about availability of the equipment and it is necessary to scrutinise their evidence.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par \~
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen stated that when
 he arrived in Fiji he asked Williams for a list of the equipment and was handed a copy of Exhibit N which in the last column showed the availability of each item on the list. He stated that Williams told him availability was shown on the list and some un
its could be available earlier than listed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Williams in cross - examination admits he told Petersen some equipment could be available earlier but he went on to say that he also told Petersen some would be available later. I do not believe that Williams to
ld Petersen some of the equipment would be available later than the dates stated in the schedule. This would immediately have alerted Petersen to the fact that availability dates were not firm dates, a matter of vital interest to him. Petersen strenuously
 maintained under cross - examination that availability and condition of the equipment was very important to him and that he would not have offered the price he did otherwise.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 DWG rely very heavily on a conversation which they alleged took place at or during lunch in the Fisherman\rquote s Lodge on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May, 1978. Clark
\rquote s version of this conversation is that he was introduced to Petersen and Bajadali in the lunch room at Fisherman\rquote s Lodge and had a conversation with them lasting 15 - 20 minutes at the most. He said Bajadali\rquote 
s conversation was of a social nature only. Clark said he told Petersen he wanted Petersen to have his dealings with Williams. Since Petersen\rquote s only contract wit
h DWG up to that time was with Williams it is difficult to understand why Clark made such a statement. Clark said he went on to describe DWG\rquote 
s D contract with the Fiji Government and pointed out to Petersen how it differed from an American contract. Amongs
t other things he told Petersen that if the engineers directed them to do additional work DWG was obliged to do it. He told Petersen because of the reasons he had stated the availability times for the equipment which Williams was advising Petersen were DW
G\rquote 
 best estimates only. Clark also told him that DWG were at that time carrying out a review of their programme, I very much doubt that any such review was then under consideration as from the evidence before me DWG were not then aware of the factors which 
cause delay. It was not until September 1977 that a revised programme was drawn up by DWG. Clark said Petersen then asked what were Clark\rquote 
s thoughts when all the equipment would be finished with and Clark told him about the end of May 1978. The DWG program
me current in May 1977 indicated work would be completed to 30 March 1978. Petersen according to Clark then said that that sounded all right and would DWG let him know of any changes as DWG went along so Petersen could plan his selling with his customers.
}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams\rquote 
 version of this conversation was that the conversation lasted 10 minutes and Clark did most of the talking. He confirmed that Clark did mention American contracts and pointed out major differences between those contracts and DWG\rquote s contract. He 
said that Clark had pointed out and told Petersen that it was not possible to precisely indicate when equipment would become available but that the schedule of dates insists DWG\rquote s then present state of DWG programme. Peterson\rquote 
s reaction was that he did not
 consider any major problems would arise. Williams sat there saying little and he did not remember Bajadali saying much at all. Both Petersen and Bajadali deny that a conversation of the nature described by Clark and Williams took place.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 If this conversation did take place then Petersen had knowledge that the availability dates were estimates only and not firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Clark under cross - examination did remember parts of the alleged conversation which he had not related in evidence in chief and which Wil
liams also did not mention. Clark said he asked Petersen if he had seen the equipment. He also said he introduced the subject of availability by asking Petersen if Williams had mentioned availability and was told Williams had done so. Clark then mentioned
 the nature of the availability.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Williams was at the time a very senior executive officer of DWG who had previously been responsible for sales of DWG equipment. I find it very strange that Clark, knowing that Williams had already mentioned the subject of 
availability to Petersen, should then embark on a detailed description of DWG and American contracts to explain the emphasise why the times Williams had advised Petersen the equipment would be available were only DWG\rquote 
s best estimates. Clark was involved in
 preparation of and had seen the schedules which showed the dates equipment was to be available. DWG could on those lists have clearly indicated dates were estimates only. Clark considered the matter important and should be made clear to Petersen. All he 
n
eed have done was to ask Petersen did he appreciate the availability dates he had been given by Williams were estimates only. Clark did admit that Williams was quite capable of making the position clear to Peterson and that to Petersen delivery dates woul
d be important.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Williams as a witness did not impress me. While giving evidence he was often vague and hesitant. It was strange to find him hesitant in his evidence in chief when being examined by Mr. Bainton. Williams was asked about availability of equi
pment and what Petersen had said. The hesitation was so noticeable and I noted this fact in my notes at the time I recorded his evidence. He said in answer to a question as to what Petersen had said about availability \'93
I may have been asked if list accurate\'94. He also said \'93I can not remember saying we had hire machinery to do the hard work and would continue to do so. Can not recall mentioning hire equipment.\'94
 In fact DWG were at the time hiring equipment to do the hard work of gravel extraction, a matter which was of interest to Petersen and which he said he raised with Williams.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams was, however, very definite about Clark\rquote s conversation albeit Williams\rquote 
 version differed in some respects. He was in the habit of taking notes and did make notes of his discussions with Petersen on the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
May. He admitted that he made notes on that occasion and that he made no reference therein to the availability of equipment other than all equipment was to be released by May 31, 1978 nor did he make any mention of Clark\rquote 
s conversation with Petersen.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I find it incredible, if that conversation did take place, that Williams should make no mention of Clark\rquote 
s conversation in his notes. Clark was his senior and was, if he is to be believed, at pains to point out that dates of availability were not firm dates. It was an important matter in Clark\rquote 
s mind and Williams should have realised that the availability of the equipment was of paramount importance to purchaser.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams did not when writing letter Ex. A and preparing s
chedule attached thereto to make it clear that dates were probable dates. Williams had to admit he wrote an inter office memorandum (Ex. 126) to Croll and Stirrat on 15 December 1977. They were two officers of the company responsible for the equipment. Th
e memo commences:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93
Please note we have a firm commitment to Pacific Western Equipment Inc. to have the following items of equipment .......... ready for shipment on the Hobart Star, ETD Suva 10.1.78.\'94}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams did not enhance his credibility when, in re
 - examination, he said Ex. 126 was purely a device to ensure Croll and Stirrat had the equipment ready for shipment. He was clearly uncomfortable when being questioned about this memorandum.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen on the other hand did impress
 me as being an honest witness. He was subjected to a lengthy and very able cross - examination by Mr. Bainton. He did have lapses of memory and did make some mistakes which is not surprising to consider the details he had to remember. He is not an aggres
s
ive type of dealer but apparently a competent one. It is clear from his evidence that most of his transactions were conducted on mutual trust without written contracts and his failure to properly record all the terms of the contract is of no moment. His c
onduct after the 28}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 May 1977 is consistent with his understanding at the time he made his offer that the dates were firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 His next visit to Fiji after May, 1977 was on 4 July 1977. On that visit Williams handed him Ex. R which has specific dates on it but the date column is not marked \lquote 
available\rquote  but availability is obviously what the dates refer to.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen had Merryman with him on the July visit and Petersen told Williams that he hoped to sell some of the equipment in Fiji. Williams prepared E
x. R as a result of this advice to assist Petersen. If the dates on the list attached to Exhibit A, were not firm dates, then that visit of Petersen\rquote 
s was an occasion for Williams to warn Petersen and point out to him that the dates were not firm dates and
 before entering into any sale he should first contact DWG to check whether equipment would be available. He did not do so, but he did on that visit introduce Petersen to a number of people in Fiji who might have been interested in the equipment. Possible
 sales in Fiji were discussed and gave rise to the preparation of Ex. R. It must have been apparent then to Williams that Petersen was planning sales and that if Petersen made a sale he would be asking for delivery to him of the equipment sold.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams\rquote  actions are hardly consistent with his contention that the only firm dates for availability was 31 May 1978 some 10 months away. On the other hand Petersen
\rquote s actions were entirely consistent with his stated understanding that the dates given him were firm
 dates. He would hardly otherwise have entered into arrangements to sell Merryman, one of his best customers, a number of items of equipment and bring him to Fiji to inspect the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 About 23 July 1977 Petersen returned to Fiji. Williams could only
 recollect a discussion about local sales. He had however received Exhibit V a letter written by Peterson about payment for equipment which Petersen says was discussed on that visit.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 At the beginning of September 1977 Petersen again came to Fiji to arrange for his first large shipment. He had advertised sale of equipment in the}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \lquote Fiji Times\rquote }{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 which Williams admits he saw.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 He was on the September visit handed Ex.H by Williams which was an amended schedule of availability dates. Petersen said Williams told 
him there had been delays. That there were delays to DWG\rquote 
s programme is a fact. Williams told Petersen DWG had reviewed the availability schedule in the list of changes in the programme and Ex.H which he handed to Petersen represented the current status. E
x.H shows definite dates of availability without qualification. Williams said Petersen did not offer any comment at all.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I find it difficult to credit that Petersen would offer no comment at all when handed a schedule in September 1977 showing availabili
ty dates had been changed. Petersen in his evidence was quite vocal on the point and says he told Williams the change caused him problems and he had come to Fiji to arrange his large shipment. Petersen says that the next day he told Williams he should be 
rewarded by getting lower prices on some other equipment. Williams denied that and said Petersen was not upset and neither consented to nor opposed the alterations.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen did however in his sales campaign then work from the September list and negotiated with Elwood of Emeco to sell Emeco 6 of the DWG graders.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
In November Petersen returned with some of his customers. On that visit Williams handed him a further amended schedule of availability Ex. 1. Williams had not previously advised Petersen that dat
es were again being changed. There is no dispute that after being handed Ex. 1 Petersen did complain bitterly about the problems caused by the further changes and Williams was advised that Petersen had sold the graders to Emeco. Williams admitted that Pet
ersen on the November visit had also complained about the standard of maintenance of the equipment. Sales Petersen had negotiated were aborted by the fact that DWG kept changing the availability dates of the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I accept Petersen\rquote s version of the d
iscussion which led up to his entering into the contract. The documentary record of availability dates also clearly indicates firm dates. I do not believe Clark or Williams about the conversation of the nature related by them did in fact occur particularl
y
 with reference to the availability dates. I could not imagine any conversation more designed to put off a prospective purchaser of used equipment who intended to resell. To a purchaser who is a dealer, firm availability dates would be a key factor in his
 
offering to purchase and without firm dates he could not himself enter into firm contracts to sell and deliver equipment. It was not until 13 September 1977 when Williams wrote Ex. AA to PWE, that he advised Petersen of the preparation of a revised schedu
le of \'93probable availability\'94. The September schedule is dated 6}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
September and the date of Ex. AA would appear to indicate that a week after the September schedule was prepared DWG were again considering altering that schedule. This was at the time when D
WG had had problems which had caused delay. Until that time all Williams\rquote  actions were consistent with Petersen\rquote s contentions that dates were firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I believe the increase in the prices of items for earlier delivery and reduction of prices for items
 for later delivery, to which I have already referred must be viewed as evidence that the dates on schedule A were intended by DWG to be firm dates. What this arrangement also signified to me is that specific identifiable items were to be held available f
o
r release by DWG on those dates. It was not open to DWG to switch those items around, which they did on more than one occasion, notably with items 111 and 112. It is inconceivable that PWE would have agreed to pay a premium price for those two items, orig
inally to be available on 31 October 1977, if availability could be changed for example to 31 May 1978. 111 was in fact still in use in February 1978 and 112 in April 1978.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Item 111 in November 1977 was undergoing overhaul preparatory to being released on 19 November 1977. On Clark\rquote 
s instructions both item l11 and 112 were put back to work pushing up gravel and items 105 and 107 were taken out of service. In the November schedule items 105 and 107 were to be available on 30 April 1978. In fact they were ma
de available in January 1978 and were two of the machines Petersen contended has been badly neglected.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I am of the view that Clark switched the machines around
 because items 105 and 107 were in imminent danger of breaking down. I do not believe there was any mistake made, as Clark alleged, in 111 and 112 being listed as, being available on 19 November 1977, in the amended November schedule prepared only 12 days
 before that date.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I find as a fact that the dates in Ex. 13,14 and 15 and in schedule Ex. A relating to the equipment PWE was to purchase were firm availability dates. When those dates were changed in September and November 1917 as far as DWG was concern
ed they were still firm dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have now to consider whether DWG committed any breach of their obligation to have and hold the equipment available for delivery on the agreed specified dates.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There were in my view a number of breaches. DWG committed a breach when they unilaterally altered the availability dates in September and again in November 1977.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There were several other breaches in respect of specific items of equipment which Petersen had negotiated to sell and was prevented from completing the sales by DWG\rquote 
s notification that equipment would not be available on the dates stated by them.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 One such proposed transaction was the negotiation for sale of items 105,107,109 (106 as alternative) 162 and 165. Merryman stated in evidence that he had agree
d to purchase those items on the availability dates appearing on Exhibit 18.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li3744\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin3744\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Dates DWG informed Petersen those items would be available in schedule A, the September and November lists varied considerably as the following table clearly indicates:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Item\~\~\~\~\~\~\~\~\~\~\~\~
\~\~\~\~\~\~\~\~ Schedule A\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ September Ex. H\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ November Ex. I}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 105\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Sep. 30, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Nov. 15, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ April 30, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 106\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Sep. 30, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Nov. 15, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Nov. 19, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 107\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Sep. 30, 77\~\~\~\~\~\~\~ \~\~\~\~\~\~\~\~\~\~\~\~\~Nov. 15, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ April 30, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 109\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Oct. 31, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Dec. 15, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Feb. 28, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 162\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Oct. 31, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Dec. 15 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ \~\~Jan. 31, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 165\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Oct. 31, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Dec. 15, 77\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~\~ Dec. 31, 78}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In respect of items 105 and 1
07 PWE was expected to pay premium prices for availability September 30 but DWG proposed to continue use of the machines for a further 7 months until April 30,1978. In fact DWG made these machines available in January, 1978 in a condition which Petersen a
l
leges showed neglect of proper maintenance. There was never any offer or suggestion by DWG to Petersen that they would compensate Petersen for this extra use. They rejected all his claims for compensation. There was also the proposed sale of 6 graders to 
E
meco and re - negotiated sale. DWG did not make the tractors available. There was the intended sale of item 111 to Lion Machinery Limited which DWG prevented by putting 111 back to work. There was the intended sale of item 112 to Simonson which did not ev
entuate as 112 was put back to work.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
While PWE did not adequately prove the terms of all these sales, which would have been necessary had PWE sought loss or profit on those sales, I am satisfied on the evidence that Petersen negotiated the sales and was p
revented from concluding there by DWG altering the availability dates.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I hold as a fact that initially DWG was in breach of contract in September 1977 when, they altered the availability dates and were again in breach with the November 1977 alterations. 
Specifically they were also in breach on each occasion when with knowledge that Petersen had negotiated sales they made it clear by altering schedules or not making equipment available that items involved in such sales were not available to PWE.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Having d
ealt with the issue of availability and breaches thereof by DWG I turn now to the other issue as to whether DWGH was in breach of its obligation to maintain the equipment pending delivery to PWE.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
In Exhibit A Williams set out the agreement reached by the parties. He stated \'93As agreed the Joint Venture will continue to uphold its present standards of maintenance and all equipment will be in working order at time of despatch.\'94}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 PWE alleges that DWG are in breach of the obligation to properly maintain the e
quipment and relies mainly on the condition of certain equipment sent by DWG to Carpenters yard in January 1978 preparatory to shipment by PWE. DWG deny the allegation and has introduced into evidence very detailed and comprehensive documentary evidence i
n rebuttal of PWE\rquote s allegations.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I first consider what standard of maintenance DWG was obligated to maintain. There is evidence given by Clark, to which I will be referring later, that there were two standards, one for a machine going back to work and one
 for a machine not going back to work to ensure it was in a saleable condition.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams\rquote  letter does refer to \'93present standards of maintenance\'94 that is more than one standard.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There is an abundance of evidence to indicate that DWG\rquote s \lquote present standards\rquote 
 were in May, 1977. The standard was a high one as some of the witnesses stated and Petersen expected that standard to be maintained until he took delivery of the equipment. He certainly was not advised by Williams that DWG had two standa
rds, one for a machine going back to work and one for a machine to be sold. There could be different standards of maintenance dependent on the type of machine and the use to which it was put. AD6 tractor used in heavy work would require higher standard of
 maintenance than say a grader.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri142\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin142\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Williams\rquote 
 letter conveys to me, that since the machines were to continue in use until available, to PWE DWG would maintain them on the basis that they were to continue to work and not in the knowledge they were being sold a
nd reduce their standards by putting off repairs and necessary maintenance. Petersen expected DWG to keep the machines in approximately the same condition as when he inspected them. Subject to normal wear and tear that is a reasonable expectation for any 
purchaser of used equipment to be delivered in the future after further use.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Petersen inspected the equipment in May 1977. He gave no detailed evidence as to the then condition of the equipment but did state he found the standard of maintenance very good.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Merryman inspected the equipment in July 1977 and did give detailed evidence of the condition of most of the equipment. He did point out certain defects but in the main he described most machines as being \lquote clean machines\rquote .}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen\rquote s impression of the e
quipment in July 1977 was that the equipment was generally in the same condition as when he inspected it in May 1977, He had no complaints on his September 1977 visit.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 On his November 1977 visit, however, Petersen testified he found the condition of the 
equipment had deteriorated quite badly since his September 1977 visit and he gave instances of what he noticed on that visit.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen complained about lack of maintenance to Williams and Williams brought Stirrat into the discussion. Stirrat said he woul
d put new track guards on item 111 and replace damaged rollers with good rollers.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Stirrat professed in cross-examination not to specifically remember any discussion with Petersen about D6 Nos. 111 and 112. He had no difficulty remembering in exam
ination in chief. He testified that Petersen asked him about the work they were doing on items 111 and 112 and Stirrat told him. He said also that items 111 and 112 had got to the stage where they were not available for river work due to the condition of 
the undercarriages. He also said he understood they were going back to work a statement which I do not believe as it was not until about December 15 that Clark gave orders for items 111 and 112 to go back to work.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 As regards item 111, he did in fact put on rock guards although Clark\rquote s alleged explicit instructions were that they were not to be replaced. Stirrat\rquote 
s explanation for putting on the rock guards in breach of Clark\rquote s alleged specific instructions to leave them off was not very convincing. He said he put them on because he was doing a full rebuild of the carriage.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I believe he put rock guards on pursuant to Petersen\rquote 
s complaints as Stirrat promised he would do. Williams confirmed that Petersen was concerned about a number of maintenance matters on
 his November 1977 visit and that he asked Stirrat to come to his office to discuss the matter. Williams however professed not to clearly recollect what then occurred. He could only recollect a complaint about dirty radiators.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I do not consider either Williams or Stirrat were telling the whole truth about Petersen\rquote s complaints about maintenance in November 1977.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In the amended November schedule D6 dozer item 111 was scheduled to be available on 19 November 1977 and Petersen ha
d agreed to sell this tractor to Lion Machinery Limited (Ex. EE).}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I believe item 111 was, as Petersen stated Williams advised him, in November 1977 in the DWG storage yard being tidied up for delivery. Clark however by his decision to put units 111 and 1
12 back to work embarrassed both Williams and Stirrat. When questioned about this machine they did not look comfortable and I formed the view that they were backing up Clark and were on that matter not telling the truth.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen wrote to Williams on Dec
ember 12, 1977 (Ex. G). In that letter he did not specifically complain about lack of maintenance but did complain about delay in releasing the equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In his letter (Ex. YY) to Hawaiian Dredging and conversation of December 22, 1977 Petersen was still concerned with delays and does not mention lack of maintenance.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
It appears that, while in November 1977 Petersen was worried about maintenance and complained about lack of maintenance, he was more concerned about the delays in DWG releasing the equipme
nt. Up to his visit to Fiji on January 13, 1977 it is clear that Petersen was not too worried about lack of maintenance to the extent of seeking to make it an issue but he was concerned to get compensation for the machines used beyond the dates that they 
should have been made available to him.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 On January 13, 1978 he went to inspect equipment that DWG had sent Carpenters\rquote  yard preparatory to delivery to him. This was equipment DWG which, if Williams\rquote 
 written instructions had been carried out (Ex. 126), had been tidied up and was ready for shipment by Petersen on the Hobart Star about the 10}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 
\ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 January, 1978.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen testified that on his inspection the equipment was in a very bad condition and he gave details of what he noticed and called witnesses who ha
d also inspected the equipment. The witnesses were Latham, Carpenters\rquote 
 Service Manager, Thoms a former sales manager for Carptrac, Joy a bulldozer driver formerly employed by DWG, Saunders the manager of Lions Machinery and Bajadali. All these witnesses had experience with caterpillar equipment.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Joy did not impress the and I do not propose to consider his evidence, nor do I propose to consider Bajadali\rquote s evidence about his inspection of the equipment.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Mr. Bainton has pointed out in his written submission that Bajadali can not be believed when he testified he did not see nor was he told about Latham\rquote 
s report HHH before he made his report. The comparison Mr. Bainton has made of Latham\rquote s and Bafadali\rquote s evidence satisfies me that Bajadali did know of Latham\rquote s report before Bajadali did know of Latham\rquote 
s report before Bafadali made his report.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Although Saunders did have trouble with DWG over the export of a tractor Saunders had purchased from Petersen and which was delivered to Saunders\rquote 
 company. I do not consider Saunders was a prejudiced witness. He impressed me as a witness who was telling the truth and I consider and treat him as an independent witness.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The equipment delivered to Carpenters included the following: Items 144, 146, 147, 105, 107, 108, 101, 102, 104, 160 and 161.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Latham\rquote 
s report Ex. HHH covers 8 of the items and from the serial numbers given in the report the items numbers can be obtained from the schedule to Exhibit A which contains both items and serial numbers. The first machine on Latham\rquote 
s list is a 950 loader item No. 161.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Latham\rquote 
s report describes the condition of item 161. Some of the matters he reports on can be ignored but there are others which appear to indicate a lack of proper maintenance notably, bucked bottom plate thin and peeling, covers missing, frame cracked both sid
es in front of hitch, bucket positioner missing. Seat back rest missing, radiator guard badly bent, rear light broken. If this machine had been tidied up as instructed by Williams it would have been in a sorrier state before Latham inspected it.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Thoms did
 not specifically refer to item 161 but he testified that between June and November 1977 he used to call on DWG. He noticed a deterioration I the standard of maintenance. He saw machines with guards being left off, equipment being welded rather than being
 
replaced: certain parts worn beyond serviceable condition. He also saw the equipment in Carpenters yard but he did not testify as to condition of any particular machine. The D6 machines he considered needed major work to be carried out on them and were no
t in a saleable condition. He said the equipment was in a condition which made them unattractive for sale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Saunders also inspected equipment in Carpenters yard and described their general condition as \'93very rough\'94 and gave details of what he noticed but h
e did not give evidence as to the condition of any particular identifiable machine. He did state that equipment was not in an acceptable condition for sale to his company.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Latham\rquote 
s report is the only acceptable detailed report by an independent person: I have referred to his report on item 161.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The next item on his list is 950 loader item 160. This had bucket position missing and lights missing.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The next on the list is a D4 item 108. The seat needed repair, right hand battery box cover was missing also missing was the fender mounted valve cover and radiator caps.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The next listed in the report is D6 tractor item 107. It had no seats and no roller guards, the track frame guard w
as missing, battery cover was missing, lights broken. The mold board was patched and there were holes on the left side.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I do not propose to refer in detail to items 105,101 and 102. The cutting edges and cover tips of two machines were unserviceable whic
h made them useless as bulldozers. Parts were missing on all three machines. The report includes matters which I consider should have been attended to if proper maintenance had been carried out on them.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I do not propose to refer to the last machine mentioned in the report a D8 Item 104.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The mold board was patched and patches were worn through. The cutting edges and corners of the blade were 100% worn - no life in them at all. Right hand sprocket was welded. Radiator guard was chewed and patched. Roller 
and track roller frame guards were missing. Ripper tyres were missing. (This machine was supposed to be complete with ripper vide Ex. 126). The exhaust stack, seats and lights were missing and there was an oil leak at the tilt cylinder.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have not so far in referring to Latham\rquote 
s report referred to the worn condition of the undercarriages. There is a conflict of opinion as to when repairs should be carried out. Latham\rquote s inspection of undercarriages of the tractors shows that they varied from 75% worn to 90
% worn. Under cross - examination Latham said as regards item 104 (75% worn undercarriage) in Fiji conditions some components of the undercarriage would need replacement He mentioned grouser plates pins and bushings as being the first components due for r
eplacement.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 With item 102 (80% worn undercarriage) he said 80% would indicate some parts would be about to be replaced.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Latham did not refer to position
 where undercarriage 90% worn - two machines showed 90%. If at 75% and 80% worn certain components were due to be replaced at 90% worn I would imagine the time had come or passed when certain parts should have been replaced if there was not a need for a m
ajor overhaul.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 According to Thoms undercarriages would have a life of 2000 hours. 10% remaining life would be 200 hours which on the evidence before me would be almost one month\rquote 
s work for a tractor. I do not consider that DWG following its usual programm
e of maintenance would have let 2 machines reach 90% worn undercarriage and risk a major breakdown before carrying out repairs. Stirrat however said 95% was near end of life of undercarriage but they aimed for 100%.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Clark gave very detailed evidence about DWG\rquote 
s maintenance programme. He stated it was not relevant what the equipment would be worth at the end of the contract. He stated the first arm of the DWG programme was to ensure equipment was available for work assigned to it. The second arm was to ens
ure that the equipment at the end of the contract period was in a condition for sale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 This is clear evidence of two standards and this was borne out by Stirrat\rquote 
s evidence. He on a number of occasions stated that if a machine was going back to work he wou
ld do certain repairs. The inference from this evidence is that if the machine was not going back to work he would not do certain work. In this regard the contract called for the equipment to be in working condition when delivered by DWG.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 What DWG contra
cted to do was to continue the standards of maintenance on the machines sold to PWE and deliver them in working condition, that is the first arm of their programme referred to by Clark. Even if this was not so the condition of the equipment in Carpenters 
yard showed it had not been maintained according to the second arm of the programme to ensure it was in a saleable condition. Witness after witness stated they were not in a condition which made them saleable.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The picture to me is clear. PWE was committed
 to purchase the equipment. There was after May 1977 due to unforeseen circumstances use of the equipment to an extent not anticipated by the parties. The wear and tear on the tractors working double shifts shifting gravel was extreme use for such equipme
n
t and should have resulted in more than usual maintenance. I do not believe Clark when he said he could have continued to use items 105 and 109. I believe due to very hard usage there was a risk of a major breakdown to these machines and that was the reas
on he ordered items 111 and 112 which were scheduled for release on 19 November 1977 and had been repaired and overhauled, back to work on gravel operations. According to exhibit 74 item 105, 107 did no work after November 1977.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Exhibit 81 indicates quite
 extensive work was carried out on item 105 in June and July 1977 but nothing thereafter. Item 107 had no work done on it after August 1977 according to Exhibit 83.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The condition of tractors 105 and 107 as described by Latham when he inspected them in Ja
nuary 1978 convinces me that DWG made no effort to carry out any maintenance on them after they ceased working and this is borne out by Exhibits 81 and 83. In fact the report discloses they may have further deteriorated. 104 had parts missing and cutting 
e
dges and corners were unserviceable. In other words it could not operate as a bulldozer until repairs were carried out. It was not in working order, 107 also had parts missing and in particular it had no roller guards and a track frame guard was missing. 
It had no seat and could not operate as a tractor without a seat.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There was considerable evidence given about roller guards whether they should be used or not and such evidence was conflicting. The machines are fitted with these guards and they are an expensive item. If they are taken off when a machine is used.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Machines in Carpenters yard in January 1978 had been therefore 10 days when Latham inspected them. I do not accept Stirrat\rquote 
s statement that certain missing parts were to be replaced. DWG had ample time to replace them. The equipment was in the condition DWG had prepared them for delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The totality of the evidence satisfied me that DWG did not maintain the equipment delivered to Carpenters yard in accordance with their standards of maintenanc
e which were prevailing in May 1977. I believe DWG got the maximum use out of the equipment with the minimum of maintenance. In the knowledge that machines were not going back to work their maintenance standards deteriorated. I find as a fact that DWG was
 
in breach of its contractual obligation to maintain the equipment delivered to Carpenters yard in accordance with its standards prevailing in May 1977. There were 11 items of equipment delivered to Carpenters of a total sale value of $217,000. It was to b
e a large shipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There is no evidence that DWG did not properly maintain the engines of any of the machines. Nor is there any specific evidence that graders, R200 cranes, Hyster compactors and loaders (apart from Nos. 160, 161 and 169) were not properly maintained.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
I do not consider this lack of evidence in any way alters my finding. DWG's contract was to maintain all equipment sold to PWE in accordance with its May 1977 standards, which I accept were high standards and deliver in working conditions.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri432\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin432\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There is evidence, which I have accepted that DWG did net properly maintain 8 of the remaining 36 items. That is a substantial breach and I do not consider it was incumbent on PWE to give detailed evidence of the condition of all the other machines. As t
he other machines were still in use I have no doubt that DWG was continuing to maintain them but whether to their usual standards is doubtful in view of Thoms' evidence that standards generally lead deteriorated.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have now to consider the remedies PWE has for the breaches of the contract which I have held DWG committed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There were breaches of contract by DWG in respect of its obligation to have equipment available for delivery on stated dates or after those date
s when PWE made payment and required delivery and there were breaches of their obligation to properly maintain that equipment until delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Since DWG were not committed to deliver until PWE paid for the equipment specific breaches occurred when Peterse
n had sold or contracted to sell equipment and DWG did not make it available. He entered into negotiations to sell equipment to Merryman, Emeco, and Lion Machinery Limited, but before he could pay DWG and call for delivery he was presented with changed av
ailability dates which aborted his negotiations.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Petersen could have taken action earlier as a result of DWG's breaches of contract. He accepted the September changes and also the November changes although on both occasions he said in evidence had he aske
d for compensation. He complained that DWG did not even abide by the November changes.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Tractor 111 was to be available on 19 November 1977 and Petersen negotiated to sell this tractor to Lions Machinery Limited. Although DWG had knowledge of this sale th
e tractor after being repaired was put back to work on Clark's instructions.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
A grader was to be available on 31 December 1977. This was the first of the six graders Petersen had agreed to sell to Emeco after being compelled to renegotiate with Emeco after DWG changed availability dates in September.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Exhibit 9(1) to (17) covers the Emeco transaction as regards the graders and emphasises the frustrating experience that both PWE and Emeco went through due to DWG\rquote 
s changes of availability dates. Exhibit 9(11) indicates that there was a further change after the November, 1977 changes when DWG changed availability date of one grader from end of December 1977 to the end of April, 1978.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I am satisfied that Petersen never acquiesced in the change of date for th
e grader to be available on 31 December 1977 nor in tractors 111 and 112 not being made available. He was however prepared to waive these breaches if he was compensated. His request for compensation was rejected by DWG as was his offer to purchase the rem
aining items for US$500,000. It is clear from the evidence that Petersen then made it very clear to DWG that he was not carrying on with the contract and intended instituting an action for damages.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There were two types of breaches by DWG. One as regards a
vailability for delivery and breach of obligation to properly maintain the equipment. I have next to consider whether these breaches entitled PWE to treat the contract as at an end or as repudiated by DWG\rquote 
s conduct, or whether his only remedy lies in damages.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The right of a party to treat a contract as discharged arises in only two types of cases. Namely where a party has repudiated the contract before performance is due or before it is fully performed and where the party in default has committed a fundam
ental breach.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
DWG did in my view repudiate the contract in the sense that they by their conduct made it clear they did not intend to honour their obligations in the manner envisaged by the contract. I am also concerned whether their breaches were in any 
event fundamental breaches entitling P.W.5 to treat the contract as discharged.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 One of the tests adopted by Courts to determine whether a breach is a fundamental one is the 
importance the parties would seem to have attached to the terms of the contract which has been broken.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Jordan C.J. in the Australian case of}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Tramway Advertising Pty. Ltd., v}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Luna Park (NSW). Ltd.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
(1938) 38 S.R.N.S.W. 632 at page 641 said:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93The test of 
essentiality is whether it appears from the general nature of the contract considered as a whole, or from some particular term or terms, that the promise is of such importance to the promise that he would not have entered into the contract unless he had b
een assured of a strict or substantial performance of the promise, as the case may be, and that this ought to have been apparent to the promissor.\'94}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 While the learned Chief Justice's decision was reversed on appeal his test of essentiality was unanimously approved by the High Court of Australia in the later case of}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Associated Newspapers, Ltd. v. Banks}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\field\fldedit{\*\fldinst {\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid12015627 HYPERLINK "http://www.paclii.org.vu/cgi-bin/LawCite?cit=%281951%29%2083%20CLR%20332" \\o "View LawCiteRecord"}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid2359815 {\*\datafield 
10d0c9ea79f9bace118c8200aa004ba90b0200000003000000e0c9ea79f9bace118c8200aa004ba90baa00000068007400740070003a002f002f007700770077002e007000610063006c00690069002e006f00720067002e00760075002f006300670069002d00620069006e002f004c006100770043006900740065003f00
6300690074003d0025003200380031003900350031002500320039002500320030003800330025003200300043004c0052002500320030003300330032000000795881f43b1d7f48af2c825dc485276300000000a5ab0000}}}{\fldrslt {\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs16\ul\cf2\lang2057\langfe1033\langnp2057\insrsid11742181 (1951) 83 C.L.R. 332.}}}\sectd \ltrsect\linex0\endnhere\sectlinegrid360\sectdefaultcl\sectrsid6953918\sftnbj {\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 DWG was, perfectly well a
ware before the contract was entered into that Petersen was a dealer and intended to resell the equipment outside Fiji and that most if not all of the equipment would have to be shipped out of Fiji.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 To Petersen availability to him of the equipment for de
livery was of paramount importance. He could not arrange shipping or enter into contracts to sell the equipment unless he himself could deliver on a stated date. He also based his offer to purchase on the stated availability dates. His valuation of each i
tem of equipment in addition to the use it would be put to was based on such availability. Petersen\rquote s}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 discussions with Williams makes it clear Petersen considered those dates of paramount importance and I have no doubt this must have been apparent to Williams.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The maintaining of the equipment which would be in use until available was also a very important matter to Petersen and Williams must also have been aware of this, which is why DWG specifically agreed to continue maintenance on their then existing st
andards. Petersen also based his price offered on the explicit understanding that DWG would maintain the equipment to their then existing standards. I have no doubt at all that if DWG had stated, either that they could not promise delivery of any item bef
ore May 1978, or that stated availability dates were not firm dates, or that they would not properly maintain the equipment no contract between the parties would have eventuated.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Mr Bainton argued that if there were breaches by DWG they only entitled PWE to damages and did not entitle PWE to cancel the contract. He quoted in support two cases:}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hong Kong Fir Shipping Co., Ltd. v. Kawasaki Kisen Kaisha, Ltd}{\rtlch\fcs1 
\af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1962)2 Q.B. 26 at p. 70 and}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Suisse Atlantique d'Armement Maritime}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 S.A. v. N.V Rotterdamsche Kolen Centrale}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1966) 2 All E.R. 61.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In the}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hong Kong Fir Shipping Co. Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
. case it was held both by Salmond J. and the Court of Appeal that the plaintiffs had broken a warranty and not a condition and the defendants were not entitled to treat the contract as discharged. In the later case of}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The Mihalis Angelos}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
\~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1971) 1 Q.B. 164 although the Court of Appeal was pressed with the arguments adopted in the}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hong Kong}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 case the Court held the. breached clause was a condition. The}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 
\ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Suisse Atlantique}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 case was a case where there was a fundamental breach of contract where the innocent party affirmed the contract after breach, a matter I have shortly to consider.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The agreement regarding availability dates and maintenance of the equipment in the instant case were not warrantie
s but conditions. The breaches were in my view fundamental and entitled Petersen to treat the contract as discharged. Mr Bainton also argued very forcibly that, if the breach entitled PWE to cancel the contract, PWE had an election to cancel or maintain t
he contract on foot. He pointed out that there is clear evidence that PWE affirmed the contract or acted in a manner from which it may he inferred that PWE recognised the continued existence of the contract. He quoted the}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Suisse Atlantique}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}
{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 case and}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Heyman v. Darwins, Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 . (1942) 2 A.C. 356 which are clear authorities for the proposition stated by Mr Bainton.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 PWE did commence this action with a writ which had an endorsement on it, which is more in the nature of a statement of claim that a general endorse
ment, seeking (inter alia) "an injunction restraining the defendant its servant and/or agents or howsoever otherwise from continuing to use those items on which delivery is due or overdue to the plaintiff."}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 That purported endorsement does appear to indicate that PWE affirmed the contract after breach.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In the Statement of Claim, however no such injunction is sought. It is alleged DWG repudiated the contract. Breaches are specified and damages are sought.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 What I have to consider is whether PWE
 did in fact terminate the contract or whether he exercised his election to treat the contract as subsisting. DWG breaches, which I have held to be fundamental breaches, did not}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 per se}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{
\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 terminate the contract. PWE had an option either to terminate the contract and seek damages or to treat the contract as subsisting and seek damages.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \fi-9\li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
If Petersen with full knowledge of the facts made it clear by words or acts or even silence that he refused to accept the breaches as a discharge of the contract, he affirmed t
he contract and his only remedy is damages. Up to the time in January 1978 when Peterson examined the equipment in Carpenters Yard he was seeking compensation for the breaches. After Peterson inspected the equipment in January 1978 he wrote letter Exhibit
 J on the 18}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\super\langnp2057\insrsid11742181 th}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
January. That letter contains an offer to pay $500,000 for the remaining equipment in other words an offer to enter into a new contract. Peterson in his letter made it clear that if his offer was not accepted it was \'93probably best that you se
ek another buyer and that I seek the damages due me.\'94 Williams in evidence stated that when Paterson handed him Exhibit J Peterson clearly indicated he was no longer prepared to take the balance of the equipment and the spare parts.}{\rtlch\fcs1 
\af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 On my consideration o
f the evidence before me there is no doubt in my mind that Petersen made it clear to DWG that he was no longer prepared to be bound by the agreement and intended taking action for damages. In my view he elected to treat the contract as cancelled by DWG br
eaches and DWG were or should have been aware on the 21 January 1978 that Petersen was treating the contract as at an end due to DWG's alleged breaches of contract.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 It is in my view immaterial that the writ sought by endorsement an injunction to restrain 
DWG from using the equipment which was alleged to be overdue for delivery. Having been made his election Petersen's election was final and could not be retracted by him (}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Scarf v. Jardine}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
(1882) 7 App. Cas 345 at p. 361 per Lord Blackburn).}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The pleadings, until the statement of claim was re-amended no doubt on Mr Newman\rquote 
s advice, bear all the hallmarks of hasty preparation by counsel who did not fully appreciate the issues involved and he does not appear to have properly briefed the evidence. However, as I
 have stated the shortcomings in the pleadings and apparent affirmation of the contract are immaterial as Petersen had exercised his election to treat the contract as cancelled and to sue for damages prior to issue of the writ and there is no resiling fro
m that election.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Having held that DWG committed fundamental breaches of contract in particular their failure to properly maintain the equipment and their failure to make the graders available which entitled PWE to treat the contract as terminated and whic
h Petersen did terminate PWE is entitled to damages.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Under section 52(2) of the Sale of Goods Ordinance the measure of damages is the estimated loss directly and naturally resulting in the ordinary course of events from the sellers' breach of contract.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Section 52(1) of the}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\field\fldedit{\*\fldinst {\rtlch\fcs1 \af0 \ltrch\fcs0 
\insrsid12015627 HYPERLINK "http://www.paclii.org/fj/legis/consol_act/soga128/"}{\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid2359815 {\*\datafield 
00d0c9ea79f9bace118c8200aa004ba90b0200000003000000e0c9ea79f9bace118c8200aa004ba90b7e00000068007400740070003a002f002f007700770077002e007000610063006c00690069002e006f00720067002f0066006a002f006c0065006700690073002f0063006f006e0073006f006c005f00610063007400
2f0073006f00670061003100320038002f000000795881f43b1d7f48af2c825dc485276300000000a5ab0000}}}{\fldrslt {\rtlch\fcs1 \af0 \ltrch\fcs0 \cs16\ul\cf2\lang2057\langfe1033\langnp2057\insrsid11742181 Sale of Goods Act}}}\sectd \ltrsect
\linex0\endnhere\sectlinegrid360\sectdefaultcl\sectrsid6953918\sftnbj {\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
refers to an action for non delivery. That is not the situation in the instant action at least so far as the failure to properly maintain the equipment
 is concerned but where a buyer lawfully rejects goods, as did PWE, the case becomes in effect one of non - delivery and the measure of damages is the same as that applicable to non - delivery.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Section 52(3) of the Ordinance states how the measure of, da
mages is to be ascertained where there is an available market for the goods in question. PWE in its further a mended claim alleged there was no available market in which PWE could purchase other goods to complete resale contracts into which it had entered
.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
There is no doubt that the DWG contract was for Fiji a unique sale and similar equipment of such quantity would not be available. There was not in my view any available market. I do not consider, however, that I am concerned with whether there was an avai
l
able market or not for such equipment. PWE has not based its claim for damages on any particular contract for sub - sale but for general and special damages. The special damages claimed amount to $32,469.17 and are itemised in the Particulars of Special D
amages which were filed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 PWE is a dealer in used equipment and I consider that the decision in the case of}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}
{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 W.L. Thompson, Ltd. v. Robinson (Gunmakers), Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
. (1955)Ch. 177 has application. In that case, unlike the instant case, the defendants were the purc
hasers of a motor vehicle and the plaintiffs the sellers, but that in my view is immaterial. Had PWE been able to obtain similar equipment from an available market it would be in the same position as the plaintiff in Thompson's case. PWE would have lost t
h
e anticipated profits on the DWG contract. The availability of other equipment would have resulted in other sales by PWE to purchasers other than those to whom PWE intended to sell the DWG equipment. In other words it would have had two sales instead of o
ne if sales were bulk sales.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Section 52(2) of the Sale of Goods Ordinance is based on the rule enunciated in}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{
\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hadley v.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Baxendale}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
9 Ex. 341 but omitting any reference to special circumstances mentioned in the rule.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The rule which was stated by Alderson, B in}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hadley v. Baxendale}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
is as follows:-}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93
Where two parties have made a contract which one of them has broke the damages which the other party ought to receive in respect of such breach of contract should be such as may fairly and reasonably be considere
d either rising naturally i.e. according to the usual course of things, from such breach of contract itself, or such as may reasonably be supposed to have been in the contemplation of both parties, at the time they made the contract, as the probable resul
t of the breach of it.\'94}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The learned author of Cheshire & Fifoot Law of Contract 9th Edition at page 595 states:}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93
Loss of profits arising from breach of a trading contract, at least made between experienced parties, will more frequently than might be exp
ected fall under the first branch, for each party must be taken to understand the ordinary, practices and exigencies of the other\rquote s trade or business.\'94}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri288\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin288\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The instant case, while it could fall to be considered under the first branch of the rule, is a case w
here DWG were fully aware that PWE was a dealer who was purchasing for resale which it must be assumed was resale at a profit. There were special circumstances which brought this action within the second branch of the rule.}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri144\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin144\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 That loss of profit on a resal
e is within the rule is clear from Salter J\rquote s remarks in}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Patrick v. Russo-British Grain Export Co.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
(1927) L.R 235 at p. 540 where the learned judge refers to the case of}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Hammond v. Bussey}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 (1888) 20 Q.S.D. 79. He stated:}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li720\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin720\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \'93The arbitrators find that bo
th parties contemplated that the buyers would probably resell. I think I must take this as meaning that they would probably resell a profit.}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 
\ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Hammond v. Bussey}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \cs15\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0 \ltrch\fcs0 
\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 is authority for holding that it is not necessary, in order to entitle the buyer to recover the l
oss of profit on resale, that the buyer was buying to implement a contract already made, or that buyer would certainly resell, it is enough if both parties contemplate that the buyer will probably resell and the seller is content to take the risk.\'94}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 In}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Household Machines Ltd. v Cosmos Exporters, Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
. (1947) KBD 217 the defendants on their counterclaim were held to be entitled to damages for breach of contract based on their loss of profit on goods purchased for resale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have held that there was no avail
able market and that in any event the question of an available market in which PWE could buy equivalent equipment for resale does not arise in the present action.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Consequential losses the PWE as a result of DWG's breaches of contract would include the lo
ss of profits on resale and expenses rendered futile by the breaches which is the basis for the PWE\rquote s claim for special damages.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I agree however with Mr Newman, that PWE cannot have both its expenses and general damages for loss of profits. While Peterse
n undoubtedly incurred expenditure on aborted sales there is no way on the evidence before me of separating expenses which were solely incurred on sales which were effected by PWE from expenditure on the aborted sales. Petersen admitted that, despite the 
s
ales he did effect, his total expenditure to date has resulted in a loss to him of $40,000. All expenses were changed to the account whether appertaining to effected sales or not so that it is not possible to ascertain the profits made on the completed sa
les. Ascertainment of probable loss of profits on resale presents problems.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The nature and amount of the equipment was such that very few items could be sold in Fiji. This was recognised by the, parties themselves in their original agreement that equipmen
t was to be paid for before shipment. This arrangement was varied later for local sales when sales were made by PWE in Fiji and the purchase moneys were paid direct to DWG.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 PWE would have had to bear freight charges which from the evidence; before me is 
an expensive item. Each item would require some expenditure on it by PWE to put that item in condition for resale. Petersen\rquote s sales were mainly to other dealers at prices which allowed those dealers to make a profit on sales to end users.}{
\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 All these factors would have an effect on PWE' anticipated profits and makes ascertainment of reasonable damages a very difficult task.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I am satisfied however that, had DWG faithfully adhered to the terms of the agreement. PWE would have made a profit, Petersen is an e
xperienced dealer albeit is only in a small way and there is a ready market overseas for such used equipment.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Sales by Petersen also necessitated his travelling to Fiji and as far a field as Perth Western Australia and elsewhere to find purchasers for th
e equipment. This would involve travelling, hotel and incidental expenses which would also have the effect of reducing the level of profits.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Petersen furnished the Court with particulars of his proposed selling prices but I am not prepared to accept his 
figures as a basis for assessing damages. Nor do I accept DWG's asking prices as evidence of what the equipment was worth or could he sold for.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 With so many known and unknown factors which could affect profitability, which either have not been properly q
uantified or are incapable of quantification, the only method of ascertaining the likely profits of PWE, if all equipment was purchased and resold, is in my view a reasonable assessment of a percentage profit based on the contract price of the unsold equi
pment. This method is admittedly very much a hit or miss method but there is precedent for it. In the}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Household Machines Ltd v}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cs15\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 
\i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Cosmos Exporters, Ltd}{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
. case to which I have already referred the plaintiff entered into a series of contracts for the supply of ce
rtain goods to the defendants which to the plaintiffs knowledge were intended for resale by the defendants to exporters. The plaintiffs failed to deliver some of the goods and the defendants declined to pay for the goods delivered until the question of th
e
 undelivered goods was settled. In the action brought by the plaintiffs, the defendant counterclaimed for damages for non-delivery and were successful. It was held that the defendants were entitled to damages based on their less of profit. In that case, a
s
 in this present case, there was no available market and the defendant was held to be entitled to his loss of profit. Since there was no market, the usual method of assessing damages on the value of goods at the time of the breach could not be used. The d
efendants had effected one sale to a third person at about 12 percent above the price the defendants had paid for the goods.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Lewis J. held that the proper figure for loss of profit should be 10 percent over the price agreed to the paid in each case for th
e goods by the defendants to the purchasers.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The case I have just cited fortifies my view that faced with the difficulties I have in the instant case a reasonable percentage over the prices PWE agreed to pay DWG for the equipment is a proper basis for as
certaining the probable loss of profits due to DWG's breaches.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
Exhibit 123 indicates that total purchases of equipment completed by PWE totalled $205,000. purchase price of the balance of equipment remaining when the contract was cancelled amounted to $6
70,000. It must be borne in mind that the items listed later in the schedule were reduced in prices and, all things being equal, profits on later items would be higher than on sales of items higher on the list.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri432\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin432\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I did attempt to work from one transaction 
to endeavour to determine what profit PWE would have made on a bulk sale, that is the proposed sale to Emeco (Exhibit BB) which involved the sale of 6 graders identified by number. The sale did not involve PWE in any cost of repairs, freight or other expe
nses. From exhibit A it can be ascertained that Petersen would have had to pay DWG F$112,000 for the graders. Resale to Emeco was for USD$128,000.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\sb15\sa15\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 
\ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 US exchange rate fluctuated considerably over the period but from information obtained from Exhibit 128 and 
using rate of 1.1382 as at 31 January 1978 F$112,000 would be equivalent to US$127,478.40 or a sum approximating DWG's sale price. As part of the deal, however, Petersen was purchasing from Emeco used equipment for US$160,000 on which he no doubt hoped to
 make a profit.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The Emeco transaction is of some assistance, it fortifies my view that on a sale to the profit PWE could reasonably expect would not be a large one percentage wise. Most of PWE sales were to dealers.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I consider a fair return to Petersen 
would have been a profit of about 15% nett on the balance of the equipment which he was to purchase for $670,000 assuming that he sold all the equipment in one or more lots in which case he would give a dealer a discount for bulk purchases 15% of $670,000
 is $100,500. If this were a case where the measure of damages could be ascertained by allowing the plaintiff the difference between the contract price and the market value of the equipment no difficulties would arise.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I have no acceptable evidence as to 
what the market value of the equipment would have been had it been properly maintained by DWG. The prices DWG sought as evidenced by Exhibit GGG3 are individual prices totalling $1,202,500 but excludes some other equipment DWG agreed to sell to PWE. The p
rice of $875,000 is some evidence of market value to a dealer but is a bulk sale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
In Exhibit GGG3 DWG were prepared to allow Carpenters a discount of 15% for bulk purchase of all items. Another way of looking at the problem is that the price of $875,000 f
or all items sold in bulk could be at least 15% below the market price of the equipment to end users.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 I consider that the DWG transaction was a very large transaction for Petersen to enter into and he may well have had difficulty in finding early sales f
or all the equipment. I consider also, that when Petersen was persuaded by Williams to change his offer from US$8375,000 to F$875,000, be very considerably reduced the profit he originally anticipated he could make. Adverse changes in the US Exchange rate
s also reduced the profit he anticipated. Even at the price of US$875,000 I think the price Petersen offered was a fairly high one and certainly higher than Emeco\rquote s offer at the time.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 

\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
The totality of the evidence does support my view that the profits that could be reasonably anticipated was in all the circumstances not a high percentage of the purchase price. In my view about 15% of the purchase price of the remaining items of equipmen
t would be a reasonable figure or in round figures the sum of $100,000. Overall on the purchase price of $875,000 this figure represents a nett profit of about 11%.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 The plaintiff was entitled to treat the contract as 
having been discharged by the defendant's breaches and is entitled to damages for loss of profits which I assess at the figure of $100,000. It follows from this that the defendant fails on the counter-claim.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 
\fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 As to costs, I referred at the beginning of th
is judgment to the fact that junior counsel were not always in attendance. On occasions they were present for a short while only. I would not therefore entertain any application to certify this actions as fit for two counsel even if I were persuaded if re
quired the services of Queen's Counsel. I consider the situation can be met by allowing costs to be taxed on the higher scale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 There will be judgment for the plaintiff for the sum of $100,000 with costs to be taxed oil the higher scale. The counterclaim i
s dismissed with costs also to be taxed on the higher scale.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \ai\af0 \ltrch\fcs0 \i\cf1\lang2057\langfe1033\langnp2057\insrsid11742181 Judgment for the Plaintiff. Counterclaim dismissed.}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }{\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 \~}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\qc \li0\ri0\sb100\sa100\sbauto1\saauto1\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0\pararsid11742181 \cbpat8 {\rtlch\fcs1 \af0 \ltrch\fcs0 \cf1\lang2057\langfe1033\langnp2057\insrsid11742181 
-----------------------------------------------------------}{\rtlch\fcs1 \af0\afs27 \ltrch\fcs0 \fs27\cf1\insrsid11742181 
\par }\pard \ltrpar\ql \li0\ri0\widctlpar\wrapdefault\aspalpha\aspnum\faauto\adjustright\rin0\lin0\itap0 {\rtlch\fcs1 \af0 \ltrch\fcs0 \insrsid1972231 
\par }{\*\themedata 504b030414000600080000002100828abc13fa0000001c020000130000005b436f6e74656e745f54797065735d2e786d6cac91cb6ac3301045f785fe83d0b6d8
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2a3150038327acf409935ed7d757e5ee14302999a654e99e393c18936c8f23a4dc072479697d1c81e51a3b13c07e4087e6b628ee8cf5c4489cf1c4d075f92a0b
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