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Scruttons v Midland Silicones [1962]

Facts

  • Stevedores under contract with a carrier damaged the claimant’s goods in transit
  • The carrier had a limitation of liability clause in the contract with the buyer

Issue

  • Could the buyer of the goods claim damages from the stevedores, circumventing the liability clause

Decision

  • Yes, claim allowed

Reasoning

  • The stevedores were a third party to the carrier-buyer contract. As such, the limitation of liability did not apply to them
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