Policy decisions, Classification, Contracts and Judicial Review

A.    POLICY DECISIONS:

PLD 2007 SC 642: See pages 672(N) and 674(s) for the balance between contractual rights, obligation, interests of the community at large and over-riding necessity.

1978 SCMR 327: At Page 329: “It was further held that in such cases the emphasis is on policy and any discretion vesting in the authorities is directed towards attaining the policy’s objectives.”

1986 SCMR 680: At Page 682: “Government has the right of laying down policy and if it chooses to do so and there is no law on the subject it offends, it is not the right of any Court to throw it out, other than to hold, in any genuine case, that the same is unreasonable or arbitrary.”

PLD 1973 SC 49: See generally for scope of judicial review, trichotomy of powers in our constitutional scheme.

Section 151 of the Contract Act 1872 (India and Pakistan)

Section 151 of the Contract Act 1872 says: “In all cases of bailment the bailee is bound to take as much care of the goods bailed to him as a man of ordinary prudence would, under similar circumstances, take of his own goods of the same bulk, quality and value as the goods bailed.”

1.       “Section 151 which refers to all kinds of bailment includes also pledges. Hence a pledge is also liable to the incidents of a bailment such as the duty to take requisite care” Thanwarin Noharsingh v. Darbarilal AIR 1952 Nagpur 8

2.       Bank claiming loss as pledged goods were damaged or destroyed due to natural decay while in custody of bank-…. Bank cannot disown liability 1998 …A clause in the pledge deed that the “pawnor shall be responsible for all losses, damages or deterioration of goods caused by theft, fire, rain, floods earthquake lighting, enemy action, international commotion or any other cause” does not exonerate the liability of the pawnee where goods were lost due to his negligence  because the clause provides him protection only when goods are lost due to causes beyond his control. 1998 (2) Guj LH 204

3.       Share certificates and bank transfer forms are goods.  Jamshed Naoroji Gamadia v. Maganlal Bankeylal AIR 1925 Bombay 314

Tortious Interference with Contracts

Book recommendation: The Law of Torts: Examples & Explanations, Third Edition

Research by Yasser Latif Hamdani and Zeeshan Zafar Hashmi

In order to state a claim for tortious interference with existing contractual relationships, a plaintiff must allege:

 (1) it had a contract with a third party;

(2) the defendant knowingly induced the third party to break the contract;

(3) the defendant had an improper motive or means for doing so; and

(4) it was harmed by such actions.