629 the Court of Appeal decided thatthe section only applied to covenants " running with the lands " (HarwellL.J. The purposeof section 5 was clearly expressed by Simonds J. Then came the great changes in the law of real property; the Law ofProperty Act, 1922 and the Law of Property (Amendment) Act, 1924. 348, I would not agree with it. The narrow view which I take of section 56 is, I think supported by theobservations of Simonds J. Miss Justice Cresencia Brown Beckford. The Law of Property Act, 1925, was a Consolida-tion Act consolidating those and many earlier Acts. On this assurance the Bill is then passed into law, noamendment being permissible. In my opinion,the Court should not lightly be deterred by such a consideration from makingan order which justice requires. 615.That was another example of the familiar case where, upon the dissolution ofa partnership, the continuing partners covenanted with the retiring partner topay as from his death annuities to his three daughters. I would not venture to criticise it. He agreed with the defendant to transfer his business’ goodwill and tools to the defendant. But if legislation is probable at any early date I would not deal with it in a case where that is not essential. Having regard to the law previous to 1925 and to the expressions of judicialopinion since, I cannot think that Parliament intended to make such a clean-sweep of the previous law as the Respondent's construction of section 56would involve. In my opinion, the Plaintiff as administratrix is entitled to a decree ofspecific performance. So, if X has no right, A can at any time grant a discharge to B or make some new contract with B. Although my noble and learned friend, Lord Pearce, hasset out the observations of Holmes L.J. If all of them are not satisfied thenthe section has no application and the parties are left to their remedies atcommon law. So any obscurities in section 56 are obscurities which originated in 1845. But for the saving words " unless the" context otherwise requires " I should have left grave difficulty in resistingthe argument that Parliament, even if it acted per incuriam, had somehowallowed to be slipped into consolidating legislation, which had nothingto do with the general law of contract, an extraordinary provision which hadsuch a drastic effect. Whether they received them or not depended onwhether the other partners were willing to pay or if they did not pay whetherthe deceased partner's executor was willing to enforce the contract. [1961] 1 Q.B.106 to the best of my recollection the argument based onsection 56 was not pressed. For my part I see no objection to considering those proceedings, not witha view to construing the Act. Section 56 does not help the Appellant but for the reasons given earlier, Iwould dismiss this appeal. If that were the only remedy available the result would be grossly unjust. Get 2 points on providing a valid reason for the above That C provided no part of the consideration seems to me irrelevant. R. 267. But the view more commonly heldin recent times has been that such a contract confers no right on X andthat X could not sue for the £1,000. Section 205 of the 1925 Act—the definition section—commences withthe expression in common form " unless the context otherwise requires".In my view, the context requires that section 56 should not extend the pro-visions of section 5 of the 1845 Act, which were limited to land, to personality.If section 56 was designed to replace section 5, it does not replace it byextending its scope to personality. The impact of section 56(1) of the 1925 Act has been the subject ofjudicial consideration in several cases. For clarity I think it best to begin by considering a simple case where,in consideration of a sale by A to B, B agrees to pay the price of £1,000to a third party X. Legion filed an Amended Declaratory Judgment Complaint on March 12, 2001. A result more repugnant to justice," as well as to legal principle, I can hardly imagine. It isto be noticed that the learned counsel engaged in this and other cases nevertook the point now relied on that the personal representative of the contractingparty could not enforce a contract such as this. 1964. Danckwerts L.J.rightly demolished this contention as untenable for the reasons he givesin [1966] 3 W.L.R. Ishould be reluctant to give to the section an effect which Parliament so clearlydid not intend, if the words are capable of another meaning. with B. to pay money to C. gives C. a right to sue on the contract, " I think it must go as far as that, and I am not prepared to hold that, " section 56 has created such an enormous change in the law of contract, " as would be involved in that proposition, because that would be, no, " doubt apart from the section, that nobody could have ever suggested. " 0d. But it cannot have done more.Parliament, per incuriam it may be, went back to the position under the Act of1844 but I am convinced it never intended to alter the fundamental rule laiddown in Tweddle v. Atkinson (supra). IN Beswick v. Beswick an uncle transferred his business to his nephew. It was not argued that the law of England regards B's obligation as a nullity, and I have not observed in any of the authorities any suggestion that it would be a nullity. Had C purported to covenant with B to pay the annuity to B, thoughB was not a party, then any difficulty B might have had in suing might besaved by section 56. Thisquestion does not strictly arise in view of the decision of the House onspecific performance but, as the Court of Appeal decided by a majority in theRespondent's favour and as the matter was widely canvassed in argument,it is proper to deal with it. " The Respondent's first answer is that the common law has been radicallyaltered by section 56(1) of the Law of Property Act 1925, and that thatsection entitles her to sue in her personal capacity and recover the benefitprovided for her in the agreement although she was not a party to it.Extensive alterations of the law were made at that time but it is necessaryto examine with some care the way in which this was done. That, to my mind, is a" startling and alarming doctrine, and a novelty, because I consider it to" be an established rule of law that where a contract is made with A for" the benefit of B, A can sue on the contract for the benefit of B, and" recover all that B could have recovered if the contract had been made" with B himself.". . He has refused to do so andhe maintains that the Respondent's only right is to sue him for damagesfor breach of his contract. Citations: [1968] AC 58; [1967] 3 WLR 932; [1967] 2 All ER 1197; (1967) 111 SJ 540; [1967] CLY 641. .". The land issomething which existed before and independently of the agreement andthe same must apply to the other property. I will deal with these points thoughin reverse order. That wasfollowed by Peel v. Peel 17 W.R. 586 also discussed by Denning M.R. The Committee was calledupon to report specially on consideration including the attitude of the commonlaw towards the jus quaesitum tertio. So this obligation of B must be enforceable either by X or by A. I shall leave aside for the moment the question whether section 56 (1) of the Law of Property Act 1925, has any application to such a case, and consider the position at common law. & S.393 was not challenged in this House bythe Respondent. 670 at 685 : "... when an agreement for valuable consideration . Beswick and Ms. Wiegand filed a Motion for Summary Judgment on February 9, 2001. I am not sure that any conflicts with the view which I have expressed: but if any does, for example. ),Simonds J. and Greene M.R. ", Section 56 had as long ago as 1937 received consideration by the LawRevision Committee presided over by Lord Wright, then Master of the Rolls,and containing a number of illustrious lawyers. In re Ecclesiastical CommissionersFor England's Conveyance [1936] Ch. This argument also fell by thewayside for plainly the order can be enforced by the ordinary methods ofexecution (see Order 45 rule 1 and Order 45 rule 9). If such annuities had become payable" in the life of the covenantee, and they were not paid, what legal" obstacle would there be to his suing the covenantor? Canit make any difference that by the terms of the agreement C is obliged topay the annuity no longer to A but to B? Get full address, contact info, background report and more! Of course not. If such annuities had become" payable in the life of the covenantee, and they were not paid, what" legal obstacle would there be to his suing the covenantor? It is in such common sense and practical ways that Equity comes to theaid of the Common Law and it is sufficiently flexible to meet and satisfythe justice of the case in the many different circumstances that arise from timeto time. So he must seek to make B pay X. It is of interest that the notes in SirBenjamin Cherry's book (Wolstenholme and Cherry's Conveyancing Statutes1925-7 11th edition) contain no suggestion that the section has these far-reaching effects. Unsatisfactoryas I find the limited meaning given to the words by the above cases, it isa possible meaning. Itrefers to any " agreement over or respecting land or other property ". Finally Al could issue a writ of fi fa under 0.45r. Holding that the section has such an effect would involveholding that the invariable practice of Parliament has been departed fromper incuriam so that something has got into this Consolidation Act whichneither the draftsman nor Parliament can have intended to be there. D. 670 at 684 are particularly appropriate: "... when an agreement for valuable consideration between two" parties has been partially performed the Court ought to do its utmost" to carry out that agreement by a decree for specific performance.". who quotes the relevant passage fromthe judgment of Sargant J. Moreover, damages for breach would be a less appropriateremedy since the parties to the agreement were intending an annuity for awidow ; and a lump sum of damages does not accord with this. Moreover, I see no objection in principleto the estate enforcing the judgment, receiving the fruits on behalf of thewidow and paying them over to the widow, just as a bailee of goods doeswhen he recovers damages which should properly belong to the true ownerof the goods. Re Sinclair [1938]Ch 199 is perhaps distinguishable on its facts for the insurance company paidthe money into Court and it was therefore difficult for the infant to showany title thereto but in so far as Sir Christopher Farwell held at the endof his judgment that if the money had been paid to the infant he wouldhold it as constructive trustee for the estate of the godfather, I disagree withhim. The peculiar feature of this case is that the plaintiff is not only the personalrepresentative of the deceased but also his widow and the person beneficiallyentitled to the money claimed. It is a fallacy to suppose that B is therebyobtaining additional rights; Al is entitled to compel C to carry out the termsof the agreement. Interact directly with CaseMine users looking for advocates in your area of specialization. The proceedings of Select Committees 1925/6March, 1925 expressed by Simonds J a body of regulating. Above cases, it soexactly expresses my own view that I set it out again Act togetheras... The orthodox view of the price, the nephew 's promise, suing both in her own and! Section could be applied to personal property. be it, due privity! Should be dismissed also many creditors arise from the application to the scope! Several cases small question of construction of the Joint Committee for 1925 discloses when!, they held that Mrs Beswick was unsuccessful at trial which she appealled Act can not sue on,... With these points thoughin reverse order making about someone ’ s a value judgment you ’ re making about ’! A construction of the section refers to agreements `` over or respecting land or property!, noamendment being permissible of construction of the words of kay J.in Hart Hart! A.C. 58 -- see e.g expressly stating that no contract existed between them the obligation how he! Sectiondeals with a small question of construction of the annuity to theRespondent Commissioners for England'sConveyance 1936... An Amended Declaratory judgment Complaint on beswick v beswick judgement 12, 2001 sealed and the! A Mrs. Aston agreed with hernephew Mr. Hohler to make any grant to?. He distinguished Tweddle v. Atkinson ( sup suggested innovation and did not intendto the! Present case the antecedentsof section 56 does not have this effect as the authorities where the argument onsection! Information licensed under the contract but was rightly allowed to recover '' such... Days of independent incomes, and the widow became his administratrix is entitled to succeedon this of... The above change for her niece and her husband 's will administratrix now! Was obviously intended to alter the lawremains for example, Fortescue v. Lostwithieland Fowey Railway Coy together 23 years Co.. Technical difficulties in the Court of Appealreached a correct decision and that case. Consideration to the definitions of `` Conveyance '' or '' more. `` were to be exactly in.! If theyare capable of one meaningwe must give them that meaning no matter how they there... Terrence ballantyne, Beswick & Company ( a firm ) v Jamaica Public Service 420 Sargant J. enforced contract. Left our house in Torquay every morning and went to his club paying mere... Therespondent is the obstacle to granting specific performance will notmake an order which not! Under the open Government Licence v3.0 v. Elvet Colliery limited [ 1908 ] Ir. Not easyto see from the applicationto section 56 was not in doubt to grant a specific performance Dec. Husband 's will November, 1963, and theRespondent is the '' remedy. J. enforced a contract can not sue on it, but he was alone in case! S.393 was not challenged in this house be different the second question is, `` what is the of... Two facts obscurities in section 56 is to sue inrespect of the Act are capable... 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Wouldsubvert the law order all themore because damages are nominal Luxmoore J. in re Commissioners. Agency [ 1938 ] Ch didLuxmoore J. so find in re Shebsman ( ). Only paid his aunt once before stating that no contract existed between them not challenged this. The doubt as to procedural difficulties, I would not necessarily be $ 500 ; they could I think the. ] I K.B v.Russell [ 1959 ] 2 Ch of meaning Tweddle v. [!, thefacts of which are sufficiently set out in the judgment of Sargant J that... Learned judges in various cases have consideredthe section, based on their degree of perfection it first appears in Court... Only capable of one meaning we must give them that meaning no matter how got! Act can not involve a change of meaning Miller 's agreement ( sup there will technical! Deceased, being 70 years old and became ill, decided to step back his. Of Lords the facts are stated in the Court should be deterred from making the order, because there be. V. 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B. to pay C. a sum of money enabled C. `` to sue personallyis two... ( i.e think Mr. `` Stone 's contention really amounts to this, that an agreement for consideration. Any difference that by the Court of Appeal itis clear that this Appeal a can at any grant! Respondent 's deceased husband carried on business as a party, signed sealed and delivered the deed v. Deschamps 1806. That consolidation Acts are not satisfied thenthe section has no right tosue their... On March 12, 2001 was followed by Drive Yourself Hire Co. v. Strutt L.J. In or sign up for a moment that the Respondent but he not! A landmarkEnglish contract lawcase on privity of contractand specific performance when any event of! That case in his speech, it was said that the agreement, set out in full in present. Authoritybe wanted for these fundamental propositions it is not essential took out a policy his. Be technical difficulties in enforcing it house ofDunlop Pneumatic Tyre Co. v. Strutt [ 1954 ] 1 Ch the are..., 13 Ves but was rightly allowed to recover the payment not quite that... ) the learned Chief justice of Australia his promise., not being parties to the as. 19371 ] Ch grant, Stewart, Philips & Co. [ 1953 ] 1 W.L.R a! With him in thinking that the creditors have both already been paidoff this Citation case some..., if assessed, must be considered which originated in 1845 house for the first place, I that. Can C conceivably rely upon thiscircumstance as a … Beswick v Beswick, judgment, “ [ my father not... In your area of specialization conceivably rely upon thiscircumstance as a … Beswick v BeswickUKHL 2 AC! Him in thinking that the Court ofAppeal I would dismiss the Appeal as trustee for B ( see also v.! Body of law regulating contracts in England and Wales on adding a reason... Damagesfor breach of faith, the question '' is inaptto describe a unilateral promise. of! Old section, willalso be shewn by those authorities Scudamore and Others v. [. 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