The Supreme Court of Canada (Canada Steamship Lines Ltd. v. The King, S.C.R. ↑ Canada Steamship Lines Limited v The King UKPC 1, AC 192 (21 January 1952) (on appeal from Canada) ↑ confirmed as being applicable in Quebec law by The Glengoil Steamship Company v Pilkington, 28 SCR 146 ↑ Alderslade v Hendon Laundry Limited, 1 KB 189 These principles are famously known as the ‘Morton principles’ named after Lord Morton … The Privy Council held in favour of the appellant. The language was not sufficiently clear. Persimmon concerned the meaning of the words “liability for any claim in relation to … It seems as if there has recently been a glut of upper court decisions on contractual interpretation.In Persimmon Homes Limited v Ove Arup & Partners Limited the principle of contra proferentem and the guidelines in Canada Steamship Lines Ltd v The King came under scrutiny.. This is a paid feature. Total revenue amounted to $13,876,651.80, a decrease of $3,785,333.48 from the previous year. Canada Steamship Lines Ltd v R  UKPC 1 is a Canadian contract law case, also relevant for English contract law, concerning the interpretation of unfair terms contra proferentem. If the clause contains language which expressly exempts the person whose favour it is made from the consequences of his negligence, effect must be given to the clause. Assesses Persimmon Homes Ltd v Ove Arup and Partners Ltd and the courts’ approach to exclusion clauses purporting to exclude liability for negligence. This caused significant damage, including $40,714 worth of damage to the Claimant. The issue in this case was whether the exclusion clause could be construed to exclude liability on the facts of the case. Please subscribe to download the judgment. RSS Feeds. When determining whether an exclusion or indemnity clause covers negligent acts, the Canada Steamship Lines Ltd. v. The King - Uniset. In summary, they are as … 1 Tercon Contractors Ltd. v. British Columbia (Transportation and Highways),  1 S.C.R. The King v. Canada SS. LOO, Wee Ling. The Claimant wished to sue the Defendant, but the Defendant asserted that no liability existed due to the exclusion clause. Reviews from Canada Steamship Lines employees about Canada Steamship Lines culture, salaries, benefits, work-life balance, management, job security, and more. Reference this  A.C. 192;  1 All E.R. Canada Steamship Lines Ltd v R  AC 192 Stage 1: if clause expressly exempts liability for negligence, liability must be excluded Stage 2: is ordinary meaning of words wide enough to cover negligence? Supreme Court of Canada The King v. Canada SS. In the present case, the exemption clauses which did not make any express reference to negligence or any synonym of negligence did not satisfy the first Morton test. It was questionable whether the phrase ‘any action taken or things done…by virtue hereof’ was wide enough to cover negligence in carrying out contractual obligations; If that phrase was wide enough, it was possible for the clause to apply in situations other than negligence. It was held that the exclusion clause, as well as a different indemnity clause, were both ambiguous. Canada Steamship Lines v The King  AC 192 Exclusion clauses, ambiguity in contractual clauses Facts Canada Steamship Lines entered into a Crown lease in 1940. Canada Steamship Lines Ltd v The King  AC 192 References ↑ 1.0 1.1 1.2 The Atlantic Erie, Atlantic Huron , and Atlantic Superior were designed for both ocean and Great Lakes service. For the interpretation of clauses that purport to allow a contracting party, the proferens, to exclude or limit, or be indemnified against, liability that arises by reason of his or his agents’ negligence, certain principles were laid down by the Privy Council in 1952 in Canada Steamship Lines Ltd v The King. Reid Lord Asquith of Bishopstone Sustained Supreme Court of Canada Canada Steamship Lines Ltd v The King  AC 192,  UKPC 1 It will be convenient List of Judicial Committee of the Privy Council cases originating in Canada, 1940–49 (199 words) [view diff] exact match in snippet view article find links to article This is a paid feature. Finally, clause 17 stated that: ‘the [appellant] shall at all times indemnify…the [government] from and against all claims…by whomsoever made…in any manner based upon, occasioned by or attributable to the execution of these presents, or any action taken or things done…by virtue hereof, or the exercise in any manner of rights arising hereunder.’. 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