INTRA DEPARTMENT MOOT COURT COMPETITION 2019

INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

TC-60

BEFORE THE HON’BLE

CIVIL COURT OF NARNIA

W.P. CIVIL NO.__________OF 2019

CASE FILED UNDER INDIAN CONTRACT ACT 1872

SANGWAN SPORTS……..…………………………………………………PETITIONER

V.

CRICKLORD ACADEMY……………………………….............................RESPONDENT

MEMORIAL SUBMITTED TO HON’BLE JUDICIAL MAGISTERATE OF FIRST

CLASS AND HIS COMPANION JUDGES IN CIVIL COURT OF NARNIA

MEMORIAL ON BEHALF OF THE RESPONDENT

 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

TABLE OF CONTENTS

 LIST OF ABBREVIATIONS…………………………………………………………..

 INDEX OF AUTHORITIES……………………………………………………………

 STATEMENT OF JURISDICTION……………………………………………………

 STATEMENT OF FACTS……………………………………………………………..

 ISSUES RAISED……….……………………………………………………………..

 SUMMARY OF ARGUMENTS………………………………………………………

 ARGUMENTS ADVANCED…………………………………………………...

ISSUE 1 WHETHER THE CRICKLORD ACADEMY IS LIABLE FOR BREACH OF

CONTRACT

ISSUE 2 WHETHER THE SANGWAN SPORTS IS LIABLE FOR DEFAMATION

 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

ISSUE 3 WHETHER SANGWAN IS ENTITLED TO THEIR CLAIM UNDER

CLAUSE (H) THE CONTRACT
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

LIST OF ABBREVATIONS

 AIR…………………………………………………………………..All India Reporter

 HC……………………………………………………………………..High Court

 HON’BLE……………………………………………………………...Honorable

 ICA……………………………………………………………….Indian Contract Act

 V.Vs.…………………………………………………………………….Versus

 Ors. ………………………………………………………………...........Others

 Anr. ……………………………………………………………………..Another
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

INDEX OF AUTHORITIES

LEGAL DATABASE:

• www.indiankanoon.org

• www.law.corell.edu

• www.indialawjournal.com

• www.legallyindia.com

• www.indianlaw.org

• www.indianlawcases.com

• www.supremecourtofindia.nic.in

• www.advocatekhoj.com

• www.legalcrystal.com

• www.lawyershub.com

• www.thewire.com

BOOKS:

 Avtar singh “Contract and Specific Relief ” 11th edition

 Dr. R.K. Bangia “India Contract Act”
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

STATUTES REFFERED:

 Indaian Contract Act, 1872

 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

STATEMENT OF JURISDICTION

It is humbly submitted that the Petitioners have approached the CIVIL Court of Narnia
invoking its jurisdiction under section 9,15 and 16 of the Code of civil procedure.
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

STATEMENT OF FACTS

1. Sangwan Sports™ is a private company which is a leading name in production of various

cricket equipment in Hogwarts Republic.The head office being located in the city of Narnia,
the company holds various units & branches established all over the country. The company
uses Dumbledore wood (a special quality wood) for making bats & wickets with a special
technique which makes the company stand apart in this field.

2. Cricklord Academy trains cricket players, organizes matches and is a well-known

academy in northern region of Hogwarts. The academy organizes an annual national cricket
tournament for U-21 and U-19 category where teams from all over Hogwarts participate. This
year the tournament was from 5th to 9th November, 2019 for which the academy desired to
place an order of cricket kits to Sangwan Sports™. The kits were to be delivered to the
participating teams by the Cricklord Academy a week prior to the tournament as per the
general established practice.

3. On 20th September, 2019 Sangwan Sports™ entered into a contract with Cricklord
Academy for supplying 200 kits at the price of Rs. 6,00,000/- to the academy by 25th
October, 2019. Cricklord Academy paid an earnest amount of Rs. 1,00,000/- in furtherance of
the contract that was prepared by the representatives of both the parties and duly signed by
both the parties.

4. Clause (g) of the contract mentioned that in case of non-delivery of kits by the company,
on the above mentioned date of the contract, Cricklord Academy will be entitled to get
double the earnest amount paid by them.

5. Clause (h) stated that if the academy did not pay the full sum on the delivery date i.e. 25th
October, 2019 then Sangwan Sports™ will be entitled to the double of sum decided for the
payment of 200 kits.

6. Clause (i) mentioned that 1/4th of the kits must be delivered within the initial 15 days of
the contract wherein the quality of the kits shall be checked & the remaining kits shall be
delivered altogether on 25th October, 2019.

7. On 5th October, 2019 Sangwan Sports™ delivered 50 kits to the academy. After which on
7th October, the company got a notice from the academy stating that the material used in
manufacturing of the bats & wickets was not upto the mark and quality standards that were
decided. In reply to the notice, Sangwan Sports™ stated that they will look into the matter
and manufacture the 50 bats & wickets once again ensuring that the quality is up to the mark.

8. In furtherance of the same, quality check inspector was sent by the academy to the
company and manufacturing resumed on 10th October in his presence. The said 50 bats and
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

wickets which were found to be of poor quality by the academy were manufactured again and
delivered to the academy on 13th October 2019.

9. On the fateful day of 21st October, 2019 a fire broke out in the Head Office and
manufacturing unit of Sangwan Sports™ at around 7:00 pm, burning everything to ashes. The
fire also resulted in the death of 10 employees and 30 others were injured. The matter became
a national headline and was covered by all the leading newspapers for the next 2-3 days.

10. Later, a company led internal investigation revealed the cause of the fire to be, poor
quality wiring done by Dhawan Electronics, the company which performed all the wirings
and fittings of Sangwan Sports™, resulting in a short circuit at the premises.

11. On 23rd October, 2019 Cricklord Academy got to know about the incident from
newspapers and with the matches scheduled in coming days, assumed that the contract
between them and Sangwan Sports™ had become impossible to perform on the part of the
company and thus gave the contract of the remaining kits to Ardhaan Sports Goods
Corporation.

12. Immediately after which, Sangwan Sports™ upon information from its agents in the
business circle, about the academy’s deal with Ardhaan Sports tried to contact Cricklord
Academy but all the attempts to establish a communication with them went in vain. On 27 th
October 2019 a press conference was organized by the CEO & Board of Directors of
Sangwan Sports™ after they realized that the Academy had turned hostile towards them. In
the press conference which was attended by leading media houses, wherein the CEO
maintained that, “It is very saddening how some associations instead of standing with us in
our hard times betrayed us & backed out from the very contract that bound us. We, from now
onwards shall be more vigilant, keeping in mind the associations, we shall never cater to in
future, considering their track record in 2019 3 failure to perform their contracts. It is notified
upon our partners that associations like these are based on tenets of betrayal and opportunism.
We will be filing a law suit against one of such associations very soon.”

13. The very next day Sangwan Sports™ filed a law suit against Cricklord academy for
breach of contract contending that only their manufacturing unit had caught fire and they
being thorough professionals had already manufactured and stored 130 kits in their go down
in Zirakpur and wanted to deliver the same to the academy. The company sought payment of
compensation as per clause (h) of the contract.

14. On 30th October, 2019 a cross suit for defamation against Sangwan Sports™ was filed by
the Academy contending that the statement given by the CEO in the press conference
damaged their reputation & due to the influence of their CEO’s market presence, other
production companies are hesitant to do business with them, further affecting the
tournament’s public image
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

15. Both the cases are heard by the civil court collectively and simultaneously. The court
shall conduct a final hearing on 2nd November, 2019 in which the following issues have been
raised.

ISSUES RAISED

 ISSUE 1

Whether the Cricklord academy is liable for breach of contract?

 ISSUE 2

Whether Sangwan Sports can be made liable for defamation?

 ISSUE 3

Whether Sangwan Sports is entitled to their claim under clause (H) of the contract?
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

SUMMARY OF ARGUMENTS

 ISSUE 1

Whether Cricklord academy is liable for breach of contract?

The counsel on the behalf of the respondent in the case of Sangwan Sports v. Cricklord
Academy most humbly submits before this Hon’ble CIVIL COURT OF NARNIA that
Cricklord Academy should not be held liable for the Breach of Contract

 ISSUE 2

Whether Sangwan Sports is liable for Defamation?

Sangwan sports should be held liable fo the defamation as the statement they gave in the
press conference about the Cricklord Academy was totally defamatory and it was published
in the front of the world which lead to defame their reputation.

 ISSUE 3

Whether sangwan sports is entitled to claim under clause (H) of the contract
INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

ARGUMENTS ADVANCED

ISSUE 1

Whether the cricklord academy is liable for breach of contract?

It is humbly submitted before this hon’ble bench that cricklord academy can not be at all held
liable for the breach of contract as after the incident of 21 st October 2019 wherein “the fire
broke out in the head office and manufacturing unit of sangwan sports which burned
everything and resulted in death of 10 employees and injury to about 30” the news further
became the national headline and was covered by all the leading newspapers and this major
incident led to the assumption that contract with sangwan sports had become impossible to
perform and

Furthermore the lack of intimation by the sangwan sports to the academy made the belief
firm that the performance of contract under those harsh circumstances are equivalent to
impossible.

1.1 Doctrine of frustration: Further it is contended that the instant case also attracts the
doctrine of frustration – So, frustration is an act outside the contract due to which the
completion of a contract becomes impossible. After the parties have concluded a
contract, events beyond their control may occur which frustrate the purpose of their
agreement, or render it very difficult or impossible, or as even illegal, to perform. An
example of this is where a hall, which has been booked for the performance of a play, is
destroyed by fire, after the contract has been concluded, but before the date of
performance of the play. Basically when the performance of the contract becomes
impossible the purpose which the parties has in mind becomes frustrated and the
promisor is excused from the performance of the contract and in the instant case as well
the Cricklord academy had the very firm reason to not comply with the performance of
the contract and thereby in no circumstances it can be held liable for the breach of
contract

Moreover in the identical casse of Taylor vs Cardwell1 it was held that when an opera
house, which was rented for holding concerts, was destroyed by fire, the contract was
frustrated. This was because the very thing on which the contract depended on ceased to
exist. Thus it was held that for the doctrine of frustration it must be so that the nature of
contract is such that it would not operate if a thing ceased to exist.

1
(1863) 3 B.& S. 826
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

Further in the case of Paradine vs Jane 2 it was held that, 'In common rule of contract a
man was bound to perform the obligation, which he had undertaken, and could not claim
to be excused by the mere fact that performance had subsequently become impossible;
because the party could expressly provide in their agreement, the upon fulfillment of a
condition or occurrence of an event, either or both of them would be discharged of some
or all of their obligations under the Contract

Also in the case of Sushila devi vs hari singh3 it was observed that the impossibility
contemplated by section 56 of the Contract Act is not confined to something which is not
humanely possible. As it was a case of lease of property, which after the unfortunate
partition, the property in dispute which was situated in Gujranwala, went onto the side of
Pakistan, hence making the terms of the agreement impossible.

So, it is therefore contended before this hon’ble bench that the instant case is a clear
example of doctrine of frustration which thereby makes cricklord academy not liable for
the breach of contract.

ISSUE 2
Whether Sangwan sports is liable for defamation?

It is humbly submitted before this hon’ble bench that sangwan sports in the instant case
is directly liable for the defamation as is injury to the reputation of a person. If a person
injures reputation of another ,he do this at his own risk, as in the case of the interference with
the property. A man’s reputation is his property and if possible more valuable than property.

English law has made distinction between libel and slender while Indian Law has no such
distinction .Both slender and libel are punishable under Sec 499 of IPC
Essentials of Defamation
1. Statement must be defamatory
2. Statement must refer to the plaintiff
3. Statement must be published

Statement must be defamatory

Defamatory statement is the one which tends to injure the reputation of the plaintiff. It is the
statement’s publication which tends to lower a person in estimation of right thinking
members of society 4, or which tends them to make them shun or avoid that person.
Whether a statement is defamatory or niot depends upon how right thinking person of society takes
it. The standard is that of right minded person, a man of fair average intelligence and not that
of special class of persons whose values are not shared or approved by the fair minded
members of society generally. 5

2
91 LQR 247
3
AIR 1971 SC 1756: (1971) 2 SCC 288
4
ILR (1885) 8 Mad. 175
5
Sim v Stretch, (1936) 52 T.L.R. 669,671.
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

Innuendo
A statement is sometimes prima facie innocent but the lateral meaning is considered to be
defamatory. When natural meaning is innocent but lateral meaning is defamatory and
plaintiff wants to bring the action against the defendant he has to prove that the statement is
defamatory. When innuendo is proved the woirds which are not defamatory in ordinary sense
must become defamatory. 6Intention to defame is not necessary when words are considered
defamatory even though they are spoken with innocent mind 7.

Statement must be defamatory

In an action for defamation, the plaintiff has to prove that the statement of which he complains
referred to him. It is immaterial that the defendant did not intend to defame the plaintiff. If
the person to whom the statement was published could reasonably infer that the statement
referred to the plaintiff, then defamation would be there.

Statement must be defamatory

Publication means making the defamatory matter known to some person other than the person
defamed, and unless that is done, no civil action for defamation lies.
Communication to plaintiff himself is not enough because defamation is injury to the reputation and
reputation is hold by others not the person himself.

If a defamatory letter sent to plaintiff is likely to be read by somebody else, there is a

publication. 8 When the defamatory matter is contained in postcard or telegram, defendant is
liable even without a proof that somebody else read it, because telegram read by post officials
who transmit and receive it because there are chances of being read by someone else.
And in the instant case the act of organizing a press conference for purposely insulting the
crick lord academy publically clearly amounts to defamation and thereby making sangwan
sports directly liable for the offence of defamation.
Moreover in the case of Ram Jethmalani vs Subramaniam Swamy 9 , wherein the statement
made by subramaniam swamy accusing ram jeth malani playing in the hands of chief minister
of Tamil nadu was held to be the case of defamation and further in the case T.V Ramasubha
Iyer vs A.M.A Mohindeen it was held the statement of accusing the fellow business of
smuggling was held to be the case of defamation10.
So thereby it can be concluded that the act of sangwan sports is clearly the case of
defamation.

6
(1931) A.C. 333
7
(1929) 2 K.B. 331
8
AIR 1958 Pat. 445
9
AIR 2006 Delhi 300, 126 (2006) DLT 335
10
AIR 1972 Mad 398
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

 ISSUE 3
Whether Sangwan Sports is entitled to their claim under clause(H) of the Contract?
It is humbly submitted before this hon’ble court that the sangwan sports is not at all entitled
to theit claim under clause (H) OF the contract , Clause (h) stated that if the academy did not
pay the full sum on the delivery date i.e.25th October, 2019 then Sangwan SportsTM will be
entitled to the double of sum decidedfor the payment of 200 kits.

But, in the instant case sangwan sports in actual delivered only 50 kits before the due date
and even on the 27 th October in press conference claimed that it was ready for the delivery
of 130 more kits, even if the contention of sangwan sports is taken into consideration then
also the order was of 200 kits and the current status of the transaction clearly shows the
availability of maximum 180 kits which clearly isn’t in the consonance of clause (h) of the
contract and thereby makes sangwan sports not entitled to their claim.
 INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019

PRAYER

In the light of the issues raised, arguments advanced and authorities cited, may this Hon’ble
Court be pleased to:

• Hold that :

1) Cricklord academy is liable for the breach of contract

2) Sangwan sports is not liable for defamation

3) Sangwan sports is entitled to their claim under clause (H) of the contract

AND/OR

Pass any other order that it deems fit in the interest of Justice, Equity and Good Conscience.
And for this, the Petitioner as in duty bound, shall humbly pray

COUNSELS FOR THE PETITIONER

INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019
INTRA DEPARTMENT MOOT COURT COURT COMPETITION 2019