Mcdonald v Dabriel
| Jurisdiction | St Vincent and the Grenadines |
| Judge | Thom, J. |
| Judgment Date | 17 December 2007 |
| Neutral Citation | VC 2007 HC 54 |
| Docket Number | 490 of 2004 |
| Court | High Court (Saint Vincent) |
| Date | 17 December 2007 |
High Court
Thom, J.
490 of 2004
Mr. Joseph Delves for the claimant.
Mr. Jaundy Martin for the defendant.
Contract - Oral — Terms — Whether ownership of truck bought by claimant passed to defendant under the agreement — Finding that claimant was the rightful owner of the truck.
The claimant and the defendant were business partners in the cultivation and sale of bananas.
The claimant is the owner of 11 1/2 acres of land at Grand Sable in the State of Saint Vincent and the Grenadines.
In 2001 the claimant and the defendant verbally agreed that the defendant would cultivate bananas on the said land. They agreed that the bananas would be sold to the Banana Growers Association and the money paid into an account in the name of the claimant at the National Commercial Bank. The claimant and the defendant agreed to share the profits fifty percent (50%) each.
In 2002 the claimant bought a truck in the United States using his own funds and shipped it to Saint Vincent and the Grenadines. The truck was registered in the name of the defendant. This truck was used in the cultivation of the bananas.
In 2003 the defendant ceased to cultivate the claimant's land.
In 2004 the claimant sought to collect the said truck from the defendant. The defendant refused to hand over the truck and the claimant instituted these proceedings in which he sought inter alia a declaration that he is the sole owner of the Ford 150 vehicle.
The defendant in his counterclaim sought inter alia a declaration that he is the lawful owner of the vehicle and an order that the claimant account for all monies paid into his bank account by the Banana Growers Association from the sale of the bananas.
The claimant gave evidence on his own behalf and called three (3) witnesses being Randy Lawrence, Gemma Crichton and Godfrey Burke.
The evidence on behalf of the claimant is that in 2001 the claimant who resided in the USA entered into a verbal agreement with the defendant for the defendant to cultivate the claimant's land. They agreed that the defendant would plant, reap and sell the bananas to the Banana Growers Association. The proceeds were to be deposited into an account in the name of the claimant at the National Commercial Bank. The profits would be shared 50% each. During the period 2001 – April 2003 the claimant provided the defendant with the money required for the cultivation of the bananas. The sum was in excess of nine thousand dollars East Caribbean currency (E.C. $9,000). The claimant also provided the defendant with parts for the defendant's jeep which was being used for the cultivation of bananas on the claimant's land and the defendant's private lands which amounted to about three (3) acres. Some time between the months of February and March 2002, the defendant's jeep broke down and the defendant requested the claimant to provide parts for the jeep. The claimant decided to purchase a vehicle and ship it to Saint Vincent. They agreed it was an urgent matter. The defendant had a farmer's concession for Customs duties and they agreed that the vehicle would be registered in the name of the defendant. The claimant purchased the vehicle for US$4,200, repairs to the vehicle amounted to US$3,700 and shipping US$2,800. The claimant also paid for the insurance; the inspection and valuation fees. He also contributed $5,700 towards the Customs duties. In June 2003 in response to enquiries from the claimant, the defendant informed the claimant that bananas were not doing well and he did not wish to continue cultivating the claimant's land. The claimant returned to Saint Vincent and the Grenadines in June 2004 and his found his land covered with bushes. The claimant took his vehicle from the defendant. The defendant subsequently laid claim to the vehicle. The claimant then instituted these proceedings to recover the vehicle and also sought other reliefs.
The evidence led on behalf of the defendant is that between September and October 2001 the defendant commenced clearing the claimant's land at Grand Sable pursuant to an oral agreement between the claimant and the defendant. The defendant does not dispute the terms of the agreement as outlined by the claimant. After the defendant had worked the claimant's land for more than one year using his (the defendant's) jeep, the jeep broke down. At that time the defendant was paying the workers and buying inputs for the banana cultivation from his own funds. He notified the claimant that it would cost $4,000 to repair the jeep and suggested to the claimant that the sum be paid from the defendant's share of the profits. At that time the defendant had not received any part of the profit from the sale of the bananas which was in excess of fifty thousand dollars East Caribbean Currency (EC$50,000). The claimant then suggested that he would purchase a vehicle for the defendant in the United States and that would be the compensation for the defendant's share of the profits. The claimant purchased and shipped the vehicle to Saint Vincent and contributed to the payment of the Customs duties and registration. There was no arrangement for the vehicle to be returned to the claimant if the defendant stopped working the claimant's land. It was specifically agreed that the vehicle would belong to the defendant. The claimant continued to make no contribution towards the expenses related to cultivation of the bananas and did not give the defendant his share of the profits. As a result he stopped cultivating the claimant's lands. During the period 2001 – 2003 the bananas sold from the claimant's land amounted to $61,369.49. In 2004 the claimant returned to Saint Vincent and the Grenadines and borrowed the jeep. When the defendant sought to recover the jeep the claimant refused to hand it over. The jeep was subsequently seized from the claimant.
The issues to be determined are:
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(a) Who is the owner of the Ford truck?
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(b) Should the claimant account to the defendant or the defendant account to the claimant?
Learned counsel for the claimant submitted that the issues to be determined by the Court are entirely matters of fact. Learned counsel submitted that the defendant was not a credible witness. There were several inconsistencies in his evidence.
Learned counsel for the defendant submitted that:
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(a) The agreement was void for illegality since it was a deception upon the revenue of the State being a misrepresentation that the vehicle was for the defendant; when in fact it was for the claimant. The agreement is therefore not enforceable.
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(b) The truck represented the defendant's share of the profits pursuant to the agreement between the claimant and the defendant.
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(c) The defendant was a credible witness. The claimant had sole control of the account into which proceeds from the sale of bananas were deposited. The defendant had no direct access to this account. The defendant should therefore be made to account to the claimant for the proceeds from the sale of the bananas.
It is not disputed that the truck was purchased, repaired and shipped to Saint Vincent and the Grenadines by the claimant using the claimant's funds. It is also not disputed that the claimant also paid for the registration, insurance and a part of the Customs duties. The defendant had a farmers' concession and as a consequence the Customs duty payable was reduced. The truck was registered in the defendant's name.
On the issue of illegality learned counsel for the defendant referred the Court to several legal authorities including Universal Caribbean Establishment v. Egg-Hill Holding Co Ltd (1992) 41 W.I.R. p.125; and Azucena v. de Molina (1991) 50 W.I.R. p.85. I agree with the submission of learned counsel for the Defence that where a contract is illegal the Court will not enforce it. However, where the party seeking to enforce the contract does not have to rely on the illegality in establishing his claim the contract is...
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