Urquhart Lindsay and Company, Limited v. Eastern Bank, Limited
King’s Bench Division
1 KB 318 (1922)
In December 1919, Urquhart Lindsay and Company, Ltd. (Urquhart) (plaintiff) contracted to manufacture and sell machinery to Benjamin Jute Mill Co., Ltd. (Benjamin). The contract required Benjamin to establish a letter of credit in Urquhart’s favor. In February 1920, Eastern Bank, Ltd. (Eastern) (defendant) sent a letter of credit to Urquhart stating that payment would be made upon presentment of an invoice and shipping documents. Eastern subsequently made payment on two requests from Urquhart to cover two shipments of machinery. The third invoice Urquhart presented to Eastern included an extra charge to cover increased labor costs. In February 1921, Eastern sent a letter to Urquhart stating that the invoice that included extra costs would not be paid unless agreed to by Benjamin. Urquhart sued Eastern, alleging that the February 1921 refusal to make payment under the letter of credit was a breach of the February 1920 letter of credit. Eastern defended that the December 1919 sales contract did not allow Urquhart to collect under the letter of credit for increased labor costs.
Rule of Law
Holding and Reasoning (Rowlatt, J.)
What to do next…
Unlock this case brief with a free (no-commitment) trial membership of Quimbee.
You’ll be in good company: Quimbee is one of the most widely used and trusted sites for law students, serving more than 97,000 law students since 2011. Some law schools—such as Yale, Vanderbilt, Berkeley, and the University of Illinois—even subscribe directly to Quimbee for all their law students. Read our student testimonials.
Learn more about Quimbee’s unique (and proven) approach to achieving great grades at law school.
Quimbee is a company hell-bent on one thing: helping you get an “A” in every course you take in law school, so you can graduate at the top of your class and get a high-paying law job. We’re not just a study aid for law students; we’re the study aid for law students. Read more about Quimbee.
Here's why 176,000 law students have relied on our case briefs:
- Written by law professors and practitioners, not other law students. 14,000 briefs, keyed to 188 casebooks. Top-notch customer support.
- The right amount of information, includes the facts, issues, rule of law, holding and reasoning, and any concurrences and dissents.
- Access in your classes, works on your mobile and tablet. Massive library of related video lessons and high quality multiple-choice questions.
- Easy to use, uniform format for every case brief. Written in plain English, not in legalese. Our briefs summarize and simplify; they don’t just repeat the court’s language.