Darley, Butler & Co. V. Saheed Et Al.,

Present: Ennis A.C.J. and Porter J. 1928.

DARLEY, BUTLER & CO. v. SAHEED et al.

173-D. C. Colombo, 4,168.

Insurance-C. i, f. and c. contract-Indent for goods from abroad-No policy of insurance tendered to indentor-ls defendant bound to accept the goods ?

The commercial traveller of a foreign firm saw the defendants and entered into a bargain with them for the purchase of certain goods at a price agreed upon. Thereafter, the defendants entered into a c. i. f. and c. contract with the plaintiff company, whereby the plaintiffs agreed to indent for these goods from the foreign firm for the defendants. The goods duly arrived in Colombo and were tendered to the defendants, but no policy of insurance was tendered.

Held, that the defendants were bound to accept the goods, even though no policy of insurance was tendered.

" There is no reason why the plaintiffs should be regarded as other than agents of the defendants for the purpose of accepting a policy of insurance, and even if they had not accepted a policy of insurance under a c. i. f. contract of sale, the defendants would have to indemnify them, if, in the exercise of th

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