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KembaraXtra- Case Law - Startup and Another v MacDonald (1843)
This case explores the concept of tender of performance in contract law, specifically regarding the delivery of goods.
Facts:
  • Contract: Plaintiffs agreed to sell 10 tons of linseed oil to the defendant, delivery "within the last 14 days of March 1838."
  • Delivery: Plaintiffs delivered the oil at 8:30 pm on March 31st (Saturday), to the defendant's business address.
  • Defendant's Action: Defendant refused delivery and payment, claiming the time was unreasonable.
  • Jury Finding: The jury found the time unreasonable but acknowledged the defendant had time to inspect before the delivery deadline (midnight).
Issue: Was the defendant justified in rejecting the oil delivered at an unreasonable hour?
Holding: The defendant was wrong to reject the oil.
Reasoning:
  • Tender vs. Performance: A mere delivery without acceptance is only a tender of performance. A tender is not a complete performance until the other party accepts.
  • Reasonable Opportunity for Inspection: The court held that substantial performance occurs when the delivering party tenders goods, provided the receiving party has a reasonable opportunity to inspect the goods to ensure they conform to the contract.
  • Unreasonable Hour: While the court acknowledged 8:30 pm was an unreasonable hour for delivery, the defendant's presence at his business allowed for inspection before the deadline. The plaintiffs' ability to find the defendant is key. Had they been unable to find him, the tender would have likely failed.
Key Principle: The crucial element is whether the receiving party had a reasonable opportunity to examine the goods before the contract's deadline, not whether the delivery time was convenient. The focus is on the opportunity for inspection, not the precise timing of the delivery itself.
Rolfe B's Judgment Summary: A party substantially performs a contract to deliver goods if they tender the goods with reasonable opportunity for inspection by the receiving party before the deadline.
Study Questions:
  1. Define "tender of performance" in the context of this case. How does it differ from full performance?
  2. What are the critical factors the court considered in determining whether the defendant had a reasonable opportunity for inspection?
  3. How would the outcome have differed if the plaintiffs had been unable to locate the defendant on March 31st?
  4. What is the significance of the jury's finding regarding the unreasonableness of the delivery time?
  5. Explain the principle of substantial performance as it relates to this case. How does this principle reconcile the late delivery with the court's finding for the plaintiff?
This study guide helps you understand the key legal principles in Startup and Another v MacDonald and provides a framework for effective learning. Remember to focus on the distinction between tender and complete performance and the critical role of reasonable opportunity for inspection in determining substantial performance.





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