ATLAS STEELS (AUSTRALIA) PROPRIETARY LIMITED V. ATLAS STEELS LIMITED

6.12980/45

HE. Dew, Gor, Prist., Aft.

IN THE HIGH COURT OF AUS3x.aLIA |

ATLAS STEELS (AUSTRALIA) PROPRIETARY

ORAL

"REASONS FOR JUDGMENT

Judgment delivered at... NEY. on_luesday, 10th August, 1948,

IN. THE HIGH COURT OF AUSTRALIA) s.' . NEW SOUTH WALES REGISTRY )

ATLAS STEELS (AUSTRALIA) PROPRIETARY LIMITED ve ATLAS STEELS LIMITED. Tuesday, 10th August 1948,

DGMENT . LATHAM C.J. The determination of this appeal depends upon first, the construction of an agreement made between the plaintiff, Atlas Steels (Australia) Pty, Ltd., an Australian Company, and the defendant Company, a Canadian Company, Atlas Steels Ltd. nd Segond tye significance of the conduct of the parties in relation to the agreement. The agreement is in writing and is dated 24th December 1940, The agreement provides that the Canadian Company (described as "the Manufacturer") appoints the Australian Company (described as "the Distributor") to be its sole / distributor for and its sole agent in the Commonwealth of Australia and neighbouring territories of the Manufacturer's complete line of steels, which are specified. That is clause l. Clause 2 provides that the Distributor shall diligently and faithfully endeavour to extend the sale of the Manufacturer's goods; clause + excludes the Distributor from dealing in similar goods made by other Manufacturers. The clause sought to be enforced in the suit is clause 6 which provides that "The Manufacturer will not, during the continuance of this agreement, sell any of the said goods to any person resident in the territory or to any person with a view to such goods being exported to the territory, but will carry om its trade with the territory through the Distributor only.....". There are other incidental provisions, and provision for commission and so: forth. Clause 18 is the clause which is particularly important. Clause 18