On 6 December 2022, the Arnhem-Leeuwarden Court of Appeal delivered a judgment in a dispute over work performed on a sailing yacht (ECLI:NL:GHARL:2022:10503).
A yacht owner had foil applied to the hull of its sailing yacht. It then instructed the marina to rework a table in the yacht. The marina also repaired damage to the foil, and then launched the yacht. The principal leaves part of the marina’s invoice unpaid. It points out to the marina the damage to the foil and the table that had not been reworked as agreed. An expert appointed by the principal believes that the damaged foil was caused by the improper fastening of (dirty) lifting straps along the hull at launch.
The principal claims payment in court of the costs of new foil and a new table top. To this end, it states to have rescinded the contract in respect of the non-compliant table top. The marina claims payment of its invoice. The court dismisses the principal’s claim and grants the marina’s claims.
The court considered that even if the marina had defaulted on the table, the damages claimed by the principal could not be awarded. After all, a rescission results in an obligation to undo services already rendered. The costs of a new table top cannot be claimed as damages resulting from the rescission. Such costs could have been eligible for compensation if the principal had sent a so-called conversion declaration, allowing it to claim substitute damages without rescinding the contract. However, it failed to do so.
The court also considered that, even if the marina had defaulted when launching the yacht and had damaged property as a result, also that principal’s claim for compensation should be dismissed because the marina never defaulted. After all, the principal never summoned the marina to still apply new foil on the hull. The court of appeal upheld the court’s judgment.
This judgment could have had a different outcome if the principal had framed its claims differently. The proper legal strategy is very important and should be chosen early on.
Do you have an (imminent) dispute with your contractor or principal? If so, do not hesitate to contact us in good time.
