BODE RHODES-VIVOUR, JSC (Delivering the Leading Judgment): The Appellant/cross respondent and the respondent/cross appellant executed a contract on the 7th day of October 1994.
In that contract it was agreed that the appellant/cross respondent would sell to the respondent/cross appellant twenty four cargoes of Vacuum Gas oil (VGO) at the rate of one cargo per month. The contract was for two years certain and it commenced on 7th of October 1994. As at 1999 the appellant/cross respondent had only made available to the respondent/cross appellant five cargoes of VGO. Rather than sue for breach of contract the respondent/cross appellant preferred Novation. The parties had a meeting on the 27th of October 1999, and at that meeting a Novation emerged. The old contract had been novated into a new contract. New terms were agreed in substitution for some of the terms of the term contract. The new terms were that in substitution for VGO, Nineteen cargoes of Low Pour Fuel Oil (LPFO) at the same …