Loku Yaddehige Ruwan Kulunuguna v. Scanwell Customs Brokers (Pvt) Ltd. – SC APPEAL NO.27/2014-2017

In the case between Loku Yaddehige Ruwan Kulunuguna (Plaintiff-Respondent-Appellant) and Scanwell Customs Brokers (Pvt) Ltd. (Defendant-Appellant-Respondent), the court addressed the issues of the defendant’s liability for increased container lorry hiring charges, whether the contract was frustrated, and the appropriate measure of damages, specifically whether damages should be calculated at the original agreed rate of Rs.60 per hour or an increased rate of Rs.85 per hour. The District Court initially affirmed the existence of a binding contract, but the Civil Appellate High Court found frustration and dismissed the plaintiff’s claim. On appeal, it was determined that the contract was not frustrated, with damages warranted for breach. The key legal principle reaffirmed is that contractual