Raffles v. Wichelhaus (The Peerless Case)
Court of Exchequer
159 Eng. Rep. 375 (1864)
Relevant factsFree
Wichelhaus (defendant) agreed to buy 125 bales of cotton from Raffles (plaintiff), to arrive from Bombay via the ship Peerless, but there were actually two different ships named Peerless departing Bombay months apart; Raffles delivered cotton on the December Peerless while Wichelhaus believed he was contracting for cotton on the earlier October Peerless, and Wichelhaus refused to pay, prompting Raffles's breach-of-contract suit.
IssueFree
Whether a mutual misunderstanding between the parties as to the meaning of a contractual term invalidates the contract.