ABSTRACT

In this case, the South London Tramways Co had made an agreement with Messrs Green and Burleigh, who were contractors, to construct part of the tramline. The company, as is common in building and construction contracts, retained a certain percentage of the amounts for which their engineer had certifi ed completion, since Green and Burleigh were to maintain the line for a period of time. The retention money was payable to the contractors at the end of this period. The contractors had applied to the bankers, Barnett Hoares & Co, for a loan and had given them as security a letter that purported to assign to them the retention money of £2,000 under the contract.