Riche (1875) LR 7 HL 653. In this case, the object clause allowed the company to "make and sell, or lend on hire, railway-carriages and wagons, and all kinds of railway plant, fittings, machinery and rolling stock..." However, the company's directors contracted with Riche for construction of a railway line in Belgium. The company then repudiated the contract as ultra vires. Riche sued the company for breach of contract but failed. The company was held that the contract was ultra vires and, thus was void, even though it was previously approved by the general
Riche (1875) LR 7 HL 653. In this case, the object clause allowed the company to "make and sell, or lend on hire, railway-carriages and wagons, and all kinds of railway plant, fittings, machinery and rolling stock..." However, the company's directors contracted with Riche for construction of a railway line in Belgium. The company then repudiated the contract as ultra vires. Riche sued the company for breach of contract but failed. The company was held that the contract was ultra vires and, thus was void, even though it was previously approved by the general