A company Z Ltd was operating a factory to manufacture explosives on land owned by X & Y. Z Ltd was doing so as a licensee to fulfill a contract X & Y entered into with another party. A big explosion occurred at the factory, damaging neighbouring property and killing many people. The court held both Z Ltd and X & Y liable. Z Ltd was liable as the licensee that had accumulated the dangerous explosives. X & Y were also liable as the occupiers and landowners, as the accumulation of the explosives by Z Ltd was in discharge of X and Y's contractual duty to another party.