American Hide & Leather Co. v. Southern Railway Co.

228 Ill. App. 305, 1923 Ill. App. LEXIS 224
CourtAppellate Court of Illinois
DecidedMarch 13, 1923
DocketGen. No. 28,029
StatusPublished

This text of 228 Ill. App. 305 (American Hide & Leather Co. v. Southern Railway Co.) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Hide & Leather Co. v. Southern Railway Co., 228 Ill. App. 305, 1923 Ill. App. LEXIS 224 (Ill. Ct. App. 1923).

Opinion

Me. Justice Morrill

delivered the opinion of the court.

The American Hide and Leather Company brought its action of assumpsit against the Southern Eailway Company in the superior court of Cook county to recover the value of two carloads of green hides, for which it holds bills of lading issued by defendant at Mount Vernon, Illinois, June 25, 1920. These bills recite that one car contains 2,105 bundles and the other 1,908 bundles of salted green hides to be transported to Chicago, Illinois. With the exception of sixteen bundles, the merchandise never arrived. The court instructed the jury to find the issues for plaintiff and to assess plaintiff’s damages at the sum of $23,822.97. This verdict being returned by the jury, judgment was entered thereon, from which‘defendant has appealed.

The record shows that the summons was served by delivering a copy thereof to one E. H. Morris, an agent of defendant. A verified plea to the jurisdiction of the court was filed, in which defendant alleged, in substance, that said Morris was not its agent at any time; that it is a Virginia corporation owning and operating a railroad through certain counties in Illinois, not including Cook county, in each of which it has agents upon whom service of process against it may be had, denied that it conducted any of its corporate business or had any agent in Cook county, Illinois, and further alleged that it was not found or served with process in Cook county. Upon the issue thus presented, a trial was had before the court without a jury, which resulted in.a finding in favor of plaintiff and defendant was ordered to plead over.

• The record shows that Morris was a salaried employee of defendant, having an office in Chicago with numerous employees under him, where he solicited business for defendant and furnished information to persons doing business with it. Without discussing the evidence upon this subject in great detail, it is sufficient to say that in our opinion defendant was properly served and that the superior court had jurisdiction in the case. Defendant is a foreign corporation doing business in this State, and therefore subject to all the liabilities of a domestic corporation. This fact distinguishes the case from that of Booz v. Texas & Pac. Ry. Co., 250 Ill. 376, upon which appellant relies. O’Donoghue v. St. Louis S. W. Ry. Co., 181 Ill. App. 286.

The evidence shows that on June 20,1920, one Cooper, who was employed by appellee as a receiver of hides, went to the warehouse of one Cornick, a hide dealer at Mount Vernon, for the purpose of superintending the sorting and weighing of hides which appellee proposed to purchase from Cornick. This work consumed several days and was finished June 25,1920. Cornick’s warehouse was located on a sidetrack belonging to appellant. As the hides were sorted and weighed they were taken from the warehouse by Cor-nick’s employees in the direction of the two cars mentioned in the bills of lading, which were located several hundred feet down the track. Cooper had nothing to do with the loading and paid no attention to the car's until they were sealed up. He saw the wagons moving in the direction of the cars and some hides in one car. From his position in the warehouse he could see the car nearest thereto, the door of the car being open. He testified that on June 24,1920, he saw a pile of hides in this car about four feet high containing more than 100 bundles, but could not definitely state the number. Wagons left the warehouse and went alongside the cars and the hides were thrown into the cars by Cornick’s employees. When the work of loading was completed the cars were closed and sealed and each of the side doors nailed at the bottom. They were further protected by a 2x4 timber, securely spiked, behind each of said doors, so that the doors could not be opened without removing the nails and cleats. The cars arrived in Chicago with the seals and fastenings intact, and had not been opened during transit. After the work of sorting, bundling and weighing the hides had been completed, invoices therefor were prepared which specified the number of bundles of each kind of hides, the weight, price and amount thereof, one of said invoieps being for $12,469.-01 and the other $11,452.66. Bach invoice contained notations directing the shipment to appellee at Chicago, Illinois, and the numbers and routing of the cars. The invoices were approved by Cooper and, thereafter, the bills of lading introduced in evidence were shown to Cooper, who thereupon handed to Cornick two drafts upon appellee payable at New York, dated June 25, 1920, for the amounts of the respective invoices. Cooper received and retained a duplicate copy of the bills of lading, the originals of which, together with the invoices, were attached to the, drafts by Cornick, and presented at the New York office of appellee for payment. Appellee’s cashier, upon their presentation, checked the amount of the invoices against the drafts arid checked the number of bundles in the bills of lad-' ing and invoices, and thereupon paid the drafts by a cheek of appellee in the sum of $23,921.67. This check was paid. When the cars arrived in Chicago each of them contained only eight bundles of hides, whose fair cash market value was $98.70. The fair cash value of the hides described in the bills of lading at Mount Vernon and at Chicago was not less than $23,921.67.

• The defense was embodied in a stipulation which was offered as to the testimony of certain employees of appellant and other railroad companies showing the condition of the cars at various points along their route, and an effort to prove by witnesses facts tending to show nonreceipt of the shipment at Mount Vernon, with the exception of sixteen bundles of hides. The court refused to receive the stipulation in evidence.

Appellant contends that it is relieved from liability upon its bills of lading for the reason that it never received the merchandise therein described, and that Comick, whose fraudulent acts occasioned the loss, was appellee’s agent. Appellee bases its right of recovery upon the fact that it paid for the hides relying upon the description thereof contained in the bills of lading.

It is conceded by both parties that prior to the enactment of the Uniform Bills of Lading Act, a carrier which had issued a bill of lading reciting the receipt by it of certain property could defend by showing that as a matter of fact no goods had been received by it, both citing Lake Shore & M. S. Ry. Co. v. National Live Stock Bank, 178 Ill. 506, and other cases. There being no liability at common law for issuing a bill of lading without receiving, the goods, even to a purchaser for value, appellant contends that it was 'incumbent upon plaintiff to allege and prove that defendant issued its bills of lading without receiving any hides before it can avail itself of section 23 of the Uniform Bills of Lading Act.

That section provides that if a bill of lading has been issued by a carrier or on his behalf by an agent, the scope of whose actual or apparent authority includes the issuing of bills of lading, the carrier shall be liable to the consignee named in a non-negotiable bill or the holder of negotiable bill who has given value in good faith relying upon the description therein of the goods for damages caused by the nonreceipt by the carrier or a connecting carrier of all or part of the goods or their failure to correspond with the description thereof in the bill at the time of its issue. Cahill’s Ill. St. ch. 27, 24.

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Bluebook (online)
228 Ill. App. 305, 1923 Ill. App. LEXIS 224, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-hide-leather-co-v-southern-railway-co-illappct-1923.