American Railway Express Co. v. Rhody

143 N.E. 640, 84 Ind. App. 283, 1924 Ind. App. LEXIS 14
CourtIndiana Court of Appeals
DecidedApril 23, 1924
DocketNo. 11,829.
StatusPublished
Cited by1 cases

This text of 143 N.E. 640 (American Railway Express Co. v. Rhody) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Railway Express Co. v. Rhody, 143 N.E. 640, 84 Ind. App. 283, 1924 Ind. App. LEXIS 14 (Ind. Ct. App. 1924).

Opinion

McMahan, J.

Appellees recovered a judgment against appellant for the value of certain meat, which appellees had shipped from Royal Center, Indiana, and consigned to Fred Pegel, Jr., at Lansing, Illinois.

The facts were found specially and are, in substance, as follows: On March 24, 1920, appellees were partners doing business at Royal Center, Indiana. Appellees on said day delivered to appellant, a common carrier for hire, a number of carcasses of veal to be shipped to Fred Pegel, Jr., at Lansing, Illinois. There was a shipping bill or bills of lading signed by both parties giving the name and address of the consignee and stating that the meat was to be transported to Lansing. This shipment reached Lansing 9:50 a. m. of said day, was unloaded by appellant and placed in the storage room at the railroad depot at Lansing which was used *286 by appellant for storage purposes. Pegel lived and had his place of business in Chicago at a point about thirty miles from Lansing, which is a town of about 1,800 inhabitants, about ten miles south from the southern limits of Chicago, and about four miles west of Hammond, Indiana. There was at that time a concrete pavement from Lansing to the business district of Chicago.

Said meat was shipped to Pegel on consignment and was at all times the property of appellees, who had made at least two other shipments in March, 1920, to Pegel at Lansing. Appellant knew the consignee would receive this shipment of veal at.Lansing and take it to Chicago by truck. About noon of said day, appellant’s agent at Lansing mailed a postal card to .Pegel notifying him of the receipt of the veal. About the time this postal card was mailed and before it was received by Pegel, he called appellant’s agent at Lansing by telephone and was informed of the arrival of the shipment, at which time he told appellant’s agent he would.call for it sometime during that day. Appellant’s office and storage room at Lansing remained open in charge of an agent until after 7:25.p. m. of said day.

A truck driver and agent of Pegel took a truck load of some character from Chicago to Hammond that afternoon and, after unloading at Hammond, went to Lansing for the purpose of receiving said meat. This truck driver with his truck arrived at Lansing for the purpose of receiving this meat, and could have received it that day but did not ask for it or receive it that day, but left for Chicago, at 7:25 p. m.

Part of this meat was stolen from appellant’s storeroom that night without any fault, of appellant. The next day said truck driver “returned by rail” and with his truck called for and received from appellant all of said meat, except that which had been stolen. The Value of the part stolen was $107.46. On each of the *287 prior shipments from appellees to Pegel, at Lansing, the latter or his men appeared at appellant’s office and received such shipments on their arrival or soon thereafter without any notice from appellant.

It was also found that Pegel did not have a reasonable time after he received notice of the arrival of the meat at Lansing within which to receive and remove it before the night of March 24.

Upon these facts, the court concluded as a matter of law that appellees were entitled to recover the value of the meat with interest, and judgment was rendered accordingly.

Appellant contends that having safely transported the meat to its destination and having placed it in a place of reasonable safety for delivery to the consignee, its duty as a carrier terminated and that thereafter it was liable only as a warehouseman. Appellees contend that appellant’s obligation as a common carrier had not ceased for the reason that the consignee did not have a reasonable time in which to remove the meat before it was stolen. The question for our determination is whether under the facts found appellant had fully discharged its duty as a carrier and was simply acting as warehouseman when the meat was stolen.

Under the interstate commerce act of February 4, 1887, (24 Stat. at L. 379, ch. 104, U. S. Comp. Stat. 1911, p. 1284) § 10, as amended by the act of June 18, 1910, (36 Stat. at L. 1. 539, ch. 309) the term "carrier" is defined as including express companies. United States v. Adams Express Co. (1913), 229 U. S. 381, 33 Sup. Ct. 878, 57 L. Ed. 1237; American Express Co. v. United States (1908), 212 U. S. 522, 29 Sup. Ct. 315, 53 L. Ed. 635; State, ex rel., v. Adams Express Co. (1908), 171 Ind. 138, 19 L. R. A. (N. S.) 93; Adams Express Co. v. Cook (1915), 162 Ky. 592, 172 S. W. 1096. The shipment in question being *288 an interstate shipment, the question as to when, if at all, appellant ceased to be a common carrier is a federal question. Adams Express Co. v. New York (1913), 232 U. S. 14, 34 Sup. Ct. 203, 58 L. Ed. 483; Southern R. Co. v. Prescott (1916), 240 U. S. 632, 36 Sup. Ct. 469, 60 L. Ed. 632; Adams Express Co. v. Croninger (1912), 226 U. S. 491, 33 Sup. Ct. 148, 57 L. Ed. 314, 44 L. R. A. (N. S.) 257; Roberts, Federal Liability of Carriers §§ 109, 311.

In Bank of Kentucky v. Adams Exp. Co. (1876), 93 U. S. 174, 23 L. Ed. 872 , it is said: "The duty of a common carrier is to transport and deliver safely. He is made, by law, an insurer against all failure to perform this duty, except such failure as may be caused by the public enemy, or what is denominated the act of God.”

The nature of a common carrier's liability when it has transported property and deposited it in a warehouse to await delivery to the consignee is a question on which three distinct views have been taken by the courts of this country: First. When the transit is ended and the carrier has placed the goods in its warehouse to await delivery to the consignee, its liability as carrier is ended though no notice is given to the consignee, and the carrier is thereafter liable as warehouseman only. This doctrine is what is known as "the Massachusetts rule." Second. Merely placing the goods in the warehouse does not discharge the carrier, but it remains liable as a carrier until the consignee has had reasonable time to take them away in the ordinary course of business. This rule is known as "the New Hampshire rule." Third. The liability of a carrier as such continues after the consignee has been notified of the receipt of the goods and has had a reasonable time in the common course of business to take them away after receiving notice. This rule differs from the second in *289

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Bluebook (online)
143 N.E. 640, 84 Ind. App. 283, 1924 Ind. App. LEXIS 14, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-railway-express-co-v-rhody-indctapp-1924.