Amory Manufacturing Co. v. Gulf, Colorado & Santa Fe Railway Co.

37 S.W. 856, 89 Tex. 419, 1896 Tex. LEXIS 372
CourtTexas Supreme Court
DecidedMarch 26, 1896
DocketNo. 398.
StatusPublished
Cited by31 cases

This text of 37 S.W. 856 (Amory Manufacturing Co. v. Gulf, Colorado & Santa Fe Railway Co.) is published on Counsel Stack Legal Research, covering Texas Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Amory Manufacturing Co. v. Gulf, Colorado & Santa Fe Railway Co., 37 S.W. 856, 89 Tex. 419, 1896 Tex. LEXIS 372 (Tex. 1896).

Opinion

GAIHES, Chief Justice.

This suit was brought by the plaintiff in error against the defendant in error to recover the value of fifty bales of cotton. The cotton was bought by J. H. Brown & Company and was placed upon the platform of a compress company at Honey Grove, Texas, for the purpose of being compressed. While it was still in possession of the compress company, and upon its platform, the defendant in error executed to Brown & Company a bill of lading therefor, in which, upon certain conditions, it bound itself to transport the cotton to Manchester, Hew Hampshire. After the execution of the bill of lading and while the cotton still remained upon the’ platform, it was destroyed by fire. It was admitted upon the trial that at the time of the loss the cotton was the property of the plaintiff. The trial court found that the fire was not the result of the negligence of the defendant company, and held that, by reason of certain stipulations in the bill of lading which restricted its liability as to common law, the defendant was not liable. The judgment of the trial court was affirmed by the Court of Civil Appeals.

The errors assigned in this court are: first, that it was error to hold, that under the bill of lading the defendant was exempted from liability for the loss of the cotton while at the compress; and, second, that the evidence was not sufficient to show that the cotton was not destroyed through the negligence of the defendant.

In our view of the case, the determination of the first assignment renders a decision of the other unnecessary. Omitting so much as has no bearing upon its construction, the special provision in the bill of lading veads as follows:

“The packages aforesaid (the cotton) must pass through the custody *425 of several carriers before reaching their destination, and it is understood as a part of the consideration for which said packages are received, that the exceptions from liability made by such carriers respectively in their several bills of lading for through freight shall operate in the carriage by them respectively of said packages, as though herein inserted at length; and especially that neither this company, nor any of said carriers, while in transit, or while in depot or place of trans-shipment, or of landing at place of delivery, shall be liable * * * for loss or damage to hay, hemp, cotton, * * *”

In order to sustain the ruling of the Court of Civil Appeals and of the trial court, it must be held that the cotton while upon the platform of the compress company was either “in transit” or “in depot” within the meaning of these terms as used in the bill of lading. The rule is elementary that, if a written contract when viewed as a whole and in the light of the attendant circumstances reasonably admits of two constructions, that one is to be adopted which is least favorable to the party whose language it is. To no class of contracts has the rule been applied with more stringency than to those in which common carriers seek to limit their liability as it exists at common law. In general not only are the bills of lading drawn by the carrier and tendered to the shipper to be accepted by him without alteration, but they axe also executed upon forms prepared for the purpose of protecting the interest of the carrier, with all the care and ability which experience in the business and professional skill can bring to bear upon the subject. The rule does not require that a strained construction should be put upon the contract of shipment, in order to favor the shipper; but rather, that in case of a reasonable doubt as to which of two constructions best accords with the intent of the parties, that should prevail which is least favorable to the carrier.

Was the cotton while on the compress platform “in transit,” within the meaning of the bill of lading? It is contended upon the one side, that the words “in transit” are the equivalent of the words “in transitu,” and that goods in the hands of a carrier are in transit from the moment of delivery to the carrier until they reach the hands of the consignee. .In sense, the meaning of the two phrases is the same; the one is a literal translation of the other; but as actually employed they have a materially different meaning and application. “In transit” means literally, in course of passing from point to point, and such is its common acceptation. Such also is the literal meaning of the phrase “in transitu;” but for the sake of convenience in defining the right of a creditor to stop goods which have been sold but not delivered to an insolvent purchaser, they have been given a broader technical signification. It may be doubted whether the phrase is ever used in our language in any other connection It would seem therefore that if the parties to the contract in question had desired to employ a single phrase which would cover the carrier’s exemption from liability from the time the goods were received by it until it had deliever them to the consignee, they would have used the more comprehensive terms. Had they done so, a more difficult ques *426 tion would have been presented. But here the words “in transit”—the words actually used—according to their ordinary signification, apply only to the cotton from the time the transportation was to begin until the time it was to end under the contract. The cotton not having been set in motion towards its destination was not in fact in transit, and we cannot hold it constructively in transit while on the platform, without unwarrantably extending the meaning of a well defined word and doing violence to a well established canon of construction. Our interpretation of the word is strengthened by the fact that, in addition to exemption while in transit, the contract also provides that the company is not to be liable for loss of the cotton while in depot or place of trans-shipment or of landing at place of delivery. If the words “in transit” are to be given the broad construction contended for, then this additional provision is unnecessary. It is to be presumed that the express provision, that the company was not to be liable for loss while in depot or place of trans-shipment or of landing at place of delivery, was incorporated for a purpose, and the inference is strong that the purpose was to supply that which would have been wanting without it. In the absence of the well recognized rule of construction applicable to these contracts, we should be constrained to hold that the phrase “while in transit” did not exempt the company from the loss of the cotton before the transportation actually began: and in any event, there is such grave doubt as to the construction of the phrase as would require that the doubt should be resolved in favor of the shipper. The question has been passed upon in two cases, in both of which the ruling was in accordance with our view. Deming v. Compress Co., 90 Tenn., 310; Menzell v. Railway Co., 1 Dill., 531.

We come then to the question, was the cotton “in depot” within the meaning of the contract, when it was destroyed? The clause in which the words quoted are found admits of two constructions—one as if it read “or while in depot, or while in place of trans-shipment”-—the other as if the words were “while in depot or trans-shipment or place of transshipment.” If the former be the correct rendering of the clause, then the company would not have been liable for the loss of the cotton while at its depot at the initial point of the carriage; and we would have the question, whether the compress platform should be deemed a depot within the meaning of the contract.

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37 S.W. 856, 89 Tex. 419, 1896 Tex. LEXIS 372, Counsel Stack Legal Research, https://law.counselstack.com/opinion/amory-manufacturing-co-v-gulf-colorado-santa-fe-railway-co-tex-1896.