Bisbee Linseed Co. v. Paragon Paint & Varnish Corp.

66 F.2d 595, 1933 U.S. App. LEXIS 2729
CourtCourt of Appeals for the Second Circuit
DecidedAugust 1, 1933
DocketNo. 422
StatusPublished
Cited by4 cases

This text of 66 F.2d 595 (Bisbee Linseed Co. v. Paragon Paint & Varnish Corp.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Second Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bisbee Linseed Co. v. Paragon Paint & Varnish Corp., 66 F.2d 595, 1933 U.S. App. LEXIS 2729 (2d Cir. 1933).

Opinion

CHASE, Circuit Judge

(after stating the facts as above).

The contract which the parties made follows in full:

“Bisbee Linseed Company Contract
“Contract made at Philadelphia, Pa., this 27th day of September 1920' No. 4346, between Bisbee Linseed Company, of Philadelphia, Pa., hereinafter called the Seller, and Paragon Pt. & Varnish Corp. of Borden Ave. & Van Dam St., Long Island City, N. Y. hereinafter called the Buyer.
“The Seller hereby sells and agrees to deliver and the Buyer hereby purchases and agrees to receive in the amounts and on the terms and conditions hereinafter set forth: “840 Bbls. (about 375 pounds net in each bbl.) of pure linseed Oil. Price per pound in bbls. 15.3 cents (raw basis).
“Special Oils at Seller’s usual differences.
“P.O.B. shipping station — freight allowed to Long Island City, N. Y.
“Shipment — Three Apr-July ine. 1930. cars each month,
XX Jan. 210 bbls. Apr.
XX Eeb. 210 ” May
XX Mar. 210 ” June
210 bbls. July XX ” Oct.
XX ” Aug. XX ” Nov.
XX ” Sept. XX ” Dee.

“The buyer to furnish written specifications for shipment to Seller’s Philadelphia, Pennsylvania office in ample time to enable Seller to execute order within the period or periods above mentioned, and the Seller shall under no circumstances be in default hereunder in the absence of the giving of such written notice and specifications so as to be received by the Seller at its Philadelphia office by the first of the month for any oil due and to be shipped during said month, and neither .the giving of oral specifications by the Buyer nor the receipt or filing thereof, by the Seller or its brokers, nor the giving of written specifications to places other than the Seller’s Philadelphia office, nor the giving of written specifications at the Philadelphia office at times other than as required herein; whether given for any installment of this or other contracts between the parties hereto; [597]*597shall in any way be construed to waive or modify the Buyer’s obligation to give the mitten specifications for shipment required as above stated. In the absence of such specifications a carrying charge of 25 cents per 375 pounds per month or fractional month shall accrue for such time as seller shall be willing to carry same.

“Failure to deliver any installment of Linseed Oil sliall not be a breach of the entire contract.

“All deliveries are subject to delays caused by strikes, lockouts, fires, accidents, perils of the seas, late arrivals or loss or damage to flaxseed purchased by the seller, or from any cause beyond the seller’s control.

“Seller’s weights are to govern settlement. No allowance for shortage or damage to he made unless Buyer furnishes acknowledgment from railroad that same occurred in transit.

“Terms of payment, net thirty days, or one per cent discount for cash ten days from date of invoice.

“In ease of default in payment of any installment of purchase money when due, or in case the credit of the Buyer becomes unsatis factory to the Seller, the whole sum owing by the Buyer shall become due and payable at once and the Seller shall make all further deliveries, but for cash only.

“This contract shall be construed under the laws of the State of Pennsylvania, and the whole agreement between the parties is stated herein. No stipulations oral or written not incorporated herein shall be of any force or effect.”

As there is no bill of exceptions, the solo question before us is whether the complaint is sufficient to support the judgment. United States v. Stephanidis (C. C. A.) 47 F.(2d) 554; Reilly v. Beckman (C. C. A.) 24 F.(2d) 791. This may be presented on assignment of error without a bill of exceptions, for it involves a question of law apparent on the record. Board of Com’rs of City and County of Denver v. Home Savings Bank, 236 U. S. 101, 303, 35 S. Ct. 265, 59 L. Ed. 485 ; United States v. La Flanea, 282 U. S. 568, 570; 571, 51 S. Ct. 278, 75 L. Ed. 551.

The plaintiff requested the defendant to furnish shipping instructions for the oil not actually delivered. When the defendant failed to comply with its request, it demanded such instructions. None were furnished. It was always ready, willing, and able to deliver the oil, and for a time kept it for delivery as the defendant might designate. The price of such oil dropped after the contract was made; and, after the defendant neglected to furnish shipping instructions on the demand of the plaintiff, the plaintiff sold the oil for less than the contract price. The second cause of action is for the recovery of the difference between the contract price and the actual sale price together with interest and carrying charges.

There was no express allegation in the complaint of a tender of the oil. There was a general allegation to the effect that the plaintiff had duly performed all the conditions of the contract on its part to be performed, and we are urged to bold that this is enough, since rule 92 of the New York Rules of Civil Practice provides that the performance of a condition precedent in a contract may be pleaded in general terms. But in Ketchum v. Alexander, 168 App. Div. 38, 153 N. Y. S. 864, it was expressly held that this rule, then found in section 533 of the Code of Civil Procedure, did not permit such a general allegation as this to be treated as the equivalent of the allegation of a tender. Neither does an allegation that the plaintiff “was ready, able and willing to ship said oil” amount to that of a lender of delivery. British Aluminum Co., Ltd., v. Trefts, 163 App. Div. 184, 148 N. Y. S. 144. Since, therefore, the complaint failed to allege delivery, a tender of delivery, or facts showing any waiver, it becomes necessary to determine whether, in the absence of sueh allegations, it will support the judgment.

Ordinarily, in a contract for the sale of goods under which the seller agrees to make delivery before the sale price becomes due, there must be a delivery or a tender of delivery to put the buyer in default. British Aluminum Co., Ltd., v. Trefts, supra; Ketchum v. Alexander, supra; American Tin-Plate Co. v. Trotter et al. (C. C.) 105 F. 478; Fulton Bag & Cotton Mills v. Frankel, 196 App. Div. 701, 188 N. Y. S. 709. (See Id., 234 N. Y. 580, 138 N. E. 454); Rogers-Pyatt Shellac Co. v. Starr Piano Co., 212 App. Div. 792, 209 N. Y. S. 727. Fairfax Textile Mills v. Feingold, 273 Pa. 73, 116 A. 525, shows that this is the rule in Pennsylvania. See also, Dwight v. Eckert, 117 Pa. 490, 12 A. 32. Exceptions to this rule are to be found where the contract leaves the seller without the necessary information to enable him to deliver the goods without instructions from the buyer; where there has been a definite repudiation of the contract by the buyer; and where the goods are to be manufactured or shipped in certain sizes or kinds which the contract leaves to the option of the buyer who fails to instruct as [598]*598agreed.

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66 F.2d 595, 1933 U.S. App. LEXIS 2729, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bisbee-linseed-co-v-paragon-paint-varnish-corp-ca2-1933.