Caldwell & Co. v. Deschanel International Corp.

6 La. App. 802, 1927 La. App. LEXIS 257
CourtLouisiana Court of Appeal
DecidedJune 20, 1927
DocketNo. 9812
StatusPublished
Cited by3 cases

This text of 6 La. App. 802 (Caldwell & Co. v. Deschanel International Corp.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Caldwell & Co. v. Deschanel International Corp., 6 La. App. 802, 1927 La. App. LEXIS 257 (La. Ct. App. 1927).

Opinion

JONES, J.

In this suit plaintiff and intervenor, both attachment creditors, are claiming priority of privilege on the proceeds of certain flour, originally bought by the defendant from intervenor and sold by the civil sheriff here under an agreement between the parties, pending a decision on the merits of the controversy.

On December 8, 1920, plaintiff, a New York corporation, doing business in this city as forwarding agents, sued defendant for one thousand sixty-eight and 43-100 ($1068.43) dollars, amount due for forwarding a prior shipment and attached two carloads of flour then in the hands of the I. C. Railroad Co., the carrier which had brought the flour here from intervenor’s mill in Minnesota. A writ of attachment was issued on the ground of non-residence and a local attorney was appointed to represent the defendant. On January 4, 1920, this representative filed an answer denying the allegations of plaintiff’s petition on information and belief.

On April 18, 1921, intervenor, a Minnesota corporation, intervened in the suit for four thousand, eight hundred and fifty ($4850.00) dollars, the unpaid pur. chase price of the two carloads of flour and attached the same flour then in the hands of the sheriff. It prayed that its vendor’s lien and privilege be recognized or, in the alternative, if the court should hold that it had no vendor’s lien and privilege on the flour, then that its right of stoppage in transit be recognized and the sheriff be ordered to turn over to it the flour, or', as second alternative, if the court should deny both the vendor’s lien and the right of stoppage in transit, then [803]*803it prayed that the contract he rescinded for non-payment of purchase price. To this petition it attached a copy of confirmation of sale of each car and copies of the drafts for purchase price of each car, which it had drawn on defendant.

In this intervention it was further alleged as follows:

(1) That defendant had not paid the purchase price and that it had notified intervenor that it was unable to do so.
(2) That said flour was sold for delivery at shipside in New Orleans and therefore the contract was governed by the laws of Louisiana.
(3) That defendant was at the time of the sale and is now insolvent.

The same curator was appointed, and on July 11, on joint motion of all parties interested, the court ordered the flour sold at public auction after five days’ advertisement. On March 15, 1924, an agreed statement of fact was filed hy plaintiff and intervenor, but defendant offered no evidence.

On April 8 plaintiff which had been served with a copy of the intervention filed an answer thereto, but defendant did not answer it. In its answer plaintiff admitted that the flour had been purchased for export and drafts drawn with bills of lading attached, as alleged, and that intervenor had obligated itself to ship and deliver said flour to the Deschanel International Corporation, P.A.S. New Orleans, a term meaning delivery on wharf in that city, hut denied either vendor’s lien, right to stoppage in transit or right to rescission of contract.

The trial judge decided that intervenor had a vendor’s privilege on the flour, because title did not pass and was not intended to pass until the flour was delivered .at New Orleans. He accordingly gave judgment for both plaintiff and intervenor for amounts claimed and ordered intervenor to be paid first. He did not pass either on the right of stoppage in transitu or the right to rescission of contract, but distinctly reserved those issues for the appellate court, if that tribunal should hold differently on the vendor’s privilege.

Prom that decision the plaintiff has appealed to this court.

The agreed facts are as follows:

On November 6, 1920, The Deschanel International Corporation of New York, hereinafter called “Deschanel”, wired to the Eagle Roller Mills of Minnesota, a flour manufacturer, hereinafter called the “Intervenor”, offering to purchase five hundred (500) hags of flour, marked “Camuri”, for shipment to New Orleans in accordance with telegram, reading:

“Enter additional order one thousand bags candeal five hundred hags Camuri one hundred ninety-six pounds immediate shipment New Orleans. Wire whether possibility shading prices.”

On November 8, this offer was replied to hy the intervenor by wire as follows:

“Telegram received, market easier today, therefore have entered additional thousand candeal at ten eighty and five hundred Camuri at nine ninety-five. Thank you.”

On November 15, Deschanel Company forwarded to intervenor a confirmation in accordance with this telegram, stating thereon:

“Confirming our wire of 11/6/20”, setting forth the terms of the sale, and providing thereon, among other stipulations, the following:
“PAS NEW ORLEANS,”
[804]*804“Routing and shipping instructions will reach you directly from our shippers at New Orleans,
“Terms of payment — Acceptance draft— 60 D/D.”

On November 10 Deschanel wired intervenor, asking for prices on additional 1000 bags of Camuri, as follows:

“Wire lowest prices best delivery additional thousand bags each Candeal Camuri hundred ninety-six pound bags, shade prices utmost to enable us to confirm orders.”

Intervenor answered this wire by wire as follows:

“Subject confirmation offer additional thousand bags each Candeal ten thirty Camuri nine forty-five FOB New Orleans shipment your option within ninety days.”

The offer therein contained was accepted by the Deschanel Company, who wired intervenor as follows:

“Confirm sale thanks wire lowest after market closes today.”

Thereafter Deschanel forwarded confirmation to intervenor of sale of the 1000 bags, stating thereon:

“Confirming our wire of November 11, 1920.”
“Immediate shipment to New Orleans. Goods booked per. SS COLUMBIA, sailing from New Orleans 11/30.”
“F.A.S. New Orleans.”
“Routing and shipping instructions will reach you direct from our shippers at New Orleans.”

Also:

“Acceptance Draft 60 D/D.”

On November 8, 1920, under the contract confirmed on that date, intervenor loaded 250 bags of flour taking therefor a bill of lading to its own order, notify Caldwell & Company, who were agents of Deschanel Company of New Orleans, and that again on November 24, 1920, under the contract confirmed November 18, the intervenor loaded 250 bags of flour, taking the same kind of bill of lading. Both of these cars were shipped to New Orleans, and all (freight was paid by intervenor at the time of shipment.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Cite This Page — Counsel Stack

Bluebook (online)
6 La. App. 802, 1927 La. App. LEXIS 257, Counsel Stack Legal Research, https://law.counselstack.com/opinion/caldwell-co-v-deschanel-international-corp-lactapp-1927.