Chicago & Northwestern Railway Co. v. Queenan

167 N.W. 410, 102 Neb. 391, 1918 Neb. LEXIS 62
CourtNebraska Supreme Court
DecidedApril 12, 1918
DocketNo. 19918
StatusPublished
Cited by6 cases

This text of 167 N.W. 410 (Chicago & Northwestern Railway Co. v. Queenan) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Chicago & Northwestern Railway Co. v. Queenan, 167 N.W. 410, 102 Neb. 391, 1918 Neb. LEXIS 62 (Neb. 1918).

Opinion

Hamer, J.

This action was brought by the Chicago & Northwestern Bailway Company to recover the freight charges on 36 carloads of hay shipped by the firm of Kinney & Allen, from Newport, Nebraska, to one William IT. Queenan, at South Omaha, in said state. The shipments were made in the ordinary way by Kinney & Allen to Queenan, f. o. b., and were delivered to the consignee on his order. The freight charges were never paid by any one. The action was commenced against Kinney & Allen and Queenan, who is insolvent. Queenan made default, and judgment was rendered against him for $931.9.4. Kinney & Allen filed an answer, by which they admitted that they were a partnership engaged in buying and shipping hay in large quantities at Newport,1 Nebraska; that at the time [392]*392mentioned in plaintiff’s petition they sold the hay in question to Queenan and delivered the same to the plaintiff railroad ■ company at Newport for shipment to. him at South' Omaha. They alleged that hy their arrangement with Queenan the freight was to he paid hy him at the place of destination. The answer further alleged that the plaintiff company delivered the hay to the - consignee without collecting the freight charges, whereby it waived all claims against Kinney & Allen therefor, and that no demand was made upon them until long after the shipments were delivered to Queenan and he had become insolvent. It was also alleged that the plaintiff company knew that the hay was owned by the consignee.

Plaintiff hy its reply denied all of the new matter contained in the answer, and alleged that Kinney & Allen were the shippers of the hay over plaintiff’s railroad, and as such shipper became indebted to plaintiff for all freight charges on said shipments, regardless of the agreements or promises of other parties respecting the said freight, and that the liability of defendants Kinney & Allen could only be discharged by the payment of the same, and that they had never been paid. The plaintiff by its reply further’ alleged that the hay was sold by Queenan to the Union Stock Yards Company that agreed to pay plaintiff’s freight charges, hut that said company did not pay said charges, and that plaintiff advised defendants Kinney & Allen that the stock-yards company had refused to pay the same; that, by an arrangement made between the defendants. and the stock-yards company, the defendants Kinney & Allen had received the purchase price of the hay, and no provision had been made for the payment of plaintiff’s freight .charges. ' Therefore Kinney & Allen were estopped to deny liability for said charges. On these issues the case was tried to a jury. At the conclusion of the evidence plaintiff requested the court to direct a verdict in its favor against all the defendants. This request was refused,- and by agree[393]*393ment of the parties the jury were discharged and the canse was submitted to the court. The finding and judgment was for defendants Kinney & Allen, and the plaintiff has appealed.

Appellant contends that the judgment of the district court is contrary to the evidence and is contrary to law. The record discloses that the 36 carloads of hay were shipped by defendants Kinney & Allen, from Newport, Nebraska, to Queenan at South Omaha; that the plaintiff transported the hay over its line of railroad; that when it received the shipments it issued to Kinney & Allen a bill of lading or receipt as follows':

“Chicago & Northwestern R. R. Co.
“Received subject to the classifications and tariffs, in effect on the date of issue of this shipping order from Kinney & Allen at Newport, Neb., Oct. 9, 1914, the property described below. * * * Consigned to W. H. Queenan, South Omaha, Nebraska.”

On the reverse side of the- bill of lading was the following:

“The owner or consignee shall pay the freight and all other lawful charges accruing on said property, and, if required, shall pay the same before delivery. If upon inspection it is ascertained that the articles shipped are not those described in this bill of lading, the freight .charges must be paid upon the articles actually shipped.”

There is also contained in the record the tariff regulation provided by the Nebraska railway commission under which Kinney & Allen made the shipments in question, which reads as follows: “Hay prepaid or guaranteed.— Shipments of hay for Omaha or South Omaha must not be received unless charges are prepaid or guaranteed.”

There seems to be no dispute as to the amount of the shipments or of the correctness of the freight charges. There was no agreement between the plaintiff company and Kinney & Allen releasing them from legal liability for the payment of the freight charges on said ship[394]*394ments. The record further shows without dispute that the hay in question was delivered to the Union Stock Yards Company at the order of Queenan, and that the freight charges were never paid by any one; that the plaintiff never made proper efforts to collect the freight from the stock-yards company and Queenan, and gave notice of non-payment to Kinney & Allen and of the failure and inability to collect the same from the consignee of said company. The plaintiff therefore insists that the consignors are liable for the freight charges, and that it is entitled to a judgment against Kinney & Allen therefor. In support of this contention appellant has cited a great number of authorities, from some of which we quote.

Appellant says: “A shipper of goods by railway under a straight,bill of lading is primarily and absolutely liable for the lawful tariff charges, and that liability can only be discharged by payment.”

In 2 Hutchinson, Carriers (3d ed.) sec. 810, it is said: “But the remedy against the consignee is not exclusive, although he may be the owner of the goods. It is held not to be obligatory upon the carrier to collect the freight of him, even when the bill of lading contains the usual clause, ‘he paying the freight thereon.’ Such provision, it has been decided, is intended for the exclusive benefit or accommodation of the freighter or shipper of the goods, and imposes no duty upon the carrier to collect the freight of the consignee; but he may even waive his lien upon the goods by delivering them to the consignee, without requiring payment of the freight, and still hold the shipper or consignor liable upon the contract of shipment So far as the carrier is concerned, the consignee will be considered as merely the agent of the shipper to pay the freight, and if he fails to pay it the party who has reposed the confidence must take the consequences of the breach of duty. It will alter none of the rights of the carrier, to whom the shipper became bound for the freight as soon as the goods were delivered for carriage.” See, [395]*395also, 6 Cyc. 500; Central R. Co. v. MacCartney, 68 N. J. Law, 165; Central of Georgia R. Co. v. Birmingham Sand & Brick Co., 9 Ala. App. 419; Baltimore & O. S. W. R. Co. v. New Albany Box & Basket Co., 48 Ind. App. 647.

In Cincinnati, N. O. & T. P. R. Co. v. Vredenburgh Sawmill Co., 13 Ala. App.

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Bluebook (online)
167 N.W. 410, 102 Neb. 391, 1918 Neb. LEXIS 62, Counsel Stack Legal Research, https://law.counselstack.com/opinion/chicago-northwestern-railway-co-v-queenan-neb-1918.