City Nat. Bank of El Paso v. El Paso & N. E. Ry. Co.

225 S.W. 391, 1920 Tex. App. LEXIS 1027
CourtCourt of Appeals of Texas
DecidedOctober 28, 1920
DocketNo. 1116.
StatusPublished
Cited by12 cases

This text of 225 S.W. 391 (City Nat. Bank of El Paso v. El Paso & N. E. Ry. Co.) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
City Nat. Bank of El Paso v. El Paso & N. E. Ry. Co., 225 S.W. 391, 1920 Tex. App. LEXIS 1027 (Tex. Ct. App. 1920).

Opinions

The City National Bank of El Paso, Tex., appellant, brought this suit against the appellees, El Paso Northeastern Railroad Company, and various other railroad companies, alleging that the defendants were railroad corporations engaged in business as common carriers, owning and operating a line of railroad extending from El Paso, Tex., to Kansas City, Mo.; that on October 27, 1911, in consideration of the freight rate paid to the defendant El Paso Southwestern Company, the El Paso Northeastern Railroad Company, for itself and its codefendants, agreed in writing signed by the plaintiff and El Paso Southwestern Company to safely carry from El Paso to Kansas City, Mo., and there deliver to the First National Bank of Kansas City, the consignee at said place, 847 head of cattle of the value of $20,000, the property of plaintiff, then and there at El Paso, in pursuance of said agreement, delivered to the El Paso Northeastern Railroad Company, in pursuance of the agreement made by the El Paso Southwestern Company, who then and there received and accepted the cattle upon the agreement, and for the purposes mentioned in behalf of the defendants; that defendants did not safely carry and deliver said cattle in pursuance of said agreement, but so carelessly and negligently acted in regard to the same in their business as common carriers that the cattle were lost to the plaintiff and not delivered to the said consignee to the plaintiff's damage in the sum of $10,101.18; that defendants have failed and refused and still fail and refuse to deliver the cattle to the First National Bank, consignee, in pursuance of said agreement, or to the plaintiff, and by reason of the carelessness and negligence of defendants the plaintiff has been damaged as aforesaid, for which judgment was prayed.

The answer of the defendant is quite lengthy and need not be stated at length. It is sufficient to say that among other defensive matters pleaded it was set up that the contract was in writing and was entered into by the plaintiff through its agent J. A. Peters, who instructed appellees to deliver the cattle at Kansas City to J. P. Peters Commission Company, which was done; that the order to so deliver the cattle was in fact a part of the transportation contract, but the failure to indorse such order on the same was due to mutual mistake of the parties; and that such delivery discharged them.

By a supplemental petition the plaintiff replied to certain defensive matters set up by the defendants, namely, the two years' *Page 393 statute of limitation, and a failure to give written notice of the damages within four months as provided by the bill of lading. In this supplemental petition it is again averred that the terminal carrier never in fact delivered the cattle to the plaintiff, the consignor, or to the First National Bank of Kansas City, or to any other person or corporation authorized by the consignor or consignee, by the terms of the contract to receive delivery.

By a trial amended petition it was averred that the defendants issued and delivered the bill of lading for the shipment without inserting therein that the consignee should be the First National Bank of Kansas City, Mo., care of J. P. Peters Commission Company, and that it was through negligence and fault of defendants in permitting the bill of lading to be so issued and delivered to the plaintiff herein without giving notice to it or advising it that there had been direction or instructions by J. A. Peters to bill or ship the cattle to the First National Bank, care of J. P. Peters Commission Company, and had said bill of lading contained said directions plaintiff would not have accepted same, but had accepted the bill and relied thereon without notice of said intention and had the bill contained the directions alleged to have been given by Peters, plaintiff would have notified the defendant not to deliver the cattle to the Peters Commission Company, and by reason of their conduct and act in putting into circulation, issuing and delivering and permitting to be issued to plaintiff said bill of lading without said instructions (care of Peters Company) thereon, the defendant was estopped to deny same, its effect or its validity, or to set up any undertaking or agreement with said J. A. Peters.

The case was tried before a jury and submitted upon special issues, and upon the jury's findings judgment was rendered in favor of the defendants, from which the plaintiff prosecutes this appeal.

The record discloses that for some time prior to the date of the shipment in question John T. Cameron had been buying cattle in the interior of Mexico and shipping them to Juarez, Mexico, whence they were entered into the United States at El Paso.

According to the testimony of J. F. Williams, vice president of the plaintiff, Mr. Cameron would buy the cattle in Mexico with money furnished by a bank at Chihuahua. That bank would consign the cattle to the plaintiff with draft attached for the amount of the purchase price. After being cleared through the custom house and delivered to the plaintiff on the American side, plaintiff would then refund the purchase price to the Chihuahua Bank and take over the transaction from Cameron and ship the cattle to Kansas City for sale; that they had no arrangement for any one to handle them in Kansas City; that J. A. Peters was an employee of Cameron and looked after the shipping of the cattle and billed them out under our instructions. Williams was the representative of the plaintiff in handling the transactions relative to the Cameron cattle, and further testified that neither he nor any one else from the bank looked after the shipments; that J. A. Peters looked after the shipments, or nearly all of them, and that he knew J. A. Peters was looking after the shipments; that they presumed he was shipping the cattle to Kansas City; and that they were being handled there by the J. P. Peters Commission Company. He admitted that the bank was allowing J. A. Peters to bill the cattle out for it and look after getting the cattle to Kansas City. He testified that Peters brought him the bill of lad ing covering the shipment in question and it was attached to a draft drawn on the J. P. Peters Commission Company of Kansas City for the amount of the money advanced by the bank and that this draft and bill of lading was sent to the First National Bank of Kansas City with instructions to release the cattle to the commission company upon payment of the draft. The draft was never paid, and the same together with the bill of lading was later returned to the plaintiff.

It was further shown by the evidence that the shipment in question was the last of the Cameron shipments and that prior to that time there had been 18 or 20 train loads of the Cameron cattle which had been handled and shipped out by the plaintiff in the manner aforesaid, the transactions having extended over a period of several months. This last shipment of cattle was delivered by the terminal carrier to the J. P. Peters Commission Company at Kansas City, Mo., without the surrender of the bill of lading.

The material portions of the bill of lading are as follows:

"Contract.
"Executed in duplicate at El Paso, Texas. Station, October 27, 1911.

"This agreement made between the El Paso Southwestern Company of the first part, and City National Bank of the second part, witnesseth:

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Bluebook (online)
225 S.W. 391, 1920 Tex. App. LEXIS 1027, Counsel Stack Legal Research, https://law.counselstack.com/opinion/city-nat-bank-of-el-paso-v-el-paso-n-e-ry-co-texapp-1920.