Converse v. Norwich & New York Transportation Co.

33 Conn. 166
CourtSupreme Court of Connecticut
DecidedNovember 15, 1865
StatusPublished
Cited by25 cases

This text of 33 Conn. 166 (Converse v. Norwich & New York Transportation Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Converse v. Norwich & New York Transportation Co., 33 Conn. 166 (Colo. 1865).

Opinion

Butler, J.

The evidence in this case is very clear, and free from contradiction. Upon a careful and deliberate consideration of it, we are satisfied that it did not justify the jury in finding a contract to carry the wool to Stafford, alone, or in company with the northern road; and that it does show an actual delivery to that road, as an independent and next carrier in a line, and a performance of all that the defendants impliedly undertook to do; and therefore that the verdict can not be sustained.

1. In the first place there is no such evidence of a contract to carry the wool to Stafford as will support the first count of the declaration.

The defendants were a corporation organized under the joint stock law of this state. Their articles of association are in evidence. The object of their association is therein declared to be the transportation of mails, freight and passengers between New York and New London and Norwich, or other places, &c.” The transportation contemplated from New York was intended to be and was in fact by water. By the articles the terminus where it was to end, and whether on the coast or inland, is not fixed definitely. But that is unimportant in this connection. Their business as then actually and permanently established was conducted by steamers from New York to New London only, and a delivery there to citizens of the place or the railroads which had their termini at that point. That was the fixed course and usage of their business as carriers. In the absence of any express contract the law implies, from the delivery and acceptance of goods for carriage, a contract to carry according to the course and [178]*178usage of the carrier’s business; and if marked for a point beyond his terminus, to deliver there to the next carrier on the route. Here there was no express contract. No verbal agreement was made. The wool was received, and a written receipt" given in these words : — “ Deceived from John M. Pendleton & Co. in good order, on board the Norwich and Worcester boat, bound for Stafford, ct., the following packages &c.” That does not import a promise to carry to Stafford. Read in the light of surrounding circumstances, it is a mere acknowledgment of the receipt of the wool, and that it and not the steamer was “ bound for,” that is, directed to — ■ marked for — Stafford, and the plaintiffs’ case would have been just as strong if the simple fact of the receipt of the wool and the marks had been proved by- other and verbal evidence. The receipt given in Elmore v. The Naugatuck Railroad Company was much stronger and yet holden a mere acknowledgment.

Nor is there any unexplained evidence that the defendants held themselves out in any manner as carriers to Stafford, and that the plaintiffs were thereby misled. There was no advertising or other representation to that effect nor was pay taken in advance for the whole distance. There was evidence of the carriage at prior times of other goods for the plaintiffs upon the boat of the defendants and over the northern road, and that the defendants made out and collected the bills for their carriage the whole distance. Unexplained that would tend strongly to show that such was their established course of business. But that is explained, and it is shown that in so collecting the freights on the railroad, they were in fact but the agents of that road, and collecting as a matter of convenience to both. There is nothing else to show a contract to carry to Stafford, and it is a case of mere reception to carry according to the fixed course of the business as conducted by the carrier.

The question whether the mere receipt of goods marked for and destined to a place beyond the terminus of a carrier’s route, is prima facie evidence of a contract to carry to the place of destination, is not now an open one in this state." It [179]*179has been settled by the three cases of Hood v. The N. York & N. Haven R. R. Co., 22 Conn,, 1; Elmore v. The Naugatuck R. R. Co., 28 id., 457; and Naugatuck R. R. Co. v. The Waterbury Button Co., 24 id., 468. Not indeed in accordance with the law as recognized in England, but adversely, and in accordance with what is deemed sound policy for this extended country, and the current of decision here, especially in the large commercial states, where the most lines and the greatest amount of carriage exist.

But it is claimed that if there was no express contract there was an implied one ; because, by reason of their connection with the northern road, the defendants were carriers in fact to Stafford. If the fact was so the defendants would be liable. But the fact was not so, and the evidence did not justify the jury in finding it. There was a contract between the corporations which was in evidence. It did not establish and was not intended to establish between them any community of profit and loss, or of management or expense, and did not constitute them partners. Each was entitled under it to continue to transport independently, both in relation to the management of and the expense upon their own routes, and between their respective termini. It was an agreement relative to the amount of their respective charges, or rather respecting a proportionate division of the charges, on through freight and on that only, and for certain conveniences for the mutual, delivery of such freight. It did not and could not make the defendants so carriers in fact to Stafford, that the law will imply a contract by the defendants to cany there from the mere receipt by them of the goods marked for that place,

2. The defendants insist in the second place, that if a contract could be found or implied from the facts as in evidence, they could not be holden liable, because their directors had no legal power to make such a contract which would bind the company, and they rely on the case of Hood v. The N. York & N. Haven R. R. Co., 22 Conn., 502. The plaintiffs insist that the case is in .conflict with the whole current of authority both in England and in this country and is not law.

That case can not be overruled or shaken on the ground [180]*180that the principles there applied áre technically wrong. The principle is fundamental and elementary, that the power of a corporation is limited to the powers conferred by the charter, and such as are necessarily incidental thereto. The courts of other states in the cases cited have not questioned or disregarded that principle. But corporations have within a few years under general laws become so numerous, and are so connected with and so control the business of the country, and even its religious and benevolent agencies, that the courts have gradually come to think it necessary to relax the techni-. cal and theoretical strictness of the legal principles applicable to them, and subject them to the same liabilities for the acts of their agents as natural persons, so far as it can be done practically and consistently with their charters.

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Bluebook (online)
33 Conn. 166, Counsel Stack Legal Research, https://law.counselstack.com/opinion/converse-v-norwich-new-york-transportation-co-conn-1865.