Cunningham v. Judson

37 N.Y. Sup. Ct. 63
New York Supreme Court·Decided May 15, 1883·Published

Opinion

Daniels, J.:

The recovery was for the difference between the proceeds of the sale of 500 tons of Eglinton Scotch pig iron, and the amount agreed to be paid for it by the defendant.

Eor its purchase a contract was entered into by the defendant in the following form:

New Yoek, Jcmua/ry 20, 1880.

Bought of Messrs. 'Winthrop Cunningham: & Son, for aeooumt Mr. B. F. Judson :

About five hundred (500) tons No. 1 “Eglinton” Scotch pig iron, for shipment in March, 1880, from Great Britain to New York, by sail or steam vessels, at sellers5 option, deliverable “ ex vessels ” on arrival at this port, at thirty-one dollars and seventy-five cents ($31.75) per ton (of 2,240 lbs.), payable by buyer’s note to his own order, with interest at six per cent (6 per cent) per annum, at ninety (90) days from delivery of United States weigher’s returns, which are to decide quantities to be paid for. Interest for three days’ grace to be included.

T. D. HAZARD, Broker.

Across the face is written, “ Accepted : B. F. Judson.”

And it was shown that the iron in controversy was shipped on board the bark Jennie Harkness, from a port in Great Britain, in March, 1880, to be carried to the city of New York. The iron was of the quality and description mentioned in the contract, and the ship arrived at New York on the 7th of May, 1880, and discharged her cargo between the tenth of the month and the first of July.

The iron was not in fact the property of or shipped by the plaintiffs when it was laden on board the vessel, but they entered into a negotiation with the owners of it in April for the purchase of this quantity of it, and on the fourteenth of May received a contract in writing for its sale to them upon the payment of the purchase-price. Upon this state of facts the defendant’s attention was directed to the arrival of the iron and the plaintiffs desire to deliver it to him in fulfillment of their contract with him, and on the 14th of May, 1880, he replied to them that they had made no shipment of iron within the contract to meet its terms, and had furnished [65] bim with no order for iron owned by them, and in express terms declined their proposals as not being within the contract. This was followed by further correspondence, and in their letter of the seventeenth of May the plaintiffs in terms tendered the defendant 500 tons of iron of the description of that mentioned in the contract, then on board the Jennie Harkness, and asked for his directions whether they should land it on the wharf or deliver it to lighters, and asked his reply to the inquiry. And in answer to that and two succeeding letters of the eighteenth and nineteenth of similar tenor and effect, the defendant responded on the twentieth declaring that he did not sanction any of their proceedings. This state of affairs, so far as they were affected by the conduct of the parties, continued until the first of June, when the iron was again offered with the United States weigher’s return and a negotiable warehouse receipt for it indorsed to him, which he promptly refused and returned to the plaintiffs. In the meantime the iron, not being permitted to remain upon the wharf, was placed in a warehouse on the same pier, and near the place of its delivery from the ship; and by the receipt, indorsed by the plaintiffs, the defendant would have been permitted to have taken it from the warehouse on the production of that document. But apparently for the reason that the iron was not offered to him at the side of the vessel the jury were allowed to infer that the plaintiffs had failed to perform their contract and could not, therefore, recover in the action. But by what had previously transpired between the parties it is clear that the defendant did not intend to accept or receive this iron in fulfillment of the agreement; and did not decline to receive it because of the fact that it had been placed in the warehouse. That was evident from the terms of the letters written by him on the fourteenth and twentieth days of May, for, substantially, they each embodied direct refusals to receive the iron offered to him in performance of the terms of the agreement. And when such a refusal has been made its effect is to dispense with further offers or ceremonials on the part of the other contracting’party. (Cornwell v. Haight, 21 N. Y., 462, 465; Crary v. Smith, 2 Comst., 60, 65; Blewett v. Baker, 58 N. Y., 609, 613; Lawrence v. Miller, 86 id., 131.)

It is very evident from the case that the plaintiffs possessed the ability to obtain and deliver this iron to the defendant, and that he [66] did not refuse to receive it because 'be bad the least suspicion of their inability to do that. He on tbe other hand by his conduct assumed that they could supply him with tbe iron, but he declined to allow them an opportunity to do that. The effect of his conduct was to dispense witB a more formal tender or offer than that which preceded and followed his. letters of the fourteenth and twentieth of May; and the fact that the iron was afterwards allowed to go in store because of the defendant’s failure to receive it would not under any well settled legal principle prevent the plaintiffs from recovering in the action, .for he at no time in any manner declined to receive it on account of that circumstance.

The court at the trial was requested in substance to charge this to be the law, but it refused to do that, and the plaintiffs excepted to the refusal.

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Cunningham v. Judson, 37 N.Y. Sup. Ct. 63 (N.Y. Super. Ct. 1883).

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Brown v. . Brown
58 N.Y. 609 (New York Court of Appeals, 1874)
Cornwell v. . Haight
21 N.Y. 462 (New York Court of Appeals, 1860)