Eastern Transp. Co. v. Blue Ridge Coal Corp.

53 F. Supp. 507, 1943 U.S. Dist. LEXIS 1921
CourtDistrict Court, S.D. New York
DecidedOctober 29, 1943
StatusPublished

This text of 53 F. Supp. 507 (Eastern Transp. Co. v. Blue Ridge Coal Corp.) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Eastern Transp. Co. v. Blue Ridge Coal Corp., 53 F. Supp. 507, 1943 U.S. Dist. LEXIS 1921 (S.D.N.Y. 1943).

Opinion

COXE, District Judge.

This is a cross-libel of the Eastern Transportation Company against the Blue Ridge Coal Corporation to recover the sum of $5,750.88, with interest, for the transportation of certain quantities of coal by the Eastern Transportation Company, cross-libellant, for the Blue Ridge Coal Corporation, cross-respondent, from Hampton Roads, Norfolk, Va. to New York, N. Y. The cross-respondent does not dispute the claim of cross-libellant, but denies that it owes any money to cross-libellant because of a claim of set-off and recoupment.

During the coal year commencing April 1, 1941, and ending April 1, 1942, Eastern was a carrier, owning barges and tugs, and Blue Ridge was engaged in the retail sale of coal in the City of New York. Blue Ridge purchased coal from the Carter Coal Company, which had mines at Susanna, West Virginia, and in order to transport from Hampton Roads, Norfolk, Va., to New York City, the coal purchased from Carter, Blue Ridge entered into a contract with Eastern, dated as of the 1st day of April, 1941. This contract, among other things, provided that Eastern would furnish to Blue Ridge, during the coal year, to wit, from April 1, 1941, to April 1, 1942, for the transportation of coal from Hampton Roads, Norfolk, Va., to New York City, such barges as Blue Ridge might require to a maximum of one barge per month from April, 1941, to September, 1941, inclusive, and of four barges per month on continuous trips from October 1, 1941, through March, 1942. The contract obligated Blue Ridge to ship, on the barges furnished by Eastern, coal, in cargo lots sufficient and suitable for the berth of Blue Ridge, at Greenpoint, Brooklyn, N. Y., and other berths, to be designated by Blue Ridge, in New York Harbor; it further provided that reasonable notice would be furnished by Blue Ridge to Eastern as to when cargoes would be available for loading, and that reasonable notice would be furnished by Eastern to Blue Ridge as to when barges would be available. At the same time, Blue Ridge entered into a contract with another barge company, namely, the P. Dougherty Company, which contract ran concurrently with Eastern’s contract. Although the Dougherty contract was not offered in evidence, the proof shows that the contract provided for three barges each month from October, 1941, through March, 1942. Both contracts were negotiated through Maxwell Harris, a Marine Chartering Agent of Boston, Mass., who acted as a broker for Eastern, and was paid a commission of 2%% by that company.

On or about March 13, 1941, Carter set up an allocation schedule of coal to be delivered monthly to Blue Ridge during the coal year. This schedule was prepared by Carter without consultation with Blue Ridge. The total tonnage programmed for the entire coal year was 217,450 tons, and 176,741.95 tons were actually shipped, leaving a deficit at the end of the coal year of 40,708.05 tons. This' deficit arose during the first six months of the coal year, to wit, from April 1, 1941, to October 1, 1941. In this period, the schedule called for the shipment of 108,100 tons, but only [508]*50854,985.45 tons were actually shipped, so the deficit on October 1, 1941, was 53,114.-55 tons. Carter felt obligated to deliver to Blue Ridge the full tonnage programmed, and it planned to make up the deficit during the last six months of the coal year. This it was unable to do, however, for during this last six-month period, as against the original allocation schedule of 109,350 tons, only 121,056.45 tons were shipped.

Prior to the commencement of each month, Carter notified Harris of the number of shipments from its mines that it intended to make for Blue Ridge during the month, and also notified him of the days on which these shipments would be ready to load, and Harris made the necessary barge arrangements, and notified Carter of the schedule for the arrival of the barges. Thus on September 29, 1941, Harris notified Carter that in connection with Carter’s October schedule for about 20,-000 tons for the account of Blue Ridge, he was tentatively setting up seven barges, which would give seven loadings during the month. The October schedule called for two loadings by the “Joseph Hooper”, and one loading by the “Luther Hooper”, both Eastern’s barges, and for four loadings by three Dougherty barges. All of these seven cargoes were actually loaded by November 1, 1941, but Blue Ridge received only 15,975.90 tons, whereas it was scheduled to get 23,350 tons. In November, the amount of coal that Carter shipped was limited because of a strike in the mines, and although the monthly schedule called for 24,200 tons, only 9,664.85 tons were shipped, and all coal sent to tidewater by Carter was taken care of by Dougherty barges. On November 29, 1941, a schedule of December loadings was set up, and this schedule called for eight or nine loadings. Provision was made for one loading by the “Joseph Hooper”, an Eastern barge, on December 9, 1941, and it was understood that a decision would be made later as to the boats to be used for the cargoes to be shipped in the latter half of the month. On December 8, 1941, Harris advised Blue Ridge that the “Luther Hooper” would load on December 10th, and again on December 27th. Neither the “Joseph Hooper” nor the “Luther Hooper” loaded during December, but the barge “Cohasset”, which was chartered with the approval of Eastern, was loaded during that month. Actually, eight loads were carried, and 28,722.70 tons were shipped, although only 16,850 tons were originally scheduled for shipment. For January, the original schedule called for the shipment of 13,700 tons, and 25,409.-90 were actually shipped. The monthly schedule which was agreed upon by Harris and Carter on December 22, 1941, provided for nine "cargoes between January 2, 1942, and February 2, 1942, and eight shipments were actually made. These included two loadings by the “Ann Hooper”, an Eastern barge. At the end of January, there were 3,101 tons of coal on the piers, which was approximately one barge load. The original schedule for February, 1942, provided for the shipment of 13,700 tons, and 19,090.45 tons were shipped. The monthly schedule called for seven cargoes, and six were accomplished, one by an Eastern barge. At the end of the month, there were still 2,904 tons on the piers. During February, the “Ann Hooper” an Eastern barge, which had been assigned to Blue Ridge, was sunk, and Blue Ridge moved one cargo all rail to New York.

For March, 1942, seven cargoes were set up, including one February cargo, and six were accomplished. In addition, a cargo which was set up for loading on March 23 was cancelled on March 17, 1942, and the shipment was sent all rail to New York, and a cargo which was set up for loading on March 30, 1942, was cancelled. During this month, the original program called for the shipment of 17,550 tons, and 22,192.65 tons were actually shipped.

Blue Ridge did not pay Eastern for the cargo that was loaded on the barge “Luther Hooper” on February 25, 1942, and for the cargo that was loaded on the same boat on March 23, 1942, and Eastern now seeks to recover for the transportation of such coal. Blue Ridge admits that it has not paid for such transportation, and that the charges are in accordance with the contract; but it sets up by way of defense and recoupment a claim for the additional transportation charges by rail incurred in February and March, 1942, and a claim for the profit that was lost on the coal which Carter had allotted to it over the coal year, and which it did not receive, less the coal that Carter was prevented from shipping by reason of labor difficulties.

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Bluebook (online)
53 F. Supp. 507, 1943 U.S. Dist. LEXIS 1921, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eastern-transp-co-v-blue-ridge-coal-corp-nysd-1943.