Hill v. Northern Pacific Railway Co.

74 P. 1054, 33 Wash. 697, 1904 Wash. LEXIS 300
CourtWashington Supreme Court
DecidedJanuary 2, 1904
DocketNo. 4784
StatusPublished
Cited by7 cases

This text of 74 P. 1054 (Hill v. Northern Pacific Railway Co.) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hill v. Northern Pacific Railway Co., 74 P. 1054, 33 Wash. 697, 1904 Wash. LEXIS 300 (Wash. 1904).

Opinion

Dunbar, J.

This is an action at law for the recovery of $218.55, the alleged true value of certain household goods shipped from Tacoma, Washington, to Everett, Washington, over respondent’s railroad, and which were [700]*700lost in transit. The complaint is the ordinary complaint in such actions, alleging the value of the goods lost to be $278.55. The answer admits the shipment of the goods, but pleads that they were shipped under a certain contract in which the agreed value of the goods was $5 per hundred pounds. The contract upon which the defense is based is as follows:

“Northern Pacieic Railway Company Property Release.
Tacoma, 2-7, 1902.
Consigner and Destination. Description of Articles.
J. 0. Hill Everett Wash. H. H. Goods Released Value of this shipment is agreed to be 5.00 per 100 lbs.
In consideration of the Northern Pacific Railway Company having received the above property from R. C. Bulger consigned to T. C. Hill, to be transported from Tacoma Station to Everett Station, I hereby release said company, and each and every other Railroad over whose Lines said Goods may pass to destination, from any and all damage that may occur to said Goods arising from leakage or decay, chafing or breakage, damage by fire while in transit or at Stations, loss of damage from effect of heat or cold, or from any other cause not the result of collisions of trains, or of cars being thrown from the track while in transit. And I further guarantee to said Company or other Railroad Companies, that any and all freight or other necessary charges that may accrue as provided by tariffs of said Road or Roads, shall be paid by consignee within twenty-four hours after arrival of said Goods at destination, and in case such charges are not so paid, the said Company or Company holding said Goods may send them to warehouse, or sell them for charges, without further recourse to me. I do also release said Company from all loss or damage that may occur to any freight shipped [701]*701by me, above entered, after it has been unloaded from the ears at-Station on their line.
Witness, W. Gt. Bassett. R. 0. Bulger, Shipper.”

Respondent ascertained the number of pounds shipped, and tendered $19.25, the sum which it alleged to be due under such contract. At the close of the evidence the court directed a verdict against the defendant for $19.25, upon which judgment was entered, and from which judgment this appeal is prosecuted.

The appellant contends that the contract is void for the reasons, (1) that it is contrary to public policy, and (2) that it is without consideration. It is well established, we think, by judicial decision, that a common carrier cannot relieve itself by contract from its common law liability for damages to, or loss of, goods consigned to it. But it does not seem to us that that question is involved in this cáse. It is simply the question of whether the carrier and shipper have a right to stipulate or agree in advance of the shipment concerning the value of the goods shipped, and it seems to us that this question was squarely decided in Hart v. Pennsylvania R. Co., 112 U. S. 331, 5 Sup. Ct. 151, 28 L. Ed. 717, where it is held that where a contract of carriage signed by the shipper is fairly made with a railroad company, agreeing on a valuation of the property carried, with the rate of freight based on the condition that the carrier assumes liability only to -the extent of the agreed valuation, even in case of loss or damage by the negligence of the carrier, the contract will be upheld as a proper and lawful mode of securing a due qiroportion between the amount for which the carrier may be responsible and the freight he receives, and of protecting himself against extravagant and fanciful valuations.

There the contract was entitled, “Limited Liability LiveStock Contract for United Railroads of Hew Jersey Divis[702]*702ion, Ho. 206,” and it was agreed that the shipper had delivered to the company into its safe and suitable cars, one car, 5 horses, upon the following terms and conditions: First, that the shipper was to pay freight thereon to said company at the rate of ninety-four cents per hundred pounds, and the carrier assumed liability as follows: If horses or mules, not exceeding $200 each (with some other provisions which are not pertinent). One of the horses was tilled and it developed that they were race horses, and suit was brought against the company for the recovery of the alleged value of the horse at $15,000, together with damages for $3,000 for the injury to another horse, and $3,500 for the injury to still another. It was admitted by the defendant that the damages sustained by the plaintiff were equal to the full amount expressed in the bill of lading, and the court instructed the jury that the amount recovered could not exceed the value expressed in the bill of lading. This case was appealed and finally reached the supreme court of the United States, where the judgment was affirmed, the supreme court in the course of its opinion saying:

“The presumption is conclusive that, if the liability had been assumed on a valuation as great as that now alleged, a higher rate of freight would have been charged. The rate of freight is indissolubly bound up with the valuation. If the rate of freight named was the only one offered by the defendant, it was because it was a rate measured by the valuation expressed. If the valuation was fixed at that expressed, when the real value was larger, it was because the rate of freight named was measured by the low valuation. The plaintiff cannot claim a higher valuation, on the agreed rate of freight.”

The same thing may be said in this case. In addition to the fact that the presumption may be considered conclusive that, if the liability had been assumed on a valúa ■ [703]*703tion as great as that now alleged, a higher rate of freight would have been charged, the imdisputed testimony shows that this contract was entered into with the especial understanding, and in accordance with the general rule of the company, which was made known to all shippers, that the contract under which the goods were shipped was a contract for a less rate than the ordinary contract where there was no limitation of value placed upon the goods, the testimony showing that the ordinary shipping rates were one and one-half times larger than the rates charged on tliis limited valuation way bill. The court stated in that case that it was the law of that court that a common carrier might, hy special contract, limit his common law liability, but that he could not stipulate for exemption from the consequences of his own negligence or that of his servants, and many cases are cited to sustain the conclusion reached, and the qualification on the prohibition against common carriers to escape the common law liability was justified in the following language:

“There is no justice in allowing the shipper to be paid a large value for an article which he has induced the carrier to take at a low rate of freight on the assertion and agreement that its value is a less sum than that claimed after loss. It is just to hold the shipper to his agreement, fairly made, as to value, even where the loss or injury has occurred through the negligence of the carrier.

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Cite This Page — Counsel Stack

Bluebook (online)
74 P. 1054, 33 Wash. 697, 1904 Wash. LEXIS 300, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hill-v-northern-pacific-railway-co-wash-1904.