Jeffris v. Fitchburg Railroad

33 L.R.A. 351, 67 N.W. 424, 93 Wis. 250, 1896 Wisc. LEXIS 49
CourtWisconsin Supreme Court
DecidedMay 1, 1896
StatusPublished
Cited by13 cases

This text of 33 L.R.A. 351 (Jeffris v. Fitchburg Railroad) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jeffris v. Fitchburg Railroad, 33 L.R.A. 351, 67 N.W. 424, 93 Wis. 250, 1896 Wisc. LEXIS 49 (Wis. 1896).

Opinion

Putney, J.

1. It is insisted that the finding that the J. B. Dixon Lumber Company was insolvent was without any evidence to support it, and that therefore the claim of the [256]*256plaintiff to exercise the right of stoppage in transitu of the lumber, December 21, 1891, was without any warrant or foundation. The sale of the lumber by the plaintiff to that company occurred in the early autumn of 1890, and the purchase price became due February 15, 1891. This was a just •and undisputed debt. Effort to collect it had proved unavailing, and the purchaser had wholly failed to respond to its obligation for a period of over ten months. Investigation then made showed that there was no such, concern located at or about the- alleged place of its business, and it was not named in the city directory. The person in charge where it had done business stated that there was no such concern, but that it was J. B. Dixon. The witness Cooper, ' examined by the defendant, testified that X B. Dixon was the president of the J. B. Dixon Lumber Company, and that he (witness) was connected with the company “during its ■corporation, so to speak,— not exactly in its literal sense,— during its continuance in business, up to about the first of February, 1891.” The just inference is that this company was a corporation, and that it had suspended business February 1,1891, a few days beforp the plaintiff’s debt matured. •Strict proof of insolvency is not required in order to justify the exercise of the right of stoppage m transitu. “By the word ‘insolvency’ is meant a general inability to pay one’s ■debts; and of this inability the failure to pay one just and admitted debt would probably be sufficient evidence.” Benj. Sales, § 837; Smith, Merc. Law, 550, and note. It had failed to pay the just and undisputed debts it had owed to the plaintiff and to the defendant for over ten months. Inquiry made at the former place of business of the debtor elicited the information that there was no such concern,— that it was only J. B. Dixon; and the fact that the witness Cooper, connected with it during its corporate existence and having some knowledge of its business, called to show that the right of stoppage had been terminated by delivery [257]*257to the company or its agent, was not interrogated as to its solvency, is quite suggestive, in view of the facts in evidence, when fairly satisfactory proof of its solvency would have •been fatal to the plaintiff’s action. The evidence constitutes sufficient prima facie proof of insolvency to sustain the finding. There was no attempt made to dispute this evidence or to rebut it. We must hold that the evidence was suffi-oient to warrant the finding.

2. Had there been a delivery of the lumber, in view of the ■evidence, to the consignee, or to an agent of the consignee, so that the defendant had no longer any possession or control of it as carrier? The lumber had reached its ultimate destination, and the controversy is really reduced to the question whether the defendant held it as carrier or as the agent and warehouseman of the consignee. It may be properly said that the possession of the lumber by the defendant was ambiguous, and that it is necessary to gather the intention of the parties from their acts and the effect the law imputes to what they have done. It is said that nothing prevents an agreement by the carrier to hold the goods, after arrival at destination, as agent of the buyer, though he may at the same time say, I shall not let you take them till my freight is paid.” The question is one of intention, and in Whitehead v. Anderson, 9 Mees. & W. 518, the captain was held not to have intended such an agreement by telling the assignee that he would deliver him the cargo when he was satisfied about the freight; Parke, B., saying: “There is no proof of such a contract. A promise by the captain to the agent of the assignee is stated, but it is no more than a promise, without a new consideration, to fulfill the original ■contract and deliver in due course to the consignee on payment of freight, which leaves the captain in the same situation as before.” Benj. Sales, § 853. The existence of the carrier’s lien for unpaid freight, it is held, raises a strong presumption that the carrier continues to hold the goods as [258]*258carrier and not as -warehouseman; and in order to rebut this-presumption there must be proof of some arrangement or agreement between the buyer and the carrier whereby the-latter, while retaining his lien, becomes the agent of the buyer to keep his goods for him. Ex parte Barrow, 6 Ch. Div. 783.

In Ex parte Cooper, 11 Ch. Div. 68, it was held that :: “Where goods are placed in the possession of a carrier to-be carried for the vendor to be delivered to the purchaser, the trcmsitus is not at an end so long as the carrier continues to hold the goods as carrier. It is not at an end until, the carrier, by agreement between himself and the consignee,, undertakes to hold the goods for the consignee, not as carrier, but as his agent.” Unless something equivalent to an, attornment on the part of the carrier to the consignee is shown, so that he has altered his position and holds the-goods in another capacity, the transitus is not at an end: No doubt, where the carrier enters into a new contract with the consignee, distinct from the original contract of carriage, to hold the goods for him as his agent in a new character for the purpose of custody on his account, the trcmsitus would be at an end and the goods constructively in the possession of the consignee. McLean v. Breithaupt, 12 Ont. App. 383, 388, 390. In Whitehead v. Anderson, 9 Mees. & W. 518, the court say: “A case of constructive-possession is where the carrier enters expressly or by implication into a new agreement, distinct from the original-contract for carriage, to hold the goods for the consignee as-his agent, not for the purpose of expediting them to the-place of original destination pursuant to that contract, but in a new character, for the purpose of custody, on his account, and subject to some new or further order to be given to him;” and James, L. J., shortly puts it in Ex parte Cooper,, 11 Oh. Div. 68, that “ there must be no such change as makes the carrier or warehouseman the holder of the goods as the-agent of the vendee.”

[259]*259In Hoover v. Tibbits, 13 Wis. 79, this court held that where the warehouseman to whom the goods are directed to be sent receives them as the agent of the carrier, and while he is holding them as such agent for the purpose of collecting freight and charges the vendor asserts his right of stoppage of the goods, they will not be considered as in the possession of the vendee, so as to cut off that right; and in Harding P. Co. v. Allen, 65 Wis. 584, the rule laid down in Benj. Sales (2d Am. ed.), 788, is declared to be the rule in this state,— that if the possessor of the goods has the intention to hold them for the buyer, and not as agent to forward, and the buyer intends the possessor soto hold them for him, the transitus is at an end; but I apprehend that both these intents must concur, and neither can the carrier of his own will convert himself into a warehouseman, so as to terminate the transitus, without the agreeing mind of the buyer, nor can the buyer change the capacity in which the carrier holds possession without his assent, at least until the carrier has no right whatever to retain possession as against the buyer.” In Sherman v.

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Bluebook (online)
33 L.R.A. 351, 67 N.W. 424, 93 Wis. 250, 1896 Wisc. LEXIS 49, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jeffris-v-fitchburg-railroad-wis-1896.