Mente & Co. v. Kaplan

83 So. 895, 146 La. 678, 1920 La. LEXIS 1886
CourtSupreme Court of Louisiana
DecidedFebruary 2, 1920
DocketNo. 22045
StatusPublished
Cited by2 cases

This text of 83 So. 895 (Mente & Co. v. Kaplan) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mente & Co. v. Kaplan, 83 So. 895, 146 La. 678, 1920 La. LEXIS 1886 (La. 1920).

Opinion

O’NIELL, J.

Mente & Co. sued Abram Kap-lan for $8,750, the invoice price of 100,000 rice sacks alleged to have been sold and delivered to him at $87.50 per M, less $1,000 paid on account and less $45.10 credited for a bale of sacks that he had returned.

In answer to the suit Kaplan acknowledged having bought the sacks, but alleged that there was a shortage in the number and weight of sacks delivered, and that Mente & Co. had violated the contract in other respects. Kaplan therefore set up a reconven-tional demand for damages exceeding plaintiff’s demand by $918, and prayed for judgment accordingly.

Judgment was rendered in favor of Mente & Co. for the amount sued for, less a credit of $216.65 for shortage in the weight and number of sacks delivered. Kaplan’s recon-ventional demand for damages was rejected at his cost, and he prosecutes this appeal.

The only issue before us is appellant’s demand for damages and for an increase in. the price allowed for the shortage in weight and number of sacks delivered.

[1 ] Among the items of damages claimed is a demand for $5,000 punitive damages, which cannot be allowed and is virtually abandoned by appellant. It is now well settled that a court having jurisdiction only in civil cases cannot impose a penalty in the form of punitive damages, but is confined, in allowing damages for breach of contract, or for an offense or quasi offense, to compensation for the loss or injury suffered.

Appellant’s complaint, in substance, is that Mente A Co. violated the contract of sale by refusing to ship the sacks promptly when they were needed, as required by the contract, and that he (Kaplan) was thereby deprived of a profit of $2,229.56 that he would have made upo'n 35,673 sacks if they had been shipped in time to be used by the rice farmers to whom he would have sold them. The profit is figured at $62.50 per M, the difference between the contract price of $87.50 and the alleged market price of $150 per M. In addition thereto, appellant claims $68 for insurance paid on 10,673 sacks that he carried over .to the next rice harvesting season. The other 25,000 of the 35,673 sacks on which defendant claims he lost a profit were not shipped at all. [681]*681Tlie question is whether Mente .& Co. was under obligation to ship them.

The contract, as we interpret it, was to furnish Kaplan what sacks he would require from time to time during the harvest season, not less than 100,000, nor more than 125,000, at the price stipulated. The proposition in writing was submitted by Mente & Co. to Kaplan, who, after making a change in the proposed terms, signed and returned it, viz.:

Mente & Co.
New Orleans, La. July 10/14.
Sold to A. Kaplan, Esq., Crowley, La., 100,-000 to 125,000 64/9 oz. bags, §87.50 f. o. b.
Terms: All bills to be due in January, 1915. Interest at the rate of 6 per cent, to be charged on each item commencing .30 days from date of shipment.
All contracts are accepted subject to delays resulting from strikes and other unavoidable causes. Our responsibility ceases on our receiving signed bill of lading from transportation company. This contract expresses entire agreement.
[Signed] J. C. Werner, Mgr. Accepted:
[Signed] A. Kaplan.
All orders taken subject to approval of credit by home office.

The transaction had been negotiated by telephone and was confirmed by letter of Mente & Co., inclosing duplicate copies of the proposed contract, with the request that Kaplan sign them and return one. The terms proposed by Mente & Co. were these:

“Terms: Four months net from date of shipment, 6 per cent, interest per annum to be added.”

On the.next day after receipt of the proposed contract Kaplan returned one of the copies signed by him, in a letter dated July 11,1914, reading as follows:

“I return herewith signed contract for the 100,000 to 125,000 64/9 oz. bags, at $87.50, New Orleans. I have changed the terms somewhat, which I trust will meet with your approval.”

With regard to the proposed change of terms, Mente & Co. replied, on July 4, 191.4, as follows:

“Wish to thank you for yours of the 11th. In reference to terms, we have submitted same to our Mr. Benjamin and will answer you in a few days regarding this. * * * Thanking you very much, and assuring you we appreciate this business, and that we will get these goods out in September, we remain,” etc.

Mr. Benjamin was, to the knowledge of Mr. Kaplan, the head of Mente & Co.’s home office in New York, the office referred to in the notation on the original proposition, “All orders taken subject to approval of credit by home office.”

Mr. Benjamin was reluctant about approving the credit or change of terms, because Mr. Kaplan had not yet settled his account for bags bought in 1913, and he did not pay the balance then due until the 22d of August, 1914. It appears that Mr. Benjamin therefore did not approve the credit or change of terms until the early part of September, 1914. In the meantime the European War had come on, and, because of the financial difficulties and the difficulty and doubt about the importation from India of the burlap for making the bags, Mente & Co. appealed to their customers generally, and to Mr. Kaplan particularly, to pay cash, if possible, on all invoices.

On the 6th of August, 1914, Kaplan gave shipping orders for two carloads of sacks, 30,-000 to be shipped to Estherwood, La., and. 30,-000 to be shipped to Gueydan, La. Notwithstanding the New York office of Mente & Co. had not yet approved the credit or change of terms proposed by Kaplan, the New Orleans office shipped the 60,000 sacks as ordered, mailing invoices stating: “Terms as agreed.”

Within a week Kaplan ordered another carload of sacks to be shipped to Crowley, .La., and a few days later, that is, on the' 19th of August, 1914, ordered 5,000 sacks to be consigned to A. R. Arceneaux, at Welsh, La. Ip [683]*683the letter containing the last order he asked that the car that he had ordered shipped to Crowley be rushed, if it had not been already shipped. Two days later, that is, on the 21st of August, 1914, Kaplan called at the office of Mente & Co. in New Orleans and gave another order for 5,000 sacks, to be shipped to Crowley, La. Assuming that the carload already ordered shipped to Crowley would amount to 30,000 sacks, as did the carload already shipped to Estherwood and the carload shipped to Gueydan, Kaplan had then, on the 21st of August, 1914, ordered the entire 100,-000 sacks, notwithstanding Mente & Co.’s promise was to ship them in September. The record shows, too, that in previous years Mr. Kaplan used very few- of the season’s supply of sacks in August, ordering most of them in September and some in October. It is apparent, therefore, that he was ordering ahead of the season in 1914, because of his fear that Mente & Co., on account of the war, would not be able to supply all of their customers.

It appears that in the conversation Had between Kaplan and a Mr. Rhea, representing the firm of Mente & Co., in the latter’s office in New Orleans, on the 21st of August, 1914, Mr. Kaplan was told that Mr.

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Bluebook (online)
83 So. 895, 146 La. 678, 1920 La. LEXIS 1886, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mente-co-v-kaplan-la-1920.