Neal, Morse & Co. v. Boggan

97 Ala. 611
Supreme Court of Alabama·Decided July 1, 1892·Published·Cited by 3 cases

Opinion

McCLELLAN, J.

— Where personalty is sold for cash on delivery, or to be partly paid in money on delivery, or to be paid for in whole or in part with promissory notes, and the like, on delivery, the payment stipulated for, is a condition precedent to the passing of title, into the buyer, and unless it is complied with the seller may reclaim the property. 1 Benj. on Sales (Bev. Ed.) §§ 335-350; Shines v. Steiner, 76 Ala. 458; Harmon v. Goetter, Weil & Co., 87 Ala. 325.

But even in such case if delivery is made to the purchaser without presently demanding the payment thereon required by the contract, the condition precedent is waived and the title, passes. — 1 Benj. on Sales, §§ 351-356; Blackshear v. Burke, 74 Ala. 239. Thus in Ludom v. Phillips, 1 Yeates, 527, the seller of a lot of sugar for cash on delivery left it in front of the buyer’s store m his absence. On the same day the buyer sold it, and, two hours later, failed. It was ruled in [612] replevin by tbe seller against tbe sub-purchaser tbat tbe condition bad been waived and title had passed to tbe buyer. Tbe court said: “If one sells goods for cash, and tbe vendee takes them away without payment of the money, tbe vendor should immediately reclaim them by pursuing tbe party.” So in Bowen v. Burke, 13 Pa. 146, it is said: “By an unqualified delivery, notwithstanding a cash sale, tbe seller relinquishes tbe advantage of possession and trusts to bis action on tbe contract.” In Mackaness v. Long, 85 Pa. 158, it is said: “Although tbe terms of a sale be cash, subsequent delivery without payment passes tbe property to tbe vendee, not only as against tbe rest of mankind, but against tbe vendor himself. If tbe vendee takes tbe goods away without payment, tbe vendor should immediately reclaim them by pursuing tbe party and retaking them, and this may be done, when necessary, even by force.. Tbe right of reclamation, after delivery, exists only in cases of fraud or deceit in tbe purchase, or in procuring tbe possession.” And so on a sale of sugar to be paid for at delivery by note with certain endorsers, there was delivery without presently requiring tbe execution of tbe notes. Tbe sugar was attached at tbe suit of a creditor of tbe buyer, and replevied by tbe seller. Tbe jury found for plaintiff, but tbe court, assuming tbat tbe sale was conditional, set tbe verdict aside on tbe ground tbat tbe condition bad been waived, saying: “We are of opinion tbat tbe verdict is against tbe evidence, for there is nothing in tbe case from which an intention to bold on upon tbe condition, can be inferred; no declaration at tbe time, which, though not necessary, is important, and no call for security until it was forgotten or abandoned, and perhaps never would have been recurred to if the goods bad not been attached.” — Smith v. Demise, 6 Pick. 262. Following this case, it was declared in Smith v. Dynes, 5 N. Y. 41, that “where there is a condition precedent attached to a contract for sale and delivery, tbe title does not vest in tbe vendee on delivery until be performs tbe condition, or tbe seller waives it. An absolute and unconditional delivery is regarded as a waiver of tbe condition.” And to tbe same effect are tbe following cases, collated in Benjamin on Sales: Husted v. Ingraham, 75 N. Y. 251; Parker v. Baxter, 86 N. Y. 586; Worder v. Hoover, 51 Iowa, 491; Haskins v. Warren, 115 Mass. 514; Cole v. Berry, 42 N. J. L. 408; Freeman, v. Nichols, 130 Mass. 250; Thompson v. Wedge, 50 Wis. 642; and this doctrine has been announced for this court by Briekell, C. J. in tbe following language : “ • • • Tbe title vested in tbe purchaser, and from the [613] moment of delivery of possession, the relation of buyer and seller was changed into that of debtor and creditor. This' is true, even where there is a sale of goods for cash; if the seller, without demanding the purchase-money, not being induced by the fraud of the buyer, delivers the goods to him unconditionally, the title vests in the buyer and he becomes the absolute owner.” — Blackshear v. Burke, 74 Ala. 239, 242.

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Neal, Morse & Co. v. Boggan, 97 Ala. 611 (Ala. 1892).

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