New Prague Flouring Mill Co. v. Spears

194 Iowa 417
CourtSupreme Court of Iowa
DecidedSeptember 26, 1922
StatusPublished
Cited by11 cases

This text of 194 Iowa 417 (New Prague Flouring Mill Co. v. Spears) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New Prague Flouring Mill Co. v. Spears, 194 Iowa 417 (iowa 1922).

Opinion

Weaver, J.

The plaintiff is a wholesale dealer in flour, and defendant is the proprietor of a restaurant and bakery. On July 28, 1920, at a solicitation of a traveling salesman, defendant executed a written order for the purchase from plaintiff of 100 barrels of flour. This simple and familiar business transaction was evidenced by a writing of such unusual and extraordinary character, so insusceptible of any satisfactory abbreviation, that we here copy it verb atún.

“Exhibit A.

“Dated July 28, 1920.

“New Prague Flouring Mill Co., of New Prague, Minn., hereby agrees to sell to G. A. Spears of Pleasantville, Iowa, who agrees to buy from seller, at said New Prague, at the price, or prices, in the quantity, or quantities stated below, and on the [419]*419terms and conditions and subject to the agreements appearing below and on the back hereof, the following described goods:

Number Bbls. Flour Style of package Seller’s Brand Price Flour, per bbl. Feed, per ton

100 98 lbs. White Pearl Flour Coarse Granulation $14.15

“If any specifications are written in space immediately following, they shall apply to each shipment unless request for change reaches seller’s New Prague, Minn., office 5 days before shipment and such change is consented to in writing by seller from its said office.

Old Wheat Flour

“Ship to Pleasantville, Iowa.

“Railroad delivery desired by buyer at destination C. B. & Q.

“To be shipped as follows-: November 1st, 1920, on directions to be furnished you by buyer.

“Terms: Net. Arrival draft with bill of lading attached.

“Braft through Citizens Bank.

“Freight allowed by seller to D. M.

“Par. 1. If buyer indicated a desire to have any ‘shipping date’ extended but fails to specify substitute date, or proposes extension or substitute date which is not satisfactory to seller, seller may, if it desires, extend ‘shipping date’ for such time as it may desire, but not more than 30 days, giving buyer notice by mail or telegram thereof. In event of such extension, or any other extension or postponement of ‘shipping date,’ buyer shall furnish directions for shipment, within such extended period, as in Clause (2) of Par. 4 '(even though not specifically written on face hereof that buyer shall furnish directions), buyer’s failure so to do authorizing seller to exercise, as to shipment extended, any of the four rights set out in said Clause (2). Grant[420]*420ing of extension shall always be optional with seller. Buyer shall pay seller for any and all extensions or postponements of ‘shipping date’ (whether at buyer’s request, or otherwise), ‘carrying charges’ equal to 10c per bbl. on flour and 25c per ton on feed for each 30 days,' or fraction thereof, extended or postponed, due on demand. Any such charges accrued on date of any shipment may be included in draft therefor.

“Par. 2. On breach of contract by buyer, seller shall recover liquidated damages as follows:

‘ ‘ Clause 1st: As to any of above goods shipped which buyer wrongfully fails or refuses either to accept or pay for, seller may resell same, at public or private sale, without notice, any. time within 90 days from date of such failure or refusal, and recover from buyer thereon difference between purchase price thereof herein contracted and price obtained on resale, if latter be less than former; also all incidental loss and expense, including salesmen’s time and expense, demurrage, storage, cartage, reconsigning, additional freight charges, etc., and any carrying charges unpaid on such goods. Resale anywhere in the usual course of seller’s business, and resale at any terminal market or at or near destination shall be proper and price received conclusive unless, bad faith is clearly proven.

‘ ‘ Clause 2d. As to any of above flour remaining unshipped by reason of buyer’s breach, seller shall recover damages as follows: (a) A sum equal to 4c multiplied by the number of bu. of wheat required to make such unshipped floui', figuring 4% bu. to the bbl. of flour: plus, (b) a sum equal to 2c multiplied by the said number of bu., which sum shall be calculated for each 30 days, or fraction thereof, intervening between date hereof and date of breach: plus, (c) amount of decline, if any, per bu. from date hereof to date of breach, in highest closing price, at Mpls., of Number 1 Northern Spring wheat, multiplied by said number of bu. In case of a rise in such price of such wheat between said dates, instead of a decline, seller shall recover the sums at (a) and (b) above less a sum determined by multiplying amount of such rise, per bu., by said number of bu., such prices on date hereof and date of breach being taken to ascertain amount of decline or rise per bu. Any carrying charges paid on such flour only shall also be deducted from [421]*421seller’s said recovery. If there is neither rise nor decline in such price, seller shall recover the sums at (a) and (b) above, less such carrying charges paid, if any. Such wheat prices as shown by ‘Daily Market Record’ of Mpls. or records of Mpls. Chamber of Commerce shall be conclusive unless proven materially erroneous. As to feed, or other mill products, so remaining' unshipped hereunder, if any, seller shall recover difference (less freight allowed thereon, if any) between purchase price thereof herein contracted and value thereof to seller, in carload lots, at said New Prague, based on its minimum selling price on date of breach, if latter be less than former.

“Par. 3. Subject to qualifications herein, as to any goods which seller fails to ship within contract time, buyer is authorized to purchase within 30 days after such failure, in the open market, at manufacturer’s prices, in quantity equal to that which seller so fails to ship, goods of the same quality as herein contracted for and recover from seller, excess of price so paid, if any, over purchase price herein, which shall be his sole remedy.

“ [Signed] New Prague Flouring Mill Company, Seller,

“By [Signed] Lenz & Crawford, Salesman.

“[Signed] C. A. Spears, Buyer.

“ [On back of contract.] Par. 4. Clause (1). Unless specif-

ically written on face hereof that buyer shall furnish shipping-directions, seller shall ship the within goods, as may be directed in writing on face hereof, but, if no shipping directions are written on face hereof or if directions so written are indefinite or incomplete, seller shall either request buyer to supply or com- ' píete directions or shall make shipment without so doing, in which latter event seller shall use its best judgment as to buyer’s desires, observing any time limit for shipment written on face hereof. If seller requests buyer to supply lacking, or to complete indefinite or incomplete directions and buyer fails to do so within such time as seller, in its said request therefor, may limit, seller shall make shipment as last above provided at any time that it may elect, not later than 30 days after expiration of time so limited in said request.

“Clause (2). But if specifically written on face hereof that buyer shall furnish shipping directions, buyer shall be [422]

Free access — add to your briefcase to read the full text and ask questions with AI

Related

C & J Fertilizer, Inc. v. Allied Mutual Insurance Co.
227 N.W.2d 169 (Supreme Court of Iowa, 1975)
United States v. Lennox Metal Manufacturing Co.
225 F.2d 302 (Second Circuit, 1955)
Lannom Manufacturing Co. v. Strauss Co.
15 N.W.2d 899 (Supreme Court of Iowa, 1944)
Groves v. City of Webster City
270 N.W. 329 (Supreme Court of Iowa, 1936)
Strand v. Bleakley
243 N.W. 306 (Supreme Court of Iowa, 1932)
International Milling Co. v. Reierson
225 N.W. 218 (South Dakota Supreme Court, 1929)
Millard v. Curtis
223 N.W. 489 (Supreme Court of Iowa, 1929)
Hornish v. Overton
221 N.W. 483 (Supreme Court of Iowa, 1928)
Fairley v. Falcon
214 N.W. 538 (Supreme Court of Iowa, 1927)

Cite This Page — Counsel Stack

Bluebook (online)
194 Iowa 417, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-prague-flouring-mill-co-v-spears-iowa-1922.