Nones v. Heirs of Serrallés

32 P.R. 676
Supreme Court of Puerto Rico·Decided February 7, 1924·No. No. 2773·Published

Opinion

Mb. Justice Hutchison

delivered the opinion of the court.

The complaint herein alleged among other things:.

“2. — That, according to plaintiff’s information and belief, on or about the fifth day of April, 1920, defendant gave an option— effective until 9 a. m. of April 9, 1920 — to Louis Fally, of age, for the purchase of 5,000 bags, each containing 125 lb's, net, of washed sugar from said Mercedita Central, belonging to the defendant, at [677]*677the rate of $15 per quintal f. o. b. Ponee for shipment or delivery-on or before April 30, 1920, payable upon delivery of shipping documents by the defendant, payment of said purchase price to be secured by a bank.
“3. — That on April 8, 1920, said Louis Pally, by Rafael Co-llazo, a Ponce commission agent, assigned his rights under the foregoing option or promise to plaintiff Adolfo Nones for the sum of $15.50 per quintal of sugar, and the last named, during the afternoon of the said 8th day of April, 1920, and prior to the expiration of the said option, accepted and communicated his acceptance of said option to the defendant by its said agent Giles, 'stating that the Banco Comercial de Puerto Rico had undertaken to secure the payment of the price fixed by the defendant, as indicated, whereupon the latter declared through Giles that the said option had expired and refused for that reason to carry out said contract, although in point of fact the said option of the defendant did not expire until the day following, April 9, 1920, at 9 a. m., as stated.”

The answer, after denying these averments, set np. affirmatively :

“That on or about March 26, 1920, Mauricio Pally, as the agent in Porto Rico of the Maxim Chemical Co. of New York, a'sked the defendant to quote him a price on 5,000 bags of washed sugar. Said defendant quoted him $13.50 per quintal f. o. b. Ponce and allowed him until March 31st to get a reply to the offer of the sugar to be made in the United States by the Maxim Chemical Co. or by Mauricio Pally in representation thereof. It was speeially stipulated that at the same time the purchasers were to make a deposit of the value of the shipment in the Royal Bank of Canada in Ponce. Under such conditions the defendant was to assume 'charge of the shipment of sugar.
“This sale of five thousand bags of sugar was confirmed by a telegram from Mauricio Fally on March 31, 1920, which further ratified the fact that a credit had been opened in the Royal Bank of Canada in favor of the defendant as arranged. On April 1, 1920, that is, the day following, the Royal Bank of Canada in Ponce denied that it had any such open credit in favor of the defendant.
“On April 3, 1920, Mauricio Pally, personally and as representative of the Maxim Chemical Co., asked for an extension of the time allowed in the said contract for the lodging of funds in the Royal Bank of Canada, on the ground that they had made a bona [678]*678fide sale of said sugar to a firm in New Orleans and that the cable authorizing the credit had been sent two days before the expiration of the time set in the option, hut had not been received until that same day of April 3rd.
“In such circumstances and in view of the special condition's of the business of the agent of the Maxim Chemical Co., Mauricio Falley, the defendant allowed him until the 7th day of April (exclusively and with no other object) to communicate with his purchasers in New Orleans, explaining the situation to them and asking for an increase in the amount of the credit to cover the price of $15 per .quintal of the 'sugar sold, inasmuch as the market was rising rapidly.
“On the said 7th of April Louis Falley called on the defendant, claiming to he the representative of his brother, Mauricio Falley, and stating that he had exchanged cables with the New Orleans purchasers and expressing his fears that the answer with the credit asked for would not arrive in time.
“As a special favor the defendant allowed Louis Falley, as tiie representative of his brother, Mauricio Falley, as well as the latter himself, as representative of the The Maxim Chemical Co., until 9 a. m. of April 9, 1920, for the exclusive purpose of awaiting the receipt of the funds that the New Orleans firm purchasing the sugar had sent.
“The value of the sugar at the price agreed on not having arrived by 9 o’clock of the morning of April 9, 1920, the defendant eon'sidered the deal as broken and void.”

From the record we take the following extracts:

“Defendant: I offer in evidence a letter from the Maxim Chemical Co. dated February 16, 1920, to the Succession of J. Serra-llés, notifying the latter of the arrival in Porto Rico of its representative, Mauricio Fowler.
“Plaintiff: The plaintiff objects to the admission of this letter of February 16, 1920, as evidence for the defendant, first, because the signature of the Maxim Chemical Co. in this ca'se has not been identified by any witness; second, because the illegible signature of the general manager who as'sumes to he authorized to sign in the name of the said corporation is not shown to have been previously sanctioned, nor is it proved that he holds the office he claims to be discharging in this letter; third, because, as is gathered from all the evidence of the defendant, the purpose of this evidence is to [679]*679show an alleged power of attorney or agency in Mauricio Fowler in favor of this corporation and powers of attorney are not proved in Porto Rico by statements or writings of the alleged principal, hut of the agent; fourth, beeau'se it is a res inter alms act, that is, a transaction between the Chemical Co. and Mauricio Fowler, who is not the person that, according to the pleadings in this case, effected the deal in dispute; fifth, because it appears from the sworn answer of the defendant that the first transaction referred to in this letter endorsing Mauricio Fowler was a closed matter and as such has no material relation to nor connection with the following deal at $15 the quintal and capable of being terminated on April 9th, 1920, at 9 a. m.; sixth, because the said letter refers to hear'say statements of Maxim, which would never be admissible in evidence unless a deposition of the authorized officials of this company were taken in New York so that in any event they might aver .what it is pertinent to show or what is sought to be proved by his hearsay statements, and depriving us of the constitutional right of cro'ss-examination. And finally, since it is developed from the letter itself that such alleged power of attorney did not really exist; since the said letter simply refers to the obtaining of order's for them, and, as stated by Giles, undoubtedly relates to offers of ■ Serrallés to purchase chemical products of the; Maxim Chemical Co., which is what this concern sells, and which power of attorney, in any event, Mauricio Fowler would be able to produce at this time.
“Judge: The court admits it.
“Plaintiff: I take exception.
“Defendant: I offer in evidence a copy of the letter that the Succession of J. Serrallés addressed on April 1, 1920, through its manager, J. M. Giles, to Mauricio Fowler, acknowledging receipt of his telegram in which Fowler ratifies the purchase of the five thousand bags of sugar.

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Nones v. Heirs of Serrallés, 32 P.R. 676 (prsupreme 1924).

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