Pennsylvania R. Co. v. Mistrot

199 So. 163
CourtLouisiana Court of Appeal
DecidedDecember 12, 1940
DocketNo. 2170.
StatusPublished

This text of 199 So. 163 (Pennsylvania R. Co. v. Mistrot) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pennsylvania R. Co. v. Mistrot, 199 So. 163 (La. Ct. App. 1940).

Opinion

OTT, Judge.

In April, 1934, the defendant shipped two cars of cabbage from Amaudville, St. Landry Parish, consigned to P. G. Sackenreu-ther, advise Tom Ayoob Company, Pitts-burg, Pennsylvania. Bills of lading were issued by the initial carrier for these two cars, on the back of which bills of lading is printed in small type a provision to the effect that, “The consignor shall be liable for the freight and all other lawful charges, except that if the consignor stipulates, by signature, in the space provided for that purpose on the face of this bill of lading that the carrier shall not make delivery without requiring payment of such charges and the carrier, contrary to such stipulation, shall make delivery without requiring such payment, the consignor * * * shall not be liable for such charges.” On the face of the bill of lading is printed in plain type a provision to the effect that if the shipment is to be delivered to the consignee without recourse on the consignor, the consignor shall sign the following, statement: “The carrier shall not make delivery of this shipment without payment of freight and all other lawful charges.” This provision was not signed by the consignor.

On April 30, 1934, the consignee, Sacken-reuther, wrote two letters to the agent of the plaintiff railroad company at Pittsburg, identical in form, except as to the car initials and numbers, as follows:

“On surrender of this letter and payment of freight charges, please deliver to Tom Ayoob Company, or bearer, (car initial and number) cabbage shipped from Amaud- *164 ville, Louisiana, by P. Mistrot and billed to P. G. Sackenreuther, advise Tom Ayoob Company on arrival.”

The railroad company accepted these instructions from the consignee, Sackenreu-ther, and delivered the two cars of cabbage to the Ayoob Company. The freight on these cars amounted to $571.53, and it is alleged in the petition that the railroad company accepted in payment of the freight two checks of the Ayoob Company, both of which checks were dishonored by the bank and have never been paid. This suit was filed against Mistrot in October, 1936, for the freight on these two cars on the ground that as the original consignor he is liable therefor under the terms of the bill of lading above mentioned.

The defendant filed an exception of no cause or right of action which was referred to the merits by the court. Defendant then filed answer, admitting that he shipped the two cars of cabbage, but averred that he shipped the cabbage for Sackenreuther, a produce merchant of Houston, Texas, who was the owner; that he (defendant) had no interest in the cabbage except to deliver them to the railroad company, and that the agent of the railroad company knew these facts when the bills of lading were issued.

The defendant, for lack of information, denied that plaintiff received the checks from Ayoob Company for the freight, and alleges that the railroad company should not have taken these checks for the freight; that in taking these checks it did so at its own risk, and having delivered the shipment to the Ayoob Company on the order of Sackenreuther, if the plaintiff has any claim for nonpayment of the checks, it should proceed against Tom Ayoob Company or Sackenreuther and not against defendant; that he knows of no reason why said checks were not paid; that it was almost a year after the freight was delivered before any demand was made on him, and that it was negligence on the part of the railroad company to deliver the shipment without collecting the freight.

Plaintiff asked for a judgment on the face of the pleadings, but this motion was denied. The case was tried and resulted in a judgment in favor of the defendant, dismissing the suit. The plaintiff has appealed.

The contention of the plaintiff railroad is that, as the defendant did not sign the provision in the bill of lading requiring the carrier to look to the consignee and not the shipper for payment of the freight, the defendant as consignor became primarily bound for the payment of the freight charges, and the railroad was under no obligation to collect the freight from either Sack-enreuther or the Ayoob Company, and its failure to do so could have no effect on the primary liability of the defendant as shipper for the payment of these freight charges. Three principal cases in support of this contention are cited by counsel for plaintiff; namely, New York Central R. Co. v. Frank H. Buck Company, 2 Cal.2d 384, 41 P.2d 547; Portland Flouring Mills Company v. British & Foreign Marine Ins. Company, Ltd., 9 Cir., 130 F. 860; Pennsylvania R. Co. v. Marcelletti, 256 Mich. 411, 240 N.W. 4, 78 A.L.R. 923.

We have given careful consideration to these cases and several others involving the same question cited in the footnotes of 13 C.J.S., Carriers, § 316a, b and c, pages 744 to 757 and 9 Am.Jur., Carriers, §§ 621-624, pp. 791 to 796. Out of the rather involved and sometimes conflicting adjudications on this point, we are impressed with the following statement of the law in 9 Am. Jur., Carriers, § 622: “Ordinarily, in the absence of any provision or stipulation to the contrary, a carrier has a right to look for his compensation to the person who required him to perform the service by causing the goods to be delivered to him for transportation, and that person is generally of course the shipper named in the bill of lading, or the consignor. According to one line of authorities, the fact that the latter does not own the goods is immaterial. Other authorities take the view that where it app'ears that the goods were not owned by the consignor, and were not shipped on his account, for his benefit, the carrier is not entitled to call on the consignor for freight.”

And again the following statement, from section 624: “A consignee may become liable for transportation charges by virtue of either an express or an implied agreement to that effect, but ordinarily he is not otherwise liable. He cannot be bound by an agreement between the carrier and the shipper that he shall pay the freight, unless he authorizes the shipper to act for him, or by his conduct has rendered himself liable. The obligation of the consignee to pay the transportation charges commonly rests on his acceptance of the goods. An agreement to pay the charges *165 is ordinarily implied from the consignee’s acceptance of property transported under a bill of lading which specifies that they are to be paid by him. And the authorities are generally to the effect that in any case the consignee’s acceptance of the shipment renders him prima facie liable for the freight charges, by virtue of his presumed ownership.”

Consequently, we feel safe in stating that, when Sackenreuther wrote the letters to the agent of the railroad company asking it to deliver the shipments of cabbage to the Ayoob Company on payment of the freight charges, he accepted the shipments, exercised control and dominion over them as owner and became liable for the payment of the freight charges as owner. The railroad company, in recognizing the right of the consignee to exercise control and dominion over the shipments, and in following his instructions as to delivery, thereby recognized his liability and that of the Ayoob Company for the payment of the freight.

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

Related

New York Central Railroad v. Frank H. Buck Co.
41 P.2d 547 (California Supreme Court, 1935)
Pennsylvania Railroad v. Marcelletti
240 N.W. 4 (Michigan Supreme Court, 1932)
Yazoo & M. V. R. v. Zemurray
238 F. 789 (Fifth Circuit, 1917)

Cite This Page — Counsel Stack

Bluebook (online)
199 So. 163, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pennsylvania-r-co-v-mistrot-lactapp-1940.