Pennsylvania Rd. v. Greenwald Packing Co.

157 N.E. 809, 24 Ohio App. 497, 6 Ohio Law. Abs. 27, 1926 Ohio App. LEXIS 305
CourtOhio Court of Appeals
DecidedDecember 20, 1926
StatusPublished

This text of 157 N.E. 809 (Pennsylvania Rd. v. Greenwald Packing Co.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Pennsylvania Rd. v. Greenwald Packing Co., 157 N.E. 809, 24 Ohio App. 497, 6 Ohio Law. Abs. 27, 1926 Ohio App. LEXIS 305 (Ohio Ct. App. 1926).

Opinion

Btjchwalter, P. J.

The Greenwald Packing Corporation, plaintiff below, brought this action against the Pennsylvania Railroad Company for damages for the alleged conversion of 100 drums of grease.

The allegations of the petition are: On or about the 13th day of February, 1925, there was delivered at York, Pa., a car containing 100 drums of garbage grease, consigned to Ivorydale, Ohio, with instructions to notify the Procter & Gamble Company, at said destination. The bill of lading was issued to the order of Charles C. Fisher, and indorsed by said Fisher to the plaintiff. The plaintiff thereafter negotiated said bill of lading, together with a draft thereto attached, dated March 3, 1925, to the National Bank of Baltimore, Baltimore, Md. The draft was drawn by the plaintiff on the Procter & Gamble Company, Cincinnati. The bill of lading contained the following provision:

*499 “The surrender of this original order, bill of lading, properly indorsed, shall be required before delivery of the property. Inspection of property covered by this bill of lading will not be permitted unless provided by law, or unless permission is indorsed on this original bill of lading, or given in writing by the shipper.”

Plaintiff avers that the National Bank of Baltimore paid it the amount of the draft, $3,226.17, and, thereby, became the owner of the draft and bill of lading and the shipment covered by said bill of lading. Plaintiff further avers, that said bank forwarded the said draft and bill of lading to the Fifth-Third Bank of Cincinnati, with instructions to present said draft, and, only if paid, to deliver said bill of lading to the Procter & Gamble Company. Further, that upon the arrival of said shipment, the defendant notified the Procter & Gamble Company, and, without a surrender of the bill of lading, delivered the shipment to the Procter & Gamble Company, which company had not paid the draft, nor secured said bill of lading.. Plaintiff avers that on July 23, 1925, the National Bank of Baltimore sold, transferred, and conveyed its claim against the defendant to this plaintiff in consideration of the sum of $3,226.17, for which amount, with interest, the plaintiff asks judgment.

The answer of the Pennsylvania Railroad Company is a general denial; and it further asserts that if there was a conversion of the grease by said railroad company said conversion was excused by the said bank in setting up a claim to ownership after the grease had been redelivered to the. railroad company.

The cause came on for hearing, and, at the close *500 of the opening statements of counsel, a motion was made that the court direct a verdict for the plaintiff for the full amount of the claim.

It was agreed by counsel that an agreed statement of fact be submitted, and also certain evidence, including depositions, and the court at the time of granting the motion to direct a verdict had this record before it, in addition to the statements of counsel.

The agreed statement of fact contains practically the allegations of the petition, except as to the conversion, and further sets forth:

“On the evening of Saturday, February 18, 1925, the said carload of grease was delivered by the defendant to the Procter & Gamble Company, without the surrender of the bill of lading. The Procter & Gamble Company thereafter, on February 20th, reloaded said 100 drums of garbage grease in another car, M. K. T. 76525, and turned same back to the defendant. The said grease when turned back to the defendant was in the same condition as when delivered by the defendant to the Procter & Gamble Company. The said Procter & Gamble Company thereupon refused to pay the draft or to take up the bill of lading, which was at the F,ifth-Third National Bank. Inasmuch as the Procter & Gamble Company had failed to take up the draft, the plaintiff reimbursed the National Bank of Baltimore $3,226.17, the amount in which they had been given credit, and thereupon received back the bill of lading and draft.”

The delivery of the grease to the Procter & Gamble Company without the presentation of the bill of lading was a conversion.

Plaintiff in error contends that there could be *501 no conversion unless the delivery to the third party had been complete, and that, as there had been no inspection of the shipment, the delivery could not be complete until after inspection and the Procter & Gamble Company had had no opportunity for inspection, and cites Sections 8427 and 8428, General Code. These sections, however, only provide that when the goods have been delivered to the buyer he is not deemed to have accepted until he has had a reasonable opportunity to examine them.

Here delivery had been made, and the Procter & Gamble Company was not entitled to delivery, save only on presentation of the bill of lading.

The only question then remaining is whether or not there was a waiver of the tort or conversion by the Bank of Baltimore, who, at the time of the delivery, held title to the shipment.

Plaintiff in error contends there was either a ratification of the conversion or a waiver thereof.

Had plaintiff or its predecessor in title ratified the conversion, it would have ratified the delivery to the Procter & Gamble Company, without the presentation of the bill of lading. There is no evidence to show that this was done. But it is claimed that there was a waiver of the tort either by laches or by an express act.

It appears from the record that on March 9, 1925, the Procter & Gamble Company filed an action for damages for breach of prior contracts against the Greenwald Packing Corporation, and, on March 10, an attachment was issued against the grease, also attaching the bill of lading and draft. In this action, the National Bank of Baltimore filed a motion to be made a party defendant, and, that motion being granted, the bank then filed a motion *502 to dissolve the attachment, on the following ground: “For the reason that the plaintiff in the above-entitled action cannot attach the property of the National Bank of Baltimore.”

The attachment suit never came to trial. Some agreement was reached by the parties, and an entry of dismissal made. After the dismissal of this action, the grease remained in the possession of the railroad company until it deteriorated, and, on June 3, 1925, the attorney for the National Bank of Baltimore notified the railroad company as follows:

“We now elect to consider this a conversion as of the date of delivery of said car to the Procter & Gamble Company, without surrender of the bill of lading, and, unless this claim is promptly paid, shall sue the railroad company for conversion of the value of said car at the date the same was converted.”

On July 23, the Greenwald Packing Corporation paid the amount of money named in the draft, and said draft and bill of lading were assigned to this plaintiff company.

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Bluebook (online)
157 N.E. 809, 24 Ohio App. 497, 6 Ohio Law. Abs. 27, 1926 Ohio App. LEXIS 305, Counsel Stack Legal Research, https://law.counselstack.com/opinion/pennsylvania-rd-v-greenwald-packing-co-ohioctapp-1926.