Randolph v. Wiley

118 F. 77, 1902 U.S. Dist. LEXIS 27
District Court, S.D. New York·Decided October 6, 1902·Published·Cited by 4 cases

Opinion

ADAMS, District Judge.

This is an action brought by the libellant to recover a balance of freight of $20.27 and six days’ demurrage at $49.20 per day, on a cargo of lumber transported by the schooner “T. Morris Perot” from Norfolk, Virginia, to New York in August, 1901. It is not disputed that the freight is due.

The controversy arises out of the terms of the charter party, made between the libellant, as master of the vessel, and the respondents, as charterers, which, inter alia, provides:

“The said party of the second part doth engage to provide and furnish to the said vessel a full and complete Cargo of Dry Boards, Bough and or Dressed and to pay to said party of the first part or agent, for the use of the said vessel during the voyage aforesaid $2.25 and free wharfage per M delivered. If any dressed lumber shipped, one fifth off as customary.
“It is agreed that the lay days for loading shall be as customary and for discharging according to rules Maritime Association, Port of New York. If at a Sound Port, as customary. And that for each and every day’s detention by default of said party of the second part, or agent, customary dollars per day, day by day, shall be paid by said party of second part, or agent to the said party of first part, or agent.”

The underlined words were written, the remainder being printed.

The vessel arrived and reported on Saturday, August 17th, and was ordered to the Dong Island Railroad Dock. The discharge of the cargo was commenced on the 20th of August and finished on the 10th of September. The cargo consisted of 375,487 feet, of which 138,659 feet were rough lumber and 236,828 feet were dressed lumber. The claim on the part of the libellant is that time for discharging should only be allowed in conformity with the provision for one-fifth off on the dressed lumber, the basis for the calculation of the freight, which would give the respondents 13% days to discharge, and that the demurrage for six days is due at the rate of $49.20 per day, that being the rate established by rule of the Maritime Association of the Port of New York. The respondents claim that the time for-discharging should be calculated at 25,000 per day on the basis of the full cargo carried which would allow them 15^ days, and that it should be computed at the rate of $15 per day, which, it is said, was the customary rate at the time.

The Rules of the Maritime Association in question, so far as necessary to be considered, are as follows:

Bule IV.
“Consignees shall have one full calendar day (Sundays and legal holidays excepted) after the vessel arrives and the captain or vessel’s agent reports, in which to furnish the vessel with a berth where she can discharge. * * *”
Bule V.
“Lay days allowed to consignee for receiving cargo shall be as follows, viz: One day to furnish berth for vessel as provided in Bule IV, and one running day (Sundays and legal holidays excepted), for each 25,000 feet of lumber. * * * The first half of every Saturday, not a full legal holiday, together with the last half, or portion known as a half holiday to count as a lay day. If vessel is ready to discharge cargo in questionable weather, consignee must receive same, but in case of failure of vessel through her fault to discharge the quantities per day as herein provided, consignees shall not be liable for demurrage, provided they have furnished berth or lighters as provided in Bules III and IV.
After the days herein provided have expired, consignee shall pay demur-rage for every running day until vessel finishes discharging.”
[79] Rule VII.
“The charge for demurrage for vessel shall be at the rate of fifteen cents (15e.) per day per thousand feet board measure of entire cargo delivered. All fractions of a day, over one-half, shall be paid for as a full day, and one-half of a day of less be paid for as one-half of a day.”

It is substantially agreed that Rules 4 and 5 were referred to and intended to be incorporated in the contract. The libellant contends that Rule 7 was also intended to be incorporated for the purpose of fixing the rate of demurrage, but the respondents deny that the rule has any application in the case and on the trial objected to its admission in evidence for that reason and it was received subject to the objection.

The questions to be determined are: (1) Was the provision for one-fifth off the dressed lumber to constructively reduce the quantity of lumber discharged for the purpose of computing the lay days or were they to be computed on the quantity actually discharged? (2) Was the rate of demurrage to be determined by the Maritime Association Rule 7 or by the ordinary methods of ascertaining the loss suffered by the vessel in consequence of the detention, under a provision for “customary” rates?

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Randolph v. Wiley, 118 F. 77, 1902 U.S. Dist. LEXIS 27 (S.D.N.Y. 1902).

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