Rolla Produce Co. v. American Railway Express Co.

226 S.W. 582, 205 Mo. App. 646, 1920 Mo. App. LEXIS 145
Missouri Court of Appeals·Decided December 16, 1920·Published·Cited by 11 cases

Opinion

STURGIS, P. J.

By this suit plaintiff seeks to recover one thousand dollars damages for that defendant, a common carrier, delivered to the consignee a C. O. D. shipment of eggs without collecting that amount from the consignee as required by the terms of the shipping contract. The plaintiff was doing business at Rolla, Missouri, and there delivered to defendant fifty-seven cases of eggs to be transported and delivered to John B. Tyler & Company at Chicago under a contract requiring defendant to collect for plaintiff one thousand dollars on delivery of such eggs. The defendant admits receiving the eggs under the C. O. D. contract mentioned; that it transported the eggs as required and delivered same to the consignee without collecting the specified amount. Its only defense is that while it failed to collect from the consignee the sum of one thousand dollars as it should have done, yet the consignee made payment in full for such eggs direct to plaintiff, and plaintiff accepted such payment — hence no damage was suffered by plaintiff.

The plaintiff denied such payment and at the trial sought to show that the money paid by the consignee, Tyler & Company, which defendant claims it paid plaintiff for the eggs in question, was in truth and in fact due and owing by Tyler & Company to plaintiff on prior transactions and was merely a payment on an open account on which was due more than the amount in controversy. The evidence disclosed, however, that the only prior indebtedness claimed by plaintiff as due it' from Tyler & Company was an unliquidated and disputed claim for damages for that Tyler & Company substituted inferior eggs for eggs which that company was handling in cold storage for plaintiff. While plaintiff and Tyler & Company had been doing business with each other for a *650 long" timé and many shipments of bntter and eggs had been made by plaintiff to Tyler & Company on commission or outright sale, yet all such transactions which had formed the book account of either party had been settled and paid before the shipment of the eggs now in controversy. The prior indebtedness, if any, of Tyler & Company to plaintiff was for unliquidated damages growing out of tort rather than contract and never appeared in the book account which showed the merchandise sold or consigned by plaintiff to Tyler & Company and payments made thereon.

The case was tried by a referee whose finding for the defendant was approved by the trial court and the first point raised by plaintiff’s appeal is that the court erred in making a compulsory reference of the case over plaintiff’s objections. It is very doubtful if this case was a proper one for compulsory reference (Elks Investment Co. v. Jones, 187 S. W. 71), but if the judgment is for the right party and is the only judgment permissible under the facts, then such error is harmless. Had the case been tried by a jury and the court at the close of the evidence had rightfully directed a verdict for defendant the result would be the same and plaintiff is not harmed by the method of trial.

A careful consideration of the case convinces us that the evidence, largely documentary and practically undisputed, shows that plaintiff received and accepted pay-' ment for the eggs in question direct from Tyler & Company, the consignee. We need not discuss at length the nature of the liability incurred by a carrier who delivers goods to the consignee without collecting the amount specified in the C. O. D. contract. Even if such carrier can be sued in conversion as some authorities hold the obligation arises from contract’ and the amount of recovery is the contract amount and not the value of the property. [Fowler Com. Co. v. Railroad, 98 Mo. App. 210, 71 S. W. 1077; 2 Hutchinson on Carriers (3 Ed.), sec. 728.] The carrier becomes the collecting agent of the shipper and guarantees such collection in case the goods are delivered. If the goods are actually paid for *651 by tbe consignee direct to tbe consignor instead of. being paid through the carrier as agent, the result is the same and obviously there is no liability of the carrier. [1 Hutchinson on Carriers (3 Ed.), sec. 183; Witt v. Railroad, (Tenn.) 41 S. W. 1064; Rathbun v. Steamboat Co., 76 N. Y. 376.] Such payment by Tyler & Company was not a voluntary payment of a third party’s obligation but was a payment of their own debt to plaintiff since, having received these eggs from plaintiff, the law would clearly compel payment for same or a return of the eggs. [2 Hutchinson on Carriers (3 Ed.), sec. 730.]

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Rolla Produce Co. v. American Railway Express Co., 226 S.W. 582, 205 Mo. App. 646, 1920 Mo. App. LEXIS 145 (Mo. Ct. App. 1920).

226 S.W. 582 (Rolla Produce Co. v. American Railway Express Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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