Schopflocher v. Essgee Co. of China, Inc.

197 A.D. 781, 189 N.Y.S. 498, 1921 N.Y. App. Div. LEXIS 7555
CourtAppellate Division of the Supreme Court of the State of New York
DecidedJuly 1, 1921
StatusPublished
Cited by4 cases

This text of 197 A.D. 781 (Schopflocher v. Essgee Co. of China, Inc.) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Schopflocher v. Essgee Co. of China, Inc., 197 A.D. 781, 189 N.Y.S. 498, 1921 N.Y. App. Div. LEXIS 7555 (N.Y. Ct. App. 1921).

Opinion

Merrell, J.:

The action is brought by Herman Schopfloeher against The Essgee Co. of China, Inc., to recover damages for an [783]*783alleged delay on the part of the defendant in delivering a large quantity of strawbraid purchased under a contract made on or about the 4th day of May, 1917. The contract in question, which was made in the city of New York, mentioned 621 Broadway, room 722, as defendant’s place of business, and, so far as material, reads as follows:

“ Original New York, TI. S. A., May 4th, 1917.

“ Sold to.

“ Mr. M. H. Steinfels “ 55 Mercer Street

“New York City.

“ Bought from The ' Essgee ’ Co., of China, Inc., Acting Agents for Messrs. Miyake-Gumi Ltd., Kobe, Japan.

“ 50,000 Pieces of 3' End Jap Extra Quality at 18% cents @ piece C. I. F. New York. 4 /5 m /m. Artl. No. 3639.

“ 50,000 Pieces of 3' End Jap First Quality at 17% cents @ piece C. I. F. New York. 4 /5 m /m. Atkl. No. 3639.

“ Duty to be paid by the undersigned purchaser at the rate of 15% upon presentation of Invoices.

“ Quality as natural sample shown, usual variations.

“ Shipment from Japan June, July, August in about equal shipments.

“ Buyer agrees to furnish a letter of credit at 4 months sight draft.

" Accepted Buyer

“ THE ' ESSGEE ’ CO. OF CHINA, INC.

“ D. SCHRATTER,

President.

Shipment has to be made via overland.”

M. H. Steinfels, mentioned in the contract, was a brother-in-law of the plaintiff, and it was conceded upon the trial that the plaintiff was the real party in interest. As provided in the contract, the plaintiff furnished the letter of credit therein referred to and paid the duty on the merchandise, upon a claim made by the defendant that such duty was due. The plaintiff also paid approximately $350 to the defendant in order that said merchandise might be shipped by express. The goods ran 1,000 pieces to the bale, thus making 100 bales in all.

[784]*784Evidence was given by the defendant tending to show that the merchandise was shipped from Japan substantially in accordance with the contract, and the defendant claimed upon the trial that had plaintiff called for the goods the defendant would have delivered them within a reasonable time. On the other hand, the plaintiff testified that he was almost an every-day caller at defendant’s New York office, and was constantly demanding the goods, which concededly he had paid for, and that he accused defendant’s representative of intentional delay and of selling his goods to other parties.

It was established upon the trial that the first of the goods actually came into the plaintiff’s possession September 11, 1917, and the last ten bales on August 3, 1918.

The plaintiff claims damages for alleged unreasonable delay on the part of the defendant in delivering the last three lots which were delivered, respectively, on December 13, 1917, February 13, 1918, and August 3, 1.918, twenty-six bales in all.

It is the contention of the defendant that under the contract the place of delivery was in Japan, and that it performed its full duty by delivering the merchandise on board ship in Japan. The plaintiff, however, says that the defendant at all times understood that the place of delivery was to be in the city of New York. Plaintiff claims that he is entitled to the damages he has suffered, based upon the market price of the merchandise in New York city.

While the evidence was conflicting respecting the time when the merchandise was shipped from Japan and here received, there is no dispute as to the method of shipment adopted by the defendant.

As above noted, the plaintiff duly delivered to the defendant his letter of credit, thus paying for the goods in advance. The defendant shipped the goods with others from Japan, consigning and insuring them in its own name. Upon arrival in the city of New York they were first stored in a customs warehouse and upon payment of the duty were taken to the warehouse of R. H. Comey & Co. in Brooklyn, where they were deposited and stored in the defendant’s name. The defendant did not disclose the- name of the plaintiff to the Japanese shipper or to any carrier or warehouseman, and no evidence of title to the goods was delivered to the plaintiff, [785]*785except the warehouse receipts for a few bales at a time upon the dates when plaintiff testified he received the goods. It appeared on the trial that someone in the defendant’s office had, subsequently to the receipt of the goods, placed plaintiff’s name in lead pencil across the face of certain of these bills of lading, evidently for identification purposes.

David Schratter, an officer of the defendant, testified that the plaintiff had requested the defendant to store the goods in the defendant’s name and to handle them as the defendant chose. The plaintiff denies this and says that he was constantly demanding the delivery of the goods and that he told defendant’s representatives that he would hold them responsible for delay in delivery. From the facts thus disclosed it appears that the parties intended that the merchandise was to be delivered to the plaintiff in the city of New York. The court, however, has held, as a matter of law, that the place of delivery was in Japan, and refused to permit the plaintiff to prove the market value of the merchandise in New York at the time of the alleged breach.

The contract in question, as above set forth, contained the expression, “ C. I. F. New York.” It was admitted upon the trial that such letters meant, “ cost plus insurance and freight to New York.” The term appears in the clause of the contract relating to price, and has, therefore, very little bearing upon the question of the place of delivery. (Miller & Sons Co. v. Sergeant Co., 191 App. Div. 814; Maddaloni Olive Oil Co., Inc., v. Aquino, Id. 51; Mee v. McNider, 109 N. Y. 500; Seaver v. Lindsay Light Co., 111 Misc. Rep. 553.) It is apparent that the term used had a distinct and clear meaning to the parties who used it, and that as used in the contract in question it related purely to the price to be paid. The burden rested upon the purchaser to pay the cost price of the goods in Japan plus insurance and freight to New York. The duty rested, of course, upon the seller to deliver the goods somewhere to the buyer. Had the parties considered that the contract was a strict c. i. f. contract the seller would have insured the goods in the name of the buyer and would have caused the bills of lading to have been made out in his name and forwarded to him, and would have taken the necessary [786]*786steps to free the seller from responsibility respecting further delay and delivery.

The respondent seems to rely upon the decision in Smith Co., Ltd., v. Moscahlades (193 App. Div. 126) in support of its contention that the place of delivery of the merchandise in question under the contract was Japan. The plaintiff in the last-mentioned case was a Newfoundland corporation, having its office at St. Johns. It had no branch office and transacted no business here. The defendants were engaged in business within the city of New York as importers and exporters of fish. The contract in question used the term, “ c. i.

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Bluebook (online)
197 A.D. 781, 189 N.Y.S. 498, 1921 N.Y. App. Div. LEXIS 7555, Counsel Stack Legal Research, https://law.counselstack.com/opinion/schopflocher-v-essgee-co-of-china-inc-nyappdiv-1921.