South Atlantic Packing & Provision Co. v. York Mfg. Co.

276 F. 509, 1921 U.S. App. LEXIS 2112
CourtCourt of Appeals for the Fifth Circuit
DecidedOctober 26, 1921
DocketNo. 3637
StatusPublished
Cited by5 cases

This text of 276 F. 509 (South Atlantic Packing & Provision Co. v. York Mfg. Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Fifth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
South Atlantic Packing & Provision Co. v. York Mfg. Co., 276 F. 509, 1921 U.S. App. LEXIS 2112 (5th Cir. 1921).

Opinion

KING, Circuit Judge.

The York Manufacturing Company (hereinafter called the plaintiff) brought suit in the United States District Court for the Southern District of Georgia at Savannah against the South Atlantic Packing & Provision Company (hereinafter called the defendant) to recover the. price of certain ice-producing machinery installed for it under a written contract. The machinery was to be affixed to and used with certain other machinery of the defendant.

[510]*510The chief purpose of the contract was to convert a distilled-water ice plant into a raw-water ice plant.

The contract provided for the furnishing and installing of certain ■described machinery and appliances as per specifications and contained two guaranties:

(1) That the plant when changed as specified will be capable of producing 100 tons of merchantable raw-water ice per day of 24 hours when in full and continuous operation and when properly operated in accordance with plaintiff’s instructions.

(2) That the coal consumption of this plant when producing 100 tons of ice per 24 hours will be not less than a ratio of' 16 tons of ice per ton of 14,000 b. t. u. coal burned, based on the guaranteed boiler evaporation of 9 pounds of water per pound of coal with 185 pounds of steam 160 degrees superheat at boiler.

The guaranty of quality of ice was based on water being taken from well known as No. 3 which had been tested.

The contract further provided that the machinery should be furnished and the plant be “ready for charging” on or about March 15, 1916 (erroneously stated as 1915), provided the defendant had performed within the time specified therefor all the agreements set forth in the specifications accompanying said contract to be by it performed; in event of defendant’s default, the time for completion should be correspondingly extended.

There was a dispute as to whether the defendant did so perform; but by mutual consent the time for performance was waived, the plaintiff adjusting the defendant’s plant to continue making ice meanwhile. The plaintiff presented a proposed written agreement for such extension, but the defendant by resolution of its board of directors refused to accept or sign the same.

Many demands were made by. defendant of the plaintiff during the time when the work of furnishing the machinery and placing it in the plant was in progress. These demands appear in the main to have been complied with.

The contract also provided that when the plant was ready for charging the plaintiff should furnish a written notice to defendant of that fact, and that if for a period of 30 days after the plant so furnished was erected ready to charge the defendant should fail to notify the plaintiff in writing of any claim that the said machinery, apparatus, or plant as furnished did not fulfill the terms and requirements of the contract, specifying in what particular or particulars it failed, this should in itself be considered an acknowledgment by the purchaser that the said machinery, apparatus, or plant as furnished did fulfill the said terms and requirements, and should constitute a complete acceptance of the same as fulfilling all the terms and requirements of the contract.

If such notice of failure was given within said 30 days, the plaintiff was to remedy any such defects.

■ If the parties disagreed as to the same, then the plaintiff had the privilege to elect, on 30 days’ notice of its intention so to do, to remove its machinery and refund any purchase money paid which [511]*511would operate as a full and complete settlement between said parties of all claims under said contract.

On June 5, 1917, said plaintiff served on the defendant a written notice, dated June 1st, stating that the plant was erected ready to charge in accordance with said contract.

The contract provided that plaintiff’s engineer should remain with the plant' for 15 days from the date the plant was ready to charge in order to instruct the defendant’s men and make needed adjustments, C. Munger remained, as such engineer, until June 28th.

On July 6, 1917, the plaintiff, not having heard anything from defendant in reply to its notice dated June 1st, wrote calling attention to its completion of the contract, the nonpayment of the portion of the purchase money due, and declared the entire price of the machinery furnished due under the terms of the contract.

The defendant pleaded in answer to the suit:

(a) The delay in the completion of the contract from March 15, 1916, until the present time.

(b) The failure to furnish machinery as specified iu said contract.

(c) The failure of the plant to produce 16 tons of ice to one ton of coal, 14,000 b. t. u., and the failure of the plant to produce 100 tons of merchantable ice in 24 hours’ continuous operation.

Two amendments to said answer were offered, which the court refused to allow.

The court excluded all testimony offered to show that the plant did not comply in all respects with the contract and did not fulfill its terms and requirements, on the ground that defendant, having failed to give notice of such claim of defects and failures within 30 (lays after receiving notice that the. plant was erected ready to charge, had under the terms of the contract accepsted said plant as fully complying with said contract and its guaranties and could not thereafter attack - '¡lie same.

He admitted the evidence tendered as to the delay in completion after March 15, 1916, and the claim for damages therefor.

[1] Both plaintiff and defendant requested the court to direct a verdict in its favor. The court directed a verdict for the plaintiff. If tíiere is any evidence to support the verdict, unless some error of law is shown, the judgment of the District Court must be affirm ed. Bradley Timber Co. v. White, 121 Fed. 779, 784, 58 C. C. A. 55; Cite of Colorado v. Harrison, 228 Fed. 894, 143 C. C. A. 292; Lockhart v. Tri-State Loan & Trust Co. (C. C. A.) 268 Fed. 523; Beultell v. Magone, 157 U. S. 154, 15 Sup. Ct. 566, 39 L. Ed. 654; Sena v. American Co., 220 U. S. 497, 31 Sup. Ct. 488, 55 L. Ed. 559.

[2] The main question in the case is: Was the court correct in its ruling as to the effect of the failure of the defendant to point out in writing within 30 days after receipt of notice that the plant was erected ready to charge, wherein the machinery, apparatus, and plant failed to fullili the terms and requirements of the contract?

Construing together the clause of the contract requiring written notice to he given to the purchaser of the time when the plant is ready for charging, and the provision that if for a period of 30 days after [512]

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Cite This Page — Counsel Stack

Bluebook (online)
276 F. 509, 1921 U.S. App. LEXIS 2112, Counsel Stack Legal Research, https://law.counselstack.com/opinion/south-atlantic-packing-provision-co-v-york-mfg-co-ca5-1921.