Southern Railway Co. v. Buckeye Cotton Oil Co.

89 So. 228, 126 Miss. 562
CourtMississippi Supreme Court
DecidedMarch 15, 1921
DocketNo. 21862
StatusPublished
Cited by4 cases

This text of 89 So. 228 (Southern Railway Co. v. Buckeye Cotton Oil Co.) is published on Counsel Stack Legal Research, covering Mississippi Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Southern Railway Co. v. Buckeye Cotton Oil Co., 89 So. 228, 126 Miss. 562 (Mich. 1921).

Opinion

Anderson, J.,

delivered the opinion of the court.

This is a bill filed in the chancery court of Leflore county by the appellee, the Buckeye Cotton Oil Company, against the appellant, the Southern Railway Company in Mississippi, to recover demurrage charges alleged by the appellee to have been wrongfully and illegally collected from it by the appellant, and seeking discovery from the appellant in aid of its suit. The bill was demurred to by the appellant ánd a decree rendered overruling the demurrer and granting an appeal therefrom to settle the principles of the cause.

The bill alleges, in substance, the following facts: That the appellant, the Southern Railway Company in Mississippi, is a domestic corporation, with its line of road running through this state, and engaged as a common carrier in both intrastate and interstate commerce. That the appellee, the Buckeye Cotton Oil Company, is a foreign corporation engaged in this state in the cotton oil business, owning and operating a plant in the city of Greenwood, Leflore county, known as the Greenwood Mill. That said plant consists of the usual buildings and machinery necessary to carry on the cotton oil business, and in addition numerous railroad side tracks and house tracks on the property of the appellee, which connect with the tracks of the appellant and are used by the appellee in receiving cars from the appellant, and, after loading, in shipping the same out over the appellant’s line of railroad on which the plant of the appellee is situated. That on the 1st of February, 1914, the appellee and the appellant, being authorized to do so by [571]*571the published tariff schedules of the appellant filed with both the Interstate Commerce Commission and the Railroad Commission of the state entered into what is commonly known as an “Average Demurrage Agreement,” by the terms of which the appellant and the appellee agreed and elected to put into force as to all shipments handled by appellant for the appellee at its said Greenwood Mill certain stipulations contained in such average agreement with reference to demurrage charges by the appellant against the appellee, the pertinent part of which average agreement is in the following language:

“When a shipper or receiver enters into the following agreement, the charge for the detention of cars, provided by section A of rule No. 7, on cars held for loading or unloading by such shipper or receiver, shall be computed on the basis of the average time of detention to all such cars released during each calendar month, such average detention to be computed as follows:
“(A) A credit of one day will be allowed for each car released within the first twenty-four hours of free time (except for a car subject to rule No. 2, section B, paragraph 5). A debit of one day will be charged for each twenty-four hours or fraction thereof that a car is detained beyond the free time. In no case shall more than one day’s credit be allowed for any one car, and in no case shall more than five (5) days’ credit be applied in cancellation of debits accruing on any one car. When a car has accrued five (5) debits, the charge provided for by rule No. 7 will be made for all subsequent detention, including Sundays and holidays.
“(B) At the end of the calendar month the total number of days credited will be, deducted from the total number of days debited and one dollar per day charged for the remainder. If the credits equal or exceed the debits, no, charge will be made to shippers or receivers on account of such excess or credits; nor shall the credits in excess of the debits of any one month be considered in computing the average detention for another month.
[572]*572“(C) A shipper or receiver who elects to take advantage of this average agreement shall not be entitled to cancellation or refund of. demurrage charges under section A, paragraph 1 and'3, and section B of rule No. 8.
“(D) A shipper or receiver who elects to take advantage of this average agreement may be required to give sufficient security to the carrier for the payment of the balances against him at the end of each month.”

That during the period from February, 1914, to September, 1916, inclusive, the appellant demanded and collected of the appellee, under the authority of the said tariff schedules' and average agreement, the sum of five thousand, two hundred and forty-nine dollars that during said period under the said tariff and average agreement no demurrage charges could accrue to the appellent, and none could be lawfully assessed and collected against the appellee (quoting from the bill, “unless the car or shipment was actually placed in an accessible position for loading and unloading by the consignee, or at a point previously designated by the consignor or consignee, or until the carrier had attempted to make such actual placement and was unable to do so on account of some act or neglect of the consignee, or the inability of the consignee to receive the car, and then not until the carrier’s agent had given the consignee a written notice in accordance with said tariff of the cars it had been unable to deliver because of said conditions.” That said demurrage charges assessed and collected by the appellant against the appellee during said entire period (quoting from the bill further), “were made without regard to the time said cars were actually placed on the complainant’s private tracks for loading and unloading and without regard to the ability of the complainant’s mill to receive said cars on its said tracks when offered, and without regard to whether said mill had been notified of a claim of such inability by said defendant railway company; and that said assessments and charges were unauthorized by, and were in violation of, the provisions of said company’s tariff; and that in many of said bills rendered to and [573]*573paid by complainant the complainant was charged by said defendant company with demurrage on cars before such cars were received by the defendant company, and while they were still in the hands of its connecting carrier.”

That the appellee had no information or record as to the number of cars so shipped, received, loaded, and unloaded at its plant, but that appellant has in its possession and under its control all such information. .That during said period while appellant was collecting said demurrage charges from the appellee the latter kept no record of the movement of cars on which it was charged demurrage, or of the bills rendered it by the appellant, nor did it have any convenient method of investigating the correctness of said demurrage charges, and that all such bills presented to it by the appellant were at the time believed by the appellee to be correct and were paid. That during said period the appellant kept and now has in its possession a complete record of the facts and circumstances attending the collection of each and every bill by the appellant from the appellee for demurrage. That many of the records kept by the appellee and bills rendered it by the appellant have been lost or destroyed, and therefore the appellee is wholly, unable to show even approximating the amount the appellant is due it on account of such demurrage charges so illegally paid.

The prayer of the bill is for discovery in aid of the suit and for a decree for the amount found to be due it by the appellant.

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Cite This Page — Counsel Stack

Bluebook (online)
89 So. 228, 126 Miss. 562, Counsel Stack Legal Research, https://law.counselstack.com/opinion/southern-railway-co-v-buckeye-cotton-oil-co-miss-1921.