Tate v. Betterton

3 Tenn. App. 696, 1926 Tenn. App. LEXIS 139
CourtCourt of Appeals of Tennessee
DecidedMarch 27, 1926
StatusPublished

This text of 3 Tenn. App. 696 (Tate v. Betterton) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tate v. Betterton, 3 Tenn. App. 696, 1926 Tenn. App. LEXIS 139 (Tenn. Ct. App. 1926).

Opinion

SNODGRASS, J.

This is an action for damages, predicated upon an alleged breach of contract to take and pay for certain cedar lumber at the rate of $100 per Ml. feet, f. o. b. the cars at shipping station.

The execution of the contract was not denied, but the breach thereof was denied, it being insisted that the complainant himself breached the contract by shipping lumber improperly manufactured; but especially, and more seriously, in announcing that he would never ship the defendant another car of lumber. This announcement, it was insisted, was accepted by the defendant, who acted upon it and bought lumber elsewhere, the complainant having been notified of such acceptance by being directed not to ship any more lumber in a postscript to a letter of May 6, 1920, and which was in reply to the one of April 29 announcing, as alleged, that the complainant would not ship another ear. This postscript is as follows:

“Kindly do not ship us further, unless you notify us beforehand and we so advise you.”

The contract and letter transmitting it is as follows:

“Chattanooga, Tenn., 2-20-20
“CONTRACT BETWEEN TENNESSEE COFFIN & CASKET CO.,
“PARTY, OF THE FIRST PART, AND A. A. TATE, PARTY OF THE SECOND PART.
“Party of the second part contracts to ship all of the cedar ■lumber, same to be cut 1" thick, that he may be able to cut and ship during 1920, to party of the first part, Chattanooga, Tenn.
“Party of the first part agrees to pay for this stock at the rate of one hundred ($100) dollars per thousand f. o. b. South Pittsburgh or any loading station on the Sequatchie Branch of the N. & C. Railroad, or on the main line of the N. & C. Railroad anywhere between Cowan, Tenn. and Chattanooga.
“TENNESSEE COFFIN & CASKET CO.
“Per T. C. Betterton,
“Sec’y & Treas.”
“Grade: Log run- mill culls out.

*698 The bill charged that the complainant’s mill had a capacity of two carloads per month of 34,000 feet each, and that it was this output of two carloads per months for the year 1920, beginning with April 20th, that was contemplated and covered by the provisions of this contract; that in good faith the complainant went forward in the performance of the same, manufacturing and shipping lumber, delivering” same to defendant as provided in the contract, up to sometime in April, 1920; that meanwhile the market price of cedar lumber of the grade covered by this contract had declined or fallen $30 per thousand, so that on April 20, 1920, and continuously since that time cedar lumber of the grade and character covered by this contract was worth in the market not over $70 per thousand feet; that controversies arose over the measurement, and that later defendant began to question the fact that lumber was cut wider at one end than at the other; that at first the measurement was adjusted by dividing the difference, but later when the market continued to decline defendant refused to settle except by its own measurement and deducted all the difference in the measurements.

The bill then set out further alleged excuses for postponing shipment advanced by defendant, and that on May 17th the defendant wrote:

“"We do not feel under any obligations whatever to accept more of this cedar from you at this time.” And,
“Under no circumstances would we be willing to accept further cars of cedar cut as the several cars you have shipped have been cut. We complained to you a number of times about your wedge shaped boards, and on the last car there was a difference of some 700 feet, due to the fact that so large a percentage of your boards were cut wedge shaped,” etc.

The bill charged that at the time the contract was made it was the custom of cedar mills to cut the cedar boards wedge shaped, of which custom purchasers of cedar, including the defendant, well, knew; moreover, that the cedar lumber that the complainant had sold to the defendant immediately before the contract was entered into was cut with a part of the lumber tapering or wedge shaped, that is, somewhat wider at one end than the other; that the reason for sawing lumber in this manner is that cedar is a very valuable timber; that cedar trees taper faster than other classes of timber, and that the contract was entered into in view of this custom, which custom it was alleged was a part of the contract; that the price of the lumber was in part made with this in view, otherwise a higher price would have been charged for it at the time; that consequently defendant’s insistence, that the cedar should be sawed with all boards of same Avidth at each end, was contrary to the contract, and unjustified.

*699 The bill, substantially averring complainant’s ability and willingness to fulfill the contract, states that complainant continued to insist upon bis right to deliver the lumber under his contract, until finally, on May 28th, defendant wrote him declining to receive any shipment, and stating that if complainant shipped a car or cars of cedar without specific orders defendant would refuse to accept the same, and that they would be held at complainant’s disposal and request ; that further offers of shipment were curtly declined; that the contract was wrongfully breached by defendant, without excuse, who refused, it was alleged, to take and pay for the cedar lumber at the rate of two carloads per month for the remainder of the year 1920, from and after April 20, 1920, a period of eight months, making 16 cars; that during the time from the 20th of April to the 12th of May, while defendant was asking complainant to withhold shipments until further notice, complainant manufactured and had on hand and ready to ship two carloads of cedar, •which complainant held until after breach of the contract; that thereafter complainant sold said lumber for $70 per M, which was the market price thereof, and the best price obtainable for said cedar lumber, and which continued to be equal to or greater than the market price for the remainder of the year: the bill charges that damages of $30 per M. on 16 carloads of 14,000 feet per carload amounts to the sum of $6,720, which, with interest, was claimed to be justly due and owing to complainant from the defendant.

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Bluebook (online)
3 Tenn. App. 696, 1926 Tenn. App. LEXIS 139, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tate-v-betterton-tennctapp-1926.