Woodstock Iron Works v. Standard Pulley Mfg. Co.

40 So. 236, 115 La. 830, 1905 La. LEXIS 745
CourtSupreme Court of Louisiana
DecidedDecember 18, 1905
DocketNo. 15,746
StatusPublished
Cited by8 cases

This text of 40 So. 236 (Woodstock Iron Works v. Standard Pulley Mfg. Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Woodstock Iron Works v. Standard Pulley Mfg. Co., 40 So. 236, 115 La. 830, 1905 La. LEXIS 745 (La. 1905).

Opinion

Statement of tlj^ Case.

BREAUX, C. J.

Plaintiff sues the defendant to recover the sum of $3,890, with 5 per cent, interest from July 6, 1904, for alleged damages growing out of, as plaintiff alleges, defendant’s neglect to order the shipment of the remainder of the iron deliverable under contracts entered into between plaintiffs and defendant.

There were three of these contracts bearing the same date, viz., 20th November, 1902.

In the first the plaintiff agreed to sell to the defendant 100 tons of No. 3 foundry Woodstock pig iron for the price of $1,900.50. In the second contract 200 tons of Woodstock No. 2 soft pig iron was the property which defendant agreed to buy from plaintiff for the price of $20 per ton. By the third contract defendant agreed to buy No. 1 of the soft- pig iron for the sum of $20.50 per ton.

It is not controverted that plaintiff shipped to defendant a part of the iron for which defendant paid. There were some charges made in the transactions between plaintiff and defendant which do not appear to have given rise to any disagreement.

There were delays in shipment and in executing the- contract, which were granted at the earnest request of defendant for its accommodation.

It avers that it was always ready and willing to deliver the iron sold; that on the 1st day of July, 1904, it notified defendant by letter, which was timely received, that the iron not yet delivered was in its yard, and requested defendant to receive it; and that defendant neglected and refused.

It appears that the market price of No. 3 foundry pig iron declined from $19.50 per ton, price at which it was sold, to $9.50 per ton on the 6th day of July, when plaintiffs allege defendant was put in default, and there was a fall in the value of the other iron sold. In consequence plaintiff claims to have lost the sum first above mentioned, which it asks to recover as damages.

Defendant admits having signed the contracts alleged, copies of which are made part of plaintiff’s petition, and denies all the ■ other averments of plaintiff.

In March, 1903, defendant wrote to plain[429]*429tiff, requesting a delay, and agreed to notify plaintiff when shipments were to be made, and to receive the iron in question before the end of year.

After acknowledging receipts and acceptance of iron from plaintiff of iron which had been made, defendant wrote, in the letter requesting a delay:

“Beg to say that I am this day handling your notes in settlement of those shipments, and beg to request that shipments on these three contracts be hold up, and I will give you thirty days’ notice when to begin shipping on each, and how much I will need each month; it being understood that I will take all of the iron during the balance of this year. The terms and conditions of the contract to remain in their original form. In reference to payments on further shipments, they will be made cash thirty days from date of shipment. If you can accommodate ns by agreeing to this, please so indorse on this letter.”

This was signed by the defendant firm.

To this plaintiff agreed, and to the extent mentioned there was a modification of the contract.

Defendant ceased forwarding orders. No delivery was made after September, 1903.

In the suspended condition of things plaintiff wrote to defendant, and informed defendant of the number of tons not delivered, and that plaintiff had been advised by Rogers, Brown & Co., who had acted for plaintiff in the premises, quoting from the letter:

“That you had refused to take in this iron, and we now beg to notify you that the iron is in the yard subject to your order, and, if you do not receive same, we will be compelled to seek our remedy through the courts.
“Mr. Stillman, the resident manager of Rogers, Brown & Co., Birmingham, Ala., accompanied me to New Orleans on the 21st of June, and, finding that your manager, Mr. McArdle, was out of the city, we could not see him. We were advised, however, that Mr. McArdle would be in Birmingham in the next few days, and would be advised to call on Mr. Stillman.
“We are notified by a letter of Mr. Stillman’s that Mr. McArdle has not yet put in an appearance, and we thank you to advise us if it is your intention to carry out your contract with this company.”

This letter was received by defendant, but was not answered.

In the November following plaintiff brought suit for the difference in price, and the market value of the iron on the 6th day of July, the day that the letter just mentioned was received by defendant, the total of which amounts to the sum first above mentioned.

Plaintiff’s witnesses testified to the value of the iron at the date of the contract They said that the price mentioned was the current market price. They also) testified as to the value of iron, current market price, on the 6th day of July, 1904, the day that defendants were put in default. The difference between the two was $3,890, amount claimed by plaintiffs.

The president of the defendant company testified that he was still willing to receive it.

Judgment.

Originally there was an agreement between the parties which contained all the essentials to a sale. The property to be delivered was specifically described; the price sufficiently stated. No disagreement arose between plaintiff and defendant while the contract was being executed. The property was shipped as directed by defendant, and the latter promptly enough paid the price to plaintiff for the iron delivered. There came a time when defendant, to sub-serve its own purpose, deemed it proper to call on plaintiffs by letter, and request them, to use their own words, to hold up their shipments; that they wished to have the property delivered from time to time until the first of the following year; and that by the end of the year they would manage to receive it all.

Accompanying this request, plaintiffs were directed not to ship anything prior to their (defendants’) notification.

In an amicable manner defendants wrote to plaintiffs to do nothing on the lines before suggested “before you will have heard from us again.”

[430]*430Time passed on, and no notification was given. Steps were taken by plaintiffs to find out why it was that the defendants remained silent. Letters were written by the former and received by the latter, to which no answer was given.

The defendants had, by their own request, brought on the delay, and in making the request they held out to plaintiffs that they would be notified when to ship. They assumed the onus of informing plaintiffs when to ship, and although, from that time, the duty of notification was upon them, the plaintiffs, doubtless anxious to deliver the iron they had obliged themselves to deliver, took the initiative of inquiring why it was that they were not notified to ship in accordance with agreement.

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Bluebook (online)
40 So. 236, 115 La. 830, 1905 La. LEXIS 745, Counsel Stack Legal Research, https://law.counselstack.com/opinion/woodstock-iron-works-v-standard-pulley-mfg-co-la-1905.