Ye Seng Co. v. Corbitt & Macleay

9 F. 423, 7 Sawy. 368, 1881 U.S. Dist. LEXIS 196
CourtDistrict Court, D. Oregon
DecidedSeptember 5, 1881
StatusPublished
Cited by8 cases

This text of 9 F. 423 (Ye Seng Co. v. Corbitt & Macleay) is published on Counsel Stack Legal Research, covering District Court, D. Oregon primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ye Seng Co. v. Corbitt & Macleay, 9 F. 423, 7 Sawy. 368, 1881 U.S. Dist. LEXIS 196 (D. Or. 1881).

Opinion

Deady, D. J.

The libellants, Ye Seng Company, composed of sundry Chinese merchants of this city, bring this suit to recover $5,957.80 from the defendants, as damages, with interest, for the non-performance by them of a charter-party executed in this city on August 20, 1879, for the American bark Garibaldi. By the agreement “Messrs. Corbitt & Macleay, agent for owners of the American hark Garibaldi, of Portland, Oregon,” of 670 tons burden, chartered [424]*424her “between-decks” to the libellants for a voyage from Hong Kong, China, to Portland, to carry “passengers and (or) freight” in number as permitted by the laws of the United States, upon the terms and conditions following: “The said vessel shall be tight, staunch, and strong, and in every.way fitted and provided for said voyage;” the libellants to provide at Hong Kong the “passengers and freight as aforesaid, and furnish bunks, cook-houses, water-closets, and hatch-houses, and everything necessary to the carrying of passengers, ” and to pay the defendants “for the use of said vessel” during said voyage $2,900, — one-half before the vessel-left Hong Kong, and the remainder upon her arrival at Portland; but, “if no cargo and all passengers, full amount payable in Hong Kong.”

The “lay days for loading at Hong Kong” were to be from March 1 to April 1, 1880, and any detention caused by either party was to be compensated for by the payment to the other of demurrage at the rate of $50 per day. The charter-party contained the following stipulation: “To the true and faithful performance of all and every part of the foregoing agreement, we, the said parties, do hereby bind ourselves, our hems, executors, administrators, and assigns, each to the other, in the penal sum of amount of charter;” that is, $2,900. It was also stipulated that “security” should “be given for the performance of this agreement in the sum of $500,” previous to the sailing of the vessel on her voyage to China. No attention seems to have been paid to this provision, except by the libellants, who, on February 26, 1880, advanced the defendants $500 earnest-money on the voyage from Hong Kong to Portland, erroneously stated in the answer to have been paid before the bark left Portland for the former place. The agreement is signed by the libellant, Ye Seng Company, and the various mercantile firms that compose the adventure, and by “Corbitt & Macleay, agents for owners.”

In October, 1879, the Garibaldi left Portland for Hong Kong, where she arrived about the end of that year. Hop Kee, a Chinese merchant at Hong Kong, was the agent of the libellants to deliver the. cargo of freight and passengers, for which he was to receive a commission of 5 per centum. ' When the vessel arrived at Hong Kong shipping was scarce and coastwise freights were high. Soon after her arrival in port, and before January 31, 1880, the master, Thomas J. Forbes, informed Hop Kee that he would not be allowed to carry passengers out of that port on the Garibaldi; and on January 31st she was surveyed by R. McMurdo, the “surveyor for the government and local offices,” who made and furnished the'master a [425]*425certificate, over his signature and seal of office, containing a description of the vessel and the following statement under the head of “General remarks upon the vessel and character of the risk“Vessel docked and metaled at date under inspection of the undersigned; now tight and in order, but not a fit vessel to carry passengers. ” These facts were at once communicated to the defendants by cable and mail, and they instructed the master to do the best he could with her, and she went into the coasting trade, where she remained until she was disposed of in the following July.

On February 13,1880, Nathaniel Ingersoll, who procured the charter for the libellants, wrote Forbes from Portland, enclosing a copy of the charter-party for the use of Hop Kee, and telling him that Ye Seng Company wished to be advised by mail when he was ready to sail for Portland.

On March 4, 1880, at the instance of Forbes, Hop Kee wrote across the face of the copy of the charter forwarded to him by Ingersoll, “This charter-party is cancelled in consequence of the emigration office of Hong Kong refusing to permit the Garibaldi to carry passengers,” and signed the same “Hop Kee, agent for charterers;” and on the same date Forbes addressed a note to “Messrs. Hop Keo & Co., agents for charterers of Garibaldi,” as follows:

“In consequence of the emigration office of Hong Kong refusing to permit my ship to cany passengers, I hereby certify that you have cancelled the charter-party, dated Portland, Oregon, twentieth August, 1879.”
[Signed] “T. J. Forbes, Captain Garibaldi.”

The libellant contests the right of Hop Kee to cancel the agreement, and the counsel for the defendants admits that the evidence does not prove it. His agency appears to have been confined to the fulfilment of the charter at Hong Kong, without any authority to modify or cancel it. Nor will the law imply the greater authority from the less — the power to abrogate from the power to fulfil or carry out. Maclachlau, L. of M. S. 360; Rich v. Parrott, 1 Spr. 858. Nor is it clear that Hop Kee actually undertook to release the defendants from their obligation under the agreement, but only formally to admit the fact that as it had become impossible, as he understood it, for the defendants to perform their part of the contract, it was, in his judgment, practically at an end.

The answer of the defendants alleges that the Garibaldi, on August 20, 1879, was owned by the Ocean Ship Company, a corporation formed under the laws of Oregon, and that the defendants made said charter-party as the agents of said company and not otherwise, and [426]*426therefore they are not liable thereon; and on the trial it was admitted that such was the fact, and also that the stock of such corporation was substantially owned by the defendants Kenneth and Donald Macleay. But it also appears from the evidence that while defendants signed the charter-party as agents, they did not disclose the name of their principal, nor was it ever known to the libellant until after the commencement of this suit. Under these circumstances the liability of the defendants is undoubted. Although agents in fhct> they have so dealt with the libellant as to render themselves liable as principals.

The rule of law upon the subject is clear and just.- Story, in ibis Agency, §§ 266-7, says:

“A person contracting as agent will be personally responsible when, at the time of making the contract, he does not disclose the fact of his agency. * * * The same principle will apply to contracts made by agents, when they are known to be agents and acting in that character, but the name of their principal is not disclosed; for until such disclosure it is impossible to suppose that the other contracting party is willing to enter into a contract exonerating the agent and trusting to an unknown principal, who may be insolvent, or incapable of binding himself.”

To the same effect is the rule laid down in 2 Kent, 630; and it was expressly affirmed in Winsor v. Griggs, 5 Cush. 210.

In Maclachlau, L. of M. S.

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Bluebook (online)
9 F. 423, 7 Sawy. 368, 1881 U.S. Dist. LEXIS 196, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ye-seng-co-v-corbitt-macleay-ord-1881.