Crook v. Cowan
Crook v. Cowan
Opinion of the Court
If one writes to another, who has not offered his property for sale, proposing to buy, the letter is of course nothing but an offer, and is of no force until the other answers and accepts the offer; then the contract is made. But if one holds his property out for sale, naming the terms, and another accepts the terms, the contract is complete ; or, if one bids at an auction, and the hammer falls, the contract is complete; or, if one advertises, offering a reward for something to be done, as soon as the thing is done the contract is complete, and the reward is due. So, in our case, the plaintiff held himself out as a carpet manufacturer and vender, and offered his carpets for sale, and invited purchases ; and when the defendant sent him the unconditional order for carpets, that was an acceptance of his offer, and the bargain was struck, and the moment that the carpets were delivered to the Express, the agent designated by the defendant to receive and transport them and collect the bill, the delivery was made, and the property passed to the defendant. But, if that were not so, our case is stronger than that. Consider the case as if the first offer was made by the defendant to the plaintiff. The defendant knowing that the plaintiff was a carpet vender, sent him an unconditional order for carpets, specifying the Express as the agent to receive and transport them, and to collect the bill, and the order was filled to the letter. Thereby, the offer was accepted, the property in the carpets passed to the defendant,
Tbe defence is pnt npon this ground: the defendant’s letter to plaintiff was only an offer, ’there was no contract until the plaintiff accepted it and notified the defendant; and the notice ought to have been by mail, within a reasonable time.
The plaintiff says, that he did assent immediately upon the receipt of the order, and forwarded the carpets as soon as he could have them made up, which was within a reasonable time — seven days, and that this was all he had to do. The point of divergence between the plaintiff and defendant is, that the defendant says, the plaintiff ought to have notified him by mail that he had accepted the offer, and forwarded the goods; that merely filling the order, although in the exact terms thereof, was not an acceptance, without notice. The propriety of giving notice by mail, must depend a good deal lipón the circumstances of each particular case; — as, if the order requires it, or, if the order is not sufficiently specific, and leaves something further to be arranged, or, if considerable time- must pass in the manufacture of the article, or, if the route or means of transportation is not known, or .the voyage long and dangerous, and the like. But if an * offer and an acceptance — an unconditional and specific order, and an exact fulfillment, as in this case, does not complete the contract, how would it be possible to complete a contract by mail ? A sends an unconditional order to B, and, instead of B’s filling the order, he writes back that he accepts the order and will fill it, but in the meantime, A may have changed his mind, and lest he has, he must write back to B and so on, for ever. Adams v. Lindsell, 1 B & Ald. 681, is the leadiug English case, illustrating, and repudiating,
We admit that the rule, that filling an order completes tbe contract, is confined to unconditional and specific orders. And, if tbe purchaser thinks proper, be can make ¡his order as guarded as be pleases. He may say, “I want such goods, — can you furnish them ? If so, at what price, and within what time ? Inform me by return mail. I will pay if tbe goods arrive safe, — otherwise not,” — and tbe like. Then be will not be liable unless tbe terms are strictly complied with.
In tbe case before us, tbe order was unconditional and specific, and was complied with to tbe letter. Tbe defendant did not ask tbe plaintiff to inform him whether be would fill tbe order. He bad no doubt about it. It was tbe plaintiff’s business to fill such orders, and tbe defendant bad confidence in him. So far from requiring tbe plaintiff to notify him by mail, be impliedly informed him that be need not do so : Send tbe goods by Express, O. O. D., without more say; and send tbe bib by Express fpr collection; or, if you are afraid to trust me, then, and in that case only, you may write to me and I will send tbe money, before you ship tbe goods, — is, substantially, what tbe defendant said in bis order to tbe plaintiff. There was no use in informing tbe defendant by mail of tbe shipment of tbe goods, because tbe Express is as speedy as tbe mail; and there is certainly no
The defendant also complains that the plaintiff did not answer his telegram. The answer is, that neither the mail nor the telegraph had-been designated as the means of communication, but the Express. And it was the defendant’s misfortune, if not his fault, to go elsewhere than to the place designated, for information. His duty ended when he deliv ered the goods to the agent designated by the defendant, the Express, with the bill for the price to collect. The goods were at their destination — the Express office — when the defendant sent his telegram. He did not go to the Express office at all, and offers no explanation why be did not, but left the plaintiff to infer, as he seems to have done, that his purpose was to avoid the contract.
Dissenting Opinion
{dissenting) The question in this case is, whether what took place between the plaintiff and defendant amounted to a complete contract of sale, or' to.a binding contract by the defendant to accept and pay for the goods, so as to enable the plaintiff to recover the price.
The letter of the defendant of December 10th, was merely an offer to purchase the goods named: it is called an order: but an order on a merchant or manufacturer for a specified article — that is, a request to sell, the article to the writer— can ~be nothing but an offer to. purchase. It does not bind the proposed vendor, until it is assented to by him; nor can it bind the proposed vendee, until the vendor himself becomes bounda contract which binds only one of the parties, (except in certain special cases, as where one of the parties is an infant, &c.,) is an impossibility.
“A mere affirmation or proposition is not enough,” u There must be a request on one side, and an assent on the other 1 Pars. Cont. 475, Chit. Cont. 9—15. a A contract
“ It takes two to make a bargain,” is a maxim of law, the soundness of which strikes the good sense of every one, so that it has become a common saying.” Pearson, J. in Spruill v. Trader, 5 Jon. 41.
It is unnecessary to attempt to enforce so familiar a prin ciple by illustration; but the decision of this case depends on bearing it in mind, and fairly applying it. The assent must be given in a reasonable time. If the proposition be by letter, the assent must be given by letter, by the first post on the next day, unless farther time be allowed by the proposition: 1 Pars. Cont. 483, note p; Dunlop v. Higgins, 1 H. L. Cases, 381; Mizell v. Burnett, 4 Jon. 249; Meynell v. Surtees, 31 E. L. & E., 475.
The point of the case is, was the proposition of the defendant assented to by the plaintiff, so as to convert it from a mere offer into a binding contract ?
First, to put away what is not material: The letter from plaintiff to defendant, of 16th January 1867, was not such an assent, because it was not intended as such, and was not given in reasonable time, even if we admit that the defendant’s original offer was kept open by his telegram of 26th December, for a reasonable time thereafter: Mizzell v. Burnett, and Dunlop v. Higgins, ubi. sup.
So that the question becomes at last, whether the delivery of the goods to the carrier on the 21st of December was such an assent. In considering this, it must be borne in mind, that the defendant never received any notice other, than this, either that the plaintiff assented to his proposition to purchase and would send the goods accordingly, or that he had
The proposition, that the mere delivery of the goods to the carrier on the 21st of December was equivalent to an assent communicated to the plaintiff in a reasonable time, and completed the contract, so as to vest the property in the defendant, or to bind him to accept and pay for the goods, can only be maintained on one of two grounds :
1. That a compliance with the terms of a proposition to purchase goods that require to be manufactured, or in some way prepared for use, and which preparation must occupy a time more or less considerable, but greater than what would be a reasonable one within which to give an assent to the proposition, is a sufficient assent, or will suffice in lieu of such assent; or,
2. That the carrier was the agent of the defendant to manifest such assent, and did manifest it, by receiving the goods.
J.s to the first ground, which seems principally relied on : When goods are sent in compliance with an order, and are accepted by the vendee, of course no question as to his liability for the price can arise. If they are sent immediately upon the receipt of the order, or within what would be a reasonable time for giving an assent thereafter, and a bill of lading or equivalent document is sent to the vendee, as is usually the case, or if he is informed of the arrival of the goods at their destination; that also is sufficient notice of the vendor’s assent. Notice of the assent in due time is indispensable, but it is not material how or through whom it given. It is only when there is a delay in the transmission, beyond what would be deemed a reasonable time for the vendor’s assent, either from a difficulty in collecting or preparing the goods, or from any other cause, that the question
There are many cases in which it has been held that upon an offer to guaranty, a compliance with the offer is not sufficient ; notice must also be given to the proposing guarantor that his terms are accepted: 1 Pars. Cont. 478, note h, McIver v. Richardson, M. & S. 557; Mozley v. Tinker, 1 M. G. & R. 692; Cope v. Albinson, 16 E. L. & E. 470;
In the case of an order for goods, such as in this case, where a certain time, more or less considerable, must be consumed in obtaining or manufacturing them, so that there is a delay in complying with the order, it would be unreasonable to hold that the party making the ofter to purchase, was to remain ignorant during all such time, whatever its duration may be, whether or not the vendor had assented to his offer; and to remain bound while the other was loose; and finally to receive no other notice that his letter had been received and his offer assented to, than such as may be implied from a delivery of the goods to a common carrier. Instead of being only for a carpet, which, as it happened, required only ten or eleven days to be prepared for use, the offer might have been for a steam-engine, or other elaborate article which would require months in its fabrication; or, it might have been for an article of fluctuating value, which, if the rule contended for, were established, the vendor might legally send or not, according to his interest. The value or the character of the goods cannot change the principle of law requiring an assent to the proposal. To hold otherwise will be, in my opinion, to violate a recognized principle of universal commercial law, to encourage negligence and a wanton disregard of settled commercial usage; and to introduce a perplexing and injurious uncertainty into a very important class of commercial dealings.
But it is said, it was the duty of the Express Company to have giver! notice to the defendant of the arrival of the goods. This may be conceded. But the question would still remain, whether such notice would have been a sufficient and legal assent by the plaintiff, I think it would not have
Again, it is said, it was the duty of the defendant to have called at the Express office in Wilmington, where he would have heard of the arrival of the goods. But how could this duty be thrown on the defendant, until he had received an answer to his letter to the plaintiff? Was it not more convenient for the plaintiff to answer that letter, than for the defendant and all others similarly situated, to call daily at the Express office, for an indefinite time, inquiring for goods which they had received no notice would be sent ? Is this the common usage in the great commercial cities ? If it is, it could scarcely fail to be well known to us from the inconvenience it would occasion. How long was the defendant to continue calling ? I think these questions cannot be answered without displaying the erroneous conception on which the whole argument for the plaintiff is founded.
Again, it is said, the plaintiff is a dealer in carpets, and offered to all the world to sell them; and that the letter of the defendant, therefore, instead of being an offer to purchase, was, in fact, an assent to the plaintiff’s offer to sell. This principle, it is true, annb'As to a class of cases in which a public - idividual, offers a certain reward to any an offender. In such oases, the terms i, and the doing the act for which the re the offer is revoked, and notice that 3. But those cases are sui generis, and a o the general rule, which arises out of ving a previous assent to the offer, fiple ever applied to the case of a
As to the second ground: All the reasons which support the necessity for an assent to an offer to purchase, imply that the notice of the assent must be to the proposed purchaser in person, or to some agent appointed by him for that purpose. Did the defendant appoint the Express Company his agent for that purpose ? The defendant in fact never made the carrier his agent for any purpose, even to receive the goods — he offered to do so; — but to say that this offer, unaccepted by the plaintiff, was a complete and effective contract for that purpose, is to beg the very question we are discussing, and to confound all distinction between an offer to contract, and a completed contract.
But, waiving that point, it seems clear that the defendant never made, or intended to make, the carrier his agent to receive notice of the acceptance by the plaintiff, of his offer to purchase. Brown, (Actions, 200,) takes the distinction
It being thus shown that the defendant by naming the carrier gave him no authority to contract for him, or to receive the plaintiff’s assent to his offer; did any such authority result simply from his employment and duty as a public carrier ? If such be the power of a public carrier, and such the result of a mere delivery of goods to him, why has it ever become a general, if not universal, usage, for a consignor to take from the carrier a bill of lading receipt or equivalent document, and to forward it to the consignee ? If the carrier is so far the agent of the consignee, that a delivery to the carrier must be presumed to be known eo instcmti to the
In Clarke v. Hutchins, 14 East. 475, Lord Ellenborough says that when a vendor receives an order for goods to be forwarded by a carrier, it is his duty to deposit them with the carrier in the usual and ordinary way, and with the usual precaution, and to do whatever is necessary to secure the responsibility of the carrier for the safe delivery of the goods, and to give the purchaser an indemnity in case of loss. In Buckingham v. Levi, 3 Camp. 414, it was held to be the
If the necessity for this custom were not proved by its existence, many reasons might be assigned for it. Without some document of title, (bill of lading, receipt or correspondence, Bryans v. Nix, ub. sup.) the consignee might have a difficulty in obtaining possession of the goods; he might want to insure them during their transit, or to sell, or to borrow money on them. The rule- must be the same whether the goods be a carpet, hr many bales of cotton. Neither can it make any difference whether the voyage be a short one, as from Baltimore to Wilmington, or a comparatively long one, as from San Francisco to New York; or whether it be wholly by land or water, or partly by both.- The rules of law are founded on deeper principles than to be affected by such accidents as the nature of the highway, or of the vehicle.
Per Curiam. Affirmed.
Reference
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- WALTER CROOK v. DAVID S. COWAN
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