Swift & Co. v. Etheridge
Swift & Co. v. Etheridge
Opinion of the Court
Defendant did not insist upon the counterclaim, as set up in his answer, at the trial of this action. He tendered no issues involving the matters relied upon in support of his counterclaim. There was neither allegation nor proof that the fertilizers purchased by defendant of the plaintiffs had been subjected to a chemical analysis, showing a deficiency of ingredients, which is made, by statute, a prerequisite to a suit for damages, resulting from the use of the fertilizers; C. S., 4697. Defendant could not, therefore, have maintained an action to recover such damages; Jones v. Guano Co., 183 N. C., 338, 264 U. S., 171, 68 L. Ed., 623. Nor could he, without such allegation and proof, have maintained a counterclaim for such damages; Fertilizing Co. v. Thomas, 181 N. C., 274; Pearsall v. Eakins, 184 N. C., 291. There is no provision in the contract between the parties to this action abrogating the statutory requirement. Defendant was, therefore, well advised when he did not insist upon the counterclaim.
The only defense, relied upon by defendant, is failure of consideration for the note sued ujoon. He admitted the execution of the note, as set out in the complaint, but alleged that the fertilizers delivered to him, pursuant to the contract of sale, which were the consideration for the note, were worthless. This note contains a clause in words as follows:
“The consideration of this note is commercial fertilizers sold to the undersigned without any warranty as to results from its use, or otherwise. Said fertilizers have been inspected, tagged and branded under and in accordance with the laws of this State.”
By these words, included in the note signed by him, defendant admits that there was no express warranty by plaintiffs as to results from the use of the fertilizers or otherwise. He is thereby precluded from alleging or contending that there was any express warranty, for the breach of which he is entitled to damages. Indeed, upon the trial, he made no such contention.
The rule of caveat emptor, as applied at common law in the sale of articles of personal property, is not applicable to the sale of commercial fertilizers in this State. “By the common law, the vendor is not bound to answer to the vendee for the quality or goodness of the
It is contended, however, that the words “or otherwise,” negative, not only an express warranty by contract between the parties, but also any warranty implied by law, in accordance with the principle above stated. This contention does not commend itself to us as consistent with the honesty of purpose with which plaintiffs are entitled to be credited in their dealings with their customers. The law presumes an honest purpose on the part of plaintiffs in the conduct of their business, in this State, as manufacturers and sellers of commercial fertilizers. It- will not presume a purpose to collect from customers the contract price for articles sold, regardless as to whether they are worthless or not. Plaintiffs sold and contracted to deliver to defendant commercial fertilizers; they seek in this action to recover the purchase price for the articles delivered pursuant to this contract. Plaintiffs did not guarantee the results from the use of the fertilizers, nor did they guarantee the quality or goodness of the articles sold. It was the duty of plaintiffs, however, to deliver to defendant, pursuant to the contract, commercial fertilizers. The law implies an undertaking by the plaintiffs to perform this duty. Plaintiffs will not be heard, when seeking to enforce rights under the contract, to say that they absolved themselves from the performance of the duty which the law imposed upon them when they made the contract with defendant.
In addition to tbe duty imposed by law upon plaintiffs, as manufacturers and sellers of articles of personal property, under tbe principle of implied warranty, there is tbe duty imposed by statute upon them as manufacturers and sellers of commercial fertilizers. C. S., 4690 makes it tbe duty of all persons, companies, manufacturers, dealers or agents, before selling or offering for sale in this State, any commercial fertilizer, to brand or attach to each bag, barrel or package, tbe brand name of tbe fertilizer, tbe weight of tbe package, tbe name and address of tbe
When plaintiffs as manufacturers, dealers or agents sold to defendant commercial fertilizers, they must be held to have warranted that they had complied with the statute, and that the articles delivered, as commercial fertilizers were truthfully branded as required by the' statute. Among other things the statute requires 'that the “guaranteed analysis of the fertilizer, giving the valuable constituents of the fertilizer in minimum percentages only,” shall appear on each bag or package. No commercial fertilizers may be sold in this State without a guarantee of the analysis claimed by the manufacturer. Plaintiffs, therefore, when they delivered to defendants the articles purchased by him as commercial fertilizer, in accordance with the statute, warranted that the contents of the bags or packages, were not only commercial fertilizers, but also were of the guaranteed analysis as appeard on the bag or package.
If the contents of the bags or packages delivered to defendant by plaintiffs were not, in fact, commercial fertilizers, of the analysis guaranteed on each bag or package, as required by statute, there was no consideration for the note, given for the purchase price of the articles bought by defendant, and plaintiffs are not entitled to recover on said note. Total failure of consideration is a defense in an action upon a note between the original parties thereto, C. S., 3008. Jewelry Co. v. Stanfield, 183 N. C., 10; 3 R. C. L., 942, sec. 138 and authorities cited. The note sued on in this action is a negotiable instrument and is deemed prima facie to have been issued for a valuable consideration, C. S., 3004. The burden is on defendant, who admits the execution and alleges failure of consideration, to rebut the presumption arising from the character of the note; Piner v. Brittain, 165 N. C., 401; Hunt v. Eure, 188 N. C., 716. This burden may be sustained by parol evidence.
There was no error in the refusal to render judgment on the pleadings, or judgment non obstante veridicto.
Plaintiff excepted to the first issue' tendered by defendant, and submitted to the jury by the court. This issue was as follows:
“Was the fertilizer, the consideration of the note, worthless?”
If a purchaser gets from his vendor the very krticle which was the subject-matter of the contract of sale, and there is no express warranty as to quality or no fraud or deceit, he cannot defend an action for the purchase price solely upon the allegations and proof that the article was worthless. Fair v. Shelton, 128 N. C., 105. If, however, the article
It may be noted that there are no provisions in tbe contract between tbe parties to this action wbicb differentiate their contract from other contracts for tbe sale of articles of personal property. Tbe fact that commercial fertilizers are tbe subject-matter of tbe contract does not affect tbe character of evidence competent to be beard by tbe jury upon tbe issue. There is no demand for compensation for deficiency of ingredients; nor are damages from results of using tbe fertilizers sought. Tbe controversy is as to tbe identity of tbe articles delivered with tbe articles sold. Defendant contends that plaintiffs did not deliver to him tbe articles wbicb be bought and wbicb plaintiffs contracted to sell and deliver to him. If this allegation is true, there was no consideration for tbe note sued on. Tbe issue submitted, to wbicb plaintiffs excepted, does not present this question. Tbe exception was well taken, and tbe assignment of error based thereon must be sustained.
We do not pass upon or discuss other assignments of error, wbicb are based upon exceptions to evidence upon tbe issue erroneously submitted. There must be a
New trial.
Reference
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- SWIFT & COMPANY v. H. ETHERIDGE
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- Published