Chadwick v. Five Hundred & Seventy-Six Granite Blocks
Chadwick v. Five Hundred & Seventy-Six Granite Blocks
Opinion of the Court
The steamer Oliver Ames was at the port of Vinal Haven, Me., in the month of August, 19*09, for the purpose of bringing a cargo of 560 tons of granite paving blocks to New York. These paving blocks were the property of Joseph Leopold & Co. of New York, and had been loaded upon the vessel when' she was libeled by a party named Snow for supplies. The captain of the vessel, upon communication with Leopold, obtained $250, advanced on account of freight, which was paid to Snow, and Leopold was asked to promise $175 more to Snow when the freight was finally paid. This was for the purpose of obtaining a release of the Snow claim and to free the vessel from the libel. The original bill of lading is dated August 18, 1909, and as signed by the master recites an advance on freight of $350. A duplicate of the bill of lading was transmitted to Leopold, and was the basis for his accepting the $250 draft which has been referred to. Subsequently other claims against the vessel were filed by intervening libelants, and upon the 28th day of August the vessel was sold to Chadwick & Co. and delivered by the marshal at noon on that day.
It may be assumed that from that point all maritime liens which had existed against the vessel and which were covered by the notice and publication in die action in which the vessel was sold were cut off and the vessel released therefrom. The former master of the vessel was re-employed by Chadwick & Co., and took charge as master for
So far as the question with respect to the bills of lading is concerned, the proposition is not complicated and the facts are undisputed. When Chadwick & Co. purchased the schooner, they purchased no rights over the cargo except that of possession. The cargo could have been placed on the dock or such other disposition of it could have been made as might be agreed upon between the owner of the cargo and the new owners of the vessel. We need not determine here whether the owners of the cargo or of the vessel could have compelled the United States marshal to remove the cargo and deliver the ship alone, thus making the expense of caring for the cargo a claim against the vessel prior to her sale free from liens; nor need we consider what remedy Leopold & Co. might have had if the new owners of the vessel had moved the vessel with the cargo on board, or threatened to dump it out in the most convenient and economical manner. The action of all the parties has relieved the court from now attempting to adjust their positions as they existed at that time. Leopold & Co. made no effort to claim their cargo, and interposed no objection to its being brought to New York so long as their title and, rights were not interfered with. Chadwick & Co., the new owners, made the master of the vessel their agent, and put him in a position where under the statutes he was bound to furnish a bill of lading before sailing. In fact, the Harter
It is evident that they undertook the contract, that they preferred to bring the boat to New York for whatever they might be entitled to, and that they did not stop the boat, from sailing when they learned that Leopold & Co. held a claim against the freight, or, if it might have been too late to stop the vessel by telegram at that time, the responsibility mrist be theirs for allowing the captain to start before they attempted to inform Leopold & Co. of the situation. This position of the parties is reasonably certain as to the $250. As to the further agreement on the part of Leopold & Co. to accept a draft for $175, but which draft has not been as yet accepted, a different question arises. As to this, the libelants have put in evidence a letter written by Capt. Morgan to Leopold & Co., upon the 3 8th day of August, 1909, which is as follows :
“Rockland, Me., Aug. 18,1909.
“Mr. J. Leopold & Co. Dear Sir: Your telegram received to pay sight: draft for $250 oil freight on cargo of Sclir. Oliver Ames for 'Which we thank you very much. Now we want you to agree to pay to I. L. Snow & Co. $175 more on my arrival at your dock, and when said vessel is discharged. This is only paying the $175 freight money to ALr. Snow instead of paying it to me, now the vessel is all loaded ready to sail and this will release her and we will come right on as soon as we can, so please oblige
“Yours Very Truly, N. W. Morgan, Aiaster and Agent.
“P. S. Mr. Snow has already telegraphed the aceei>tance of this order.”
Under these circumstances, the court is unable to hold that Snow (in the absence of testimony establishing a contract enforceable by him or performed on his part) can have more than he has already obtained from Leopold & Co., or that Leopold & Co. can deduct the $175 as well as the $250 from the agreed value of the freight earned by Chadwick & Co. The claimant has tendered the difference between $425 and the total amount of freight, and apparently takes the position that he can retain the $175 until he is compelled to turn it over to Snow, or that he may voluntarily give Snow the benefit of it, if Snow does not get the balance of his claim over $250 in the admiralty action in the district of Maine. But with this we have nothing to do. According to the holding above with respect to the $250, Chadwick & Co. are bound to allow Leopold & Co. whatever they knew or should have known was chargeable against the bill of lading which they assumed; and, if Snow & Co. can establish any further claim against the freight money, Chadwick & Co. must take care of this claim at the proper time. But this is far from deciding that any independent arrangement between Snow and Leopold, even perhaps made subsequently to the letter of August 18th, and hence not shown by this testimony or brought home to Chadwick & Co. at the time they purchased the schooner, must be paid by Chadwick & Co. out of their earnings for freight.
The libelant may recover the sum of $476, less $250.
Reference
- Full Case Name
- CHADWICK v. FIVE HUNDRED AND SEVENTY-SIX GRANITE BLOCKS
- Status
- Published