Reed v. United States
Reed v. United States
Opinion of the Court
delivered tbe opinion of tbe court, botb in tbe appeal by Reed and tbe cross appeal by tbe United States.
I. In the appeal.
Affreightment contracts are of two kinds, and they differ from each other very widely in their nature as well as in their terms and legal effect. Charterers or freighters may become tbe owners of tbe voyage without any sale or purchase of tbo ship, as in cases where they hire tbe ship and have by the terms of tbe contract, and assume in "fact, tbo exclusive possession, command, and navigation of the vessel for the stipulated voyage. But where the general owner retains tbe possession, command, and navigation of tbe ship, and contracts for as pecified voyage, as, for example, to carry a cargo from one port to another, the arrangement in contemplation of law is a mere affreightment sounding in contract and not a demise of the vessel, and tbe charterer or freighter is not clothed with tbe character or legal responsibility of ownership. (Donahoe v. Kettell, 1 Clifford, 137; The Volunteer, 1 Sumner, 551; The Spartan, Ware, 153; Gracie v. Palmer, 8 Wheaton, 605 ; Clarkson v. Edes, 4 Cowan, 470; Taggard v. Loring, 16 Massachusetts, 336; Christie v. Lewis, 2 Broderip & Bingham, 410.) Unless the ship herself is let to hire, and tho owner parts with the possession, command, and navigation of the same, the charterer or freighter is not to be regarded as the owner for the voyage, as the master, while the
Although the plaintiff's objected to the order of the quartermaster at the time it was given, still it is quite evident that they ultimately consented to perform the service as matter of contract, and that they were content to receive the per diem compensation fixed by the assistant quartermaster at the time lie gave the order. Abundant confirmation of that view is found, if any be needed, in the fact that they voluntarily accepted the prescribed per diem compensation from the commencement of the trip to the 10th of August following, -when they received information of the disaster, which was at the time when the master and all the steamboat’s company, except the mate, one engineer, and three watchmen, returned to the port of departure, and that the plaintiffs make no claim for any additional compensation during that period. Compulsion is not set up by the plaintiffs, and, if it was, the theory could not bo supported, as the jurisdiction of the Court of Claims does not extend to torts. They have also been paid for the value of the steamboat, and also a per diem compensation of $101 per day, from the 10th of August to the 30th of September, -which is the date when the mate, engineer, and the three-watchmen also left the steamboat and returned to St. Louis.
Throughout the litigation the plaintiffs have prosecuted their claim as a matter of contract, and it is quite clear that it could have no other foundation in the court where the suit was brought, and of course it must depend upon the proper application of the principles of commercial law to the facts of the ■case as found by the Court of Claims.
By the terms of the contract, they were to carry the cargo of military supplies from the port of Saint Louis up the Missouri River to Fort Berthold for $272 per day during the voyage, including the return trip as well as the trip to the place of destination, in full compensation for the entire service. By necessary implication the plaintiffs were to victual and man the steamboat and keep her in a seaworthy condition, and in contemplation of law they retained the possession, control, and navigation of the steamboat, as the master was one of their own selection and the crew were in their own employment, and they were responsible for their conduct. Steamers require fuel as a means of creating motive-power, and it is quite obvious that it was the duty of the plaintiffs to supply the steamboat ■with fuel for that purpose as well as provisions for the officers and crew, and that the master was their agent and not the agent of the charterers. Well-founded doubts cannot be entertained upon that subject, and if those conclusions of fact are correct, then it follows as a conclusion of law that the plaintiffs, .as the general owners of the steamboat, were also the owners for the voyage, and that the true relation of the United States to the adventure was that of a charterer for hire and shipper of the cargo. (Saville vs. Campion, 2 Barnewall & Alderson, 510.) Through the assistant quartermaster at Saint Louis the United States put the cargo on board the steamboat, at a fixed
Suggestion ma.y be made that the act of the United States in paying for the value of the steamboat after she was swept off by the ice-freshet and destroyed is inconsistent with the theory that they were merely the charterers for hire, and that the-plaintiffs were the owners for the voyage as well as the owners in fact; but the adjudication of the Third Auditor cannot change the rights of the parties in respect to any matters not within his jurisdiction. (9 Stat. L., 415.) Whether that adjudication was correct or incorrect is not a question in this case, and it is only referred to as showing that it cannot have any weight in the decision of the case before the court. Freight, it is said, cannot be earned unless the voyage is performed and the cargo is delivered; but the voyage in this case, so far as respects the cargo, was performed, and the cargo-was duly delivered to the consignees, and to that extent the freight was earned; but the plaintiffs were entitled, under the contract, to the same per diem compensation during the return trip in case it was performed without unnecessary delay, and it may be that the United States could not have claimed any deduction from the agreed compensation if the interruption in the voyage had been only a temporary one, and the master,, when the cause of interruption had been removed or overcome, had proceeded with the steamboat to the return port. .
Whatever repairs. became necessary in consequence of the-disaster would have been a charge to the steamboat or her-owners; but it maybe that the plaintiffs would have been en
Judgment affirmed.
II. — In the cross appeal.
Supplies for the military service were transported by the appellees from Saint Louis, up the Missouri River to Fort Berthold, •as more fully explained by the court in the case first decided. They were the owners of the steamboat Belle Peoria, and it appears by the findings in the court below, that the assistant quartermaster at that station, on the 1st day of June, 1805, applied to them to take such a cargo, and transport it to that place. Objections were made by the owners of the steamboat, as explained in the preceding case; but they put the cargo on board, and on the 3d of the same month started on the upward trip, and it appears that they made the trip in safety, ■delivered the cargo to the consignees, and without any unnecessary delay started on the return trip. Two days after they started •on the return trip the steamboat encountered a high wind, and while those in charge of her were endeavoring to land, she was blown aground, and became fast. All efforts to get her off proving unavailing, the officers and crew, except the mate, one •engineer, and three watchmen, left her and returned to the port of departure. By the findings, it appears that the mate, ■one engineer, and three watchmen remained on board to the •30th of September of the same year, when they also left the steamer and returned.
Claim was made by the present appellees, in the case first •decided for compensation for the service performed in addition
Apart from what appears in the opinion delivered in the other appeal, the only facts found by the court below in sup-2)ort of the claim are what is exhibited in the following statement: ‘‘These persons, meaning the pilot and crew, were sent, after consultation with the quartermaster at Saint Louis, and for the purpose of protecting the interests of the United States, as well as those of the claimants.” Unless the United States, in contemplation of law, were the owners of the steamboat for the voyage, they had no property interests in the stranded steamboat, as the cargo had, two days before the disaster occurred, been safely discharged at the place of destination and duly delivered to the consignees. They were not owners for the voyage, as the court has just decided, so that if the statement is founded on that theory, it is error, and entitled to no weight; and if not founded on that theory, it does not appear to rest on any substantial foundation, as the court has decided in the other appeal that the appellees, as the general owners and owners for the voyage, assumed all risks from sea perils for the entire trip.
Temporary delays, if any had occurred, might have increased the per diem compensation which the United States had promised to pay; but the voyage had been brollen up and frustrated, more than six months before the pilot and crew were sent to the place of the disaster, for the purpose of getting the steamboat afloat. Suppose, however, that it could be admitted that the United States had some property interests in the steamboat, still the admission would not benefit the appellees,
Judgment reversed, and the cause remanded with directions to dismiss the petition.
Reference
- Full Case Name
- Wm. H. Reed v. United States
- Status
- Published
- Syllabus
- On the Appeals of doth parties. The owners of a steamboat in Saint Louis are applied to in June, 1865, b¡¡ a quartermaster to talce a cargo of military supplies to Fort Berlhold, on the Missouri. Refusing, they are informed that the boat will be impressed. They protest, but get their steamer in readiness, receive the cargo and discharge it al the place of destination. The steamer on her ret urn voyage is driven aground in a gale. The crew leave her in charge of an engineer, a mate and three watchmen, in July. In September these abandon her. The following spring she is destroyed by ice. The owners make their protest to cover insurance. On chartering the steamer the quartermaster fixes the compensation al $272 a day. It is paid up to the time that information is received of her grounding. So thenpaysJ$Wl a day for the time the engineer and men remain aboard. Be next issues vouchers at $80 a day for a portion of the time between the abandonment and the final destnelion of the steamer, but they are not paid. The owners, at the request of the (quartermaster, send a party to save the boat and expend $2,500 in po doing. Under the Act 3d Mareli, 1849, (9 Slat. L., p. 414,) the Third Auditor alloivs $30,000t/or the loss of the steamer, which is] paid to the owners. They bring their action for $80 a day up to the time of her destruction. The Court of Claims desides that the Government is not liable for the per diem of the steamer after the abandonment by the owners; but that under the Act 3d March, 1849, if stands in the relation of insurer of a vessel used for military purposes; and that mqney expended in efforts to save such a vessel, al the request of the officer who chartered her, may be recovered back from the Government. Judgment for the claimants in pari. Both parties appeal. I. Where the owner retains the possession, command, and navigation of his vessel and contracts for a specified voyage, the arrangement in contemplation of law is a mere affreightment, not a demise of the vessel, and the charterer is not clothed with the character or responsibility of ownership. II. When rthe Government charters a vessel to carry a cargo to a certain port, tho compensation being fixed at a per diem going and returning, tho vessel being possessed and navigated by tho owners, and she is grounded on the return voyage, and some months later totally lost, the Government is not liable beyond the agreed per cliem from the beginning of the voyage until it is broten up, including so many days in addition as would have been spent if no disaster had occurred. III. When a vessel enrployod by a quartermaster to carry military supplies is in danger of being lost, and the quartermaster requests tho owners to send assistance for the purpose of protecting the interests of the Government as well as of the owners, no liability on the part of the Government arises for money so expended. Tho Government has no interest in the steamer and the quartermaster no authority to bind the Government by any such arrangement.