Baltimore & L. Ry. Co. v. Steel Rail Supply Co.

Citations

• 123 F. 655
• 1903 U.S. App. LEXIS 4030
• 59 C.C.A. 419

Syllabus

<p>1. Sale—Contract for Delivery on Board Cars—Responsibility for Delay in Furnishing Cars.</p> <p>Plaintiff sold to defendant the old rails to be taken up from its railroad, to be shipped as soon as the new rails were laid, “delivered f. o. b. Pennsylvania Railroad cars Baltimore and Lehigh Junction.” Two shipping orders were given by defendant, covering part of the rails. The first was promptly filled, and, on receipt of the second, cars were at once ordered and were loaded as fast as received, but there was a delay on the part of the railroad company in furnishing the cars, of which fact defendant was advised. Eelch, that under the contract plaintiff was not bound to furnish the cars nor responsible for the delay, and, it being shown that it did all in its power to obtain the cars promptly, that it was not chargeable with a breach of the contract which warranted defendant in canceling the same, or in refusing to order or accept further shipments.1</p> <p>2. Same—Cancellation of Contract.</p> <p>Plaintiff’s failure to reply to a proposition made by defendant for a cancellation of the contract until five weeks after it was received did not operate as an acceptance of such proposal.</p> <p>8. Same—Breach of Contract by Purchaser—Measure of Damages.</p> <p>Plaintiff was bound only to exercise reasonable diligence in selling the rails after refusal by defendant to accept further shipments, and was entitled to recover from defendant the difference between the price so obtained and the contract price.</p>