280 Pa. 458 | Pa. | 1924
Opinion by
Bills of lading were issued in Australia for wool purchased there by appellants, shipped to ports on our western coast and thence trans-shipped by rail to Philadelphia. The bills, which were remitted to Brown Brothers & Co., bankers, and transferred to appellants specified the charges for freight in pounds, shillings and pence, and were stamped “Freight if payable at destination to be at the rate of $4,866 exchange,” or other equivalent words. Appellants tendered payment in pounds sterling, but refused to pay an amount in dollars based on the exchange named in each bill; that tender was refused; subsequently part was paid in dollars, calculated on the current rate, which was much below the amount expressed in the bill. The receipt for each payment purports to be in full for each shipment. This money was accepted on account by the terminal carrier who thereafter sued in this and other actions to recover the balance. Judgment was directed for plaintiff, based on the decision in 78 Pa. Superior Ct. 497, between the same parties.
It is urged that, inasmuch as the freight rate or structure of the bill of lading from Australia to Philadelphia could not be made or governed in its entirety under a rate or form filed with the Interstate Commerce Commission, and as there is no law or tariff schedule regulating the rate of exchange, the arbitrary rate stamped on the bill is not binding when it is denied the rate was placed
A complete answer to the first part of this argument may be found in the opinion of the Superior Court in the former case. Of course the Interstate Commerce Commission would not have jurisdiction over rates established for foreign vessels, but the rate of exchange need not depend on a rule of the commission requiring the carrier to collect in dollars a definite sum for carriage, thus eliminating sterling’s current rates; and here the contract of shipment controls. Even if the words objected to had been placed thereon after execution, the stamped insertion was on the bills of lading when received by Brown Brothers & Co., and nothing was then added to appellant’s burden; if anything, the contract was clarified. At any rate, if appellants did not like it, they could have refused to accept the goods. As stated by Judge Henderson of the Superior Court, in the case of Pennsylvania Railroad Co. v. A. J. Cameron & Co., 78 Pa. Superior Ct. 497, 501, “We consider the doctrine well established that one who, through the assignment to him of a bill of lading, receives the property, thereby binds himself to the payment of the freight charges established by law or fixed by the terms of the contract under which the property is acquired from the carrier: Phila. & Reading R. R. Co. v. Baer, 56 Pa. Superior Ct. 807; West Jersey & Seashore R. R. Co. v. Whiting L. Co., 71 Pa. Superior Ct. 161......In accepting the assignment of the bills of lading with the freight charge endorsed thereon and using the same to obtain possession of the goods from the carrier, there was an implied obligation to pay according to the tenor of the bills of lading as delivered to the plaintiff.”
On appellant’s contention, payment might have been in sterling; the mere fact the freight charges were stamped in pounds, shillings and pence at the point of shipment in Australia does not give rise to a contract
To honor in full the bill of lading there must be sufficient American currency or number of dollars required by the fixed exchange rate to purchase or be the equivalent of the sterling named in the bill of lading; such payment does not increase the freight charges specified in the bill. Any uncertainty in the words “if payable at destination” relates to the place where payable, and not the specie in which payable. Freight was payable at the destination, and of course in American currency: Benners v. Clemens, 58 Pa. 24; Juilliard v. Greenman, 110 U. S. 421; 3 Williston on Contracts 3127. Our courts cannot give judgment in sterling currency. It would be ineffective, as there would be no means to enforce it; therefore they must reduce the pounds, shillings and pence mentioned in the bill of lading into American currency at the rate there fixed, which is the par nominal or normal rate of exchange. If payment was to be made on the basis of the current rate of exchange, the shipment over American lines would be for a less sum in dollars than fixed by the tariffs filed with the Interstate Commerce Commission; this would be unlawful. Appellant did not have the option to pay in sterling, but must be held to payment in currency of the United States.
The receipt given was in full payment “of the above account,” but, as pointed out by the Superior Court, there was no substantial dispute between the parties.
It is important, then, that the check should call attention to the effect intended. A statement that a check is in full settlement of all claims and demands, and is accepted as such, should indicate to the person receiving it that the paper intends to close all accounts between the parties, and courts should give effect to checks of that sort. Without determining the specific language necessary, or appellants’ position on this phase of the question, plaintiff could not legally accept a less sum than the full amount. The law respecting rebates, discriminations, etc., as noted above, is very severe, and even if the receipt had issued as claimed, the only method of wiping out the claim was a judicial determination of it adversely to appellee. Unquestionably a part of this money was necessary to pay freight charges from the
Contracts in violation of the Interstate Commerce Act are void (Southern Railway Co. v. Prescott, 240 U. S. 632, 1916). When dealing with rates (Armour Packing Co. v. U. S., 209 U. S. 56, 1908), the carrier, is not es-topped from asserting the legality of the Interstate Commerce Act and the illegality of payments by shippers which would be in contravention of the act (Ill. Central R. R. v. Henderson Elevator Co., 226 U. S. 441, 1912; Phila. & Reading Railway Co. v. Baer, 56 Pa. Superior Ct. 307, 1914).
We are satisfied, on a review of all the record, that judgment was correctly entered in the court below.
The assignments of error are dismissed, and the judgment is affirmed.