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Insulating Bd. Corp. v. McMurray

Supreme Court of Mississippi, Division A
Feb 20, 1933
164 Miss. 809 (Miss. 1933)

Opinion

No. 30338.

January 23, 1933. Suggestion of Error Overruled February 20, 1933.

1. BAILMENT.

Bailee of personal property is not insurer, nor liable for value thereof when destroyed without his negligence.

2. BAILMENT.

Contract for bailment, to change obligation of bailor, to that of insurer, must expressly so provide or contain stipulation absolutely requiring redelivery.

3. CONTRACTS.

Use of words obligating promisor to do only that required under common law does not evidence intent to assume greater obligation.

4. SHIPPING. Contract for lease of barge held not to impose absolute obligation on lessee to return barge at all events, unless destroyed by tornado, cyclone, flood, or act of God.

Contract for lease of barge stipulated that lessor agreed to return barge in same condition in which it was received, but that lessee was not obligated to make payment for any damages "due to tornadoes, cyclones, floods, or any act of God. Neither does it bind the lessee to make payment for any damages due to ordinary wear and tear from reasonable use of the barge."

5. EVIDENCE.

Where lessor of barge, suing lessee for damages, assumed that barge had been destroyed, lessee could rely on such assumption.

APPEAL from the circuit court of Washington county. HON. S.F. DAVIS, Judge.

Percy, Strauss Kellner, of Greenville, for appellant.

As lessee of the barge under a lease providing for its return in the same condition as received, the defendant is liable for its destruction only in the event the evidence proves the defendant or some one for whom the defendant was responsible, guilty of negligence.

Meridian Fair Assn. v. Railway Company, 70 Miss. 808, 12 So. 555; Kohlsaat v. Parkersburg Marietta Sand Co., 266 F. 283, C.C.A. 4th Cir; Schoonmaker-Conners Company v. Lambert Transportation Company, 268 F. 102 C.C.A. 2 Cir.; The Elfrida, 14 F. 237 D.C.E. Div. N.Y.; Ann. 11 A.L.R., p. 690.

Whether or not the defendant, or those persons for whose actions it was responsible, were guilty of negligence, is a question of fact which should have been submitted to the jury.

21 A. E. Ency., p. 499; 45 C.J. 1279; Bell v. Southern Ry. Co., 30 So. 821; Laurel Mercantile Co. v. Mobile O.R. Co., 87 Miss. 675, 40 So. 259; Gilchirst Fordney Company v. Price, 112 Miss. 20, 72 So. 836; Dampf v. Yazoo Ry. Co., 95 Miss. 85, 48 So. 612; S.H. Kress Co. v. Marklins, 117 Miss. 37, 77 So. 858; Leeke v. Gulf S.I.R.R. Co., 91 Miss. 68, 46 So. 68; Dennis v. New Orleans N.E.R. Co., 32 So. 914; Illinois Central Ry Co. v. Turner, 71 Miss. 402, 14 So. 450; Alabama, etc., Ry. Co. v. Groome, 97 Miss. 201, 52 So. 703; Harrison v. Southern Railway Company, 93 Miss. 40, 46 So. 408.

If any inference may be drawn from the evidence that the defendant was not negligent as charged by the court's peremptory instruction, then the question was for the jury.

Nesbitt v. City of Greenville, 69 Miss. 22, 10 So. 452; Southern Ry. Company v. Floyd, 99 Miss. 519, 55 So. 287; Lowe v. Mobile O.R. Co., 149 Miss. 889, 116 So. 601; Abernathy v. Mobile J. K.C.R. Co., 97 Miss. 851, 53 So. 539; 45 C.J. 1291.

To indicate the decided weight of authority in favor of the proposition that a lease or charter of a vessel containing a covenant to return in good condition, but without obligation to pay for any damages due to ordinary wear and tear or acts of God, does not fix liability where there is no negligence.

Mulvaney v. King Paint Manufacturing Company, 256 Fed. 612; Shamrock Towing Company, Inc. v. City of New York, 32 Fed. 684; Wandell v. New Haven Trap Rock Co., 285 Fed. 339; The Raymond M. White, 290 Fed. 454; Ames v. Belden, 17 Barb. 513; Young v. Leary, 135 N.Y. 516, 32 N.E. 607; Cary-Davis Tug Barge Co. v. Fox, 22 Fed. 64; Cowles Towing Co. v. American Constru. Co., 27 Fed. 622; W. A.S. Inc. v. Heling Contr. Corp., 50 Fed. 99; The Minerva, 266 Fed. 598; The Greenwich, 270 Fed. 42; Coal Mining Co. v. U.S., 15 Fed. 367; J.W. Brown Inc. v. Fuller Co., 153 P. 960.

A covenant to return in good condition, is not intended to cover a failure to return, or a damage to the article due to the negligence of some third person.

Hughes v. Railroad Co., 94 Miss. 242; Meridian Fair Exposition Co. v. Ry. Co., 70 Miss. 808, 12 So. 555.

It was not contemplated by the contract that the owners would be liable in case they were prevented from carrying out the contract by the destruction of the vessel.

Piaggio v. Somerville, 119 Miss. 6, 80 So. 342.

Farish, Bell Felts, of Greenville, for appellee.

The contract itself extends the liability to cover the safety of the barge even though it was lost or damaged without any fault whatever on the part of the appellant and that the appellant, under its contract, could escape liability only by showing that the barge was destroyed by an act of God.

24 R.C.L. 1106, section 130; Alaska Coats Co. v. Alaska Barge Co., 79 Wn. 216, 140 P. 334, L.R.A. 1915C. 423; Robertson v. Plymouth Lbr. Co., 165 N.C. 4, 80 S.E. 894; Paradine v. Jane Aleyn, 2682 English Reprint 897; Jemison v. McDaniel, 25 Miss. 83; Harmon v. Fleming, 25 Miss. 135; Abby v. Billups, 35 Miss. 618, 72 Am. Dec. 143; Mitchell v. Hancock County, 91 Miss. 414, 45 So. 571, 15 L.R.A. (N.S.) 833, 124 Am. St. Rep. 796; Anson on Contracts (2 Am. Ed.), 424; Harmon on Contracts, 824; 3 Elliott on Contracts, sec. 1891; 13 C.J. 639; 6 R.C.L. 997, note L.R.A. 1916F, 10; Piaggio v. Somerville, 119 Miss. 6, 80 So. 342.

Where a party by his own contract, engages to do an act, and does not provide against contingencies, and exempt himself from liability in certain events, he is not, in the instance of an absolute and general contract, excused from his performance by an inevitable accident or other contingency, although not foreseen, by, or within the control of the party.

We find the common-law rule, on this subject, stated in the following manner: "Where the law casts a duty on a party, the performance shall be excused, if it be rendered impossible by the act of God. But where a party, by his own contract, engages to do an act, it is deemed to be his own fault and folly, that he did not thereby expressly provide against contingencies, and exempt himself from liability in certain events; and in such case, therefore, that is, in the instance of an absolute and general contract, the performance is not excused by an inevitable accident or other contingency, although not foreseen by, or within the control of the party.

Harmon v. Fleming, 25 Miss. 135; Jemison v. McDaniel, 25 Miss. 83.

For the rule is that when a party by his own contract creates a duty or charge upon himself he is bound to discharge it, although so to do should subsequently become unexpectedly burdensome or even impossible; the answer to the objection of hardship in all such cases being that it might have been guarded against by a proper stipulation.

Piaggio v. Somerville, 119 Miss. 6, 80 So. 342.

Argued orally by Ernest Kellner, Jr., for the appellant, and by H.P. Farish, for appellee.


The appellee contracted with the appellant to, and did, deliver to it a barge for use by the appellant for a period of five months, for which it was to pay the appellee two hundred fifty dollars, in installments of fifty dollars per month. The contract stipulates that: "The lessee, Greenville Insulating Board Corporation, agrees to return to the lessor, C.H. McMurray, said barge in the same condition as received. This does not bind the lessee, however, to make payment for any damages due to tornadoes, cyclones, floods, or any act of God. Neither does it bind the lessee to make payment for any damages due to ordinary wear and tear from reasonable use of the barge."

The appellant failed to return the barge at the expiration of the contract, and this suit was instituted by appellee to recover the value thereof, and also an unpaid balance of the rent therefor. The appellant's defense is that the barge was rammed and destroyed by a steamer during a fog, without negligence on its part. At the close of the evidence, the court directed a verdict for the appellee, and there was a judgment accordingly.

The appellee's first contention is that the obligation of the appellant to return the barge to him is absolute, and therefore, if it is unable to return it, it must pay the value thereof.

Unless changed by contract a bailee or lessee of personal property is not an insurer of the property bailed or leased, and it not liable for the value thereof to the bailor or lessor when it is destroyed without negligence on his part. Meridian Fair Exposition Assn. v. North Birmingham St. Railway Co., 70 Miss. 808, 12 So. 555; Fowler v. Payne, 49 Miss. 32; Levey v. Dyess, 51 Miss. 501. In order for a contract to change this obligation to that of an insurer, it must expressly so provide or contain a stipulation absolutely requiring the redelivery of the property, or a stipulation which is equivalent thereto. Levey v. Dyess, supra. This is in accord with practically all of the authorities, and is but a specific application of the rule applying to agreements to deliver property in the future which is destroyed or perishes before the date fixed for its delivery. This rule is thus stated in section 281, A.L.I. Rest. Contracts: "In promises for an agreed exchange, a promisor is discharged from the duty of performing his promise if substantial performance of the return promise is impossible because of the nonexistence, destruction or impairment of the requisite subject-matter or means of performance, provided that the promisor has not himself wrongfully caused the impossibility or has not assumed the duty that the subject-matter or means of performance shall exist unimpaired." See, also, Piaggio v. Somerville, 119 Miss. 6, 80 So. 342.

The appellee's contention is that, because of the stipulation in the contract that the appellant shall not be liable for damage to the barge "due to tornadoes, cyclones, floods or any act of God," or "to ordinary wear and tear from reasonable use of the barge," it impliedly obligates itself to return the barge at all events, unless it should be destroyed by a tornado, cyclone, flood, or an act of God. All these exceptions, it will be observed, are such only as at common-law would relieve the appellant from liability for damage to the barge, and therefore add nothing to its release therefrom; and the rule is that the use of such words does not evidence an intent to assume a greater obligation than that imposed by the common-law. As said by the New York Court of Appeals in Young v. Leary, 135 N.Y. 569, 32 N.E. 607, 609, quoted with approval in Mulvaney v. King Paint Mfg. Co. (C.C.A.), 256 Fed. 612, "when language is used which does no more than express in terms the same obligation which the law raises from the facts of the transaction itself, the party using the language is no further bound than he would have been without it." This is in accord with the weight of authority, though there are a few courts which seem to hold the contrary.

In Levey v. Dyess, supra, the contract was to return "a sawmill in good, running order, except the usual wear and tear, and the long carts, implements and tenements, without damage, except the running wear and usage." This language was held not to impose "upon the tenant the responsibility of an insurer," the court saying, "if that greater risk is assumed, it must be clearly and explicitly set forth in the contract."

Among the cases relied on by the appellee are Jemison v. McDaniel, 25 Miss. 83; Harmon v. Fleming, 25 Miss. 135; Abby v. Billups, 35 Miss. 618, 72 Am. Dec. 143; Mitchell v. Hancock County, 91 Miss. 414, 45 So. 571, 15 L.R.A. (N.S.) 833, 124 Am. St. Rep. 706; and Sun Printing Publishing Ass'n v. Moore, 183 U.S. 642, 22 S.Ct. 240, 46 L.Ed. 366. The first two of these cases involve only a lessee's liability for rent of property destroyed before the expiration of the lease. In Abby v. Billups and Sun Printing Publishing Ass'n v. Moore, the contract required the lessee to keep the leased property in repair and to surrender it in as good condition as when received. The covenant to repair was held to be equivalent of a covenant to rebuild or restore. That such is the effect of such a covenant was pointed out in Levey v. Dyess, supra. In Mitchell v. Hancock County, the contract provided that "said J.W. Mitchell (the builder) by these presents insures and guarantees to keep said bridge in repair for a term of five years, . . . and if said bridge shall be removed from any cause, fire excepted, within the time of five years, he shall rebuild the same without additional cost to the county of Hancock."

The appellee's second contention is that the evidence does not disclose that the barge was destroyed. After proving the appellant's failure to return the barge to him, the appellee proceeded to prove that it was rammed by a steamer which knocked a corner off of it and "sunk it to the deck level." He then assumed, in further questions to his witnesses, that the barge had been destroyed, such as, "Where were you at the time the barge was destroyed?" and "You have no personal knowledge about the weather at the time the barge was destroyed?" The evidence for the appellant discloses the ramming of the barge, but is silent as to what resulted therefrom. The appellant had the right to rest on the evidence and assumption of the appellee that the barge had been destroyed.

The appellee's third and last contention is that, if his first and second contentions should be overruled, the appellant is nevertheless liable to him for the value of the barge, for the reason that the evidence discloses that it was destroyed because of the negligence of the appellant. The evidence was such that this inference cannot be drawn therefrom as matter of law, but was for the determination of the jury.

Reversed and remanded.


Summaries of

Insulating Bd. Corp. v. McMurray

Supreme Court of Mississippi, Division A
Feb 20, 1933
164 Miss. 809 (Miss. 1933)
Case details for

Insulating Bd. Corp. v. McMurray

Case Details

Full title:GREENVILLE INSULATING BOARD CORPORATION v. McMURRAY

Court:Supreme Court of Mississippi, Division A

Date published: Feb 20, 1933

Citations

164 Miss. 809 (Miss. 1933)
145 So. 730

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