Rathbun v. Citizens' Steamboat Co. of Troy

Summary

The court holds that a carrier receiving goods marked C.O.D. acted improperly by delivering them in exchange for the consignee’s uncertified check rather than collecting cash. The plaintiffs ratified the carrier’s conduct by accepting and depositing the check without objection, thereby exonerating the carrier absent bad faith, and judgment was entered for the defendants. The text states that the decision was affirmed on appeal.

Holdings

1. A C.O.D. instruction requires the carrier to collect the specified amount before delivery; receiving the consignee's uncertified check instead of money is unauthorized and does not constitute payment.
2. A consignor ratifies a carrier's unauthorized acceptance of a consignee's check by voluntarily receiving and depositing the check without objection.
3. The plaintiffs' ratification exonerated the carrier from liability for the unpaid check because no bad faith was charged.

Questions Presented

1. Whether a carrier that agreed to deliver merchandise C.O.D. breached its duty by delivering the package upon receipt of the consignee's uncertified check rather than money.
2. Whether the consignors ratified the carrier's unauthorized acceptance of the consignee's check by accepting and depositing the check without objection.
3. Whether that ratification relieved the carrier from liability for the unpaid check absent bad faith.

Disposition

other