Allanwilde Transport Corporation v. Vacuum Oil Co Same v. Pidwell the Allanwilde

• Decision Date: 13 January 1919
• Docket Number: 450,Nos. 449,s. 449
• Citation: 39 S.Ct. 147,3 A. L. R. 15,248 U.S. 377,63 L.Ed. 312
• Parties: ALLANWILDE TRANSPORT CORPORATION v. VACUUM OIL CO. SAME v. PIDWELL. THE ALLANWILDE
• Court: U.S. Supreme Court

248 U.S. 377

39 S.Ct. 147

63 L.Ed. 312

ALLANWILDE TRANSPORT CORPORATION

v VACUUM OIL CO.

SAME

v. PIDWELL. THE ALLANWILDE.

Nos. 449, 450.

Argued Dec. 12, 1918.

Decided Jan. 13, 1919.

Messrs. Oscar D. Duncan, Courtland Palmer, and Russell T. Mount, all of New York City, for Allanwilde Corporation.

Mr. John C. Prizer, of New York City, for Vacuum Oil Co. and Pidwell.

[Argument of Counsel from pages 378-381 intentionally omitted] Mr. Justice McKENNA delivered the opinion of the Court.

The questions in the cases arise upon libels filed against the Allanwilde to recover prepaid freight for the transportation of certain goods and merchandise to designated ports in Europe.

The solution of the questions turns upon (1) the asserted prevention of the adventure by a storm at sea which the vessel encountered, requiring her return to port for repairs, and (2) afterwards by the restraining power of the government.

On November 1, 1917, the Allanwilde, owned by the Allanwilde Transport Corporation, was seized upon libels filed by the Vacuum Oil Company and A. W. Pidwell, respectively, each of which had shipped certain goods to be carried from New York to Rochefort, France.

In May, 1917, the Oil Company chartered the vessel to carry a cargo of oil in barrels at the rate of $16.50 a barrel (changed afterwards to $15.25).

The charter party contained inter alia the following provisions:

'* * * Freight to be prepaid net on signing bills of lading in United States gold or equivalent, free of discount, commission, or insurance. Freight earned, retained and irrevocable, vessel lost or not lost.'

On August 25, the oil having been loaded, the vessel issued a bill of lading containing inter alia the following provision:

'All conditions and exceptions of charter party are to be considered as embodied in this bill of lading.'

Pidwell was permitted to ship certain kegs of nails on the vessel, and on August 15 a bill of lading was issued to him. Inter alia it provided that the carrier should not be liable for loss, damage, delay or default 'by causes beyond the carrier's reasonable control; * * * by arrest or restraint of governments, princes, rulers, or peoples; * * * by prolongation of the voyage. * * *'

It is provided in paragraph 5 of the bill of lading that:

'Full freight to destination, whether intended to be pre paid or collected at destination, and all advance charges * * * are due and payable to (the Allanwilde Transport Corporation) upon the receipt of the goods by the latter * * * and any payment made * * * in respect of the goods * * * shall be deemed fully earned and due and payable to the carrier at any stage before or after loading of the service hereunder without deduction (if unpaid), or refund in whole or in part (if paid), goods or vessel lost or not lost, or if the voyage be broken up. * * *'

In pursuance of the contracts thus attested the oil and the nails were shipped on the Allanwilde and the freight was paid in advance—$49,745.50 for the oil and $3,128.00 for the nails.

The vessel was seaworthy and properly manned and equipped, and set sail September 11. After she had been out about 14 days and was about 500 miles from New York she encountered a storm so severe that her boats were carried away and she sprang a leak so threatening that the water in her hold was three or four feet deep and was gaining on the pumps. Thereupon the master properly decided that he must seek a port of refuge for safety and repair. Halifax was about 500 miles away, but in that direction the wind was against him, while it was favorable for New York, and on this account as well as for other good reasons he headed for New York, where he arrived on October 5, having been out 24 days. Repairs were undertaken at once, the cargo remaining on board meanwhile.

'On September 28, while the vessel was at sea, the government decided to refuse clearance thereafter to any sailing vessel bound for the war zone. The master did not know of this condition until the vessel returned to New York; he received no information from the shore after September 11. The repairs being finished, the vessel attempted to resume her voyage, but clearance was refused, and none could be obtained in spite of her efforts to induce the government to modify its stand. Toward the end of October the shippers were notified by the carrier to unload their goods, and this they did, but under protest and reserving their rights. Afterwards the oil was forwarded by steamship, but at a higher rate of freight and under other charges. What became of the nails after they were unloaded does not appear.

'The vessel declined to refund the freight to either shipper, and the libels were filed to recover not only the prepaid freight but also damages for failure to carry. On each libel the District Court entered a decree for the prepaid freight alone, refusing recovery for the other damages.'

Upon these facts the Circuit Court of Appeals have certified four questions, two in each libel, as follows:

'1. Was the adventure frustrated, and was the contract evidenced by the charter party and by the bill of lading issued to the Oil Company...