79 F.2d 738 (6th Cir. 1935), 6773, In re Henselman

Docket Nº:6773.
Citation:79 F.2d 738
Party Name:In re HENSELMAN. v. OREBAUGH. GOODYEAR TIRE & RUBBER CO.
Case Date:November 12, 1935
Court:United States Courts of Appeals, Court of Appeals for the Sixth Circuit
 
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79 F.2d 738 (6th Cir. 1935)

In re HENSELMAN.

GOODYEAR TIRE & RUBBER CO.

v.

OREBAUGH.

No. 6773.

United States Court of Appeals, Sixth Circuit.

November 12, 1935

Appeal from the District Court of the United States for the Southern District of Ohio, Western Division; Robert R. Nevin, Judge.

Henry B. Street, of Cincinnati, Ohio (Harmon, Colston, Goldsmith & Hoadly, of Cincinnati, Ohio, on the brief), for appellant.

C. Luther Swain, of Wilmington, Ohio (H. G. Cartwright, of Wilmington, Ohio, on the brief), for appellee.

Before MOORMAN, HICKS, and SIMONS, Circuit Judges.

HICKS, Circuit Judge.

Appeal of Goodyear Tire & Rubber Company, Inc. (herein called Coodyear), from an order of the District Court confirming an order of the referee denying in part the petition of appellant for the reclamation of certain automobile tires, tubes, wheels, etc.

For a number of years prior to September 21, 1932, Roy W. Henselman, bankrupt, had been a dealer in automobile tires and other motor accessories in Wilmington, Ohio. He purchased his tires exclusively from Goodyear but for about two years had been slow in making payments on the account. Goodyear refused to extend further credit but was willing to assist him by arranging a consignment agreement whereby he could have tires on hand for sale without an investment of capital.

The consignment agreement was signed on September 21, 1932, and provided, among other things: That Henselman should reserve a suitable place in his establishment for the consigned goods and keep them separate from other merchandise; that they should be marked as the property of Goodyear, and that all books of account referring thereto or showing the sale thereof, as well as all items on the general ledger referring thereto, should be identified as belonging to Goodyear by means of a rubber stamp legend to read, 'This item assigned to The Goodyear Tire & Rubber Co., Inc.'; that Henselman should dispose of the consigned merchandise in his regular retail trade following the general policy recommended by Goodyear and make payment as provided in the agreement; that he should fill retail orders from stock which had been

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longest in his possession; that he should make semimonthly reports to Goodyear of consigned merchandise disposed of, and on or before the 10th day of each month he should, whether he had collected from the...

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