Merchants' Despatch Transportation Co. v. Hately

Merchants' Despatch Transportation Co. v. Hately

M.D.T. Co. was liable because it had contracted to carry the butter through to England and the butter was damaged while still in its custody (in its lighter) before delivery to the steamship company's pier; therefore liability did not shift under the bill of lading and the carrier's negligence in handling perishable...

Source-derived case information.

Citation
(1887) 14 SCR 572
Parties
Appellant / Defendant: Merchants' Despatch Transportation Company; Respondent / Plaintiff: Walter C. Hately and Others; Defendant / Carrier: Great Western Railway Company; Defendant / Carrier: Great Western Steamship Company (Great Western S.S. Co.)
Court
Supreme Court of Canada
Jurisdiction
Canada
Judgment Date
14 March 1887
Procedural Posture
Civil Appeal (carrier Liability) / Final Judgment on Appeal to the Supreme Court of Canada From the Court of Appeal for Ontario
Outcome
Appeal dismissed with costs; judgment for plaintiff against Merchants' Despatch Transportation Company affirmed
Legal Topics
Bill of Lading, Delivery, Custody of Goods, Through Contract, Negligence, Carrier's Liability, Perishable Goods
Source Language
english
Transportation Contract Tort Carriers Law Commercial Law Bill of Lading Delivery Custody of Goods +4 more

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Parties

Merchants' Despatch Transportation Company

Appellant / Defendant

Walter C. Hately and Others

Respondent / Plaintiff

Great Western Railway Company

Defendant / Carrier

Great Western Steamship Company (Great Western S.S. Co.)

Defendant / Carrier

Procedural Posture

Civil Appeal (carrier Liability) / Final Judgment on Appeal to the Supreme Court of Canada From the Court of Appeal for Ontario

Legal Issues

  1. 1 Whether the Merchants' Despatch Transportation Company (M.D.T. Co.) remained liable for loss when goods were in its lighter at New York
  2. 2 Whether delivery to the steamship company's pier occurred so as to shift liability under the bill of lading
  3. 3 Whether the bill of lading clause limiting liability to the carrier in actual custody absolved M.D.T. Co.

Ratio Decidendi

M.D.T. Co. was liable because it had contracted to carry the butter through to England and the butter was damaged while still in its custody (in its lighter) before delivery to the steamship company's pier; therefore liability did not shift under the bill of lading and the carrier's negligence in handling perishable goods made it responsible for the loss.

Court Disposition

Appeal dismissed with costs; judgment for plaintiff against Merchants' Despatch Transportation Company affirmed

Orders

  • Appeal dismissed with costs
  • Judgment at trial against Merchants' Despatch Transportation Company affirmed