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[Sheriff of Renfrew.
Held that the ordinary rule in a contract of sale as to rejection of goods which are in-sufficient in quality, viz., that the buyer is bound to give immediate notice to the seller and to rescind the contract, may be relaxed in a case where there is a course of dealing between the parties with deliveries from time to time.
Special circumstances where the strict rule of law was held not to apply.
This was an action raised in the Sheriff Court of Renfrew by John M'Carter, marine store dealer, Glasgow, against Messrs Stewart & Mackenzie, paper-manufacturers there, for the price of various bales of “round ropes” alleged to have been delivered in the month of February 1876 to the defenders.
The defenders pleaded—“(1) The goods supplied in the month of February, charged for in the account annexed to the summons as ‘round ropes,’ not being of that class, but mixed material, of an inferior quality, the defenders are not bound to keep the same, or at least are not bound to pay more than a fair and reasonable price for same; and the fact of the defenders having taken delivery of the said goods cannot operate against them, seeing, that they used all practicable expedition in examining the large bales into which the said goods were packed, and acquainting the pursuer of the contents thereof, and offering to return the same, and that the said bales were so packed as to deceive or mislead the defenders as to the nature of their contents on such a casual examination as was possible on delivery being taken.”
The Sheriff-Substitute (Cowan) ordered a proof. It appeared that there had been a course of dealing between the parties of some duration, the goods being delivered at various times in various quantities. The Sheriff-Substitute thereafter held that the bales which were found to be of deficient quality were those delivered by the pursuer, and he so far found in favour of the defenders. The Sheriff, on appeal, finding that there was no doubt of the deficiency of the goods, and that they were those furnished by the pursuers, adhered, adding this note:
“Note.— … The consequence in law from these facts is, that the pursuer cannot recover payment for an article that, if ordered (about which there is contradictory evidence), was not the article said to have been ordered, unless the defenders have done something which barred them from stating this plea. The last article delivered was upon the 29th February, and the objection is stated on the 3d of March. There was no great delay there in stating the objection; but still it may be argued that each delivery during the month of February must be treated separately, and ought to have been examined at once. The Sheriff is not inclined to hold that there is any specialty in this particular trade which would free the purchaser from his obligation of immediate examination of the article purchased and immediate rejection. It may, no doubt, have been very inconvenient to examine bulky bales at the time of delivery, and before they were needed for manufacture. But this inconvenience is not a sufficient answer for delay in examination and rejection, unless there were specialties in the particular case; and there are such specialties. The bales were so made up that upon opening them the first thing presented was round rope; and any person inspecting would naturally conclude that the whole contents were of the same character and quality, and would not think it necessary to turn out the whole bale. But such was not the case. The round rope was only on the exterior shakings, and inferior materials were in the interior. Again, the delay in examination till the article came to be needed for manufacture was in accordance with the dealing and understanding between these parties. ‘And lastly, no damage or inconvenience has resulted to the pursuer from the delay.”
The pursuer appealed, and argued on the question of law that the defender was bound, on the authority of the cases of Chapman v. Couston, March 10, 1871, 9 Macph. 675, H. of L. 2 Law Rep., Scotch App. 250;
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and M'Cormick & Co. v. Rittmeyer & Co., June 3, 1869, 7 Macph. 854, to examine the goods at once on receiving delivery, and if they were found deficient in quality to return them, giving immediate notice to the sellers. At advising—
The only point in the case that requires consideration is to make sure that in sustaining the defences here we are not infringing the rule of law as to the duty and the rights of a party who has received goods to which he objects as insufficient in quality. It is the duty of the party who has received such goods immediately to give notice to the seller, and rescind the contract. But the circumstances of this case are very peculiar. This is not an action for the price of goods sold under a certain contract and delivered at once, nor is it even a case of a succession of sales with a succession of deliveries appropriate to them. It is a case of a course of dealing with deliveries at various times. There does not appear to have been any contract or agreement as to the quantity to be furnished or as to the time at which it was to be furnished. In pursuance of this course of dealing, we find that a series of deliveries was made in December 1875 and in February 1876, and the fifteen bales in question are proved, I think, to have been delivered in February, i. e., to have been part of the goods delivered at various times in the course of that month. It is not possible to say at what precise time these bales were delivered. It would be difficult, and it would neither be expedient nor just, to apply the ordinary rules to such a case. There is no precise contract to rescind, and, on the other hand, when a party receives from day to day goods into his premises, it would be hard to require the recipient to examine every bale or barrel to see if the quality of the goods is what it ought to be. I think the rule in such circumstances may very well be relaxed, and that when he comes to inspect the parcels and finds that the quality is bad, he may be entitled to return them. In the special circumstances, I think it is not necessary to apply the rules laid down in the cases of M'Cormick and Couston.
The Court adhered.
Counsel for Pursuer — Balfour—M‘Kechnie. Agent— Thomas Carmichael, S.S.C.
Counsel for Respondent— Trayner—Campbell. Agent— John Martin, W.S.