New York Central Railroad v. Hayes Manufacturing Co.

Clark; J.

A shipper at Toledo delivered to the New York Central Railroad Company a car load of steel for carriage to Detroit. It was billed to the shipper’s order, notify International Metal Company, Detroit. Draft attached to the bill of lading was forwarded to a bank in Detroit. The notify party was a broker. It sold the steel to the Hayes Manufacturing Company in Detroit. By carrier’s mistake the steel was delivered to the said purchaser without surrender of the bill of lading, and the draft was not paid. The purchaser forthwith used the steel in its business. The carrier paid the shipper…