John Barkley & Co. v. J. M. Burguieres Co.

Defendant is a corporation engaged in the planting and manufacture of sugar. In the summer of 1921 it placed upon the table of its broker, in the sugar exchange in New Orleans, a sample of its low-grade sugar. Plaintiff, a corporation engaged in the brokerage business, through John Barkley, one of its officers, examined the sample placed in the exchange by defendant, and took an option on a quantity of sugar corresponding to it, amounting to two carloads, at 3% cents a pound. At the time this option was taken the greater part of the sugar had been manufactured, though a part had not.…