MODIANO BROS. & SONS v. BAILEY & SONS, LTD.

(1933) 47 Ll L Rep 134

KING'S BENCH DIVISION.

Before Mr. Justice Branson.

Sale of goods (c.i.f.) - Freight - Rate of exchange-London Corn Trade Association Contract, No. 26 (Chilean barley) - "Freight payable on discharge, less advances for disbursements at port of loading"-Payment to be made by buyers against documents - Barley shipped per Norwegian steamship John Bakke under bill of lading dated Mar. 31, 1933, providing: "Freight and charges . . . payable at destination . . . Freight collect on basis of pound sterling equals 4.86 U.S. gold dols., shipowners to have option of collecting U.S. dollars or their own country's currency at ruling rate of exchange for U.S. gold dollars"- Apr. 19: United States off gold standard -May 10: Documents taken up by buyers-Credit given by sellers in provisional invoice for estimated freight on basis of £=4.86 U.S. gold dols. - Refusal by shipowners to release barley except upon payment of freight in Belgian francs calculated upon par rate of exchange-Payment under protest - Claim by buyers to recover difference from sellers-Whether buyers agents for sellers for payment of freight - Bills of Lading Act, 1855