Page:Federal Reporter, 1st Series, Volume 9.djvu/145

130 FEDBBAIj bepobteb. �and in which it was contracted, for a reward, to deliver the cotton mentioned and described in the bills of lading to.the shipppr or his order, at the point of destination; that, upon the making and drawing of the drafts before men- tioned, it was the usual and customary mode of inducing and obtaining the payment of money on such drafts, for the shippers of the cotton and holders of the bill of lading to indorse the same deliverable to the order of the holder of such drafts, and attach the same to the drafts so drawn, 9» seeurity against loss by the holder of the drafts; that at varions and sundry thnes before the ninth of June, 1879, the said Chiles had shipped cotton by the defendant as a OTminon carrier from Jackson, and the defendant at such tinaes did make and cause to be issued to him bills of lading, iu ipai^ner and forin as hereinbefore described; that said bills of lading so issued to said Chiles contained in writ- ing, on their face, directions to notify the said plaintifEs of the arrivai of such coiton in the city of New York ; that, upon the receipt of such bills of lading so made and issued before June 9, 1879, the said Chiles drew his draft upon the plaintiffs for the value of the cotton in said bills described, and did indorse the same and attach them to the said drafts; that, upon the faith and credit of the seeurity so given by attaching such bills of lading so made, issued, and indorsed, the said Chiles was enabled, and did, discount his said drafts, and procure and obtain the money from the local banks at Jackson; that, relying upon the said seeurity, the plaintiffs paid the drafts on presentation ; that the drafts were intended to be, and in fact were, ptesented long before the deliv- ery of the cotton described in the bills of lading so attached; that the usual and customary mode of moving the cotton from Jackson, and the courte of dealiug between the plaintiffs and said Chilcs, was well known to the defend- ant; that, on the seventh day of June, 1879,, the defendant made and caused tq be issued the bill of lading now to the court shown, to said Chiles, in and by which the defendant acknowledgpd the receipt of 32 baies of cotton in apparent good order, marked as described in said bill of lading, and contracted, agreed, and bound itself to deliver Said ,32 baies of cotton to the said Chiles or his order, in the city of New York; thy,t the common carrier aforesaid (the defendant) would notify the plaintiffs of the arrivai of the cotton in New York ; that the cotton was of the average weight of 500 pounds per baie and was worth the sum of 15 cents per pound ; that, on the said seventh day of June, 1879, the said Chiles drew his certain draft of that date in favor of the Bank of Madison, of said city of Jackson, addressed to the plaintiffs and payable at sight, for the sum of $1,777.12, which said draft is now here to the court shown ; that the bill of lading last above mentioned was attached to said draft, with the order of said Chiles indorsed thereon, to deliver the said cotton to N. S. "White, the cashier of said bank, or his order; that the draft was, upon . the faith of the seeurity of the bill of lading aforesaid, so attached to the draft and indorsed as aforesaid, diseounted by the bank, and sent to the correspond- ent of the bank in New York for collection ; that the draft, with the bill of lading attached, and further indorsed that the cotton be delivered to the plaintiffs, was presented to them for payment, and they, relying upon and confiding in the seeurity made by said bill of lading, and upon the faith and credit thereof, paid the same; and that the cotton, or any part thereof, has never been delivered to the plaintiffs according, etc., although, etc., to their damage, etc." �To this declaration the defendant company pleads that — �"It did not undertake," etc. "(2) ihe bill of lading was given, executed, and signed without any authority from the company, and the same was false and fraudulent, because the 32 baies of cotton, nor any part thereof, were never delivered or came to the hands of the defendant, or to any person authorized to receive, receipt for, or give a bill of lading, and this," etc. "(3) That the cot- ��� �