The Federal Reporter with Key-Number Annotations, Volume 272: Cases Argued and Determined in the Circuit Courts of Appeals and District Courts of the United States and the Court of Appeals in the District of Columbia, June-August, 1921. Page: 59
The following text was automatically extracted from the image on this page using optical character recognition software:
GASTON, WILLIAMS & WIGMORE OF CANADA V. WARNER O
It is admitted that the defendant at the time alleged was the owner
of the vessel, and that it entered into the agreement with the plaintiff
that he alleges. It is also admitted that the plaintiff procured Philip
Templeman and George A. Moulton as purchasers of the vessel, and
that they thereafter entered into an attempted contract with the de-
fendant for the purchase and charter of the steamship at the price of
$475,000, and that they paid down $5,000 on the execution of the al-
leged contract, and that the defendant paid 21/ per cent. of that
amount to the plaintiff as a commission thereon. But it appears that
the purchase was not consummated, and it is claimed that neither the
vendor nor the vendees were capable, under British law, of consum-
mating it. The defendant, the owner of the vessel, and Templeman
and Moulton were all of them subjects of the kingdom of Great Britain
and Ireland and residents of the crown colony of Newfoundland.
They were British subjects, and as such were subject to the laws and
commands and orders of the British government.
At the time of the alleged contract of purchase the defendant was
lound by a contract which it had with the British government, where-
in it agreed to comply with certain instructions and rules of the Brit-
ish government in the operation of its vessels, and agreed that it would
not charter any vessel to any one to whom the British government ob-
jected. There was put in evidence at the trial so much of the British
Defense of the Realm Regulations as is quoted below. Those regula-
tions, it is admitted, were in force at the time the alleged contract for
the purchase and sale of the vessel was entered into between the de-
fendant and Templeman and Moulton. Section 39CC of the above
regulations reads as follows:
"A person shall not, without permission in writing from the Shipping Comp-
trollar directly or indirectly and whether on his own behalf or on behalf of
or in conjunction with any other person, purchase or enter into or offer to
enter into any agreement or any negotiations with a view to an agreement
for the purchase of any ship or vessel.
"If any person acts in contravention of this regulation, or if when any
permission of the Hhipping Comptroller has been granted under this regula-
tion, subject to any conditions and the person to whom it was granted fail
to comply with any such condition, he shall be guilty of an offense against
It is argued that this regulation was obligatory upon the defendant
and upon Templeman and Moulton, being British subjects and as the
ship was a British ship Consent to the sale was never obtained from
the British Shipping Comptroller under section 39CC. When the de-
fendant approached the British authorities at New York on the sub-
ject, it was notified by the British consul that the British government
would withhold its consent. Thereupon the defendant refused to
consummate the sale and paid back to TempIleman and Moulton the
$5,000 paid by them to bind the contract.
At the trial a British barrister was permitted to testify as an expert
in British law. He stated that the contract of sale which the defend-
ant had made with Templeman and Moulton was void under British
law. But in the opinion of the majority of this court, and for rea-
Here’s what’s next.
This document can be searched. Note: Results may vary based on the legibility of text within the document.
Tools / Downloads
Get a copy of this page or view the extracted text.
Citing and Sharing
Basic information for referencing this web page. We also provide extended guidance on usage rights, references, copying or embedding.
Reference the current page of this Legislative Document.
The Federal Reporter with Key-Number Annotations, Volume 272: Cases Argued and Determined in the Circuit Courts of Appeals and District Courts of the United States and the Court of Appeals in the District of Columbia, June-August, 1921., legislative document, 1921; Saint Paul, Minnesota. (digital.library.unt.edu/ark:/67531/metadc38843/m1/81/: accessed September 21, 2017), University of North Texas Libraries, Digital Library, digital.library.unt.edu; crediting UNT Libraries Government Documents Department.