Grange Co. v. Farmers' Union & Milling Co.

On September 8, 1904, the appellant corporation sold two carloads of wheat, and one carload of oats to A. B. Costigan & Company of San Francisco, who directed that the grain be shipped to them, care of the Farmers’ Union and Milling Company, at Stockton. The grain was loaded and shipped according to directions, and the shipping receipts were sent to the purchaser’s office in San Francisca The wheat was shipped on September 12th and the oats two days later. On the last-mentioned day the appellant issued its draft upon A. B. Costigan & Company, payable to the First National Bank of Modesto for the sum of fifteen hundred dollars, and on September 15th, this draft was returned after dishonor and protest. A. B. Costigan & Company filed their petition in bankruptcy about 4 o’clock on September 16th, and three-quarters of an hour thereafter the shipping receipts were, pursuant to directions previously given, mailed to the appellant at Modesto. Upon receiving notice that the draft had been protested, the vice-president and assistant manager of appellant went to San Francisco, and was informed of the bankruptcy of Costigan & Company, and of the return of the shipping receipts. He returned…