SHIPPEN
v.
BOWEN

U.S. | 1887-05-27
122 U.S. 575 Supreme Court of the United States (1887) Positive Treatment
Also reported at: 30 L. Ed. 1172 · 7 S. Ct. 1283 · 1887 U.S. LEXIS 2138 · SCDB 1886-307
Cited by 28 cases

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Synopsis

In an action for breach of express warranty in the sale of bonds, the Supreme Court held that a plaintiff need not prove scienter (the defendant's knowledge of falsity or fraudulent intent) to recover, and that a jury instruction requiring such proof was reversible error. The Court established that an express warranty on the sale of goods constitutes an independent cause of action in tort, separate from any claim for deceit, and that the breach of such a warranty alone provides a valid ground for recovery regardless of the seller's state of mind.


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Opinion of the Court
Mr. Justice Haelan,

Mr. Justice Haelan,

after stating the case as above reported, delivered the opinion of the court.

¥e are of opinion that it was eri’or to instruct the jury that the plaintiff eould not recover, in the present action, unless he established the scienter upon the part of the defendant. The original complaint — though, perhaps, not in the most concise . language — made a case in tort for the breach of an express-warranty in the sale of the bonds. The bill of exceptions states that the evidence in behalf of the plaintiff tended to show that, although the defendant knew or had reason to suspect, when the bonds were sold, that they were not genuine and valid, he “ expressly affirmed their regulai’ity and validity.” . These words may not necessarily import an express warranty. But no particular phraseology or form of words is necess'ary to create a warranty of that character.- As was held by the Court of Appeals of Maryland, in Osgood v. Lewis, 2 H. &. G. 495, 518, “ any affirmation of the quality or condir tion of the tiling sold, (not uttered as matter of opinion or belief,) made by the seller at the time of sale, for the purpose of assuring the buyer of the truth of the fact affirmed, and inducing him'to make the purchase; if so received and relied on by the purchaser, is an express warranty. And in cases of oral contracts, on the existence of these necessary ingredients to such a warranty, it is the province of the jury to decide, upon considering all the circumstances attending the transaction.” To the same effect are Henshaw v. Robins, 9 Met. 83, 88; Oneida M'f'g Society v. Lawrence, 4 Cowen, 440, 442; Cook v. Moseley, 13 Wend. 277; Chapman v. Murch, 19 Johns. 290; Hawkins v. Berry, 5 Gilman (Ill.) 36; McGregor v. Penn, 9 Yerger, 74, 77; Otts v. Alderson, 10 Sm. & Marsh. 476. The plaintiff was clearly entitled to go to the jury on the issue as to an express warranty. But he was, in effect, denied that right by the instruction that he could not recover in this action, unless he proved a scienter. It is true his pleadings also contained every allegation essential to support an action for deceit, apart from the issue as to express warranty. But the cause of action in tort for the breach of the express warranty was not obliterated, or removed from the case, because it was joined with a cause of action for deceit.

In Schuchardt v. Allens, 1 Wall. 359, 368, which was an action on the case for a false warranty on the sale of certain goods — the declaration also containing a count for deceit — the court said that it was now well'settled, both in English and American jurisprudence, that either case or assumpsit would lie for a false 'warranty, and that, “whether the declaration be in assumpsit or tort, it need not aver a scienter; and if the averment be made, it need not be proved.” It was also said, that, “ if the declaration be in tort, counts for deceit may be added to the special counts, and a recovery may be had for the false warranty or for the deceit, according to the proof. Either will sustain the action.” See also Dushane v. Benedict, 120 U. S. 630, 636. In 1 Chitty’s Pleadings, 137, the author says, that case or assumpsit may be supported for a false warranty on the sale of goods, and that, “ in an action upon the case in tort for a breach of a warranty of goods, the scienter need not be laid in the declaration, nor, if charged, could it be proved.” In Lasseter v. Ward, 11 Iredell Law, 443, 444, Puffin, C. J., citing Stuart v. Wilkins, Doug. 18, and Williamson v. Allison, 2 East, 446, said: “It was accordingly there held that the declaration might he in tort, without alleging a scienter,• and, if it be alleged in addition to the warranty, that it need not be proved. The doctrine of the case is, that, when there is a warranty, that is the gist of the action, and that it is only when there is no warranty that a scienter need be alleged or proved. It is nearly a half century since the decision, and during that period the point has been considered at rest, and many actions have been brought in tort, as well as ex contractu, on false warranties.” And so in House v. Fort, 4 Blackford, 293, 295, it was said that “the breach of an express ' warranty is of itself a valid ground of action whether the suit be founded on tort or on contract; ” and that, “ in the action on tort, the forms' of the declaration are, that the defendant falsely and fraudulently warranted, &c., but the words falsely and fraudulently, jn sijch cases, are considered as only matters of form.” But as to the scienter, the court said, “ that is not necessary to' be laid, when there is a warranty, though the action be in tort; or, if the scienter be laid, in such a case, there is no necessity of proving it.” See also Hillman v. Wilcox, 30 Maine, 170; Osgood v. Lewis, 2 Harr. & Gill, 495, 520; Trice v. Cochran, S Grattan, 442, 450; Gresham v. Postan, 2 Car. & P. 540.

As the evidence entitled the plaintiff to go to the jury upon the issue of express warranty as to the genuineness of the bonds and coupons, and as the jury were in effect instructed that he could hot recover, unless upon allegation and proof of the scienter,

The judgment is reversed, cmd the case is remanded, with instructions to set aside the judgment and gra/nt a nexo trial.

Mr. Justice Field dissented.


Cases With Similar Vibessemantic neighbors from the corpus


Citator

Cited By

  • Watson v. Jones, 41 Fla. 241 (Fla. 1899)
    …to recover for breach I of contract, or upon a warranty, though it seems that 1 an action on the case for breach of an express warranty or for false warranty will lie, in which neither allegation nor proof of scienter is required. Shippen v. Bowen, 122 U. S. 575, 7 Sup. Ct. Rep. 1283. ylt is not pretended that this action can be considered as one for damages for a false warranty or for breach of an express warranty. The action being for deceit is necessarily founded in f fraud, and in order to make out a ca…
  • Strika v. Netherlands Ministry OF Traffic, 185 F.2d 555 (2d Cir. 1950)
    …eq., Title 33, Ü.S.O. . 318 U.S. 36, 63 S.Ct. 488, 87 L.Ed. 596. . 328 U.S. 85, 66 S.Ct. 872, 90 L.Ed. 1009. . 328 U.S. 1, 66 S.Ct. 869, 90 L.Ed. 1045. . 189 U.S. 158, 23 S.Ct. 483, 47 L.Ed. 760. . Stuart v. Wilkins, 1 Dougl. 18. . Shippen v. Bowen, 122 U.S. 575, 7 S.Ct. 1283, 30 L.Ed. 1172; The Fred Smartley, 4 Cir., 108 F. 2d 603, 606; Metropolitan Coal Co. v. Howard, 2 Cir., 155 F. 2d 780, 784; The Soerstad, D.C., 257 F. 130; Williston on Oontraets, § 970. . 318 U.S. 36, 63 S.Ct. 488, 87 L.Ed. 596. - . 3…
  • Land v. Roper Corp., 531 F.2d 445 (10th Cir. 1976)
    …as whether an oral statement before the court was a warranty. Generally reliance by the buyer is necessary in an action for breach of the seller’s warranty. See 1 Williston on Sales Sec. 206 (Rev. ed. 1948).2 To the same effect is Shippen v. Bowen, 122 U.S. 575, 78 S.Ct. 1283, 30 L.Ed. 1172 (1887) and also Prosser on Torts Sec. 105 at 693 (1971 ed.). The Sales Act which was the law in Kansas prior to the Uniform Commercial Code prescribed reliance as a necessary element. See 2 Williston on Sales Sec. 15-5…

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