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Swift Canadian Co., Limited v. Albert Banet, Sali Banet and Abraham L. Perlman (Also Known as Abe Perlman), Individually and Trading as Keystone Wool Pullers Case Brief
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Case Brief Summary & Legal Analysis
tl;dr: A Canadian seller sued a U.S. buyer who refused goods after a U.S. import ban. The court held the buyer liable, finding that under the “F.O.B. Toronto” term, risk of loss passed to the buyer in Canada before the import ban became relevant.
Legal Significance: This case clarifies that under an “F.O.B. place of shipment” contract, risk of loss passes to the buyer upon the seller’s tender of delivery. A subsequent government action frustrating the buyer’s ultimate purpose, such as importation, does not excuse the buyer’s performance.
Swift Canadian Co., Limited v. Albert Banet, Sali Banet and Abraham L. Perlman (Also Known as Abe Perlman), Individually and Trading as Keystone Wool Pullers Law School Study Guide
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Case Facts & Court Holding
Key Facts & Case Background
Swift Canadian Co. (“Swift”), a Canadian seller, contracted to sell a quantity of lamb pelts to Keystone Wool Pullers (“Keystone”), a Philadelphia-based buyer. The contract specified the price as “F. O. B. Toronto” and included shipping instructions for rail transport to Philadelphia. A separate clause stated that for sales “F.O.B. seller’s plant title and risk of loss shall pass to buyer when product is loaded on cars at seller’s plant.” After the contract was formed but before shipment of the remaining pelts, the U.S. government issued new regulations that, as stipulated by the parties, prevented Keystone from importing the pelts. Citing these regulations, Keystone refused to accept delivery in Toronto. Swift was ready, willing, and able to deliver the goods to the railroad carrier in Toronto but did not do so due to Keystone’s repudiation. Swift subsequently sold the pelts on the Toronto market at a loss and sued Keystone for breach of contract to recover damages.
Court Holding & Legal Precedent
Issue: Under a sales contract with the term “F.O.B. Toronto,” does a subsequent U.S. government regulation preventing the buyer from importing the goods excuse the buyer’s contractual duty to accept delivery and pay for them?
No. The buyer is not excused from performance. The court reversed the Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum do
IRAC Legal Analysis
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Legal Issue
Under a sales contract with the term “F.O.B. Toronto,” does a subsequent U.S. government regulation preventing the buyer from importing the goods excuse the buyer’s contractual duty to accept delivery and pay for them?
Conclusion
This case establishes that in an F.O.B. shipment contract, the risk of Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nos
Legal Rule
Under the Uniform Sales Act, § 19, when a contract requires the Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla p
Legal Analysis
The court's analysis centered on the interpretation of the "F.O.B. Toronto" term Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nulla pariatur. Excepteur sint occaecat cupidatat non proident, sunt in culpa qui officia deserunt mollit anim id est laborum. Lorem ipsum dolor sit amet, consectetur adipiscing elit, sed do eiusmod tempor incididunt ut labore et dolore magna aliqua. Ut enim ad minim veniam, quis nostrud exercitation ullamco laboris nisi ut aliquip ex ea commodo consequat. Duis aute irure dolor in reprehenderit in voluptate velit esse cillum dolore eu fugiat nu
Flash-to-Full Case Opinions
Flash Summary
- In a sales contract, an F.O.B. place of shipment term transfers