Epstein v. Corporacion Peruana De Vapore

325 F. Supp. 535 (1971)

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Nature of the Case

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Facts

P engaged in the sale of tax-free cigarettes and liquor to vessels in the Port of New York. P's salesman had conversations with Luis E. Saavedra, the Captain of the S.S. NAPO (one of D's ships.) Saavedra agreed to purchase 2,270,000 cigarettes totaling $12,251.50 and 40 cases of liquor totaling $1,185.00. The goods were delivered to the S.S. NAPO on May 6, 1965, and copies of the invoices for them were given to the captain. P reluctantly consented to a sale on partial credit as the result of Saavedra's simply not having enough cash to pay for the cigarettes and liquor he had ordered. P's salesman was not aware that credit would occur until the last moment when the captain did not receive the money that he was supposed to have received. P made repeated demands of Saavedra for the $7,206.50 still due on the sale. Copies of the original invoices were forwarded to D's home office in Peru with a demand for payment. D refused to pay and began an investigation into the conduct of Saavedra. On December 1, 1965, the captain was discharged by the company. He died shortly thereafter. P sued D to recover the unpaid balance.