Thompson v. Gray,
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14 U.S. 75 (1816)
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U.S. Supreme Court
Thompson v. Gray, 14 U.S. 1 Wheat. 75 75 (1816)
Thompson v. Gray
14 U.S. (1 Wheat.) 75
Where R.G. agreed with the managers of a lottery to take 2,500 tickets, giving approved security on the delivery of the tickets, which were specified in a schedule, and deposited in books of 100 tickets each, thirteen of which books were received and paid for by him, and the remaining twelve were superscribed by him with his name in his own handwriting and endorsed by the agent of the managers "Purchased, and to be taken by Robert Gray" and on the envelope, covering the whole, "Robert Gray 12 books," on the second day's drawing of the lottery, one of the last designated tickets was drawn a, prize of $$20,000, and between the third and fourth day's drawing R.G. tendered sufficient security and demanded the last 1,200 tickets, and the managers refused to deliver the prize ticket, it was held that the property in the tickets changed when the selection was made and assented to, and that they remained in the possession of the vendors merely as collateral security, and that the vendee was entitled to recover the amount of the prize.
The clause respecting security in the above contract formed not a condition precedent on which the sale was made to depend, but a condition subsequent the performance of which might be suspended until it should be convenient to the vendee or required by the vendor.
An article purchased in general terms from many of the same description, if afterwards selected and set apart with the assent of the parties as the thing purchased, is as completely identified and as absolutely sold as if it had been selected previous to the sale and specified in the contract.
This was an action of trover instituted by the defendant in error, against Jonah Thompson, agent for the Managers of the Potomac & Shenandoah Navigation Lotteries to recover a ticket in the 2d class of said lotteries, against which had been drawn a prize of $20,000.
On the trial, evidence was offered to prove that the president and managers of the Potomac Company had been created a corporation under that corporate name; that they had been authorized by law to raise the sum of $300,000 by lotteries,
and had arranged and published a scheme of a second class.
That the plaintiff below and one Joseph Milligan projected another scheme, which they sent in to the president and managers accompanied by a proposition in writing in the words and figures following:
"If this scheme is adopted, we engage to take 2,500 tickets each, in the 2d class of the P. & S. Navigation Lottery, provided the ten dollar prizes we now hold, and may hereafter receive, deducting 15 percent, shall be taken in liquidation of our joint bond, and we engage to place in the hands of Mr. Carlton all the funds we receive for new tickets until it amounts to a sum equal to that which we now owe the company, as fast as we receive them; on the balance we shall expect the usual credit. It is understood that the discount of 5 percent is to be made from the above 5,000 tickets; approved security to be given on the delivery of the tickets."
It was admitted that this scheme was approved of and adopted by the president and managers, and their own scheme was abandoned; that the proposition of the plaintiff and Milligan was accepted by them and became a binding contract between the parties. Evidence was also offered to prove that under the contract, a schedule specifying the numbers of certain tickets, by books containing one hundred
each, to the extent of 2,500, selected by the plaintiff, and to be set apart for his use, had been delivered by him to the former agent of the lottery; that two of the books mentioned in the said schedule having been disposed of or put out of the reach of the agent, another schedule was handed in by the plaintiff to the defendant, then and at present agent, in which two other books, containing the same number of tickets, were substituted in lieu of the two last mentioned, the schedule, in respect to the others, being the same as the first. That the plaintiff had at different times received 13 books of 100 tickets each, part of those specified in the schedule, and that he had paid for the 13 books, partly in certain promissory notes, received and approved of by the agent, and partly in cash, and had afterwards paid 108 and 80 cents on account of tickets in the 2d class over and above the said 13 books. On the requisition of the plaintiff, the defendant produced on the trial a bundle containing twelve books of tickets of one hundred each (the residue of the numbers specified in the schedule), and amongst others the ticket in the declaration mentioned. On each of which books the name of the plaintiff was superscribed in his own handwriting, and on one of them (not that containing the ticket in the declaration claimed) was endorsed in the defendant's handwriting -- "Purchased and to be taken by Robert Gray." And on the envelope covering the whole twelve books in one bundle was superscribed, in the hand and figures of the defendant, the words and figures following
"ROBERT GRAY, 12 Books "
Similar proceedings took place as to W. Milligan, to whom only a part of the tickets selected by him had been delivered.
That the drawing of the lottery was commenced on 17 November, 1812, and that, on the 27th of that month, the second day's drawing, a prize of $20,000 was drawn against the number in the declaration mentioned. The plaintiff also offered evidence to prove that on 4 December, 1812, subsequent to the third and before the fourth day's drawing, the plaintiff tendered to the defendant a bond for the payment of _____, executed by himself and two sureties, who were fully sufficient for that sum, and demanded from him the 12 books of tickets which had been selected and set apart for him. To which the defendant replied that he was ready to deliver $1,200 of any undrawn tickets, but would not deliver the high prize. The drawing of the lottery had been continued only fifteen days.
On which the counsel for the defendant below moved the court to instruct the jury
"1st. That it is not competent for the jury to find, from the evidence so produced as aforesaid, that the twelve books of tickets including the said prize ticket had been, prior to the commencement of the drawing of the said lottery, appropriated by plaintiff and defendant to the satisfaction of said contract, and delivered to plaintiff under and in fulfillment of said contract and deposited by the plaintiff with the defendant as collateral security for the payment of the purchase money until other security should be
given, (as was contended and insisted upon by the plaintiff's counsel to the jury), which instruction the court refused to give."
"2d. That the facts so given in evidence by the plaintiff as aforesaid do not import an absolute sale and delivery of the twelve books of tickets, including the prize ticket, but a selection and setting apart of such tickets as were to be delivered to the plaintiff, when he should comply with his contract in giving the stipulated security."
Which instruction the court gave, but also directed the jury
"that such selection and setting apart, as aforesaid, was sufficient delivery to the plaintiff to vest the property of the said tickets in him upon his giving or tendering approved security according to the terms of the contract, in a reasonable time thereafter, and that the tender of the security, as before stated, was in reasonable time."
"3d. That the selection and laying apart of the twelve books of tickets, as aforesaid, and the said endorsements upon the said books, and upon the envelope of the same, did not vest in the plaintiff the property of said tickets, under the said contract so as to entitle plaintiff to prizes drawn against those tickets before any security was given or offered, and whilst said tickets remained in the hands of defendant, awaiting the completion of said contract on the part of the plaintiff in respect of the stipulated security."
Which instruction the court gave, but also instructed the jury
"That upon tendering the security as before stated, if the jury should find such security to be sufficient, such selection and laying
apart of the said tickets did, under the said contract, entitle the plaintiff to all the prizes drawn by such tickets in the intermediate time between such selection and the tender of security, as aforesaid,"
to which refusal and several instructions the defendant excepted, and a verdict and judgment having been rendered for the plaintiff below, the defendant in the circuit court brought the cause into this Court by a writ of error.