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  • The Glassine Paper Company v. A. Vernon Shannon, 238 F.2d 765, 2d Cir. (1956)

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    The United States Court of Appeals for the Second Circuit affirmed a lower court's judgment in favor of the plaintiff, Glassine Paper Company, in a breach of contract claim against the defendant, A. Vernon Shannon. The plaintiff was a wholly owned subsidiary of the corporation addressed in the defendant's written guaranty for payment of shipped merchandise. However, the court found there was adequate evidence that the defendant intended his guaranty to also cover shipments by the plaintiff. Therefore, recovery for breach was allowed under New York law.

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    Filed: 1956-11-02 Precedential Status: Precedential Citations: 238 F.2d 765 Docket: 24051_1

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    The United States Court of Appeals for the Second Circuit affirmed a lower court's judgment in favor of the plaintiff, Glassine Paper Company, in a breach of contract claim against the defendant, A. Vernon Shannon. The plaintiff was a wholly owned subsidiary of the corporation addressed in the defendant's written guaranty for payment of shipped merchandise. However, the court found there was adequate evidence that the defendant intended his guaranty to also cover shipments by the plaintiff. Therefore, recovery for breach was allowed under New York law.

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    The Glassine Paper Company v. A. Vernon Shannon, 238 F.2d 765, 2d Cir. (1956)

    Uploaded by

    Scribd Government Docs
    The United States Court of Appeals for the Second Circuit affirmed a lower court's judgment in favor of the plaintiff, Glassine Paper Company, in a breach of contract claim against the defendant, A. Vernon Shannon. The plaintiff was a wholly owned subsidiary of the corporation addressed in the defendant's written guaranty for payment of shipped merchandise. However, the court found there was adequate evidence that the defendant intended his guaranty to also cover shipments by the plaintiff. Therefore, recovery for breach was allowed under New York law.

    Copyright:

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    of 1

    238 F.

    2d 765

    The GLASSINE PAPER COMPANY, Plaintiff-Appellee,


    v.
    A. Vernon SHANNON, Defendant-Appellant.
    No. 44, Docket 24051.

    United States Court of Appeals Second Circuit.


    Argued Oct. 8-9, 1956.
    Decided Nov. 2, 1956.

    Jacob Freed Adelman, New York City (Walsh & Levine and William F.
    Walsh, New York City, on the brief), for defendant-appellant.
    Before CLARK, Chief Judge, and HAND and SWAN, Circuit Judges.
    PER CURIAM.

    The only claim of error meriting any comment is that the judgment for plaintiff
    upon defendant's written guaranty of payment for shipment of merchandise to a
    named purchaser cannot stand because the guaranty was addressed only to the
    corporation of which plaintiff was a wholly owned subsidiary. But the findings
    made upon adequate evidence are explicit that defendant intended his guaranty
    to cover plaintiff's shipments also. Recovery upon breach therefore follows
    under New York law in this action originally brought in New York Supreme
    Court and removed to the court below because of the diverse citizenship of the
    parties. Beakes v. Da Cunha, 126 N.Y. 293, 296, 27 N.E. 251.

    Affirmed.

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