Page:United States Statutes at Large Volume 50 Part 1.djvu/63

 38 Warrments on sale of document. SEC. WARRANTIES ON SA LE OF DOCUMENT .-A per son who for value negotiates or transfers a document of title by endorsement or delivery, including one who assigns for value a claim secured by a document of title unless a contrary intention appears, warrants a) That the document is genuine ; b) That he has a legal right to negotiate or transfer it ; c) That he has knowledge of no fact which would impair the validity or worth of the document ; and (d) That he has a right to transfer the title to the goods and that th e good s are mercha ntable or fi t for a parti cular purpos e, whe never such warranties would have been implied if the contract of the parties had been to transfer without a document of title the goods represented thereby . En dor ser not agu ar- antor . SEC . 37. ENDORSER NOT A GUARANTOR .-The endorsement of a docu- ment of title shall not make the endorser liable for any failure on the part of the bailee who issued the document or previous endorsers thereof to fulfill their respective obligations . not when impaired by negotiation SEC . 38 . WHEN NEGOTIATION NOT IMPAIRED BY FRAUD, MISTARF, OR fraud, etc . DURESS .-The validity of the negotiation of a negotiable document of title is not impaired by the fact that the negotiation was a breach of duty on the part of the person making the negotiation, or by the fact that the owner of the document was deprived of the possession of the same by loss, theft, fraud, accident, mistake, duress, or conversion, if the person to whom the document was negotiated or a person to whom the document was subsequently negotiated paid value therefor in good faith without notice of the breach of duty, or loss, theft, fraud, Attachment or levy accident, mistake, duress, or conversion. upon goods for which SEC. 39. ATTACHMENT OR LEVY UPON GOODS FOR WHICH A NEGOTIABLE been issued. document has DOCUMENT HAS BEEN ISSUED .-If goods are delivered to a bailee by the be en , owner or by a person whose act in conveying the title to them to a purchaser in good faith for value would bind the owner and a nego- tiable document of title is issued for them, they cannot thereafter, while in the possession of such bailee, be attached by garnishment or otherwise or be levied under an execution unless the document be first surren dered to the baile e or its negotiati on enjoin ed. The bailee shall in no case be compelled to deliver up the actual possession of the goods until the document is surrendered to him or impounded by the court. Creditors' remedies to rea ch neg otiabl e SEC. 40. CREDITORS' REMEDIES TO REACH NEGOTIABLE DOCUMENTS .-A documents. creditor whose debtor is the owner of a negotiable document of title shall be entitled to such aid from courts o f appropr iate juri sdiction by injunc tion a nd oth erwise in at tachin g such docume nt or in sat isfyin g the claim by means thereof as is allowed at law or in equity in regard to property which cannot readily be attached or levied up on by ordinary legal process. Part III. PART III Performance of the contract . PERFORMANCE OF THE CONTRACT Seller must deliver and buyer accept goods. Delivery and pay- ment are concurrent conditions. 75TH CONGRESS, 1sT SESSION-CH. 43-MARCH 17, 1937 SEC. 41. SETTER MUST DELIVER AND BUYER ACCEPT GOODS .-It is the duty of the seller to deliver the goods, and of the buyer to accept and pay for them, in accordance with the terms of the contract to sell or sale. SEC. 4 2 . DELIVERY AND PAYMENT ARE CONC URRENT CONDITIONS. - Unless otherwise agreed, delivery of the goods and payment of the price are concurrent conditions ; that is to say, the seller must be ready and Willing to give possession of the goods to the buyer in exchange for the price and the buyer must be ready and willing to pay the price in exchange for possession of the goods.