Swift Canadian Co. v. Banet
United States Court of Appeals for the Third Circuit
224 F.2d 36 (1955)
Swift Canadian Co. (plaintiff) contracted to sell lamb pelts F.O.B. Toronto to Keystone Wool Pullers (defendant) in Philadelphia, with a separate clause stating that if pelts were sold "F.O.B. seller's plant," title and risk of loss would pass to the buyer once loaded on cars at the seller's plant; the contract also excused liability for governmental acts or orders. After partially shipping the pelts, Swift was ready to ship the remainder, but the U.S. Bureau of Animal Industry issued new regulations effectively barring lamb-pelt imports into the United States; Keystone refused delivery, and Swift, in response, never loaded or shipped the remaining pelts. Swift sued for breach of contract, both parties moved for summary judgment, and the district court granted Keystone's motion, prompting Swift's appeal.
Whether, when a contract directs that goods be delivered F.O.B., a presumption arises that title to those goods passes from the seller to the buyer when the goods are loaded for shipment.