Question: Griswold and Bateman Warehouse Company stored 337 cases of Chivas
Griswold and Bateman Warehouse Company stored 337 cases of Chivas Regal Scotch Whiskey for Joseph H. Reinfeld, Inc., in its bonded warehouse. The warehouse receipt issued to Reinfeld limited Griswold and Bateman's liability for negligence to 250 times the monthly storage rate, a total of $1,925. When Reinfeld sent its truck to pick up the whiskey, 40 cases were missing. Reinfeld then brought suit seeking the wholesale market value of the whiskey, $6,417.60. Reinfeld presented evidence of the delivery of the whiskey, the demand for its return, and the failure of Griswold and Bateman to return it. Reinfeld claimed that the burden was on Griswold and Bateman to explain the disappearance of the whiskey. Griswold and Bateman admitted that it had been negligent, but sought to limit its liability to $1,925: Is Griswold and Bateman's liability limited to $1,925?
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