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ATLANTA PAPER COMPANY v. NEW YORK, NEW HAVEN HARTFORD RAILROAD Co.

DUCKWORTH, Chief Justice.

1. Where, as here, the petitioner, a nonresident railroad, brought an action ex contractu against a resident of this State for the collection of freight charges owing the petitioner, and by cross-action the defendant set off an action ex delicto for negligence, a court of equity will take jurisdiction thereof, under Code § 37-308, and this court has jurisdiction of the writ of error from the lower court. See Hecht v. Snook Austin Furniture Co., 114 Ga. 921 ( 41 S.E. 74); Jacksonville Paper Co. v. Owen, 193 Ga. 23 ( 17 S.E.2d 76).

2. However, where the cross-action prays for damages in a stated amount against the railroad for the alleged failure to notify the consignor within a reasonable time that the consignee had failed to pay the freight charges, resulting in other goods being shipped and the alleged loss of the consignor's accounts due to a petition in bankruptcy being filed against the consignee, the cross-action fails to allege any negligence or violation of any duty of the railroad which caused the loss of the consignor's accounts due to the consignee becoming insolvent and a bankrupt, and the court did not err in sustaining the demurrer thereto and in dismissing the same.

Judgment affirmed. All the Justices concur.

SUBMITTED SEPTEMBER 17, 1954 — DECIDED OCTOBER 14, 1954 — REHEARING DENIED NOVEMBER 10, 1954.
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ATLANTA PAP. CO. v. NEW YORK, NEW HAVEN/HARTFORD R.D
(Oct 14, 1954)