Adams Dairy Co. v. Dairy Employees Union, Local 207

250 S.W.2d 481, 363 Mo. 182, 1952 Mo. LEXIS 643, 30 L.R.R.M. (BNA) 2128
CourtSupreme Court of Missouri
DecidedMay 12, 1952
DocketNo. 42610
StatusPublished
Cited by10 cases

This text of 250 S.W.2d 481 (Adams Dairy Co. v. Dairy Employees Union, Local 207) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Adams Dairy Co. v. Dairy Employees Union, Local 207, 250 S.W.2d 481, 363 Mo. 182, 1952 Mo. LEXIS 643, 30 L.R.R.M. (BNA) 2128 (Mo. 1952).

Opinion

WESTHUES, C.

Plaintiff Adams Dairy Company filed this suit against the defendant Union and its- officers, Clifford A. Poteet and Leo W. Baker, to prevent a threatened strike and picketing at plaintiff’s dairy plant located at Blue Springs, Jackson County, Missouri. The defendants filed a cross bill asking the court to enjoin plaintiff from violating a labor contract signed by the Union and plaintiff and for a mandatory injunction ordering plaintiff to carry out the terms of the contract and to reinstate union members in their positions under the terms of the contract. The trial court dismissed the cross bill and granted plaintiff the relief prayed for. From the judgment, the defendants appealed.

The defendants contend that the injunction granted in this case “Is Violative of Article I, Sections 8 and 29 of the Missouri Constitution and the 14th Amendment to the Constitution of the United States.”

The evidence justifies the following statement of facts: Plaintiff is the operator of a large dairy employing' 32 or 33 persons. It purchases milk from about 150 farmers owning approximately 3,000 cows. This milk is processed at the plant and plantiff offers for sale at wholesale pasteurized, homogenized, and Grade A milk as well as ice cream and other dairy products. Prior to August, 1950, plaintiff delivered the greater portion of its milk to its customers by means of six trucks. The principal customers were chain and other grocery stores located in Johnson and Jackson Counties, Missouri, including Kansas City. The six truck drivers employed by plaintiff received pay on a com[185]*185mission basis and were members of the defendant Union (Local 207). Plaintiff had signed a contract from year to year with this Union governing the employment and the working conditions of the employees. The contract in force in August, 1950, when the present controversy arose, was signed March 1, 1950. Plaintiff also sold milk at wholesale at its plant to persons who in their own trucks came to the plant daily, purchased quantities of milk, and resold it at various stores. These persons were not members of defendant Union. Plaintiff desired to discontinue delivering milk by truck and to sell the milk at the plant. This proposed- change was discussed on at least two occasions when renewal of the labor contract was considered. Plaintiff desired to insert a provision in the contract expressly authorizing the change while the defendant'Union proposed a clause expressly prohibiting such a change. The parties could not come to an agreement and neither clause was inserted in the contract.

In August, 1950, plaintiff discontinued delivering milk by truck and sold its trucks to individuals. Plaintiff entered into contracts with these purchasers of the trucks. Under these contracts the milk was sold at the plant to the owners of the trucks and they in turn resold it to the retailers. The operators of these trucks paid for the milk purchased on a weekly basis. When the defendants Poteet and Baker, officials of the Union, learned of the change, they instituted negotiations for a settlement of the question. A number of conferences were held. The defendants insisted plaintiff reemploy all truck drivers and reinstate them in their former positions. Plaintiff refused to do so. Defendants informed plaintiff that a picket would be placed at the plant and a strike called for Tuesday morning, September 5, 1950. On Monday, September 4, the present suit was filed. On the morning of September 5, the defendant Poteet was at plaintiff’s plant and advised the employees to go to work.

Plaintiff contends that the above described change-over constituted a change in method of distribution -and that the owners of the trucks are independent contractors. The defendant Union eontehds that the operators of the trucks are not independent contractors but are employees.

If the owners of these trucks are independent contractors within the meaning of the law, then, as we shall later demonstrate, plaintiff did not violate the labor contract with defendant Union. If, on the other hand, the change in method of disposing of the milk is a mere subterfuge and the operators of the trucks are in reality employees, then plaintiff has violated its contract with the Union. This is the principal question for decision on this appeal. Defendants so state in their brief. Note what they say: “In its final analysis the whole keystone of the arch that plaintiff has attempted to create depends upon the legal effect of plaintiff’s so-called business contract with its so-called independent contractors. If this does not, as a [186]*186matter of law, fix the status of the signers thereof as independent contractors, the whole arch falls, the signers remain employees, and as such employees, replacing the union employees covered by the existing milk contract, no possible doubt can exist but that plaintiff has violated the contracts. ’ ’

The trial court held that the contracts entered into between plaintiff and the owners of the trucks made such owners independent contractors. A sample of the contracts was marked Exhibit 1. Note the finding made by the trial court: “Under the law and the evidence the relationship created between plaintiff and the persons who signed contracts in the form of Exhibit 1, is that of vendor and vendee, and not that of employer and employee.” "We are of the opinion that the trial court was correct in so holding.

Defendants in their brief say that in deciding whether Exhibit 1 created the relationship of independent contractors, “The ultimate test in determining this question is the right of control retained by plaintiff. A mere reading of this ‘business contract’ shows plaintiff has not changed its methods of delivery in any respect.” It is true that the contracts placed many restrictions and imposed many duties upon the operators of the trucks. In considering the question we must keep in mind the product which is the subject matter of the contracts. In this case it is the delivery of milk and other dairy products. These products are very perishable and many precautions must be taken to prevent spoilage. To make such products salable and attractive to the general buying public, cleanliness must be maintained both in fact and in appearance. The trucks in which the products are hauled, the drivers, the deliverymen, the containers and all equipment used in handling the products must meet standards of cleanliness as well as presenting an appearance attractive to the general public.

The contracts provided that the persons purchasing and distributing plaintiff’s products should at all times maintain standards of delivery which would comply with the regulations and policies of public health authorities; that trucks used should be maintained in a sanitary condition and the products be kept at proper temperatures and that no defective products should be delivered. To insure the latter provision, plaintiff agreed to repurchase all defective or damaged products at the same price that was paid for them. The distributors also agreed by the contracts to “Maintain courteous and salesmanlike relations with customers.”

Plaintiff by the contracts was granted the right to allocate districts. The purpose for this as stated in the contracts was “to insure competitive parity and safeguard the maintenance of high standard of service to present and prospective consumers of Second Party’s products.” It was further agreed “That First Party * * * furnish Second Party with a list of customers to whom he sold dairy products [187]

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Air Terminal Cab, Inc. v. United States
341 F. Supp. 1257 (E.D. Missouri, 1972)
Henderson v. Plumbers Local No. 8
471 S.W.2d 929 (Supreme Court of Missouri, 1971)
Sealtest Foods Division of National Dairy Products Corp. v. Byars
139 So. 2d 601 (Supreme Court of Alabama, 1962)
Sloan v. Journal Publishing Co.
324 P.2d 449 (Oregon Supreme Court, 1958)
Adams Dairy, Inc. v. Burke
293 S.W.2d 281 (Supreme Court of Missouri, 1956)
Frank v. Sinclair Refining Co.
256 S.W.2d 793 (Supreme Court of Missouri, 1953)
Katz Drug Co. v. Kavner
249 S.W.2d 166 (Supreme Court of Missouri, 1952)

Cite This Page — Counsel Stack

Bluebook (online)
250 S.W.2d 481, 363 Mo. 182, 1952 Mo. LEXIS 643, 30 L.R.R.M. (BNA) 2128, Counsel Stack Legal Research, https://law.counselstack.com/opinion/adams-dairy-co-v-dairy-employees-union-local-207-mo-1952.