Albion Lumber Company v. Lowell

130 P. 858, 20 Cal. App. 782, 1912 Cal. App. LEXIS 202
CourtCalifornia Court of Appeal
DecidedDecember 31, 1912
DocketCiv. No. 990.
StatusPublished
Cited by7 cases

This text of 130 P. 858 (Albion Lumber Company v. Lowell) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Albion Lumber Company v. Lowell, 130 P. 858, 20 Cal. App. 782, 1912 Cal. App. LEXIS 202 (Cal. Ct. App. 1912).

Opinions

CHIPMAN, P. J.

Plaintiff brings the action to recover for the breach of an alleged contract entered into between plaintiff and defendant, November 5, 1908, for the sale and purchase of redwood ties. It is alleged that, about March 1, 1909, plaintiff notified defendant of its readiness to receive the ties but defendant repudiated and refused to carry out said contract. Defendant denies that he entered into any contract with the plaintiff, as alleged or at all. As further answer: that the agreement sued upon is for goods and chattels of value exceeding two hundred dollars and is in violation of the statute of frauds, not having been in writing subscribed by defendant. As a third answer, defendant alleges that he “entered into certain negotiations with one Donald McDonald in reference to said redwood ties . . . and said McDonald thereupon wrote in his own handwriting” the following instrument:

“Nov. 5, 08.
“Bot. of A. J. Lowell for the Albion Lumber Co. 35M to 40M 6x8x8 split redwood ties at 34c each fob" vessel West-port subject to our inspection when loaded on vessel. Payments to be made in cash to Geo. D. Gray 110 Mkt. St. San Francisco as fast as these ties are moved. Donald McDon *785 aid”; that this is the alleged agreement sued upon; that no part of said ties was received or accepted by said McDonald or said plaintiff nor has any part of the purchase price been paid therefor; that as part of said agreement on the part of the buyer and as part of the consideration it was agreed that the buyer “should begin moving and accepting said ties within ten days or two weeks from said November 5th, 1908, at the latest” and so continue until all were accepted and moved by the buyer and were to be paid for as fast as accepted and moved; that said time of acceptance was “expressly made part of said consideration of purchase and was a material part of said consideration” and “was expressly made the essence of the contract of purchase”; that, through the fault of plaintiff, “said ties were not taken nor accepted nor paid for within said time nor within a reasonable time thereafter”; that, thereupon, defendant promptly notified plaintiff “that the said defendant refused to sell or deliver the said ties or any part thereof; that any contract, verbal or otherwise, claimed or alleged by said McDonald or plaintiff to have been entered into with reference thereto by the defendant, was rescinded by said defendant.” For a fourth separate answer, among other things, it is alleged that “at the time of the agreement on the part of the buyer, said defendant informed said McDonald that it was necessary that said ties should be accepted and defendant have the money for said ties in the immediate future in order that said defendant .might pay one Geo. D. Gray for certain timber lands” for the purchase of which defendant had a contract from Gray, “and said McDonald then and there agreed that said ties would be taken and paid for in the immediate future, ’ ’ payments to be made to Gray, to which he consented; that plaintiff did not offer to take said ties or pay for them until about March 1, 1909, and said delay was unreasonable “and defendant thereupon refused to deliver said ties”; that, prior to said offer to take said ties, said Gray had notified defendant that “he would no longer deal with plaintiff and would cancel said option or contract of sale to this defendant unless said defendant should make some other arrangement for the sale of said ties and payment to said Geo. D. Gray” and that, “by reason thereof and said unreasonable delay on the part of plaintiff and said McDonald, . . . defendant *786 refused to sell or deliver said ties,” and so notified plaintiff. Defendant pleaded a set-off or counterclaim, alleging that, by reason of plaintiff’s failure to accept and pay for the ties he “was compelled to and did make two trips from his place of business at Westport to the city of San Francisco” and expended for his necessary expenses on said trips one hundred dollars and “lost twenty-four days from his other business” and was thereby damaged in the sum of two hundred and forty dollars; and that, by reason of plaintiff’s .said failure, “defendant was compelled to and did pay to said -Geo. D. Gray the sum of five hundred dollars for an extension of the said option . . . until this defendant could secure the necessary money to pay the said Geo. D. Gray therefor.” A general demurrer to this defense was sustained “and motion to strike out matter .from said counterclaim granted.” Plaintiff’s answer to defendant’s separate defenses is a denial of the averments.

The court made the following findings: That plaintiff and defendant entered into a contract, on November 5, 1908, by which “defendant agreed to sell to the plaintiff and the plaintiff agreed to buy from defendant 35,000 split redwood ties” upon the terms stated in the agreement set out in defendant’s answer, and, on said date, McDonald, “who was the general manager and duly authorized agent of the plaintiff corporation, having authority so to do, wrote, signed and delivered to defendant an instrument in writing” (the same as set out in the answer); that, “thereafter the defendant duly ratified, acknowledged and accepted the terms of said contract by several instruments in writing subscribed by him in his own name”; that “the said written instrument contains all the terms of the contract between the plaintiff and defendant.” It is further found that, after said memorandum was signed by McDonald and delivered to and accepted by defendant, “further conversation was had between the defendant and the agent of plaintiff as to when plaintiff would receive said ties; but plaintiff did not agree that it would begin moving said ties within ten days or two weeks from said November 5, 1908, or at any specified date; that no time of acceptance was made part of the consideration of said contract nor was the time of acceptance and payment particularly or expressly or at all made the essence of the *787 contract of purchase and sale”; that, about March 1, 1909, plaintiff notified defendant • of its readiness to receive said ties but defendant thereupon notified plaintiff that “he would not carry out said contract and would not deliver said railroad ties or any part thereof and then repudiated said contract. That plaintiff was then ready to receive and pay for all said ties in accordance with the terms of the contract hereinbefore set out. That plaintiff offered within a reasonable time to accept and pay for said railroad ties and the consideration for said contract moving to defendant herein did not fail in any respect whatever and that said contract was never rescinded; that plaintiff never offered to take or pay for said ties until about the 1st day of March, 1909, but that said delay was not unreasonable.” It was further found that the price of ties “advanced in value to 40 cents each on board vessel at Westport,” after said contract- was entered into, and were of that value on March 1, 1909, and for thirty days prior thereto; that, relying on said instrument, plaintiff contracted to sell the ties therein mentioned to a third party “and by reason of defendant’s refusal to deliver said ties, plaintiff was compelled to purchase, and did purchase, 35,000 ties of the same quality, in the open market, and was compelled to pay therefor at the rate of 40 cents each,” and was thereby damaged in the sum of two thousand one hundred dollars. Judgment for that amount was entered in favor of plaintiff.

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Bluebook (online)
130 P. 858, 20 Cal. App. 782, 1912 Cal. App. LEXIS 202, Counsel Stack Legal Research, https://law.counselstack.com/opinion/albion-lumber-company-v-lowell-calctapp-1912.