Albright v. Hughes

26 N.E.2d 576, 107 Ind. App. 651, 1940 Ind. App. LEXIS 88
CourtIndiana Court of Appeals
DecidedApril 17, 1940
DocketNo. 16,192.
StatusPublished
Cited by11 cases

This text of 26 N.E.2d 576 (Albright v. Hughes) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Albright v. Hughes, 26 N.E.2d 576, 107 Ind. App. 651, 1940 Ind. App. LEXIS 88 (Ind. Ct. App. 1940).

Opinion

Stevenson, J.

The appellee herein, as plaintiff below, filed a complaint against the appellant to recover one-half of the commissions due on certain policies of insurance written on the life of William Ray Adams.

The case was tried on the first and third paragraphs of complaint which alleged generally that the appel *654 lant and appellee were, on March. 1, 1923, engaged in the business of selling life insurance and were both acting as agents for the Northwestern Mutual Life Insurance Company. The appellee at that time resided at Rockville, Indiana, and the appellant lived in Indianapolis. The appellee further alleged in his complaint that he met William Ray Adams in Rockville, Indiana, and found that he was a prospective purchaser of a large amount of life insurance. Thereafter, the appellee entered into an agreement with the appellant to the effect that both of them would pursue the solicitation of Mr. Adams for the purchase of insurance and each would receive one-half of any commissions earned by reason of any insurance which either or both of them might write or cause to be written on his life. Appellee further averred that as a result of such continued solicitation on the part of the parties that the said Adams did purchase $400,000.00 of life insurance; that the appellant collected the commission thereon and has failed and refused to pay over to the appellee one-half of said amount.

Demurrers were overruled to the first and third paragraphs of this complaint and this action of the trial court constitutes the first two assignments of error on appeal. Answers were filed in twelve paragraphs, to which replies in two paragraphs were addressed: On the issues thus formed the case was submitted to a jury for trial which returned a verdict for the appellee in the sum of $6,000.00. A motion for new trial was filed and overruled after the appellee filed a remittitur of $850.00. Judgment was accordingly entered for $5,150.00.

The appellant finder his first assignment of error charges that the trial court erred in overruling the demurrer to the third paragraph of the appellee’s complaint. The appellant contends that this is error *655 for the reason that the third paragraph of complaint does not allege that the contract relied upon was in force when the contract of insurance was obtained. The memorándum accompanying the demurrer does not present this question but proceeds wholly upon the theory that the time of actual performance of the contract sued upon was not fixed by the parties and therefore a reasonable time was contemplated. The appellant contends that since the complaint shows on its face that six years passed between the time of the agreement and the writing of the insurance, such a period was prima facie unreasonable as a matter of law and therefore the contract had terminated by reason of the lapse of time.

This same contention is made in the memorandum supporting the demurrer addressed to the first paragraph of the appellee’s complaint, the overruling of which constitutes the appellant’s second assignment of error. Having failed to specify in his memorandum that the complaint was defective for failure to allege that the contract sued upon was in force at the time the application for insurance was obtained, the appellant has waived the right to question now either paragraph of complaint by reason of such defect. Sec. 2-1007 Burns Indiana Statutes 1933, §111 Baldwin’s 1934. The' contract in suit not having specified the period of its duration may be considered in force for a reasonable time. What constitutes a reasonable time in which a contract is to be performed is generally a question of fact for the jury to determine. “What is a reasonable time within which an act is to be performed when the contract is silent upon the subject depends upon the subject matter of the contract, the situation of the parties, and the circumstances attending the performance.” 12 Amer. Juris. 854, §299; see also Gibson *656 Co. v. Morton (1928), 88 Ind. App. 685, 148 N.E. 430; Johnson v. Staley (1903), 32 Ind. App. 628, 70 N.E. 541. The court did not err, in our opinion, in overruling the demurrers to the first and third paragraphs of complaint.

The overruling of appellants motion for new trial constitutes the third assignment of error.

Under propositions, points and authorities, the appellant submits sixty-three propositions in support of the errors assigned. For the purposes of this case it will not be necessary to discuss these propositions separately. They are addressed in the main to the assigned error in overruling the motion for a new trial. Generally speaking, it is sufficient to say that the appellant relies upon the propositions that the evidence does not show a valid and enforceable contract between the parties upon which to predicate a recovery. The appellant contends that this is true for the reason that the time of the performance was not fixed, that it was lacking in mutuality, that no consideration was shown, nor do the facts show a joint adventure.

There is evidence in the record from which the jury might have found tha*t in 1923 the parties hereto entered into an agreement by the terms of which any commissions on insurance written by either or both of the parties on the life of Mr. Adams should be equally divided. This agreement was made in the presence of the state agent for the Northwestern Mutual Life Insurance Company and in the years following, Mr. Adams was contacted from time to time by both parties with reference to the purchase of insurance. In 1927, the appellant suggested that the appellee refrain from further solicitation of Mr. Adams until such time as he was ready to purchase insurance and when that time arrived, the appellant promised to notify the appellee in 'order that he might be present *657 when the application was signed. The appellant and his partner sold Mr. Adams a policy of insurance on the .... day of March, 1929, and the appellant collected the commissions therefor; - ■ •

- There is evidence from which the jury might have found that-there was due the appellee-as his one-half of commissions actually paid to the time of the trial $5,470.30. The first question presented, therefore, is whether or not the agreement between the parties made in 1923 was so indefinite and uncertain as to prevent the same from constituting a valid and binding contract. Contracts of this nature are not uncommon. Brokers, agents, and others working on a commission basis frequently enter into agreements by which commissions earned on any item of business are agreed to be divided. These agreements are sometimes designated as particular partnership agreements. Such a partnership is defined as “one where the parties have united to share the benefits of a single individual transaction or enterprise. ’ ’ Gilmer v. Graham (1932), (Texas), 52 S.W. (2d) 263. Such contracts are not lacking in mutuality nor void for want of consideration. As was said in the case of Young v. Millon (1916), (Mo.), 183 S.W.

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Bluebook (online)
26 N.E.2d 576, 107 Ind. App. 651, 1940 Ind. App. LEXIS 88, Counsel Stack Legal Research, https://law.counselstack.com/opinion/albright-v-hughes-indctapp-1940.