American Music Stores v. Kussel

232 F. 306, 1916 U.S. App. LEXIS 1816
CourtCourt of Appeals for the Sixth Circuit
DecidedMarch 17, 1916
DocketNo. 2668
StatusPublished
Cited by12 cases

This text of 232 F. 306 (American Music Stores v. Kussel) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
American Music Stores v. Kussel, 232 F. 306, 1916 U.S. App. LEXIS 1816 (6th Cir. 1916).

Opinion

TUTTLE, District Judge.

This is an action to recover damages for the alleged wrongful termination by an employer of a contract of employment. The trial court submitted the case to the jury, who rendered a verdict in favor of the plaintiff, and defendant has brought the case to this court on writ of error.

[308]*308The contract for the alleged breach of which plaintiff (defendant in error) seeks damages was as follows:

“This agreement macle this 3d day of August, 1908, by and between the American Music Stores, a corporation organized under the laws of the state of New York, party of the first part, and Philip Ivussel, of Cincinnati, Ohio, party of the second part, witnesseth:
“hirst. The party of the first part agrees to and does hereby employ the party of the second part for a period of two years from the 3d day of August, 1908, as western manager of its music stores, agencies and music departments controlled or operated by it, or which may hereafter be controlled, or operated by it, at a salary of eighteen hundred ($1,800.00) dollars for the first year and two thousand ($2,000.00) dollars for the second year, payable in weekly installments at the end of each and every week during which the party of the second part is actually engaged in the services of the party of the first part.
“Second. The party of the second part hereby accepts said employment during said period and agrees to perform the services required of him as western manager, to the satisfaction of the party of the first part, and to devote all his working time, labor and skill, and give his attendance and best endeavors to the business of the party of the first part, and to the utmost of his skill and power exert himself for the interest, profit, benefit and advantage of said business as western manager thereof.
“Third. The said party of the second part shall not make or enter into any contract, order or obligation of any kind in the name or in behalf of the party of the first part without its previous written authorization.
“Fourth. The party of the first part agrees to reimburse the party of the second part for traveling expenses necessarily expended while traveling in the service of the party of the first part, said traveling expenses not to exceed thirty-five ($35.00) dollars in any one week, however.
“Fifth. The party of the second part agrees during the term of this contract, not to engage his time or attention, or be interested, directly or indirectly, in any other business, nor to compose, write or publish or cause to be published any musical composition, or the words or music thereof, in his own name or that of any other, or to acquire any interest in any composition.
“Sixth. The party of the first part shall have the right to renew this agreement at the expiration thereof for a further period of three years in consideration of the sum of four hundred and fifty ($¿50.00) dollars to be paid upon the renewal of said agreement to said party of the second part, upon the party of the first part giving to the party of the second part a written notice of its intention to renew the same three months prior to the expiration thereof, and upon the giving of such notice, this agreement and every clause and covenant thereof shall be extended for a further period of three years except that the party of the second part shall be entitled to receive a salary of two thousand five hundred ($2,500.00) dollars a year during the first year of the extended term, two thousand seven hundred and fifty ($2,750.00) dollars and three thousand ($3,000.00) dollars during the second and third years respectively.
“Seventh. It is expressly understood that part of the duties of the party of the second part is to secure departments and stores for the party of the first part and to organize, supervise, operate and take charge of the music departments and stores of the party of the first part in different parts of the United States and Canada as directed by the party of the first part, and the party of the first part may require him to' perform such services at any time and place.
“In witness whereof, the party of the first part has caused these presents to be signed in its name by Chas. K. Harris, its vice president, and its corporate seal to be affixed, and the party of the second part has set his hand and seal the day and year first above written.”

Plaintiff was discharged before the expiration of the term mentioned in such contract, on the ground that his services were not satisfactory to defendant. Plaintiff admits that he was discharged on such ground, but contends that the right of defendant, to' terminate this contract depends, not upon the question whether he was actually sat-[309]*309isned, but whether he ought in reason to have been satisfied, with the services performed by plaintiff, and that such question was properly submitted to the jury. The parties agree that their rights are governed by the law of the state of New York, where the contract was made. The trial court charged the jury as follows:

“There are two classes of eases in New York on this subject. In one of. these the contracts made were held to gratify taste, to serve personal convenience or individual preference; áhd in these, if performance is to be to the satisfaction of another, he alone is to decade whether or not he is satisfied, and it is not a question for the court or jury to determine whether or not ho ought to be satisfied. He is to determine that question.
“The other class of cases, embraces contracts of employment of an ordinary servant to perform work or labor and services of an ordinary nature — of an ordinary business or commercial nature. In these it is held that, That which the law will say a contracting party ought in reason to be satisfied with, that it will say he is satisfied with.’
“Now the question is: Under which class of cases does this case come? Whether it is one which would entitle the defendant to say that he is not satisfied with the performance of the plaintiff, and therefore has the right to discharge him, or. whether it is one of such character that the law would permit an investigation of the facts and have the jury determine whether oi not the performance was reasonably complete and the defendant ought in reason to have been satisfied with it under all the circumstances of the case?
“Now, was the plaintiff (and this is a question for the jury to answer) was the plaintiff, by the terms of this contract and as the parties interpreted it themselves, as you may find from the testimony and evidence in the case, the manager, in the sense that he took the place of his employer and was to use his own judgment and discretion in the management of that business in that territory — a proposition that the defendant must establish by a preponderance of all of the evidence? Or did the word ‘manager’ mean only that lie was to do the things required of Mm by the defendant, under its direction and subject to its approval, and not use Ms own judgment and discretion in the management of its business in that territory?

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Cite This Page — Counsel Stack

Bluebook (online)
232 F. 306, 1916 U.S. App. LEXIS 1816, Counsel Stack Legal Research, https://law.counselstack.com/opinion/american-music-stores-v-kussel-ca6-1916.