Baker v. John Brennan & Co.

22 Ohio C.C. 241, 12 Ohio Cir. Dec. 211
CourtOhio Circuit Courts
DecidedMarch 15, 1901
StatusPublished

This text of 22 Ohio C.C. 241 (Baker v. John Brennan & Co.) is published on Counsel Stack Legal Research, covering Ohio Circuit Courts primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baker v. John Brennan & Co., 22 Ohio C.C. 241, 12 Ohio Cir. Dec. 211 (Ohio Super. Ct. 1901).

Opinion

Parker, J.

This case is brought into this court to reverse the judgment of the Wood county common pleas court, against George H. Baker and Eewis C. Winchell upon two promissory notes for $224.87 each, signed “Cribbs & White, per W. W. White.”

John Brennan & Co., plaintiff below, charges that all the defendants, James Cribbs, William W. White, George H. Baker and Eewis C. Winchell, were partners, doing business in the firm name of Cribbs & White, and also in the name of Baker, Cribbs & White, and that these notes were partnership obligations, in other words that the defendants were doing business under two firm names indiscriminately. Neither Cribbs nor White answered or demurred to plaintiff’s petition.

Baker and Winchell defended, on the grounds that there was no such partnership; that the notes were not partnership obligations of any firm of which they were members, and that they were in no way obligated to pay the notes, or the debt of which they were evidence.

The trial resulted in a verdict against all the defendants. Baker and Winchell filed a. motion to vacate the verdict, which the common pleas court overruled, entered^ judgment on the verdict against all the parties, and Baker and Winchell prosecute error here against plaintiff below.

All the evidence received in the court below is embodied in a bill of exceptions from which it appears that all of the defendants below were operating oil leases; that Cribbs and White were interested in certain lease with Baker and Winchell, and also in other leases, and that there was a partnership doing [243]*243business in the name of Cribbs & White, owning a one-half interest in certain leases in which Baker owned a quarter and Winchell a quarter.

The notes in suit were given for two boilers, sold by Brennan & Co. through an agent, who testifies that he transacted the business with Mr. White.

It does not appear that Baker or Winchell participated in •any way in the purchase of this property, or that they had any knowledge of the sale until after it was made'and the property moved upon the premises.

They say there was no partnership, and that the understanding, with this particular part of the equipment, as well as generally. was that each one should furnish his proportionate share, and when it came to the matter of boilers, since the lease required four boilers, it was arranged that Baker should furnish one, Winchell one, and Cribbs & White two. They say that they each furnished the boiler he agreed to furnish, and Cribbs & White purchased these two boilers from the plaintiff and furnished them in pursuance of the aforesaid agreement.

The first question presented for our consideration, is as to the admissibility in- evidence of certain testimony given by Baker upon the trial of another case against this alleged firm.

It appears that one Kidd sued the defendants as a partnership, and that, upon the trial of that case, Baker testified that there was a partnership existing during certain years, covering the time of the transaction sued upon here, and that he and Winchell were members of that partnership.

Baker objected to the admission of this evidence on the ground that it was simply a statement of a legal conclusion and not an admission of a fact.

It was admitted over defendant’s objection, and exception was taken.

We are of the opinion that the admission of partnership relations involves the admission of facts, as well as law, and whether or not there is a partnership is a mixed question of law and fact.

The weight and value of this testimony should be submitted to the jury, and it is a matter of legitimate argument to the jury that one may suppose he is a partner, when as a matter [244]*244of fact he is not a partner, that he is mistaken about the legal status, growing out of his relations with the other parties. We think this testimony was admissible, and that the common, pleas court did not err in admitting it.

It is further contended that the verdict against Baker and Winchell is contrary to law, and against the weight of the evidence, as to the existence of a partnership, or a course of conduct such as would make them chargeable in this transaction as partners.

Upon the general subject of partnership in the operation of oil and gas leases, I will read a few extracts from decisions of the Supreme Court of Pennsylvania. The courts of that state have had a much wider experience in that business than the courts of Ohio, or perhaps of any other state.

In Taylor v. Fried, 161 Pa. St., 53, the syllabus reads: “A division of the products between tenants in common does not make them partners, although they may have contributed labor or money to raise it. No presumption of partnership arises from the mere fact of cotenancy, etc.

“Persons who join in the purchase of goods, not for the purpose of selling them again, but for the purpose of dividing the goods among themselves, are not partners, and are not liable to third parties as if they were.”

Now the property referred to .there, consisted of a boiler sold to one of the parties, and used upon a certain lease in which the other defendants were interested, and with respect to the facts the court says: “We think it is clear that W. P. Black and his vendees were tenants in common of the^ leasehold, and that the agreement under which he drilled the well' did not create a partnership interest or a joint liability. It is-quite evident that it was not the intention of the parties to be- > come partners in the work to which their agreement was limited. It is probable that Black and his vendees believed, or at least entertained a hope, that, the work contracted for would' demonstrate that the leasehold was good oil property, but the latter did not consent to be jointly bound to the former, his employes or material men, for all or any portion of the price of it, nor did their agreement include anything more than the drilling of the well. We have then a case in which one coten[245]*245ant improves or tests the common property under an agreement with each of the other cotenants to pay his share of the expenses incurred in making the improvement or test. Thus the promise of each cotenant created a distinct and individual liability which was measured by his interest in the leasehold. This liability was not affected by the mere fact that oil was obtained and run in the pipe line to the credit of each cotenant in the proportion above stated, because (i) the operation of the well' was not included in the agreement under which it was constructed, and (2) a division of -the product between tenants in common does not make them partners, although they may have contributed labor or money to raise it.”

It appears, I should say to make this matter more clear, that Black had agreed to drill this particular well at his own expense.

I next call attention to Walker v. Tupper, 152 Pa. St., 1, the syllabus of which reads as follows:

“Participation in profits is the most generally accepted test of the existence of á partnership, and though its presence is, not conclusive in favor of, its absence may be regarded as conclusive against, partnership.

- “The owner of an oil lease assigned an undivided three-fourths interest in the lease to two other persons.

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Bluebook (online)
22 Ohio C.C. 241, 12 Ohio Cir. Dec. 211, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baker-v-john-brennan-co-ohiocirct-1901.