Barnes v. Packwood

38 P. 857, 10 Wash. 50, 1894 Wash. LEXIS 160
CourtWashington Supreme Court
DecidedNovember 10, 1894
DocketNo. 1365
StatusPublished
Cited by8 cases

This text of 38 P. 857 (Barnes v. Packwood) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Barnes v. Packwood, 38 P. 857, 10 Wash. 50, 1894 Wash. LEXIS 160 (Wash. 1894).

Opinion

The opinion of the court was delivered by

Dunbar, C. J.

This is an action on a promissory note. The note sued upon is as follows :

“$1500.00. Fllensburg, Wash., Oct. 8, 1888.

One year after date, without grace, at 12 o’clock M., we or either of us promise to pay to the order of Barnes & Mc-Candless, for the use of the Agricultural Fair Association, Fifteen hundred dollars U. S. Gold Coin, value received, with interest from date at the rate of one per cent, per month, interest payable when due, and if not so paid to become a part of the principal and to bear like interest until paid. And further agreeing that if the same be not paid when due and. suit be brought to collect the same or any portion thereof, to pay ten per cent, on the amount due as attorney’s fee for collection.

S. T. Packwood.

Walter A. Bull.

J. M. Shelton.

A. B. Whitson.

Thomas Haley.

S. R. Geddis. ”

[51]*51The defendants answering the complaint alleged, that the note was signed in its present form through mistake ; that the agreement and intention was that the note should be signed by the signers thereof as trustees of an association known as the Agricultural Fair Association ; that they were not to be held individually responsible; that it was with this understanding that they signed it, and that it was the understanding of Barnes & McCandless, the plaintiffs, that it was so signed; that on the day the promissory note set out in the complaint was executed there was a meeting of the board of trustees of said corporation, at which meeting the defendants were present, and at said meeting a resolution was passed to borrow from said Barnes & McCandless, for and on behalf of said corporation, the said sum of $1500, and that the money was borrowed and the contract entered into in accordance with said agreement and resolution; alleging that the defendants received no benefit from said money ; that it was turned over to said association, and that no consideration passed between the defendants and said Barnes & McCandless for said note.

The plaintiffs objected to any testimony being heard under this answer for the reason that it did not state facts sufficient to constitute a defense to the complaint. The court, however, overruled the objection and the case went to trial. Plaintiffs offered the note in evidence, proved its execution and rested their case. The defendants’ testimony was in accordance with the allegations of the answer, so that the question arises here, was the testimony for the defense sufficient to overcome the presumption arising from the execution of the note, the execution of which was admitted. The case was tried by the court and a judgment rendered for costs for the defendants.

It was contended by the appellants that the court erred in allowing the defendants to amend their answer at the trial, and in not giving judgment for the plaintiffs on the pleadings, inasmuch as three answers had already been filed in the cause, and that it was a clear abuse of the court’s discretion to permit the filing of the fourth ; that even that [52]*52was insufficient as it contains no allegation of a mutual mistake and suck an allegation is necessary.

We think the answer substantially contains the allegation of mutual mistake, although not in so many words ; and the court having such a large discretion under our law and practice in matters of amendments, we do not think we-would be justified in reversing the case for this reason. There is ho allegation of fraud in the answer.

The general rule laid down by the text writers is that parol evidence is not admissible to contradict, qualify, extend or vary written instruments, but that their interpretation must depend upon their own terms. But to relieve parties from the distress of accident or mistake or fraud, courts bf equity will admit parol evidence to qualify and correct and necessarilly sometimes to even defeat the terms of written instruments.

“One of the most common classes of cases,” says Mr. Story in his Equity Jurisprudence, Vol. I, § 152, “in which relief is sought in equity on account of a mistake of facts is that of written agreements either executory or executed. Sometimes by mistake the written agreement contains less than the parties intended, sometimes it contains more, and sometimes it simply varies from their intent by expressing something different in substance from the truth of that intent. In all such cases if the mistake is clearly made out by proofs entirely satisfactory, equity will reform the contract so as to make it conformable to the precise intent of the parties. But if the proofs are doubtful and unsatisfactory, and the mistake is not made entirely plain, equity will withhold relief, upon the ground that the written paper ought to be treated as a full and correct expression of the intent until the contrary is established beyond a reasonable controversy.”

It would certainly be a dangerous doctrine to announce that the terms of a written instrument should be varied and its effect changed or destroyed by any slight testimony, or mere preponderance of testimony. The very object of reducing agreements to writing is to prevent trouble arising from the defects of memory. All the agreements which have been talked about by the parties leading [53]*53up to the final agreement are presumed to be merged in the writing, and the object of this precaution would be destroyed and it would have a tendency to encourage perjury, if upon slight testimony the sacredness of the written instrument could be destroyed. And such is almost the uniform holding of the courts.

In Townshend v. Stangroom, 6 Ves. 339, Lord Eldon says that those producing evidence of a mistake undertake a case of great difficulty, and that the evidence must be irrefragable. In Sable v. Maloney, 48 Wis. 331 (4 N. W. 479), the court held that a written instrument would not be reformed on the ground of alleged mistake unless the party complaining move promptly after the discovery of the mistake, and not then without clear proof. Said the court:

“ ‘ If the proofs are doubtful and unsatisfactory, and the mistake is not made entirely plain, equity will withhold relief, upon the ground that the written paper ought to be treated as the full and correct expression of the intent unless the contrary is established beyond reasonable controversy.’ The parties to the deed, who appear to be equally credible, are in direct conflict, and there was no other direct evidence nor any surrounding circumstances in corroboration of the testimony of the grantor of the deed.”

So in the case at bar. The testimony of the defendants and the plaintiffs is in direct conflict. It matters not that there are four defendants and two plaintiffs. Even the burden of proof does not depend upon the number of witneses who testify on the respective sides of the case. It was held in Mead v. Westchester Fire Ins. Co., 64 N. Y. 453, that to justify the court in changing language of the written instrument sought to be reformed (except in case of fraud), it must be established that both parties agreed to something different from what is expressed in the writing, and the proof upon this point should be so clear and convincing as to leave no room for doubt.

In Stiles v. Willis, Admr., 66 Md. 552 (8 Atl.

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Cite This Page — Counsel Stack

Bluebook (online)
38 P. 857, 10 Wash. 50, 1894 Wash. LEXIS 160, Counsel Stack Legal Research, https://law.counselstack.com/opinion/barnes-v-packwood-wash-1894.