Barr v. MacGlothlin

11 S.E.2d 617, 176 Va. 474, 1940 Va. LEXIS 267
CourtSupreme Court of Virginia
DecidedNovember 25, 1940
DocketRecord No. 2274
StatusPublished
Cited by11 cases

This text of 11 S.E.2d 617 (Barr v. MacGlothlin) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Barr v. MacGlothlin, 11 S.E.2d 617, 176 Va. 474, 1940 Va. LEXIS 267 (Va. 1940).

Opinion

Spratley, J.,

delivered the opinion of the court.

T. Miles MacGlothlin, hereinafter referred to as the plaintiff, desired to sell his home in the city of Norfolk. He placed the property for sale with the Truitt Realty Corporation, a real estate broker, of which corporation Irvin S. Truitt was an officer and Mrs. Chapman a saleswoman.

Mrs. Chapman took Mrs. Frances Barr and Miss Barr, the wife and daughter of Harry Barr, to the house on the afternoon of Friday, February 17, 1939, and showed them through it. By agreement, Mr. and Mrs. Barr, Miss Barr and Mrs. Chapman met MacGlothlin at the house on the night of the same day. The Barrs inspected the house and the grounds and Mr. Barr asked MacGlothlin to put a price on the property. MacGlothlin told him he wanted $13,500 for it; but, after some negotiations, he agreed to accept Barr’s offer of $12,000. A memorandum of a contract of sale was drawn up by Barr and signed by him and MacGlothlin, and a $100 check was given in part payment of the purchase price.

On the following day, February 18th, the parties duly executed a formal contract of sale containing a provision that settlement was to be made on or before 18th of March, 1939, “or as soon thereafter as title can be examined and papers prepared, allowing a reasonable time to correct any defects reported by the title examiner.”

On February 21st, Barr and his wife called at the MacGlothlin house and asked MacGlothlin to release them from the contract, to which the latter declined to agree. Thereafterwards, Barr, on February 28th, wrote Mrs. Chapman, in care of the Truitt Realty Corporation, the following letter authorizing her to make a resale of the property:

“I hereby authorize you to sell house and lot located on North Shore Road, in Algonquin Park, house formerly belonging to T. M. MacGlothlin, retaining 50% of the selling price if sold above $12,000.”

[478]*478In accordance with the authority contained in the letter, the Truitt Realty Corporation and Mrs. Chapman undertook, through public advertisement and personal contact, to make a resale of the property. No new purchaser having been found as the settlement date under the contract approached, MacGlothlin says he agreed to a thirty-day extension of that date at the request of Barr made through Mrs. Chapman.

On March 20, 1939, this agreement was confirmed in a letter from Mr. J. Barbour Rixey, the attorney then representing MacGlothlin, to Barr, as follows:

“In regard to the purchase of the property from Mr. T. M. MacGlothlin, he understood that you desired a 30 day extension of the settlement date, and he agreed to said extension.
“Will you kindly advise us when you will be prepared to settle with Mr. MacGlothlin in accordance with your contract?”

Subsequent negotiations between the parties were conducted by Mr. Rixey, representing MacGlothlin, and by Mr. Theodore S. Garnett, an attorney then representing Barr.

Garnett, under date of April 6, 1939, replied to the above letter as follows:

“Your letter of the 20th of March addressed to Mr. Harry Barr has been handed to me for reply.
“I am directed to say that he has never desired an extension of the settlement date, and no extension has been asked or agreed upon by him, that in view of the statement of Mr. MacGlothlin’s agent that she did not think Mrs. MacGlothlin would sign the deed, and since the date fixed for settlement has long since passed, he considers the contract no longer binding on him.”

Rixey, on April 7th, wrote as follows to Garnett:

“We are indeed surprised to receive your letter as Mr. Barr requested an extension, which was granted. Upon receipt of my letter of March 20th Mr. Barr informed the [479]*479agent that he was glad to receive said letter giving him an extension.
“We will, therefore, call upon Mr. Barr for prompt settlement.”

On April 11, 1939, Rixey forwarded to Garnett a copy of the deed conveying the property from MacGlothlin and his wife to Barr, with the advice that MacGlothlin was prepared to settle at any time and expected settlement to be made not later than April 18, 1939.

Rixey testified that Garnett came to his office, on April 12th, and asked to see the deed; that he told him the deed, duly executed by MacGlothlin, was in the office of Mrs. MacGlothlin’s attorney upstairs in the same building; that the deed was never mentioned again between him and Garnett; and that he did not know whether the latter went to look at the deed. He said that Garnett told him Barr could not afford to buy the property, because he had been unable to secure a loan sufficient to enable him to meet the purchase price. After some conversations, it was agreed between the two that Barr could have a week or two longer to see if he could find a purchaser for the property and if, in the meantime, MacGlothlin found one he would let Garnett know.

Rixey and Garnett again conferred on May 20th.. At that time, Rixey told Garnett that MacGlothlin had been trying to sell the property and that he had received an offer of $10,000;; but that if Barr still wanted to take the property at $12,000 it could be arranged. Garnett thanked him for the information and said he would report to his client and let him hear from him later. About thirty minutes later, Garnett called him on the telephone and said that he had talked with his client, Barr, and that Barr had nothing more to say.

On June 7th, Rixey wrote to Garnett that, following the refusal of Barr to comply with his contract, MacGlothlin had been unsuccessful in his efforts to make a resale of the property for $12,000; but that he had found a purchaser for $10,000, and would allow the sale to proceed for the [480]*480account of Barr and look to him for the loss sustained. Sale was thereafter made through the Truitt Realty Corporation for $10,000 to W. G. Brinson, to whom a deed was executed and delivered by Mr. and Mrs. MacGlothlin, and the proceeds, less the cost of commission on the sale, paid to MacGlothlin. Garnett was notified by letter of Rixey, dated June 16th, that the sale had been completed, and that MacGlothlin demanded of Barr the sum of $2,500 to cover the loss sustained as a result of Barr’s failure to comply with his contract.

Barr, a business man and resident of Norfolk for four or five years, said he was not familiar with the neighborhood where the property in question was located. He said that the plaintiff represented to him that the property was very close to a school; that he would not have bought it if it were not so situated; and that he relied upon the plaintiff’s representation. He also said that he had an agreement with the plaintiff that the contract was not to become effective until the plaintiff’s wife also signed it, because the plaintiff and his wife were living apart during the negotiations. After he had discovered, on Sunday afternoon, February 19th, that the school nearest the property was about eight-tenths of a mile away, he informed the plaintiff, on the following Tuesday night, that he did not intend to purchase the property since the school was much further away than it had been represented to be.

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Bluebook (online)
11 S.E.2d 617, 176 Va. 474, 1940 Va. LEXIS 267, Counsel Stack Legal Research, https://law.counselstack.com/opinion/barr-v-macglothlin-va-1940.