Baum v. Concord Land & Improvement Co.

24 Colo. App. 397
CourtColorado Court of Appeals
DecidedApril 15, 1913
DocketNo. 3718
StatusPublished
Cited by1 cases

This text of 24 Colo. App. 397 (Baum v. Concord Land & Improvement Co.) is published on Counsel Stack Legal Research, covering Colorado Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baum v. Concord Land & Improvement Co., 24 Colo. App. 397 (Colo. Ct. App. 1913).

Opinion

Morgan, J.

This is an appeal from a judgment against the plaintiffs in an action for the specific performance of a contract. The judgment should be affirmed.

The plaintiffs sued for the specific performance of a contract made in September, 1909, in substance as follows : Monte Yista, Colorado, ........, 19.. Sec. 17, Tp. 38, R. 9, Conejos county. Title stands in name of Concord Land & Improvement Co. Number of acres, 640. Lowest net price $25 (per acre). Terms of sale, one-half cash, balance one to two years. Lowest amount to bind the bargain $500. That defendant agrees to furnish abstract and make a warranty deed to plaintiffs or to whom they may direct; that defendant places the land in plaintiffs ’ hands, they to negotiate a sale so as to net defendant the price stated above, for which defendant agrees to allow all above said net price as a commission when a sale is effected; property to be left in plaintiffs’ hands and contract to remain in full force until plaintiffs should receive notice that the property is withdrawn from the market, and, upon receipt of such notice by plaintiffs, the. contract to become null and void and both parties released from further obligations. Plaintiffs pledge themselves to use their best efforts, at their own expense, to dispose of the land. Signed by defendant only. The complaint also contains allegations of a subsequent parol modification hereinafter referred to.

This contract is more in the nature of an employment of the plaintiffs, as agents, to sell the land for a commission, than a contract for the sale thereof. There is noth[399]*399ing in tlie contract that would tend to make it a contract of sale, except that defendant agrees to make a warranty deed to plaintiffs or to whom they may direct. This provision is in harmony with a contract of employment, and does not convert it into a contract for the sale of land, and the alleged modifications do not materially assist in such conversion.

It is not such a contract for the sale of land as would admit of a suit for specific performance thereof.

‘ ‘ The specific performance of a contract is its actual execution according to its stipulations and terms; and is contrasted with damages or' compensation for the non-execution of the contract. Such actual execution is enforced, under the equitable jurisdiction vested in the courts, by directing the party in default to do the very thing which he contracts to do.” — Fry on Specific Performance, sec. 3.

Courts of equity have been slow to enforce specific performance, in face of the right to sue at common law for damages for the breach of a contract.

This contract is without date or consideration, uncertain and indefinite as to the purchaser, and as to the time and security of the balance of the purchase price; the plaintiffs do not agree to buy and the defendant does not specifically agree to sell; the names, the price and terms upon which the plaintiffs might sell it, ,as agents of the defendant, alone are given, with the possible susceptible interpretation that plaintiffs could accept the proposal therein contained, and buy it themselves.

Waterman on Specific Performance of Contracts says, in sec. 152:

“Considerations as to the certainty of a contract sought to be enforced arise in a suit for specific performance which do not present themselves in an action at law for damages occasioned by a breach.”
“Sec. 157. If the language of the contract is con[400]*400tradictory, or there are two different agreements in relation to the same subject matter, specific performance will in general be refused. ’ ’
“Sec. 186. Contracts which are voluntary, or where there is no consideration on the part of him who seeks performance, will not be specifically enforced, although under seal, whether the contract be in the form of an agreement, a covenant, or a settlement. ’ ’

It has been held by our supreme court that a contract of this character must be based upon a consideration before an action can be maintained thereupon for a specific performance thereof. — Rude v. Levy, 43 Colo., 482, 487, 96 Pac., 560, 127 Am. St., 123; Winter v. Goebner, 2 Colo. App., 259, 261, 30 Pac., 51.

In Rude v. Levy, supra, the court said:

“The writing upon which this action for specific performance is based was not signed by plaintiff and did not at its execution possess the elements of a binding contract. It was, on the contrary, as named by the parties themselves, a mere ‘option to purchase.’ According to its terms there was nothing obligatory upon plaintiff, unless, at a future time, he elected to accept and perform. And even after such election, the only penalty for nonperformance would be a forfeiture of the money, if any, previously paid. Moreover, there was practically no consideration for the option. The recital of $1 as paid is the usual provision inserted in such instruments as a matter of form, and even if this sum were actually advanced, it would be merely nominal. It would not, alone, constitute the ‘proper’ or ‘fair’ consideration usually considered essential to a suit for specific performance.”

Also Pomeroy on Specific Performance, sec. 57, p. 79.

Assuming, but not admitting, that this brings this contract within that species referred to by Mr. Pomeroy, supra, in the following excerpt from sec. 169, p. 235—

“Among the examples of this species are those con[401]*401tracts by which the party, upon whom alone an obligation arising from the express stipulations rests, covenants or promises to do or to forbear from some specified act upon the request of the other, and those by which the party making an offer, covenants or promises to do or to omit some act upon the assent or acceptance of the person to whom the offer is addressed, and those in which the party confers an option upon the other; ’ ’ — •

nevertheless, the assent or acceptance in this case was not an assent, to, or an acceptance of, the terms of the contract as originally written or the alleged modification.

Plaintiff sent a telegram to defendant, and a letter confirming it, accepting the offer contained in the contract as modified. The telegram was as follows:

“Tour terms on trade of Section Seventeen accepted. Send abstracts. ”

The letter confirming the telegram says:

“We wired you yesterday that ‘your terms on trade of section seventeen accepted. Send abstracts.’ We understand that your terms to be that we are to take the entire section seventeen at $27 per acre, net to you; that you will accept the 172 acres of Arkansas timber land at -$30 per acre, providing the abstracts are satisfactory and that we aré to pay you $5,000 cash at the time of transfer in addition to the timber land. * * *
“In making this trade oh section seventeen, we are compelled to take the northwest quarter ourselves and take our chances on selling it a little later on. ’ ’

This telegram and letter shows no acceptance of the terms of the contract sued upon, .as modified or otherwise. The trade for Arkansas land and the prices named are entirely foreign to any of the terms of the contract alleged.

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24 Colo. App. 397, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baum-v-concord-land-improvement-co-coloctapp-1913.