Blankenship v. Childress

31 S.E.2d 302, 183 Va. 13, 1944 Va. LEXIS 125
CourtSupreme Court of Virginia
DecidedSeptember 6, 1944
DocketRecord No. 2801
StatusPublished
Cited by5 cases

This text of 31 S.E.2d 302 (Blankenship v. Childress) 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
Blankenship v. Childress, 31 S.E.2d 302, 183 Va. 13, 1944 Va. LEXIS 125 (Va. 1944).

Opinion

Gregory, J.,

delivered the opinion of. the court.

T. J. Childress, a real estate broker, who will be referred to as the plaintiff, instituted an action at law in the court, below against C. A. Blankenship and John D. Nance, for a broker’s commission of $1,500', on a sale of a warehouse to one J. Clyde Mitchell, for $60,000. The case was tried by a jury, and a verdict in favor of the plaintiff for $1,500 was rendered, upon which the court entered a judgment.

The judgment is challenged upon the ground that the verdict was contrary to the law and the evidence, and without evidence to support it, and further on account of the alleged misdirection of the jury in instruction No. 1.

According to the evidence of the plaintiff, which the jury was authorized to accept, he had a verbal contract with Mr. Blankenship and Mr. Nance, the owners, to sell their warehouse for $60,000. His exact language is: “On November 28, 1941, I went down to see Mr. Blankenship and Mr. Nance and asked them were they interested in selling the warehouse; and they give me a price of $60,000, and then we got into the commission business; and I told them five per cent was the usual commission, and they said they wouldn’t pay that, and I • split my commission in half, which was $1,500, and we agreed on $1,500.” He was then asked if anything was said about the sale being for cash, and he answered: “No, nothing said about the terms at all.” And again he was asked: “Did the contract have any definite time to run?” He answered: “No, sir.” He then testified that the contract was never terminated or abandoned by either of the parties.

[16]*16The plaintiff sought out Mr. Mitchell, his customer, on the day the contract of agency was made, or the day after. Mr. Mitchell drove with him to the warehouse at that time for an inspection of the property, and then the plaintiff notified the owners that Mr. Mitchell 'was his customer.

The plaintiff describes his efforts to make the sale in .these words: “I took him down there and showed him the warehouse, and then we come on back; and he liked the warehouse pretty good and he said business was so quiet then, and he didn’t know whether they were going to be able to get cars and things to sell; and we kept on, two or three -times a month I would approach him on it, and I told him in February of this .year (1943) .if he had to pay $5,000 more than it was worth, it would be worth it to him, on account of the location.” The plaintiff further testified as follows: “Well, I went down to see Mr. Mitchell, I expect I will average two or three times a month talking to him about this warehouse, and talking to him about the space he would have, and also the space on the outside where he could park his cars, and the location. It was the right location for him.” In February, 1943, the plaintiff met Mr. Blankenship on the street and inquired if he would take less for the warehouse, and he replied:- “No, if anything he had thought about going up.” The plaintiff continued his efforts to sell Mr. Mitchell in the early part of 1943.

On March 3, 1943, Mr. Blankenship and Mr. Nance sold the property to Mr. Mitchell without thé intervention of their broker, the plaintiff, at the price of $60,000; $20,000 of which was in cash, and the balance of $40,000 payable in annual installments and evidenced by notes.

It is observed that the contract of agency was not of limited duration, and no terms were agreed upon as to how the $60,000 should be paid. This is clearly disclosed by the testimony of the plaintiff.

The position of the plaintiff is that he was authorized to sell the property at $60,000; that he found a purchaser, Mr. Mitchell, who was ready, willing and able to purchase the property for $60,000; that he, the plaintiff, . would have [17]*17closed the transaction with Mr. Mitchell if the defendants had not themselves sold to him. Under these circumstances, the plaintiff claims to have been the procuring cause of the sale, and entitled to his broker’s commission.

On the other hand, the defendants claim that there was no definite contract with the plaintiff because there was no agreement as to how the $60,000 was to be paid, that in the absence of such an agreement it had to be paid in cash, and inasmuch as the sale finally consummated was on credit as to $40,000, the plaintiff failed to find a purchaser who would pay the $60,000 in cash. The defendants also contend that the contract of agency was revoked, and if not revoked, it was abandoned by the plaintiff.

There is little difficulty about the law in cases of this kind. The trouble arises when the pertinent legal rules are to be applied to the varying facts presented. Judge McLemore, speaking for the court in Patton v. Garnett, 147 Va. 1009, at pages 1015-1016, 133 S. E. 495, says:

“The principles of law governing the case are fairly well settled in Virginia. It is established by our decisions that when a broker is employed under a contract, undefined in duration, to find a purchaser at a stated price, the principal has no right during the continuance of the contract to interfere with his operations to that end, and if the interference of the principal prevents the procurement of a purchaser, he is liable to the broker. So if, during the existence of the contract and while the broker is endeavoring to bring a purchaser, found by him, to the point of making an offer at the price fixed by the owner, and the latter seeks out the purchaser so found and sells to him at a lesser price, he may be made liable to the broker. But such a contract as that stated is subject at any time to revocation by the owner at his will,, if the broker or agent has not been able to comply with its terms. The agreement of the agent is to procure a purchaser at a stated price, and so long as he has not complied with his agreement, it is manifest he has no cause of action. The contract is one of hazard, to the extent that the agent performs his services without compensation, if he does not find [18]*18the purchaser. But the production of a purchaser at- the agreed price is in the nature of a condition precedent, and is the very essence of the undertaking by the agent.”

From the evidence the jury could havé found that the plaintiff was the procuring cause of the sale. He found the purchaser and showed him the building. He continued his efforts to make the sale over a long period of time, and just a short time before the sale was made by the defendants he was still attempting to sell the property to Mr. Mitchell. The jury also could have found that he would have made the sale to Mr. Mitchell if the defendants had not interfered. .Whether the $60,000 was to be paid in cash or on terms, the jury could have found was an unimportant element, for there was evidence that no terms as to the $60,000 were expressed by the defendants in the agency contract, and later, when the sale was made by them, they did not require cash but voluntarily gave terms when the purchaser did not even request them.

In Patton v. Garnett, supra, relied upon by the defendants, there were entirely different facts involved. The owner in that case revoked the agent’s authority in good faith by written notice before the sale. The price received was $1,000 less than the sale price authorized by'the owner. In the present case the question of revocation was in dispute and submitted to the jury. The price received was the same as that which the agent was authorized to obtain.

In Leicht-Benson Realty, etc., Corp. v. Stone & Co., 138 Va.

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Bluebook (online)
31 S.E.2d 302, 183 Va. 13, 1944 Va. LEXIS 125, Counsel Stack Legal Research, https://law.counselstack.com/opinion/blankenship-v-childress-va-1944.