Bond v. Pontiac, Oxford & Port Austin Railroad

29 N.W. 482, 62 Mich. 643, 1886 Mich. LEXIS 851
CourtMichigan Supreme Court
DecidedOctober 7, 1886
StatusPublished
Cited by15 cases

This text of 29 N.W. 482 (Bond v. Pontiac, Oxford & Port Austin Railroad) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bond v. Pontiac, Oxford & Port Austin Railroad, 29 N.W. 482, 62 Mich. 643, 1886 Mich. LEXIS 851 (Mich. 1886).

Opinion

Campbell, C. J.

Plaintiff sued and recovered against ■defendant on an alleged' verbal contract made with F. B. Howard as chief engineer, whereby plaintiff was to have the building of fourteen depot buildings, for which lie made preparation, but which, as he claims, he was not allowed to ■complete. Defendant denies any such contract relations. It was claimed by defendant, and shown by testimony in no way impugned (although the jury without any evidence found otherwise), that the whole building and equipment of ■the railroad had been put under contract with the New York, New England & Western Investment Company, and that defendant had nothing to do with it, and none of defendant’s officers or agents had any authority in the matter.

In order to make out his case, plaintiff by his own testimony swore to the making of the arrangement with Mr. Howard. To establish Mr. Howard’s authority, he intro-11 need testimony of various things done on the road from which he claimed authority might be inferred against defendant.

The contract in question for building the road bound the ■defendant to furnish right of way and depot grounds, and the investment company was to do all the rest except a track near Caseville, tobe built by Francis Crawford, near his mill. He was also to furnish an amount of ties which the investment company was to pay for.

[646]*646■ It is not disputed, and the court below so charged the jury, that no testimony appeared of any corporate action authorizing Mr. Howard to act for the defendant in the matter in controversy, or ratifying his action. The contract with the investment company bound defendant to appoint, as.chief engineer, secretary, and treasurer, persons satisfactory to the investment company. The case does not show any grant of power from defendant to any such officers, or that any of them represented defendant in the work which was in progress by any such authority. No payment was made to plaintiff, and no recognition was had by defendant of the contract in question, and no facilities were given him for carrying it out. The action is for not permitting its completion, and not for performance.

The case was placed entirely on circumstantial evidence, and the questions relate chiefly to its force and validity.

It was early objected that plaintiff and his witnesses were allowed to refer repeatedly to defendant as the party dealing or dealt ,with, when the question of authority was mooted, and it was essential to know with what particular person the dealing was had. We think the objection should have been regarded, and that the court, by allowing witnesses to persist in such references, placed the jury in a position where they were not only liable to be misled, but were also likely to overlook the necessity of proof of authority.

In order to understand the bearing of the facts admitted against defendant, it is necessary to consider the position of various persons whose actions were deemed important on the trial.

Mr. Howard was nominated to the investment company, and approved by them, as engineer of the defendant in 1881, and so continued until some time in 1883. He was entirely paid by, and received orders from, the investment company as its own engineer. No record was shown of any instructions or powers from defendant. George Nettleton succeeded him.

F. H. Carroll was paymaster of the investment company until July, 1883, and secretary of the defendant after July, 1883.

[647]*647Alfred R. Fiske was examiner and engineer of the investment company, through whom orders were generally given,, until January, 1SS3. lie-was never an agent or officer of defendant.

George ~W. Do Bevoise was secretary and treasurer of the investment company, and had general charge over the road for that company, relieving Mr. Fiske in January, 1883. lie represented no one else.

Charles A. Carpenter was president of defendant, and Junius Ten Eyck, Abram Le Roy, J. T. Stanton, and others, directors.

The record is voluminous, and, from the manner in which some part of the case was brought, is somewhat confused. Defendant claimed that the jury should have been directed that no cause of action was made out, and this required a full report. Other questions were also raised, andaré presented by the assignments.

As already suggested, the only ground relied on for recovery'is the implication, claimed to arise, of authority or ratification from acts of various persons which it is insisted should bind defendant. Those facts and acts wex’e substantially these:

The most important, according to plaintiff’s argument,, was the employment of plaintiff in 1882 upon the construction of two bridges along the line of the railroad. It was claimed that plaintiff made a contract with Howard for the construction, under plans which Howard furnished, rendering monthly bills to the assistant engineers, Mr. McCormick and Mi-. Nettleton, against defendant, and paid by Mr. Oar-roll, as plaintiff claims, as defendant’s paymaster. It is further claimed that in those transactions blanks were used purporting to bo defendant’s; that after these bridges were finished, plaintiff was informed by Howard that he was desired to make bids on depot buildings, which were accepted by Howard; and that De Bevoise also informed him that Howard had been directed to got bids and complete a contract. .

Plaintiff was allowed to put in evidence, and relied upon,, the facts that rights of w7ay and aid subscriptions were pro[648]*648cured by defendant’s officers, and that ties were purchased and delivered by one of them, and that bills of various kinds were paid by Mr. Carroll for work and other things made out in the defendant’s name.

These various matters, upon most of which there was contradictory or explanatory testimony, were received as showing authority in Howard to bind defendant in. this contract. Howard’s own testimony, as well as that of several others, was directly contradictory of plaintiff’s in its material features, but, so far as admissible, its weight would be for the jury.

Upon a careful examination of the record, we think the defendant was entitled to have the case taken from the jury, as entirely unsupported by legal proof.

There is not in any part of the record any testimony tending to show that Howard had any authority to make contracts of the kind involved for defendant. The contract as sworn to by plaintiff is a peculiar one, which, when made, according to him, specified neither the number nor the locality of the various depot buildings, nor at what places the first and second class buildings, which varied considerably in price, were to be set up. The memorandum of the verbal understanding on which plaintiff bases his claim contains no time for doing the work, and no terms of payment except the gross sums for building.

It appears from plaintiff’s testimony that, pending the preparation and consideration of proposals and bids, he received a letter from Howard indicating that a written contract was contemplated; and that he also knew that De Bevoise was Howard’s superior, under whose direction Howard was to act in regard to the depots; and that on the eighteenth of May, De Bevoise, who had never recognized the contract, told him Howard had no authority to make it.

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Bluebook (online)
29 N.W. 482, 62 Mich. 643, 1886 Mich. LEXIS 851, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bond-v-pontiac-oxford-port-austin-railroad-mich-1886.