Cascade Lumber Terminal, Inc. v. Cvitanovich

332 P.2d 1061, 215 Or. 111, 1958 Ore. LEXIS 365
CourtOregon Supreme Court
DecidedDecember 24, 1958
StatusPublished
Cited by7 cases

This text of 332 P.2d 1061 (Cascade Lumber Terminal, Inc. v. Cvitanovich) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cascade Lumber Terminal, Inc. v. Cvitanovich, 332 P.2d 1061, 215 Or. 111, 1958 Ore. LEXIS 365 (Or. 1958).

Opinion

ROSSMAN, J.

This is an appeal by the defendant from a judgment which the circuit court entered after it had directed a verdict which awarded the plaintiff $1,100 on its first cause of action, $760.14 on its second, and $300 as an attorney fee. The complaint sets forth separately two causes of action. The first was upon a promissory note in the amount of $1,100, signed by the defendant August 24, 1953, and payable in 30 days to the plaintiff. The complaint alleged nonpayment after demand. The second cause of action alleged that between August 18, 1953, and February 26, 1954, plaintiff “loaned and advanced to defendant,” at the latter’s request, $2,925 “which defendant promised and agreed to repay by the delivery of logs to plaintiff.” *113 It was then alleged that only $2,164.86 of the advances had been repaid, leaving a balance unpaid of $760.14.

The answer admitted plaintiff’s corporate character, but denied all other averments. Affirmatively, the answer alleged that July 10, 1953, plaintiff and defendant executed an agreement, a copy of which was made a part of the answer. We interrupt the recitals of the answer to take note that the agreement, succinctly stated, required (1) the defendant to log a tract of land described in the agreement and, upon close of the operations, to purchase the logged-off land at the price of $15,000; (2) the plaintiff to pay the defendant for logs delivered $18.50 per thousand feet in this way: $11.00 per thousand feet in cash and $7.50 per thousand feet through application of that amount upon the purchase price of the land [which was owned by the plaintiff]. In addition to the covenants just mentioned, the written instrument contained others of an ancillary nature. We shall omit mention of most of those subsidiary features, with the exception of the following: (a) time was made of the essence, and (b) the instrument required the defendant to deliver to the plaintiff, prior to October 1, 1953, one million feet of logs from the tract. We now return to the answer. We have seen that the agreement of July 10,1953, bound the defendant to purchase from the plaintiff the tract after it had been logged. The answer alleged:

“ * * * That on or about September 17, 1954, Plaintiff made demand upon the Defendant for cash payment of the balance of the purchase price for the real property described in the agreement and Defendant was unable to comply with the request of the Plaintiff. That thereafter negotiations followed. That the Plaintiff and the Defendant’s attorney, John E. Jaqua, delivered to the Plaintiff *114 a quit claim deed, a copy of which is attached hereto, made a part hereof and referred to as Exhibit ‘B,’ together with his letter of November 2, 1954, with instructions therein, a copy of which is attached hereto, made a part hereof and referred to as Exhibit ‘C.’ That Plaintiff executed a release on October 5, 1954, a copy of which is attached hereto, made a part hereof and referred to as Exhibit ‘D.’ That it was the clear understanding of the Plaintiff and Defendant that the delivery of quit claim deed to the Plaintiff was to be in full discharge of all claims that Plaintiff might have against the Defendant.”

The copy of the release which was attached to the answer and made a part thereof shows that the instrument spoke as follows:

“KNOW ALL MEN BY THESE PRESENTS That Cascade Lumber Terminal, Inc., an Oregon corporation, for a good and valuable consideration, the receipt of which is hereby acknowledged, does by these presents release and forever discharge R. T. Cvitanovieh and Donnagene Cvitanovich, husband and wife, and each of them, of and from any and all claims or demands which said Seller has or might have against said Buyer and his wife, or either of them, for or on account of the balance due in the sum of $13,548.15 under the terms of that certain agreement dated July 10,1953, between Buyer and Seller.”

The evidence disclosed that the plaintiff owned the tract of land which we have mentioned and that the defendant was a logger. Although the agreement of July 10, 1953, bound the defendant to deliver to the plaintiff one million feet of logs taken from the land prior to October, 1953, only 193,580 feet had been delivered, by March 12,1954; August 24,1953, the plaintiff advanced to the defendant $1,100 and at that time the defendant signed the promissory, note upon which *115 the first cause of action is based. It was in default November 30, 1954, when the complaint in this case was filed. The second cause of action was based upon advances made by the plaintiff to the defendant between August 18,1953, and February 26,1954, totaling $2,925. We have mentioned the fact that by March 12, 1954, when the defendant made his last delivery of logs to the plaintiff, only 193,580 feet of logs had been delivered. Since the agreement of July 10, 1953, required the plaintiff to withhold $7.50 per thousand feet from the sums payable to the defendant for logs delivered and apply the withheld amounts upon the purchase price of $15,000 which defendant undertook to pay for the land, the plaintiff had withheld $1,451.85 by March 12, 1954. Thus, there remained unpaid on the purchase price $13,548.15.

Following the defendant’s failure to comply with the terms of the contract of July 10, 1953, some negotiations took place between the parties which sought at the outset to find a means whereby the defendant could complete his purchase of the land. When this terminated in failure, the defendant engaged as his attorney Mr. John E. Jaqua, of Eugene, and thereupon some discussion took place between Mr. Jaqua and plaintiff’s counsel. Presently, in harmony with an understanding which was effected, the defendant and his wife, on October 23, 1954, executed the quitclaim deed which has been mentioned, and October 25, 1954, the plaintiff signed the release from which we quoted. Plaintiff’s counsel mailed the release to Mr. Jaqua with a letter, which stated:

“Pursuant to Mr. Wiener’s conversation with you on October 23, 1954, we enclose duly executed release of Cascade Lumber Terminal, Inc., releasing E. T. Cvitanovich from any obligation he might have to pay the sum of $13,548.15 due under the *116 terms of that certain agreement dated July 10,1953, between him and Cascade Lumber Terminal, Inc.
“You are authorized to deliver said release, together with the check for $150 which was delivered to you on October 23, 1954, upon obtaining and forwarding to this office a quitclaim deed from R. T. Cvitanovich and his wife relating to the property described in the aforesaid agreement.”

In the meantime, Mr. Jaqna mailed to plaintiff’s counsel the quitclaim deed. In the discussions and negotiations which preceded the execution and delivery of those two instruments no mention was made of the note in the sum of $1,100 or of the other advances. In fact, the defendant had not disclosed to Mr. Jaqna that he had signed a note and borrowed the sums of money. The negotiations were concerned only with the defendant’s interest, if any, in the tract of land and the balance of $13,548.15 of its purchase price which remained unpaid.

The foregoing is a partial statement only of the facts revealed by the evidence.

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Cite This Page — Counsel Stack

Bluebook (online)
332 P.2d 1061, 215 Or. 111, 1958 Ore. LEXIS 365, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cascade-lumber-terminal-inc-v-cvitanovich-or-1958.