Clements v. Cook

191 P. 874, 112 Wash. 217, 1920 Wash. LEXIS 729
CourtWashington Supreme Court
DecidedAugust 18, 1920
DocketNo. 15878
StatusPublished
Cited by11 cases

This text of 191 P. 874 (Clements v. Cook) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Clements v. Cook, 191 P. 874, 112 Wash. 217, 1920 Wash. LEXIS 729 (Wash. 1920).

Opinion

Holcomb, C. J.

In an action brought to recover $16,000 damages for the alleged breach of a contract to deliver logs, plaintiffs recovered a verdict and judgment thereon for $5,000, and defendants appeal.

There was a written contract entered into by the parties on December 19, 1920, and certain of its provisions with which we are here concerned are as follows :

“This memorandum of agreement, made and entered into by and between W. W. Cook, first party, and D. A. Clements, second party; witnesseth, that the first party agrees to log all of the merchantable timber now standing, lying or fallen on the S. W. quarter of the N. E. quarter; the N. W. quarter of the S. E. quarter, the N. E. quarter of the S. W. quarter and the E: half of the N. W. quarter, all in section 10, twp. 27, N. of Rg. 6 E. W. M., in Snohomish county, Washington, and to sell the said logs when so logged from said [219]*219land to the said second party, delivering the same to the party of the second part at his mill situated on the S. W. quarter of the N. E. quarter of said section, in the manner and at the time, and upon the terms hereinafter set out, that is to say:
‘ ‘ The first party agrees to proceed diligently to log, and the 'second party agrees to proceed to operate said mill at the earliest practical time and to continue with all due diligence until the entire contract shall have been fulfilled, provided, however, that first party agrees to deliver at the place herein stipulated, and second party agrees to accept and pay for, at least three hundred thousand (300,000) feet of logs during each and every month, beginning with the month of January, A. D. 1918.
“The price to be paid for said logs shall be as follows, viz: For all fir, $9.50 per thousand feet; for all cedar, $12 per thousand feet; for all spruce, $9.50 per thousand feet; and for all hemlock, $8 per thousand feet.
“On the first day of each month second party shall pay first party for fifty per cent (50%), as nearly as can be readily ascertained or estimated, of the price of all logs delivered during the previous month, and on or before the tenth of the month shall render a statement of the logs delivered during the previous month and pay for any and all of such logs so delivered and not already paid for. . . .
“Time is the essence of this contract and of each and every part thereof, and in case of the second party failing to comply with the terms and all of the terms thereof, first party shall have the right and option to forthwith cancel the same and each and every part thereof upon giving three days’ written notice and such notice and terms so specified therein shall have not been complied within said three days from the service of such notice upon second party. In case said second party shall absent himself so that it is not practical to serve such notice on him personally, then and in that case such notice may be served on any bookkeeper or managing agent in charge, or be served [220]*220in the manner provided for the service of summons in civil actions.”

On the day following the execution of this contract, respondent, under a conditional sale agreement, acquired from the owners, John Johnson and W. ¡3. Keller, the mill referred to in the logging contract. Thereupon appellant commenced delivering logs under the contract and respondent began to operate the mill. It appears from the record that, almost from the start, respondent experienced difficulty in promptly meeting payments, as they fell due, for the logs delivered by appellant; and on July 15, 1918, when respondent was delinquent in his payments to the amount of $1,341.48, appellant refused to make further deliveries of logs, but suggested to respondent that if he (respondent) would furnish security for the payments on his contract, appellant would thereby be induced to carry out his part of the agreement. Thereupon the following agreement was entered into by W. S. Keller and his wife.:

“This agreement, made this 15th day of July, 1918,
“Witnesseth, That whereas, on December 20th, 1917, D. A. Clements, doing business as the Clements Lumber Company, made and executed a contract with W. W. Cook to purchase from said Cook logs at the mill of said Clements Lumber Company and to pay for said logs as delivered on the 1st and 10th days of each month, and certain payments are due and the said Cook refuses to deliver more logs until the payments are guaranteed.
“Now, therefore, the undersigned W. S. Keller and Eula Keller, his wife, for a valuable consideration, do hereby agree and guarantee to make all payments provided for in said contract for the purchase of the logs therein sold, or any logs sold pursuant thereto or in any manner, up to and not exceeding the sum of thirty-five hundred dollars ($3,500), by the said W. W. Cook [221]*221to the said D. A. Clements or the Clements Lumber Company, as provided for in said contract, or at all.
“And upon the failure of the said D. A. Clements or the Clements Lumber Company to make payments promptly as provided for in said contract, the said parties hereto agree to pay all of said sums promptly upon demand, up to and not exceeding the sum of thirty-five hundred dollars ($3,500) as aforesaid.
“It being understood that there is now due on said contract the sum of $1,341.48, which became due on the 10th day of July, 1918, and it is agreed that said past due payment may be made on or before the 25th day of July, 1918, and if such payment is not made, then this guaranty shall apply thereto. . . .”

Later, respondent also delivered to appellant, as further security, two promissory notes of $500 each, made payable to him by the Specialty Lumber Company. Appellant then resumed deliveries of logs, and continued to make deliveries until about the 10th or 12th day of August, when, respondent being again in default in his payments, appellant refused to deliver any more logs. At this time there was due appellant $800 for logs delivered prior to the 1st day of August. Between August 1st and 10th, $354.10 worth of logs were delivered. Appellant claims that the total amount of $1,154.10 was due and payable on August 10, but respondent insists that, under the terms of the contract, only $800 was due and payable on August 10, the remaining $354.10 not being payable under the contract until the 1st of the following month, September. At any rate, appellant would not deliver any more logs until the $1,154.10 was paid, and respondent said he would go to Seattle and try to get the money. He went to Seattle for this purpose on August 15. During his absence from the mill, appellant caused to be left there with one of the laborers, a notice in the following words:

[222]*222“To D. A. Clements: You will please take notice that the payment in the amount of $1,154.10 is past due and unpaid, under the contract made between you and the undersigned, under date of December 19th, 1917. You are hereby notified that unless said amount is paid within three (3) days of the date of the service of this notice upon you, that the undersigned will cancel said contract and declare all rights thereunder forfeited. This notice is given to you pursuant to said contract, and upon your failure to comply with this notice the undersigned will consider said contract forfeited and cancelled as provided therein.

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Cite This Page — Counsel Stack

Bluebook (online)
191 P. 874, 112 Wash. 217, 1920 Wash. LEXIS 729, Counsel Stack Legal Research, https://law.counselstack.com/opinion/clements-v-cook-wash-1920.