Denny v. Garavaglia

52 N.W.2d 521, 333 Mich. 317, 1952 Mich. LEXIS 477
CourtMichigan Supreme Court
DecidedApril 9, 1952
DocketDocket 63, 64, Calendar 45,283, 45,284
StatusPublished
Cited by58 cases

This text of 52 N.W.2d 521 (Denny v. Garavaglia) 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
Denny v. Garavaglia, 52 N.W.2d 521, 333 Mich. 317, 1952 Mich. LEXIS 477 (Mich. 1952).

Opinion

*320 -Sharpe, J;

For the purposes of trial and appeal the above cases were consolidated. They arise from a traffic accident occurring on the 20th day of November, 1948, at about the hour of 7:20 p.m. On the day in question, plaintiffs, Harry R. Denny and Geneva Yan ITouten,1 left Charlotte at about 6:45 p.m., for the purpose of going to Howard City to the home of Geneva Yan Houten’s parents. In leaving Charlotte, they proceeded over M-50 which follows a northwesterly direction until it terminates at its junction with M-43, approximately 20 miles from Charlotte.

While making this trip Harry R. Denny was driving. The road traveled was gravelled and about 24 feet wide. The night was dark and they traveled at a speed of 50 to 55 miles per hour. As they passed Hunter road, about 18 miles northwest of Charlotte, the car hit a depression in the road and later struck a tree about 3 feet off the right-hand side of the road and approximately 300 feet from the depression.

Both plaintiffs were seriously injured. Both are permanently disfigured and disabled. Both suffered, a loss of earning power. At the time of the accident, Geneva Yan Houten was 30 years of age and Harry R. Denny 36 years of age.

The hole in the highway extended about half way across the traveled portion of the highway, was about 18 inches deep and filled, or partly filled with water. The hole had been gouged out of the highway by the heavy road equipment used by defendant Garavaglia. The defendants are 2 road building contractors who jointly had entered into a contract with the Michigan highway department to grade and pave highway M-43 which intersects with highway M-50 north of Hunter road. The Garavaglia. firm was engaged in hauling dirt from a pit located some distance northwest of the intersection of M-50 and Hunter road. M-50 had been designated as a *321 detour for M~43 traffic by tlie State highway department. For the purpose of hauling dirt, Garavaglia used what are called Euclids which are large trailers hauled by tractors and capable of hauling in excess of 13 cubic yards of dirt. On November 1, 1948, Garavaglia began hauling about 150 loads during a 10-hour shift. No repair work was done on this road on the day in question, but the day before the State highway department repaired the road by filling up the holes. At the time of the accident, no lighted flares were at or near the hole, but there were 3 unlighted flare pots at the hole. There was a “road repair” sign from 700 to 1,000 feet just off the highway southeasterly of the hole. The sign was 4 feet square and was a “reflectorized button sign, black and yellow, which said, Slow, Road Repair.”

The cases came on. for trial and the court without the aid of a jury entered judgment in favor of Geneva Van Houten against Louis Garavaglia and others in the amount of $11,031 and a judgment of no cause of action in the case of Harry R. Denny. The trial court also entered judgment of no cause of action in both cases as against Carl Goodwin & Sons. .

Garavaglia appeals from the judgment in favor of plaintiff Geneva Van Houten and from the judgment in .favor of Carl Goodwin & Sons. s

We shall first discuss the claim made by Garavaglia that defendant Carl Goodwin & Sons is jointly liable with Garavaglia on the theory that both defendants were engaged in a joint venture. On this issue, the trial court made a finding of fact and gave his interpretation of the law relating thereto as follows :

“Both contractors agreed to submit 1 bid together to the State highway department, Garavaglia to do the grading and Goodwin to do the paving. There was 1 contract the terms of which treated the de *322 fendants as a single entity with, full responsibility for all of the work covered by the contract to be borne by both defendants. A single check covered .the work done by both contractors. Their work was integrated and carried on in such a way as to cooperate to the fullest extent. None of Goodwin’s equipment was used to haul the dirt on M-50 and no control exercised by him over this portion of the contract. There was to be no joint sharing of profits, it being understood and agreed that each was to have the profits made from his own share of the work and each was to suffer his own loss, if any. Under these circumstances is Carl Goodwin & Sons liable for the damages suffered by Geneva Yan Houtenf
“The intent of the parties is important. Hathaway v. Porter Royalty Pool, Inc., 296 Mich 90, 103 (138 ALR 955). We find from the evidence that they did not relinquish to each other the right to control the operation of the other. As a matter of fact it is difficult to find where, their operations in this particular case would be any different than if separate bids had been, made and 2 contracts issued, except of course, that there was a single check issued for all the work done by both contractors to date and ■both parties were liable for completion of the whole project. This is not the case where any person has relied upon an apparent joint venture to his damage but where there is a question of whether or not to impute negligence. There being no community of interest in the profit of this venture and there being no actual exercise' of control over the operations under consideration here by defendant Goodwin it would not seem that a holding of imputed negligence would be proper. The Court finds that.for the purposes of this case that a joint venture between these defendants did not exist and that the action against Carl E. Goodwin, Wayne T. Goodwin, Norman A. Goodwin and Ivan F. Goodwin, individually and as .copartners doing business as Carl Goodwin & Sons may be dismissed and a judgment of no cause of action entered in their favor.”

*323 In Hathaway v. Porter Royalty Pool, Inc., 296 Mich 90, 102 (138 ALR 955), cited in the trial court’s opinion, we said: • • - .

“It can be said that a joint adventure contemplates an enterprise jointly undertaken; that it is an association of such joint undertakers to carry out a-single project for profit; that the profits are to be shared, as well as the losses, though the liability 'of a joint adventurer for a proportionate part of the losses or expenditures of the' joint enterprise may be affected by the terms of the contract. See 17 Ann Cas 1022, 1025; 24 Ann Cas 202,- 203, and 39 Ann Cas 1210,1214. There must be a contribution by the parties to a common undertaking 'to constitute a joint adventure (see annotation, 63 ALB 909, 910); and a community of interest as well as some' control over the subject matter or property right of contract. Griffiths v. Von Herberg, 99 Wash 235 (169 P 587); Darling v. Buddy, 318 Mo 784 (1 SW2d 163, 58 ALR 493).”

In view of the above language as applied to the facts in the case at bar we find that defendants Garavaglia and Goodwin were' associated together under a contract with the State highway department to construct a portion of a road. Payment was made to them jointly on the basis of estimates of work done. Each firm received a portion of the check based upon the work done by each firm.

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Bluebook (online)
52 N.W.2d 521, 333 Mich. 317, 1952 Mich. LEXIS 477, Counsel Stack Legal Research, https://law.counselstack.com/opinion/denny-v-garavaglia-mich-1952.