Diamond Lumber Co. v. Anderson

184 N.W. 597, 216 Mich. 71, 1921 Mich. LEXIS 436
CourtMichigan Supreme Court
DecidedOctober 3, 1921
DocketDocket No. 1
StatusPublished
Cited by5 cases

This text of 184 N.W. 597 (Diamond Lumber Co. v. Anderson) 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
Diamond Lumber Co. v. Anderson, 184 N.W. 597, 216 Mich. 71, 1921 Mich. LEXIS 436 (Mich. 1921).

Opinion

Moore, J.

This is a bill of complaint filed to compel the specific performance of a contract. From a decree dismissing the bill of complaint the case is brought here by appeal. At the outset we cannot do better than quote freely from a carefully prepared written opinion filed by the chancellor before whom the case was tried. We quote:

“The plaintiff before and in 1919 was engaged in operating a large saw mill at Green Bay, Wisconsin, as well as in logging operations at a place called Camp Tolfree, on the White Pine branch of the Chicago, Milwaukee & St. Paul Railway, in Ontonagon county, Michigan. It had a large logging equipment at Camp Tolfree, including a locomotive engine and log loaders. Its saw mill plant and business conditions at Green Bay were and are such that it cannot store many logs near its mill. It was and is required to so arrange that a continuous flow of logs will arrive at its mill throughout the year. These logs are shipped in by rail and plaintiff’s practice has been to procure its. logs at such places that it would not have to depend on one railroad for its mill supply. It can better control the supply of logs for its mill if it, itself, loads its logs onto the railroad cars for shipment. It owns considerable standing timber on the White Pine branch and employs in its camps there from 100 to 250 men; but most of its timber is so situate that it cannot very well be shipped during the winter months when the snow is deep. In the spring of 1919 it was short of a supply of hemlock logs which it needed to fill its orders. The Chicago, Milwaukee & St. Paul Railway runs from Green Bay to Camp Tolfree, and the freight rate is very favorable for the shipment of logs from the White Pine branch to plaintiff’s mill. The defendants, Anderson and Corwin, of Ontonagon, Michigan, in said spring, purchased a [73]*73tract of mixed timber, consisting of nine forties and about three million feet of logs, located near Camp Tolfree or the White Pine branch. This timber ran strong to hemlock, was of a kind and character needed by plaintiff in its saw mill business, was so located that it could use its log loaders and locomotive, kept at Camp' Tolfree, to load and move it after it was hauled to the track and that it could be shipped for use at its mill when it would be difficult (if not impossible) to get its log supply from its own holdings on the White Pine branch. By reason of these and other facts this timber was very desirable for use at plaintiff’s saw mill. Mr. Phillips, residing at Green Bay, Wisconsin, was plaintiff’s general manager and treasurer, and Mr. Boyd, residing at Ontonagon, or at Camp Tolfree, Michigan, was its woods superintendent and had charge of its affairs on the White PjjQg branch
“On or about May 24, 1919, Mr. Corwin, of Anderson & Corwin, went to Green Bay and there met Mr. Phillips, representing plaintiff, and made a deal with him for the sale by Anderson & Corwin to plaintiff of this three million feet of timber, as a result of which a contract in writing was entered into between plaintiff and Anderson & Corwin, which reads as follows:
“ ‘This agreement,, made in duplicate this day, May 24, 1919, between R. E. Anderson and E. T. Corwin of Ontonagon, Michigan, party of the first part and the Diamond Dumber Company of Green Bay, Wisconsin, party of the second part.
“ ‘The first parties agree to sell and the second parties agree to buy a quantity of logs recently purchased by the first parties, consisting of nine forties in sections 23, 25, and 26, 51-41, estimated at three million feet more or less. It is agreed that the first parties are to make delivery of said logs decked in roll-ways along the Chicago, Milwaukee & St Paul right-of-way, same being the proper distance away from the present rails of the track and not more than 110 feet from the same, or along a spur track which is to be put in by said first parties before September 1st, 1919. * * *
“ ‘The timber is to consist of the following estimated amounts: * * *
“ ‘All logs are to be cut in a workmanlike manner, hemlock where necessary to be long butted. All hardwood logs are [74]*74to be .10-incb and up in diameter; 12, 14 and 16 feet lengths, with a strong percentage of 16 feet, with the exception of a very small per cent, of 10 feet if necessary to conserve the timber. It is also agreed that a small per cent, of hardwood logs if straight and smooth be taken down to 8 inches.
“‘All softwood logs are to be 8 inch and up except a small per cent, of smooth and straight will be taken down to 6 inch.. The lengths of the spruce, cedar and pine to be 12, 14 and 16 feet with as many 16’s as it is possible to make without waste of timber. The lengths of the hemlock to be 12, 14, 16 and 18 feet, cutting first as much of the 18 feet as possible, the balance strong to 16 feet. For such logs so decked, said second parties agree to pay first parties per thousand feet:
“ ‘It is further understood that hemlock logs suitable for peeling, cut after November l'5th and before April 1st and decked in roll-ways separate from the other mixed logs, the said second parties agree to pay $2 per thousand feet more, than the above named prices.
“ ‘It is understood that the said second parties expect to place one of their loading machines at this operation during the winter, in all probability about the holidays, and will no doubt, load out many of these logs as they are brought in to the landing, saving the first parties the expense of decking the same where possible. In that case the logs will be scaled as put upon, the cars.
“ ‘The said second parties further agree to pay said first parties $2,000 advance June 1st,- $2,000 June 15th, providing the first parties have $1,000 worth of logs decked at the roll-ways, $2,000 July 1st. After sufficient logs have been decked as specified in this contract to cover these advances, the said second parties agree to pay upon the 10th of each month for all logs so delivered the previous month.’ * * *
“The record, does not show any of the conversations had between Mr. Corwin and Mr. Phillips while negotiating this deal, except that Mr. Corwin testified that he, Mr. Corwin, told Mr. Phillips at the time the deal was being made that Anderson & Corwin needed the advances provided for in the contract; also that he told Mr. Phillips at that time that they (Anderson & Corwin) were figuring on putting in the spur track mentioned in the contract in the way and at the place they afterwards actually did, and that Mr. Phillips [75]*75replied to this that if they did so he would have Mr. Boyd connect it up.
“The contract was executed and the $2,000 advance 'paid by plaintiff to Anderson & Corwin before June 1st, and Anderson & Corwin commenced to work at building camps, making roads, cutting and swamping logs, and building a narrow gauge railway for use in getting out the timber. Mr. Phillips had instructed Mr. Boyd to keep his eye on their operations and was satisfied that they were in good faith proceeding to carry out their part of the contract, when on June 13, 1919, he, for plaintiff, wrote Anderson & Corwin as follows:
'“June 13, 1919.
“ ‘Anderson & Corwin,
“ ‘Ontonagon, Mich.

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Bluebook (online)
184 N.W. 597, 216 Mich. 71, 1921 Mich. LEXIS 436, Counsel Stack Legal Research, https://law.counselstack.com/opinion/diamond-lumber-co-v-anderson-mich-1921.