Donley v. Bailey

48 Colo. 373
CourtSupreme Court of Colorado
DecidedApril 15, 1910
DocketNo. 6329
StatusPublished
Cited by20 cases

This text of 48 Colo. 373 (Donley v. Bailey) is published on Counsel Stack Legal Research, covering Supreme Court of Colorado primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Donley v. Bailey, 48 Colo. 373 (Colo. 1910).

Opinion

Mr. Justice Musser

delivered the opinion of the court:

This action was brought to recover-a commission of $500.00 and interest thereon, alleged to have been earned by the plaintiff in procuring a lessee for coal, lands of the defendant, upon terms satisfactory to the latter. The complaint alleged that the defendant agreed to pay the plaintiff $500.00 if the plaintiff would procure a purchaser for the property, or one who would enter into a lease thereof satisfactory to the defendant, and that the plaintiff did procure for the defendant a prospective buyer or lessee for the coal lands, with whom the defendant entered into a satisfactory lease. In his answer, the defendant admitted that he entered into a contract to pay the [375]*375plaintiff $500.00 to procure a purchaser for the said premises, hut denied that he ever entered into any contract to pay him any sum for procuring a lessee. The jury returned a verdict for plaintiff in the sum of $542.00, and from a judgment upon this verdict the defendant appealed.

The first assignment of error discussed by the appellant relates to the admission of certain testimony, which, it is claimed, was inadmissible because it was ■ an offer of compromise on the part of the defendant. A Mr. Linldetter had seen the defendant on behalf of the plaintiff, and afterwards there was a meeting in Mr. Linldetter’s office. With reference to this meeting, the plaintiff testified: “Mr. Link-letter was present and Mr. Donley says, ‘I came up to see if we could fix up our matter.’ And I says, ‘all right, Joe, I have written, out an order for $100.00 payments, commencing on the 15th of February and payable in five months at $100.00 a month, which order would be accepted by the Brooks-ITarrison Fuel Co., that is Mr. Brooks,’ and Donley says, ‘Is Ed Coats in this deal?’ I says, ‘No, sir, Ed Coats is not in this deal, this is our own deal, mine and yours.’ Donley says, ‘Well it is too much; I will give you $250.00.’ ” It is to this last testimony, relative to the offer to pay $250.00, that the appellant specifically objects in his brief, because, as he says, it was an offer to compromise. It has been decided several times in this state that offers made during negotiations, looking toward a compromise, and made only for the purpose of avoiding litigation, are inadmissible.—Patrick v. Crowe, 15 Colo. 543; C. B. & Q. Ry. Co. v. Roberts, 25 Colo. 229; Thomas v. Carey, 26 Colo. 485.

In the case of Patrick v. Crowe, the offer was made by way of compromise to avoid litigation, and it was said that if either party, in the course of [376]*376negotiations, admitted any independent fact, sncli admission, if material, might he proper evidence against the party making it, or as elsewhere expressed, the admission of liability is receivable in evidence even if made during the course of an attempt to compromise. In the Roberts case, the court specifically found that the letter admitted, when read in the light of the circumstances of the case, was an offer made by way of compromise to avoid expense and litigation and was not an acknowledgment of liability. In the Carey case, it is again specifically found that the offer did not amount to an admission of liability upon either of the items sued upon. Hence, an admission of actual liability even during negotiations for a compromise or an offer of payment which admits actual liability is not within the rule of exclusion announced in those decisions. This matter can be best illustrated by quotations from other authorities. In Hartford Bridge Co. v. Granger, 4 Conn. 142, 148, it is said:

“The law on this subject has often been misconceived; and it is time that it should be firmly established. It is never the intendment of the law to shut out the truth; but to repel-any inference which may arise from a proposition made, not with design to admit the existence of a fact, but merely to buy one’s peace. If an admission, however, is made, because it is a fact, the evidence to prove it is competent, whatevermotive may have prompted the declaration. * * * The question to be considered is, what was ■the.view and intention of the party in making the admission; whether it was to concede a fact hypothetically, in order to effect a settlement, or to declare a fact really to exist. ’ ’

In Colburn v. Groton, 66 N. H. 151-156, it is said;

[377]*377‘ ‘ Tlie preliminary question always is, not merely whether an admission of a fact was made during a settlement or negotiation, hut whether a statement or act was intended to be an admission. It is a question, not of time or circumstances, hut of intention.’ On that question the time and circumstances may he material evidence. * * * An offer of payment, whether accepted or rejected, is evidence, when the party making it understood it to he, and made it as, an admission of his liability. It is not evidence when he made it for the purpose of averting litigation, not intending to admit his liability. ’ ’

In Pentz v. Penn. Fire Ins. Co., 92 Md. 444, it was said:

“He was then asked what offer of settlement he had made, and the court upon the objection of the defendant excluded the question. The word settlement, as ordinarily used, may mean a compromise for peace’s sake of a claim, the validity of which is denied or it may signify the payment of a claim to the extent to which it is conceded to be due. If the witness in the present case, by the use of the expression settlement, meant a compromise in the strict sense of a claim under the policy, although no loss was admitted, evidence of the compromise was not admissible. If, on the contrary, he meant, as his .previous answers seem to indicate that he did, that there was a, conceded loss under the policy which he wished to settle, the dispute being merely as to the amount of the loss, the evidence was admissible * * * as sufficient evidence to go to the court,. sitting as a jury, from which he might infer that the refusal to pay a greater amount of loss was upon other grounds than failure to furnish proof of loss, and -that, therefore, there had been a waiver by the defendant of such proof. ’ ’

[378]*378Tims it appears that before the admissibility of the evidence offered can be determined, a preliminary inquiry must be made as to whether or not the offer to pay an amount in settlement of a claim contained or was an admission of real or absolute liability, or made merely by way of compromise to avoid litigation or to otherwise purchase peace, without intending to admit any real liability. If the former, it is admissible; if the latter, not admissible. The question involved is one of fact, to be determined by the court or by a jury under certain circumstances.—Colburn v. Groton, supra. The finding of fact, in such a case, if against the evidence, is error, the same as the finding of any other material fact would be error when against the evidence. In the decisions cited from our own court, the offers of payment therein referred to were clearly made, merely by way of compromise to purchase peace without admitting real liability, and hence the lower courts, in finding that the offers were admissible, committed error. In determining this preliminary question of fact, the intent of the party must be sought. In the Roberts case, supra, our court resorted to the circumstances of the case and read the letter which had been admitted in the light of those circumstances.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Hayes v. North Table Mountain Corp.
608 P.2d 830 (Colorado Court of Appeals, 1979)
Jim Arnott, Inc. v. L & E, INC.
539 P.2d 1333 (Colorado Court of Appeals, 1975)
Denver Ass'n for Retarded Children, Inc. v. School District No. 1
535 P.2d 200 (Supreme Court of Colorado, 1975)
LEO PAYNE PONTIAC, INC. v. Ratliff
486 P.2d 477 (Colorado Court of Appeals, 1971)
HTC CORPORATION v. Olds
486 P.2d 463 (Colorado Court of Appeals, 1971)
Consolidated Oil & Gas, Inc. v. Roberts
425 P.2d 282 (Supreme Court of Colorado, 1967)
Hendrix v. Gold Ridge Mines, Inc.
54 P.2d 254 (Idaho Supreme Court, 1936)
Phœnix Assur. Co., Ltd. of London v. Davis
67 F.2d 824 (Fifth Circuit, 1933)
Chicago, Rock Island & Pacific Railway Co. v. Cline
14 P.2d 495 (Supreme Court of Colorado, 1932)
Barkers Creek Coal Co. v. Alpha-Pocahontas Coal Co.
123 S.E. 803 (West Virginia Supreme Court, 1924)
Empson Packing Co. v. Hopkins
66 Colo. 421 (Supreme Court of Colorado, 1919)
Harvey v. Denver & Rio Grande Railroad
56 Colo. 570 (Supreme Court of Colorado, 1914)
Wells v. Crawford
23 Colo. App. 103 (Colorado Court of Appeals, 1912)

Cite This Page — Counsel Stack

Bluebook (online)
48 Colo. 373, Counsel Stack Legal Research, https://law.counselstack.com/opinion/donley-v-bailey-colo-1910.