Elliott-Greer Office Supply Co. v. Martin

54 S.W.2d 1068
CourtCourt of Appeals of Texas
DecidedOctober 26, 1932
DocketNo. 3837.
StatusPublished
Cited by6 cases

This text of 54 S.W.2d 1068 (Elliott-Greer Office Supply Co. v. Martin) is published on Counsel Stack Legal Research, covering Court of Appeals of Texas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Elliott-Greer Office Supply Co. v. Martin, 54 S.W.2d 1068 (Tex. Ct. App. 1932).

Opinions

Appellee sued appellant for the breach of a contract, alleging, in substance and effect, that he was employed on the 20th day of October, 1930, for one year, to serve defendant as a salesman for office supplies in the Lubbock territory, for which appellant was to pay him an agreed commission and advance him $65 per week to be charged against his commissions.

This contract was in writing and contained the following stipulations:

"The salesman shall receive no commission on sales that are not paid for by the customer.

"The Company shall furnish the sales man an automobile in which to travel; the salesman agrees to pay all expenses on such automobile and keep it in repair, furnish all tires, oil, gasoline, license and other things necessary to travel his territory.

"The salesman agrees to pay all his traveling expenses and to diligently work the territory in an endeavor to secure business.

"The Company agrees to advance the salesman the sum of ($65.00) sixty-five dollars per week to be charged against his commissions.

"The salesman agrees to work diligently and to put forth an honest effort to collect all money due the Company on due dates and to forward it immediately to the Company's office in Amarillo, Texas."

Appellee alleged he worked under this contract for about three months when he was, without just cause, discharged by appellant, and filed suit for $2,700, which amount he claimed he would have earned during the remaining nine months of the life of the contract.

Appellant admits the discharge of appellee and alleges as an excuse for same and in bar of his suit certain facts showing a breach of the contract by him and pleaded in great detail specific acts of dishonesty and disloyalty which it claims justified the action taken. The more important of these facts were that appellee had secured a contract to sell life and fire insurance and did sell same; that he took sums of money out of the cash drawer of the local store at Lubbock; and that he forged a certain order for a typewriter on a gin company at Littlefield. *Page 1070

It is strenuously urged by appellant that its request for a peremptory instruction should have been given, particularly because the evidence shows without contradiction that appellee was using the time of appellant to engage in other lines of business without the knowledge or consent of appellant and that he was disloyal and dishonest.

We think the testimony does uncontradictedly show that appellee did sell and attempt to sell life insurance and some fire insurance, and that by an overwhelming preponderance of the evidence that this occurred during business hours. All of appellant's propositions and its theory is based upon two propositions, the existence and correctness of which must be assumed to reach the conclusion that a peremptory instruction should have been given; viz.: (1) That the contract in question entitled appellant to the entire services and time of its said employee; and (2) that all the acts of appellee pleaded and proven in bar of this suit were without the knowledge and consent of appellant.

If it is mistaken in these two theories, its propositions fail, particularly in view of the findings of the jury hereafter set out, which we think find support in the evidence.

Of the rule in the construction of contracts of this character, it has been stated: "In the absence of an express or implied agreement upon the part of the employee to devote his entire services to the service of the employer, he may employ such time as is not required in the performance of his duty to his employer in such way as he may deem advantageous to himself, provided it is not inconsistent with his contract nor detrimental to his employer's interest or to the value of his services to his employer." 39 C.J. 124.

In the case of Jaffray v. King, 34 Md. 217, the court had before it this identical question, based upon the following contract: "We hereby engage your services as salesman from this date, `till the 30th of June next inclusive, at the rate of $350 per month. Your particular field will be the city of Baltimore, and you are at liberty to solicit all such dealers there as we do not already sell to. All new trade from that city, introduced by you, will go to your credit, and all orders obtained by you, whether from old or new customers, will likewise be credited to you."

In holding this did not constitute a contract for the exclusive services and time of the salesman, the court said: "In the discharge of that duty, he was bound to serve them in good faith, and to the extent of his ability, but if doing this did not require his whole time, he could, without violating his engagement with them, occupy the remainder in any other pursuit he might deem advantageous to himself, provided it was not inconsistent with his contract, not detrimental to their interests, and did not impair the value of his services to them as salesman of their goods in that market. * * * If it had been the intention to engage the entire services and the whole time of the plaintiff, and that he should not engage in any other employment whatever, it would have been very easy to have inserted in the contract a clause to that effect."

For other similar cases see Hermann v. Littlefield, 109 Cal. 430,42 P. 443; Stone v. Bancroft, 139 Cal. 78, 70 P. 1017, 72 P. 717; Hillsboro National Bank v. Hyde, 7 N.D. 400, 75 N.W. 781; Clark v. Kelsey, 41 Neb. 766, 60 N.W. 138; Dayton Lumber Co. v. Stockdale,54 Tex. Civ. App. 611, 118 S.W. 805.

Applying here the principles announced in these decisions we find no difficulty in reaching the conclusion that appellant is in error in its construction of the contract in question, and that, under its terms, the appellee was free to engage in such work as was not inconsistent with his contract of employment nor detrimental to the interest of his employer and which did not impair the value of his services to it as a salesman.

Upon the remaining proposition there is testimony raising an issue that appellant knew of all the acts set out in its pleading done by appellee and that it either expressly or impliedly consented thereto or condoned and ratified each of them. Obviously appellant cannot complain of the employment of appellee in work to which it either expressly or impliedly consented, nor to alleged acts of dishonesty of which it had knowledge and condoned. Some testimony of alleged dishonesty appears in the record pertaining to matters having no relation or connection with the work of appellee under his contract, and which, therefore, could not be made the basis of a peremptory instruction.

The court submitted the following special issues:

"Special Issue No. 1.

"Do you find by a preponderance of the evidence that the plaintiff, Clarence C. Martin, failed to diligently work for the best interest of his employers, see Elliott-Greer Office Supply Company, in compliance with his contract? Answer yes or no.

"If your answer to the above question is in the affirmative, you need not answer any further, but if your answer is in the negative, then please answer Special Issue No. 2.

"Special Issue No. 2.

"What amount of money, if any, do you find from the preponderance of the evidence, that the plaintiff would have earned during the period from the date he was discharged by *Page 1071

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