Eppes v. Mississippi, Gainesville, & Tuskaloosa Railroad

35 Ala. 33
CourtSupreme Court of Alabama
DecidedJune 15, 1859
StatusPublished
Cited by8 cases

This text of 35 Ala. 33 (Eppes v. Mississippi, Gainesville, & Tuskaloosa Railroad) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Eppes v. Mississippi, Gainesville, & Tuskaloosa Railroad, 35 Ala. 33 (Ala. 1859).

Opinion

A. J. WALKER, C. J.

The defendant’s contract must be construed as importing a promise to pay two thousand dollars, upon assessment and call, to the capital stock of the plaintiff’, with the privilege of discharging it by taking and executing a contract for the making of the road bed, and preparation of it for the iron, (bridging excepted,) which contract might be taken at public letting, or, if not bid off' at public letting, might be taken at private letting, to such extent as might be necessary to make up the amount, at the engineer’s estimate. The contract also contains a stipulation on the part of the plaintiff, to accommodate subscribers, on whose lands the road might be located,- with work upon their premises, as far as it could consistently with the provisions of the contract. If the plaintiff had preferred a payment in work done upon the road bed, it could not have coerced payment in that manner. The right of election, as to- the mode of payment, pertained to the defendant, not to the plaintiff. The defendant secured to himself, by the terms of his contract, the privilege of electing whether he would pay in money, or by the taking and execution of a contract for the construction of the road. In the event of the defendant’s election to pay in work, he was by the contract entitled to the further privilege of taking a contract by bidding off the same at public letting; aud failing to bid off a contract at public letting, which would discharge the debt, he had the privilege of paying by taking a contract [52]*52at private letting, to do work not otherwise or before let. The privilege of election, as above set forth, was a right of the defendant secured by the contract.

It was impossible to make an election to pay in work, until an opportunity was afforded to him of bidding off a contract at public letting; and if he failed to take a contract at public letting, the performance of which would dischai’ge the debt, until an opportunity was afforded of taking a contract at private letting, to do work not otherwise or before let. The collection of the debt for stock out of the defendant, without affording such opportunity, would practically abrogate the provision of the contract which secures to the defendant the right at his election to pay by taking and executing a contract.

The contract in this case differs from those construed in Lane v. Kirkman, Minor, 411; McRae v. Raser, 9 Porter, 122; Plowman v. Riddle, 7 Ala. 775; and Love v. Simmons, 10 Ala. 113. See, also, 2 Parsons on Con. 163. Under all those contracts, the power of making the election depended upon no act of the promisee, but alone upon the promisor’s volition. Ilerethe election to pay in work could not be made, until the plaintiff so acted as to enable the defendant to make it in the manner provided by the contract. In those cases it was correctly decided, that the promisor should notify the other party of his election. In this case, the defendant might signify his desire to pay in work, before he had an opportunity of taking a contract; but he could not make a binding election, until the opportunity was had. A party is never required to make an election, until full information of every thing calculated to influence the choice was possess, ed. — Beaves and "Wife v. Garrett, at the present term. Such information could not be had, until the letting of contracts occurred. Besides, the defendant’s stipulation is to pay in money, or in work; and there can be no failure to comply with that stipulation on his part, until he has an opportunity to pay in work ; for it would be absurd to say that the defendant had broken his obligation to pay in work, when the plaintiff had not made it possible for him to do so.

[53]*53[2.] While it was incumbent upon the plaintiff to give the opportunity above specified, the defendant cannot, under the contract, claim that he should not pay in money, until he had had an opportunity of selecting a contract from the route of the road in its entire extent. The plaintiff’s duty would be discharged, by offering lettings of work in the manner contemplated by the contract, to such an extent as would enable the defendant to exercise the privileges provided for him. He has not stipulated for the privilege of selecting the place of his contract from the entire route of the road, and "cannot complain that an opportunity of making such election has not been afforded.

[3.] If the plaintiff afforded to the defendant an opportunity to take a contract, by bidding off the same at piublic letting, then the defendant’s privilege of taking a contract at private letting extended only to “ any portion not otherwise or before let.” Whether he would avail himself of that privilege, was a matter for his own determination ; and the plaintiff could be required to do nothing more in reference to it, than to allow a reasonable time to the defendant to make known his determination. If he elected to take a contract at private letting, it was his duty to give uotice of his election. As there was no time specified, within which the election was to be made, the law prescribes that it should be made within a reasonable time ; and in the event of a failure to make it within a reasonable time, the obligation to pay in money would become absolute. — See the authorities above cited; also, Skinner v. Bedell, 32 Ala. 44; Shepherd’s Dig. 497, § 136.

[4.] Unless notice of the assessments and calls is required by the charter of a corporation, it is not indispensable to the right of action upon subscriptions to the capital stock, that such notice should be given. — Pierce on American Railroad Law, 77 ; Br. Bk. v. Gaffney, 9 Ala. 163; Henderson v. Howard, 2 Ala. 342; Evans v. Gordon, 8 Porter, 142 ; Montgomery v. Elliott, 6 Ala. 701.

The propositions which we have thus far maintained, lead us to an approval of the rulings of the court below upon'the defendant’s demurrer, and upon the objection to [54]*54tbe admission in evidence of the written contract, and upon the 6th and 7th charges requested by the defendant.

[5.] The plaintiff acted as a corporation under its amended charter, and the defendant contracted with it when so acting, and contracted with it in. the name which it was authorized by the amended charter to take. That there was a legal acceptance of the amended charter, the defendant, who contracted with the plaintiff when acting under the amendment, and in the name authorized by it, cannot deny. — Tar River Nav. Co. v. Neal, 3 Hawks, 520, opinion of Henderson, J., 537 ; Jones v. Dana, 24 Barb. 399; Dutchess Cot. Man. Co. v. Davis, 14 Johns. 245; All Saints Church v. Lovett, 1 Hall, (N. Y.) 198; John v. F. & M. Bk. of Inch, 2 Blackf. 367 ; Searsburg Turnpike Co. v. Cutler, 6 Verm. 315; Congregational Society v. Perry, 6 N. H. 164; Hamtranck v. P., D. & C. of Edwardsville, 2 Mis. 169 ; 2 Ld. Ray. 1535 ; Mont. R. R. Co. v. Hurst, 9 Ala. 513, Duke v. Cakaba Nav. Co., 10 Ala. 90; Selma & Tenn. River R. R. Co. v. Tipton, 5 Ala. 808.

It is a result of this last proposition, that there was no error in the 1st charge given, nor in the 1st, 2d, 3d, and 4th refusals to charge as requested by the defendant.

[6.] The second charge given asserts, that the letting out of contracts in pursuance to a notice in a newspaper calling for proposals was a public letting within the meaning of the defendant’s contract; and the 9th charge requested seems to have been designed to assert the converse of that proposition.

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Bluebook (online)
35 Ala. 33, Counsel Stack Legal Research, https://law.counselstack.com/opinion/eppes-v-mississippi-gainesville-tuskaloosa-railroad-ala-1859.