Fagan v. Wiley

90 P. 910, 49 Or. 480, 1907 Ore. LEXIS 148
CourtOregon Supreme Court
DecidedJuly 2, 1907
StatusPublished
Cited by2 cases

This text of 90 P. 910 (Fagan v. Wiley) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fagan v. Wiley, 90 P. 910, 49 Or. 480, 1907 Ore. LEXIS 148 (Or. 1907).

Opinion

Opinion by

Mr. Justice Moore.

1. This is a suit by Patrick Fagan against W. N. Wiley to reform a promissory note, given by the defendant to the plaintiff August 21, 1904, but by mutual mistake dated 10 years prior thereto, to recover the amount specified in the instrument, and also a reasonable sum as attorney’s fees. The defense relied upon is alleged mental incapacity of the defendant, caused by excessive intoxication, of which condition the plaintiff took advantage by persuading him to purchase lot 6, in block 6, in Bigelow’s Addition to Dalles City, Oregon, for $5,000 and to give a note for $500 as a part of the purchase price; that the sum stipulated to be paid for the land is exorbitant and inequitable as compared with its value, by reason whereof and of the defendant’s plight the note referred to is wholly without consideration and void. The reply put in issue the allegations' of new matter in the answer, and, the cause being tried, a decree was rendered as prayed for in the complaint, from which the defendant appeals.

Considering the defendant’s alleged mental condition at the time the note was given, he testified that on Sunday, August 21, 1904, he visited a saloon at Dalles City at about 11 o’clock in the forenoon, and played cards, taking a drink of whisky probably every half hour until the lights were turned on at night, when he left the building, intending to go home, but that he did not know where he went or what he did, except that he had a faint recollection of having signed some papers; that he could not remember when he reached his residence that night, and the next day he was so ill from the effect of excessive drinking that he remained in bed until 2 o’clock in the afternoon; that two days thereafter he was informed by the plaintiff that he [482]*482had purchased the property mentioned and given a promissory note for $500 in part payment thereof, whereupon he offered to pay any expense that had been incurred in preparing the papers, and demanded their return, claiming that, by reason of his mental incapacity, he was not liable thereon, but the plaintiff refused to comply with his request.

C. P. Johannsen, a saloon keeper, testified that on the Sunday in question, at about 6 o’clock in the evening, Wiley came into his place of business very drunk and staggering. The testimony of this witness is corroborated as to the defendant’s condition, by W. Dalrymple and E. P. Earley, who saw Wiley on the street about the hour last mentioned. T. Hayden and John Crate severally testified that on the evening referred to the defendant was .drunlc. J. Parodi testified that about 8 o’clock that night, as he and one T. A. Wood were standing on a street comer in front of a saloon, the defendant approached them in a drunken condition, and soon thereafter the plaintiff came along, whereupon the conversation turned upon real property; that, at Eagan’s invitation, they entered the saloon, where it was agreed that Wiley would buy the plaintiff’s lot for $5,000. Wood corroborates Parodi’s testimony, except that he states that Eagan was talking with them on the street about the value of certain propertjr, when the defendant arrived and offered $5,000 for the lot mentioned, in answer to Eagan’s inquiry as to what he would give for it, and, in referring to the defendant’s condition at .that time, he testified as follows: “As far as I could understand Mr. Wiley’s conversation, it was perfectly rational and in a business way.” It also appears that about 9 o’clock that night the parties subscribed their names to a contract, which, omitting their signatures and the names of the subscribing witnesses, is as follows:

“The Dalles, Oregon, Aug. 20, 1904
I agree to sell my property, situated on the corner of Third and Federal streets in Dalles City, Oregon, to W. N. Wiley for the agreed price of $5,000.00 (five thousand dollars). Payments to be made as follows: One thousand (1,000.00) in one year; one thousand (1,000.00) in two years, and two thousand [483]*483five hundred in three years. All to be at the rate of six per cent interest after deeds are made out, and Mr. Fagan is to finish the gutter on sidewalk from Fourth St. to Third, and also Mr. Fagan is to collect rent from the premises to the 15th of August, 1904.
I acknowledge the payment this day of five hundred dollars ($500.00) on above contract.”

The promissory note sought to be reformed is the payment referred to in the memorandum quoted. As these papers were prepared and signed on Sunday, they were dated as of the preceding day, except that the note contained in the upper right-hand corner the printed figures “189 — ,” after which the figure 4 was annexed. Crossen, as plaintiff’s witness, having testified that he prepared and reduced to writing the contract as the parties thereto mutually considered and agreed upon the terms, was interrogated as follows:.

“I will ask you to state what was Mr. Wiley’s mental condition at the time he signed this contract and discussed the matter and signed the note ?”
And the witness replied:
“Well, his mind seemed clear.”

The opinion thus expressed is corroborated by several other witnesses. The value of the real property at the time the contract was signed was about $2,500 or $3,000, as estimated by N. Whealdon and W. A. Johnson, respectively, who were competent to determine the worth thereof. The testimony further shows that the defendant owned at that time three lots which joined the premises described in the asnwer, and, when the contract was prepared, he stated that the land which he was buying was worth more to him than to any other person.

2. The use of beverages containing alcohol invarjably causes intoxication, the degree of which does not, like other poisonous substances taken into the human system in a given time, always depend upon the quantity imbibed, hut the race and the age, habits and physical and mental condition of the particular in= dividual thereof are factors which explain and largely account for the measure of inebriety. As there are so many elements [484]*484necessarily to be considered in determining the mental condition resulting from intoxication, which does not affect all persons alike, the degree of exaltation or depression is always a question of fact and never of law, or made to depend upon the quantity of alcohol swallowed in a stated period by a person whose capacity or responsibility is the subject of judicial inquiry: 14 Cyc. 1104. “Where a person,” says a text-writer, “seeks to avoid responsibility for a contract on the ground of intoxication alone, it must appear that the drunkenness was so excessive .that he was utterly deprived of the use of his reason and understanding, and was altogether incapable of knowing the effect of what he was doing. Any degree of intoxication which falls short of this will furnish no ground for release, in the absence of fraud on the part of the other contracting party. Mere ordinary drunkenness will not of itself avoid a deed or contract. The fact that a party is too much intoxicated to transact business safely, or is laboring under excitement from the use of intoxicating liquors, or is even so much under the influence of drink that his reason, memory and judgment are impaired, or he does not clearly understand the business in hand, does not imply such intoxication as will enable him to avoid his contracts”: 17 Am. & Eng. Enc. Law (2 ed.), 401.

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Related

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173 N.W. 308 (Wisconsin Supreme Court, 1919)
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165 P. 221 (Oregon Supreme Court, 1917)

Cite This Page — Counsel Stack

Bluebook (online)
90 P. 910, 49 Or. 480, 1907 Ore. LEXIS 148, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fagan-v-wiley-or-1907.