Fairbanks, Morse & Co. v. Twin City Supply Co.

170 N.C. 315
Supreme Court of North Carolina·Decided November 24, 1915·Published·Cited by 10 cases

Opinion

Walker, J.,

after stating tbe case; As the presiding judge gave a peremptory instruction in favor of tbe plaintiff, bolding tbat in no view of tbe case could tbe defendant sustain its counterclaim, and excluding tbe evidence from tbe consideration of tbe jury, we need only consider tbe validity of this ruling, and not discuss the question of damages. In tbe view we take of this ease it does not involve tbe question of the authority of an agent to alter tbe terms of a written contract made by bis principal, although it was made through bis agency, whether forbidden by its express terms to do so or not (Medicine Co. v. Mizzell, 148 N. C., 387; Piano Co. v. Strickland, 163 N. C., 250, and eases therein cited), nor the other question, whether where tbe parties reduce their contract to writing parol evidence can be received to contradict, add to, modify or explain it, in tbe absence of fraud, mistake or other equitable element. Tbe general rules excluding such evidence, which are relied on principally by plaintiff, are fully conceded, but tbey do not apply here, as defendant admits tbat it is bound by tbe terms of tbe contract and can not recover for any loss it may have sustained [320] which is provided against in the contract, or forbidden by its terms. This contract is somewhat like the one this Court considered in Allen v. Tompkins, 136 N. C., 208, where it was held that if the buyer of the machinery failed to make any- request for new pieces of machinery to take the place of those which had proved to be defective, he could not recover damages, as the contract required that he do so, and that there should be no recovery if the seller complied with this stipulation of the contract and furnished the new pieces, but that if application was made for the new pieces, and the seller failed to comply with the request, and to the extent he failed in that duty, he would be liable for the resultant damages. The Court, in that case, remarking that the ordinary rule of damages did not apply, “for the reason that in section 13 of the specifica-' t.ion sheet, which forms a part of the contract between the parties, a specific and particular method of remedying original defects in the machinery is agreed upon, said: “The language of that section of the contract is as follows: ‘We guarantee all machinery and equipment to be first-class in material and workmanship, and to work well for the purposes intended, if properly used. In case of original defects in any machine or part of machine, we agree to make good the defect by supplying a new machine or new part.’ . . . The plaintiffs, before using the machinery and making payment, could have demanded a refitting of the machinery by the furnishing of new crusher rollers and a new separator to be in good order and capable of doing the work required of them, and, if those pieces had been furnished of such character, the defendant’s liability would have been at an end. That was the contract between the parties. No breach of the contract, by which damage in money could be recovered, was in contemplation of the parties. Such an idea was excluded by the terms of the agreement. The plaintiff’s remedy was for new pieces of machinery. If the defendant, upon demand for new pieces of machinery, refused to furnish them, then, of course, the ordinary rule would apply, and the plaintiff would have been entitled to collect such damages as reasonably flowed from a breach of the contract.”

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Fairbanks, Morse & Co. v. Twin City Supply Co., 170 N.C. 315 (N.C. 1915).

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