Fajardo Sugar Co. v. Porrata-Doria

37 P.R. 695
CourtSupreme Court of Puerto Rico
DecidedFebruary 20, 1928
DocketNo. 4268
StatusPublished

This text of 37 P.R. 695 (Fajardo Sugar Co. v. Porrata-Doria) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Fajardo Sugar Co. v. Porrata-Doria, 37 P.R. 695 (prsupreme 1928).

Opinion

Me. Justice Wole

delivered the opinion of the court.

After a change of venue agreed upon the three defendants were enjoined by the District Court of San Juan from delivering certain cane to any other person than the complainant. The theory was that according to a certain contract exhibited to the court the defendants were under an obligation to deliver the said cane exclusively to the complainant. The writing was in form and contents an agreement common to Porto Eico and known as an agricultural contract (contrato de refacción). The complaint set forth that the defendants not only agreed to cultivate and deliver cane to the complainant for the term of four years beginning with the harvest of 1923, but also at the option of the complainant for a term of two years more.

The defendants and appellants maintain that the written contract was so drawn that under it the defendants were not bound to continue to cultivate and deliver cane to the complainant beyond the four years originally agreed upon. They necessarily concede that an additional time of two years was mentioned, but they maintain that the contract was couched in such language as to leave the defendants under no obligation to deliver cane to the appellee after the expiration of four years.

The theory of the complaint is one in specific performance and of course we agree with the appellants that no such performance can be decreed unless the terms of the contract are definite or at least susceptible of being so interpreted.

In the briefs and at the hearing, and in the supposition that the complainant had the right to insist on an extension, the question was raised and discussed of whether the complainant had given notice to the defendants of its intention to renew.

The fifth paragraph of the complaint is as follows:

[697]*697‘ ‘ That the complainant, exercising the right conferred by the contract, has extended it for a term of two years beginning with the crop of 1926, that is, for the crops of 1927 and 1928, and that it has complied with all the obligations imposed by said contract and is willing to comply with them in the future.”

The answer of the defendants to the rule to show cause did not deny paragraph 5 of the complaint and in point of fact set up that the defendants had notified the complainant of their intention not to continue the contract. Strictly speaking, perhaps, paragraph 5 might have been construed to state a conclusion of law, but in the absence of any objection thereto or any exception taken we may construe these words as a sufficient averment that the defendants were duly notified of the intention of the complainant to continue the contract.

In our researches we have found authorities that indicate that in certain cases very slight acts on one side are sufficient to put the other side on notice. At least this is true in many contracts with a right of extension and we have no doubt in this case that the defendants were duly advised of the desire of the complainant to continue. Furthermore, we find nothing in the record that would indicate that the lack of notice was any part of the trial court’s theory or one on which the defendants relied in the court below in answering the rule to show cause. The defendants, assuming that a notice was necessary, would always have the opportunity either in the final hearing, or on motion, to raise the point that they were not duly advised of the intention of the complainant to ask for- an extension.

We come, then, to a discussion of the real merits of the ease. The nearest thing to a definition looking to the continuation of the cultivation and delivery to the complainant is to be found in clause number one setting' forth the agree*ment of the parties. It provides as follows:

"The Mesdames Porrata Doria Yeve, through their general at-[698]*698tomey in fact, Julio Ferrer Torres, appearing herein, bind themselves to plant and cultivate the property described in the second paragraph of the explanatory part of this deed, for a term of not less than four nor more than six years or crops, beginning -with the crop of 1923, at least one hundred acres of sugar cane to be ground annually in the factory of The Fajardo Sugar Company in Fajardo; it being understood that the surplus sugar cane which may be planted or cultivated during any year or crop on the said property shall also be ground in the said factory under the same terms of this general contract.”

The appellants in a prior contract had similarly agreed to cultivate and deliver cane for a period of not less than two and not more than three years. The cultivation and delivery was in point of fact made for three years. As the recital in the agreement indicates that such additional cultivation and delivery was done by mutual consent, the fact of the previous continuation for the extra period of one year throws no light on the present situation. The former acts of the parties in this respect are completely nugatory.

'The appellants have spread before us a number of cases where the courts have interpreted words like “at least,” Roberts v. Wilcock, 8 Watts & S. 464; “not less than three years,” Millman v. Huntingdon, 68 Hun, 258; “not less than,” Huston v. Harrington, 107 Pac. (Wash.) 874; Allers v. Ellis, 87 N. C. 207; “not exceeding,” Campbell v. Jiménez, 7 Misc. (N. Y.) 77; United Press Co. v. New York Co., 164 N. Y. 406; “not more than,” Peacock v. Cummings, 46 Penn. State, 434.

The tendency of these cases and others, when no other light is thrown on the term intended by the parties, is to construe expressions of this kind as either being void for indefiniteness or obliging the party against whom they are invoked only for the minimum term. When parties have fixed a single term it is generally required to be definite. If section one, su,pra, stood alone we might greatly hesitate in ¿firming the order in this case. The appellants therein [699]*699promised to cultivate for a term not to exceed six years, and they did not categorically promise to cultivate for more than four years.

This is a contract where the appellants definitely agree to cultivate and deliver cane for a price and the appellee for the purposes of cultivation and delivery agreed to loan the appellants not more than $20,000 a year. In the 22nd clause of the agreement it is the Fajardo Sugar Company that agrees to let the appellants have $20,000 for four years, hut “in case of use being made of the extension, for two years more.” The 24th, 25th and 26th clauses contain similar provisions with regard to the said extension or renewal, as follows:

“Twenty-fourth. — The sum of twenty thousand dollars of the agricultural contract allowed for each of the harvests or crops of the years 1923 to 1926, both inclusive, and in case use is made of the extension aforesaid, for the crops of 1927 and 1928, with interest, shall be liquidated and paid at the end of the grinding of each harvest or crop; but if at the termination of any harvest, after crediting the value of thé product of the sugar cane, there is a balance in favor of the Fajardo Sugar Co.

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Bluebook (online)
37 P.R. 695, Counsel Stack Legal Research, https://law.counselstack.com/opinion/fajardo-sugar-co-v-porrata-doria-prsupreme-1928.