Finlay v. Stewart

56 Pa. 183, 1867 Pa. LEXIS 256
CourtSupreme Court of Pennsylvania
DecidedNovember 14, 1867
StatusPublished
Cited by17 cases

This text of 56 Pa. 183 (Finlay v. Stewart) is published on Counsel Stack Legal Research, covering Supreme Court of Pennsylvania primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Finlay v. Stewart, 56 Pa. 183, 1867 Pa. LEXIS 256 (Pa. 1867).

Opinion

The opinion of the court was delivered, November 14th 1867, by

Strong, J.

This was an action to recover one-half of several sums of money which the plaintiff alleged he had paid in discharge of joint liabilities of himself and the defendant. It was therefore an attempt to enforce contribution. One branch of the defence consisted in a denial of the alleged joint liability. To support his case, the plaintiff gave in evidence an agreement between D. R. Burford, on the one part, and Stewart, the plaintiff, and Finlay, the defendant, on the other, signed and sealed by all the parties, by which Burford agreed to sell, and Stewart and Finlay agreed to purchase, three tracts of land, containing together about five hundred and fifty acres. By the agreement, Stewart and Finlay covenanted to pay for the land “ one hundred thousand dollars, as follows, to wit, three thousand dollars on the 15th of March 1865, ten thousand dollars on the 1st of May 1865 and the balance on the 1st of June 1865, or else this contract to be null and void.”

On the day appointed, March 15th, Stewart, the plaintiff, made the first payment of $3000, the one-half of which he claimed to recover in this suit. In reference to this, the defendant requested the court to charge the jury that the contract between Burford and Stewart and Finlay imposed no legal obligation upon the vendees to pay the consideration-money set forth therein, or any part thereof, and hence that if Stewart did pay any money on the contract subsequent to its date, in the absence of, or without •the knowledge, consent or request of Finlay, such payment was voluntary, and created no liability on the part of Finlay for contribution. The court refused so to charge, and this is assigned for error. We do not understand the contract as contended by the plaintiff in error. It was not a mere refusal of the land to the vendees, which they might take or not at pleasure. They agreed to purchase, and bound themselves to pay on certain specified days. Certainly, when the payment of the $3000 was made, the contract was not null, and, if not, the vendees were then jointly bound to pay. The concluding clause following the covenant to pay in these words or else this contract to be null and void,” was introduced for the benefit of the vendor, as a stimulant to prompt payment of the agreed price, not as a release of the vendees from their express covenants. It was in effect as if the vendor had said, “ if you do not pay as you have covenanted, you shall have no right under this contract.” The attempt to [190]*190use it now as giving an option to the covenantors to pay any of the sums mentioned, even the first, or not to pay at all, is a perversion of its purpose. And even if there was an option given, it must be held as applying only to the last payment, that fixed for the 1st of June, for the language of the covenant, being that of the covenantors, is to be construed most strongly against them. The instruction asked for in the defendant’s 1st and 2d points was therefore correctly refused.

The 3d point presented by the defendant relates to the purchase of another tract of land, a tract known as Whitman or Sugar Creek. That tract had been sold by Whitman, by articles' of agreement, to S. E. Yeager, for the sum of $25,000, to be paid on the 1st of April 1865, or as soon thereafter as the deed and ■title papers might be perfected, with a stipulation that the contract should be null and void, and no more binding on either party, in case the vendee failed to pay in accordance with its terms. Yeager assigned his interest to Standart and others, and on the 13th of March 1865 Standart assigned his interest to Fin-lay and Stewart for the consideration of $5000. This sum was paid by Stewart, and the time for completing the contract was subsequently extended, as the evidence tended to show, at the instance of Einlay. There was some contrariety in the evidence respecting the question whether Finlay was present and assenting to the arrangement when the assignment was made to him and Stewart. In reference to this state of the proofs, the defendant’s 3d point was proposed as follows: “ That if the jury believe, from the weight of the evidence in this case, that the purchase of the Whitman tract of land, on or near Sugar Creek, was made by the plaintiff in the absence of, and without the assent of, the defendant, though the name of the defendant is inserted in the transfer.of the 13th of March 1865, made by Standart, yet no liability by this fact would fall upon the defendant, and whatever amount the plaintiff then paid would be a voluntary payment only, for any portion of which the defendant is not bound.” It is very obvious that this could not have been unqualifiedly affirmed, in view of the evidence, without error, for if there was previous authority given by Finlay to Stewart to take the assignment on the terms, and as it was taken, or if Stewart’s act was without authority, and was subsequently ratified, it became the act of Finlay, even though he was not present at the transaction, and did not then assent to it. And this is, in substance, what the court said in answer to the point. The jury were told that if Stewart made the purchase, without the concurrence of Fin-lay and for his own use, and not for their joint benefit, Finlay would not be liable. But if the contract was made for their joint benefit, by previous authority from Finlay, or if subsequently [191]*191ratified by him, he would be bound; that although he may not have been present at the making of the contract, still, if made in his name and subsequently agreed to by him, he was bound by it. And it was submitted to the jury to find how the facts were respecting previous authority, or subsequent ratification. While therefore the point was negatived in the words in which it was presented, the plaintiff in error had all the benefit'of i.t to which he was entitled. ■

Another assignment of error is that the court, in denial of the 4th point of the defendant, left to the jury to find whether $2000, paid by the plaintiff for an extension of time on the Whitman contract, was paid with the consent and approbation of the defendant, or whether the payment was subsequently assented to by him.

It is said there was no evidence to warrant such a submission. We think, however, there was very convincing evidence, both of his assent to the payment, and -of his subsequent ratification of it, to be found in the testimony of James M. Bredin, and in the telegrams afterwards transmitted by him.

The other points presented by the defendant were intended to raise the question whether the plaintiff-had not mistaken his remedy in suing in assumpsit, instead of account render.

The court was asked to charge that if the jury believed, from the evidence, that a partnership existed in 1865, between the plaintiff and defendant, in buying and selling lands, there could be no recovery in this action, there having been no evidence of any dissolution, or settlement of the partnership accounts, or balance struck. The point did not inquire what would be the law if the Burford tract and the Whitman tract had been bought in partnership. Yet it is obvious those purchases may hav^ been joint and not partnership transactions, though a partnership in regard to other lands may have existed. This, however, was not noticed by the court directly.

The point was answered substantially thus: The proper remedy to settle partnership accounts of an ordinary character, is by an action of account render, or by bill in chancery.

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Cite This Page — Counsel Stack

Bluebook (online)
56 Pa. 183, 1867 Pa. LEXIS 256, Counsel Stack Legal Research, https://law.counselstack.com/opinion/finlay-v-stewart-pa-1867.