Firestone Tire & Rubber Co. v. Webb

182 S.W.2d 941, 207 Ark. 820, 1944 Ark. LEXIS 749
CourtSupreme Court of Arkansas
DecidedOctober 30, 1944
Docket4-7433
StatusPublished
Cited by8 cases

This text of 182 S.W.2d 941 (Firestone Tire & Rubber Co. v. Webb) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Firestone Tire & Rubber Co. v. Webb, 182 S.W.2d 941, 207 Ark. 820, 1944 Ark. LEXIS 749 (Ark. 1944).

Opinion

McFaddin, J.

The appellee, D. C.' Webb, and bis brother, Truett Webb, signed and delivered to appellant a financial statement which read: “For the purpose of obtaining merchandise from Firestone Tire & Rubber Company, on credit, we make the following statement in' Writing, intending that your company should rely thereon respecting our financial condition as of February 15, 1940.”

Then followed in the financial statement details of assets and liabilities showing net worth of $9,550; and the statement then concluded, as follows:

“Firm name, Truett Webb. Date signed, 2/15,1940, by Truett Webb, D. C. Webb.”

The Firestone Tire & Rubber Company immediately commenced shipments as ordered, charging the shipments to “D. C. and Truett Webb.” The account continued until January 21, 1942, at which time appellant claimed a balance due and unpaid of $379:98. Action was filed in the Howard circuit court against Truett Webb and D. C. Webb for this last named amount. Truett Webb was in the United States Army, and, as to him, the case was continued under the Soldiers and Sailors Civil Relief Act (U.S.C.A., Title 50, Apx. § 501 et seq.). D. C. Webb unsuccessfully sought continuance because of the absence of Truett Webb in the military service. Then D. C. Webb filed his answer (1) containing general denial, and (2) admitting his signature on the said financial statement, but claiming that he signed only to show his financial worth for one note of $500, long since paid. Over the objection and exception of appellant, the trial court permitted D. C. Webb to testify in support of his second defense; and this is assigned as error.

The appellant asked its instruction number 3, as follows:

“The defendant, D. C. Webb, in his answer, states that at one time he did sign a note for Truett Webb to the plaintiff as an accommodation endorser, and at the time of signing the said note he did sign a financial statement to enable Truett Webb to purchase the merchandise for which the note was given, but for no other reason. That the said note has been paid, partly in cash and partly by the return of merchandise for which the said note was given. You are instructed that this statement of the answer of the defendant, D. C. Webb, is no defense and should be disregarded.”

The trial court refused to give the instruction as requested, and appellant duly excepted. Then the court, on its own motion, amended the instruction by adding at the end thereof, these words: “provided you find they were partners or joint debtors to plaintiff.” The appellant duly excepted to the giving of the instruction as amended. From a verdict and judgment exempting D. C. Webb from any liability, appellant has appealed.

I. “Firm Name” Is Synonymous With “Partnership” in This Case. It was admitted by D. C. Webb that he and Truett Webb each signed the financial statement. This financial statement read: “Firm name, Truett Webb.” The words “firm name” have in this case — in the absence of any corporate status — the same meaning as “partnership name.” Ballentine’s Law Dictionary, edition of 1930, p. 507, says of “firm name,” “the name adopted by a partnership under which it transacts its business. Such a name may be the name of one or all the members of the firm, or it may be a fictitious name, . . . ”

In 36 C. J. S., 821, of “firm” it is said: “It is said to be a conventional term applicable only to the persons who, on each particular occasion when the name is used, are members of the firm.” In 47 C. J. 647: “The word ‘firm’ is defined as the name, title, or style under which a company transacts business; a partnership of two or more persons; a commercial house. In its common acceptation the term implies a partnership. ’ ’

Webster’s New International Dictionary says of “firm”: “The name, title or style under which a company transacts business; the firm name; hence, a partnership of two or more persons;” and listed as synonyms are: “company, house, partnership.”

Bouvier’s Law Dictionary, Eighth Edition, p. 1232, says: “Firm. The persons composing a partnership, taken collectively. The name or title under which the members of a partnership transact business. The word is used as synonymous with partnership. The words ‘house,’ ‘concern,’ and ‘company’ are also used in the same sense.” See, also, “firm” in 17 Words and Phrases, Perm. Ed., p. 56; and see: In re Klein’s Estate, 35 Mont. 184, 88 Pac. 798; Thomas-Bonner Co. v. Hooven, Owens & Rentschler Co., 284 F. 377; People v. Strauss, 97 Ill. App. 47; Bredhoff v. Lepman, 181 Ill. App. 247.

So we hold that when D. C. Webb signed the statement listing the firm name as “Truett Webb,” then D. C. Webb said in law that D. C. Webb and Truett Webb were partners trading under the firm name of “Truett Webb.”

II. Parol Evidence Cannot Vary the Written Instrument. D. C. Webb testified that he signed the statement for only one note of $500, but that testimony was inadmissible, as seeking to vary or alter the written statement, which said “for the purpose of obtaining merchandise from the Firestone Tire & Rubber Company, on credit, we make the following statement in writing ...” In Outcault Advertising Company v. Bradley, 105 Ark. 50, 150 S. W. 148, the appellee had sought to show, by parol, an agreement different from the writing; and Mr. Justice Kirby, speaking for the court, said:

“Tlie statement of appellee, attempted to be introduced in evidence, related, to a matter that he claimed was discussed before the execution of the contract, and as an inducement thereto, but it was entirely at variance with its terms, as expressed in writing, and no error was committed in excluding it from the jury.

“ ‘Parol contemporaneous evidence is inadmissible to contradict, or vary the terms of a valid written instrument,’ and there is no ambiguity or uncertainty in the written instrument which would permit the introduction of parol testimony in explanation of it.”

In West-Winfree Tobacco Co. v. Waller, 66 Ark. 445, 51 S. W. 320, the appellee had signed an instrument in the nature of a guaranty bond for a salesman, and the appellee sought to show by parol that the length of duration of the guaranty was only thirty days. Denying this evidence Mr. Justice Hughes said:

‘ ‘ There is no ambiguity in the meaning of the note guaranteed by the appellees, and its proper construction was that asked to be placed upon it in the fourth instruction asked for by the plaintiff, which the court refused to give, and in so doing committed error, in our opinion.

“The testimony of Waller and of Couey was incompetent, and the court erred in admitting it. It tended to contradict or vary the terms of an unambiguous written contract. ’ ’ See, also, Ford v. Fix, 112 Ark. 1, 164 S. W. 726; Cherokee Construction Company v. Prairie Creek Coal Mining Company, 102 Ark. 428, 144 S. W. 927; Quartermous v. Kennedy, 29 Ark. 544; Richardson v. Comstock, 21 Ark. 69; Armstrong v. Union Trust Co., 113 Ark. 509, 168 S. W. 1119.

The rule of these cases applies here. The testimony of D. C. Webb sought to limit, and thereby vary, the signed statement, and was therefore inadmissible. So the trial court erred (1) in allowing D. C.

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182 S.W.2d 941, 207 Ark. 820, 1944 Ark. LEXIS 749, Counsel Stack Legal Research, https://law.counselstack.com/opinion/firestone-tire-rubber-co-v-webb-ark-1944.