Ford v. Gibson

59 S.E.2d 867, 191 Va. 96, 1950 Va. LEXIS 202
CourtSupreme Court of Virginia
DecidedJune 19, 1950
DocketRecord 3660
StatusPublished
Cited by11 cases

This text of 59 S.E.2d 867 (Ford v. Gibson) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ford v. Gibson, 59 S.E.2d 867, 191 Va. 96, 1950 Va. LEXIS 202 (Va. 1950).

Opinion

Buchanan, J.,

delivered the opinion of the court.

Kiah T. Ford and V. Howard Ford, real estate brokers trading as Kiah T. Ford and Company, brought this action against W. T. Gibson, claiming $2,750 commissions on the sale of Gibson’s farm, in Bedford county, to J. E. Hilton. The sale was made direct by Gibson to Hilton but the plaintiffs claim they were the procuring cause of the sale and entitled to commissions under a verbal contract with Gibson. A jury found that the plaintiffs were not entitled to commissions and a judgment for defendant was entered* to which this writ of error was granted the plaintiffs.

In November, 1945, Kiah T. Ford came to see Gibson at his farm and procured from him a letter dated November 6, 1945, giving the plaintiffs “the exclusive sale of my farm,” *100 for a period of twelve months, at the price of $30,000 cash, including certain personal property, and providing for a commission of ten per cent to the plaintiffs for selling the property.

J. E. Hilton, who lived in Tennessee, wanted to sell his farm there and buy one in Virginia. In July, 1946, he called at the office of plaintiffs, in Lynchburg, having seen their advertisements of farms ' for sale. Howard Ford showed him two farms, one of which was the farm owned by Gibson. They did not see Gibson on that visit, and spent thirty minutes, or less, looking over the place. Hilton was not interested in buying it at $30,000, and after looking at some other places he went back to Tennessee.

At or about November 6, 1946, when the exclusive listing agreement was to terminate, and no sale had been made, plaintiffs made several efforts to have Gibson execute another exclusive selling contract, but he refused to do so. Plaintiffs claim, however, that they then had a verbal understanding with Gibson that they might continue to try to sell the property. They do not claim that this understanding was for an exclusive right, or for any definite time or for any definite price. Kiah T. Ford testified that “the only thing we had was the right to show it with the assurance he would pay us;” that it was not an exclusive right and he presumed Gibson had the right to sell it himself. Howard Ford testified that Gibson stated that “we could continue to show the property and offer it for sale and he would pay us our commission.” Plaintiffs claimed that during the period of the “verbal listing” they showed the property on a number of occasions to others than Hilton, but they could not give the dates or the names of the parties.

In the latter part of 1946 or early in 1947, plaintiffs showed the property to Roy Murray in an effort to sell it to him, but no sale was made. Murray, who was an associate of one Crumpecker, later made an arrangement with plaintiffs, which Gibson denied having any knowledge of, for a division of commissions, and pursuant thereto Murray and *101 Crumpecker took clients out on several occasions to look at the farm, but they made no sale.

In June, 1947, Hilton disposed of his farm in Tennessee. Thereafter he looked at other farms there and then he and his stepson, Kemery, came back to Virginia looking for a farm. On Sunday, July 6, 1947, they stopped at the Gibson farm and found Gibson milking. Hilton told Gibson he was looking for a farm, but did not tell him who he was and he was not there longer than fifteen minutes. He went on to Lynchburg, called at plaintiffs’ office next morning, and one of them showed him two or three places that day, but did not show him the Gibson farm, and according to Hilton and Kemery he did not offer to take them there and did not mention that farm to Hilton. One of the farms shown to Hilton was called Scotland. Hilton told Ford he would go home and see his family and if it suited them they could probably trade for Scotland.

July 8, 1947, Tuesday, Hilton and Kemery looked at farms in the Richmond area and that night came back to the Gibson place. Gibson then made Hilton a price of $26,000 for the farm and personal property. Hilton asked whether the property was still in the real estate agents’ hands and Gibson said it was not. Hilton went back home, called plaintiffs and told them he did not want the Scotland farm. On July 10 he came back, closed the deal with Gibson and a deed was made on July 11.

Plaintiffs claim they were the procuring, cause of that sale. At their instance the court instructed the jury that if they interested Hilton in the purchase of the farm during the life of the exclusive contract, and that after that contract expired Gibson either verbally gave the plaintiffs the right to sell as general agents, or they continued their efforts to do so with the knowledge and consent of Gibson, and that the sale to Hilton was consummated or in process of being consummated before plaintiffs’ authority was withdrawn by Gibson, then plaintiffs were entitled to recover. *102 On the issue so made, the jury found against the plaintiffs, as stated, and their verdict settles the conflicts in the evidence in defendant’s favor.

A broker’s right to commissions must, of course, be based on a valid contract, express or implied. Wilson v. Schmidt & Wilson, Inc., 184 Va. 642, 655, 35 S. E. (2d) 737, 742; 8 Am. Jur., Brokers, sec. 158, p. 1077.

In their evidence plaintiffs asserted that they had an express verbal contract with Gibson as described above. Gibson testified flatly that he did not enter into any kind of contract with the plaintiffs after their written contract expired. After the jury’s verdict for the defendant, it must be taken as established that there was no such verbal understanding.

Plaintiffs claim here, however, that the verdict should not stand for the reason that they procured the purchaser for the property with knowledge and acceptance of their services by the owner before there was any effective termination by him of their right to make the sale. The record does not, in our opinion, sustain that contention.

In order to establish an implied contract, the plaintiffs must show that they performed services which were the procuring cause of the sale, and under such circumstances as to give the owner reason to believe they were performed with the expectation of compensation, not done gratuitously or for some other person; that is, there must be evidence enough to show that the owner accepted them as his agents. 8 Am. Jur., Brokers, sec. 159, p. 1078. Gibson denied any intention to continue them as his agents after the written contract expired, evidenced, he claimed, by his refusal to sign another contract. His explanation was that when they came to his place he did not feel like running them off, “so I just let them alone and didn’t; bother them.”

As said in Smith-Gordon Co. v. Snellings, 130 Va. 528, 530, 107 S. E. 651, 652, the argument of plaintiff’s attorney, while forceful if addressed to the jury, “cannot be effective here because based upon certain conflicts in the testimony *103 and upon inferences adverse to the defendant, drawn from statements which he considers evasive, and from which he concludes that there was a fraudulent conspiracy to deprive his client of commissions justly due.”

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Bluebook (online)
59 S.E.2d 867, 191 Va. 96, 1950 Va. LEXIS 202, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ford-v-gibson-va-1950.