Gehl Bros. Manufacturing Co. v. Hammond-Olsen Lumber Co.

199 N.W. 147, 184 Wis. 221, 1924 Wisc. LEXIS 266
CourtWisconsin Supreme Court
DecidedJune 3, 1924
StatusPublished
Cited by1 cases

This text of 199 N.W. 147 (Gehl Bros. Manufacturing Co. v. Hammond-Olsen Lumber Co.) is published on Counsel Stack Legal Research, covering Wisconsin Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gehl Bros. Manufacturing Co. v. Hammond-Olsen Lumber Co., 199 N.W. 147, 184 Wis. 221, 1924 Wisc. LEXIS 266 (Wis. 1924).

Opinion

Jones, J.

This is an action to recover the value of two silos alleged to have been converted by defendant.

In July, 1920, the Gehl Brothers Manufacturing Com[222]*222pany sold ten silos To. the Consumers Store for the price of $2,679.60, payment being made by $679.60 in cash and a note for $2,000 due April 1, 1921. The bill of sale provided that title to the goods should remain in Gehl Brothers, and that that company should have the right to reclaim the goods- for the balance of the purchase price. The staves, doors, etc., of which the silos were to be constructed were kept by the Consumers Store in a building separate from their store building. Material for silos of four, different sizes was included.

On August 1, 1921, a representative of the defendant Hammond-Olsen Lumber Company called at the Consumers Store and negotiations were entered into for the purchase of two of the silos, each of a different size. An approximate price was agreed upon, but no writing was signed by either party, none of the material was moved, and no part of the price was paid.

On August 4, 1921, an agreement was entered into between Gehl Brothers and the Consumers Store which recited in part that the sale of the silos had been conditional; that the title remained in Gehl Brothers; that the Consumers Store had not paid the note for $2,000, but had given another in place of it; and it was stipulated that the Consumers Store should assign and transfer to Gehl Brothers the ten silos, with the provision that the Consumers Store might within sixty days secure title to them by the payment to Gehl Brothers of the $2,000 note and interest.

It was further agreed that the Consumers Store should store the silos at its own expense; should keep them insured; and should, in case the $2,000 was not paid within sixty days, lose all right, title, and interest in them. A provision was made whereby the Consumers Store could sell all or any of the silos upon compliance with certain terms. This agreement was registered in the office of the city clerk on August 6th,

[223]*223On August 9th the defendant Hammond-Olsen Company removed one of the silos from the warehouse with the permission of the manager of the Consumers Store. On December 6th another was removed by the Hammond-Olsen Company. Shortly after the removal of the second, the Hammond-Olsen Company paid the Consumers Store for the two silos, payment being made by giving credit on a note held'by the Hammond-Olsen Company against the Consumers Store.

The trial court found as conclusions of law that the transaction of August 1st did not amount to a sale within the meaning of sec. 2308 or sec. 1684i — 4, Stats. 1921, and gave judgment in favor of plaintiff for the value of the two silos.

Sec. 2308, Stats. 1921, provides:

“Every contract for the sale of any goods, chattels or things in action for the price of $50 or more shall be void unless:
“(1) Á note or memorandum of such contract be made in writing and be subscribed by the parties to be charged therewith; or
“(2) Unless the buyer shall accept and receive part of such goods or the evidences or some of them of such things in action; or
“(3) Unless the buyer shall, at the time, pay some part of the purchase money.”

Sec. 1684i — 4, Stats. 1921, provides:

“1. A contract to sell or a sale of any goods or choses in action of the value of fifty dollars or upwards shall not be enforceable by action unless the buyer shall accept part of the goods or choses in action so contracted to be sold or sold, and actually receive the same, or give something in earnest to bind the contract, or in part payment, or unless some note or memorandum in writing of the contract or sale be signed by the party to be charged or his agent in that behalf.
“2. The provisions of this section apply to every such [224]*224contract or sale, notwithstanding that the goods may be intended to be delivered at some future time or may not at the time of such contract or sale be actually made. ...”
“3. There is an acceptance of goods within the meaning, of this section when the buyer, either before or after, delivery of the goods, expresses by words or conduct his assent to becoming the owner of those specific goods.”

By the agreement of August 4, 1921, the Consumers Store assigned and transferred to plaintiff all its right and title to the silos and agreed to warrant and defend the title thereto. This agreement was duly registered two days later. There is no question but that it was for full consideration.

It is true that by' the agreement the Consumers Store was given the right to sell the silos within a limited time, but it was agreed that such sales should be made on order blanks to be furnished by plaintiff and that the orders were to be accepted by, and settlements were to be made with, and payments in full made to, plaintiff before any delivery should be made to purchasers. None of these conditions were complied with, in respect to. the attempted sale to defendant. By this agreement, properly recorded, plaintiff acquired perfect title to the goods unless the transaction between the Consumers Store and defendant gave a superior title.

In the oral agreement for a sale on August 1st between the Consumers Store and defendant, no writing or memorandum was made or signed by either party. No delivery of any part of the goods was then made. No payment of any kind was then made. The price was not then determined or agreed upon, since it was understood that a discount from the agreed price was to be allowed, but the amount of this discount was not agreed upon until December 6th, about four months later.

It seems to be conceded in the very able brief of defendant’s counsel that, if sec. 2308 is to govern, the oral agreement of August 1st was void as between the parties to it. [225]*225But it is argued that sec. 2308 was repealed by the Uniform Sales Act — sec. 1684i — 4, Stats. 1921. There are undoubtedly differences between the two statutes which it is not necessary here to enumerate. The old section has been continued in our statutes, and since the enactment of the Uniform Sales Act has been repeatedly referred to in the decisions of this court. In Friedman v. Plous, 158 Wis. 435, at p. 437 (149 N. W. 218), it was said: “We have at present in this state two statutes of fraud relative to the sale of goods or chattels of more than $50 in valuebut' it was found unnecessary to decide under the facts whether the later statute on this subject repealed the other, which had long been in force. We have reached the same conclusion in this case.

Under both statutes, where there is no memorandum in writing and no part payment the oral agreement of sale is invalid unless the buyer accepts and receives some part of the goods. In discussing the two statutes it was said in the opinion of Mr. Justice Timlin in the Friedman Case, supra (p. 438):

“Acceptance and receipt includes a delivery by the vendor. There could be no receipt and acceptance on the part of the vendee unless the vendor delivered the goods.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Mellen Produce Co. v. Fink
273 N.W. 538 (Wisconsin Supreme Court, 1937)

Cite This Page — Counsel Stack

Bluebook (online)
199 N.W. 147, 184 Wis. 221, 1924 Wisc. LEXIS 266, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gehl-bros-manufacturing-co-v-hammond-olsen-lumber-co-wis-1924.