Haven v. Chicago Sash, D. & B. Co.

96 Ill. App. 92, 1900 Ill. App. LEXIS 210
CourtAppellate Court of Illinois
DecidedJuly 18, 1901
StatusPublished
Cited by10 cases

This text of 96 Ill. App. 92 (Haven v. Chicago Sash, D. & B. Co.) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Haven v. Chicago Sash, D. & B. Co., 96 Ill. App. 92, 1900 Ill. App. LEXIS 210 (Ill. Ct. App. 1901).

Opinion

Mr. Justice Adams

delivered the opinion of the court.

Defendant’s counsel pleaded, and contends here, that there was no consideration for the bond; that the defendant was discharged by reason of the default of plaintiff in not collecting eighty-five per cent of the contract price as the work on the building progressed, and in continuing in the performance of the contract after the default of Stowell & Co. to pay said eighty-five per cent, without notice of such default to the defendant; and that Stowell & Co., pending the performance of the contract, assigned the partnership assets, including the contract in question, and thereby the defendant was discharged.

Section 9 of chapter 98 of the Eevised Statutes provides :

“ In any action upon a note, bond, bill, or other instrument in writing, for the payment of money or property, or the performance of covenants or conditions, if such instrument was made or entered into without a good and valuable consideration * * * it shall be lawful for the defendant to plead such want of consideration * * * and if it shall appear that such instrument was made or entered into without a good or valuable consideration * * * the verdict shall be for the defendant.”

Plaintiff’s counsel contends, but not strenuously, that the section applies only to negotiable instruments, to which contention we think the language of the section a sufficient answer. It applies, in terms, to a bond for the performance of covenants or conditions, and such a bond is nót a negotiable instrument. The bond in suit is a bond for the performance of conditions, and is within the very words of the section. The evidence is, and it was admitted by plaintiff’s counsel on the trial, that no money was paid either to the defendant or to Stowell & Co. for the execution by the defendant of the bond, and that the only thing that was paid or given for its execution was the work and material named in the bond itself.

Plaintiff’s counsel relies solely, as consideration for the bond, on evidence tending to prove that Stowell, about a week before the execution of the contract, agreed with Kuhn, plaintiff’s business manager, that he would procure the defendant, who is his'(S to well’s) sister, to execute a bond, as security for the performance of the contract. Kuhn testified that in the latter part of November, about a week before the contract was executed, the first conversation between him and Stowell & Co. in regard to the mill-work occurred; that Stowell came to him and proposed that his firm should do the work, when witness said he had no objection, provided he got good security; that he would not ship work outside of Chicago without security; when Stow-ell said, “ Mr. Kuhn, you can make out a contract, providing that you get eighty-five per cent on the work when it is in the building, and besides I have to give the government good security from New York; that would protect you also;” and witness said he didn’t know about that surety bond; they might be good, they might not; that he wanted a party with real estate out of Chicago. And he, Stowell, said, “ I have a sister here in Chicago, the widow of Dr. Ilaven, of the South Side, and she is very wealthy; she has plenty of money and real estate; besides, we have some New York real estate to be settled. There is a part of it coming to me also; she could make it all right if she goes security;” and witness said, “ All right, Mr. Stowell, if you can get Mrs. Haven to sign the bond I will furnish you the work.” Daniel Hepp, plaintiff’s bookkeeper, testified that in the latter part of. November, about a week before the execution of the contract, he heard a conversation between Mr. Stow-ell and Mr. Kuhn; that “ Mr. Kuhn wanted somebody with real estate surety in Chicago to guarantee the amount, and Stowell said he had a sister by the name of Mrs. Haven that would sign as soon as she came back to town.” Stowell testified that some days after the contract was made, and after plaintiff had done some of the work under it, Kuhn demanded security; that this was the first the witness heard of plaintiff requiring a bond; that Kuhn said he would rather throw up the work and lose what had already been done, than go on with it without an additional bond, and that witness found out he would not go on, and furnished the bond. Thus, there was a discrepancy between the testimony of Kuhn and Hepp, that a bond was required by the plaintiff about a week before the contract was executed and the testimony of Stowell that there was no such requirement until after “ the contract had been made.” The jury, however, were the judges of the credibility of the witnesses and the evidence was sufficient to sustain a finding by the jury that Stowell, about a week before the execution of the contract, agreed to furnish a bond to secure its performance, with Mrs. Haven as surety.

The date of the contract is December 4, 1896, and, in the absence of evidence to the contrary, the presumption is that it was delivered on the day of its date. Beman, of the firm of Stowell & Co., testified that he drafted the contract at Meridian, Mississippi, about the latter part of Hovember or about the first of December, he thought in November, and sent it to Mr. Stowell in Chicago, and it appears from the evidence that train time between Meridian and Chicago is about twenty-four hours. The contract was signed in Chicago by Stowell in his firm’s name, and by Hepp, plaintiff’s bookkeeper, in plaintiff’s name. It seems from the evidence to have been signed in duplicate, as ITepp testified that Stowell brought the contract to plaintiff’s office, and Stowell testified that when the contract was given to him, he forwarded it to Mr. Beman, at Meridian. Plaintiff produced and put in evidence its copy of the contract. That there was a delivery of the contract by each party to the other, is not questioned. The bond in suit is dated December 14, 1896, and the uncontradicted evidence is that it was executed ■on the day of its date. The question of law arising on these facts is, whether Stowell’s promise to furnish a bond as security for the performance of the contract which he was seeking to obtain for his firm, was a sufficient consideration as- to the defendant, Mrs. Haven, for the bond, executed, as it was, some ten days after the execution of the contract between the plaintiff and Stowell & Go.

Kuhn’s testimony shows concldsively, as we think, that his understanding of Stowell’s agreement was that Stowell & Co. were to give the bond, with-Mrs. Haven as surety, before, or at least concurrently with, the execution of the contract. His testimony is, in substance, that Stowell wanted to figure on the mill-worlr, to which Kuhn said he had no objection if security should be given, and when Mrs. Haven’s name was mentioned, Kuhn said, “ All right, Mr. Stowell, if you get Mrs. Haven to sign the bond I will furnish you the work.” But the bond was not executed before or at the time of the execution of the contract. The work was furnished without any bond.

If the agreement was, as we think, to furnish a bond as a condition precedent to obtaining a contract for the work, then the execution of the contract by plaintiff was a waiver of the condition. It appears from the testimony of Hepp, witness for plaintiff, who signed plaintiff’s name to the contract', that at the time of signing it, nothing was said about security. He testified that the only conversation he heard on that subject was about the latter part of November.

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Cite This Page — Counsel Stack

Bluebook (online)
96 Ill. App. 92, 1900 Ill. App. LEXIS 210, Counsel Stack Legal Research, https://law.counselstack.com/opinion/haven-v-chicago-sash-d-b-co-illappct-1901.