Hicks v. National Surety Co.

172 S.W. 489, 185 Mo. App. 500, 1914 Mo. App. LEXIS 736
CourtMissouri Court of Appeals
DecidedDecember 7, 1914
StatusPublished
Cited by3 cases

This text of 172 S.W. 489 (Hicks v. National Surety Co.) is published on Counsel Stack Legal Research, covering Missouri Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hicks v. National Surety Co., 172 S.W. 489, 185 Mo. App. 500, 1914 Mo. App. LEXIS 736 (Mo. Ct. App. 1914).

Opinion

ELLISON, P. J.

This is an action for damages in which plaintiff recovered in the trial court the sum of seven hundred dollars.

The United States Government, in the year 1910, desired to let a contract for carrying the mail to and from the post office and to and from the railway trains at Chillicothe, Missouri. To that end it advertised for bids which were to be made and filed in the office of the Post-Master General at Washington by 4:30 p. m. of [503]*503December 6, 1910. The service was to be for four years, beginning July 1, 1911, and ending June 30, 1915. Bids were to be accompanied by an application and a bond with surety. Defendant was a surety company acceptable to the department. On November 28, 1910, plaintiff made out his bid in the sum of $1485 per year and his application to defendant to become his surety and signed a bond furnished by defendant and delivered these papers by mail to defendant’s agent at Kansas City, Missouri with $10 advance on premium. The latter delivered them by mail, to defendant at Washington and it refused to sign the bond in time to have notified plaintiff at Chillicothe for him to have gotten other surety and filed his bid and bond before bids were closed at Washington. Plaintiff’s bid was the lowest and the evidence tended to show that if he had gotten it filed in time he would have secured the contract. Thus failing to get the contract, he brought this action in damages for loss of net profits.

This is the second appeal; the first is reported in 169 Mo. App. 479, where a full history of the case will be found. On the first appeal we held, in an opinion by Judge Trimble, that there was no evidence of an express contract to sign the bond, or if rejected, to notify plaintiff. We further held that defendant, having received plaintiff’s application for a bond and ten dollars of his money, with full knowledge of the date for closing the reception of bids, there was an implied contract on its part, if it refused, to sign, to notify plaintiff of its refusal, if it could reasonably do so, in time for him to get other sureties and file with the department before bids were closed.

In finding that defendant could have notified plaintiff in time for him to have secured other surety and filed his bid, we concede that we are requiring promptness of action by the parties concerned; but since we think the evidence tends to show it could reasonably [504]*504have been, done we feel justified, in the circumstances, in saying that there should have been promptness on defendant’s part; and on account of personal interest, to say nothing of the tendency of the evidence in that line, in assuming that plaintiff would have been quick to. serve that interest.

This conclusion brings us to the consideration of the measure of damages. The. action was brought the 18th day of August, 1911 and was tried, the last time, the 8th of October, 1913. As already stated, plaintiff’s contract of service began the 1st of July, 1911, and would have ended the 30th of June, 1915, from which it appears that he begun the action near four years before the service was to terminate and the case was tried near two years before that time.

The contract expressly required plaintiff’s personal service, and it therefore seems to us that, by analogy, the measure of damage is the same as where a servant employed for a definite time is wrongfully discharged before the time expires. In the latter case, where the action is also brought before the time expires, and the contract treated as continuing, the amount agreed to be paid for the full period is primafacie, the damage suffered; but it may be reduced by the sum afterwards earned by plaintiff before trial and which he can reasonably earn after trial up to the date of the end of the employment. There is great difference of opinion among the courts which have considered the question, but the rule just stated has been laid down by the Supreme Court of this State (Ream v. Watkins, 27 Mo. 518; Lambert v. Hartshorne, 65 Mo. 549; Boland v. Glendale Quarry Co., 127 Mo. 520, followed by the Courts of Appeals in Halsey v. Memrath, 54 Mo. App. 341 and Miller v. Boot & Shoe Co., 26 Mo. App. 61) and it is supported by a great number of authorities in other jurisdictions, of the highest standing. The most recent discussion of the subject was by this court in Ross v. Grand Pants Co., [505]*505170 Mo. App. 291. The objection to this rule (as pointed ont in those cases contra) is its uncertainty, since it cannot be known but that the servant who sues immediately on his discharge, may die the next' day after he obtains damages for the full term of service; nor can it be known, in case he lived to the end of the service, how much he would have earned at other work; may be as much, or more, than he would have received under his contract. But this objection has been met by the suggestion that difficulty of proof, or estimate of loss,-ought not to affect the right; and that the same difficulty of exactness — the same partial lapse into conjecture, is found in many actions, notably future loss in personal injury. On this subject the Supreme Judicial Court of Massachusetts, said: “The plaintiff’s cause of action accrued when he was wrongfully discharged. His suit is not for wages, but for damages for the breach of his contract by the defendant. For this breach he can have but one action. In estimating his damages the jury have the right to consider the wag’es which he would have earned under the contract, the probability whether his life and that of the defendant would continue to the end of the contract period, whether the plaintiff’s working ability would continue, and any other uncertainties growing out of the terms of the contract, as well as the likelihood that the plaintiff would be able to earn money in other work during the time. But it is not the law that damages which may be larger or smaller because of such uncertainties are npt recoverable.” [Cutter v. Gillette, 163 Mass. 95.] The Supreme Court of New Jersey expressed itself thus: “The trial judge properly instructed the jury as to the legal principles which should govern them in making up their verdict by directing them that they should first consider the amount the plaintiff would have earned if he had remained in the defendant’s employ for the full term of the contract; that they should then take into consideration the fact [506]*506that after- his discharge his time became his own, and that it was his duty to utilize that time in endeavoring to obtain employment elsewhere; that they should further consider what the reasonable prospect of his getting such employment was, in view of his age and state of health,- and deduct from the total amount payable under the contract such sum as in their judgment the plaintiff might reasonably earn up to the expiration of the time for which the contract was yet to run.” [Moore v. Central Foundry Co., 68 N. J. Law, 14.] The Supreme Court of Indiana said that, “The suit may be brought at any time after the breach, either before the expiration of the term of the contract, or after-wards, within the statutory limit. But whether brought before or after the expiration of the term of the contract the measure of the damages is the same. If brought during the term, the difficulty in ascertaining the amount pf the damages sustained may be greater than if the action had been deferred until the term of the contract had expired. But the difficulty and uncertainty in such cases are not greater than in many others, where a permanent and continuing injury is alleged, and the plaintiff is confined to a single action for his damages.” [Hamilton v. Love, 152 Ind. 641.]

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Bluebook (online)
172 S.W. 489, 185 Mo. App. 500, 1914 Mo. App. LEXIS 736, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hicks-v-national-surety-co-moctapp-1914.