Hood v. Hampton Plains Exploration Co.

106 F. 408, 1901 U.S. App. LEXIS 4638
CourtU.S. Circuit Court for the District of Nevada
DecidedJanuary 26, 1901
DocketNo. 695
StatusPublished
Cited by12 cases

This text of 106 F. 408 (Hood v. Hampton Plains Exploration Co.) is published on Counsel Stack Legal Research, covering U.S. Circuit Court for the District of Nevada primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Hood v. Hampton Plains Exploration Co., 106 F. 408, 1901 U.S. App. LEXIS 4638 (circtdnv 1901).

Opinion

HAWLEY, District Judge

(orally). The controversy between the parties is as to the actual number of days that plaintiff performed work for which he is entitled to recover, and whether the money, [411]*411over and above the amount plaintiff lias received, is due under the terms of the contract. There is no conflict in the evidence as to the facts. It shows that there was no written contract at the time the plaintiff was employed; but after his employment by the agent of the defendant, at the rate of four dollars per day, there was more or less correspondence between the plaintiff and E. H. M. Hill, the secretary of the defendant, with reference to their understanding- of the agreement. From the evidence in this case, I am of opinion that the terms of the agreement must be determined from the correspondence between the parties. This shows that plaintiff was employed and was to be paid for his services at the rate of four dollars per day; that he was to be paid “at the end of each consecutive fourth week of service” the sum of two dollars per day, and the balance of two dollars per day was to be retained as an earnest for faithful services up to the time defendant might resume operations of its business or dispose of its property, when the whole amount that was retained, as above stated, would become due and payable; that at the time of his employment it' was the general understanding that the defendant would resume operations within a reasonable time, or use reasonable efforts to dispose of its property; that in the absence of ¡my express declarations of the pax-ties to that effect, there being no time specified within which operations should be resumed or property be sold, the law presumes that it was the intention of the parties that the contingencies mentioned should occur within a reasonable time. It certainly was not the intention that the defendant might, if it saw fit, so postpone the time, of its own volition, as to deprive plaintiff of his right to recover. Wolf v. Marsh, 54 Cal. 228, 232. Under the agreement between the parties in this case, the debt was absolute, but the time of its payment indefinite.

In Story, Cent. (5th Ed.) § 4(5, the author said:

“Where no time is fixed within which the condition shall be performed, the rule Is that it must be performed within a reasonable time. Of course, no universal rule can be laid down, as to what constitutes reasonable time, which will apply to all cases. The only rule which can be stated is that any delay in the performance of the condition, which operates as an injury to the other party, will be considered as unreasonable. What is such a delay in any particular case must depend upon its peculiar circumstances.”

See, also, Adams v. Copper Co. (C. C.) 7 Fed. (534, 638; Manufacturing Co. v. Hurd (C. C.) 18 Fed. 674, 675; Curtiss v. City of Waterloo, 38 Iowa, 266, 269; De Wolfe v. French, 51 Me. 420, 422; Button v. Higgins, 5 Colo. App. 167, 170, 38 Pac. 390.

Under the conditions, circumstances, and surroundings of this case, it is evident that four years would exceed the limit of a reasonable time.

In Nunez v. Dautel, 19 Wall. 560, 22 L. Ed. 161, the plaintiff, Dautel, on September 10, 1870, commenced an action against Nunez to recover the amount due on an instrument in writing as follows:

“September 1, 1865.
“Due Joseph Dautel or order, $1,610.66, being balance of principal and interest for four years and six months’ services. This we Will pay as soon as ihe croi) can be sold or the money raised from any other source, payable with interest. I. M. jStunez & Go.”

[412]*412The trial court instructed the jury to find for the plaintiff, and the correctness of this instruction was the only point raised on appeal. The court said:

“No time having been specified within which the crop should he sold or the money raised otherwise, the law annexed as an incident that one or the other should be done within reasonable time, and that the sum admitted to be due should be paid accordingly. Payment was not conditional to the extent of depending wholly and finally upon the alternatives mentioned. The stipulations secured to the defendants a reasonable amount of time within which to procure, in one mode or the other, the means necessary to meet the liability. Upon the occurrence of either of the events named, or the lapse of such time, the debt became due. It could not have been the intention of the parties that if the crop were destroyed, or from any other cause could never be sold, and the defendants could not procure the money from any other source, the 'debt should never be paid. Such a result would be a mockery of justice. Hicks v. Shouse, 17 B. Mon. 487; Ubsdell v. Cunningham, 22 Mo. 124. The question of reasonable time, as the case was presented, was one to be determined by the court. When the suit was instituted, more than five years had elapsed from the date of the instrument. This was much more than a reasonable time for the fulfillment of the undertaking of the defendants, and the plaintiff was entitled to recover.”

In Willi ston v. Perkins, 51 Cal. 554, the defendants built a schooner at Vallejo, and employed laborers to whom they gave certificates for payment of certain days’ work performed by them, “when the three-masted schooner now in course of construction by said association is sold.” The court held that the defendants were entitled to only reasonable time in which to finish and sell the schooner, and, that time having elapsed, the plaintiff could maintain his action. In addition to the authorities heretofore cited, see Noland v. Bull, 24 Or. 479, 484, 83 Pac. 983; Randall v. Johnson, 59 Miss. 317; Crooker v. Holmes, 65 Me. 195, 199; Smithers v. Junker (C. C.) 41 Fed. 101, 7 L. R. A. 264.

The excuse sought to be established by the defendant to defeat the plaintiff’s right of recovery herein, on the ground that he was guilty of a breach of trust, in this: that he had appropriated to his own use, without authority, the sum of over $600, — cannot be maintained. Every dollar that plaintiff collected was faithfully accounted for. The defendant having left the plaintiff in such a position that he found it necessary to apply this money on his salary account, in order to subsist until the financial questions were settled, it cannot be said that this appropriation of the. money constituted such a breach as would justify the defendant in refusing to pay the balance due on the contract.

There is another view of this case, which is supported by the evidence, and based upon well-settled principles of the law, that are elementary in their character, which clearly entitles plaintiff to recover four dollars per day during the time that he remained in defendant’s service under the contract. On October 3, 1899, November 17, 1899, and January 5, 1900, the defendant, through its secretary, notified plaintiff that it was compelled to cancel its agreement with him, and instructed him to turn over the property to its agent, Mr. Truman. By the orders contained in these letters, the plaintiff,was discharged from defendant’s service before it had “resdmed operations or disposed of its property.” By voluntarily discharging the plaintiff [413]*413without any just cause, the defendant made it impossible for Mm to remain continuously (as the agreement contemplated) in the defendant’s service until “it.

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Bluebook (online)
106 F. 408, 1901 U.S. App. LEXIS 4638, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hood-v-hampton-plains-exploration-co-circtdnv-1901.