Hudson v. Archer

55 N.W. 1099, 4 S.D. 128, 1893 S.D. LEXIS 56
South Dakota Supreme Court·Decided July 29, 1893·Published·Cited by 14 cases

Opinion

Corson, J.

This appeal is from an order sustaining a demurrer to the complaint. The material parts of the complaint are as follows: £ ‘(1) The plaintiffs above named, as trustees for the following named persons, to-wit: * * * complaining of the above named defendants, allege: (2) That on the 18th day of June, 1887, the defendants made and executed an agreement in writing with the plaintiffs, whereby they, the said defendants, agreed to erect at Yankton, Dakota, an oil mill of dimensions not less than the following; * * * That they, the ' defendants, would operate said mill, and maintain thérein at least the amount of machinery above mentioned for the period of five years from said date, provided that said defendants shall not be held to operate said mill during any time when, for causes not under their control, said mill cannot be operated without loss to them, they using at the time due economy and all proper skill. And the said defendants further agree that they would not during said period of five years sell or transfer said mill, or machinery .therein, unless the parties receiving such transfer or popyeyancgs bound themselves to the satisfac[131] tion of the plaintiffs to observed and fulfill the terms of said agreement. (3) That the plaintiffs, in consideration of the defendants doing, keeping, and performing the above stipulations on their part, promised and agreed that they would pay or cause to be paid to the said defendants the sum of $1,500, as follows: $500 on the arrival at said Yankton of the machinery above named, and $1,000 when the said mill was completed according to the terms of said agreement, and the machinery set up therein, and the mill made fully ready to be put in operation for the manufacture of linseed oil. That the said plaintiffs performed all the conditions of said agreement on their part, and paid to said defendants the sum of $1,500, and that the consideration of the payment of said sum was the faithful performance of said contract by the defendants on their part. (4) That the plaintiffs further allege that the persons above named paid the full sum of $1,500, and paid the same to said defendants, through the plaintiffs as their trustees; and that said agreement was made for and on behalf of said trustees, who were the plaintiffs herein, and for and on behalf of the aforesaid persons, for whose benefit this action is brought, and that the sums so paid and contributed by each of said persons were received by said defendants as the consideration for the full performance upon their part of all of the terms and consideration of said agreement to be kept and performed by said defendants. (5) That the plaintiffs further allege that the defendants failed to comply with the terms of said contract on their part, and committed breaches thereof in the following particulars: The said defendants on or about the 7th day of June, 1889, sold and transferred said mill, machinery and'business to the Yankton Linseed Oil Company without the consent or satisfaction of said plaintiffs, and without any agreement on the part of said company to observe or fulfill the terms of said contract between the plaintiffs and the defendants; and that thereafter, on the 1st day of October, 1889, in violation of the terms of said contract, the oil mill and machinery ceased to be [132] operated or maintained, and the said business has not been conducted by said defendants, or otherwise, since that date. (6) That the plaintiffs further allege that during the greater part of the time from the 18th day of June, 1887, to the first day of October, 1880, the said oil mill was not operated at all, and that at the date last mentioned the operation of said mill was, and ever since has been, entirely abandoned as aforesaid and the said defendants and said Yankton Linseed Oil Company have, in violation of the terms of said contract, never intended since that date to operate said mill, and do not now intend to operate, manage, or continue the same. That by reason of the premises the consideration for the payment of said sum of $1,500 has failed, and the plaintiffs are entitled to'recover the same of the defendants, with interest from the date last mentioned. That no part of said sum has been paid. Wherefore the plaintiffs demand judgment against the defendants for the sum of $1,500, with interest thereon from the commencement of this action, and for such other and further relief as shall be just and proper, and for costs and disbursements herein.” To this complaint the respondents interposed a demurrer on the following grounds: (1) That there is a defect of parties plaintiff; (2) that the plaintiffs have no legal capacity to sue; and (3) that the complaint does not state facts sufficient to constitute a cause of action.

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Hudson v. Archer, 55 N.W. 1099, 4 S.D. 128, 1893 S.D. LEXIS 56 (S.D. 1893).

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