J. I. Case Threshing Machine Co. v. Loomis

153 N.W. 479, 31 N.D. 27, 1915 N.D. LEXIS 177
CourtNorth Dakota Supreme Court
DecidedJune 4, 1915
StatusPublished
Cited by3 cases

This text of 153 N.W. 479 (J. I. Case Threshing Machine Co. v. Loomis) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
J. I. Case Threshing Machine Co. v. Loomis, 153 N.W. 479, 31 N.D. 27, 1915 N.D. LEXIS 177 (N.D. 1915).

Opinions

Bruce, J.

(after stating the facts as above). The question before this court is whether the defendant was entitled to a commission of 10 per cent on the sale of the threshing machine in question, and by the terms of his contract of agency. Plaintiff and appellant contends that he is not, as the machine was not sold for cash, but an old threshing machine was taken in part payment thereof, and the contract of agency expressly provides that “no commission shall be paid . . . upon goods sold or exchanged for other goods on account of alleged defects; nor upon sales made where other goods or property is taken in trade or as part payment, unless at the option of the company said dealer accepts such goods or property as his commission, and promises in writing to pay the company at the time of the delivery and settlement the amount necessary to make up the net price of the new goods; nor upon any sale not recommended by the dealer in writing upon the company’s 1910 order blanks; nor upon any goods sold to purchasers [30]*30wbo seek to purchase at the company’s factory, transfer agency, or branch house, unless accompanied by the dealer.”

Defendant, on the other hand, claims that such provision, even if applicable to the sale before us, is void as against public policy; and that, seeing that the company’s officers completed the sale, the defendant should not be deprived of his commission because they saw fit to take a secondhand engine in part payment. If the evidence had shown in this case, as it does not, that the defendant had furnished a buyer' who at the time he was presented to the company was ready and willing-to make a cash purchase or the equivalent thereof, but was afterwards permitted by the company to modify such officer or agreement to the extent of turning in a secondhand machine as part of the purchase price, we would have been confronted with a very different proposition than that which is now before us.

Defendant, however, clearly relies and sues upon his contract of agency and for the 10 per cent commission which is allowed thereby,, and there is no proof whatever in the record that the purchaser ever at any time agreed with anyone for a cash purchase or for the equivalent, thereof; and there is therefore no showing that the defendant was ever at any time, under such contract, entitled to the 10 per cent commission which he sues for.

This contract was a “dealers” contract. It granted to the dealer and “in consideration of the premises” permission “to take orders for its (plaintiff’s) machinery, extras, supplies, and repairs.” It nowhere, except in the provision hereinbefore referred to, makes any mention of deals for anything but cash or properly secured notes. It expressly provides that machinery shall be delivered “only for cash, or to responsible purchasers who give ample security for all time payments with interest thereon;” that written orders shall be taken for all machinery, “whether for cash or notes, upon the company’s 1910 order blanks.” It speaks only of orders, and not of sales, as far as machinery is concerned, and these orders are to be sent to the company for acceptance. It provides for a commission of 10 per cent on orders for threshing-machines which are accepted; but it further contains the provision that “no commission shall he allowed for sales made where oilier goods or properly is talcen in as pari payment unless at the option of the company said dealer accepts such goods or property as his commission and [31]*31promises in writing to pay the company at the time of delivery and settlement the amount necessary to make up the net price of the new goods; nor upon any sale not recommended by the dealer in writing upon the company’s 1910 order blanks.” Counsel for respondent is not correct in his assumption that the contract provides for a 10 per cent commission unless an option to take the secondhand machinery is given to the agent. It positively states that no such commission shall be allowed unless the option is both given and accepted. It is therefore quite clear that the proof which was .adduced did not justify a recovery upon the cause of action which was sued upon, that is to say,, under the written contract of agency. Lowe v. Jensen, 22 N. D. 148, 132 N. W. 661; Yancey v. Boyce, 28 N. D. 187, 148 N. W. 539; Egan v. Burnight, — S. D. —, 149 N. W. 176; Huber Mfg. Co. v. Seabold, 14 Ind. App. 109, 42 N. E. 648; Reeves v. Watkins, 28 Ky. L. Rep. 401, 622, 89 S. W. 266.

It is claimed, it is true, that whether a commission shall be allowed in case of a trade is by the terms of the contract left to the option of the company, and that such a provision is harsh and one sided, and therefore void as against public policy. This question; however, we are not called upon to determine. All that is necessary to say is that, even if this clause of the contract had been stricken out, there is nowhere .in the contract a provision for any commission on anything but a cash sale or the equivalent thereof.

It is true that there is in the record proof of a conversation with an agent of the company in which an offer was made to allow the defendant the option of accepting the secondhand machine or of guarantying the sale thereof, and that during such conversation the .agent told the defendant that unless he accepted such option the deal could not be made; that the defendant told the agent that they (the company) would have his permission to break the deal, and that rather than guarantee the sale of the secondhand machine or accept it himself he would break the deal, would try and stop the deal right there, try and get Oelke to break the contract; that upon receipt of this statement from the defendant the agent informed him that he would take the matter up with Hanson, the branch house manager of the company, which he. did, and later came back and said he guessed it would be all right, that Hanson would let the deal go on through without any signing. [32]*32There is no evidence, however, that commissions were spoken of during these transactions. In fact, the defendant testifies positively that they were not. Nor is there any evidence of any agreement to waive the provision in the contract which provided that no commission should be received in case of a trade.

On cross-examination the defendant testified:

Q. As I understand the testimony you gave, it was to the effect that Gonlogson asked you to take the old rig they traded in and pay the company the amount they had invested that they would have to have to make up their net?

A. Yes, sir.

Q. That was about the substance of it?

Q. And you refused to do that ?
Q. What did Gonlogson say then ?

A. He claimed that that was the order from the branch house manager, that he had told him to do that and he says, “I don’t know as I can vary from that,” and I said, “You will have to.” And we talked the matter over quite a while, and he says, “I will go and telephone and see what can be done;” and he came out and came back, and of course he wanted me to sign; but I said I wouldn’t; and he says, “I guess we will leave it go as it was. let the deal go on.”

Q. There was nothing said then as to what would be done with reference to your commission. He didn’t say anything about what commission you were to get ?

A. There was never at no time an agreement to take the secondhand rig. Never a time did I agree to take the secondhand rig. I didn’t .agree to it at all. That was what we argued about.

Q.

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Bluebook (online)
153 N.W. 479, 31 N.D. 27, 1915 N.D. LEXIS 177, Counsel Stack Legal Research, https://law.counselstack.com/opinion/j-i-case-threshing-machine-co-v-loomis-nd-1915.