Keystone Manufacturing Co. v. Fisher

114 S.E. 443, 92 W. Va. 123, 1922 W. Va. LEXIS 19
CourtWest Virginia Supreme Court
DecidedOctober 24, 1922
StatusPublished

This text of 114 S.E. 443 (Keystone Manufacturing Co. v. Fisher) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Keystone Manufacturing Co. v. Fisher, 114 S.E. 443, 92 W. Va. 123, 1922 W. Va. LEXIS 19 (W. Va. 1922).

Opinion

Ritz, Judge:

These eases involve the reciprocal rights of the parties in relation to a contract for the manufacture and sale of locust pins, and depend for their solution upon the same state of facts, for which reason they will be considered together.

In the first case the plaintiff, Keystone Manufacturing Company sought to enjoin the defendant Fisher from manufacturing certain locust timber into, pins, upon the theory that it belonged to it, and also to compel him to discover what transactions or contracts he had made in regard to the subject-matter of the contract between the parties. Upon the hearing the court dismissed this bill. The second suit is an action at law brought by Fisher against the Keystone Manufacturing Company to recover the price of the locust pins manufactured and delivered by him to the defendant, under the terms of the, contract. This action was tried by the court in lieu of a jury upon the evidence adduced by both parties in the form of depositions, and the court found in favor of the' plaintiff for the sum of $15,097.39, and rendered judgment upon such finding. The Keystone Manufacturing Company seeks to reverse the action of the circuit court in both of said causes.

It appears that in the year 1917, because of the fact that the United States Government had entered upon a program of constructing wooden ships, locust pins, known as treenails, became in great demand. The Keystone Manufacturing Company was engaged in the business of manufacturing lumber at the city of Elkins, and it determined to engage in the business of manufacturing these .treenails. It seems that the business was a very profitable one, although rather hazardous because of the fact that it was impossible to determine when the demand for them would cease, and it required the investment of considerable money before production - could be started. The Beuna Yista Hardwood Lumber Company was [125]*125engaged in the neighborhood of Elkins in producing these pins at that time, and in November, 1917, the Keystone Manufacturing Company bought out the Buena Vista Company. Prior to this purchase Fisher was engaged by the Buena Vista Company in manufacturing these pins for it, and when the Keystone Company acquired the Beuna Vista Company’s rights Fisher entered into an arrangement with the Keystone Company to continue the manufacture of the pins for that company. From the latter part of November until the first of March their arrangements were oral, but on or about the first of March, 1918, they entered into a contract in writing which both parties agree was nothing but a statement of their prior oral agreements, and under this written contract their future dealings were had. This contract provided that Fisher would engage in the business of manufacturing pins for the Keystone Company at certain prices stipulated in the contract. The Keystone Company agreed to furnish him, and did furnish him two mills to be used in the manufacture of said pins, he agreeing to take good care of said mills and return, them in as good condition as when he received them, ordinary wear and tear excepted. The Keystone Company agreed to take all of the locust treenails manufactured by Fisher, and he agreed to deliver all that he manufactured to the Keystone Company. Fisher agreed to make no more short pins than was absolutely necessary, it appearing that the longer the pins the more desirable they were. The contract further provided that the Keystone Company would advance money to Fisher to be used for the purchase of wood and timber, in which event the timber or wood so purchased would be the property of the Keystone Company, subject to its approval. Fisher agreed by the terms of this contract to continue work thereunder until the first of July, 1918, and it was further agreed that at that time an estimate should be made of all stock cut and on hand, and settlement be made with him of fifty per cent, of the estimated value thereof, and that the same should be thereafter loaded in cars and shipped within ninety days, and the remaining fifty per cent, paid to him as said ears were shipped. It was provided that ship[126]*126ments under the contract during its continuance should ..be paid for within ten days from date of shipment. It seems that Fisher prosecuted the work under this contract very diligently. He manufactured a large quantity of these tree-nails. A number of cars thereof were shipped by the Keystone Company during the continuance of the contract, and Fisher given credit on his account with the value of these ears. It also appears that considerable money was paid to Fisher during the time the contract was in force, and Fisher charged with all of these sums. On the first day of July, 1917, the Keystone Company had paid Fisher a little more than sis hundred dollars in excess of the amount coming to him for pins already shipped. The Keystone Company claims that sometime prior to the first of July, to-wit, about the 20th' of June, 1918, Fisher agreed to continue this contract upon the same terms except that he was to have an increase in price after the first of July, and that he in fact did continue it after the first of July until about the 20th of that month. Fisher, on the other hand, contends that he never did agree to continue work under the contract, but that he did agree that he would continue work until he sawed up such timber as was then cut and on hand at the mills for that purpose; that he completed this work about the twentieth of July, and then quit under the contract. From the first to the twentieth of July the Keystone Company had advanced him eight thousand dollars. When Fisher discontinued work under the contract he prepared to enter upon the business of manufacturing these pins upon his own account, and wrote to the Keystone Company inquiring if it wohld rent him the mills which he had been using under the contract. The Keystone Company claims that this is the first intimation it had that he intended to discontinue working for it. It declined to let him have these mills and undertook to run them itself. It appears that Fisher had bought locust timber from several parties, and some of this had been cut and piled along the railroad ready to be shipped into the mills for manufacture. The Keystone Company undertook to take this wood and Fisher prevented it. It V^as then that the equity suit was [127]*127brought by the Keystone Company, in which it is contended that Fisher had extended this contract after the first of July, 1918, and that in violation of the terms of said extension he ceased work for the Keystone Company and attempted to seize the materials which he had bought for that company under the terms of the contract, and with its money, and which belonged to it, and was attempting to use these materials in his own business; that in addition to these materials then cut and lying along the railroad ready for shipment to the mills, Fisher had purchased a large amount of locust timber still standing in the woods with the money of the Keystone Company, but that the Keystone Company did not know the amount thereof or the parties from whom he had purchased it, or the amounts that he had paid therefor; that he had taken the title to it in his own name, but that he was •simply a trustee for. the plaintiff in this regard, and the bill sought to enjoin him from seizing any of the wood then cut and ready for shipment to the mills, and to compel him to disclose what locust wood he had contracted for, what he had paid therefor, and to require him to transfer the title to the same to the Keystone Company.

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Bluebook (online)
114 S.E. 443, 92 W. Va. 123, 1922 W. Va. LEXIS 19, Counsel Stack Legal Research, https://law.counselstack.com/opinion/keystone-manufacturing-co-v-fisher-wva-1922.