Kinney v. Reed

145 N.W. 900, 164 Iowa 337
CourtSupreme Court of Iowa
DecidedMarch 14, 1914
StatusPublished
Cited by4 cases

This text of 145 N.W. 900 (Kinney v. Reed) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kinney v. Reed, 145 N.W. 900, 164 Iowa 337 (iowa 1914).

Opinion

Preston, J.

I. The contract sued upon, the execution of which is admitted, follows:

Gravity, Iowa, Apr. 12, 1901. This agreement made and entered into by and between Dr. W. D. Kinney of the first part, and Dr. L. T. Reed of the second part, witnesseth, that [339]*339W. D. Kinney of the first part has this day bargained and sold unto L. T. Reed of the second part, all his practice as a physician and surgeon in Gravity and vicinity thereto. For the sum of five hundred dollars to be paid as follows, 20% of the said L. T. Reed’s earnings as a physician and surgeon as long as he practices until the aforesaid five hundred dollars, is paid, then this contract to be null and void. When a payment is made Dr. Kinney is to receipt Dr. Reed for same. I, Dr. Kinney agree not to practice medicine in Gravity and vicinity for a term of five years. W. D. Kinney. L. T. Reed.

Acknowledged before a notary by both parties April 12, 1901. This was assigned to C. A. Kinney, who was substituted as party plaintiff.

Both parties seem to have had trouble with their pleadings, which are quite voluminous. Plaintiff’s first attorney started out with a petition in equity, alleging that the contract was only partly reduced to writing, and asked a reformation of the contract, which seems to be unambiguous and needed no reformation. Plaintiff also asked judgment on the contract for $500 and interest. An amendment was filed, withdrawing two paragraphs of the original petition; and which amendment also alleged that he did not know and had no means of knowing what sums of money defendant had earned since the making of the contract.

Defendant demurred to the petition as amended, on the ground that it did not show anything due; that it did not show that defendant had earned $2,500; and that no such facts were alleged as to justify reformation because no mutual mistake was charged. The demurrer was sustained. Thereupon plaintiff filed a substituted petition in two counts; the first stating a cause of action at law and supplying the allegations, the absence of which made the original petition demurrable ; that is to say, he alleged:

Paragraph 3. That defendant has practiced medicine and surgery in Gravity-, Iowa, and vicinity since April 12, 1901, in a prosperous and lucrative manner, and has earned the sum of $2,500 from such practice.

[340]*340Paragraph 4. That plaintiff has made several demands upon defendant for an accounting of said earnings since April 12, 1901, and for the payment of said $500 or so much thereof as might have been found due, and defendant has refused to make said accounting, and has refused to pay said $500, or any part of it.

The second count set up again the equitable issue, and asked a reformation, accounting, and discovery.

Defendant moved to strike the substituted petition. His motion contained five divisions, but in no one of them, does he indicate which count or paragraph he strikes at. It is apparent, however, that in all but one he refers to the second count. It is not necessary to further notice these, because plaintiff submitted to the motion in so far as it referred to the second count. In so far as the motion aims at count 1, it is on the ground that it sets up the same cause of action as stated in the original petition, to which the demurrer had been sustained.

1. Pleadings : amendment: motion to strike. This part of the motion was overruled, and, we think, properly so, for the reason that count 1 of the -substituted petition is not a repleading of the same matters; but, as we have said, it only supplied the necessary averments which were lacking in the original. This being so, the cases cited by appellant do not apply. At this stage of the proceedings the cause, upon motion of defendant, was transferred to the law docket.

Defendant answered, denying liability; admitted that plaintiff had made demand for an accounting, and for payment, which had been refused. He alleged, further, that the contract “was signed and executed without consideration, because the plaintiff represented to defendant that he had a large practice as a physican and surgeon at Gravity and vicinity and that, in truth, said representations were false, and plaintiff knew them to be false at the time, and made them with the intention of cheating and defrauding defendant, and that at the time plaintiff had no practice as a physician and [341]*341surgeon at that place; (2) that defendant’s signature was procured by fraud, for that during the negotiations the plaintiff fraudulently caused a telegram to be delivered to him from some person unknown to defendant, asking if plaintiff would sell his practice for $500, which message was exhibited to defendant intending to have him believe that some one else would buy the practice if he did not.” The issues above referred to were submitted to the jury, and there is no complaint of instructions with reference thereto, or that the verdict is not sustained by the evidence.

II. During the trial, defendant amended his answer, and alleged substantially:

(1) That at the time of the making and execution of the written contract sued on it was mutually agreed that plaintiff would remain with defendant four weeks and help him get started. (2) That at the time of the making of said contract there was an oral agreement between the parties that said defendant would render an account of his earnings to Kinney at reasonable intervals. That between date of said contract and April 12, 1904, he had earned $2,500 in his practice, and, owing to such fact and said oral agreement in connection with said written contract, plaintiff’s cause of action is barred by the statute of limitations, as plaintiff did not begin his action until December 3, 1910. (3) That the written contract sued on is of such language and character that it requires verbal testimony to make it complete, and therefore a cause of action is barred upon it after five years from April 12, 1904.

This pleading was filed after the cause had been transferred to the law docket. On the trial the defendant sought to show by his witnesses, and by cross-examination of plaintiff, the agreements thus alleged, and which were not included in the written contract.

Plaintiff’s objection to such evidence was sustained, and of this appellant complains. The gist of the complaint is as to the bearing such evidence would have on the question of the statute of limitations. He also complains that the court [342]*342failed to instruct the jury on the question of the statute of limitations. The determination, then, of the question as to whether the court properly sustained the objection to the line of evidence indicated determines these matters in regard to the statute of limitations.

2. Contracts - paroi evidence. It will be observed that the last amendment to the answer does not allege that the contract was partly in parol and partly in writing; nor is any reformation asked by the defendant. written contract was complete in itself; the $500 was due when defendant had earned $2,500, and the time of payment of the $500 was made certain by proof of that fact; such evidence was no part of the contract, but an independent fact. The liability of defendant is upon his written promise to pay $500 when a certain thing had occurred; that is, when he had earned $2,500.

Wing v. Evans,

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Bluebook (online)
145 N.W. 900, 164 Iowa 337, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kinney-v-reed-iowa-1914.