Kitchen v. Cape Girardeau & State Line Railroad

59 Mo. 514
CourtSupreme Court of Missouri
DecidedMarch 15, 1875
StatusPublished
Cited by13 cases

This text of 59 Mo. 514 (Kitchen v. Cape Girardeau & State Line Railroad) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kitchen v. Cape Girardeau & State Line Railroad, 59 Mo. 514 (Mo. 1875).

Opinion

Lewis, Judge,

delivered the opinion on the court.

The petition stated in substance, that defendant, by a resolution of its ,board of directors, adopted May 23, 1870, employed plaintiff as its general agent., with an extensive range of powers and duties for the management of its external affairs; that his salary was to be $10,000 per annum, and the engagement was to continue at least six months, or until a contract made on the same day by defendant with the Cairo and Fulton Railroad Company, should be rescinded; that plaintiff entered immediately upon the discharge of his duties, and thenceforth was at all times willing, and held himself in readiness, to perform any services which might be required of him, as such agent, by defendant, for tlie said term of six months; that defendant bad failed and refused to pay, etc.,' wherefore plaintiff demanded judgment for $5.000.

The answer, after general denials, set up for defense that the adoption of the resolution employing plaintiff, was without authority, and was procured by false and fraudulent representations ; that plaintiff represented himself as an officer and large stock-bolder in the Cairo and Fulton Railroad Co.;. that he had great personal influence with capitalists in this country and-in Europe, and with County Courts of certain countie's; that as agent for defendant, he would procure a. transfer from the Cairo and Fulton R. R. Co. of valuable franchises and property, including from 206,000 to 400,000 acres of land, and would obtain large county subscriptions to-the capital stock of defendant, besides other great aids and, advantages to defendant in building its railroad ; that these representations were relied upon by defendant, and-were the whole inducement to the adoption of the resolutions; but that they all proved to he false and fraudulent, so that de[517]*517fendant realized none of tile promised benefits; that defendant, before ascertaining tbe falsity of said representations, paid to plaintiff, on account of said agency, the sum of $1,94-3.16, which defendant claimed a rig-lit to recover back with interest.

It was also alleged that plaintiff rendered no services under his pretended contract of agency, but abandoned the same wholly, and that defendant had rescinded the contract soon after its date, and discharged the plaintiff upon discovery of, said frauds.

A reply was filed by plaintiff, putting in issue all the new matter contained in the answer. The verdict and judgment were in favor of the plaintiff,' for the amount claimed less the payment proved by defendant.

When the case was called for trial the plaintiff demanded a jury, to which defendant objected, on the ground that its answer introducing an equitable defense, made it a chancery ease which must be tried by the court. His objections were overruled, and a jury was sworn. There was no error in this ruling. The answer was not in the nature of a cross-bill, demanding equitable relief. The defense of fraud against a legal demand, raises an issue which is properly triable by a jury. (Swayze vs. Burke, 12 Pet., 11.) In the case of Freeman vs. Wilkerson, (50 Mo., 554) relied on by defendant, the answer set up a distinct claim to equitable relief.

The plaintiff’s testimony tended to prove the allegations in the petition. At its close the defendant asked the court to instruct the jury that the plaintiff could not recover because he had omitted to prove that defendant was authorized by its charter to make the alleged contract. The refusal so to instruct is assigned for error.

In the absence of charter restrictions, the power of a corporation to make contracts is usually measured by the general objects and purposes of the incorporation. It is-always presumed that a corporate body may make any proper contract whose scope and tendency are manifestly to forward the design of its legislative creation. It is often necessary, how[518]*518ever, to prove the charter power, where the contract in issue is of a character foreign to such general design. In this case the answer sets out at length the purposes of defendant’s incorporation, from which it appears that the agency under consideration was created, if at all, expressly to carry out or advance those purposes. It was therefore, right to refuse the instruction.

In the course of the trial many exceptions were saved by defendant, touching the admission or exclusion of testimony. We do not find any of them available for a showing of error. While the plaintiff was under cross-examination as a witness,, defendant proposed to read to him his deposition previously taken ; and to ask him whether all the statements contained therein were true at the same time disclaiming any intention thereby to impeach the credibility of the witness. The plaintiff’s objections to this was"properly sustained. The witness was present for examination upon all the facts within his knowledge. His previous narration of them could not modify their effect, and was wholly immaterial, unless upon a proper foundation it was employed to show some inconsistency, or otherwise to impeach the testimony in its credibility. Whether the deposition might have been used to save time in asking questions, was a matter purely within the discretion of the court, and is not a proper subject for revision here.

Objection was made to the introduction of a resolution adopted at the expiration of six months after plaintiff’s appointment, in which defendant’s board of directors declared the appointment revoked. The admission of this testimony conld not prejudice the defendant’s case. If it had a tendency to show that the board treated the contract as in force up to that time, such a tendency was entirely legitimate. There was no point in the case upon which it could mislead the jury.

It was not necessary for either the petition or the proofs to show that the defendant made a distinct promise to pay the plaintiff at a date subsequent to the making of the contract. If the contract was not a nullity, it created of itself a [519]*519sufficient obligation to pay without any additional promise. Nor was it essential,.as defendant assumes, that the plaintiff should have continually offered to perform the work pertaining to his agency, through the whole period of his engagement. It was sufficient for him to allege and prove that he was in constant readiness. He announced this to the president of defendant, furnishing his address, so that a notice might reach him whenever his services should be required. If, after this, it was still requisite that he present himself from time to time, with an offer to perform work, it might be claimed with equal propriety that he should so present himself on every day, or in every hour of every day. It nowhere appears in the testimony that the plaintiff omitted or neglected any specific work which the nature of his agency required to be done, or which was demanded of him by the defendant.

It is urged for defendant, that inasmuch as the engagement with the plaintiff was to cease in the event of a rescission of the contract with the Cairo and Fulton Railroad, therefore, the petition was defective in its omission to allege that the latter contract was not rescinded at any time during the six months. We cannot see the force of this objection. Neither the existence nor the continuance of the Cairo and Fulton R. R. contract was made a condition precedent to the creation of contract liabilities between the plaintiff and defendant. The possible rescission was merely a condition subsequent, in the nature of a defeasance.

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Bluebook (online)
59 Mo. 514, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kitchen-v-cape-girardeau-state-line-railroad-mo-1875.