Markall v. Smithway MacHinery Co.

209 P.2d 449, 34 Wash. 2d 749, 1949 Wash. LEXIS 573
CourtWashington Supreme Court
DecidedSeptember 3, 1949
DocketNo. 30945.
StatusPublished
Cited by4 cases

This text of 209 P.2d 449 (Markall v. Smithway MacHinery Co.) is published on Counsel Stack Legal Research, covering Washington Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Markall v. Smithway MacHinery Co., 209 P.2d 449, 34 Wash. 2d 749, 1949 Wash. LEXIS 573 (Wash. 1949).

Opinion

Beals, J.

Plaintiff, Maurice Markalí, and defendant Jose Lucientes are residents of California. Defendant O. P. Smith is, and for many years has been, a resident of Seattle, Washington.

Plaintiff instituted this action, alleging in his complaint that, March 12, 1945, he, as first party, and the defendants, as second parties, entered into a written contract (a copy of which is attached to the complaint), whereby the plaintiff agreed “to sell upon consignment” to the defendants, who agreed to purchase from plaintiff, a quantity of machinery, which was itemized in an exhibit attached to the contract. The contract contained the following provision:

“Vendees agree to pay to vendor for said property the sum of Twenty-two thousand, five hundred Dollars ($22,-500.00) as follows, to wit:' Fifty per cent (50%) of the gross amount of all sales thereof, said 50% to be remitted to the vendor immediately upon receipt by the vendees of the proceeds of each and every sale thereof; that vendees agree to pay to vendor interest on the amounts of the principal sum remaining from time to time unpaid, until said principal sum is paid, at the rate of four per cent (4%) per annum.”

By the terms of the alleged contract, the vendor agreed to deliver to the vendees a bill of sale for items sold by them, upon receipt by the vendor of fifty per cent of the sale price. The vendees acknowledged receipt of the property and agreed to keep the same in good order and to indemnify vendor for loss by fire or otherwise. The vendees were to retain possession of the property for a period of two years from the date of the alleged contract, and, if the vendor had not received the total purchase price of $22,500 at the end of that period, he could either enforce immediate payment of the then remaining unpaid balance or take possession of *751 the unsold machinery. The agreement stated that it was the intent of the parties that vendees should pay the vendor the full purchase price above referred to, unless vendor should elect to repossess the property or any portion thereof. The last paragraph of the agreement appears as follows:

“This agreement shall be deemed to have been entered into in the City and County of San Francisco, State'of California, the day and year first above written.
Witness: [Signed] M. Markall
Vendor
[Signed] J. M. Lucientes
Witness:
Witness:
Vendees”

For a first cause of action, after alleging that the defendants were copartners, plaintiff alleged the execution of the contract above referred to; that the defendants had paid plaintiff, pursuant to the contract, the sum of $4,513.65; that, at the end of the two-year period, plaintiff had notified defendants that he elected to demand payment of the balance of the purchase price referred to in the contract; that defendants had refused payment; and that the amount claimed was due plaintiff from defendants.

By way of a second cause of action, plaintiff again alleged that the amount for which he sued, together with interest, was due him from defendants as a balance on an account for goods sold and delivered, adding:

“. . . which said sum is the balance due under that certain contract hereunto attached and marked Exhibit ‘A’, to which is attached an itemized statement of the goods so sold and delivered.”

No service of process was ever had upon the defendant Jose Lucientes, who made no appearance in the action.

Defendant Smith appeared and demurred to the complaint, and moved to make the same more definite and certain. In response to this latter motion, plaintiff filed copies of an identical letter written March 28, 1947, by Harold H. *752 Price, Esquire, plaintiff’s attorney and a member of the bar of the state of California, to each of the defendants and to “Smithway Machinery Co., 212 13th Street, Sacramento, California.”

Defendant Smith then answered the complaint, denying the allegations thereof, and particularly denying that he was indebted to plaintiff in any sum whatsoever.

The action was tried to the court, sitting without a jury, and resulted in the entry of findings of fact in favor of the defendants, followed by conclusions of law stating that the contract relied upon by plaintiff and introduced in evidence never came into existence as a binding contract; that the defendant Smith was not bound thereby; and that the action should be dismissed. The court then entered judgment dismissing the action, with costs to defendant Smith.

Plaintiff moved for a new trial, and, upon the denial of his motion, appealed to this court from the adverse judgment.

Appellant assigns error upon the court’s findings of fact and conclusions of law in favor of the respondents; upon the refusal of the trial court to find in favor of the appellant; upon the court’s refusal to enter judgment in appellant’s favor; upon the entry of the judgment dismissing the complaint; and upon the denial of appellant’s motion for a new trial.

In this opinion, we shall refer to respondent Smith as though he were the sole respondent in the action.

Pursuant to an oral agreement, respondent and Lucientes were partners engaged in business in the state of California as buyers and sellers of machinery. Lucientes resided in California and attended to most of the partnership business. Respondent resided in Seattle, where he was engaged-in business on his own account, devoting only such attention as was necessary to the affairs of the partnership, which was known as Smithway Machinery Company.

The contract above referred to was prepared by Harold H. Price, Esquire, appellant’s attorney, who, with local counsel, represented appellant at the trial of this action. Mr. *753 Price, testifying as a witness on behalf of appellant, stated that he prepared the contract, intending that it should be signed by appellant, by Lucientes (both of whom did sign the agreement), and by respondent, who, when the document was submitted to him for his signature, refused to sign.

It appears that appellant had been dealing in mining machinery in California and, at some time prior to March, 1945, had a large quantity of used mining machinery upon his hands which he desired to sell. After holding an auction, at which some of the machinery was sold, appellant discussed the matter with Lucientes and, as the result of conferences between them, the machinery was shipped to Sacramento, where it was placed on a vacant lot near the office of the partnership.

From time to time, some of the machinery was sold, fifty per cent of the proceeds being turned over to appellant.

In June, 1945, respondent became sole owner of the Smithway Machinery Company, which he conducted until June, 1946, when he sold it to his son, Sterling Smith, who operated the business as a sole trader until February, 1947, when he was adjudicated a bankrupt.

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Bluebook (online)
209 P.2d 449, 34 Wash. 2d 749, 1949 Wash. LEXIS 573, Counsel Stack Legal Research, https://law.counselstack.com/opinion/markall-v-smithway-machinery-co-wash-1949.