McComas v. Sharlow Gas Coal Co.

116 S.E. 518, 93 W. Va. 265, 1923 W. Va. LEXIS 46
CourtWest Virginia Supreme Court
DecidedMarch 6, 1923
StatusPublished
Cited by1 cases

This text of 116 S.E. 518 (McComas v. Sharlow Gas Coal Co.) 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
McComas v. Sharlow Gas Coal Co., 116 S.E. 518, 93 W. Va. 265, 1923 W. Va. LEXIS 46 (W. Va. 1923).

Opinion

Lively, Judge :

This is an action of assumpsit for $4,000, the price of a steam shovel alleged to have been sold by plaintiff to defendant. The declaration contains the common counts. Upon an issue of non-assumpsit a trial was had before a jury, and at the conclusion of the evidence the court directed a verdict for defendant, which was accordingly returned, and a judgment of nil capiat rendered. Prom this judgment plaintiff prosecutes this writ of error.

The court came to the conclusion as a matter of law that O’Neal, the mine superintendent, had no power, express or implied, to purchase from plaintiff the steam shovel. This is the controlling question, and is the only point of error upon which the plaintiff insists, and upon the decision of this point the case depends.

Plaintiff was engaged in constructing roads, and had been using the steam shovel in the vicinity of defendant’s coal mine. Defendant was operating a drift mine on a lease of small acreage, and when railroad cars were not on its side track to receive the coai from the tipple, in order to keep its mine in operation, it piled not more than one day’s run of coal on the ground near the switch, and when cars arrived [267]*267the coal was hoisted from the ground. Some time prior to the alleged purchase of the shovel defendant had used a hoisting machine with a clam shovel engine which it had sold. Plaintiff testified that in October, 1920, about the time he finished work on the road, O’Neal, defendant’s mine superintendent, approached him with a proposition to rent the shovel for use above indicated, but that he, plaintiff, refused to do so, but proffered to sell the same for $4,500. He says 0 ’Neal finally agreed to purchase the shovel if it would load at least four ears per day. The beam was considered to be too short for the purpose of hoisting the coal, and it was agreed that it should be lengthened about eight feet, which was done by the' plaintiff, the expense of which was afterwards paid by O’Neal, but the amount is not disclosed. The shovel was moved to the mine, and it’ is in evidence ■that on one or two occasions it loaded four cars a day, and possibly on one occasion five cars. It appears, however, that the shovel was not extensively used. After it had been demonstrated that the shovel would load four cars per day, which plaintiff claims was the only condition precedent to sale, O’Neal was asked for' settlement of the purchase price, and according to plaintiff’s testimony O’Neal said it would be-paid when he took the matter up with some •member of the company, whose name he could not remember, who lived at St. Albans. Some time in December, 1920, a month or so after the negotiations for the sale, he was’ notified by O’Neal that the company would not take the shovel, and to come and remove it. After some efforts for adjusting the controversy this suit was instituted at May Rules, 1921. O’Neal denied that there had ever been any purchase. The substance of his evidence is that the shovel was placed at the mine for trial, and if after trial the company found it efficient and suitable for the purpose, the proposition of sale would be taken up with them. He denied that there was a purchase, and denied that he had any authority to purchase. There is evidence in the record to the effect that plaintiff was negotiating with, other persons for the sale of the' shovel while it was at the eom-[268]*268pany’s mine. It is a significant fact which tends to bear out the contention of O’Neal, in that no terms of purchase were agreed upon. Plaintiff says that $4,000 was to be paid, the down payment was not agreed upon but that he, plaintiff had it in mind to ask for $2,000 cash and the balance in two and four months. Usually where there is a sale the terms are agreed upon at the time. However, for the purpose of considering the action of the court in giving a peremptory instruction for defendant, we must discard all of defendant’s evidence in conflict with that of plaintiff. Cobb v. Glenn Boom & Lumber Co., 57 W. Va. 49, 49 S. E. 1005; Estep v. Price, decided this term. Following this rule, and disregarding O’Neal’s evidence in conflict with that of plaintiff as to the sale, we' must conclude that a sale was made. Did O’Neal have authority to purchase this expensive machinery? It is contended by plaintiff that the fact that O’Neal was on the ground as mine superintendent, controlling the employees with power to hire and discharge them and in active charge of producing and loading coal, his authority to make the purchase was implied; that the purchase would fall within the scope of his ordinary duties, and that the company, by placing O’Neal as superintendent and in active charge, held out to the public that he had such authority. It is not shown that O’Neal ever purchased any machinery of any character, or ever purchased any supplies whatever for the use of the mine. This was the only transaction he ever had with plaintiff. It is shown that O’Neal had no authority to'make purchases, and if any supplies of any character were'needed at the mine he-first made application or requisition therefor, which went before the board of directors or the secretary of the company for consideration by the board, and that they, the directors, always provided funds for the purchase, beforehand. O’Neal had a little stock in the company, but was not one of its officers. At the time there were four directors, three of whom resided in Huntington, and the fourth, J. O. Bledsoe, who was also president, resided at St. Albans, a short distance away from the mine. Bledsoe was also the general manager of the [269]*269company, and while he was not on the ground, he' visited the mine at infrequent intervals, was in close touch with it and controlled its affairs. O’Neal had no authority except for producing the coal. Bledsoe, himself, had no authority to make purchases for machinery or other supplies at the mine. It is in evidence and not contradicted that at the time of the negotiations for the purchase of the shovel and its use at the mine, Bledsoe was afflicted with rheumatism and was in some sanitarium in the west. Upon his return to St. Albans, on the 10th of December, 1920, the matter of-the steam shovel was brought to his attention, and he promptly informed O’Neal that his company would not purchase a steam shovel, and directed him not to use it, and to get it off of the property. He says O’Neal had no authority whatever to make purchases of any kind, and that the. first time he ever heard of the shovel being at- the mine was • on the 10th of December when- he understood that it was there under a proposal of sale and was put there on trial, 'and when he told O’Neal that they did not have use for that character of machinery. He says he never knew who brought the shovel there or to whom it belonged until he was served with process to attend the trial. He- says further that the only authority O’Neal had was to “run.coal,”, and not to make purchases' for the company. Plaintiff was called in rebuttal, and stated .that at the time the sale was made O’Neal told him that he had authority to make the purchase.

It is well settled as a general proposition of law, and by our decisions, that generally where one deals with an agent he deals at his peril and is bound to know the power and the authority of the agent and the extent of his agency. If the agent’s authority is in writing the person dealing with him is supposed to have read it. It is his duty to inquire into the extent of the agency and of the agent’s power to contract. Uniontown Grocery Co. v. Dawson, 68 W. Va. 332.

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Related

Roanoke Auto & Implement Co. v. Hancock
136 S.E. 701 (West Virginia Supreme Court, 1927)

Cite This Page — Counsel Stack

Bluebook (online)
116 S.E. 518, 93 W. Va. 265, 1923 W. Va. LEXIS 46, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mccomas-v-sharlow-gas-coal-co-wva-1923.