Minnesota Linseed Oil Co. v. Montague & Smith

21 N.W. 184, 65 Iowa 67
CourtSupreme Court of Iowa
DecidedOctober 24, 1884
StatusPublished
Cited by9 cases

This text of 21 N.W. 184 (Minnesota Linseed Oil Co. v. Montague & Smith) 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
Minnesota Linseed Oil Co. v. Montague & Smith, 21 N.W. 184, 65 Iowa 67 (iowa 1884).

Opinion

Reed, J.

i. practice courT/sSre stance.’ I. It is alleged in the petition that the money was deposited with defendants upon a parol contract that it was to be paid out by them only on checks or tickets issued by Yalentine, on the purchase of flaxseed. On the trial plaintiff offered in evidence certain letters written by its treasurer to defendants, covering remittances, and which, as plaintiff claims, contained certain specifications as to the manner in which the money remitted should be applied. Defendants objected to the introduction of these letters, on the ground that, as plaintiff had alleged that the contract under which the money was deposited with them was in parol, this written evidence was immaterial and irrelevant, and that it was not shown that the person who [69]*69wrote them had any authority from plaintiff to give directions as to the manner in which said money should be disbursed. The objections were overruled, and the letters were read in evidence. We held, on. the former appeal, that these letters were admissible. There has been no change in the issues since this ruling was made. The question of the admissibility of the evidence arises on the second trial precisely as it did on the first. When we have once definitely passed on a question in a case, our practice is to reconsider our ruling thereon in that case only on a rehearing, unless there have been such changes of the issues, or other circumstances of the case, as raise a new question as to the applicability of the former ruling to the case as thus made. Adams Co. v. Burlington & M. R. R. Co., 55 Iowa, 94. Our former ruling on this question must therefore be regarded as final, so far as this case is concerned.

2. pbincipal and agent: amlnguous interpreta^: ti°n. II. The original arrangement under which the money was deposited with defendants was made with them by one Harkness, as agent for plaintiff. There was a . ° x conflict m the evidence as to the directions given o Harkness at this time as to the manner in which the money should be disbursed. Harkness testified that he directed defendants to pay out money only on tickets issued by Yalentine, which should show actual purchases by him of flaxseed; while defendants both testified that the direction was that the money should be paid out generally in the business of purchasing flaxseed for plaintiff, in which Yalentine was engaged, and that Harkness informed them at that time that Yalentine was to be paid a commission of six cents per bushel on all the seed purchased by him. The evidence shows without conflict that Yalentine was entitled, under his arrangement with plaintiff, to receive as commissions on the purchases made by him the amount of money paid him by defendants. The defendants asked the court to give the following instruction, which was refused: “If the language used by plaintiff’s agent in employing [70]*70defendants, as plaintiff’s disbursing agents, to payoff checks made by Yalentine, and instructing them as to their duties as such disbursing agents, was fairly capable of two constructions or understandings, or was ambiguous . in its meaning, the plaintiff is bound by the understanding which his language fairly and reasonably conveyed to defendants, provided defendants acted in good faith in carrying out such understanding thus fairly and reasonably conveyed to them by the language of plaintiff’s agent.” Defendants assign the refusal to give this instruction as error. The court on its own motion instructed the jury that, “if the language used by plaintiff’s general agent in making tire arrangement with defendants was ambiguous, or fairly admitted of more than one construction, that meaning is to be given in which they were understood by defendants, provided plaintiff’s said general agent had reason to believe they were so understood by defendants.” Omitting the qualification expressed in the last clause, this instruction presents the rule which is embodied in the instruction asked. With the qualification, however, it presents a very different rule. Under the instruction as given, defendants would be liable if they adopted and acted on a construction of the instructions of which they were fairly capable, but which was different from what was actually intended by the agent, and he did not know that they had adopted such wrong construction. -This, it seems to us, would be to make the innocent party suffer for the wrong or negligence of another. If the instructions were “ambiguous, or fairly admitted of more than one construction,” this was the fault or negligence of the party who gave them, and that party ought in justice to bear the consequence of such negligence, rather than the one who was deceived and misled by it. We think, therefore, that the instruction should have been given without the qualification. Vianna v. Barclay, 3 Cow., 281.

[71]*71_. ie Í-atiñeítfenlt: hy silence. [70]*70III. After Yalentine had ceased to purchase flaxseed for plaintiff, and after defendants had paid for all that he had [71]*71purchased, and'had also paid him the money in <Iuestiou this case, they sent plaintiff’ a written statement of their account, showing the amounts received and disbursed by them, together with a draft for the amount which was due plaintiff according to the statement, and the cheeks or tickets on which the disbursements had been made. The amount in controversy had been paid Yalentine on tickets which showed on their face that the payments were made on account of his commissions. These tickets were sent by defendants with the statement and the other vouchers. Plaintiff’s book-keeper received these papers and the remittances in due course of mail, and wrote defendants, acknowledging the receipt thereof; and no question was made as to the payment to Yalentine of his commissions for about four months from the time the remittance and vouchers were received by plaintiff. The book-keeper testified that when he received the statement of account and vouchers he placed them in a safe, where they remained, without being examined or compared, for four months. They were then examined by Harkness, the agent who made the arrangement originally with defendants, and, when it was discovered that the payments had been made’to Yalentine, this suit was instituted.

[72]*72i instkucut?onSnotei>e" required. [71]*71The defendants requested the court to give the following instruction: ‘Tf the defendants were employed by the plaintiff to disburse plaintiff’s money under plaintiff’s instructions, and afterwards, when the business was supposed to be closed, the defendants wrote a letter and sent a full statement to plaintiff of their doings as such disbursing agents, it was plaintiff’s duty, as defendants’ principal, to examine said report in reasonable time, and, if it disapproved of defendants’ acts, to answer the letter, or otherwise notify defendants, expressing its dissent'; and, if plaintiff failed to do so in a reasonable time after receiving their report, plaintiff will be deemed to approve the acts of defendants as its agents, and silence would amount to a ratification of the acts so reported.” The [72]*72court refused to give this instruction; but, as the same doctrine is fairly exjn-essed in one of the instructions given by the court on its own motion, defendants have no ground of exception because of such refusal.

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Bluebook (online)
21 N.W. 184, 65 Iowa 67, Counsel Stack Legal Research, https://law.counselstack.com/opinion/minnesota-linseed-oil-co-v-montague-smith-iowa-1884.