Moon Motor-Car Co. v. Savannah Motor-Car Co.

152 S.E. 611, 41 Ga. App. 231, 1930 Ga. App. LEXIS 513
CourtCourt of Appeals of Georgia
DecidedMarch 4, 1930
Docket20201
StatusPublished
Cited by6 cases

This text of 152 S.E. 611 (Moon Motor-Car Co. v. Savannah Motor-Car Co.) is published on Counsel Stack Legal Research, covering Court of Appeals of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moon Motor-Car Co. v. Savannah Motor-Car Co., 152 S.E. 611, 41 Ga. App. 231, 1930 Ga. App. LEXIS 513 (Ga. Ct. App. 1930).

Opinion

Luke, J.

Savannah Motor-Car Company brought attachment proceedings against Moon Motor-Car Company in the city court of Savannah. The trial judge overruled defendant’s motion to dismiss the proceedings because of an alleged variation in the name of the party making the attachment affidavit and the name of the plaintiff in the attachment declaration, and overruled defendant’s demurrers to said declaration, and defendant excepted.

The attachment affidavit sets out that Moon Motor-Car Company is indebted to Savannah Motor-Car Company. The declaration [232]*232begins as follows: “Now comes the Savannah Motor-Car Company . . and files this its declaration in attachment, and says: 1st. That on September 27, 1926, and thereafter, the said Savannah Motor Car Company, which is a corporation of Chatham county, Ga., was trading and doing business in said city, under the trade name of Southern Motors Company, and on September 27, 1926, entered into a contract with the defendant” for the sale of its “Moon Diana” automobiles in Savannah, Ga., “and on said date deposited with the Moon Motor-Car Company the sum of $1,000 to insure payment of charges on cars and parts shipped to plaintiff.”

“A corporation may acquire a trade or colloquial name. A contract made with the corporation in the trade or colloquial name may be sued on in its true corporate name.” McClain v. Georgian Co., 17 Ga. App. 648 (3) (87 S. E. 1090). “A corporation may transact business within its corporate powers in a name other than its legally authorized corporate name.” Golden's Foundry & Machine Co. v. Wight, 35 Ga. App. 85 (1) (132 S. E. 138). See also Saunders System Atlanta Co. Inc. v. Drive It Yourself Co., 158 Ga. 1 (1) (123 S. E. 132); Eslinger v. Herndon, 158 Ga. 823 (4), 826 (124 S. E. 169); Farmers & Merchants Bank v. Farkas, 27 Ga. App. 153 (107 S. E. 610).

If, as appears from the pleadings, the plaintiff was doing business under the trade name of Southern Motors Company on September 27, 1926, and contracted with Moon Motor-Car Company in that name, it certainly had the right to show these facts and bring its action in its true corporate name. The motion to dismiss was not good, and the court correctly so held.

The petition was amended several times, and the demurrers thereto are numerous. We shall attempt to give only such an outline of the amended petition as will indicate the nature of the case and illustrate our rulings upon the questions insisted upon by counsel for the plaintiff in error.

The declaration in attachment alleges:

(The first paragraph has been set out in the first division of this opinion. The copy of the contract attached to the petition will be referred to later.)

That on October 14, 1926, defendant shipped to plaintiff six cars from Atlanta, Ga., that said contract contemplated the ship[233]*233ment of new cars; that after plaintiff had paid for three of said cars and taken them from the carrier, it discovered that they were used cars and not suitable for the purpose intended, to wit, resale by plaintiff as new cars; and that plaintiff refused to accept the three remaining cars.

That at the time said contract was entered into the plaintiff and defendant, acting through its agent, J. C. Borah', orally agreed “that defendant would arrange for all cars shipped to be financed by a local bank . . , . the bank lending 90 per cent, of the purchase-price, and plaintiff outlaying 10 per cent, of the purchase-price,” and that said agreement was confirmed by defendant as shown by certain letters and telegrams attached to the petition as Exhibits “B-l,” “B-3,” “B-3,” and “B-4.” That upon being notified that plaintiff would cancel said sales-contract unless said financing arrangement was made, defendant, on or about November 3, 1936, sent its agent Borah, who executed the original contract for defendant, back to Savannah', and that said Borah agreed that in consideration of plaintiff’s not canceling said original contract (as he had a right to do under the terms thereof), such financing arrangement would be made; that, relying on said agreement, the plaintiff ordered the three cars referred to in paragraph 4 of the petition; that again, on December 9, 1936, plaintiff wired defendant that it would cancel said contract unless said financing arrangement was made; and that on February 9, 1937, plaintiff and defendant, acting through J. O. Borah, verbally canceled the original contract, said cancellation being confirmed by letters of February 10 and 16, and telegrams of February 19, 1937.

That subsequently to the shipment above referred to, defendant shipped plaintiff three cars, to be paid for under the financing plan set out, but that plaintiff did not accept said cars, because of defendant’s failure to arrange said financing plan, and they were diverted by defendant. Plaintiff offered to take said cars, paying for them by applying said deposit of $1,000 thereon and paying the balance in cash, but that this proposition was refused by defendant. (By amendment it was alleged that “this allegation was made not to show that there was an offer of compromise, but to show good faith and cancellation of the contract.”)

That the 5th paragraph of said original contract provides that either party may, at its option and without cause, cancel said [234]*234contract at any time, and that the same was canceled by mutual consent.

That defendant is indebted to plaintiff upon the following items:

Deposit made at execution original contract......$1,000.

10% agreed allowance on designated cars (acknowledged by defendant to be correct)................ 320.32

Allowance on Moon “A” car (acknowledged by defendant as correct)............................. 70.

"Storage, freight, and bonded warehouse” (paid by plaintiff to get first cars from railroad, and acknowledged by defendant to be correct.)................ 164.42

Total, $1,554.64

Paragraph 6 was amended by adding the following thereto:

(а) The "10% deduction on carload lots, agreed allowance of $320.32,” is for prepayment of 10% on cars ordered. . . This payment was made on the three cars not taken out of the railroad warehouse referred to in the second paragraph. Plaintiff is entitled to recover this amount as a matter of right, but after the cars were refused the defendant acknowledged the indebtedness and agreed to pay the same, and made a written statement to that effect on or about December 10, 1926, as shown by exhibit "D,” hereto attached.

(б) The allowance of $70 on Moon car "A” is an overcharge of $70 on this car, which was paid for by the plaintiff and allowed as correct by the defendant when called to its 'attention.

(c) The $154.32 item is for freight charges in Atlanta, and from Atlanta to Savannah, paid by the plaintiff for the account of the defendant, in order to get the first cars from the railroad, and is acknowledged by the defendant as correct, as shown by its statement hereto attached as Exhibit "D.” These cars were first shipped to Atlanta by defendant from St. Louis. The freight from Atlanta to Savannah was an overcharge against the plaintiff for which the defendant is liable, and for which it agreed to pay when the cars were received at Savannah. Exhibit "D” above referred to is a statement made by the defendant and- furnished to the plaintiff.

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Bluebook (online)
152 S.E. 611, 41 Ga. App. 231, 1930 Ga. App. LEXIS 513, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moon-motor-car-co-v-savannah-motor-car-co-gactapp-1930.