Moore v. Shell Oil Co.

6 P.2d 216, 139 Or. 72
CourtOregon Supreme Court
DecidedMarch 1, 1932
StatusPublished
Cited by9 cases

This text of 6 P.2d 216 (Moore v. Shell Oil Co.) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moore v. Shell Oil Co., 6 P.2d 216, 139 Or. 72 (Or. 1932).

Opinion

*79 KELLY, J.

Twenty-three assignments of error are set forth in defendant’s brief. The first assignment is, that the court erred in failing to grant defendant’s motion for nonsuit. Seven reasons are advanced in support of such motion:

1. It is urged that plaintiff’s failure to plead and prove his readiness and willingness to pay the contract price at the time and place of delivery is fatal to his right to recover. The amended complaint contains this allegation: That plaintiff “in all respects fully complied with his part of said contract and agreement in so far as he was allowed to do so by defendant.” Upon issue joined, this is a sufficient allegation of waiver by defendant of performance by plaintiff: Durkee v. Carr, 38 Or. 189 (63 P. 117). When performance has been waived, an offer to perform is unnecessary: Shaw Wholesale Co. v. Hackbarth, 102 Or. 80, 91 (198 P. 908, 911, 201 P. 1066), and cases there cited. This issue of alleged waiver by reason of the fact that defendant notified plaintiff that further deliveries would not be made under the contract in suit was submitted to the jury.

2. Defendant asserts that the contract does not contain a promise by defendant to sell and hence it is unenforceable. We note the following excerpts from said contract: “Lessee (defendant) intends to make deliveries under this contract,” etc. “All orders shall be filled with reasonable promptness,” etc. “Deliveries are to be made in fairly equal monthly quantities at said place of business.” The writer is unable to concur in defendant’s belated assertion, that it did not agree to sell the commodity mentioned.

3. Defendant particularly stresses the contention, that the price was not definitely fixed, and, for that reason, the contract is invalid. To constitute a sale, *80 the price need not be definitely fixed at the time the sale is effected, if the agreement contains express oi* implied provisions by which it may be rendered certain : 23 R. C. L. 1278. There could be no uncertainty as to defendant’s market price at North Powder. The contract expressly provides that the price to plaintiff should be four cents per gallon less than that.

We cannot concur with defendant in his statement that there could not possibly be any proof of what the full posted market price might be at any time during the term of the contract, even if the defendant should in the most capricious manner, and without assigning any reason therefor, fix an outlandish price for its gasoline and post the same as the posted full market price at its Baker depot. Whatever may be said as to the right in any view of the case, of the defendant to do such a thing, certainly, nothing would prevent the parties, the court, or the public, from ascertaining definitely, certainly and exactly, what that price might be when so posted.

Weston Paper Manufacturing Co. v. Downing Box Co., 293 Fed. 725, is a case, cited by the defendant, wherein a contract is construed which involved 900 tons of standard corrugating strawboard. There, it was agreed that the “Price: Shall be fixed by the seller on or before December 15, 1920, for the first three months’ shipments, beginning January 1, 1921. Seller shall give the buyer notice, in writing, on or before the fifteenth (15th) day of third month thereafter, of the price for the' tons to be shipped the ensuing three months’ period, which price shall be the seller’s market price then existing under this the seller’s standard form -of- quarterly price fixing contract. ’ ’

The-writer thinks that there is a distinction between that case and the case at bar in the fact that the posted- *81 price of gasoline is necessarily strongly influenced, if not absolutely controlled, by the posted prices of competing producers; and in the further fact that the method of its distribution and sale is entirely dissimilar from that of corrugating strawboard. In the case cited, the court comments on the fact that no third party had any immediate influence upon plaintiff in determining the price of its strawboard. That certainly cannot be said of gasoline today, whether of the variety produced by defendant, or that of its competitors. Strawboard is not marketed to such numbers of people as to make it as common, and its price as well known, as that of wheat, potatoes or prunes. If, however, there is no distinction between this case and the one at bar, the writer is not in harmony with the doctrine of the case cited.

Jensen v. Turner Bros., 16 S. W. (2d) 742, also cited by defendant, is an action for the alleged conversion of a quantity of corn. The point here considered is presented by the comments of the court upon the failure of the testimony, in behalf of plaintiff, to support'his allegations that there was a contract for a future sale to defendants. In this connection it is there said: “If it were a present sale for a price to be determined by future conditions or at a future date, this date must be designated or a time limit set, or a reasonable time understood.” In the case at bar, the question of the date, when the defendant’s market price less four cents per gallon would govern, is not in question. The parties to the contract have given a practical construction of the contract in that regard by operating thereunder, the defendant making delivery and the plaintiff making payment on the basis of defendant’s posted market price at time of delivery.

*82 Brooks v. Federal Surety Co., 58 App. D. C. 56 (24 Fed. (2d) 884), also cited by defendant, involves tbe construction of a contract providing that a mining company was to sell and deliver to plaintiffs a certain quantity of anthracite coal, deliveries to be completed within three months, and plaintiffs were to pay for all coal shipped and accepted during any month the price which they received for all coal sold during that month, without any deductions except a commission of 10 per centum of the sale price per ton. No delivery of any coal was ever made under this contract. The distinction between that case and the one at bar lies in the fact that there the plaintiffs alone could determine the price to be paid for the particular quantity of coal affected by the agreement. In the case at bar, if we give any value to the word “market” in the phrase defendant’s “full market price,” we must conclude that it means the price quoted publicly, not alone upon the particular gasoline plaintiff might purchase but upon the entire stock of defendant’s product. Both plaintiff and defendant introduced testimony to the effect that the full market price as posted, was the retail market price of the gasoline.

4. Defendant urges that the contract in suit is void, because it leaves performance thereof to the will or wish of one of the parties. Tweedie Trading Co. v. Parlin & Orendorff Co., 204 Fed.

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Bluebook (online)
6 P.2d 216, 139 Or. 72, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moore-v-shell-oil-co-or-1932.