National Business & Property Exchange, Inc. v. Oklahoma Real Estate Commission

170 F. Supp. 904, 1955 U.S. Dist. LEXIS 2113
CourtDistrict Court, W.D. Oklahoma
DecidedJuly 29, 1955
DocketCiv. No. 6533
StatusPublished
Cited by1 cases

This text of 170 F. Supp. 904 (National Business & Property Exchange, Inc. v. Oklahoma Real Estate Commission) is published on Counsel Stack Legal Research, covering District Court, W.D. Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Business & Property Exchange, Inc. v. Oklahoma Real Estate Commission, 170 F. Supp. 904, 1955 U.S. Dist. LEXIS 2113 (W.D. Okla. 1955).

Opinion

CHANDLER, Chief Judge.

The above entitled cause comes regularly on for trial on the 22nd day of June, 1955, the parties appearing in person through authorized representatives and by their respective counsel of record. [906]*906Thereupon, National Business and Property Exchange, Inc., a Delaware corporation, is made an additional party plaintiff, and thereupon the parties introduce their respective evidence; the matter is taken under advisement for consideration of defendant’s motion to stay proceedings filed on June 21, 1955, and now this case comes on for entry of findings of fact, conclusions of law and judgment.

Findings of Fact

The Court makes the following findings of fact:

1. The Court finds that plaintiff, National Business and Property Exchange, Inc., a California corporation, has, since the institution of this action, contracted to sell its assets to National Business and Property Exchange, Inc., a Delaware corporation (which transaction is not completed) and that the addition of the Delaware corporation as a party plaintiff is proper; that plaintiffs are both nonresidents of the State of Oklahoma and that defendant is an Oklahoma resident, and the amount in controversy exceeds the sum of $3,000, exclusive of interest and costs; that the Court has jurisdiction of the parties and the subject matter of this action and that this is a proper proceeding under the Declaratory Judgment Act (28 U.S.C. § 2201).

2. This action is not one involving any question of the constitutionality of the Oklahoma Statutes, nor any question of exceptional public interest or state public policy, and the Court in the exercise of its discretion should not stay proceedings pending any proceedings in any Oklahoma state court.

3. Plaintiff corporations, either one or both, are the publishers of “National Buyers’ Guide” (hereinafter called the “Guide”), a magazine transmitted in interstate commerce under a second class mail permit under the category of “magazine”; that said Guide, in addition to articles of interest concerning various sections of the United States, carries within its covers extensive advertisements by individuals, firms and corporations for the sale or exchange of farms,ranches, businesses and income properties from all sections of the United States. The Guide is published and distributed monthly upon a national basis and has an average circulation of approximately 10,000 copies per issue. Distribution is free, upon written request only. Plaintiffs advertise extensively for these requests by radio, in magazines, and newspapers of local, sectional and national distribution. The advertisements appearing in the Guide are substantially the same or similar to the ads in the property and business for sale sections of the want ad sections of any local newspaper.

4. Plaintiffs’ advertisers are individuals, firms and corporations who are interested in selling or trading a business, farm or other income property and who purchase advertising space in the Guide in order to publicize and exhibit their particular business or property through the medium of advertising to many thousands of prospective purchasers throughout the United States.

5. The cost of advertising in the Guide is based solely upon a fixed charge for the space requested. The charge therefor bears no relationship to the value of the business or property and is not contingent upon the sale thereof. The cost of the advertising space is payable regardless of whether or not the business or property is sold, and the charges therefor are in accordance with contract prices contained in written contracts between the advertisers and plaintiff corporations.

6. Copies of the Guide are furnished free of charge to real estate brokers throughout the United States upon written application requesting the same. Copies are likewise furnished free of charge to libraries, chambers of commerce and other similar institutions requesting the same in writing.

7. Plaintiffs, either one or both, compile, publish and distribute to individuals, firms or corporations who have purchased advertising space in the Guide, a compilation entitled “Confidential Report of [907]*907Buyers” (hereinafter called the “Report”). This compilation is distributed to plaintiffs’ advertisers twice monthly. The Report is compiled from the names of individuals, firms and corporations who have responded to plaintiffs’ national advertising program offering free distribution of the Guide and who have evidenced interest in purchasing a business or other property and who have requested copies of the Guide. This Report is equivalent to the “business wanted” or “properties wanted” subsection of the want ad section of any local newspaper.

8. Plaintiffs, either one or both, have for some time and do now, carry on extensive advertising campaigns in order to solicit and secure customers for the purchase of advertising space in the Guide and to procure circulation of the Guide among people who are interested in buying businesses, farms or other income property. Such advertising is done through the media of radio, newspapers, national magazines (such as “Life”) and direct mail. I find as a fact that the only purposes of such advertising are to secure customers for advertisements in the Guide and to procure circulation of the Guide among people who are interested in buying businesses, farms or other income property, and that such advertising is not for the purpose of soliciting the sale or exchange of property. I further find that in none of such advertising do plaintiffs advertise or hold themselves out as being real estate brokers or real estate salesmen and that most of such advertising specifically advises that plaintiffs are not real estate brokers.

9. I further find that following favorable reaction to any form of advertisement or direct mail solicitation, a representative or representatives of plaintiffs, none of whom are real estate brokers or salesmen, personally call upon a prospective advertiser and if successful, procure a written agreement for an advertisement in the Guide. The contract for the advertising space is not effective until accepted by plaintiff at its home office in Los Angeles, California.

10. I find that every representative of plaintiffs who solicits advertising is furnished with plaintiffs’ sales procedure policy; that such sales procedure policy is in writing and the representatives or salesmen are requested to sign the same and govern their activities in accordance therewith. This sales procedure policy indicates clearly that the plaintiffs’ business should not be represented as that of selling, exchanging, renting or leasing properties or that the salesmen or plaintiff corporations are real estate brokers; that no appraisal of any business or income property should be undertaken and that the sale price of the property is strictly up to the prospective advertiser and that such prospective advertiser is free to deal with any prospective buyer or to make any contracts or arrangements with any real estate broker or salesman of his choice and that the plaintiffs have no interest or connection therewith.

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Related

Opinion No. 73-213 (1973) Ag
Oklahoma Attorney General Reports, 1973

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Bluebook (online)
170 F. Supp. 904, 1955 U.S. Dist. LEXIS 2113, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-business-property-exchange-inc-v-oklahoma-real-estate-okwd-1955.