Old Dominion Transportation Co. v. Hamilton

131 S.E. 850, 146 Va. 594, 46 A.L.R. 186, 1926 Va. LEXIS 350
CourtCourt of Appeals of Virginia
DecidedFebruary 25, 1926
StatusPublished
Cited by18 cases

This text of 131 S.E. 850 (Old Dominion Transportation Co. v. Hamilton) is published on Counsel Stack Legal Research, covering Court of Appeals of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Old Dominion Transportation Co. v. Hamilton, 131 S.E. 850, 146 Va. 594, 46 A.L.R. 186, 1926 Va. LEXIS 350 (Va. Ct. App. 1926).

Opinions

Holt, J.,

delivered the opinion of the court.

This is a motion for judgment founded upon services rendered and accepted. Plaintiff recovered a verdict for $10,000.00. It was confirmed by the court and to it a writ of error has been awarded.

Prior to 1921, the Old Dominion Steamship Company (hereafter • called steamship company) in addition to other ventures owned and operated a coast-wise line of steamships trading between Norfolk and New York. It, for satisfactory reasons, decided to go out of this [598]*598coast-wise business and sold the steamships thus engaged to the Old Dominion Transportation Company (hereafter called transportation company). At the time of this purchase the steamship company leased to the transportation company one-half of pier 26 at New York. It paid to that city for that pier $56,000.00 a year rent. Its subleasee agreed to pay for one-half of it $73,000.00 a year rent.

This sublease expired by limitation on July 31, 1921. In the latter part of 1920, friction developed between these companies. The steamship company harassed and impeded the transportation company in the conduct of its business on the pier, and in many ways impaired the usefulness of its terminal facility. Indeed, it appeared entirely probable that the sublease which expired on July 31, 1921, would not be renewed and that after that time the transportation company would be left without any dock at all in the port of New York. Its very existence was threatened. The transportation company acting through its president was not able to reach agreement with the steamship company. It was ascertained, however, that the lease of the steamship company might be cancelled by the city in the event of a sublease made without its consent. In these circumstances the transportation company sought the services of Mr. Hamilton, a gentleman of character and prominence, and entered into a contract with him under which he was to go to New York and induce the city, if possible, to cancel the lease of the steamship company to the end that the transportation company might take over the entire pier. There were no provisions made in the contract as to the methods to be adopted by him in effecting this result. He was given power to do those things necessary and, in a general way, to protect the transportation company’s interests.

[599]*599Mr. Hamilton, acting under his contract, went to New York a number of times and did succeed in having the original lease cancelled. That act of the city government of New York was held up by court proceeding. The net result of his activities was that the transportation company continued to use its one-half of pier 26 until December, 1921. He also secured for it pier 31 and succeeded in having the rent reduced from $45,-000.00 to $30,000.00 a year.

For these services he charged a fee of $20,000.00 and was paid $2,000.00 thereon. Payment of the balance of $18,000.00 was refused and this action instituted, terminating, as we have seen, in a judgment for him in the sum of $10,000.00.

The plaintiff asked for one instruction which was given. That instruction is as follows:

“The court instructs the jury that if they believe from the evidence that the plaintiff was employed by the defendant as claimed by him, and that he performed the services for which he was employed, and if they further believe from the evidence that the amount which was to be paid the plaintiff by the defendant was not agreed on in advance and has never been agreed on, then, if they find for the plaintiff, they should fix the amount of his damages at what they think, under all of the facts and circumstances disclosed by the evidence, the plaintiff is reasonably entitled to receive for the services rendered, in addition to the amount which he has already been paid, if they shall believe he is entitled to recover any additional amount; and in arriving at this amount they should consider, among other things, the importance to the defendant at the time of obtaining pier facilities in New York; the amount of the money or the value of the property to be affected; the amount and character of the services rendered, and the [600]*600diligence, skill and effectiveness of the service which was rendered by the plaintiff.”

This is the basis of the first assignment of error.

The error charged is that it tells the jury they should consider in arriving at their verdict among other things “the importance to the defendant at this time of obtaining pier facilities in New York;” that it makes the measure of the services rendered depend upon the necessities of the defendant and the value of such services to him and not upon the reasonable value of services in themselves.

The elements to be considered in a recovery of this character are stated by Judge Sims in County of Campbell v. Howard, 133 Va. 19, 112 S. E. 876:

“It is the reasonable value of the services rendered, not in benefit to the client, but in themselves on a quantum meruit; and that the circumstances to be considered in determining the compensation to be recovered are — the amounts and character of the services rendered; the responsibility imposód; the labor, time and trouble involved; the character and importance of the matter in which the services are rendered; the amount of the money or the value of the property to be affected; the professional skill and experience called for; the character and standing in their profession of the attorneys; and whether or not the fee is absolute or contingent, it being a recognized rule that an attorney may properly charge a much larger fee where it is to be contingent than where it is not so. The result secured by the services of the attorney may likewise be considered; but merely as bearing upon the consideration of the efficiency with which they were rendered, and, in that way, upon their value on a quantum meruit, not from the standpoint of their value to the client.”

It must be conceded that this instruction emphasizes [601]*601the importance of the results to the client rather than the importance of the transaction in itself.

The value of services to the defendant measured by its necessities is not necessarily the measure of the value of the services in themselves. AH'that.a man hath will he give for his life but counsel who successfully defends a millionaire client charged with murder cannot take his entire estate. In such a case the value of services to the client is not the measure of the recovery. If he were to collect for this same client a simple account, the value of the services and their value to the client would probably be the same and the value of the services to him might well be the measure of the recovery.

Since for other reasons this case must be remanded for a new trial, this instruction should be reformed to conform more closely with the distinction drawn by Judge Sims in the Campbell County Case.

The second assignment of error is based upon the action of the court in refusing to give instruction No. 3 for the defendant:

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Bluebook (online)
131 S.E. 850, 146 Va. 594, 46 A.L.R. 186, 1926 Va. LEXIS 350, Counsel Stack Legal Research, https://law.counselstack.com/opinion/old-dominion-transportation-co-v-hamilton-vactapp-1926.