Prentice v. Rowe

324 S.W.2d 457
Missouri Court of Appeals·Decided June 2, 1959·No. 7734·Published·Cited by 38 cases

Opinions

STONE, Presiding Judge.

Defendant, W. E. Rowe, appeals from a decree enjoining him “from artificially inseminating cattle, either directly or indirectly, in McDonald County, Missouri for a period of two years from November 21, 1957.” About May 1948, Rowe (who theretofore had been a dairy farmer in McDonald County for fifteen years) began to work as an artificial inseminator of cattle — a calling frequently identified by the less discriminating and descriptive, but more dignified and distinguished, title of “technician.” For a time, Rowe “worked on a commission” for Harry Rollins, a “pioneer of the artificial insemination business in Southwest Missouri,” who did business as the Dairy Breeding Association of Carthage, Missouri. When Rollins sold his bulls in November 1951, to J. R. Prentice of Chicago, who does business as American Breeders Service (hereinafter referred to as ABS), Rowe entered the employ of ABS under a written “Technician’s Employment Contract” which clearly and plainly established an employer-employee relationship between ABS and Rowe and spelled out the rights and obligations of the respective parties. Rowe’s employment was to “inseminate all cows presented for service” in the stipulated “service area” of McDonald County, Missouri, “with semen furnished and at fees established by the employer.”

Rowe continued in the employ of ABS until May 1, 1957, under similar written contracts. Each such contract provided that: “The Technician (Rowe) shall spend his full time on the Employer’s (ABS) business. Such time as he has free after inseminating cows and performing other duties required hereunder, he shall spend in promoting the Employer’s business and soliciting new business.” And, each such contract contained a restrictive covenant in substantially the following language quoted from paragraph 9 of the last “Technician’s Employment Contract” dated January 11, 1955 (hereinafter referred to as the employment contract) : “While employed under this contract, and any extension or renewal thereof, and as long as the Employer carries on the business of artificial insemination of cattle during the two years after the termination of such employment, the Technician shall not * * *, in the service area (McDonald County, Missouri), artificially inseminate or take or solicit orders for the artificial insemination of cattle, with semen other than such as shall be furnished to the Technician by or through or with the permission of the Employer.”

In May 1957, ABS sold to Don L. Hoyt of Springdale, Arkansas, “all right, title and interest of ABS in and to ABS’s retail artificial inseminating business” in seven Missouri counties, including McDonald County, and Hoyt became the “distributor” for ABS semen in those counties. Under date of May 1, 1957, Hoyt (d/b/a Ozark Proved Sire Service) as “distributor” and Rowe as “purchaser” entered into a written “Contract for the Sale of Fresh Semen” (hereinafter referred to as the fresh semen sales contract). In this contract, the parties agreed, among other things, “that the purchaser (Rowe) is an independent contractor and the distributor (Hoyt) shall not direct, guide and supervise the manner in which the purchaser .does his work” and “that the purchaser has no vested property right under this contract, but only a franchise to sell American Breeders Service semen in the above described territory (McDonald County, Missouri) for so long as this contract is in effect.” The fresh semen sales contract contained two restrictive covenants. The first was that “the purchaser (Rowe) during the term of this contract, and for a period of two years after the termination of such agreement shall not (either on his own account or of a partner, representative, or otherwise) inseminate cows with semen, either fresh or frozen, other than that furnished by distributor (Hoyt),” and that “after the termination [460] of this agreement, purchaser shall not have the right to inseminate any cows serviced under this contract.” The second was contained in another paragraph which embodied in the fresh semen sales contract by reference the restrictive covenant hereinbe-fore quoted from paragraph 9 of the employment contract of January 11, 1955. The fresh semen sales contract was “approved” in writing by ABS, although ABS was not a party thereto. ; . ■. • •

On October 8, 1957, Rowe signed a written “Resignation” in which he tendered “my resignation of employment, either as servant or independent contractor, to the American Breeders Service and the Ozark Proved Sire Service Co.,” effective “30 days from date.” The testimony concerning execution of this “Resignation” was in sharp and irreconcilable conflict. Hoyt and Divine (a field representative of ABS) testified that Rowe was “very bitter” toward ABS and “wanted to resign,” and that he had signed the “Resignation” notwithstanding the fact that they had “begged Mr. Rowe * * * an hour or so not to resign.” On the other hand, Rowe said that he did not read the “Resignation,” and that he signed it because Hoyt and Divine requested and, in fact, “forced” him to do so, although (at another point in his testimony) Rowe conceded that Hoyt and Divine had “encouraged” him to continue “under the terms of the contract.” In any event, the “Resignation” appears to have been an outgrowth of what Rowe referred to as “some difficulty” and “some disagreements,” wholly unexplained in the record except for the suggestion inherent in Rowe’s statement that his objection to continuing the sale of ABS semen was that ABS wanted to raise the breeding fee from $6 to $7.

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Prentice v. Rowe, 324 S.W.2d 457 (Mo. Ct. App. 1959).

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