Reese v. Evans

246 N.W. 250, 187 Minn. 568, 1932 Minn. LEXIS 1071
CourtSupreme Court of Minnesota
DecidedDecember 30, 1932
DocketNo. 29,194.
StatusPublished
Cited by2 cases

This text of 246 N.W. 250 (Reese v. Evans) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reese v. Evans, 246 N.W. 250, 187 Minn. 568, 1932 Minn. LEXIS 1071 (Mich. 1932).

Opinion

Olsen, J.

Defendant appeals from the judgment.

On October 15, 1931, the defendant gave to the plaintiff a written order and agreement for a trade or purchase of an automobile, reading as follows:

“Car Order Blank
Dealer’s Name Greenbush Motor Co.
Address Greenbush, Minn.
Date Oct. 15th, 1931
Enter my order for one New Willys Six Sedan to be delivered to me............... or as soon as possible.
I agree to take same as is. Cash price of car.......................................$922.00
Accessories 1 set seat covers, 2 nickel metal tire covers. No charge.
If you get 220 gal. Mobiloil Avill take for $125.00 all.
Total cost including accessories Less cash payment
Allowance Ford Coupe. Car No...............$400.00
Total Credit ............... 400.00
Balance due ............... 522.00
Plus Insurance
Plus Interest & Finance Charges
Total Time Payment Cost
To be paid in as Avanted......notes of $.......each.

*570 No Salesman’s verbal agreement is binding on the Company; all terms and conditions of this sale are expressed in this agreement; any promises or understandings not herein specified in writing are hereby expressly waived. The above car is in good condition and we do not guarantee. Any adjustments or repairs made from this day on will be charged for. We do not guarantee the mileage, or model.

It is understood and agreed that the Title Ownership of car as above described does not pass to me until the final cash payment is made. I certify that I am twenty-one years of age or over and that the car I am trading in is free from all encumbrances whatsoever.

This order is not binding unless authorized by an officer of the company.

Signed Elmer Evans.
Address ....................Phone No...........
Authorized by
Herbert Reese Salesman.
Motor No...............Date delivered ..............
Serial No...........License No...........Title No...........
Form 34”

The automobile was kept by the plaintiff in his salesroom or garage at Greenbush, Minnesota, he being in the business of selling automobiles and keeping a garage. Plaintiff had the car in the presence of the defendant at the time the contract was made. The decisive questions in the case are these: (1) Whether there was an actual or constructive delivery of the car to defendant; (2) whether the plaintiff could recover the price of the car without such delivery.

The conditional sale contract was executed out on the highway where defendant was engaged as a road contractor. At that time, according to plaintiff’s testimony, the tire covers and seat covers had not been placed on the car. Plaintiff’s place of business was at the village of Greenbush. About two weeks after the contract was made plaintiff came to the village of Roseau with the car, which *571 was then in condition to he delivered. He found the defendant there, and they had some conversation as to the oil and Ford coupé mentioned in the contract. Plaintiff testified that he told the defendant at that time that he had the car equipped as ordered, ready for defendant to take, and that he wanted the Ford coupé as he had it sold; that defendant said he did not want to take the car then on account of the condition of the roads and said he would wait a week or ten days; that he would come up the following Tuesday and finish up the deal. Plaintiff then took the car back to his place of business at Greenbush. Defendant did not come to see plaintiff on Tuesday. The next Wednesday plaintiff again drove the car to Roseau, and at that time defendant told him he would not take the car.

Defendant’s testimony is that he informed the plaintiff the first time plaintiff came to Roseau that he would not take the car. Defendant has neither title nor the right to possession of the property nor actual possession thereof. He has refused to carry out the contract. It cannot be said that there was a constructive delivery. The plaintiff had the car ready for delivery. He could have left it with defendant. He did not do so, but retained possession and drove the car away to his place of business at Greenbush. It is apparent that he did not intend to deliver unconditionally. He wanted defendant to deliver to him the Ford coupé which Avas to be taken in trade, and either deliver the oil or make settlement therefor. He does say that he stored the car in his place of business for defendant. The reasonable inference is that he held it there on the same conditions. The evidence presents a case of a breach by defendant of an executory contract whereby plaintiff agreed to deliver to defendant an automobile on a conditional contract reserving title, and defendant agreed to deliver to plaintiff another automobile at a fixed valuation and to pay the balance of the price of plaintiff’s car, with the further privilege of delivering 220 gallons of oil as part of the price. It is not amase of a straight sale where the seller agrees to deliver the goods, thereby passing title to the buyer, and the buyer agrees to pay the price. There has been no *572 such delivery as to vest either the title or the possession of the car in the defendant.

It is well settled by our decisions that when the purchaser in a conditional sale contract has received possession of the goods and is in default in payment the seller has three remedies. He may (a) reclaim the property, (b) treat the sale as absolute and sue for the unpaid indebtedness, or (c) sue to foreclose the lien under the contract. But if he elects one of these remedies he abandons the others, and his rights are limited to the one remedy which he so selects. C. Aultman & Co. v. Olson, 43 Minn. 409, 45 N. W. 852; Keystone Mfg. Co. v. Cassellius, 74 Minn. 115, 76 N. W. 1028; C. W. Raymond Co. v. Kahn, 124 Minn. 426, 145 N. W. 164, 51 L.R.A.(N.S.) 251; A. F. Chase & Co. v. Kelly, 125 Minn. 317, 146 N. W. 1113, L. R. A. 1916A, 912; Edward Thompson Co. v. Brown, 171 Minn. 483, 214 N. W. 284; Holmes v. Schnedler, 176 Minn. 483, 223 N. W. 908. There are other cases to the same effect. But these decisions treat of cases where the buyer has received possession of the goods. If in that situation the seller, after retaking the property, cannot recover the purchase price, it seems to follow that he cannot recover the price where he has never parted with the possession of the goods but retains such possession.

In C. W. Raymond Co. v. Kahn, 124 Minn. 426, 429, 145 N. W.

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Bluebook (online)
246 N.W. 250, 187 Minn. 568, 1932 Minn. LEXIS 1071, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reese-v-evans-minn-1932.