Riskin v. Baltimore & Ohio Railroad

234 F. Supp. 979
CourtDistrict Court, District of Columbia
DecidedOctober 26, 1964
DocketCiv. A. No. 855-61
StatusPublished
Cited by4 cases

This text of 234 F. Supp. 979 (Riskin v. Baltimore & Ohio Railroad) is published on Counsel Stack Legal Research, covering District Court, District of Columbia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Riskin v. Baltimore & Ohio Railroad, 234 F. Supp. 979 (D.D.C. 1964).

Opinion

KEECH, District Judge.

This is an action in three counts to recover a broker’s commission. The first is based on an alleged contract with the Baltimore & Ohio Railroad Company to sell a certain parcel of land, known to the Railroad as the University Tract. The second and third counts lie in tort, alleging interference with plaintiff’s rights under the said contract and a conspiracy to deprive plaintiff of his commission.

Plaintiff is a licensed real estate broker in the District of Columbia. He was accustomed to passing the University Tract driving to and from work in 1959. In March of that year, plaintiff discovered through his plat books who the owner of this tract was, and accordingly contacted the Baltimore & Ohio Railroad Company. At this time he was informed by a Mr. Bauer, a representative of the Railroad, that the property was not for sale. In December of 1959, he contacted the Railroad again and was informed by a Mr. Pluebell that the property would be available to a buyer who could meet the qualifications of the Railroad. In January of 1960, plaintiff learned of a party who was looking for a site for a [981]*981warehouse with railroad access. PlainTiff contacted such party (Mr. Lee, President of the Capitol City Liquor Company, Inc.) and took him and his son to see the property. Mr. Lee displayed considerable interest and the next day, at Lee’s request, plaintiff supplied him with a plat of the tract copied out of plaintiff’s plat book. Lee then announced that he wanted to make an offer, and plaintiff arranged a meeting at Mr. Pluebell’s office. At this meeting, the court finds, it was made abundantly clear that the parties (i. e., the prospective buyer and the representative of the Railroad) already knew and had been dealing with each •other. Except for a delivery of some documents from the Lees to the Baltimore & Ohio Railroad Company which the plaintiff claims to have made, arranging this meeting was the last act of the plaintiff with regard to the sale of this property. Thereafter Lee negotiated directly with the Railroad, until a contract was signed on August 16, 1960.

During trial, the action against Capitol City Liquor Company, Inc., was dismissed by consent of the parties.

Three issues are presented by this •case, which the court will consider in inverse order: (1) Did Mr. Pluebell have authority to contract with plaintiff to sell property for the Baltimore & Ohio Railroad Company; (2) was a contract entered into with respect to the University Tract; and (3) was plaintiff in fact the procuring cause of the sale ■of that Tract?

The record shows that the Lees had been dealing with the Baltimore & Ohio Railroad Company for approximately six months prior to their inspection of the University Tract with plaintiff, with a view to locating a site for a larger warehouse along the Railroad. Mr. Pluebell had taken the Lees to see several properties, belonging, respectively, to the Railroad and to others. The testimony shows that, when plaintiff took Mr. Lee .and his son to Mr. Pluebell’s office, the Lees and Mr. Pluebell were familiar with •one another already and the visit immediately took on the aspect of a social gathering. Thus plaintiff was aware, as of that time, that the parties had been negotiating previously with each other. From this time on, plaintiff was relatively or completely out of the picture.

It is true that a broker is entitled to his commission where he has brought the parties together, even though he is precluded from the remaining negotiations. Clark v. Morris, 30 App.D.C. 553, 556. The mere fact that the parties had previously dealt with one another and discussed the purchase of other properties would not alter the broker’s rights, provided he were the predominant factor in bringing the two parties together culminating in the sale of this particular property. Nor would the fact that the parties had previously negotiated with regard to this particular property deprive the broker of his commission, if his efforts were predominant in the resumption and completion of fruitful negotiations.

Although prior to the meeting arranged by plaintiff the Lees had been principally interested in smaller properties, the evidence here is not only that the University Tract had been mentioned to them prior to such meeting, but that, as testified by one witness, a plat thereof had been shown to them. Moreover, negotiations with the Lees cannot be said to have broken off; rather, they appear to have been undergoing a slow but steady development. While not dwelling on any specific property, discussions had been held regularly with regard to available properties, the needs of the Lees, and the traffic which they might generate for the Railroad. Thus it cannot be said that the plaintiff introduced the Lees either generally or in respect to this property in particular; nor can it be said that plaintiff was responsible for repairing broken-down negotiations. Plaintiff’s own conduct is hardly consistent with a genuine belief that he had produced these prospective purchasers. A broker claiming a $27,000 commission does not step aside to let negotiations take what course they will, following a meeting at which interest is expressed, [982]*982with little or no further action. Such conduct could only reassure the parties that the broker’s intervention had indeed been gratuitous. A broker is not entitled to a commission merely by finding a purchaser; he" must be the direct and proximate cause of the sale. First Nat. Realty Corp. v. Blackwell Realty Co., 77 A.2d 319 (D.C.Mun.App.1950).

Furthermore, befor.e a broker can recover his commission, even if he is the procuring cause, he must show that he was commissioned to do so by the party sought to be charged. Eggleton v. Vaughn, 45 A.2d 362 (D.C.Mun.App. 3946). Otherwise he is a mere interloper. In the instant case, plaintiff relies on a statement by Mr. Pluebell, District Freight Agent for the Baltimore & Ohio Railroad Company, that if plaintiff had a purchaser who could qualify with the railroad as to freight requirements and financial responsibility the Railroad would sell the property. There was no writing supporting the alleged contract, nor was there any mention of compensation. In fact the whole conversation was more consistent with a mere willingness to sell to any qualified purchasers whom the plaintiff might be representing, than with an Undertaking by the plaintiff to represent the Railroad in the sale of the property. While it is true that the contract need not fail for lack of mutuality, and that the commission may be implied in cases such as this, nevertheless the evidence of intent is, in the instant case, not sufficient to be legally binding. This is especially true in light of Section 1408 (n), Title 45 of the D.C.Code (1961 ed.), which provides that a broker shall be subject to revocation or suspension of his license if he offers property for sale or rent without the written consent of the owner. It is true that this law provides only for the discipline of brokers who violate its provisions and does not nullify oral brokerage contracts. Shaffer v. Berger, 81 A.2d 469 (D.C.Mun.App. 1951). However, in view of the public policy expressed by the statute, this court is constrained to interpret such oral contracts strictly against the broker. The statements attributed to Mr. Pluebell were ambiguous.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

RDP Development Corp. v. Schwartz
657 A.2d 301 (District of Columbia Court of Appeals, 1995)
H. G. Smithy Co. v. Washington Medical Center, Inc.
374 A.2d 891 (District of Columbia Court of Appeals, 1977)
Mohamed v. Robbins
531 P.2d 928 (Court of Appeals of Arizona, 1975)
Hansford P. Miller v. Jackson Avirom
384 F.2d 319 (D.C. Circuit, 1967)

Cite This Page — Counsel Stack

Bluebook (online)
234 F. Supp. 979, Counsel Stack Legal Research, https://law.counselstack.com/opinion/riskin-v-baltimore-ohio-railroad-dcd-1964.