Singer Manufacturing Co. v. Forsyth

9 N.E. 372, 108 Ind. 334, 1886 Ind. LEXIS 237
CourtIndiana Supreme Court
DecidedNovember 23, 1886
DocketNo. 12,591
StatusPublished
Cited by41 cases

This text of 9 N.E. 372 (Singer Manufacturing Co. v. Forsyth) is published on Counsel Stack Legal Research, covering Indiana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Singer Manufacturing Co. v. Forsyth, 9 N.E. 372, 108 Ind. 334, 1886 Ind. LEXIS 237 (Ind. 1886).

Opinion

Mitchell, J.

The complaint in this cause charges that on the 27th day of October, 1874, William H. Forsyth, Columbus C. Bu^ns and Elias R. Forsyth executed a joint and [335]*335several bond to the Singer Manufacturing Company, conditioned that "William H. Forsyth should pay, or cause to be paid, any and every indebtedness or liability then existing,, or which might thereafter in any manner' exist or be incurred,, on the part of William H. Forsyth, to the Singer Manufacturing Company, whether such liability should exist in the' shape of book accounts, notes, renewals, or extensions of notes or accounts, acceptances, endorsements or otherwise. A. copy of the bond was filed with, and made part of, the complaint. The conditions of the bond are substantially as they are recited in the complaint.

It was averred that thereafter, in the year 1877, on the-faith of the bond and in pursuance of its provisions, William-. H. Forsyth, for a valuable consideration, executed his four1 promissory notes, for amounts stated, to the Singer Manufacturing Company. Copies of the notes are set out. They are all payable at a bank in this State.

The complaint also charges, that pursuant to the above-mentioned bond, William H. Forsyth transferred and deliv-' ered to the obligee in the bond, a certain note against one-James H. Kersey, and that he (Forsyth) guaranteed the payment of the same to the plaintiff. It avers that the note so transferred and guaranteed is not collectible. It is alleged that all the notes are due and unpaid. Judgment is demanded as for a breach of the condition of the bond.

Neither the complaint nor the bond on its face discloses, unless by implication, any consideration whatever for > the execution of the obligation sued on. It does not appear, either' by averment in. the complaint or recital in the bond, that William H. Forsyth was indebted to the Singer Manufacturing Company at the time the bond was executed, or that there was any business transaction of any kind had, or under contemplation, between him and the company at the time the bond was delivered.

So far nothing appears except that in 1874 the obligors, signed and delivered the bond in suit to the Singer Manu[336]*336facturing Company, and that three yeans thereafter the notes described in the complaint were received on the faith of the bond, for a valuable consideration moving to the maker and guarantor of the notes. No question is made as to the sufficiency of the complaint, and we express no opinion on that subject.

Answers were filed in which, substantially, the following facts are made to appear, viz.: That the sole and only consideration for the execution of the bond declared on was, that concurrently with its execution the Singer Manufacturing Company, by a written agreement, constituted William H. Forsyth its agent, for the sale of its sewing machines in the county of Decatur, in the State of Indiana, the company agreeing to furnish him for sale, and to be leased, machines and accessories, at a discount of 35 per cent, from its regular list price. The contract stipulated that the agent should account monthly for all machines sold or leased by him, either with cash, or the note of the purchaser, or by giving his own promissory note, and at the termination of,the agency return to the company all machines remaining unsold.

The answer alleges that this contract of agency continued until the 15th day of May, 1875, when it was superseded by a new contract, and that this new contract was superseded by a third, on the 3d day of October, 1876, which was followed by a fourth, dated May 13th, 1877. That finally on the 4th day of October, 1877, the agency was terminated, and a full and final settlement had between the company and its agent. This settlement, according to the answer, resulted in an- absolute sale by the company to William H. Forsyth of all the machines then unsold in the possession of the latter, and which had been consigned to him under the previous contract of agency. The answer further avers that all of the foregoing contracts, except that executed contemporaneously with the bond in suit, were made without the knowledge or consent of the defendants, and that the notes sued on were executed in consideration of, and in payment for, the property pur[337]*337chased by Wm, H. Forsyth from the company on the 4th day of October, 1877, when the previous contracts were annulled .and cancelled. There were also answers alleging that the bond had been executed without consideration.

Demurrers were overruled to all the answers which presented as a defence the facts above set out.

Upon issues made a trial was had which resulted in a finding and judgment for the defendants below.

It is contended’ here, that the demurrers to the answers, .above summarized, should have been sustained, and that the ■court should have granted a new trial, because the finding was not sustained by any competent evidence.

The position which the appellant’s learned counsel seek to maintain is, that since the bond in terms covers every indebtedness of William H. Forsyth, whether existing at'the time the bond was executed, or which might thereafter exist or be in any manner incurred, it was not competent to aver, and prove by parol, that the sole consideration of the bond was the contract of agency, which was executed concurrently with it, and that it was error to confine the obligation of the bond to indebtedness arising under and embraced by such contract.

The argument is, that to permit the bond to be so restrained is in violation of the elementary principle which forbids that a plain and unambiguous contract should be varied, contradicted or added tc by parol.

The rule that a formal written contract, which appears to be complete, will’be presumed to be the repository of the .final intentions of the parties, in regard to the subject-matter of the agreement, and that it excludes proof of any prior or contemporaneous parol stipulations which would contradict the writing, is abundantly settled, and should not, on account of its importance, be relaxed in any degree.

“ It would be inconvenient,” says Lord Coke, that matters in writing made by advice and on consideration, and [338]*338which finally import the certain truth of the agreement of 'the parties, should be controlled by averment of the parties to be proved by the uncertain testimony of slippery memory. And it would be dangerous to purchasers and farmers, and' all others in such cases, if such nude averments against matter in writing should be admitted.” Rutland’s Case, 5 Coke’s R. 26.

Obligations which parties have deliberately entered into, and put in writing, can not therefore be 'pared down, taken away or enlarged by parol evidence.

The rule, however, has no application to a case in which it' appears from the writing itself that it does not contain the whole agreement between the parties, nor does it operate to exclude proof of collateral or superadded agreements, provided the agreements so sought to be proved be not inconsistent with the writing. In such cases parol evidence of the collateral matter is admissible to the extent that it does not. .specifically add to, or contradict, or where it is necessary to-complete, the original contract. Trentman v. Fleteher, 100 Ind. 105, and cases cited; Chapin v. Dobson, 78 N. Y. 74 (34 Am. R. 512); Eighmie v. Taylor, 98 N. Y. 288; Jones Com. Cont., pp. 188-198.

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9 N.E. 372, 108 Ind. 334, 1886 Ind. LEXIS 237, Counsel Stack Legal Research, https://law.counselstack.com/opinion/singer-manufacturing-co-v-forsyth-ind-1886.