Sullivan v. Sproule

269 P.2d 1015, 176 Kan. 274, 1954 Kan. LEXIS 269
CourtSupreme Court of Kansas
DecidedMay 8, 1954
Docket39,330
StatusPublished
Cited by5 cases

This text of 269 P.2d 1015 (Sullivan v. Sproule) is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sullivan v. Sproule, 269 P.2d 1015, 176 Kan. 274, 1954 Kan. LEXIS 269 (kan 1954).

Opinion

The opinion of the court was delivered by

Thiele, J.:

This was an action to recover a sum of money claimed to be due under the contract later mentioned. The defendants’ demurrer to plaintiff’s amended petition was overruled and they appeal.

Under date of February 28,1945, the defendants, as parties of the first part, entered into a contract with plaintiff, as party of the second part, containing four “Whereas” clauses and thirteen “contractual” *275 paragraphs, the gist of which follows: In the “Whereas” clauses, it was stated that first parties were erecting a drive-in theatre on a highway southwest of the city of Wichita and planned to operate it and desired to employ second party as permanent booker and buyer of films; that second party had for many years owned and operated motion picture theatres and was in a position to be of valuable service and was willing to assume the duty of buying and booking pictures for the theatre, and it was agreed:

1. First parties hired second party as buyer and booker of films.

2. Pertained to matters not now material and that it was understood duties of second party were limited to booking and buying films.

3. Second party was to have full, complete and sole authority to contract all pictures for the theatre and he agreed to use his best efforts and conscientiously select films that would produce the greatest revenue for the theatre.

4. Second party was allowed $12 per week as necessary expense in the employment of a booking agency in Kansas City to assist him in order to hold to a minimum necessary traveling expense of second party.

5. First parties were to pay second party as compensation for his services five percent of the box office receipts, less designated taxes.

6. Provided for keeping of books and records by first parties and access to second party for purposes of inspection.

7 and 8. Provision for a corporation and not of present importance.

9. Second party agreed not to erect a drive-in theatre in a specified part of Sedgwick county, and first parties agreed not to expand their drive-in theatre business in specified territory “during the term of this contract.”

10. Second party to have no voice in the management of the theatre other than the booking and buying of films.

11. Provisions that if either of first parties desired to sell, who should be possible purchaser.

12. Provision that contract binding upon the parties, their heirs, successors and assigns so long as second party owned theatres in the city of Wichita “and so long as the second party is living and is physically and mentally capable of performing the services hereunder.”

13. Although stated at length the substance was that if first *276 parties violated the contract with reference to employment it would be difficult to ascertain the damages, or if they should violate their agreements as to expanding their business, or if second party should violate his agreements as to erection of a theatre in the prohibited area, it would be difficult to ascertain the damages, and the parties agreed with each other that in event of violation in either of said events the damages should be determined as $10,000.

On September 12, 1952, plaintiff, the party of the second part in the above contract, commenced an action alleging violation thereof and claiming the sum of $10,000 as liquidated damages. On defendants’ motion all reference to liquidated damages was stricken from the petition, and thereafter the plaintiff filed his amended petition, hereafter referred to as the petition.

In his petition, plaintiff alleged execution of the contract, a .copy of which was attached to the petition, and that under its terms he was to have full, complete and sole authority to contract all motion pictures for the theatre, and that up to February, 1952, he performed in a proper manner each and every duty devolving upon him under the contract; that on February 7, 1952, defendants notified him that thereafter they would no longer comply with the contract of employment, and had since booked all motion pictures for their theatre either directly from film distributors or through booking agents other than plaintiff; that notwithstanding" such breach of the contract plaintiff always had stood ready, willing and able to perform all his obligations under the contract. Allegations as to the amount of business done in the years 1950 and 1951 are set forth and that the business has been increasing in gross volume; that plaintiff’s expectancy was 17.78 years and his prospective earnings were $106,204.29 and he had been damaged in that amount for which he prayed.

Defendants demurred to the petition on the ground no cause of action was stated and on the further ground that the damages sought were so wholly speculative, uncertain and conjectural they failed to form a basis for recovery. As has been noted this demurrer was overruled and defendants appealed. They specify error in the particulars hereafter discussed.

In the statement of their first contention, appellants say that the contract is unenforcible as it lacks consideration and mutuality. They present no argument as to lack of consideration and that phase will not be discussed. Insofar as lack of mutuality is con *277 cerned the argument is brief. They direct attention to the clause of the contract as to liquidated damages and argue that under that clause plaintiff would be under no liability — that his liability thereunder was in the event he erected a theatre in the prohibited area. Conceding it to be true that the clause as to liquidated damages is limited, that clause does not pretend to release plaintiff from all other liabilities under the entire contract. Appellants quote excerpts from the following cases, on the general proposition that both parties must be bound to duties under the contract, lacking which there is want of mutuality.-' We have examined these cases and find that on the facts they are distinguishable and not decisive here.

In Swart v. Huston, 154 Kan. 182, 117 P. 2d 576, it was held there was no contract covering duration of employment. In Grow v. Davis, 110 Kan. 214, 203 Pac. 683, the plaintiff was under no obligation to perform. In Fitzstephens v. Whan, 113 Kan. 650, 216 Pac. 269, the defendant agreed to make payments to the plaintiff, but plaintiff did not agree to do anything. In Van Deren v. Heineke & Co., 122 Kan. 215, 252 Pac. 459, it clearly appeared that plaintiff was under no duty to perform, and the same may be said for Sharpless v. J. B. Kirk Gas & Smelting Co., 128 Kan. 722, 280 Pac. 788. We have heretofore analyzed the contract. It is not debatable but that each party agreed with the other to perform specified duties for a specified time; that none of the provisions of the contract gave either party any option to refuse performance, but on the contrary bound each to perform, and it may not be said the contract lacked mutuality of obligation.

Appellants next contend they had the right to discharge appellee at any time they chose.

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Cite This Page — Counsel Stack

Bluebook (online)
269 P.2d 1015, 176 Kan. 274, 1954 Kan. LEXIS 269, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sullivan-v-sproule-kan-1954.