Tracy v. Biri

129 So. 461, 14 La. App. 125, 1930 La. App. LEXIS 471
CourtLouisiana Court of Appeal
DecidedJuly 1, 1930
DocketNo. 13,208
StatusPublished
Cited by2 cases

This text of 129 So. 461 (Tracy v. Biri) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Tracy v. Biri, 129 So. 461, 14 La. App. 125, 1930 La. App. LEXIS 471 (La. Ct. App. 1930).

Opinion

HIGGINS, J.

This is a suit to recover the sum of $1,400, commission alleged to be due as a result of the sale of a piece, of real estate in this city. The petition alleges that on September 30, 1926, plaintiff and defendant entered into a written contract whereby the defendant employed and designated the plaintiff as sole and exclusive agent to sell the premises No. 402 Hagan avenue and to pay 4 per cent, commission on the gross purchase price; that the contract was to endure for a period of 120 days from the date of its execution, and thereafter until terminated by 5 days’ written notice by the defendant to the plaintiff; that on March 30, 1928, the defendant sold the property to the Standard Oil Company for $35,000, which sale was effected during the term of the said contract of employment as a result of the direct and indirect efforts of plaintiff under his contract; that defendant did not give plaintiff, up .to and including the date of the sale, the 5 days’ written notice to terminate the contract as provided therein; that, after the contract of employment was entered into, plaintiff sought to obtain a purchaser of the property, and negotiated with several oil companies, including the Standard Oil Company, for the purchase of the property, and that plaintiff is not generally engaged in the real estate business.

Defendant admits that the agreement was entered into and that the property was sold for $35,000 to the Standard Oil Company, but denies liability on the following grounds, to-wit:

First. That the contract was to be only for a period of 120 days, and that any provision requiring 5 days’ written notice to terminate it was fraudulently placed in the contract.

Second. That during February, 1927, the contract sued upon was verbally canceled by mutual consent of the parties to it.

Third. That on March 15, 1927, written notice as required by the provisions of the contract for its termination was mailed to the plaintiff by the agent of defendant.

Fourth. That on February 16, 1928, defendant entered into a contract of employment with I. B. Rennyson, a duly qualified real estate agent in this city, who listed and sold the property on February 23, 1928, to the Standard Oil Company for the sum of $35,000, the act of sale being passed on March 30, 1928, and that the sale was made solely and only through the efforts of the office of I. B. Rennyson, [127]*127and that the plaintiff did not directly or indirectly assist in procuring the said purchaser.

The defendant also filed an exception of no cause of action, which was urged when the plaintiff’s witness, Mr. Norman F. De Reyna, a real estate broker, testified that the plaintiff had enlisted his assistance in attempting to dispose of real estate on several occasions, on the ground that the plaintiff was not a licensed real estate salesman or broker, and that section 19 of Act No. 236 of 1920 prohibited plaintiff from recovering through the courts of this state the alleged commission. The exception was referred to the merits.

There was judgment in favor of the plaintiff as prayed for, and the defendant has appealed.

The contract sued upon reads as follows:

“I hereby employ James J. Tracy as my sole agent and give him the sole and exclusive right to sell or lease, as such agent, for the period of 120 days and thereafter until terminated by five days’ written notice from me, to sell, lease or assist in selling, or leasing the following described real estate, to-wit:
“Property located at 402 S. Hagan Ave. (Oil station complete).
“Said above described property to be sold for not less than $33,000.00, U. S. Currency, or leased at a monthly rental for a period of fifteen or more years, of $300.00, U. S. Currency.
“And I hereby agree and bind myself, on demand, to convey said real estate, by warranty deed, with merchantable title, free from all encumbrances to any purchaser therefor by said agent upon the price and terms above set forth; or, should the said agent secure a lessee on the terms aforesaid, I hereby agree and bind myself to execute a formal, written lease therefor.
“And I hereby agree and bind myself on demand to pay to said agent out of the first purchase money paid on said real
estate, on sale as above being effected directly or indirectly for the services in securing such a purchaser a commission of 4 per cent of the gross purchase price; or, should such above described property be leased a commission equal to five per centum of the rental to be realized from the entire lease.
“Signed in the presence of the witnesses whose names are hereto subscribed, this 30 day of September, 1926.
“Nicholas Biri “James J. Tracy
“Witnesses:
“A. S. Cain, Jr.
“John B. Murphy.
“Sale price $33,000.00
“Lease $300.00 per month.
“Will not sell for less than $33,000.00 Net to myself.”

The record shows that the contract' was entered into and signed on September 30, 1926, and that the plaintiff recorded it in the conveyance office of the parish of Orleans on December 9, 1926; that the plaintiff was not a licensed real estate salesman or broker, but was engaged in the general adjustment and collection business, and was attending law school; that he lived in the neighborhood where the defendant operated a gas and oil station on Banks street and Hagan avenue; -that the defendant is uneducated; that he bought the property in question some 15 years .ago, and was living on the premises and operating a gas service station in the front of it; that defendant desired to sell the property for $33,000 net to himself; and that the plaintiff agreed to sell it for defendant, and that the above contract was entered into between them.

The plaintiff says that he did not advertise the property for sale, and that this is the only transaction of its kind that he ever handled. His efforts to dispose of the property consist of a conversation he had with Mr. James, who was connected with the Gulf Refining Company in the Maison Blanche building. Nothing grew out of this meeting.

[128]*128The plaintiff also enlisted the assistance of Norman F. De Reyna, a friend of his, to help him in disposing of the property. Mr. De Reyna is a real estate agent, and he testifies that he made several attempts to dispose of the property, taking ■the matter up with the representatives of several oil companies, including the Standard Oil Company, but did not advertise the property for sale and no definite offer resulted from his efforts to sell the property to any of the prospects.

The plaintiff testified that ne also asked the assistance of another real estate agent, Walter Reboul, but this party did not take the stand, and it appears nothing came of the negotiations that he might have had with reference to the sale of the property.

Plaintiff and .Mr. De Reyna both testified that, in the event De Reyna sold the property, he would receive the full commission, and that the plaintiff would not share in any portion of it, and that such was the relation he had with him on other pieces of property that he undertook to sell for plaintiff.

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Bluebook (online)
129 So. 461, 14 La. App. 125, 1930 La. App. LEXIS 471, Counsel Stack Legal Research, https://law.counselstack.com/opinion/tracy-v-biri-lactapp-1930.