Union Sawmill Co. v. Summit Lumber Co.

49 So. 278, 123 La. 663, 1909 La. LEXIS 763
CourtSupreme Court of Louisiana
DecidedMarch 29, 1909
DocketNo. 17,084
StatusPublished
Cited by1 cases

This text of 49 So. 278 (Union Sawmill Co. v. Summit Lumber Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Union Sawmill Co. v. Summit Lumber Co., 49 So. 278, 123 La. 663, 1909 La. LEXIS 763 (La. 1909).

Opinion

NICHOLLS, J.

The plaintiffs and the defendant are corporations engaged in the same character of business in the states of Louisiana and Arkansas. Prior to the 21st of March, 1906, there had arisen a considerable amount of friction between the two companies arising out of their business in the two states. At that date there were pending in the state and federal courts in Louisiana several suits instituted by the Union Sawmill Company against the Summit Lumber Company and against the Arkansas Southeastern Railroad Company. There were likewise other suits then pending in Union parish, La., in which both parties were concerned.

On March 21, 1906, the two companies entered into a contract for the purpose of arriving at an amicable adjustment of their differences. In that contract each party engaged to do, and also not to do, certain things in the future. The stipulations of the parties were in the contract placed under 20 different headings. Under the heading No. 14 it was declared that it was mutually agreed and understood that in the event of a material or substantial breach of the contract, or of any of its stipulations and agreements by either party (except section 6, as to which, for a breach of its stipulations, special liquidated damages were provided), the actual damages to the other party shall be the sum of $10,000. Under the heading No. 2, the Summit Lumber Company declared that for the consideration hereinbefore mentioned and that hereafter stated, and for the sum of $1 to it in hand, upon the signing or execution of this instrument, it does hereby furnish bond and obligate itself that it will bargain, grant, sell, and convey by warranty deed to | the Union Sawmill Company, its successors and assigns, all the lands owned by the Summit Lumber Company, or any of its officers or stockholders, within the territory hereinafter described; also all the merchantable pine-timber 10 inches in diameter at the stump and over, now owned by the Summit Lumber Company, or any of its officers or stockholders, standing on any lands within the said territory hereinafter mentioned, the fee to which lands is in other parties, “ * * * for which said lands and timber as a final payment therefor the Union Sawmill Company shall pay to the Summit Lumber Company the sum of $3 per thousand feet according to the estimates (for which provision is-hereinafter made) for all the merchantable pine timber 10 inches in diameter at the-stump and over, standing and growing on said lands, subject to the condition that no pine timber known as ‘old field’ pine shall be included in the estimate to be made, except where such timber is equal in quality to virgin trees, and tributary to a virgin tract, nor shall any timber on lands commonly know as ‘cut lands,’ or partially cut lands, or lands situated in a territory heretofore cut over, be included in the estimate to be made as hereinafter provided, except as the Union Sawmill Company may desire it to be done; provided, further, that no timber shall be included in said estimates for which. * * * ” Under the heading No. 4 it was stipulated that for -the purpose of making the estimates hereinbefore mentioned it is hereby agreed that the same should be made jointly by P. W. Seaman, on the part of the Union Sawmill Company, and by W. H. Fields on the part of the Summit Lumber Company, and such assistants as they may secure to go in pairs, one of each; and in the event said Seaman and said Fields shall differ and not be able to agree on any matters of estimate on any tracts of timber they shall call in A. W. Washburn, of Bastrop, La., whose decision [667]*667therein shall be final, and in the event the said A. W. Washburn should fail or refuse to act in said capacity, then McWilliams, of El Dorado, Ark., shall be substituted in his place, with the same powers and effect as herein given to said Washburn; the costs and expenses of the said Seaman to be borne by the Union Sawmill Company, and the costs and expenses of the said Fields to be borne by the Summit Dumber Company; the costs and expenses of the said Seaman and McWilliams as the case may be, and of any assistants called in by the said Seaman and Fields, to be borne by the said lumber company and Union Sawmill Company, share and share alike. Should any estimator employed by either the said Seaman or the said Fields be objectionable to the other, his services shall be dispensed with at once, and an acceptable man employed in his place.

Under the heading No. 11, the Union Sawmill Company bound and obligated itself to sell and convey at and for the price of $3 per thousand feet, estimates to be made in the manner hereinbefore provided, all the merchantable pine timber 10 inches in diameter and over at the stump, standing and growing, which it owned along and tributary to the road of the Arkansas Southeastern Railroad, extending west from the Little Loutre creek to the Big Loutre creek, being described as follows, to wit:

“Known as the McCormick, Harrison, and Futch tracts owned by the Union Sawmill Company, which amount shall be credited upon the final amount to be paid under this contract by the Union Sawmill Company to the Summit Lumber Company upon a settlement between them, which timber shall be cut and removed by the Summit Company within six months from date, and all such timber remaining on said lands at the expiration of that time shall revert to and become the property of the Union Sawmill Company.”

Under the heading No. 15, it was declared that it was particularly agreed and understood that all the stipulations herein made and provided for shall be executed and completed without delay, and particularly on or before the 30th day of June, 1906, time to this extent being a part of the essence of the contract, at the end of which time, if all the stipulations and, agreements hereinbefore mentioned to be done and executed by the Summit Lumber Company shall not have been completed, or if the said lumber company shall fail to perform in any material point, or shall violate any of said stipulations before that time, the certified cheek for $50,000, hereinbefore mentioned as being placed with the Fourth National Bank of St. Louis, Mo., shall be at once returned to the Union Sawmill Company.

On the 4th of November, 1906, the Union Sawmill Company brought suit in the district court in and for Union parish, La., annexing to its petition a copy of the contract of March, 1906, in which it averred that it had in every particular performed the obligations of said contract, except in such matters as the Summit Lumber Company had prevented it from doing, and that it had made repeated demands upon the Summit Lumber Company to carry out and perform what it had assumed thereunder, but without avail. Plaintiff then set out in its petition various matters wherein the defendant had failed to carry out and had violated its obligations under the contract. Among allegations, it averred:

“That in said contract it was provided that the estimate of the said timber sold ,as aforesaid by the defendant to petitioner should be made jointly by P. W. Seaman for the Union Sawmill Company and W. H. Fields for the Summit Lumber Company, and such assistants as they might engage to aid them, said assistants to work in pairs.”

And it was further stipulated:

“That no assistants should be employed by either the said Seaman or the said Fields who might be or might become objectionable to the other.

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Bluebook (online)
49 So. 278, 123 La. 663, 1909 La. LEXIS 763, Counsel Stack Legal Research, https://law.counselstack.com/opinion/union-sawmill-co-v-summit-lumber-co-la-1909.