Wilson-Ward Co. v. Fleeman

272 S.W. 853, 169 Ark. 88, 1925 Ark. LEXIS 406
CourtSupreme Court of Arkansas
DecidedJune 22, 1925
StatusPublished
Cited by5 cases

This text of 272 S.W. 853 (Wilson-Ward Co. v. Fleeman) is published on Counsel Stack Legal Research, covering Supreme Court of Arkansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wilson-Ward Co. v. Fleeman, 272 S.W. 853, 169 Ark. 88, 1925 Ark. LEXIS 406 (Ark. 1925).

Opinion

ÍSmith, J.

Appellant, a corporation engaged in business in Memphis, Tennessee, as a cotton factor, sued appellee for a balance alleged to be due on advances made on consignments of cotton shipped to appellant by appellee, to be sold for appellee’s account.

Appellee admitted the correctness of the account sued on, but filed an answer and cross-complaint, in which he alleged that he did not owe appellant anything, but that appellant was indebted to him, for the reason that appellant had negligently failed to sell appellee’s cotton when directed, and appellee prayed judgment on account of such negligence in the sum of $1,523.21.

Special interrogatories were submitted to the jury, and there was a general verdict in favor of appellee, and from the judgment pronounced thereon is this appeal.

Appellee is a farmer at Manila, Arkansas, and on December 27, 1919, he shipped appellant sixteen bales of cotton, to be sold on commission. At the time of this shipment appellee was not indebted to appellant in any amount, but he drew a sight draft on appellant for the sum of $2,000, with bills of lading attached, and this draft was paid as an advance on the cotton. In January, 1920, appellee shipped six additional bales of cotton, and drew $500 against this shipment. These twenty-two bales of cotton weighed 11,388 pounds. Appellee had, in addition, in appellant’s hands one bale of cotton, which was a part of a shipment made in May, 1919. This last bale of cotton was sold on February 6, 1920, for forty cents per pound. In October, 1921, appellee shipped appellant five additional bales of cotton, making twenty-eight bales in all. These five bales were promptly sold, land no question is made about them.

About the 1st of March, 1920, appellee, accompanied by J. M. Hutton, who was also a farmer at Manila, went to Memphis to see appellant about the sale of his cotton.

It was explained to appellee by the president of the appellant company and appellant’s cotton salesman that the warehouses in Memphis were crowded with cotton for which there was but little demand. Appellant itself had on hand at that time something over thirteen thousand bales of cotton, on which the banks had loaned $100 per bale, with warehouse receipts for the cotton as collateral. Appellee was told that the farmers would have to assist in supporting the market or it would collapse, as it was impossible to sell any considerable quantity of cotton at the prevailing quotations, and that, if the sale of cotton was forced, it would have to be sold at a price considerably less than the quotations. It appears, however, that, notwithstanding these assurances, appellee directed that his cotton be sold for the best price obtainable and without reference to the quotations.

Sales of cotton were made by displacing samples taken from the bales, which were placed on tables in the salesroom. No samples of appellee’s cotton were on display, but the samples which were taken from appellee’s bales were found under a table by the office boy. Appellee’s salesman explained that this fact did not indicate that proper effort was not being made to sell the cotton, as the cotton was sold by grades, and other cotton of the same grade as that of appellee was on display.

Appellant’s salesman told appellee that appellee’s cotton was worth an average of thirty-five cents per pound, and would bring that price if the quotations could be obtained, but he stated that there was no demand for it at that price. Appellee then told the salesman to sell his cotton at the best price obtainable. -

The president of appellant company admitted that the cotton could have been sold for twenty or twenty-one cents per pound at the time appellee ordered it sold; but appellee insists that the testimony of this witness and that of the salesman shows that a sale of the cotton might have been made for as much as twenty-nine and one-half cents per pound at the time appellee ordered it sold. In any event, we are unable to say that the testimony in its entirety is insufficient to support the finding that it could have been sold March 1st, when the direction to sell was given, at twenty-five cents per pound. In response to an interrogatory specially submitting this question, the jury found that the cotton could have been sold at that time for twenty-five cents. By the testimony of appellant’s officers the cotton was then worth thirty-five cents per pound according to the quotations in the Memphis market.

The instructions given in the case are not set out in appellant’s brief, and it will therefore 'be conclusively presumed that the case was submitted to the jury under instructions correctly declaring the law.

Appellant insists that a verdict should have been directed in its favor under the undisputed evidence, and asserts that the case is analogous to and should be controlled by the decision of this court in the case of Wynne, Love & Co. v. Bunch, 157 Ark. 395.

There is, however, a very important distinction between the two cases. In the former case Bunch, the owner of the cotton, directed the factor to sell his cotton, 'but the direction contemplated a sale at the market quotations, a thing which could not be clone because there was no demand for the cotton at the quotations then prevailing. Here the testimony is that the owner of the cotton gave explicit and peremptory instructions to the factor to sell at the best price obtainable, whatever that might be, and the president of appellant company expressly admitted that a sale could have been made after directions to sell had been given for a price sufficient to repay the advances made on the cotton. The cotton was finally sold by appellant at prices ranging from 11% cents to 17% cents per pound.

Appellee liad the right to order his cotton sold under these circumstances. He was under no obligation to assist in supporting the market by withholding his cotton because the market price could not be obtained, and appellant should have obeyed the direction to sell. This appears to be the essence of this case, and the testimony shows that the factor disregarded his principal’s express instruction. Indeed, the chief question of fact appears to be whether the factor could have sold the cotton for as much as twenty-five cents per pound, and the answer of the jury to the interrogatory submitting that issue is conclusive of the question, as the testimony is legally sufficient to support the finding made.

It is insisted that there was no testimony to show the grade or staple of the cotton; but the testimony of Hutton, who examined the cotton in appellant’s office and who was familiar with grades and staples, sufficed for that purpose. Witness Hutton was asked on his direct examination if he knew “whether or not cotton of a similar grade was being sold by other people in Memphis during January, February and March, 1920” and answered, “As I remember, cotton was selling for around thirty-two up to thirty-eight and forty cents.” Upon his cross-examination the witness was asked if he did not have reference to the Blytheville and Manila markets, and he answered, ‘ ‘yes ’ ’. The appellant then moved to strike the former answer of the witness from the record. This the court declined to do, and an exception was duly saved.

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Cite This Page — Counsel Stack

Bluebook (online)
272 S.W. 853, 169 Ark. 88, 1925 Ark. LEXIS 406, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wilson-ward-co-v-fleeman-ark-1925.