Wood & Brooks Co. v. D. E. Hewit Lumber Co.

109 S.E. 242, 89 W. Va. 254, 19 A.L.R. 467, 1921 W. Va. LEXIS 172
CourtWest Virginia Supreme Court
DecidedOctober 18, 1921
StatusPublished
Cited by18 cases

This text of 109 S.E. 242 (Wood & Brooks Co. v. D. E. Hewit Lumber Co.) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wood & Brooks Co. v. D. E. Hewit Lumber Co., 109 S.E. 242, 89 W. Va. 254, 19 A.L.R. 467, 1921 W. Va. LEXIS 172 (W. Va. 1921).

Opinion

Lynch, Judge:

The trial court set aside a verdict for plaintiff in an action for damages for a breach of an alleged contract, in the form [257]*257of an order, for the sale and delivery of lumber, the order being as follows:

Wood & Brooks Co.,
Ontario St., Buffalo, N. Y.,
Oct. 18, 1915.
D. B. Hewit Lumber Co.,
Huntington, W. Va.
Please enter our order for the following:
Ship: N. Y. C. & St.'L.
Via: Ship to Black Rock Station, Buffalo, N. Y.
500,000 feet 5-4 basswood, white No. 1 common and better, all white one face 80% white the other, suitable for piano keys, subject to our inspection at point of shipment.
Price $39.00 delivered Buffalo, 2% cash -10 days from receipt of car. 1916 delivery.
If you can not deliver as ordered, please advise us immediately.
WOOD & BROOKS COMPANY,
Per. N. R. Luther.

Defendant below and in error neither signed nor formally accepted the order, and for these and other reasons denies liability on the grounds that if the order be a contract it does not on its face require performance within a year from its date, wherefore it is void under clause 7 chapter 98, Code. The order considered apart from the correspondence between the parties to the action, and their acts and conduct respecting the transaction may be subject to the criticism urged against it. While it requires delivery in 1916, the requirement could have been fulfilled after October 18 of that year. But the correspondence throws light upon the intent of the parties as to the. order.

It is an offer to purchase basswood timber, and if accepted directly or inferentially it becomes a binding contract to deliver the timber called for, whether signed or not signed by the offeree, if viewed in the light of the subsequent correspondence, the acts of the parties, and the usages and customs [258]*258of business of that character there is disclosed an intention on the part of each of them to comply with its terms. If the contract could have been performed within a year from its date, it is not within the terms of the statute.

Decisions construing the statute show a tendency to limit its application to contracts which can not by a reasonable and fair interpretation admit of performance within a year, Franklin Sugar Co. v. Taylor, 37 Kan. 435; cases cited 25 R. C. L. 454, or in which it affirmatively appears that performance can not be had within that time. Walker v. Johnson, 96 U. S. 424. Our authorities sustain and strengthen this view, “An oral contract which may, in any possible event, be fully performed according to its terms within a year, is not within clause 7 of the statute of frauds,” McClanahan v. Otto-Marmet Coal Mining Co., 74 W. Va. 543; and “A verbal contract the terms of which do not expressly provide for performance beyond a year or by fair and reasonable construction contain anything inconsistent with complete performance within that time, is not within the statute of frauds.” Reckley v. Zinn, 74 W. Va. 43.

As plaintiff’s letter of October 18, 1915, that also being the date of the order, contains nothing which indicates that more than a year is to be required for completing the contract, and as A. M. Ilewit, the secretary and treasurer of the defendant company, admits that the quantity of lumber to be furnished was a small order, or as he says, not more than 6% of the annual capacity of the defendant’s plant, and that the quantity could have been cut and shipped before the summer of 1916, the contract could not be considered as one necessitating more than a year for its performance.

The fact that because of a series of delays, more or less willingly acquiesced in by plaintiff, the deliveries were as a matter of fact continued for more than a year is immaterial; it is the fact that the contract could have been performed within the necessary twelve months that carries the contract without the statute. Ford Lbr. & Mfg. Co. v. Cobb, 138 Ky. 174 S. W. 763; Van Woert v. Albany & S. R. Co., 67 N. Y. 538; Reynick v. Allington & Curtis Mfg. Co., 179 Mich. 630, 146 N. W. 252. Nor does the statute apply to an [259]*259obligation not in writing' to pay money, though payment is not to be made within one year. Rake’s Adm’r v. Pope, 7 Ala. 161; Reed v. Gold, 102 Va. 37, 45 S. E. 868; Hodgens v. Shultz, 92 Ill. App. 84; Dant v. Head, 90 Ky. 255, 13 S. W. 1073, 29 A. S. R. 369.

It is urged by defendant that the parties by the order and correspondence manifested an intention to extend performance over a time exceeding the statutory period. Neither the offer nor defendant’s letters warrant such construction, as the former construed in connection with the acts of defendant rather evince a purpose to consummate the sale within the twelve months. In fact Mr. Hewit in his letter of September 7, 1916 admits that such was his intention, but this feature we regard as indecisive. “Intention or expectation of the parties is immaterial.” McClanahan v. Otto-Marmet Coal & Mining Co., cited. All the cases cited by defendant to sustain its contention seem to involve contracts which on their face have their performance postponed beyond a year. Such contracts are of course within the statute. 3 Minor’s Inst. (2nd. Ed.) 196.

That the sufficiency of the memorandum may be gathered from letters and writings and not from parole evidence is well settled, Rahm v. Klerner & Sons, 99 Va. 10, 37 S. E. 292, but it is equally true that an offer in the form of a letter and an acceptance in like form may, if each refers to the same subject, be sufficient to constitute the writing called for by the statute. 2 Page, Contracts, Sec. 1321; Smith, Law of Frauds, p. 566. In defendant’s letter last referred to, written some three months after the first of several shipments of timber in June, 1916, pursuant to the order, appears the following clause: “When Ave took this order for 500,000 feet we expected to cut that much this year.” This letter, properly signed by defendant, is strongly suggestive of a completed memorandum.

Defendant’s statement that part performance does not take a contract out of the statute seems quite correct, the law on that point being very well presented in a mono-graphic note appended to Diamond v. Jacquith, L. R. A. 1916 D, 880 at 886, as follows: “The rule that part perform-[260]*260anee will prevent the operation of the statute so far as performance has gone, can, by the nature of things, have no application to actions for breach of contract. In such actions recovery is based not upon what has been done under the contract, but upon the loss accruing from what has not been done.

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Bluebook (online)
109 S.E. 242, 89 W. Va. 254, 19 A.L.R. 467, 1921 W. Va. LEXIS 172, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wood-brooks-co-v-d-e-hewit-lumber-co-wva-1921.