Wood v. Dodge

120 N.W. 774, 23 S.D. 95, 1909 S.D. LEXIS 85
South Dakota Supreme Court·Decided April 6, 1909·Published·Cited by 15 cases

Opinion

WHITING, J.

This cause is before this court upon an appeal from the judgment of the trial court in favor of the plaintiff, and also from the order of such trial court denying a new trial. The action was brought to recover the value of goods which the plaintiffs claimed they, as retail merchants, delivered and furnished to one Miller, relying upon the oral promise of defendant made prior to such .delivery that he (the defendant) would pay for such goods if so furnished and delivered. The defendant denied ever [97] making any such promise, and furthermore, claimed that if any promise was .made it was within the statute of frauds and would have to be in writing in order to render him liable thereon.

Upon the trial the .plaintiffs’ testimony tended to show about as follows: The plaintiffs delivered to Miller tf j goods for which this action was brought and charged the sair to Miller on their books. That Miller was at all times when ' ceiving such goods a renter renting lands belonging to th*'_d_íendant. That prior to the delivery of any of the goods in question, to wit, on October 7, 1903, the defendant paid for certain goods which plaintiffs had furnished to Miller during .the year prior; -the defendant having written a letter that he would pay for such goods. That on said October 7, 1903, one of the plaintiffs asked the defendant what about the next year, and the evidence on behalf of the plaintiffs is somewhat conflicting as to the answer given by the defendant; the several witnesses testifying to the following different answers: “You let Mr. Miller have what he wants for the farm. I will stand for it.” “Let him have what he wants and I will pay for it.” “Let him have all he needs for the farm, and I will see that it is paid.” “Let Miller have what he needed on the farm, and it would be paid for.” Nothing was said as to whom it should be charged to. The defendant had an account with plaintiffs at the same time, hut the goods in question were charged solely to Miller. The testimony is entirely silent as to whether or not the plaintiffs would have delivered these goods without first having received whatever .promise, if any, was made by the defendant, and there is absolutely no testimony as to whether the credit for these goods was extended relying upon any promise made by the defendant.

Several assignments of error, are noted in the record, all but two of which are considered in appellant’s brief on the one proposition stated in the form of a question by appellant’s counsel; “From all the circumstances surrounding the transaction, does it not appear that the promise of the defendant was collateral in its nature and not an original undertaking?” The above is the only question for our consideration, as the other two assignments claim error in the instructions given to the jury, and the appellant saved [98] no proper exceptions to such instructions, in that the only thing shown by the record being that after the instructions were given, and which instructions covered several distinct points, the following record was made: “To the foregoing instruction of the court to the jury the defendant duly excepted.” ' Such an exception, wherein the attention of the court is not called to any specific error claimed, is of no avail.

The plaintiffs base their claim of recovery upon section 1973 of the Revised Civil Code, which provides, among other things, as follows: “A promise to answer for the obligation of another in any of the following cases is deemed an original obligation1 of the promisor and need not be in writing: * * * When the creditor parts with value; * * * in consideration of the obligation in respect to which the promise is made, in terms or under circumstances such as to render the party making the promise the principal debtor, and the person in whose behalf it is made his surety.” Under the facts of this case, does it appear that the plaintiffs parted with the value ’ (the goods) in consideration of the obligation (promise) of defendant? We think not. The rule in this class of cases seems to be well settled. An oral promise to pay for goods furnished at the promisor’s request to a third person is not valid if the transaction is wholly or partly upon the credit of the third person so as to create a debt against him to which the oral promise is merely collateral. If any credit whatever is given to the third person, so that he is in any degree liable, the oral promise of the other party is not valid. 29 Am. & Eng. Ency.Law (2d Ed.) 180,181; 20 Cyc. 180, 181. In determining to whom, at; between the prom-isor and the person for whose benefit the promise is made, the credit was actually given, an important consideration is the manner in which the creditor entered the transaction in his books. Evidence that the goods sold were charged to the person to whom they were delivered strongly tends to show that the vendor gave credit to him and relied upon him for payment, and therefore that the promise of another to be answerable for the deb.t was at most a collateral undertaking. 20 Cyc. 183; 29 Am. & Eng. Ency. Law (2d. Ed.) 924. It is well settled that the charges made upon a book may be explained, and thereby remove the presumption that [99] would otherwise flow therefrom; but in this case there was neither explanation of this evidence, nor was there any evidence to the effect that .plaintiffs relied upon defendant's promise.

The words of the court ,in Williams v. Auten, 62 Neb. 832, 87 N. W. 1061, would well apply to the case at bar: “We are disposed to the view that the evidence is sufficient to support a finding that Williams [Dodge] was liable as the party with whom the contract was made, as the promisor in an original undertaking, and to whom the credit was extended and the goods sold, although for the benefit of and delivered to another, except for that which appears in the record from the pleadings and the evidence, and which conclusively shows that the contract was made with, and the goods were sold to, Welty .[Miller], and credit extended to him ás well as to Williams [Dodge].” The facts in this case of Williams v. Auten are much stronger in favor of the plaintiff than those in the case at bar.

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Wood v. Dodge, 120 N.W. 774, 23 S.D. 95, 1909 S.D. LEXIS 85 (S.D. 1909).

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