Young v. Border Broadcasting Co.

255 P.2d 888, 75 Ariz. 298, 1953 Ariz. LEXIS 215
CourtArizona Supreme Court
DecidedApril 13, 1953
Docket5480
StatusPublished
Cited by3 cases

This text of 255 P.2d 888 (Young v. Border Broadcasting Co.) is published on Counsel Stack Legal Research, covering Arizona Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Young v. Border Broadcasting Co., 255 P.2d 888, 75 Ariz. 298, 1953 Ariz. LEXIS 215 (Ark. 1953).

Opinion

PHELPS, Justice.

Landon Young, plaintiff-appellant, ap- • peals from a judgment entered in the superior court of Santa Cruz County denying him relief upon his complaint against the Border Broadcasting Co., Inc., a corporation, defendant-appellee, and awarding judgment to defendant on its .first counterclaim in the sum of $1000 and costs, and from the order of the court denying plaintiff’s motion for a new trial.

The parties will be designated herein as plaintiff and defendant as they appeared in the trial court.

The facts are that since its incorporation in 1946 defendant has been the owner of broadcasting station KNOG in Nogales and engaged in radio broadcasting from that point. With the exception of one share of stock owned by Ruffo Espinosa, all the outstanding stock of the corporation was owned by Robert and Sam Marcus, father and son.

On May 31, 1949, Robert and Sam Marcus entered into an agreement with the plaintiff Landon Young wherein they agreed to sell and plaintiff agreed to buy all of their stock in defendant corporation for a sum certain to be paid for as therein provided. The agreement provided that the sale of the stock to plaintiff was made sub *300 ject to the approval of the FCC (Federal Communications Commission).

There was also incorporated in the contract the provisions that the Marcuses were to cause defendant corporation to enter into an employment agreement with plaintiff for a period of one year upon the terms and conditions expressly defined in said written agreement as follows, to wit:

“3. To cause said Border Broadcasting Co., Inc. to enter into an employment agreement with said party of the second part whereby he shall be employed for the period of one (1) year from June 1, 1949, as General Manager of said corporation at a monthly compensation equal to the amount of the excess, if any, of receipts over disbursements including monthly liability to Graybar Electric Company, Inc., in the operation of radio station KNOG with the obligation on 'his part to pay to said corporation monthly the amount of the deficit, if any, between receipts and disbursements in the operation of radio station KNOG.”

and plaintiff therein agreed to enter into said agreement with defendant.

Plaintiff on the following day, June 1, 1949, assumed the duties of his employment by taking over the management and control of station KNOG and continued to perform the same until July 6 or 7 of 1949 when he notified the Border Broadcasting Co., Inc. by letter

“ * * * that any connection I may have had with KNOG, as acting manager or whatever it was, is 'hereby terminated as of the close of business July 7, 1949.”

and in said letter plaintiff advised defendant that he had expended the sum of $1,557.70 for and on behalf of defendant and offered to accept the sum of $1,157.70 as settlement in full for such expenditures and threatened suit for more than $1,557.70 if payment was not forthcoming. The letter and demand were ignored by defendant and this action was instituted on July 11 following.

Plaintiff has presented six assignments of error for our consideration which when boiled down to final analysis are based (1) upon plaintiff’s claim that the evidence was sufficient to sustain the allegations of plaintiff’s complaint and to entitle him to judgment thereon; (2) that the court erroneously excluded evidence which should have been admitted and received evidence which should have been excluded; and (3), judgment entered by the court on defendant’s first counterclaim was based upon evidence erroneously admitted, and that the court should have granted plaintiff’s motion for a new trial.

It is the contention of plaintiff, first, that the written contract of May 31 was made subject to the approval of the FCC and since such contract was never approved by said commission it never became a valid contract binding upon the parties *301 thereto and consequently plaintiff’s contract of employment never became valid. We do not believe the written contract of May 31 is susceptible of such interpretation. It will be observed, as counsel for plaintiff concedes, that the contract of May 31 was for the sale of the outstanding stock of the Border Broadcasting Co., Inc. by Robert Marcus and Samuel Marcus as individuals to plaintiff in which the Marcuses bound themselves to cause defendant Border Broadcasting Co., Inc., a corporation, to enter into a contract with plaintiff for his employment for the period of one year upon the terms and conditions therein outlined. The Marcuses testified that on the same day that such contract was executed they had “a separate meeting of our corporation at which Mr. Young was not present” and carried out the covenant in the written agreement; that the broadcasting company did enter into an agreement with plaintiff for his employment. Mr. Young both admitted and denied such an agreement. To reach the conclusion it did the court had to find that there was an agreement of employment between the broadcasting company and Young and we believe there is substantial evidence to support such finding. In any event, as we have so many times held this court will not disturb the finding of the lower court based upon conflicting evidence.

If we assume that the written contract between the Marcuses and plaintiff was subject to approval of the FCC and under ordinary circumstances would not become operative until such approval was obtained it does not follow that the contract of employment never became operative. The contract for the sale of the corporation stock is an entirely separate agreement from the contract of employment subsequently entered into between plaintiff and defendant. We are not concerned here with a severable or divisible contract as counsel for appellant seems to believe. The most that the Marcuses did in the contract of May 31 was to bind themselves as individuals to see that the Border Broadcasting Co., Inc., a separate legal entity, did thereafter enter into a contract of employment with plaintiff. This they testified they did do and plaintiff testified that he took charge of the station the following day. Plaintiff certainly had no authority under the terms of an agreement with the Marcuses as individuals to take charge of, and manage and control the property of the defendant corporation and no such authority can be gleaned from the language employed in such contract.

There is nothing in the record indicating a request on the part of defendant that plaintiff take over the management of KNOG, and unless there did exist an agreement between plaintiff and defendant for such management and control by him then he was a trespasser upon the property and under such conditions an action in quantum meruit would not lie. As above stated, however, the court found on conflicting *302 evidence that plaintiff was operating KNOG as manager during the period involved, under an agreement between plaintiff and defendant broadcasting company.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Brooks v. Valley National Bank
548 P.2d 1166 (Arizona Supreme Court, 1976)
Graham County Electric Cooperaiive, Inc. v. Town of Safford
388 P.2d 169 (Arizona Supreme Court, 1963)

Cite This Page — Counsel Stack

Bluebook (online)
255 P.2d 888, 75 Ariz. 298, 1953 Ariz. LEXIS 215, Counsel Stack Legal Research, https://law.counselstack.com/opinion/young-v-border-broadcasting-co-ariz-1953.