212 Mass. 352 | Mass. | 1912
This is an action at law pending in the Supreme Judicial Court for Suffolk County. The plaintiff’s intestate, who for convenience will be referred to hereafter as the plaintiff or Randall, entered into a contract in writing with the defendant by which he agreed to become its New England agent for the term of one year from January 1, 1903, and to order twenty-five automobiles of it, furnishing specifications and advance partial payments on or before February 1, 1903, to be delivered between February 1 and July 1. The prices were specified by reference to the list of the defendant. The times of payment were fixed. He further agreed to maintain suitable sales rooms and repair
The defendant agreed to make Randall its “exclusive agent” for New England for the term of one year from January 1, 1903, to furnish him its advertising matter, and to give him certain discounts from list prices on supplies and cars. It was further agreed that if Randall failed to secure “sales of the product of [the defendant] commensurate with the sales of other cars within” New England the defendant might terminate the contract on thirty days’ notice in writing to the plaintiff, and that the contract might be terminated by the defendant on thirty days’ written notice to the plaintiff.
Three bills of exceptions are here, and a fourth bill of exceptions disallowed by the Superior Court judge, is before us on report of a commissioner.
1. The case was referred to an auditor. Upon the coming in of his report each party filed a motion to recommit the report. The first bill of exceptions relates to these proceedings. The plaintiff’s motion was granted, and the defendant’s denied, but the case was recommitted to the auditor with directions to the auditor to consider four defined matters and “any other matters which he thinks ought to be further considered.” This was a compliance in substance with the chief thing which each party requested, viz., a recommittal of the report. It is doubtful whether the main part of the order, to which the defendant excepted, was anything more than a memorandum (as it is described in the record) and hence not a subject for exception in an action at law. Attorney General v. Oliver, 175 Mass. 163. Abbott v. Walker, 204 Mass. 71. Regal v. Lyon, ante, 230. Moreover, the statements contained in it do not appear to be rulings, but indications of the reasons which moved the single justice in the exercise of his discretion, to which no exception would lie. But treating it as subject to exception, no error is shown. A motion to recommit an auditor’s report ordinarily is addressed to the discretion of the court, the exercise of which is not reviewable.
2. No question of law is presented upon the defendant’s motion to recommit the substitute report, which is the subject of the second
3. The case was sent to the Superior Court for trial by a jury. The third or main bill of exceptions relates to this trial. Exceptions touching performance by the plaintiff of his part of the contract will be considered first. A general ruling in favor of the defendant or for the plaintiff for only nominal damages could not have been given. The auditor’s report, admitted in evidence without objection, was a finding for the plaintiff for substantial damages. The plaintiff had a right to go to the jury upon the prima fade case which it presented. The auditor’s report was an unequivocal finding of facts upon evidence, and in no sense a ruling of law upon facts stated. It was entitled to the probative force arising from its inherent value, whatever that may have been, in connection with all the other evidence. Fisher v. Doe, 204 Mass. 34, 39, 40.
4. The defendant contends that Randall failed to perform his contract, in that he did not give specifications and deposits for three cars before January 1, 1903. This contention arises not out of the original written contract, but out of a subsequent transaction. The plaintiff ordered and received a demonstrating car on terms of payment different from those stipulated in the original agreement, with the understanding that he should order three cars before January 1. A special question was submitted to the jury, by which they found that these cars were in addition to the twenty-five ordered as a part of the main contract. It was found in answer to a further question that the demonstrating car furnished by the defendant was not such as was contemplated by the parties. These special findings make it plain that the arrangement respecting the three cars was collateral and subsidiary, failure to perform which would not go to the essence of the main contract or justify the defendant in repudiating it. It is unnecessary to consider the correctness of the charge upon the theory that they were a part of the twenty-five cars ordered earlier.
5. The contract required the plaintiff “to devote his best
6. But the further instruction was given that the mere making of the agreement by the plaintiff on January 17 to act as agent for the Stevens-Duryea car (if found to be a competing car) would not be such a violation of his contract as to warrant rescission by the defendant on January 21 unless he did something in the meantime to interfere with the devotion of his best energies to the interests of the defendant. To determine the correctness of this ruling involves some analysis of the contract. It was in one respect merely a contract for purchase and sale of automobiles. As has been pointed out in discussing the “best energies” clause, the plaintiff was not strictly an employee of the defendant, but an independent dealer. In other respects it created the relation of principal and agent. The words, “agent” and “agency,” occur several times in the contract. In a broad sense these words were used accurately in view of what both parties contemplated. The plaintiff had no right to undertake any obligation inconsistent with his duty to the defendant vigorously and intelligently to push the sale of the defendant’s product in New England. All sales of those products were to be made by the terms of the contract exclusively by the plaintiff in the territory described. There is no inconsistency in the establishment of this double relation of an agreement for sales and for agency. They may coexist and impose binding duties if this is the intention of the parties. That is what this contract did in express terms. In this regard the case is similar to John Hetherington & Sons v. William Firth Co. 210 Mass. 8, 22, 25. It is firmly established that the agent is bound to exercise at all times the utmost good faith toward his principal. This is not a “technical or arbitrary rule. It is a rule founded upon the highest and truest principles of morality.” Parker v. McKenna, L. R. 10 Ch. 96,118. Agents are not permitted to put themselves in a position antagonistic to the interests of those whom they represent. They cannot serve two masters. It is not a question"
7. The plaintiff did not answer promptly certain letters written him by the defendant. They were the natural letters of inquiry as to prospects of business, and what the plaintiff was himself doing and urging activity. It requires no discussion to show that under the circumstances here disclosed such failure did not go to the substance of the contract or warrant recission by the defendant. It was one circumstance to be considered with all others in deciding the issue.
8. - The defendant argues with great strenuousness that there was no evidence of a breach of contract by the defendant. But it was found by the auditor that on January 21,1903, the defendant "without right terminated” the contract. This finding, if unre
9. The defendant contended that it was justified in terminating the contract, on the ground that the plaintiff had failed to secure sales of its product "commensurate with the sales of other cars within said territory,” and excepted to the instructions upon this point. But the charge in this respect was ample and accurate. The test established impliedly by the contract and stated expressly in the charge was whether the plaintiff sold as many cars of the defendant’s make to the general public in the time he worked under the contract as were sold by other competing dealers in the same time, comparing with the “Peerless 1903 car with its merits and demerits, the car or cars whose sales are relied on with their merits and demerits. ” If there had been only one competing car, comparison would be with the sales of that car; if several, with the
10. Many requests for rulings were presented by the defendant as to rescission and repudiation and waiver of the thirty days notice in writing required by the contract for its termination by the defendant. Most of them related to fragmentary aspects of the evidence and to conflicting claims of the parties. It is not necessary to review them in detail. The charge laid down in brief general propositions of law upon the subject which were correct. While they might have been stated with greater amplification, it cannot be said that they were insufficient. Of course all the evidence was open to a very different construction from that put upon it by the jury. But it could not have been ruled without error in law that it was not susceptible of the inferences drawn by the jury.
11. There was evidence tending to show that persons in the employ of the defendant solicited residents of New England to buy cars directly of it, and not through Randall, at the New York automobile show in January, 1903, and stated that he was no longer the defendant’s New England agent. This evidence was admitted rightly. One of these persons was identified as Morrison, a sales agent of the defendant, and later in charge of the Boston agency of the defendant. Others were said to be about the Peerless booth at the show waiting on customers. This was a sufficiently close identification to render the evidence competent. Norris v. Anthony, 193 Mass. 225. Bagley v. Wonderland Co. 205 Mass. 238, 245. Statements of this sort perhaps to those who visited the booth through an invitation from Randall might have been found to have been made in the course of the defendant’s business, apparently in the performance of the employee’s duty to the defendant and within the scope of its authority. For conduct and statements of such agents the defendant might have been found responsible. Bigelow Carpet Co. v. Wiggin, 209 Mass. 542, 549. These were not necessarily idle rumors or prophesies. They might have been found to be inducements held out at the defendant’s place of business by those in charge of it to procure sales for the benefit of the defendant in violation of its agreement with the plaintiff. If found to be authorized, they were a breach of such an essential part of the contract as would excuse performance by the plaintiff. The plaintiff was entitled to the agency in New England, exclusive
12. No objection was urged at the trial against the evidence as to breach of the contract by the defendant in attempting to make sales and in making representations in derogation of the plaintiff’s agency or the charge touching it on the ground that the subject was not open under the pleadings. It is too late to raise that question now. Ridenour v. H. C. Dexter Chair Co. 209 Mass. 70.
13. The supplemental requests for rulings presented by the defendant at the conclusion of the arguments were refused rightly under Superior Court common law rule 45, no special leave having been granted to file them at a time later than required by the rule. Quimby v. Jay, 196 Mass. 584.
14. The trial judge ruled correctly that the reference in the auditor’s report to the claims of profits of the plaintiff and to the claim of expenses incurred by the defendant in conducting its business for 1903 were mere statements of conflicting contentions and not findings. They were not inappropriately included as showing the limits of a wide variation in evidence, and as indicating that his finding was not the result of complete credence of that of either side.
15. The defendant earnestly argues that the plaintiff was not entitled to recover anything more than nominal damages. The
While the obligation of the defendant to deliver was not equally specific, it must be assumed to have been made in the prosecution of a fair business by the defendant, and not as a snare or trick. Hence, the intention of the parties might have been inferred to be that deliveries should be made at such times and in such numbers as would enable the establishment of a reputation of reasonable promptness on the part of the defendant. Such an inference was in favor of the good faith and business capacity of the defendant. Loss of profit may have been inferred to be likely to flow as a reasonable and probable conseqtience of the failure to perform by the defendant. Deprivation of a specific sum of money for the sale of each car would cause naturally a net financial detriment to the plaintiff. The evidence was such as not to leave the jury wholly without guide as to the extent of the plaintiff’s
16. The defendant has argued that the plaintiff was not entitled to recover substantial damages without showing that he would have been able to carry out his contract on February 1st by depositing with the defendant the money which would then have been due from him. If he was in such financial condition that it would have been impossible for him to perform his obligation under the contract and this would have been manifest eleven days after the breach by the defendant, his damages would have been at most nominal or small. Beach & Clarridge Co. v. American Steam Gauge & Valve Manuf. Co. 208 Mass. 121, 133. This was the substance of the defendant’s request for ruling No. 53.
17. For the reasons already stated no reversible error is shown in the treatment of the claim of the plaintiff for loss of profits on repairs and discounts on sales of parts set out in his second count.
18. Testimony of a statement made by Randall, not in the presence of the defendant or any of its agents, when he was at the New York show, to the effect that he had been discharged by the defendant, probably was incompetent. Brown v. Brown, 208 Mass. 290, and cases cited. But no exception was taken until after the question was answered and no motion was made to strike out the evidence. Under these circumstances, the exception must be overruled. Boyle v. Columbian Fire Proofing Co. 182 Mass. 93, 99.
19. No error appears in the exclusion of testimony proffered by the defendant from several witnesses as to the number of cars which in their opinion the plaintiff would have sold in 1903. Under some circumstances perhaps evidence of this sort might be admissible. But here there was evidence as to the number of cars of several makes actually sold during 1903 and divers other facts from which an inference could be fairly drawn by the jury. It was a case where expert evidence might well be excluded in the discretion of the trial judge. It does not appear that thére was the inconsistency by the judge of admitting the testimony of one and excluding that of another witness to the same point. The evidence of Randall did not go to this point. Whipple v. Rich, 180 Mass. 477. The accuracy of the reason given for the exclusion of the evidence is of no consequence. It is enough if for any reason the exclusion was not erroneous.
| 20. The evidence of the witness Brenton of declarations made to him by Randall was admissible as showing the condition of the demonstrator car and the efforts Randall had made to sell cars, under R. L. c. 175, § 66. Declarations are not rendered inadmissible under this statute, because the deceased has survived the beginning of the action and testified at one trial. Here Randall had testified before an auditor, and bis evidence taken stenographically was read as evidence at the trial in the Superior Court. The statute makes no such distinction, but provides in unrestricted
21. The discretion of the trial judge would have been exercised more wisely by the exclusion of the photograph of Randall under the circumstances here disclosed. But it is not such an error as warrants a new trial. Such a decision will not be revised unless plainly wrong. Field v. Gowdy, 199 Mass. 568, 574.
22. Evidence from various witnesses as to the condition of the demonstrator car and the trouble Randall had in making it run was competent upon the issue whether the demonstrator car conformed to the supplemental contract for the purchase of these additional cars. Being competent upon this issue, a general exception to its admission must be overruled. Produce Exchange Trust. Co. v. Bieberbach, 176 Mass. 577, 581.
23. No reversible error appears in connection with the reading of a stenographic transcript of the testimony given by Randall at an earlier trial. This was admissible under the common law practice permitting an accurate reproduction of the testimony of a deceased witness given at a former trial between the same parties or their privies. McGivern v. Steele, 197 Mass. 164. Jaquith v. Morrill, 204 Mass. 181, 189. The transcript appears to have been very long and to have included many questions and answers thought by one or the other counsel not to be strictly material. It was suggested by the judge that each counsel select such portions as he desired to read to the jury. Both not acceding to this, he permitted the plaintiff’s counsel to read what he desired and then the counsel for the defendant read all he cared to read without waiving his special objections or objection to permitting the plaintiff to read
24. A very large number of exceptions were taken to the admissions and exclusion of evidence. Most of those argued by the defendant have been discussed in this opinion. It is stated in the defendant’s brief that none are waived. They have all been examined with care. The others do not involve such questions of law as to require notice one by one. No reversible error appears to have been committed either because the rulings were made in the exercise of judicial discretion or because an incorrect ruling was withdrawn or corrected subsequently, or because relating to immaterial matters, or because cured by the answers of the jury, or for some other reason not requiring a sustaining of exceptions.
25. The second question submitted to the jury was in substance whether the defendant repudiated the contract at New York on January 21, 1903, to which the answer was “No.” The plaintiff filed a motion to set aside this answer on the ground, among others, “that said answer is not the answer the jury intended to give to said question, but was based upon mistake, the nature of which will be disclosed by affidavits to be filed herewith. ” The several affidavits of eleven jurors were presented, which after setting forth his intention to have answered the question that the defendant through its manager on the date referred to declared an intention not thereafter to be bound by the contract concluded with the words, “the writing of the word ‘No’ in answer to the question was a mistake, and does not express the intention or opinion of the jury. ” The affidavit of the foreman was the same, except that he added the words, “I put to the jury this question, viz.: ‘Gentlemen, is it your mind that this question should be answered favorable to the plaintiff,’ and they all said ‘Yes.’” This supplemental statement of the foreman was not competent under the rule of Woodward v. Leavitt, 107 Mass. 453, 460; Commonwealth v. Meserve, 156 Mass. 61; Simmons v. Fish, 210 Mass. 563, 571, and many other cases
26. A further question is raised as to the action of the judge of the Superior Court upon the motion to set aside the answer to this question. In the main bill of exceptions it appears that when the motion was heard the judge said respecting the affidavits of the jurors "I shall rule that they are admissible, and if admissible, the finding is set aside. . . . The general verdict stands.” To both these rulings the defendant duly excepted. A few days later the judge indorsed upon the motion (which set forth several grounds, the fourth being the mistake in the record of the answer) “Motion allowed on the fourth ground if affidavits are legally admissible. Otherwise motion disallowed.” Thereafter the judge changed the indorsement by striking out the words “if affidavits are legally
27. The exception of the defendant to the ruling of the court that the general verdict should stand, although the answer of the jury to the second question was set aside, must be overruled. After the answer was set aside, there was no inconsistency upon the record. The general verdict, if sound in other respects, could not have been affected by the correction of an error in the answer to a special question. The motion which was granted was not to correct the error in the record, but to set aside the answer because of the error. In this case the result was the same as if the question had never been put. McManus v. Thing, 202 Mass. 11; S. C. 208 Mass. 55. Monies v. Lynn, 119 Mass. 273.
28. The defendant filed a separate bill of exceptions (which is the fourth bill of exceptions here) touching, among other matters, the proceedings upon the motion to set aside the answer of the jury to the second question. In this respect the separate bill of exceptions was irregular. This subject was fully covered in the main bill without objection and could not properly be made the subject of any other bill of exceptions. The dates of the filing of these two bills are not certain from the record. It may be that a separate bill of exceptions respecting this matter was necessary originally. But when its subject matter had been included in the main bill of exceptions, the separate bill upon this point ceased to have any significance. It becomes unnecessary to consider whether there was any material difference between the two narrations, because so much of the separate bill as related to this matter should have been disallowed, for the reason that without objection it had been embodied in the main bill.
29. The defendant filed a motion that judgment be entered for it on the ground that the answer of the jury to the second question, to the effect that the defendant did not repudiate the contract, required that result. But when this answer was set aside, properly as has been pointed out, no foundation remained for the defendant’s motion, and it was denied rightly. The proper way to bring to this court the correctness of this denial by the Superior Court was by appeal under R. L. c. 173, § 96, as amended by St. 1910, c. 555, § 4. It was a matter of law apparent upon the record. But it has been held that such ruling is also subject to exception
30. This matter, embodied in the fourth bill of exceptions, was distinct and separable from the exception to the modification of the phrase of the indorsement upon the motion, which remained in the same, bill improperly after the main bill was allowed. The Superior Court should have allowed this exception, and disallowed the rest of the bill. O’Connell, petitioner, 174 Mass. 253, 257. A bill of exceptions of this kind containing subjects distinguishable without difficulty, one or more of which is stated correctly and others not, does not come within the rule of Horan, petitioner, 207 Mass. 256, which held that a commingling of exceptions with a mass of irrelevant matter tending to give color to the case should be disallowed as a whole. This portion of the fourth bill of exceptions is properly before us on the commissioner’s report. But the exception is overruled.
31. At the argument of these exceptions before this court the plaintiff moved that portions of the brief of the defendant be stricken out. This motion is granted, so far as it relates to “The Lost Letters” on pages 80, 81, 82, and to the beginning of the first full paragraph on page 83. The presiding judge had stated, in accordance with a stipulation of counsel, that certain letters had “been lost, without fault on the part of any person whatsoever.” Reference to the subject in brief or argument was irrelevant, and should be stricken out. The present motion is in such form that it can be granted and is to be distinguished from that denied in Commonwealth v. Marshall, 211 Mass. 86. The other matters urged in this motion we do not treat as suggestions of disrespect to the trial judge, which is the only ground for expunging them.
32. The result is that the only exceptions which must be sustained are those discussed under paragraphs 5 and 6 of this opinion. They relate to the inquiry whether the plaintiff broke his contract by undertaking an agency antagonistic to bis contractual obligation to the defendant. In substance, that branch of the case resolves itself into the question, was the Stevens-Duryea automobile of 1903 a competitor of the Peerless of that year? This is a simple and separable issue. It is not necessary to re-try the whole case in order to settle it. All the other issues have been decided by a trial in which no error of law is shown. The general verdict
Ordered accordingly.
The exact wording of this request was as follows:
“ 53: The burden is upon the plaintiff in order to recover damages to show that Randall was able, and willing to furnish specifications and deposits for the twenty-five cars on or before February 1, 1903.”