147 N.Y.S. 116 | N.Y. App. Div. | 1914
Lead Opinion
- The action was brought in the City Court to recover damages for the violation of a contract made on September 16, 1903, whereby the defendant agreed to “cause the said Dentists Supply Company of Hew York to sell and deliver to the plaintiffs, from time to time as they required them, 10,000 sets of artificial teeth at the rate of forty-five cents for each and every set of teeth, or such part or parts of the said 10,000 sets as the plaintiffs at their option might request to be sold and delivered by the said Dentists Supply Company of Hew York to them.” It was further alleged that between September 16, 1903, and May 11, 1909, the defendant duly caused the said Dental Supply Company of Hew York to sell and deliver to the plaintiffs, as and when requested and in exercise of their said option under said agreement, 2,170 sets of artificial teeth, at and for the price of forty-five cents for each' set of artificial teeth; that on various occasions between May 11,1909, and the commencement of this action the plaintiffs requested the Dental Supply Company of Hew York and also the defendant, to sell or cause to be sold and delivered to them the balance of the sets of artificial teeth, 7.830 sets, at and for the price of forty-five cents per set, and the plaintiffs have always been ready and willing to receive and pay for the said 7,830 sets of artificial teeth, and on or about April 23, 1912, at the offices and place of business of the said Dental Supply Company of Hew York, duly offered to receive and pay for said 7,830 sets of artificial teeth at the rate of forty-five cents per set of artificial teeth, pursuant to said agreement, and the plaintiffs have otherwise performed all the conditions thereof on their part; that said Dental Supply Company of Hew York has refused and neglected to deliver the said 7.830 sets of artificial teeth or any part thereof to the plaintiffs, to the damage of the plaintiffs in the sum of $5,000, for which sum the plaintiffs demand judgment. The defendant denies the allegations of the complaint except that the Dental Supply Company of Hew York refused to sell and deliver the 7,830 sets of artificial teeth to the plaintiffs. The answer further alleges for a further separate and distinct defense that the contract was not to have been performed within one year from the making thereof, and that the same was not in writing.signed by this
After this judgment was entered, this court held that the amendment to the Code of Civil Procedure, made by chapter 569 of the Laws of 1911, which amended sections 315 and 316, was a violation of the Constitution (Art. 6, §§ 14, 18), and, therefore, the amendment was void and the Code remained as it was prior to this amendment. By section 315 of the Code of Civil Procedure, as it existed prior to the amendment, the jurisdiction of the City Court of the City of New York extended to “An action against a natural person, or against a foreign or domestic corporation, wherein the complaint demands judgment for a sum of money only, or to recover one or more chattels, with or without damages for the taking or the detention thereof. * * _ *” (See Laws of 1895, chap. 946.) That court, therefore, had jurisdiction of this action although the amount was in excess of $2,000. By section 316 of the Code of Civil Procedure the jurisdiction of that court is subject to the following limitation: “In an action wherein the complaint demands judgment for a sum of money only, the sum, for which judgment is rendered in favor of the plaintiff, cannot exceed two thousand dollars, exclusive of interest and costs as taxed;” and with some exceptions that are not material. (See Laws of 1889, chap. 441.) The only limitation upon the jurisdiction of that court, therefore, is that it
Nor do I think the judgment in the action in the Supreme Court, Kings county, was a bar to this action. That action was based upon the false and fraudulent misrepresentations by which the plaintiffs were induced to transfer forty-five shares of the stock of the Dental Supply Company to the defendant. The consideration for the transfer, as alleged in the complaint in that action, was that the defendant should transfer to the plaintiffs twelve hundred shares of the stock of the Butterick Painless Dental Company. The plaintiffs alleged that the defendant made certain false and fraudulent misrepresenta: tions as to the value of the stock of the Butterick Painless Dental Company, and relying upon these false and fraudulent misrepresentations the plaintiffs transferred the forty-five shares of the stock of the Dental Supply Company to the defendant and the defendant transferred the stock of the Butterick Painless Dental Company to the plaintiffs. In the complaint in that action there was no mention of the contract here sued on, but the complaint alleged that by reason of the transfer of the stock
“ New York, Sept. 16th, 1903.
“Received of D. 0. Osborne eleven hundred and ninety (1190) shares of the capital stock of the Butterick Painless Dental Co. of Brooklyn, New York, free and clear, in exchange, in full payment for forty-five (45) shares of the common stock of the Dentists’ Supply Co. of New York.” ,
This purported to express the contract between the parties. It was a receipt for the stock, but it stated the contract that the plaintiffs received the stock free and clear in full payment for the forty-five shares of stock of the Dental Supply Company. The second written agreement was entered into September 22, 1903, between L. S. Seeley, one of the plaintiffs, and defendant, by which he gave to the defendant full right and power to negotiate for the sale of the capital stock of the Butterick Painless Dental Company, and the defendant guaranteed not to dispose of said stock for less than $15,500, and agreed to carry out the sale within six months. The written agreement between the parties, signed by the parties, stated the contract. It is complete in itself. It stated that the stock of the Butterick Painless Dental Company was in full payment for the stock of the Dental Supply Company. Having signed that paper as the contract of sale, the plaintiffs now seek to enforce an oral agreement by which, in addition to the stock of the Butterick Painless Dental Company, the defendant as a payment for the transfer of the forty-five shares of the Dental Supply Company undertook to procure from the Dental Supply Company the sale and delivery of 10,000 sets of teeth to the plaintiffs at forty-five cents a set. I am inclined to think that the prior oral negotiations were merged in this written contract, by which the consideration for the sale of the forty-five shares of the stock of the Dental Supply Company was the transfer to the plaintiffs of the stock of the Butterick Painless Dental Company. That is the contract which the
In Loomis v. New York Central & H. R. R. R. Co. (203 N. Y. 359) the court said: “Thus the question presented is whether a written contract to transport goods from one place to another, duly signed by both carrier and shipper, but silent as to the route, can be varied by evidence of previous parol instructions to ship by a particular route. The answer to this question is too clear to require extended discussion. No effect can be given to such evidence, even when received without objection, provided the court is asked in due form to instruct the jury that it was merged in the written agreement if they found there was one. In order to prevent fraud, perjury and mistake, one of the primary rules of evidence forbids that a written contract should be varied by evidence of previous conversations or unsigned memoranda, which are all conclusively presumed to be embodied in the written instrument expressing the final meeting of the minds of the parties.” In Thomas v. Scutt (127 N. Y. 133) the court states the general rule that evidence of what was said between the parties to a valid instrument in writing, either prior to or at the time of its execution, cannot be received to contradict or vary its terms, and states that to this rule there are two exceptions. The first exception includes those cases in which parol evidence has been received to show that that which purports to be a written con
But this agreement would appear upon its face to be an entire agreement. It says that the plaintiffs have received from the defendant 1,190 shares of the stock of the Butterick Painless Dental Company, free and clear, “in full payment” for forty-five shares of the stock of the Dentists’ Supply Company of New York. This was a written instrument by which the plaintiffs admitted the receipt of the stock of the Butterick Painless Dental Company in full payment for the forty-five shares of the stock of the Dentists’ Supply Company, and plaintiffs now ask to prove that this instrument did not contain the true consideration for the sale of the forty-five shares of the stock of the Dentists’ Supply Company, but that in addition to that expressed therein there was an.oral agreement by the defendant, not that he would pay anything more, but that he would procure the Dental Supply Company, stock of which had been sold by the plaintiffs to the defendant, to supply the plaintiffs 10,000 sets of artificial teeth at forty-five cents a set.
In Thomas v. Scutt (supra), speaking of the second exception to the rule of evidence, the court said: “ Two things, however, are essential to bring a case within this class: 1. The writing must not appear upon inspection to be a complete contract, embracing all the particulars necessary to make a perfect agreement and designed to express the whole arrangement between the parties, for in such a case it is conclusively pre
I also think this claim is barred by the Statute of Limitations. According to the contract, as testified to by the plaintiffs’ witness, the plaintiffs were to have this stock of the Butterick Painless Dental Company and “ the privilege to take as we wanted them ten thousand sets of teeth manufactured by the Dental Supply Co., called 20th Century Teeth, at the price of forty-five cents a set,” and that defendant “ would see that we got, as we wanted them, ten thousand sets of teeth at forty-five cents a set.” There was no contract of- sale by the defendant to the plaintiffs. He did not have 10,000 sets of teeth to deliver, and he did not agree to manufacture or to sell and deliver to the plaintiffs 10,000 sets of teeth. All that he agreed to do was to see to it that the Dental Supply Company delivered 10,000 sets of teeth to the plaintiffs. No time was fixed within which the plaintiffs were entitled to demand and receive the sets of teeth, and there certainly was implied in this contract that such demand should be made within a reasonable
Nor do I think there was a sufficient demand made by the plaintiffs upon the defendant. The only demand made was a letter, written to the defendant, sent by mail and to which no answer was received. To put the defendant in default it seems to me that something more was required than a letter written the day before the complaint was verified, and with no tender and with no personal demand.
I think, therefore, this judgment should he reversed and, as it is clear that these plaintiffs cannot recover, there should be judgment for the defendant, with costs and disbursements in all the courts.
Scott and Hotchkiss, JJ., concurred; Clarke and Dowling, JJ., dissented.
Dissenting Opinion
Concurring in what has been said by the presiding justice as to the right of the Appellate Term to modify the judgment of the City Court by reducing the amount thereof to $2,000, and
The defendant gave no testimony upon this trial, and has not sought to contradict, limit or vary his prior statement of the purport of the contract. Therefore, both the plaintiffs and defendant stand upon and acknowledge the same oral contract, made on September 16, 1903, namely, that plaintiffs should transfer their stock in the Dental Supply Company in exchange for the defendant’s stock in the Butterick Painless Dental Company and in consideration (in addition thereto) of the privilege given them to buy the quantity of teeth referred to at the price fixed. There is no dispute as to what the terms of the contract were, as the plaintiffs’ version thereof is, in effect, corroborated and admitted by the defendant. Hence, the receipt, so far from being any evidence of a contract between them, is not even a memorandum of their agreement but solely a receipt for the stock transferred in part performance of the contract, and no more. It is thus characterized by defendant himself in his testimony invariably and repeatedly. The'words “ free and clear ” used therein became pertinent in view of the defendant’s own theory of what the
Upon the bar of the Statute of Limitations to the cause of action, it may be said that there was no time fixed within which the plaintiffs should exercise their privilege, and, therefore, it should have been exercised, as a matter of law, within a reasonable time. The court below has found: “ Seventh. That the exercise by the plaintiffs of their said option and the demands made by them as aforesaid, were made by the plaintiffs within a reasonable time from the making of the said agreement.” There is no testimony whatever in the case which justifies any other finding save that made by the trial court. The plaintiffs did exercise the privilege which the defendant admits he gave them by calling for sets of teeth as they required them between September 16, 1903, and May 11, 1909, until 2,170 sets had been delivered at the agreed price of forty-five cents for each set. When they demanded, the balance of the sets and tendered the cash therefor, the refusal was not based upon the ground that they had unreasonably delayed in exercising the privilege, but only on the ground that the price of teeth had gone up and that, therefore, the makers could not afford to deliver the teeth at the price fixed by the option. In the absence of any proof that the plaintiffs had unreasonably delayed in exercising their optionor that the price of the teeth had appreciably increased in the interval, I think that the statute did not commence to run until the date of the final demand arid tender, namely, April 23, 1912. For these reasons I believe the judgment should be affirmed, with costs.
Clarke, J., concurred.
Determination and judgment reversed and judgment ordered for defendant, with costs in all courts. Order to be settled on notice.