124 Mich. 287 | Mich. | 1900
Lead Opinion
Sullivan filed a claim against tne estate of Ross in probate court for $100,000. It was in form a petition, setting up the facts relied upon to establish his claim, which were in substance the following, viz.: Ross owned pine lands in Michigan. On November 7, 1883, a contract was made between him, under the name of Ross & Co., and Sullivan, wherein it was agreed “to sell all the pine [thereon] to Sullivan for one dollar and fifty cents per thousand feet, board measure,” which Sullivan agreed to pay, and to cut the timber before May 1, 1884. The contract contained the following provision:
“It is hereby agreed that said second party shall have the right to cut said timber as above mentioned before he shall pay the price above mentioned, and also the right to remove the same to the landings or rollways on the shore of Lake Superior; but said property shall continue to be the timber of Ross & Company until paid for by said second party according to the amounts above mentioned, and said second party shall not be permitted or have authority to remove said logs so manufactured from said landings or rollways without paying for the same the sums as above mentioned.”
Another contract was made December 18, 1883, between the same parties, which provided in substance:
“That whereas, the said second party is desirous of procuring advances from said first party for the purpose of enabling the said second party to carry on the work upon the lands mentioned in the articles of agreement made
Claimant got out 9,000,000 feet of logs on the bank of Lake Superior previous to May 28, 1884. On June 24, 1884, a third contract was made between the parties, reading as follows:
“That whereas, the said party of the first part has been unable to- pay up for the advances made to him by the
‘ ‘ In consideration of said additional advances so agreed to be made, it is understood and agreed that said second party shall have the same right to the said logs, and the lumber when cut out of the same, as he now holds under- and by virtue of said agreements of November 7th and December 18th, 1883, to the extent of the advances and stumpage so previously made under said previous agreements, and also to the extent of the said new advances for towing and sawing as above stated.
“It is further understood that, in consideration of said new advances, there shall be paid to said second party from the sale of said logs or lumber manufactured from the same, first, the advances which have already been made and interests and commissions upon the same, and also the amount due for stumpage as agreed upon in said previous agreements, and also for the advances made for towing and sawing and commissions and interests upon the same; and after the same shall be fully paid to said second party, if there shall remain any balance or profit over and above the same, said profit shall be divided between the said first and second parties, one-third of the same to belong to said Sullivan, first party, and the remaining two-thirds to said
‘ ‘ The basis of the division of the profits shall be based upon the prices mentioned in a contract drawn, but not entered into between the parties hereto, and now in the hands of F. O. Clark, of Marquette, except as to mill culls, and as -to those they shall be equally divided between the parties hereto. Basis of-value of Norway pine to be $6.00 for long and $4.50 for short logs, and profits to be divided as above stated.
“And it is mutually agreed by and between the parties hereto that Ross & Co., of the second part, shall have the right to pay all the moneys mentioned in this agreement as a further advance for towing and cutting said logs at mill to the parties to whom it is due, and in fact, if they deem it necessary, to control the business in every particular to their own satisfaction.”
The indebtedness mentioned in the last contract was $48,000. Ross took possession and disposed of the logs, claiming to act under the contracts, and attempted to raft them from Au Sable Point, on Lake Superior, to Sault Ste. Marie. Through the negligence and reckless.ness of the agents of Ross in providing and keeping closed a proper boom where the logs were rolled into the lake at Au Sable Point, about 2,000,000 feet of the logs were blown across the lake, and lost. Of the logs which reached and were sent down the rapids of the St. Mary’s river, half a million feet were lost, and a large expense was incurred by Ross- in saving a million feet which escaped from his boom below the rapids through his negligence and recklessness. Several million feet were sawed into lumber, and Ross permitted this to be negligently and recklessly done, whereby the product was injured and lessened, resulting-in a loss of $30,000. Ross shipped this lumber to Detroit, and sold it from there. This was in violation of the contract, and occasioned a loss of $50,000. Ross received $60,000 from the logs, for which petitioner asks an accounting. Several other items were included in the claim, which need not be discussed,
One of the most important questions raised by defendant’s counsel relates to the proper construction of the contract of June 24th. They claim that the last clause of that writing gave defendant the right to 'take the control and management of the business, and that he might manage it according to his own judgment, without liability for mistakes or failures, if there was no bad faith. The court instructed the jury that Sullivan was to assume all ordinary risks, such as the risks of navigation, winds, and calamities that might come, but that he was not responsible for the negligent acts, if any, of Mr. Ross or his agents, and that the estate was liable to him for damages resulting from the want of ordinary care and prudence in the conduct of the business. Counsel for the defendant cite a number of cases which hold that, when a vendee agrees to purchase an article if satisfactory, he is not liable if he reject it, so long as he is honest in the expression of his dissatisfaction. Several of the cases are from this court.
Counsel for the defendant insist that there is no evidence that Connolly did take control, and raise the question upon the introduction of evidence whether some testimony offered to prove it was admissible, contending that it was as consistent with the claim that Sullivan was managing the business. We are of the opinion that there was evidence tending to show that Connolly did take control to the exclusion of Sullivan, and therefore it was a question for the jury.
We think, also, that the question of negligence was for the jury, and that there was testimony offered tending to prove it upon all of the claims.
It is urged that the claimant has made claim to a greater quantity of logs than Connolly received from him, and that the jury should have been instructed that 7,500-000 feet, in round numbers, was the limit. It is contended that, had this been done, there could have been no balance in claimant’s favor; and it is obvious that it would have materially reduced his claim, to say the least. This is based on two propositions:
1. That the parties agreed upon Spencer and Barrett to scale the logs, and must be bound by their scale.
2. That the letters of Sullivan to the defendant estop him (Sullivan) to claim more than such quantity.
The court instructed the jury that the parties agreed upon Spencer and Barrett as scalers, and that they made
Logs lost on Lake Superior._________________ 2,000,000 ft.
Logs lost at Soo Rapids______________________ 500,000 “
Lumber destroyed by bad sawing............ 300,000 “
Lumber produced...'________________________ 6,745/525 “
Logs sold................................... 623,500 “
Total.....'.............................. 10,169,025 “
We are of the opinion that the claim that there was an estoppel is not tenable, and that the learned circuit judge did not err in leaving the question of mistake to the jury.
Several assignments of error fall with this determination. Thus it was not error to show by Spencer another scale, and by Sullivan and others their estimates of the quantity of logs.
Counsel for the defendant claim that the verdict of the jury was excessive: (1) Because, while charged with interest from 1884, the defendant was not allowed interest on advances; (2) because, being entitled to but one-third
We have endeavored to examine carefully every point made in this cause, though we do not consider a discussion of each question necessary. We find no error, and the judgment is affirmed.
Viz.: Gibson v. Cranage, 39 Mich. 49; Pierce v. Cooley, 56 Mich. 552 (23 N. W. 310); Mansfield Machine Works v. Common Council of Lowell, 62 Mich. 546 (29 N. W. 105), Plano Manfg. Co. v. Ellis, 68 Mich. 101 (35 N. W. 841); Platt v. Broderick, 70 Mich. 577 (38 N. W. 579); U. S. Electric Fire-Alarm Co. v. City of Big Rapids, 78 Mich. 67 (43 N. W. 1030).
Dissenting Opinion
(dissenting). The facts connected with this litigation have been so fully stated in the previous decisions of this court that it is unnecessary to restate them here. Sullivan v. Ross’ Estate, 98 Mich. 570, 113 Mich. 311, 315 (57 N. W. 821, 71 N. W. 634, 76 N. W. 309). McGrath, C. J., made a careful and thorough statement of the facts. There is no substantial difference between this record and that then before us.
“And it is mutually agreed by and between the parties hereto that Ross & Co., of the second part, shall have the right to pay all the moneys mentioned in this agreement as a further advance for towing and cutting said logs at mill to the parties to whom it is due, and in fact, if they deem it necessary, to control the business in every particular to their own satisfaction. ”
Parties are presumed to mean something by the language which they deliberately place in their contracts. Under the construction claimed by plaintiff, the authority granted “to control the business in every particular to their own satisfaction” has no meaning whatever. Defendant’s obligation is precisely the same with the language out as with it in. I do not think plain language can thus be read out of a contract. It is conceded that, where one buys property to keep if it is satisfactory to him, he may reject the property if for any reason it is not satisfactory to him. In chattel mortgages the mortgagees may seize the property under similar language. “We know of no reason of public policy which prevents parties from contracting that the decision of one. or the other shall be conclusive.” Campbell Printing-Press Co. v. Thorp, 36 Fed. 414. This is a concise statement of the rule by Justice Brown. What difference does it make whether it is a machine to be sold or work to be done? If Ross had agreed to sell, cut, haul, raft, and manufacture this timber for Sullivan to his (Sullivan’s) satisfaction, could Sullivan have been compelled to accept it ? If Sullivan had agreed to do the work for Ross to Ross’ satisfaction, could Ross have been compelled-to accept it ? If they had agreed that the work should be done to the satisfaction of some third person, would not his satisfaction with the work have been conclusive upon them? Could Sullivan have sued Ross for damages after the determination of this third person, although he had protested against the method adopted and Ross had favored it? The only
■ What is the situation? Sullivan was hopelessly bankrupt. He owed Ross $48,000 for the timber and the advances. Sullivan could not pay, or sell the timber, or procure any one else to advance the money to relieve the property from Ross’ security. If the property were lost, the loss would fall upon Ross, because Sullivan was irresponsible. Sullivan was to perform the work at his own risk and expense, Ross advancing the money therefor. It was at least as much to the benefit of Ross as to that of Sullivan to have the work properly done. It was entirely natural that Ross should contract to take the work out of Sullivan’s hands if he were not satisfied, and then perform it to his own satisfaction. If he did so, under all the authorities he cannot be held unless he acted mala fide. It was to his interest to act in good faith, and there was no motive for his acting to the contrary. Whatever loss there was arose from error of judgment. The judgment of the jury as to whether the work was properly done was substituted for that provided for in the contract. Sullivan thought it was not safe to prepare the raft on the shore of Lake Superior as it was done. Ross thought it was. Ross’ method would have been proper but for the wind that came up and carried the logs out into the lake, and the jury were permitted to say that this was negligence. So, in catching the logs that were sent over the falls of the Sault Ste. Marie river, Sullivan thought two tugs, one at each end, were required. Ross thought that, if one end was attached to the shore, one tug would be sufficient. It was simply an error of judgment. Yet the jury were permitted to say that this was negligence. It is common knowledge that millions of feet of logs are caught and held in rivers by booms attached to each shore. Hall v. Boom Co., 51 Mich. 377 (16 N. W. 770). In that case 33 miles of logs were caught and held by such a boom during the spring freshets. Two rafts'were taken over the rapids on the same day, with the same booms, the same
2. Upon the first trial, Sullivan swore positively to a contract of sale of 9,000,000 feet to Eoss at $9 per 1,000, and that he had been employed by Eoss at $100 per month to superintend the rafting. In this he was corroborated by Spencer, the scaler, who is also a creditor of Sullivan, and by two others, who swore positively that Connolly, Eoss’ agent, told them that Eoss had purchased the logs. Notwithstanding this positive testimony, this court did not hesitate to hold, in a unanimous opinion, that it was not true, and that the contract of June 24th, the written documents, and the conduct of Sullivan, stamped this testimony as false. This same written evidence, consisting of letters, telegrams, bills rendered, and drafts drawn, is, in my judgment, equally as conclusive against the present claim of Sullivan that Eoss had assumed entire control of the business and was responsible for all that was done. I
“Q. Up to the time you got the logs banked, who managed the business ?
“A. I managed the business, and paid the men. I got part of the money from Ross. After the first of June, Mr. Connolly had charge. He paid the men. The lumber, was sold in Ross & Co.’s name.”
This testimony is flatly contradicted by the contract made 24 days after, as he testified, Connolly had taken absolute charge and control, and as well by his subsequent conduct, letters, etc. Forty-four pages of the record contain the written documents, which are entirely inconsistent with Sullivan’s present claim. They show conclusively that he had not abandoned the control of the business, but was still managing it. The parol testimony in this case is no stronger against these documents than it was against those upon the first trial. If we were right then,- — and there is no claim that we were not, — we must now, in my judgment, hold that Sullivan is estopped to make his present claim.
3. The scales made by Spencer and Barrett should be held conclusive. They were the scalers agreed upon by the parties. Counsel for the plaintiff assert, “The pretended scale of 7,511,077 feet is a fraud.” They do not, however, assail the competency or honesty of either’ Spencer, plaintiff’s own witness, or of Barrett. Counsel concede the accuracy of Spencer’s scale at Davidson’s Landing. The trouble, therefore, if any, is with Barrett’s scale at the other landing; and counsel assert that 1,500,-000 feet of long logs were omitted by Barrett from his scale. Unless they can make good this assertion, plaintiff
The court instructed the jury that, if these scalers “ did not proceed and scale all, and did not exercise their judgment upon it, or committed errors, such scale would not be binding.” This instruction was erroneous for the reason that no attack was made upon Spencer’s scale, and the jury should have been instructed that it was conclusive; it is erroneous because there was no evidence that these scalers did not exercise their honest judgment; and, as I have already stated, I do not think there was'any competent proof that they did not scale all. It is significant that the logs sold under the contract of June 24th amounted to within 142,052 feet of the amount of the Spencer and Barrett scale. The lands from which this lumber was taken had been cut over before, and the best lumber taken. The logs that were driven off the shore of Lake Superior were soon driven back upon the shore by a contrary wind, and all that could be found were picked up. The same is true of the logs that floated down the Soo river. That some were lost is undoubtedly true, but how many is a matter of guesswork.
4. Sullivan was permitted to testify that he looked over these logs from time to time as they were banked upon the shore of the lake, and that, in his judgment, there were over 9,000,000 feet according to the Scribner rule. He made no scale himself of any portion of the logs. He testified that the landing was about a mile or a mile and a
Judgment should be reversed, and no new trial ordered.