McPherson v. Great Western Milling Co.
McPherson v. Great Western Milling Co.
Opinion of the Court
The defendant appeals from the whole of a judgment against it for $2,049.04. The complaint was upon seven distinct causes of action. The last six were for rentals of real property, the selling price of specific personal property, and the use of other personal property. A portion of the judgment was for interest and for various sums found to be due under the last six counts. In its briefs the appellant attacks only that part of the judgment, amounting to $1,062, found to be due under the first count, which, therefore, alone need be considered.
A contract dated June 21, 1915, between the parties was set out by exhibit and it was alleged that the contractual relationship of the parties was dissolved by mutual consent on December 31, 1915. It was further alleged that at that time the defendant had promised to pay the plaintiff one-half of the profits of the business to which the contract related, amounting, as the plaintiff was informed and believed, to $1,327.32, no part of which had been paid. A demurrer to the complaint was overruled; the defendant answered, denying only the allegations concerning the promise to pay and the fact of the debt, and alleged the plaintiff owed it $1,166.31, which, it was further alleged, “is in excess of one-half of the net earnings of said business for the years 1914 and 1915, which became due to the defendant and cross-complainant under the terms of said agreement.” This affirmative allegation was in the answer. There was also a cross-complaint, but no question is presented concerning it. In the contract the appellant corporation was the party of the first part and the respondent the other party. It recited that the respondent, for about two years, had been operating for the appellant a business belonging to the appellant in the sale of merchandise, “said party of the second part having received remuneration for his services therein one-half of the net proceeds earned by said business, said party of the second part having furnished his entire time and in addition thereto three wagons and five horses, and it is hereby desired by both parties hereto that an agreement be entered into in writing so that there may be no possibility of a misunderstanding and all verbal agreements heretofore are void and this agreement is to be final.” It was then agreed that the appellant corporation was the owner of the business, and that “all the accounts, stocks and *493 supplies necessary to carry on said business are the sole property of the party of the first part and shall continue so throughout the length of this agreement,” except rolling stock to be furnished by the respondent. It was further agreed that “party of the second part agrees to accept as full compensation for his services one-half of the net proceeds after all expenses and costs of materials and everything necessary to the operating of said business shall have been deducted and that the same is to be paid to him in lieu of any salary, but that he is not to be considered as a partner in said business and that he has no interest whatsoever in anything but the net profits before mentioned.” Then followed conditions of an extremely stringent nature in favor of the appellant, among others one which permitted it to terminate the agreement at any time, though the contract was entirely silent in regard to either its term or the right of the respondent to withdraw.
The appellant advances six propositions against the judgment, as follows:
3. That “there was no issue framed by the pleadings to justify the finding that it was the intention of the parties
*494
that the contract was retroactive.” [3] The contract was set out in the complaint and admitted in the answer. Its interpretation was to be made by the court. The sole purpose of every rule of interpretation is to ascertain the intention of the parties. (Civ. Code, see. 1636.) The affirmative allegation of the answer concerning the half of the net earnings “for the years 1914 and 1915, which
became due to the defendant
. . .
under the terms of said agreement,”
amounted to an admission of the interpretation of the contract binding upon the court as well as the appellant. If the appellant became entitled to half the earnings
under the contract
for 1914 and 1915, the respondent must have been entitled to the other half for the same period under the contract.
4. That “evidence of the transactions which occurred prior to the date of the contract should have been excluded.” This is simply a restatement of the third proposition. No argument is made upon it. It is unworthy of consideration.:
5. That “finding No. 7 is not supported by the evidence, for the reason that there was no proof advanced at the trial to show that the sum of $1,062 was due the plaintiff and respondent.” The appellant argues that the balance due the plaintiff should have been computed solely on a statement dated January 1, 1916, which on its face purported to cover only the transactions for the year 1915. From this statement alone the appellant figures the respondent’s credit should have been $309.58. The statement of December 31, 1914, for the transactions of that year showed the respondent’s half of the net profits was then $1,057.14. If the appellant’s conceded credit of $309.58 for 1915 is added to the 1914 earnings, it would appear the judgment should have been for some three hundred dollars more than it was.
The judgment is affirmed.
Langdon, P. <T., and Nourse, J., concurred.
Reference
- Full Case Name
- S. E. McPHERSON, Respondent, v. GREAT WESTERN MILLING COMPANY (A Corporation), Appellant
- Cited By
- 4 cases
- Status
- Published