Posey v. West Construction Co.
Posey v. West Construction Co.
Opinion of the Court
delivered the opinion of the court.
By a written contract, between W. A. Posey alone and the West Construction Company, Posey bound himself to furnish gravel and sand enough, and as wanted, to keep up certain work which was being done by the company. In that contract it is provided that, if Posey did not deliver the material, and enough of it, to keep up the work without delay, the .company should have the right to purchase the material elsewhere, Posey to pay the difference in price; and Posey also therein agreed to reimburse loss to the company caused by loss of time in failure to deliver. This contract was put in operation September 10 or 11, 1906, and Posey accordingly began to deliver on September 11th of that year, and fully carried out his contract during the months of September, October, and until November 20th, and was duly and promptly paid for his material.
Pending the performance of this contract, on October 15, 1906, Posey took as a partner in his sand and gravel business A. K. Mclnnis, and the firm name was W. A. Posey & Co. The partnership continued the delivery as if it were bound by that contract in identically the same way, and the delivery of the stuff, after the partnership, was made identically as before, and the bills, in the name of William A. Posey alone, were presented as before by William A. Posey, and the company paid them as before by checks payable to William A. Posey as an individual. There is nothing in this record to show any purpose, after MeInnis formed the partnership with Posey, to deliver otherwise than under that contract, except, as is said, the company re
On February 4, 1907, a declaration was filed against the West Construction Company by W. A. Posey & Co. This declaration was filed on the basis of that contract, which is made a part of that declaration and set out as an exhibit to it. Seeing that the firm could not get along in an action based on that contract with the individual, William A. Posey, it was abandoned, and finally the action is based entirely on the delivery of the stuff to the company and the receipt of it by the company, by which the company became liable. It is nowhere pretended in this record that the sand and gravel were not delivered pursuant to that contract, and so we hold that the company had a right to do as it did do — set up by way of recoupment their damages for the nonperformance of the contract. In our view it is immaterial whether the construction company was or was not informed of the introduction of Mclnnis into the business as a partner with Posey. But, even if that notice was given and could be availed of, we hold that on this record no such notice was properly given. If; on the formation of the partnership, it was the purpose to annul that contract, or to mate another, it was incumbent on MeInnis to so state, or to change the mode and manner of the delivery, payment, and receipts. But in fact there appears no information to the company of the partnership; except that Mo
The court below gave a peremptory instruction to find for the defendant, and we think the instruction entirely proper on this record.
Affirmed.
Reference
- Full Case Name
- William A. Posey v. West Construction Company
- Status
- Published
- Syllabus
- Recoupment. Partnership carrying out contract of one member. In a suit by partners for material delivered defendant under and in pursuance of a contract made by one of tbem before the formation of the partnership, defendant can recoup damages arising from the non-performance of the contract.