Bates v. Carter Construction Co.
Bates v. Carter Construction Co.
Opinion of the Court
.Opinion by
The defendant in this case held a contract for building the Connellsville and State Line Railroad between Cumberland, Md., and Connellsville, Pa. In May, 1910, it awarded a subcontract to William M. Bates, the plaintiff, for portions of the work. The contract was verbal, but it was intended that it should be reduced to writing. Before this was done, plaintiff began work, and defendant made payments to him on account, aggregating $31,918.-54. While the work was in progress, defendant sent to plaintiff a form of written contract, and requested him to sign it. He declined to do so, claiming that it did not properly express the agreement, and, after considerable
Prior to the suit, plaintiff assigned his claim to the First National Bank of Connellsville, to secure an indebtedness to the bank. The suit was brought to the use of both plaintiff and the bank, and the amended statement recites the assignment.
The trial in the court below resulted in a verdict for plaintiff, for the sum of $27,749.91 and, from the judgment entered thereon, defendant has appealed.
In the first assignment of error, complaint is made that Bates was permitted to give certain conversations between himself and Mr. Carter, formerly an officer and stockholder in the defendant corporation, but who died before the trial.
Under Section 5 of the Act of May 23, .1887, P. L. 158, any person whose- interest is adverse to the right of a deceased party to a contract, is prohibited from testifying. But in this case, Mr. Carter, the deceased, was not a party to the contract, nor can the fact that he was a stockholder in defendant corporation, be regarded as rendering the interest of the witness Bates adverse to him. To hold otherwise, would be to render parties to suits against, corporations incompetent to testify as to any matter in connection with a stockholder who may
In Allen’s Est., 207 Pa. 825, the present Chief Justice, considering the clause of the Act of 1887, which is under construction in the case at bar, said (p. 327) : “Since the passage of the Act of 1887 competency is the rule; incompetency the exception. Departures from the com-, mon-law rules of evidence are for the legislature and when so made, inequalities, real or apparently so, resulting from the legislative removal of the disqualifications' of witnesses, cannot be urged as reasons why judges ought not to read the words of legislators as they are written.”
In Keating v. Nolan, 51 Pa. Superior Ct. 320, Rice, P. J.' after quoting the ábove language of Mr. Justice Brown, said further (p. 322) : “As was held shortly after the passage of the Act of April 15, 1869, P. L. 30, so it may be said, with even greater emphasis since the passage of the Act of 1887, the court, in order to act in good faith toAvard the legislative branch of, the government, must discountenance all objections on the score of interest and policy unless they be made clearly to appear: McClelland’s Exr. v. West’s Adm., 70 Pa. 183.” The first assignment is therefore dismissed.
In the second and third assignments, it is alleged that the trial judge erred in excluding evidence of the payment by defendant of $3,500 to Visconti, Soldanó & D’Auria, who were subcontractors for a portion of the' Avork contracted for by plaintiff, and in the exclusion of 'evidence of a written assignment by Visconti & Soldano to defendant, of their claim against plaintiff to the extent of such payment of $3,500.- It is admitted that the plaintiff Bates' was, at'the time, indebted tó his sub
Counsel for appellant complain, in the fifth and sixth assignments, that the trial judge erred in admitting in evidence the written assignment of plaintiff’s claim to the -First National Bank of Connellsville, and in refusing to affirm defendant’s second point, to the effect that, as the assignment was only a partial one, there could be no recovery by the assignee. These objections are without merit. No recovery was sought by the assignee. The cause of action has not been split. Only one suit has been brought, and that is for the entire amount of the claim. The verdict and judgment are in favor of William M. Bates, although marked for the use of his assignee and himself.
Part of the claim of plaintiff was for the loss of
In 2 Sedgwick on Damages (9th ed. . 1912), Section 636m, it is said (p. 1268) : “If the period fixed for the complete performance of the contract has passed before the trial, there is no uncertainty as to the actual cost of performance.......The contract price.,and the exact cost of performance can be shown, and the difference between them is the measure of damages.” Citing Masterton & Smith v. Mayor of Brooklyn, 7 Hill (N. Y,) 61.
In Clyde Coal Co. v. Pittsburgh & Lake Erie R. R. Co., 226 Pa. 391, it was held, as set forth in the syllabus, that “profits arising from a subsequent contract, though made on the faith of the original contract, and capable of definite ascertainment, are not recoverable in an action for the breach of the original contract.”
Our Brother Mestrezat,' after an examination of the
The eighth assignment is to the refusal of defendant’s sixth point, which requested the trial judge to charge that plaintiff was not entitled to recover, because the contract was an entire one, and no action could be maintained upon it until the time for its expiration had arrived.
The verbal contract, so far as the testimony shows, did not fix any time limit for performance. In the form of contract afterwards sent to plaintiff by defendant it was provided that the work should be completed on or before January 1, T911. In the modification attached to the contract by plaintiff and signed by him it was provided that the time for completion should be April 1, instead of January 1,1911. The present suit was brought March 25,1911. .
In the ninth assignment, the court below is charged with error in submitting to- the jury plaintiff’s- claim for extra hauling alleged to have been caused by a change in the location of the line of the railroad. It is admitted that the line was changed by the railroad company, after the contract was made. But whether or not the change increased the expense of the work for plaintiff was a disputed question of fact. Thq evidence as to this point was conflicting, but the credibility of the witnesses was for the jury, and the trial judge did not err in submitting to them the question whether the change of location imposed additional expense upon plaintiff in the performance of the contract. The jury should have been cautioned against accepting the results of guess work in this connection, as against the testimony of the engineers in charge of the work, based upon their records, which were presumably accurate.
The second, third, and seventh assignments of error are sustained, and the judgment is reversed with a venire facias de novo. , '
Reference
- Full Case Name
- Bates v. Carter Construction Company
- Cited By
- 11 cases
- Status
- Published
- Syllabus
- Witnesses — Competency — Action. against corporation — Statements of stockholder — Death of stockholder — Plaintiff as witness— Act of May 88,1887, P. L. 158. 1. Since the passage of the Act of Mgy 23, 1887, P. L. 158, the court must discountenance all objections t,o the competency of a witness on the ground of interest and policy unless they be made clearly to appear. 2. In an action against a corporation the plaintiff is not rendered incompetent to testify as to certain relevant conversations between himself and a former officer and stockholder of the defendant company who died before the trial. It is the individual, personal, adverse interest which works a disqualification, Contracts — Becision—Evidence—Set-off—Assignment—Time of performance unstated- — -Prematurity of action — Change of place of performance — Increased cost — Measure of' damages — Loss of profits — Case for jury. 3. ' In an action by a subcontractor against a general contractor to recover a balance due for work performed and for profits, which plaintiff alleged he would have made, had he been permitted to complefe his contract, it appeared that after plaintiff had performed a part of the work defendant had rescinded the contract. Defendant offered evidence that it had paid directly to a subcontractor of plaintiff, part of an amount due by plaintiff' to said subcontractor and sought to set off such' payment against plaintiff’s claim. Plaintiff alleged that under his contract with such subcontractor such payment was not due the subcontractor until after plaintiff had been paid by defendant, and consequently the payment by defendant was unauthorized. It appeared that the subcontractor had attached payments due plaintiff in the hands of defendant and that defendant, upon paying the subcontractor, had taken an assignment of his claim against plaintiff. Held, that the evidence was admissible. , 4. Where in such case it appeared that plaintiff had made a partial assignment of his claim to the use of a bank and that the action was marked to the use of the bank and plaintiff, it was not error to admit in evidence the assignment of the plaintiff’s claim to the bank, or to refuse a point to the effect that as the assignment was only a partial one there could be no recovery by the assignee, in view of the fact that the cause of action had not been split, that only one action had been brought, and that for the entire amount of the claim. 5. In such case the court erred in refusing defendant’s offer' of evidence as to what it actually cost to complete the plaintiff’s contract and that the 'work was done in a careful manner, and as economically and cheaply as possible, for the purpose of showing that plaintiff could not have completed the contract at the prices . claimed by him, except at a loss; and it was immaterial that plaintiff had sublet part of such work where there was no evidence that plaintiff had sublet the entire work which was yet to be done, or of the financial ability of the subcontractor to complete the work for the prices named. 6. Eor the breach of a contract damages may be recovered fpr loss of profits, the direct and immediate fruits of the contract itself, and ascertainable with reasonable certainty, when they are the result of such breach, or which under the circumstances the parties may have contemplated at the execution of the contract as the probable result of its breach; but damages for the loss of profits for the violation of a contract may not be recovered when they are uncertain, remote or speculative, pr when they grow out of a subsequent collateral or subordinatfe undertaking which was entered into on the faith of the principal contract. T. In such case wEere the suit was on an oral contract which did not fix any time limit for performance, and which defendant had rescinded after part performance by the plaintiff, the court did not err in refusing to charge that the plaintiff was not entitled to. recover because the contract was entire and no action could be maintained upon it until the time for its expiration had arrived. 8. In such case where part of plaintiff’s claim was for extra hauling alleged to have been necessitated by a change in the location of the line of railroad upon which the work was done, the-court properly submitted to the jury the question whether the change increased the expense of the work for the plaintiff, where the evidence on that point was conflicting.