Street Railways Advertising Co. v. Olympia Brewing Co.
Street Railways Advertising Co. v. Olympia Brewing Co.
Dissenting Opinion
(dissenting) — Under this contract, I think the prohibition laws took effect when it became unlawful to sell beer and other intoxicating liquors, and not when they became valid laws. I therefore dissent.
Opinion of the Court
The plaintiff advertising company seeks recovery for advertising services alleged to have been rendered by it to the defendant brewing company in several cities in Washington and Oregon during the months of February, March, April and May, 1915, under a contract between them which by its terms covered that period, but subject to cancellation in either or both states by the passage of prohibition laws therein. A trial upon the merits in the superior court for Thurston county, sitting without a jury, resulted in findings and judgment denying to the advertising company any recovery, from which it has appealed to this court.
On February 13,1913, the advertising company and the brewing company entered into a written contract
“In case a local option or prohibition law is passed in any city or state, covered by this contract, it is agreed that this contract shall be cancelled in said city, or state, when said law takes effect.”
At the general election held in this state oh November 3,1914, the electors enacted Initiatory Measure No. 3, rendering unlawful the sale of the brewing company’s products in this state. The concluding section of that act reads as follows:
“This act shall take effect and be in full force and effect from and after the first day of January, 1916.” Laws of 1915, page 17, § 33 [Rem. Comp. Stat., § 7341].
The seventh amendment to the constitution of this state, relating to direct legislation by the electors, reads in part as follows:
“Any measure initiated by the people or referred to the people as herein provided shall take effect and become the law if it is approved by a majority of the votes cast thereon: Provided, that the vote cast upon such question or measure shall equal one-third of the total votes cast at such election and not otherwise. Such measure shall be in operation on and after the thirtieth day after the election at which it is approved.” Art. 2, § 1, Amend. 7.
At the general election held in the state of Oregon on November 3,1914, by vote of the electors an amend
“From and after January 1, 1916, no intoxicating liquors shall be manufactured, or sold within this state, except for medicinal purposes upon prescription of a licensed physician, or for scientific, sacramental or mechanical purposes.
“This section is self-executing . . . .”
On December 4,1914, the governor of Oregon'issued his proclamation, referring to that amendment and the vote of the electors thereon, declaring:
“That said constitutional amendment hereinbefore mentioned shall be and now is in full force and effect as a portion of the constitution of the state of Oregon.”
It will be noticed that the five-year period of the advertising contract extended not only beyond the enactment of the Washington prohibition law and the Oregon prohibition constitutional amendment, but also beyond January 1, 1916, the time when they both became en-forcible, and that the four months’ period of alleged advertising services for which recovery is sought in this action is between those dates.
The only question calling for our serious consideration is whether the enactment of the Washington prohibition law and the adoption of the Oregon constitutional amendment had the effect of cancelling the advertising contract in December,'1914. It seems to us that the parties to the advertising contract would most likely anticipate that any prohibition law would become enforcible soon after the consummation of its passage. It would seem, therefore, that the parties most likely had in view the actual consummation of the enactment of such laws; that is, their actually coming into being, as the date when the contract should be considered effectually cancelled thereby. To adopt the view that the words of the contract “when said law
The judgment of the superior court is affirmed.
Main, O. J., Tolman, and Pemberton, JJ., concur.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.