Jameson v. Board of Education
Jameson v. Board of Education
070rehearing
ON RE-HEARING.
After a careful reconsidératioñ of this case and the authorities bearing thereon we are of opinion to adhere to our former conclusion. The authorities are not harmonious, but our decision harmonizes with the weight of the more modern and better reasoned cases from other states, and accords with what we regard as the better rule applicable to eases of this character. The contract was entire, the breach thereof also entire and plaintiff had but one right of action. She exhausted her remedy by her former suit and is barred of the present action by the judgment rendered therein.
Reversed, and rendered.
Dissenting Opinion
(dissenting) :
I am unable to concur in the conclusion adopted by a majority of the members of the court. In my opinion, the procedure to which they have committed themselves subordinates substantial right and justice to a bare technicality: If the ruling had any foundation in a statute, I would, of course, acknowledge its supremacy. But it is of judicial origin and its correctness has not been universally admitted. It has never been recognized in this state, and the decisions in other jurisdictions are only persuasive authority here. Whether the weight of authority favors it may well be doubted. Originally, all authority was against it. Since 1850, the trend has been in its favor, but it stands upon fallacious and unsound reasoning. That the wages for the whole term of nine months, less any sum the plaintiff might have- earned at similar employment, in the same community, within the same period, by the exercise of diligence, or did actually earn within that period, anywhere or in any way, could have been recovered in a single action, is conceded by all authorities. Such an action could have been brought immediately upon the refusal of the board to permit the plaintiff to teach, or at the expiration of the term contemplated by the contract. The additional right to sue for the installments, as of the dates at which they would have become due and payable, on the theory of constructive service, accepted in some jurisdictions, or separate and distinct breeches of the contract, as of the times at which the installments would have become due, giving a right of indemnity for each separate breach of such character, is accorded in some states and denied in others, the latter asserting the doctrine of a single and entire breach for which only one action can be maintained. '
The constructive service theory advanced by Lord Ellen-borough in Gandell v. Potigny, 4 Camp. 375, has been accepted and extensively applied in this country. Marx. v. Miller, 134 Ala. 347; Moss v. Land Co., 93 Ala. 269; Ramey v. Holcombe, 21 Ala. 567; Liddell v. Chidester, 84 Ala. 508; Gardenhire v. Smith, 39 Ark. 280; Champion v. Hartshorne, 9 Conn. 564; Hitchens v. School Dist., 62 Alt. 897; Rogers v. Barham, 8 Ga. 190; Hichman v. Motor Car Co., 151 Mich. 214; Isaaca
As the character of the contract involved in that case affords better means of illustration of the operation of the two rules, than those usually found either in the decided cases or the course of business, it having been one for service throughout a long period of time, about thirty years, the facts upon which the decision rests are here briefly stated. The defendant, a corporation, by a written contract, employed the plaintiff as its general manager, at a salary of $1500.00 per year, payable in monthly instalments of $125.00, from and after the date of the contract, as long as he should own in his own name 50 shares of the capital stock of the corporation, fully paid up, and the business of the corporation should be continued, not exceeding the term of the existence of the corporation, the charter of which gave it right of life for thirty years. The contract was dated February 25, 1892. Having complied with all conditions and performed the service contemplated until October 23, 1893, the plaintiff had been then discharged and dismissed without cause. Having recovered, in one action, his salary to March 1, 1894, amounting to $512.00, he brought a second one for his salary for the months of March
The gist of the decision, sustained by a well considered and logical opinion, is set forth in the syllabus of the ease as follows: “The liability of the master to the servant is not an absolute liability for wages for constructive service during the balance of the term, but a contingent liability of indemnity for loss of wages. This liability • accrues by installments on successive contingencies, each of which consists in the failure of the servant, without his fault, to earn, during an installment period, the amount of wages which he would have earned had the contract been performed, and the deficiency is the measure of damages. The original breach is not total, but the failures to pay the 'successive installments constitute successive breaches, and successive actions may be maintained for the recovery of the installments of damages as they accrue, if any. This is the rule of damages usually allowed under the fiction of constructive service, but that fiction is rejected as false and inconsistent with that rule, while the rule itself is retained. ”,
The opinion is a vigorous denial of the correctness of the theory of legal singleness and indivisibility of the breach of such a contract, effected by the refusal of the employer to allow performance by the employee, and demonstration of the fallaciousness of some of the argument given in support of the proposition. Such of it as exposes the contradiction inherent in the constructive service theory is approved, but its applicability to the allowance of successive actions for damages, on the theory of several and distinct breaches, is denied and refuted. Allowance thereof no more encourages idlenesson the part of the discharged employee than limitation to a single action; for, in neither ease, is the servant required to present himself for work daily. In neither, does he seek recovery of wages, on the theory of either actual or constructive service. He goes for damages in each, founded upon the wrongful discharge only. In each, the measure of the damages
What remains of the argument is little more than an arbitrary declaration of the courts, that the discharge or renunciation of the contract can afford only one cause of action. Of* course, public policy, as well as equitable considerations, forbids the splitting of actions. One controversy over a single matter suffices. Two or more work an unnecessary consumption of the time of the courts, intensify and prolong controversies, involve waste of the time and resources of the litigants and militate against social peace and harmony. But these considerations are manifestly subordinate to the contract rights of the citizen, and afford no justification for abatement thereof. Indivisibility of a single cause of -action is wise and just, and should be rigidly observed, but the classification of causes respecting singleness should be so made as to avoid infliction of hardship and oppression or production of absurd results. In the absence of legislation, the classification is a court function and a mere matter of procedure. In the exercise of this right, some courts have declared the cause of action arising upon a breach of such a contract as is involved here single, Olmstead v. Bach and Myers, 78 Md. 132; Keedy v. Long, 71 Md. 385; Closeman v. Lacoste, 28 Eng. L. & Eq. It. 140, while others assert the contrary. See the long list of •cases first cited.
Injustice of the single action rule, in both the practical and legal senses of the term, is forcibly demonstrated by Canty, J. in McMullan v. Dickinson Co., 60 Minn. 156, 158, in this language: “By this charter the life of this corporation is thirty years-. If the action is commenced immediately after the
Nor can he by his own act, destroy the contract. He can wrongfully terminate the relation of master and servant, but that is not the contract. It is only a thing stipulated or provided for by the contract. His wrong in doing so confers upon the injured party right of rescission or abrogation of the agreement, but, until he does rescind, it remains in force. If he sees fit to sue on it for his damages, he elects to keep it in force, not to destroy it, and, in doing that, he subjects himself to the burden, and exténds to the defendant the benefit, of another invariable and fundamental principle of law and equity. He cannot accept or hold the benefit of it in any manner or degree without taking upon himself all of its burdens. He must give as well as take. He remains under all the obligations the contract imposes upon him and extends to the defendant all the benefits it confers upon the latter. He' can no more partially continue the contract in force by an action on it or otherwise, than he can partially rescind it. If either party, after an opportunity to escape from the obligation of the contract, elects to stay within it for any purpose, he is in for all. For the proposition that the injured party has an absolute right to keep a contract fully alive, after renunciation thereof by the other party, there is authority of the highest character. In Frost v. Knight, L. R. Exch. 111, (1 Moak, 218) Cockburn Ch. J. said: “The promisee, if he pleases, may treat the notice of intention,” (not to perform the contract), “ as inoperative, and await the time when the contract is to be executed, and then hold the other party responsible for all the consequences: but in that case he keeps the contract alive for the benefit of the other party as well as his own. He remains subject to all his own obligations and liabilities under it, and enables the other party not only to
These decisions only define the right of the injured party, in the case of notice to him of intention on the part of the other, not to perform the contract, given before the time of performance has arrived. The status of the contract, after an action upon it for damages for the breach has been brought, is not therein defined. But they emphatically give the injured party the right of election and deny power in the wrong-doer to abrogate or alter its obligation. ' If the contract does not survive, how does it sustain an action? There is no becission. The action is founded upon its terms, not upon an implied promise to reimburse for money expended, materials furnished or work done, under it, as in the case of rescission; and its terms and provisions constitute the basis of ascertainment of the damages. Neither the election to sue nor the action itself abates anything from the contract. The declaration affirms it and adheres to it. Only refusal or failure of performance is complained of. The contract continues to operate and bind the defendant, else he would not be bound. It, not merely his wrongful act, is the foundation of the action. If it were not, the cause of action would have to be treated as having arisen ex delicto, from a mere tort. Continuance of the obligation through the action and beyond it to the end of the term, is the basis of allowance of damages and imposition of the reciprocal duty of mitigation, .when the action'has been brought before arrival of the time for performance or the end of the period of service contracted for.
In case of renunciation or default on the part of the employer, the employee has an universálly acknowledged right .of election as to whether he will rescind, .whether he will sue on the contract, whether, in that event, he 'will sue immediate
A severable contract is not a separate or independent one. To say a contract is severable necessarily implies union of its parts, but not an indissoluble union. Separate and independent contracts are wholly disconnected. Any complete contract, consisting of several parts, is, in some sense, entire, but many such contracts are severable, and they are severed or separated for remedial purposes, the very purpose for which severance here is denied. The severance is made to enable the courts to do justice between the parties. “The great weight of modern authority is to the effect, however, that a contract to do several things at several times is divisible in its nature because, although the agreement is in one sense entire, the performance is several, and an action will lie for the breach of any one of the stipulations, each of them being considered in respect to the remedy as a several contract. ’ ’ 23 Cye. 444. Thus, Maryland, denying right of successive actions on a contract of employment, stipulating for periodical payments, holds several suits on the same bond for different breaches may be maintained and that a recovery for one default on it does not bar a second action on it for another breach. Orendorff v. Orendorff, 48 Md. 298. Likewise, Indiana holds: “Although a mortgagee, holding several notes secured by' the same mortgage, which mature at. different times, and one of which is due, may foreclose -as to all, yet he may institute his suit to foreclose alone as to the note due-, and if he do not prosecute but one such suit at the same term of Court, he shall recover costs in each, successive foreclosure.
The constructive service theory of recovery was not rejected in England until 1850. Finding that theory contradictory and illogical, the court, in rejecting it, enunciated the extreme doctrine now in question, without any inquiry as to whether the contract was severable, and solely upon the fallacious suggestion of the economic reason to which reference has been made. In the mean time, the doctrine of the-early English cases had been followed in most of the jurisdictions of this country. As has been shown, the reason for the English departure has no application to successive actions for damages and, for such purpose, the contract is divisible in nature. To deny the right of division to the party not. in fault gives to the wrong-doer the benefit of his wrongful, act. It allows him to introduce an enormous element of uncertainty into the estimate of the damages, one so great that:
Procedure ought not to be characterized by such technicalities as unnecessarily work hardship and injustice. This harsh rule so operates and, besides it is not well founded in precedent and has not been settled with due regard to fundamental principles or the results of its operation.
Opinion of the Court
Plaintiff recovered a judgment against defendant for $609.67, the amount of seven months wages, claimed to be due
Plaintiff declared upon the special contract, averring that she was employed by defendant for a period of nine months, beginning on the 11th of September, 1911, and continuing for nine school months, on an agreed salary of $75 per month, payable monthly; that, throughout the term of employment, she stood ready to perform her part of the contract; that she appeared at the schools on the morning of each school day and demanded of the respective superintendents thereof that her work be assigned her; and that she did actually perform her part of the contract. The declaration contains also the common counts in assumpsit. The only breach averred is the failure and refusal of defendant to pay the wages for the last seven months of the schools.
Defendant pleaded the general issue, and also tendered a special plea, which the court rejected on motion of plaintiff. It averred that plaintiff had theretofore sued defendant and recovered a judgment against it for $150, on account of salary claimed by plaintiff for the first two months of school, ending, respectively, on the 6th of October and the 3rd of November, 1911; that it was proven, on the trial of that -action, that defendant had revoked or attempted to revoke plaintiff’s appointment as music teacher, and had refused to permit her to teach; and that she had not, in fact, taught, though she held herself in readiness to do so; and that said judgment is still in force. Wherefore, defendant prayed judgment whether plaintiff ought to have or maintain her present action.
The case was tried by the court in lieu of a jury, upon an agreed statement of facts, from which it appears that the plaintiff was not permitted by defendant to teach; that it sued out a writ of injunction to prevent her from continually appearing at the schools for the purpose of teaching, which writ was later dissolved on her motion. It thus appears that plaintiff actually performed no part of the contract, although she was at all times ready to do so, but that she was prevented from performing by defendant.
The constructive service doctrine was -followed for a while by the courts of New York, but was later repudiáted. The court of appeals of that state, in Howard v. Daly, 61 N. Y. 362, 19 L. R. A. 285, expressly disapproves the doctrine of Gandell v. Potigny, supra, and overrules the earlier New York
Keedy v. Long, 71 Md. 385, was a case similar to the one we are now considering, except that there plaintiff had been permitted to render some services, whereas, in this case plaintiff
James v. Allen County, 44 Ohio St. 226, is also directly in point. There plaintiff was employed as superintendent of the stone and brick work in the building of a courthouse, for such time as would be necessary to complete the building, at a salary of $100 a month, payable monthly. He was discharged before the building was completed, and sued for the wages which he claimed he should have been permitted to earn, from April 13 to June 13, 3882, and recovered judgment therefor. Later, he sued for wages which he could have earn
The decisions of the'different states of the Union on the point are not harmonious, some of them still holding to the early English doctrine. But the great majority of the states, as well as the better considered cases, hold that, where an employe has been engaged to render services for a definite period, even though his salary is payable in installments, the contract is not divisible, and, if .'wrongfully discharged or prevented from entering upon the services by his employer, he can not recover on a count for salary claimed to be due for services not actually.performed; nor can he maintain but one action for the breach of contract. The authorities following the doctrine of constructive service announced by Lord El-lenborough, as well as those that ignore it, some of them going so far. as to expressly disapprove it, may be found collated in 13 Am. & Eng. Ann. Cases, pp. 112-115.
The peculiar doctrine of successive liability for loss of wages, as if upon a contract of continuing indemnity, anounc-ed by the Minnesota court in McMullan v. Dickinson, 60 Minn. 156, 51 Am. St. Rep. 511, to be the proper rule, where a servant has been wrongfully discharged, we do not find to be followed by any other court. Such a rule produces a multiplicity of suits for one and the same wrong, and tends to encourage idleness in the discharged servant. Although wrongfully discharged, a servant still owes a duty, both to himself and to society, to be diligent, in trying to secure other employment. A recovery once had, whether it be upon a count
That the contract, in this case, was entire needs no discussion. Plaintiff’s' declaration alleges that she was employed, for a period of nine months, — a school year.
Having declared on the special contract for wages which she claimed to be due thereunder, the performance of the services for which they were to be paid is put in issue by the general plea, and the agreed facts prove that plaintiff actually performed no services whatever, and, therefore, her suit must fail, unless her declaration may properly be regarded as a suit for damages for the breach of the contract for her env ployment. This question we need not determine, for the reason that, if it could be so regarded, her former recovery is a complete bar to the present action.
. . The judgment will be reversed; and, it being apparent from the agreed facts that plaintiff could not make out any better case, if a new trial should be awarded, judgment will be entered here for defendant.
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