82 Cal.App. 434, Civ. 3034, California Bean Growers Association v. Williams

Docket Nº:Civ. 3034
Citation:82 Cal.App. 434, 255 P. 751
Opinion Judge:PLUMMER, Judge
Party Name:CALIFORNIA BEAN GROWERS ASSOCIATION (a Corporation), Appellant, v. E. C. WILLIAMS, Respondent
Attorney:Sapiro & Hayes for Appellant. A. H. Hewitt and Loyd E. Hewitt for Respondent.
Judge Panel:JUDGES: PLUMMER, J. Hart, J., and Finch, P. J., concurred.
Case Date:April 19, 1927
Court:California Court of Appeals
 
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Page 434

82 Cal.App. 434

255 P. 751

CALIFORNIA BEAN GROWERS ASSOCIATION (a Corporation), Appellant,

v.

E. C. WILLIAMS, Respondent

Civ. No. 3034

Court of Appeals of California, Third District

April 19, 1927

APPEAL from a judgment of the Superior Court of Sutter County. K. S. Mahon, Judge.

Reversed.

COUNSEL:

Sapiro & Hayes for Appellant.

A. H. Hewitt and Loyd E. Hewitt for Respondent.

JUDGES: PLUMMER, J. Hart, J., and Finch, P. J., concurred.

OPINION

PLUMMER, Judge

Page 435

[255 P. 752] Action by plaintiff to recover excess of advances made by the plaintiff to the defendant over and above the receipts of the defendant's crop of beans marketed by the plaintiff for the defendant. Judgment of nonsuit was entered in the trial court and from this judgment the plaintiff appeals.

In this opinion the word " Association" will be used to designate the plaintiff and appellant.

The Association is a farmers' co-operative association doing business on a nonprofit basis. Its purpose is to market beans of member growers. The Association operated under standard form of contract, known as the " bean crop contract"

Page 436

and was executed by the Association and the defendant covering beans to be grown by the defendant and delivered to the plaintiff during the years 1918, 1919, and 1920. The action does not involve any beans grown or delivered during the year 1918, nor does it appear that any beans were grown by the defendant and delivered to the plaintiff during the year 1918. One count in the action was for damages for failure of the defendant to deliver beans to the Association during the year 1920, but the answer of the defendant sets forth that no beans were grown by the defendant during the year 1920. The count in the plaintiff's complaint relating to the 1920 alleged crop of beans was upon information and belief and was abandoned upon the trial. The action involves only the crop of 1919.

This appeal is based upon rulings made by the trial court excluding proffered testimony, but before making a statement thereof and considering the same, we will set forth certain portions of the agreement entered into between the Association and the defendant. Section 2 of the agreement authorizes the Association to purchase bags, sacks, and twine and other necessary materials for the use and account of growers and the grower authorizes the Association to pay on his account all actual costs of freight, cartage, loading, cleaning, warehousing, insurance, selling, and any other proper charge not specified, and, in addition, authorizes the Association to deduct and retain an Association charge not in excess of one dollar per ton. Section 3 appoints the Association as the agent of the grower to fix a reasonable price at which his beans may be sold, and below which none should be sold, to act for the grower in negotiating loans on his crop at his request; to process or clean or store any and all of his beans and to sell the same on his account and to pay to the grower the net proceeds, less all costs and deductions herein provided.

Section 5 specifies that the grower is to harvest, pick, and prepare his beans for shipment and to warehouse them at the nearest convenient shipping point as delivery to the Association for marketing for his account in a public warehouse and deliver warehouse receipts to the Association. The Association agrees to advance the grower, or to secure for him as an advancement, such amount as may be deemed proper, based upon general market crop conditions, such

Page 437

advance to be repaid the Association out of the sale of the beans.

Subdivision b of section 6 authorizes the Association to reclean any and all beans at the expense of the grower; section 8 is to the effect that the Association agrees to sell and market the beans at the reasonable and fair prices obtainable by the Association " in the open market or elsewhere, subject always to the conditions of supply and demand, competitive offers and governmental rules and authority."

Section 9 specifies that the Association shall market and sell the beans of the grower, mingled with beans of like variety and grade delivered by other growers at the reasonable and fair value thereof, and the grower agrees that his beans shall be so handled and that the returns therefrom, less brokerage and all other costs and charges and the Association charge as set forth in paragraph 2, shall be paid to him on a proportionate basis out of the amounts received by the Association during the season from the sale of said beans, etc.

The complaint is in four counts, three only of which need be mentioned, the fourth having been abandoned. The first count is based upon an account stated. The third count alleges a book account. The second cause of action alleges that the Association agreed to receive beans as the defendant's agent, to process, clean, and store the beans for his account, and to pay for his account all charges arising from the handling and selling of beans, and after deduction of the charges and...

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