Marble v. Standard Oil Co.

• Decision Date: 24 November 1897
• Citation: 48 N.E. 783,169 Mass. 553
• Parties: MARBLE et al. v. STANDARD OIL CO.
• Court: United States State Supreme Judicial Court of Massachusetts Supreme Court

169 Mass. 553

48 N.E. 783

MARBLE et al. v. STANDARD OIL CO.

Supreme Judicial Court of Massachusetts, Worcester.

November 24, 1897

The following are the plaintiffs' declaration and amended declaration:

"And the plaintiffs say that the defendant entered into an agreement with the plaintiffs, under the firm name and style of Jerome Marble & Co., and in consideration of the agreement of the plaintiffs to buy all their kerosene oil of the Standard Oil Company, and to sell in the city of Worcester and its vicinity only oil so purchased from them that they would not interfere with the sale of the oil so bought by the plaintiffs of the defendant company, and so to be sold by the plaintiffs in Worcester and its vicinity by selling themselves within the same territory from tank wagons or otherwise to retailers and consumers the defendant's oil, either that known as the 'Water White Oil' or 'Devoes' Brilliant Oil.' And the plaintiffs, in pursuance with their said agreement, did purchase all its refined oil of the defendant company, and kept all its undertakings in the premises; but the defendant, unmindful of its obligations and agreements disregarded its obligations thereunder, and sold to customers of the plaintiffs, directly, from tank wagons and otherwise, large quantities of both the said 'Water White Oil' and 'Devoes' Brilliant Oil,' to the great damage of the plaintiffs, and to the great injury of their business as dealers in oil, and have caused the plaintiffs great pecuniary loss from the defendant's breach of the defendant's contract and agreement."

"Count 2. And the plaintiffs say that they made an agreement with the defendant whereby, in consideration of the agreement of the plaintiffs to purchase all of their refined oil of the Standard Oil Company exclusively, and to sell to their customers only the oil of the Standard Oil Company, the said Standard Oil Company agreed that they would sell the said plaintiffs all kinds of refined oil at such a price as to make the price to them, the plaintiffs, one-fourth (1/4) of a cent per gallon less than the price at which the Standard Oil Company should sell the same quality of oil to E.T. Smith & Company, the competitors of the said plaintiffs. The said plaintiffs lived up to and kept their part of said agreement and did all matters and things by them to be done and performed, but that the Standard Oil Company did not keep its agreement, but sold the plaintiffs oil at prices which were not one-fourth (1/4) of a cent per gallon less than the same oil was sold to E.T. Smith & Company, and that thereby the said defendant greatly damaged said plaintiffs, and the plaintiffs say that, besides the damages caused by the payment of more than the agreed price, they also suffered a great loss in their trade, by not being able to sell their own customers oil at such a price as to hold their said customers from purchasing of others, and by not being enabled to enlarge their trade in said oils by reason of being able to undersell their competitors.

"Count 3. And the plaintiffs say that they made an agreement with the defendant whereby the plaintiffs were to aid the defendant to introduce its oils in the vicinity covered by the plaintiffs' trade, and the defendant, in consideration of this agreement of the plaintiffs, on its part promised that, so long as the plaintiffs continued to purchase all of their refined oils of it, the defendant, and sold to their customers only the refined oils so purchased or to be purchased of the defendant, it, the defendant, would not interfere in any manner with the plaintiffs' trade, nor sell nor offer for sale refined oils to persons or corporations who were customers of the plaintiffs. That the plaintiffs on their part kept their said agreement, and performed all matters and things by them agreed to be performed, and purchased exclusively all of their refined oils of the defendant; but that the defendant did not fulfill its said agreement, but sold their refined oils to customers of the plaintiffs, and solicited and took away the plaintiffs' trade in refined oils, to the great damage of the plaintiffs. And the plaintiffs say that during all the time that they, the said plaintiffs, purchased oils of the defendant, they paid the said defendant per gallon more for oil than similar oils could be purchased in the market, and that they, the said plaintiffs, did so purchase oil at said increased price because of this agreement that said defendant should not interfere with their trade, and that this breach of the agreement by the defendant was of great damage to the plaintiffs, not only to the extent of the increased price of oil purchased, but also in the great loss of trade.

"Count 4. And the plaintiffs say that on or about October 13, 1891, they made an agreement with the defendant whereby, in consideration that the plaintiffs would purchase oil exclusively of the defendant, and would sell to their customers only such oil as was purchased of the defendant, and would co-operate and further the work of the defendant in introducing and maintaining tank-wagon service in Worcester, the defendant agreed that they would pay the plaintiffs one-fourth (1/4) of a cent per gallon for all oil which they, the defendant, should sell to any of the customers of the plaintiffs, and that the plaintiffs have kept their part of said agreement, and have purchased exclusively all their oil of the said defendant; but that the defendants have broken their contract, and have not paid to the plaintiffs the sum which would amount to one-fourth (1/4) of a cent per gallon on all refined oils which it, the defendant, has sold to the customers of the plaintiffs.

"Count 5. And the plaintiffs say that on or about October 13, 1891 they made an agreement with the defendant whereby the plaintiffs were to aid the defendant to introduce a special brand of oil called 'Devoes' Brilliant Oil' in the vicinity covered by the plaintiffs' trade, and ...