Preston v. Schaefer, 76-399

Decision Date01 May 1979
Docket NumberNo. 76-399,76-399
PartiesJames R. PRESTON and Dorothy M. Preston, his wife, Plaintiffs-Appellants, v. Joseph SCHAEFER and Marion Schaefer, his wife, and Gottsacker Real Estate Company, Inc., Defendants-Respondents.
CourtWisconsin Supreme Court

John A. St. Peter, Fond du Lac, argued, for plaintiffs-appellants; St. Peter Law Offices, Fond du Lac, on brief.

Daniel P. Anderson, Plymouth, argued, for respondents Joseph and Marion Schaefer; Anderson & Anderson, S. C., Plymouth, on brief.

William W. Moir, III, Sheboygan, argued, for respondent Gottsacker Real Estate Co., Inc.; and Miller, Hayes & Werner, S. C., Sheboygan, on brief.

DAY, Justice.

This is an appeal from a judgment of the circuit court for Sheboygan County, the Honorable Allan J. Deehr, presiding, entered December 30, 1976, denying recovery to the plaintiff-buyers for alleged misrepresentation in the sale of a farm, except for $300. to replace living room drapes.

The questions on appeal are:

1. Was the finding by the trial court that the defendant-sellers did not misrepresent the number of tillable acres against the great weight and clear preponderance of the evidence?

2. Was the finding by the trial court that the defendant-sellers did not misrepresent the capacity of the manure pits against the great weight and clear preponderance of the evidence?

3. Did the trial court properly dismiss the defendant real estate company from the case at the close of the plaintiff-buyers case?

This action was brought by James Preston and Dorothy Preston, his wife, to recover damages which they allege they sustained because of misrepresentations made by Joseph Schaefer and Marion Schaefer, his wife, and Gottsacker Real Estate Company, Inc., as to land purchased by the Prestons from the Schaefers.

The Prestons were dairy farmers in Manitowoc County when they became aware that the Schaefer farm was for sale through an advertisement in a farm magazine. They responded to the advertisement, contacting Mr. William Kleiber, a real estate salesman for Gottsacker Real Estate Company which had the listing contract for the farm. The Prestons viewed the Schaefer farm that evening. The Prestons visited the farm on six other occasions after the first visit, and had an opportunity to walk over the land in daylight hours.

The Schaefers and the Prestons negotiated over the purchase for a period from late July until October of 1973 when the sale finally took place. The sales brochure represented that of the 176 acre farm, 130 acres were tillable. It also stated that the farm had two thirty-one by twelve feet liquid manure pits having a capacity of 68,000 gallons each. This was represented as sufficient capacity to handle waste from 250 head of cattle for sixty days.

The Prestons allege that the farm has only eighty tillable acres, and that the manure pits have a holding capacity of only thirty days. During the negotiations, Mr. Preston raised his concern that there were not 130 tillable acres on the farm as represented. As defined by Mr. Preston, tillable land is land which can be plowed and which can yield a crop. At the time the Prestons bought the farm, the fifty acres of low land alleged not to be tillable were planted with Reed's Canary Grass.

At one point, Preston broke off negotiations because it did not seem to him that the fifty acres planted with canary grass were tillable. Mr. Kleiber then re-contacted him and asked if he and Mr. Schaefer could show him that there were in fact 130 tillable acres. Schaefer and Kleiber visited the Prestons at their farm in Reedsville and pointed out the location of the acreages on a map. The Prestons testified that Mr. Schaefer marked in the tillable acres on the map. Mr. Kleiber testified that Mr. Schaefer made some markings on the map, but that other markings were already there from the U.S. Department of Agriculture Stabilization and Conservation Service. (ASCS) Mr. Schaefer denied making any markings on the map.

As a result of this meeting with Mr. Kleiber and Mr. Schaefer, the Prestons decided to buy the farm. Mr. Preston testified that he relied on Mr. Schaefer's representations as to the acreage and the capacity of the manure pits. Schaefer had told him that the pits would hold manure from 250 head for sixty days.

Mr. Preston conceded at trial that Mr. Schaefer had told him that the disputed fifty acres might need drainage. Mr. Preston also stated that he had made no effort to open the drainage ditch. He testified that he had been informed by employes of the soil conservation agency that the ditch could not be successfully reopened.

Mr. Schaefer testified that he began working the disputed fifty acres as cropland in 1950, and that he had to break it up, plow it, harrow it, and put in a drainage ditch. The ditch drains into the Sheboygan River. Mr. Schaefer stated that he had had to reopen the ditch about three times. The record shows that the ditch was maintained open until about 1968.

From 1950 to 1968, Mr. Schaefer testified that he had crops such as field peas, sweet corn, field corn and flax on the disputed fifty acres. All of these crops required tilling and extensive work with tractors. From 1968 to 1973, Mr. Schaefer planted Reed's Canary Grass because the ditch had become clogged. The ditch ran through a neighbor's field where the neighbor pastured his cattle, and the cattle would walk through the ditch causing it to clog.

Mr. Schaefer testified that canary grass is worked like any other crop, and that he had used some of the crop to feed young stock, some for bedding, and had sold some to contractors for concrete cover.

Mr. Schaefer testified that the fifty acres probably could not now be worked until the ditch is reopened. He said that he had discussed with Mr. Preston what had to be done to reopen the ditch. He also testified that the ASCS lists the land as tillable. Mr. Schaefer testified that had he continued in farming he probably would have reopened the ditch noting that he had a new neighbor with whom he could get together on the ditch problem.

There was expert testimony from Donald Steege who held B.S. degrees in soils and agronomy, and also had extensive experience as a farmer, realtor, and cattle broker. In addition, he was on the faculty of University of Wisconsin-Extension for Calumet and Sheboygan counties. He testified that in his opinion the disputed soil was tillable. He defined tillable acreage as acreage capable of producing cultivated crops with proper management procedures.

According to Mr. Steege, Reed's Canary Grass is a perennial crop with multiple uses. If cut young enough, it can be used as heifer feed. Although not in the same class as alfalfa, it does provide roughage. If chopped, it is excellent material for bedding. Although he did not consider canary grass to be a cash crop, he said it could be harvested three or four times a year. The more often it is harvested, the more nutritious it is, Steege testified.

On the issue of manure pits, Mr. Steege testified that the amount of waste depended on a number of factors including the size of the animals, the moisture content of the feed, the weather, the amount of water runoff from the milking parlor and the eaves, and the periods of time that the animals were allowed to run free. In his opinion, variation in these factors could be so great as to account for a difference of thirty days in the holding capacity of the pits.

Mr. Schaefer testified that he explained to Mr. Preston how to operate the pits and that he told that as a rule of thumb "anything you put in the pits has to come out." In Mr. Schaefer's experience, the pits had a holding capacity of sixty days. Mr. Preston testified that he found that the pits would fill up after only thirty days.

QUESTION # 1: WAS THE FINDING BY THE TRIAL COURT THAT DEFENDANT-SELLERS DID NOT MISREPRESENT THE NUMBER OF TILLABLE ACRES AGAINST THE GREAT WEIGHT AND CLEAR PREPONDERANCE OF THE EVIDENCE?

Trial in this case was to the court....

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