Searching over 5,500,000 cases.


searching
Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.

BETZ v. SYKES (11/16/55)

November 16, 1955

BETZ
v.
SYKES, APPELLANT.



Appeal, No. 228, Oct. T., 1955, from judgment of Municipal Court of Philadelphia County, June T., 1953, No. 76, in case of George W. Betz, Jr. v. John R. Sykes, Jr. Judgment affirmed.

COUNSEL

S. Walter Foulkrod, Jr., with him Hubert P. Earle, for appellant.

Paul Maloney, for appellee.

Before Rhodes, P.j., Hirt, Ross, Gunther, Wright, and Ervin, JJ. (woodside, J., absent).

Author: Hirt

[ 179 Pa. Super. Page 641]

OPINION BY HIRT, J.

Defendant and three other individuals each owned one-fourth of the capital stock of Edelen and Boyer Company, a Pennsylvania Corporation. Because of serious disagreement with his associates defendant decided to dispose of his stock and he requested plaintiff, a registered securities broker, to sell it for him. Defendant agreed to pay him for the service but the amount of the fee was not stipulated. Plaintiff sold the stock for $16,000. Since there was no agreement as to fees in a definite amount, plaintiff, if he could recover anything, was entitled to receive the fair value of his services. Restatment, Agency, § 443. After the sale defendant finally repudiated a tentative agreement as to the amount of the earned fee and sent plaintiff his check for $250. Plaintiff refused the check as inadequate and brought this action to recover the fair value of his services. Since defendant's holding was a minority interest in a small corporation there was no general market for the stock. At the trial there was uncontradictory testimony of plaintiff and of another broker, who was entirely disinterested, that a broker's commission in this class of sales range from 5% to 10% of the sale price. The jury returned a verdict of $880 for the plaintiff. The verdict as to amount is fully supported by the evidence. Defendant however now contends that plaintiff is not entitled to anything. In this appeal from the refusal of a new trial his complaint goes entirely to alleged errors in the charge of the court. His argument however completely ignores the effect of the verdict of the jury in establishing controlling facts which he may not now question. The principle is so firmly embedded in our law that we hardly need be reminded that: "It is a rule of universal application that evidence and the inferences logically deducible therefrom must always be considered in the

[ 179 Pa. Super. Page 642]

    light of the jury's verdict: Fisher v. Hill, 362 Pa. 286, 66 A.2d 275": Deli et ux. v. Chadderton et al., 365 Pa. 102, 74 A.2d 102. The judgment entered on the verdict will be affirmed.

In the light of the verdict it must be taken as established that plaintiff negotiated the sale of defendant's stock to the three other stockholders, as individuals, and that the down payment of $2,700 was their money; that the corporation was later named in the stock certificate as transferee at the defendant's request to which the other stockholders, who were the real purchasers, assented. The evidence is that this method of consummating the sale was agreed upon because defendant preferred the corporation's notes to those of his former associates. The notes have been paid and whether the stock has been transferred by the corporation to the individual purchasers is unimportant.

Plaintiff had been employed by Edelen and Boyer Company as financial advisor to the corporation at an annual fee of $300. Undoubtedly to keep him intimately informed as to the affairs of the corporation he was given one qualifying share of stock and was made a member of the Board of Directors. It was defendant's position at the trial that plaintiff sold defendant's stock to the corporation and that because of his status as a director and stockholder he was charged with double dealing in representing both the buyer and the seller. On that ground defendant contends that plaintiff is not entitled to any commission on the sale. Of course the rule is that an agent cannot represent two principals in the same transaction involving an exercise of discretion where the interests of the parties are fundamentally conflicting unless the agent makes full disclosure of his conflicting interest or both parties, with full knowledge of the dual representation,

[ 179 Pa. Super. Page 643]

    consent to it. Rice v. Davis, 136 Pa. ...


Buy This Entire Record For $7.95

Download the entire decision to receive the complete text, official citation,
docket number, dissents and concurrences, and footnotes for this case.

Learn more about what you receive with purchase of this case.