Harry Moreland owned a Ford automobile which he desired to dispose of. He told his chauffeur, Max Plummer, that if he would find a buyer for the machine he should have a commission of $25. Plummer found an opportunity to trade the Ford for a Maxwell and, thinking that this would be a bargain, he made the trade and now requests Moreland to pay him the $25 commission. Should Moreland pay the commission?

Ruling Court Case. State Vs. Gillam, Volume 2, Southwestern Reports, Page 185; Volume 47, Arkansas Reports, Page 555

Gillam was indicted for selling liquor to a minor, without the consent of his parent or guardian, and was convicted. It was shown that the minor gave some money to a negro to purchase the liquor for him. The negro followed instructions and brought the drink to the minor. The liquor, it seems, was not to the minor's taste, and he himself returned in person and exchanged it for a different brand. Gillam was not aware of the fact that this was the same whiskey which he had, a few hours earlier, sold to the negro for the infant. Gillam contended that he was illegally convicted, because the law forbade only "selling" liquor to a minor.

Mr. Chief Justice Cockrill said: " The statute makes it a penal offense for any one " to sell, exchange, give, barter, or dispose of any spirituous liquors or wine to an Indian," but when the subject of minors is dealt with, we find that the legislature has chosen to extend the prohibition to the single act of "selling." "Where one commodity is exchanged for another of the same kind or a different kind, without agreement as to price, or reference to money payment, the transaction is not a sale, but a barter or exchange." Judgment was given that the prisoner, Gillam, should have a new trial.

Ruling Law. Story Case Answer

A sale may be denned as an agreement for the transfer of the whole ownership in a given article for a consideration, called a price in money, or measured in money value. Stated in other words, it is a transaction by which the one person, the seller, agrees to part with his ownership in given property to another who agrees to receive that ownership and make payment therefor. Now a barter is quite different. It is a transaction whereby one person agrees to exchange his ownership in one article of property for the ownership of another article of property; it is a mere exchange of personal property.

An exchange in ownership was made, in the Story Case, but it was an exchange merely, not a sale. No price in money was paid; there was merely an exchange in ownership of two articles of personal property. Moreland told Plummer that he might have a commission of $25 on the "sale" of the machine. Failing to comply with the terms of the agreement by making an exchange or barter, rather than a sale, Plummer is not entitled to the $25 commission.