Story Case

Mr. Milton Jenkins secured a painter to paint his house. He promised to pay him $125 for the work and material when completed. The painter proceeded to do the work. "When he had finished and applied to Mr. Jenkins for his pay, it was refused. Suit was brought by the painter therefor.

Should he recover in the above case? Is the contract executed or executory, or executed in part?

Ruling Court Case. Brumfel Vs. Vigo Agricultural Society, Volume 102 Indiana Reports, Page 146; Volume 52 American Reports, Page 647

The Vigo Agricultural Society was an association, organized under the laws of the state of Indiana for the purpose of conducting fairs for the exhibition of agricultural products, manufactured articles and other things. During the summer, prior to the time when a fair was to be given, the Society issued generally advertisements, inviting and requesting persons to place articles on exhibition. In these advertisements it was promised that all articles placed on exhibition would be properly cared for and that the fair grounds would be efficiently policed at all times.

Brumfel sent in a certain gun for exhibition. During the continuance of the fair it was stolen. It seems that the Society had been very negligent in guarding all the buildings, and that the building in which this gun was placed was never fastened and never policed.

Brumfel brought this action for damages. He claimed that, having the gun on exhibition in compliance with the request of the Society, that the latter assumed a contractual duty to properly care for it; and, having failed to do so, the Society is liable for the loss thereof.

Decision

The advertisement of the Society was an offer to any one who wished to place property on exhibition. In connection with this offer, a promise was made that such property would be safe, that it would be protected. An acceptance of this offer by Brumfel made a binding contract. His act of sending his gun to the Society constituted an acceptance.

This was a contract executed in part and executory in part. That part to be done by Brumfel was done when he sent his gun to the building of the Society. That part which was to be done by the Society was not done. The contract contemplated its caring for the gun until the fair was over and, having failed in doing so, it is liable for the damages resulting from its breach of contract.

Judgment was given for Brumfel.

Ruling Law. Story Case Answer

An executed contract is one wherein all obligations imposed or assumed by the contract have been performed. Nothing more remains to be done. If I agree to buy your horse for $100 and you agree to accept that amount, the moment I pay the $100 and receive the horse the contract is then executed.

A contract may be executed in part and executory in part. Such a contract is one in which the obligations of the contract have been performed in part or whole by one, but have not been performed in part or whole by the other. In the above case, had I paid the $100 to you, and you in return had promised to sell me your horse ten days later, the contract would be executed as to me, but executory as to you.

This is the situation in the Story Case. The contract was executed as far as the painter was concerned but executory as to Mr. Jenkins. Therefore, the painter can compel Jenkins to satisfy his part of the contract.