Echols v. New Orleans, Jackson & Great Northern Railroad

Citations

• 52 Miss. 610

Syllabus

<p>1. Contract : Construction thereof by a court.</p> <p>A contract entered into to furnish articles or supplies, at a specified price and without limit as to duration, will not be construed as a perpetual contract, and will not be enforced as imposing a never ending-burden. It must be construed as terminable at the pleasure of either party, or as implying that the thing to be done shall be performed within a reasonable time, and the obligation will cease within the same limitation. What is a reasonable period in such cases is a question of law for the court, to be considered with reference to the facts as affording the basis of its rulings in each particular case, and not a question of fact for the jury.</p> <p>2. Same : Same : Case in judgment.</p> <p>E. entered into a contract with the N. O., J. & Gr. if. R. R. Oo. to furnish cord- ■ wood at a specified price, the wood to be of a certain description and quality. There was no limit as to the duration of the contract, save as herein indicated, viz., “to commence on or before May 1, 1870, and continue as long as satisfaction be given by the contractors,” and “that the company shall retain in its possession as security for the performance of the contract, out of the price of the wood, the amount of 25 cents per cord, until the whole year’s supply shall have been delivered.” Held, that the contract is not perpetual, and that, in view of all the circumstances and the nature of the contract, it is just and reasonable to terminate it at the expiration of one year.;</p>