McMullin v. Bodine

Citations

• 247 Pa. 151
• 93 A. 321
• 1915 Pa. LEXIS 799

Syllabus

<p>Contracts — Employment contract — Construction—Net earnings —Elements of manufacturing cost — Equity.</p> <p>In a proceeding in equity to recover possession of certain bonds deposited in escrow for defendant’s benefit as a conditional extra compensation under an employment contract providing for their delivery to him whenever the glass company by which he was employed “shall have earned the sum of $500,000 net, exclusive of royalties and interest, for twelve months;......the term net...... to mean the difference between the actual cost of manufacture and the price obtained for the glass,” the term “price obtained for tbe glass” was construed to mean tbe price obtained after deducting tbe cost of marketing; and the whole contract was construed to exclude from the “cost of manufacture” all fixed charges which the company would have been compelled to pay whether it manufactured glass or not, as being within the term “interest charges”; and upon it appearing by an account stated under this construction that the net earnings of the company for the period were less than the amount stipulated; it was decreed that the bonds did not pass to defendant.</p>