Taresh v. California Canning Peach Growers

THOMPSON, J. The defendant appeals from a judgment entered on motion of the plaintiff for a judgment on the pleadings on the theory that the answer did not allege any defense to the action.

[687]The appellant is a nonprofit cooperative association incorporated under the laws of California, for the declared purpose of the better handling of deciduous fruits, especially peaches, through the cooperative and joint efforts of its members and the association whereby mutual advantages and economies in the handling, shipping and the securing of advantageous marketing facilities might result in benefit to the individual members and the association, and which benefits are dependent directly upon the performance by the members of their marketing agreements to deliver fruit grown by them to the association.

The respondent is the owner of a peach orchard of about ten acres in Sutter County and entered into a marketing agreement with appellant association in April, 1925, to sell, and whereby the appellant agreed to buy, all of the canning peaches produced on respondent’s orchard during the years 1925 and 1936, inclusive. Paragraph 18 of the contract, with the interpretation of which we are immediately concerned, is as follows:

“The Grower may file with the Buyer between February first and February tenth inclusive of each of the years 1924, 1926, 1928, 1930, 1932 and 1934 a written notice of his desire to withdraw from this contract, and the Buyer will thereupon give its written release thereof, and thereupon said contract shall be cancelled as to the succeeding years of the contract period. And the Buyer is hereby also given the right to give written notice to the Grower between March first and March tenth inclusive of either of the above named years, of its desire to withdraw from this contract, and thereupon said contract shall be cancelled as to the succeeding years of the contract period.”

The respondent sent to the appellant, by registered mail, at the city of Sacramento, the following:

“Rio Oso, California, January 25, 1934. “California Canning Peach Growers Association,

“San Francisco, California.

“Attention: A. D. Pogetto, Manager.

"Gentlemen:

“Please be advised that I am withdrawing my membership in the California Canning Peach Growers Association.