Daily Telegram v. Ocean View Oil Co.

This is an appeal from a judgment in favor of plaintiff and against the defendant, Ocean View Oil Company, on a cause of action arising out of certain adver tising in the newspaper of plaintiff and its assignor, alleged to have been done at the instance and request of said defendant.

In accordance with certain provisions of the Corporate Securities Act defendant procured a permit to sell 100,000 shares of its stock on the condition that not more than twenty per cent of the selling price thereof should be paid as a commission for its sale. The defendant then entered into a contract with one C. F. Martin iby which it was agreed, among other things, in substance, that Martin, party of the second part, was appointed the “fiscal agent” of the defendant, party of the first part, to sell the said 100,000 shares of stock for a compensation of twenty per cent commission “wholly in accordance with the permit.”

Also, “In addition to the above commission, the party of the first part agrees to raise by subscription not to exceed 5,000 shares of the capital stock of said corporation which shall be sold by the party of the second part without commission.

“Said party of the second part shall…