E. H. Boly & Son, Inc. v. C. Richard Schneider

This is a diversity action for breach of contract. Plaintiff-appellee, E. H. Boly & Son, Inc. (Boly) and defendant-appellant, C. Richard Schneider, entered into a written contract whereby Boly agreed to act as exclusive agent for Schneider in reselling an apartment complex after it had been converted into condominium units. In a non-jury trial the district court found that appellant had breached the contract and awarded appellee restitution of $30,000, plus interest from the date of the contract. We affirm the award of the principal sum, but remand for modification of the date from which interest shall be computed.

In 1968 Boly was acting as broker for Security Bank of Oregon in the sale of the Waverly South Shore Apartments, which the Bank had acquired through foreclosure. The selling price asked by the Banlj was $825,000, including a commission obligation of the Bank to Boly of $34,125. E. H. Boly, the principal officer and stockholder of appellant, showed the property to Schneider.

After extended negotiations the parties devised a plan whereby Schneider would purchase Waverly at a reduced price, convert the complex into condominiums, and employ Boly for three years…