Greenbaum
Greenbaum v. United States
Opinion
Lead Opinion
Garrecht, J.
A. E. Sanders, of wide experience in the grocery business, was operating a Piggly-Wiggly system grocery store in Nogales, Arizona, in 1922. The store had been opened as a partnership and, after a few years, the partnership was dissolved and a corporation formed, A. E. and his brother, H. D. Sanders, owning all of the stock. The Piggly-Wiggly system of merchandising foodstuffs was originated by one Clarence Saunders of Memphis, Tennessee. A. E. Sanders procured a franchise to do business under that system in Santa Cruz County, Arizona, and purchased his fixtures from that company, also paying a % of 1% royalty on gross sales for the use of the name Piggly-Wiggly. Later he obtained an additional franchise to do business in Willcox and Tombstone, Arizona. During part of 1927 and 1928 he personally sold some stock in his corporation, intending to form a chain of grocery stores. In June or July of 1928 a Mr. Gribben of Denver, Colorado, wrote him that the Greenbaum brothers, appellants here, had just completed a stock selling agreement for the Piggly-Wiggly stores in that vicinity. Sanders answered that he was interested and Gribben visited him and, later, the Greenbaums came to…