Court Opinion

ID: 9578646
Source: CourtListenerOpinion
Date Created: 2023-08-21 21:47:04.011231+00
Date Added: 2024-06-11T13:33:11.476141
License: Public Domain

McMurray, Presiding Judge,
dissenting.
Plaintiff McAfee Engineering Company is not entitled to file a lien against the property of defendant Underground Festival, Inc. since it had no contract with defendant or its tenant, DBA of Atlanta, Inc. “ ‘ “There need be no contract between the materialman and the true owner, but there must be a contract for material with a person who has contracted with the true owner for the erection of the improvements. A contract is necessary to fix the liability of the owner and establish a privity between him and the materialman. A stranger may not order work done upon real estate and thus charge the true owner. . . .” (Cits.)’ Marshall v. Peacock, 205 Ga. 891, 893 (55 SE2d 354) (1949).” D & N Elec. v. Underground Festival, 202 Ga. App. 435, 438-439 (4) (414 SE2d 891).
Prior to the execution of the lease between defendant and DBA of Atlanta, Inc., Koehler, who was president of DBA of Atlanta, Inc., signed a written subcontract agreement with plaintiff. Under this contract, plaintiff agreed to design and install the heating, ventilation, and air conditioning system for a location in Underground Atlanta. However, Koehler purported to sign the subcontract agreement as an agent of “F & K of Atlanta, Inc.,” a non-existent entity. While the majority alters the contract by concluding that parol evidence has probative value to show that Koehler executed the contract while acting as an agent of DBA of Atlanta, Inc., I do not agree that this disregard of the parol evidence rule is appropriate and must respectfully dissent. “Parol evidence cannot ... be admitted ‘to add to, take from, or vary the writing itself.’ Andrews v. Skinner, 158 Ga. App. 229, 230 (279 SE2d 523) (1981).” Buice Grading &c. v. Bales, 187 Ga. App. 263, 265 (370 SE2d 26). See also OCGA § 24-6-1. Even parol evidence admitted without objection is ineffective to vary the terms of a written contract. Cleghorn v. Shields, 165 Ga. 362 (2) (141 SE 55).
The majority’s reliance upon Pinson v. Hartsfield Intl. Commerce Center, Ltd., 191 Ga. App. 459, 461 (382 SE2d 136) is misplaced since the case sub judice does not involve a misnomer of a corporation such as authorizes consideration of evidence outside the writing to identify the intended party at the time of the execution of the contract. In the case sub judice, plaintiff placed the fictitious entity name supplied by Koehler on the contract and apparently intended to contract with that entity. At the time the contract was signed, Koehler knew that this was a fictitious name assigned to a proposed Underground Atlanta project and knew that the fictitious name was not one and the same as DBA of Atlanta, Inc. At the time the contract was signed, Koehler failed to disclose any intent to act on behalf of DBA of Atlanta, Inc. and such hidden intent was dis*248closed only via parol evidence at trial. Whether, at the time the contract was signed, plaintiff even knew DBA of Atlanta, Inc. existed is not shown. In my view, the majority uses the parol evidence of Koehler’s secret intentions for an improper purpose, to contradict rather than explain the written contract. Jackson v. Brinegar, Inc., 165 Ga. App. 432, 434 (1) 435 (301 SE2d 493). See also United States Fidelity &c. Co. v. Coastal Svc., 103 Ga. App. 133, 136 (4) 137 (118 SE2d 710)
Decided July 15, 1994
Reconsideration denied July 29, 1994
Alston & Bird, John I. Spangler III, Robert L. Crewdson, for appellant.
Shapiro, Fussell, Wedge & Smotherman, David L. Tank, Ronald J. Garber, for appellee.
Based on the preceding view of the evidence in the case sub judice, I would hold that the contract in question could not be ratified by DBA of Atlanta, Inc. since “a contract which does not on its face purport to be made on behalf of a corporation is not subject to ratification for the reason that a principal cannot ratify a contract which is not in the first instance made on its behalf.” Broyles v. Kirkwood Ct. Apts., 97 Ga. App. 384, 386 (103 SE2d 97). Plaintiff argues that the Broyles decision is factually distinguishable. Nonetheless, the legal principle which defendant would draw from Broyles is sound. Stated in other words: “ ‘The doctrine of ratification is not applicable against a person as to an act of one who did not assume to act in his name or under authority from him.’ [Cits.]” Greene v. Golucke, 202 Ga. 494 (2) (43 SE2d 497). See also Lemmons v. City of Decatur, 215 Ga. 647 (112 SE2d 597) and 3 AmJur2d, Agency, § 188. In my view, DBA of Atlanta, Inc. could not ratify the contract since in entering the agreement, Koehler did not purport to act for it. D & N Elec. v. Underground Festival, 202 Ga. App. 435, 438-439 (4), supra; F. S. Assoc., Ltd. v. McMichael’s Constr. Co., 197 Ga. App. 705, 706 (399 SE2d 479).