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Skelly Oil Co. v. Ashmore
Supreme Court of Missouri
365 S.W.2d 582 (1963)
- Written by John Yi, JD
Facts
Skelly Oil Company (plaintiff) agreed to purchase the subject property from the Ashmores (defendants) along with the “buildings, driveways, and all construction thereon” for $20,000. Prior to the closing, a fire destroyed a building which was covered by a $10,000 insurance policy. The building was valued at over $12,000 before it was destroyed. The purchase agreement did not specify who would bear the risk of loss or how insurance proceeds would be distributed. The Ashmores received the insurance proceeds, and Skelly sued for specific performance of the contract and a $10,000 reduction of the purchase price. The trial court ruled for Skelly on both counts, and the Ashmores appealed.
Rule of Law
Issue
Holding and Reasoning (Hyde, J.)
Dissent (Storckman, J.)
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