WORMHOUDT LUMBER COMPANY OF OTTUMWA v. Cloyd

UHLENHOPP, Justice.

This case involves the obligation of an agent to be loyal to his principal.

Wormhoudt Lumber Company of Ottum-wa, Iowa, employed Jon Cloyd as its agent, paying him a salary plus a bonus computed on the company’s profits. His duties included finding construction jobs and bringing property owners and contractors together, whereby the company would sell building materials. In a typical situation Cloyd would locate a property owner who desired certain construction, or such a property owner would himself come to the company. Cloyd would compute the cost of construction, including…