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Butzel, J.
In a suit brought against Stephen A. Healy and the city of Detroit, Emma T. McG-avock, plaintiff, claimed to be the owner of a store building located on the south side of East Jefferson avenue, just east of Meldrum avenue, in the city of Detroit. She alleges that on October 1, 1927, Stephen A. Healy, in accordance with a contract with the city of Detroit for the construction of a sewer, sank a shaft slightly to the west of the front of the store and erected a structure some 20 feet high for hoisting dirt into trucks; that he also built an inclosure around the shaft and hoist, which extended from the westerly corner of plaintiff’s store, across the sidewalk and into the street at such an angle that the inclosure projected approximately to the middle of the front of plaintiff’s building; that the structure was maintained and used from October 1,1927, until May 1,1928, and that the operation of the hoist and the structure itself constituted a nuisance, resulting in the accumulation of dirt and penetration of dust, and rendering ingress and egress to and from the store difficult.
The store building was under lease to a tenant for a period of three years from March 1, 1927. The tenant claimed that his enjoyment of the premises was disturbed by the alleged nuisance and refused to pay rent after October 1, 1927, finally vacating the premises on April 1, 1928.
Plaintiff alleges upon information and belief that the tenant is insolvent; that she cannot collect the rent that accrued between October 1, 1927, and April 1, 1928, while the tenant was still in possession, nor -the rent that later became due under the lease; that the premises remained unoccupied for a considerable period thereafter, and that they were finally leased at a reduced rental for the balance of the term. No claim is made for any damage to the building or land after May 1, 1928.
"We need not discuss the liability, if any, of defendants to the tenant for the alleged obstruction and accumulation of dirt and dust. Plaintiff cannot recover for loss of rent in the instant suit. The tenant remained liable for the rent, which fell due on the first day of every month during the life of the lease. A tenant may not excuse his refusal to pay rent or disavow his liability under a lease by reason of the wrongful acts of a third party. McKenzie v. Hatton, 141 N. Y. 6 (35 N. E. 929); 2 Tiffany, Landlord and Tenant, p. 1301. There being no proof of any permanent injury, plaintiff cannot maintain an action against defendants for their alleged wrongful acts while the tenant was in possession. Plaintiff does not claim that the nuisance continued to exist after the first day of May, 1928, at which time the tenant was no longer in possession, although the lease still continued in force.
The trial judge properly rendered judgment of no cause of action in favor of defendants. If there was any liability on the part of defendants, it was to the tenant. "Were plaintiff allowed to recover, then defendants might be held liable twice and plaintiff might possibly recover from both tenant and defendants for the identical injury. Miller v. Edison Electric Illuminating Co., 184 N. Y. 17 (76 N. E. 734, 3 L. R. A. [N. S.] 1060, 1065, 6 Ann. Cas. 146); Tiffany, Landlord and Tenant, p. 2114.
The judgment of no cause of action is affirmed, with costs to defendants.
McDonald, C. J., and Weadock, Potter, Sharpe, North, Fead, and Wiest, JJ., concurred. | [
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Potter, J.
Defendant, president of Homer Warren & Company, manager of the Eaton Tower, was arrested and convicted of not having complied with the order of two inspectors of the department of labor requiring him to furnish stools or seats in the elevator cabs for female operators thereof. The statute under which defendant was convicted provides.that all persons who employ females in stores, shops, offices, or manufactories as clerks, assistants, operators, or helpers in any business, trade, or occupation carried on or operated by them- shall be required to procure and provide proper and suitable seats, etc. 2 Comp. Laws 1915, § 5345. Subsequent sections provide for the punishment of those who fail to comply with the statute. The most casual reading of the statute indicates it does not cover a case of this kind. Defendant was not employing females in a store as clerks or otherwise; he was not operating a shop; he was not operating a manufacturing institution; and he was not employing these girls in an office. If the legislature desires to have girls employed in elevators covered by the statute, it may he amended; but the defendant is entitled to any reasonable doubt as to tbe construction of tbe statute.
■ Where the statute does not plainly cover the case, judgment must be reversed, and defendant discharged.
North, C. J., and Fead, Butzel, Wiest, Clark, McDonald, and Sharpe, JJ., concurred. | [
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North, J.
The defendants and appellees herein secured from the State highway department $8,000 as consideration for a conveyance of plaintiff’s interest in a parcel of property in Grand Rapids which property was involved in widening, extending and improving a street. Of this amount $2,000 was paid to plaintiff; and under claim of right $6,000 was retained by defendants. Plaintiff, asserting this was in fraud of his rights, filed a bill for an accounting. By decree in the circuit court plaintiff’s bill of complaint was dismissed and he has appealed. A carefully prepared and helpful opinion was filed by the circuit judge which we quote in part:
“A rather detailed review of the entire transaction is necessary for an understanding of the status of the parties concerned: The plaintiff is a real estate operator of considerable experience extending over 20 years. It appears that in 1926, or thereabouts, the plaintiff received from defendant Frank McKay the sum of around $5,000, according to plaintiff’s testimony, on an option deal covering lake front property. For some reason not shown in this suit the option was allowed to lapse.
“The next transaction between the parties appears to be the deal in 1932 in this suit. In the early part of 1931 Isaac Kouw, plaintiff, was the owner of an interest, as purchaser under land contract, of certain property in the city of Grand Rapids, which was needed for the completion of a State highway. The contract for purchase was approximately for $100,000 and Mr. Kouw’s interest in the contract was approximately $25,000. In February, 1931, the plaintiff entered into an agreement with his present attorney, William J. Branstrom, whereby Mr. Branstrom was to handle all litigation pertaining to plaintiff’s interest in the property and endeavor to make some settlement with the State, the State having apparently made some optional agreement with the owners and vendors' under the contract." The agreement with Branstrom was in writing and called for the payment of one-third of the net sum that might be recovered from the State or the owners in said matter. There also appears to have been-some agreement that defendant Corie Co-burn was to receive one-sixth of anything realized from the transaction, working with Mr. Branstrom on the matter.
“Various dealings were apparently had between Branstrom and the State. During the year it would appear that the State settled with Schmied, the owner and contract vendor of the property, for the sum of $36,000 (should he $38,000), said settlement being admittedly an exceptionally low figure. * * * The State thus obtained the deed and title to the property and was proceeding against plaintiff Kouw before the circuit court commissioner to forfeit his contract and regain possession of the property without any payment to him for his interest, he being some $15,000 to $17,000 behind in his contract payments, and being in no position to pay up. The best offer that Mr. Branstrom or Coburn were able to get from the State under these circumstances was the sum of $500, although both plaintiff and his then attorneys claimed at that time, and still claim at the time of this suit, that his equity in the property was actually in the neighborhood of from $15,000 to $25,000.
“The proofs show that the property in question was assessed at $65,000 and taxes were paid on this basis. One of the State’s own appraisers, Mr. Alexander, appraised this property at $65,825. The State paid Mr. Schmied, the owner and contract vendor, the sum of $36,000 (should be $38,000) for his interest in the property, subject to the interest of Mr. Kouw. Taking as a basis the State’s appraisal, and deducting the amount paid the legal owner, Mr. Schmied, would leave a balance of around' $29,000 (should be $27,000) as the claimed equity and value of Mr. Kouw’s interest in the property. It was under these circumstances, and around the 19th of July, 1932, Mr.' Cobum, representing Mr. Kouw, approached Mr. McKay and asked Mr. McKay if he would be interested in acting as their agent in negotiating the sale of this equity to the State, on a 25 per cent, arrangement, Coburn representing the equity to be around $29,000 (should be $27,000). Defendant McKay remarked that he might be interested if this deal would give him an opportunity to get back the' $5,000 which he had turned over to Kouw some six years before, and advised Coburn that he would look into it and let him know.
“Mr. McKay advised Mr. Coburn that until Co-burn had some authority from the plaintiff to handle the transaction there would be no use in proceeding. Mr. Coburn procured from Isaac Kouw and his wife the power of attorney duly executed on July 20, 1932, before a notary public, which constituted and appointed Corie C. Coburn of Detroit, Michigan, as true and lawful attorney for Kouw, in his place and stead, ‘to handle the matter which I have against the State of Michigan, * * * to hire assistant counsel should he require it, to hire others if necessary to secure a settlement with the State and city and county, to institute suit if deemed necessary, to make contracts with attorneys and such other assistants if deemed necessary by him to secure a speedy settlement upon such terms cmd conditions as to him shall seem mete, to receive the moneys collected for said damages and to pay the said attorneys and assistants, according to any contract he may see fit to make in that reference, giving and granting unto Corie C. Coburn, said attorney, full power and authority to do and perform all and every act and thing whatsoever requisite and necessary to be done in and about the premises, as fully to all intents and purposes as we might or could do if personally present, with full power to substitution and revocation, hereby ratifying and confirming all that my said attorney or his substitute shall lawfully do or cause to be done by virtue hereof.’
“On July 21, 1932, defendant Coburn wrote a letter to Mr. McKay, sending a copy of the same to plaintiff Kouw, stating that he would pay 25 per cent, of the moneys received to Mr. McKay.
“Mr. McKay, after investigating the matter of the highway department, found the representations made by Mr. Coburn as to the status of the property were untrue and in a letter dated July 27,1932, to Mr. Coburn, informed him that Kouw, or someone for him, had already offered to settle with the State for $8,000 and that the only offer made by the State np to that time had been $500, and in his letter stated as follows:
“ ‘I had hoped to be able to malte myself whole oil the deal I mentioned to you last week in which Kouw secured $6,500 from myself and Fred Pantlind in lake frontage, but inasmuch as this will now be impossible I cannot accept the offer of 25 per cent, of what is available, and I herewith withdraw any acceptance I might have made to your 25 per cent, offer.
“ 'I would suggest that you start the suit you threatened against the State as I am satisfied you are facing a pretty tough proposition and. that 25 per cent, of what you might obtain would not interest me.’
“Following this, numerous conversations took place between Mr. Coburn and McKay in which dealings and by various instruments in writing, executed at different times, plaintiff Kouw agreed to accept the sum of $2,000 net out of the transaction.
“Exhibit ‘C,’ dated August 8th, and signed by Isaac Kouw, together with a similar order signed by Isaac Kouw and his wife, dated September 3d, both of which read as follows:
“ 'Holland, Michigan,
August 8, 1932.
" ‘Cone G. Coburn:
‘' ‘ The inclosed order to deliver quitclaim deed * * * and power of attorney to cash any check you may receive therein is delivered to you upon the understanding and agreement that you are to pay me $2,000 net out of said transaction, you to take care of William J. Branstrom, attorney, in such amount as you may be able to adjust any claim for attorney fees he may have in said matter ¿s per statesmont and agreement.’
“An agreement identical with the above, to accept $2,000 net out of the transaction, and under date of September 3d, was also delivered to Mr. Coburn. ft ft ft .
“Apparently acting in reliance upon these various papers, Mr. .Coburn, as- attorney-in-fact for the plaintiff and his -wife, entered- into the agreement with defendant McKay, relied upon in this suit, exhibit ‘I,’ which agreement was written by Mr. Co-burn in pen and ink on paper following a statement of - account showing the balance of $4,625.47 paid by McKay to Kouw on the Isaac Kouw option in 1926, the agreement reading (in part) as follows:
“ ‘Fe: Claim Kouw v. State.
‘■‘ ‘Mr. Frank ~D. McKay:
“ ‘Inasmuch as you lost the above amount to. Isaac Kouw on a Lake Michigan frontage option, instead of 25 per cent, of gross amount secured wo mil allow you to retain the above amount, $4,625.47, out of any money you may be able to settle for, provided $2,000 cash is paid to us at an early date and you split the balance with C. C. Coburn after deducting the $4,625.47 and the $2,000, said Coburn to receive $500 in any event.’ * * *
“Testimony of both McKay and Coburn is substantially to the same effect that Coburn insisted that no deal would be made unless plaintiff Kouw received the first $2,000 and he, Coburn, got the next .$500 before McKay would receive anything, and that anything over and above that amount of $2,500 McKay could apply on his 1926 transaction, up to the full amount he had expended, $4,625. Coburn • apparently felt that he was making a very good bargain for his client. All dealings in the matter up to this point had been entirely between Mr. McKay and Mr. Coburn as Koiiw’s agent, and not until the matter was finally settled and a check for $8,000 received from the State payable to Isaac Kouw did Mr. Kouw and Mr. McKay meet, on September 8th.
“On September 8th the check for $8,000 from the State of Michigan was handed to Mr. Kouw for his indorsement and was indorsed by Mr. Kouw and by Mr. Coburn while all parties were in the bank. The check was cashed and the $8,000 was divided in accordance with the agreement, exhibit ‘I,’ Kouw receiving $2,000 cash, Coburn receiving $500, McKay taking the $4,625, and the balance being divided equally between Coburn and McKay.
“It is claimed by Mr. Coburn .that he was instructed by attorney Branstrom to make any settlement or any deal he could- in regard to the Kouw property and that he, Branstrom, and Coburn could settle between them what.Branstrom’s share would be. However, on learning of the settlement, Mr. Branstrom apparently claimed $1,000' was coming to bim ont of the transaction and threatened suit against Coburn, Kouw, and even McKay. Some further transactions took place between Coburn and McKay by way of Coburn asking Mr. McKay to endeavor to settle these Coburn-Branstrom differences on the basis of the $687 which Coburn received out of the deal, but no settlement was reached and this suit is the apparent result.
“It is the claim of the plaintiff Kouw that he knew nothing about exhibit ‘I,’ nor anything about any $8,000 settlement until some time after he received his money. He claims he did not know for what amount the deal was closed with the State, nor the amount of the check he indorsed. The court cannot believe this statement. It is impossible to believe that a man, a real estate operator with Mr. Kouw’s 20 years’ experience, after endeavoring for a year to close a deal with the State, would pick up and indorse a check from the State made payable to him, without being fully aware of the amount of the check, particularly when the amount written in the check has been perforated in colored ink so that the amount of the check is clearly legible from the back of the check. Even the photostatic copy of the back of the cheek he indorsed clearly shows the amount stamped and perforated upon the face-of the check. In addition thereto, the plaintiff had signed some receipts reciting the $8,000 amount, which clearly shows he contemplated that figure in conjunction with the orders signed by him on the same date wherein he agrees to accept $2,000 net out of the transaction.
“This court can come to no other conclusion but that Mr. Kouw was fully cognizant of the entire transaction at the time that he indorsed the $8,000 check and was satisfied to accept his $2,000 share. * * * Tbe court is of the opinion that the contract, exhibit ‘I,’ entered into by Coburn with Me- Kay was within the authorization of the power of attorney executed hy Kouw to Cohurn, even had Kouw not been aware of the transaction.
“There is no proof of any fraud, of fraudulent statements or misrepresentation on the part of defendant Prank McKay in his dealings with Mr. Kouw or Mr. Kouw’s attorney-in-fact, Corie C. Co-burn. There is, therefore, nothing to justify the court setting aside these written agreements on the grounds of fraud.
“The only other grounds, then, upon which plaintiff could have this transaction set aside or the contract declared void would be on the grounds that the contract was void as against public policy, or that it was a contract so unconscionable that equity will treat it as void. ’ ’
Continuing his opinion the trial judge gave reasons why plaintiff is not entitled to relief on either of the grounds last above suggested. We also find them devoid of merit. The record has been carefully considered and we are in full accord with the conclusion reached by the circuit judge as thus stated:
“The court, therefore, feels bound to hold that plaintiff has shown no legal grounds for setting aside or repudiating the written instrument entered into by him and his authorized agent and attorney, with his knowledge, and that there has been no fraud in the making of said instruments.
“Therefore, a decree may he entered dismissing plaintiff’s bill of complaint.”
Affirmed, with costs to appellees.
■ McDonald, C. J., and Weadock, Potter, Sharpe, Pead, Wxest, and Butzel, JJ., concurred. | [
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McDonald, J.
This is an action of replevin brought to recover a quantity of wheat in the straw which had been taken from the plaintiffs’ farm in Kalamazoo county, Michigan. On March 1, 1924, the defendants went on the farm as tenants under an oral lease for one year. In 1925, the lease was renewed. In the fall of that year they sowed ten acres to wheat. In the following spring they moved off the place onto a farm which they had purchased. The plaintiffs harvested the wheat and stacked it in the field. The defendants removed it, and possession was retaken under this writ of replevin. The plaintiffs base their right to ownership and possession on the claim that the lease was surrendered and the surrender accepted by them in March, 1926. The defendants deny that there was a surrender of the lease, but base their rights on the claim that their tenancy was from year to year or a tenancy at will, which could not be terminated except by three months’ notice, and that such notice was not given by either party. At the close of the proofs, the defendants moved for a directed verdict. The motion was taken under advisement until after verdict and the issue was submitted to the jury on the theory of surrender and acceptance. A verdict was returned for the plaintiffs. On this verdict judgment was entered after denial of a motion for judgment non obstante veredicto. The defendants have brought error.
The assignments of error relate to the refusal of the court to direct a verdict for the defendants or to enter judgment non obstante veredicto and to his instructions to the jury. The court did not err in refusing to direct a verdict.
The theory of the defendants, that they were entitled to a directed verdict on the ground that their tenancy was at will and was not terminated by the notice required by statute (3 Comp. Laws 1915, § 11812), is not tenable. The kind of tenancy is immaterial, for, whatever it might be called, it could be terminated by surrender and acceptance. Whether it was so terminated is the issue on which the rights of the respective parties must depend. If the lease was surrendered, the wheat stayed with the land and belonged to the plaintiffs. If it was not surrendered, the wheat belonged to the defendants. On this issue the testimony was much in conflict, and the court properly declined to direct a verdict or to enter judgment for the defendants notwithstanding the verdict.
Did the court err in his charge to the jury"?
In their brief the defendants say:
“The whole charge of the court was misleading, ambiguous, inconsistent and not based upon the evidence in the case. Under the instructions of the court the jury could do nothing else if they followed the court’s instructions than just what they did do.”
Illustrative of this general statement, it is said that there was error in charging the jury as follows:
“That the defendants had no rights on the place after the expiration of the year; that they had no right to go back there to get the wheat or anything else; that the wheat didn’t belong to them.”
When the court made this statement to the jury, he was explaining the rights of the parties if the lease was terminated. This will appear by reading what immediately preceded it. In that connection it was a correct statement of the law.
In regard to other portions of the charge of which complaint is made, we do not deem it necessary to discuss them. They are not erroneous. It may be said of most of them that they are taken ont of their setting by defendants, and do not appear as they would appear if read in connection with all the court said on that subject. In considering isolated portions of a charge, we must read it in its entirety. Many of the objections to the charge as misleading and not based on the evidence are due to the theory of defendants that the jury should have been in structed that the plaintiffs could not recover because the tenancy was a tenancy at will and was not terminated by the statutory notice. If this were the correct theory, the court was wrong in his instructions to the jury. It was not correct. On this record there was either a surrender of the lease or no surrender. If there was a surrender, the plaintiffs were ■ entitled to the wheat. If there was no surrender, the defendants were entitled to it. That was the issue which was submitted to the jury in a charge which we regard as very clear in its statement of the facts and applicable law. We find no error.
The judgment is affirmed, with costs to the plaintiffs.
North, O. J., and Fead, Butzel, Wiest, Clark, and Potter, JJ., concurred. Sharpe, J., did not sit. | [
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Sharpe, J.
On May 26, 1925, plaintiff entered into a contract to purchase lot 246 of Meyering Land Company’s Lake Drive Estates subdivision in Paris township, in the county of Kent. The entire subdivision was then vacant land, located within the limits of the village of East Grand Rapids. The contract price was $1,800. A small down payment was made, and- monthly payments thereafter provided for. Its use was limited to a single residence, the cost thereof-to be not less than $6,000. The contract provided that “time is of the essence of this contract,” and that, in default, the deferred payments might be declared to be due, and contained the usual provisions for retaking possession or foreclosure by- the vendor. The following provision was inserted in the form of contract used by the defendant:
“The seller further agrees that it will, at its expense, cause following improvements in Lake Drive Estates Subdivision to be made and completed within three (3) years from the date hereof: Adequate' water mains connected to a proper water supply, adequate sewers connected with a proper sewer system, electric lights, cement sidewalk, and graded roadbeds surfaced with gravel; all of the said improvements to be installed in the entire subdivision including said above described premises, to be started at once and carried forward, in a-diligent manner and completed within the time above limited.”
About the middle of January, 1928, the plaintiff, in an interview with defendant’s local agent, called his attention to the provisions in the clause above quoted, to the impossibility of defendant’s being able to complete the improvements within the three years, which would expire on May 26, 1928,'and rescinded the contract and demanded a return of the money paid-and intérest thereon. The agent expressed his surprise at the special provision in the contract, and said that he would take it up with the head office of the defendant in Detroit.
On September 15, 1928, plaintiff brought this action to recover the moneys so paid. During the pendency of the trial, he tendered to defendant a quitclaim deed of the lot and a written release of all rights acquired by him under the contract. Defendant declined to accept them. The case was tried before the court without a jury. The trial judge .filed findings of fact, in which he stated that it was impossible for defendant to complete the improvements within the time limited therefor, and concluded as a matter of law.that plaintiff was entitled to recover the amounts paid by him with interest thereon, amounting to $858.96. Defendant seeks review of the judgment entered therefor by writ of error.
It is the claim of the defendant, that “the agreement to improve was substantially performed” by it, and that “the slight delay in performance * * * gave plaintiff no right of rescission.” In the find ings of the superior court judge, after referring to the improvements then made, he said:
“In January, 1928, however, there was no street lighting system in the remainder of the subdivision; a large portion of the sidewalks in the subdivision remained to be constructed; Hall street was not graded or surfaced and there was no sidewalk constructed on lot 246. The gravel surfacing on some of the streets was in such condition in the autumn of 1927 that plaintiff’s automobile became stuck while he was driving over the streets of the subdivision to inspect its condition.”
He also found that the sidewalk on this lot had not been constructed on May 26, 1928, the end of the three-year period, and that at that time about 40 per cent, of the sidewalks in the subdivision had not been constructed. It is apparent that there had not been a substantial performance at the time plaintiff rescinded, and that the finding of defendant’s inability to complete the improvements within the 3-year period was justified.
Defendant contends that its undertaking to make these improvements was in the nature of an independent covenant, and that the delay in performance gave plaintiff no right of rescission, but left him to an action for damages sustained through the delay. Quite similar covenants in a vendor’s contract were before this court in the quite recent case of Folkerts v. Marysville Land Co., 236 Mich. 294. It was there held (syllabus):
“Under a contract for the sale of certain city lots, wherein the vendor covenanted to have certain improvements on said lots completed within five years, and the vendees covenanted to pay the purchase price within the same time, the covenants are concurrent and therefore dependent, and a breach by the vendor warranted the vendees in rescinding the contract. ’ ’
The authorities are there so fully cited and discussed at length by Chief Justice Bird, including the decision in Crampton v. McLaughlin Realty Co., 51 Wash. 525 (99 Pac. 586, 21 L. R. A. [N. S.] 823), relied on by defendant, that it is unnecessary to further consider them. A later case, in which the same rule was applied by the circuit court of appeals of the fifth circuit, is De Bisschop v. Crump, 24 Fed. (2d) 807.
Counsel also insist that “plaintiff had no right of rescission in advance of the expiration of the 3-year period.” When it became apparent that the improvements could not be completed within the three years, plaintiff was under no legal obligation to continue making his payments, and had a right to rescind. De Bisschop v. Crump, supra. The facts warranted decision within the rule stated in 6 R. C. L. p. 929:
“It must clearly appear, not only that defendant could not do the work within the time, but that his failure in respect of this matter would be so material as to make his performance essentially different from his promise. ’ ’
It is also urged that plaintiff should have tendered a reconveyance before commencing suit. It must be admitted that he should have done so, but his failure in this respect does not entitle defendant to a reversal of the judgment. Peters v. Fagan, 244 Mich. 46. Had the defendant accepted it when made, it might have urged that it was entitled to the costs incurred at that time. But it declined to do so, and the delay in tendering it is no sufficient cause for refusing costs to appellee in this court.
The judgment is affirmed.
North, C. J., and Fead, Butzel, Wiest, Clark, McDonald, and Potter, JJ., concurred.' | [
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North, C. J.
Defendant’s wife purchased from plaintiff an automobile under the terms of a title-retaining contract; $1,045 of the purchase price was not paid, and vendee gave her note for that amount. The note was not paid at maturity. The car was found to be in defendant’s possession. After demand upon him, this suit in replevin was instituted. Plaintiff had judgment for possession and six cents damages. Defendant reviews by writ of error.
The conditional sales contract contains this provision :
“The delivery of the said negotiable instrument by the purchaser to the seller, or the negotiation or discounting of the same by the seller shall not be deemed a payment of the purchase price until the said negotiable instrument is paid in full; and it is agreed that title to the said property shall not pass to the purchaser until the said negotiable instrument and any interest due are fully paid in cash, with or without legal process, this to include any judgment secured. * * *
“In case purchaser shall fail to keep and perform any or all agreements herein contained on his part to be performed seller may take immediate possession of said property, provided seller is the holder of said negotiable instrument at the time of retaking possession. All the rights of the purchaser hereunder in said property shall cease and terminate thereupon absolutely. * * *”
An attempt is made by the defendant to claim that neither he nor his wife are bound by this contract because of the fact that he is named as the vendee in the body of the instrument,'but it is signed by his wife as the. “purchaser.” This evidently resulted from the fact that Mr. Laffrey signed and delivered to the plaintiff a written order for this car and the contract was drawn accordingly for sale to him; but when delivery was made it was decided the wife would take title to the car. She thereupon signed the contract and gave back her note. Through carelessness the name of the vendee in the body of this contract was not changed. None the less these facts conclusively appear in this record: (1) This automobile was sold to defendant’s wife — the jury so found; (2) it was sold under the terms of the contract offered in evidence; (3) the vendee defaulted in paying her note for $1,045 and thereby breached the purchase contract; and (4) under the terms of this contract, because of vendee’s default, plaintiff had a right to repossess the car. Defendant having received from the plaintiff an invoice for this car stamped “Paid” does not alter the fact recited above that the note for $1,045 of the purchase price .was not paid. The nonpayment is admitted by the defendant. The invoice stamped “Paid” was no more than a receipt; and a receipt may always be controverted.
The defendant had no greater or other rights in this automobile than his wife. He makes no claim of being an innocent purchaser for value, and in fact he testified:
“I never had title to the car in my name, I didn’t want it. * * * Title to this car always stood in. my wife’s name because it was her car.”
Under such circumstances appellant’s claim that there was error committed by the exclusion of testimony which he asserts would have tended to prove a waiver of the plaintiff’s demand upon him for possession before bringing suit, is without merit. We have considered the other questions presented in appellant’s brief but find no reversible error in this record. The judgment entered is affirmed, with costs to the appellee.
Head, Wiest, Clark, McDonald, Potter, and Sharpe, JJ., concurred. The late Justice Fellows took no part in this decision. | [
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Potter, J.
Plaintiff sued defendants to recover damages for personal injuries resulting from defendants’ negligence. Plaintiff, just prior to Ms injury, was working with a concrete mixer on the east side of Coolidge highway in Wayne county between the Seven-mile and Eight-mile roads. Defendant Fisher was operating a Ford car, and was in defendant Leonard’s employ. Plaintiff, to get a drink of water, started northwesterly across the highway. Defendant Fisher was driving north on the highway about 150 feet distant. Plaintiff was struck by the car operated by defendant Fisher and seriously injured. The ad damnum clause of the summons claimed damages not exceeding $10,000. There was verdict for $15,000. A motion was made by plaintiff, and granted by the court, amending the ad damnum clause in the summons. A motion for judgment notwithstanding the verdict and a motion for a new trial were made and heard. The trial court made an order granting a new trial unless the plaintiff should elect to take judgment for $5,000 instead of $15,000. The case is here on error assigned by both plaintiff and defendants. Plaintiff says the trial court erred in reducing the amount of the judgment to .$5,000 and that he is entitled to have judgment rendered on the verdict of $15,000. Defendants say plaintiff was guilty of contributory negligence as a matter of law, and the court erred in not directing a verdict for defendants, and in not granting a new trial.
. At the time of the injury, work was being, done along the highway; a number of automobiles were parked on the right-hand side; there was a danger sign, two piles of lumber along the easterly edge of the pavement, and a shed on which was-fastened a red flag. There was plainly visible a pile of sand and a pile of cement located east of the pavement where a cement mixer was being operated, and on the opposite side a pile of rails used for a construction track. There was proof defendant Fisher was driving at an unreasonable rate of speed in this repair zone in violation of the warning signs, and that at the time of plaintiff’s injury defendant Fisher was driving on the wrong side of the highway. The defendant claims the plaintiff was guilty of contributory negligence, and it is of course essential for plaintiff to show, in order to recover, not only defendant’s negligence, but his own freedom from contributory negligence. The burden of proof is upon plaintiff. There was evidence of defendant Fisher’s negligence. The important question is plaintiff’s contributory negligence. He must show, in order to be entitled to recover, that he was, at the time of the injury, in the exercise of due care. Defendant claims that plaintiff exercised no care at all, and no care at all is not due care or such reasonable care as will permit plaintiff to recover. It is a want of care, the gist of negligence, which on the part of the plaintiff, if it contributed to his injury, bars .recovery. The plaintiff had a right to go across the highway. He was bound to know it was more or less dangerous by reason of its use for automobile traffic, but he was not bound to anticipate defendant would drive at an excessive rate of speed or on the wrong side of the highway. There is testimony that when plaintiff saw defendant Fisher coming, defendant’s car was 150 feet away; that plaintiff ran diagonally northwesterly across the highway. There is ample proof that the plaintiff had passed beyond the center of the highway to the westerly side thereof before he was struck by defendant’s car. If defendant had stayed on his own side of the highway, plaintiff ■would not have been injured. There is proof plaintiff had-cleared the pavement when he was struck and that defendant swerved his car to the left and ran over plaintiff and injured him when he had passed clear of the cement portion of the highway. Under such circumstances, in view of the conflicting proof, the question of plaintiff’s contributory negligence was for the jury. The action of the trial court in reducing the verdict $10,000 and entering judgment for $5,000 instead of $15,000 is the most important question in the case. Plaintiff is entitled to a right of trial by jury, and one of the necessary incidents of the trial of cases of this character by jury is that the jury shall fix the amount of damages. Their verdict should not be interfered with unless plainly excessive.. If the verdict was excessive, the trial court had a right to grant a new trial. This court has recognized that the trial court has a wide discretion in granting or refusing new trials.
In Decker v. Fair, 222 Mich. 507, in a suit to recover damages for alienation of affections, the trial court granted a new trial unless plaintiff consented to remit all of a $3,500 judgment in excess of $1,000. This court affirmed the trial court’s action.
In McLean v. Express Co., 243 Mich. 113, plaintiff recovered a judgment in a personal injury case of $16,000. The trial court, on motion, entered an order that unless plaintiff elected within 20 days to accept a judgment against defendant of $3,500, a new trial would be granted. This court affirmed the action of the trial court.
The proof shows the plaintiff was knocked down and run over, that he suffered a compound fracture of both bones in the left leg, a comminuted fracture of both bones of the right leg, extending into the knee joint; that he suffers from permanent partial disability on account of the permanent injury to the right leg; that he will have trouble with the right knee as long as he lives, the right leg having 50 per cent, of its normal flection at the knee and but 25 per cent, at the ankle. He suffered pain and incurred the usual hospital bills and surgeon’s services.
The trial court having the right to grant a new trial on account of the amount of the verdict, the broad discretion vested in him by law ought not to be interfered with by this court unless it was plainly abused. We are unable on this record to say the trial court abused the discretion vested in him. No other assignments of error require discussion.
The judgment of the trial court is affirmed, with costs to plaintiff.
North, C. J., and Fead, Butzel, Wiest, Clark, McDonald, and Sharpe, JJ., concurred. | [
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Wiest, J.
Plaintiff held a senior chattel mortgage, if valid, covering 100,000 baskets owned by the Ludington Basket Company, a corporation. Defendant held a junior mortgage covering the real estate and personal property of the basket company. Defendant filed a bill to foreclose his mortgage. A proceeding for dissolution of the corporation was also before the court. The court dissolved the corporation, appointed defendant receiver, directed the sale of its assets, found the amount due defendant on his mortgage, and decreed foreclosure:
“Provided, however, that the sale of the assets of the said Ludington Basket Company, as provided for in the decree of even date herewith, in said dissolution proceedings, shall first be made. * * *
‘ ‘ That this decree shall be read in connection with the decree of even date herewith, providing for the sale of the assets of said corporation, under the dissolution proceedings heretofore referred to.”
In the decree dissolving the corporation, appointing defendant receiver and directing sale of the assets, it was made the duty of Mr. Jackson, as receiver, to reduce to his possession all of the assets of the corporation,
—“and to sell the same subject to all mortgages, taxes, liens and incumbrances that may be a valid claim against the same, or any part thereof, all in accordance with the provisions of said decree in said dissolution proceedings. * * *
“That at any time after the sale of the assets of the said Ludington Basket Company as provided for in said decree under the dissolution proceedings, the' said plaintiff (Mr. Jackson) shall have the right to proceed with the foreclosure of his said chattel mortgage, Exhibit B, under the power of sale therein contained, at public auction, to the highest bidder, after the like notice as is required by law for the sale on execution from circuit court, and all the property therein described, of every kind, sort and. description, shall be offered for sale thereat.
“It further appearing that the said personal property so covered by said chattel mortgage, can be more advantageously sold in bulk and as one parcel, it is decreed that said property shall be so offered and sold, and that the said plaintiff (Mr. Jackson) may himself become the purchaser thereof, provided he is the highest bidder; provided, however, it shall be the right of the purchaser at said sale, to turn over to the party holding security on any article, to give up such article or thing to the party holding such security in settlement of such debt. * * *
“The provisions hereinbefore contained for the foreclosure of the said chattel mortgage, Exhibit B, and the said real estate mortgage, Exhibit C, shall not be necessary, except at the option of the plaintiff (Mr. Jackson), in case he becomes the purchaser of the property and assets of the Ludington Basket Company at the sale thereof under said dissolution proceedings.”
The sale was held by defendant as receiver and he exercised the option above mentioned by purchasing the property and assets of the corporation. Mr. Jackson having so purchased the property, subject to mortgages, liens, etc., the plaintiff herein filed the bill to foreclose his claimed first chattel mortgage, and, upon the hearing, was awarded a decree against Mr. Jackson for the sum of $907.27, together with interest at the rate of 7 per cent, per annum, from the date of the decree. Defendant at the hearing in the circuit attacked the validity of plaintiff’s mortgage. The case is here by appeal of defendant.
The chattel mortgage was executed by the secretary of the corporation in August, 1925, was informally authorized by stockholders holding a majority of the capital stock, and was given to secure a loan of $2,500, evidenced by a promissory note of the same date, signed by the secretary and president. The debt was due in one year, and partial payments were later made and new notes executed from time to time so that, at the time of the sale by the receiver, the outstanding note was for $832.87. The mortgage covered 50,000 á-quart and 50,000 12-quart Climax baskets, “situate at Warehouse No. 2, Sec. 23 — Pere Marq. Twp., near Ludington, Mich.” J. H. Loomis, secretary of the corporation, attached his affidavit to the mortgage showing that the consideration was actual and adequate and the mortgage was given in good faith. The mortgage was filed in the office of the Ludington city clerk, that being the city where the corporation carried on its manufacturing business, but was not filed in the township where the mortgaged baskets were in the storage warehouse of the corporation. The baskets Were subject to deterioration, and it was necessary to sell the same, and- parts thereof were sold from time to time and baskets of later manufacture substituted. At the time of the sale by the receiver there were at the warehouse sufficient baskets to meet the mortgage, hut all such baskets had been placed there after the mortgage was given. The mortgage did not provide for withdrawals of baskets from the warehouse for sale and the substitution of others to maintain the security, but the officers of the corporation, in the course of sales and to prevent loss through deterioration, withdrew the baskets and replaced withdrawals by baskets of later manufacture, intending to maintain the security of the mortgage.
Defendant claimed that the chattel mortgage was invalid because of failure to comply with § 12, subd. 4, chap. 2, pt. 2, Act No. 84, Pub. Acts 1921, amended by Act No. 20, Pub. Acts 1921, Ex Sess. (Comp. Laws Supp. 1922, .§ 9053 [63]). The certificate provided for in that statute was not filed with the mortgage. Under his purchase defendant stands in the shoes of the corporation and can urge no defense to plaintiff’s mortgage not open to the mortgagor. See Gray v. Lincoln Housing Trust, 229 Mich. 441.
The decree authorizing sale of the assets of the corporation by defendant as receiver expressly provided that the purchaser should take subject to all mortgages, and defendant as such purchaser acquired no right of attack upon plaintiff’s mortgage not open to the corporation.
We had occasion in Grand Victory Theatre Co. v. Solomon, 224 Mich. 451, to consider the mentioned statute, and there held that failure to file and record the certificate with the mortgage was not necessary to the validity of the mortgage as between the parties to the mortgage.
The other questions presented were so well considered and passed upon in an opinion by the circuit judge that we quote therefrom, with approval:
“Defendant, further objects to the validity of said mortgage, claiming that same was not properly recorded, and proper renewal affidavits filed, as required by 3 Comp. Laws 1915, §§ 11988 and 11991.
“The court finds that such mortgage was not properly filed and renewed, as required by law, and further holds that said mortgage is not invalidated as against the defendant Jackson, because in this suit he takes not as a creditor of said company, but rather as a purchaser at receiver’s sale, and with notice, as will more fully appear by reference to a letter written to Mr. A. A. Keiser, under date of March 15, 1928, which conclusively shows that he had notice of such mortgage in the fall of 1927, prior to his purchase of the property covered thereby at receiver’s sale. (See Exhibit 1.) People v. Burns, 161 Mich. 169, 174, and City Bank & Trust Co. v. Hurd, 179 Mich. 454, 460.
‘ ‘ The court finds, from the testimony in the case, that the obligation evidenced by the $2,500 note, which was secured by the mortgage, Exhibit 5, was renewed from time to time by payments made and renewal notes given, and that finally, on September 13, 1927, the balance of said indebtedness, being then reduced to the sum of $832.87, was evidenced by a promissory note, Exhibit 6, which said note did not in any way refer to this mortgage as being collateral thereto, but the parol testimony shows that the same was given for the unpaid balance of the indebtedness secured by said mortgage, Exhibit 5. This was testified to by several witnesses and undenied, thus presenting the question: Did the giving of this new note evidencing the unpaid balance due on the original obligation, discharge the mortgage security furnished by Exhibit 51 This court holds, as a matter of law, that it did not.
“ ‘The substitution, and taking of a new note for one secured by mortgage does not extinguish the debt evidenced by the latter so as to discharge the mortgage, unless such was the intention of the parties, shown by something besides what arises from the mere act of substitution. The reason is, that the mortgage secures the debt, not merely the evidence of it, and as a change in the evidence does not pay the debt, the lien of the mortgage is not thereby affected. ’ 5 R. C. L. p. 456, § 91; Molsons Bank v. Berman, 224 Mich. 606, 612-613 (35 A. L. R. 1289).
“There was no evidence adduced showing the intention* of the parties to treat the note as payment or liquidation of the obligation, all the evidence being introduced to show it was given in renewal.
“As bearing upon the question of defendant’s notice of the existence of chattel mortgage, Exhibit 5, the court finds, from the testimony in the case, that defendant Jackson wrote the letter, Exhibit 1; was a stockholder of said corporation, and at times held the office of director in said corporation; bought stock of said corporation; sold stock to said corporation, and was the holder of a mortgage covering the assets of said corporation, and was later appointed receiver of said corporation, and as such possessed of all the books, records, documents of said corporation, all prior to the making of his bid at receiver’s sale, and was thereby possessed of as much, if not more, knowledge concerning the affairs and business of said corporation, than any other person, and as such, was chargeable with all the knowledge imputed to one occupying such position or office.
“The court further finds that said defendant Jackson instituted a suit in the circuit court of chancery in Mason county, to foreclose his mortgage lien upon the assets of said corporation and was by decree authorized to sell the property covered by his mortgage to satisfy a debt of approximately $33,400, secured thereby, as will more fully appear by reference to such decree, under date of December 29,1927.
“The court further finds that the defendant, John W. Jackson, was by a decree of this court, Exhibit 2, made on the 29th day of December, 1927, appointed receiver of the Ludington Basket Company, substituting K. L, Ashbacker, who having previously resigned as such permanent receiver, said Jackson being appointed in his place and stead, was authorized by said court in said decree, to take charge of all books, papers, documents and property and assets of said corporation and was authorized to run the business of said corporation, and as such receiver, did operate said business under such decree for some considerable time; and was authorized in said decree to sell the property and assets of said corporation at receiver’s sale, subject to every valid lien and incumbrance, of every nature and description. Said decree, which was prepared by defendant’s own counsel, contained this clause:
“ 'It shall be optional with the purchaser of the personal property of the said I/udington Basket Company, whether he will take over the equity of the Ludington Basket Company, in those items by which indebtedness is secured, and pay the same, or whether he will give up such items to the persons holding such security in settlement of such debt.’
“By this same decree, said John "W. Jackson, receiver, was given permission to bid as (at) such receiver’s sale, in person, for himself, the same as any other bidder.
“The court further finds.that the defendant, John W. Jackson, did not elect to sell the assets of said corporation under his mortgage foreclosure decree above mentioned, but rather and instead thereof, elected to sell the property at receiver ’s sale, under the decree, Exhibit 2, containing the clause above quoted, and* at such sale, did bid and purchase the assets of said corporation, under the terms of such decree, for the very nominal consideration of $15, which barely covered the costs of making such sale.
“Because of which facts, the court holds that he became a purchaser, as any other stranger, at receiver’s, sale, and not as mortgagee under his foreclosure decree above mentioned, and as such purchaser at receiver’s sale, was chargeable with all the notice imparted to the circumstances hereinbefore stated.
“This suit in equity is instituted on behalf of the plaintiff to foreclose his mortgage lien, which he claims attaches by reason of his mortgage, Exhibit 5, for the balance of said debt in the sum of $832.87, evidenced by note, Exhibit 6, secured by the property covered by said mortgage, Exhibit 5, as substituted by agreement.
“The court finds that the identical property covered by the mortgage,. Exhibit 5, to wit: 50,000 4-quart climax baskets; 50,000 12-quart climax baskets ; at the date of the institution of this suit, was not in existence; further finding, however, from the testimony in the case, that liké property of quantity, kind and character, had by agreement, between the mortgagor and mortgagee, been substituted in the place and stead of the identical property mentioned in the mortgage, for the express purpose of keeping the security provided by said mortgage intact and alive, covering substituted goods, as above mentioned. No express provision, however, was contained in said mortgage, authorizing the substitution of goods in the place and stead of those covered by the mortgage, which were by agreement from time to time sold and replaced, it being the intention of the parties, mortgagor and mortgagee, as shown by the verbal testimony in this case, undisputed, that substitution was made and had for the purpose of maintaining and effectuating the security provided in said mortgage, Exhibit 5.
“The court further finds that the substituted property was placed, by agreement, in and about Warehouse No. 2, of said Ludington Basket Company, located on'section 23, Pere Marquette township, near Ludington, Michigan; and that a sufficient amount of said substituted property was in said warehouse on the date of receiver’s sale to take care of the indebtedness evidenced by promissory note, Exhibit 6, which note is claimed to be secured by mortgage, Exhibit 5, thus presenting the paramount and all crucial questions in this case, viz.:
■ “Did the mortgage lien follow and attach to the substituted property found in Warehouse No. 2, on the day of the receiver’s sale, no express provision having been made for such substitution in the' mortgage, Exhibit 5; and this in view of the fact that the undisputed testimony shows that it was the intention of the parties that substituted property of like quantity, character and kind should be and was substituted in the place and stead of the identical property covered by the mortgage at the date of its execution, to keep at all times the security provided by such mortgage, intact, the property covered by such mortgage being perishable property, manufactured and sold in the course of trade, and of necessity becoming worthless with age?
“2. The next question is: Can the defendant John W. Jackson, in view of his purchase at receiver’s sale, with knowledge of the mortgage and knowledge of all the circumstances surrounding the transaction as above stated, and in view of the provisions contained in the decree, prepared by his own counsel, authorizing said sale, as follows: ‘It shall be optional with the purchaser of the personal property of the said Ludington Basket Company, whether he will take over the equity of the Ludington Basket Company in those items by which indebtedness is secured, and pay the same, or whether he will give up such items to the persons holding such security in settlement of such debt,’ now be heard to deny the validity of the mortgage covering the substituted goods, he having appropriated and sold the substituted articles from Warehouse No.. 2, without applying the proceeds in payment thereof, thus electing, under the provisions of the decree, to keep and pay for the same?
“It is conceded by the parties hereto, upon the record, that in the event that the court finds that the lien created by the chattel mortgage, Exhibit 5, follows and attaches to substituted goods found in Warehouse No. 2, on the date of the receiver’s sale, that a decree may be entered in favor of the plaintiff in the sum of $832.87, because it is conceded that the substituted goods found in the Warehouse No. 2, as of that date, were of value in excess of that amount, and were appropriated and sold by the defendant without liquidating the lien of the plaintiff. * * .•*
‘ ‘ The oral agreement as between the parties to the transaction to substitute the baskets and extend the lien of plaintiff’s mortgage, Exhibit 5, to cover same, having been fully and satisfactorily performed as between the parties thereto, was valid and binding, and may not now be questioned by a stranger who purchased at receiver’s sale, with knowledge.
“I know of no rule of reason; I have been directed to no rule of law; moreover, I cannot conceive of any rule in equity, which may be invoked to the contrary.
“Defendant Jackson must base his complaint, if any, upon a purchase made at receiver’s sale. As a matter of law, he could not be treated as a bona fide purchaser at such sale. Further, as a bidder at such sale, his good faith is challenged by both actual and imputed knowledge; otherwise he bid as any stranger. As such, he was neither a creditor, a mortgagee, nor a bona fide purchaser for value.
“As receiver, he took only the rights of the Ludington Basket Company;, as such, he could sell no more, and on receiver’s sale he could buy no more.
“Title of the Ludington Basket Company to the substituted baskets, because of the fully performed agreement to substitute, being impressed with plaintiff’s lien, was taken and sold by the receiver, subject to such lien, and defendant Jackson, purchasing at receiver’s sale under a decree which expressly authorized such sale subject to all liens, and giving the purchasers option to retain the property subject to lien, or surrender it to the lienor, bought of necessity the substituted baskets subject to plaintiff’s lien, having elected to' appropriate and sell the same, must now be held, both by law and equity, obligated to liquidate tbe lien.
“The very nominal bid made by defendant Jackson, of $15, for all the property and assets of the corporation, including approximately $1,200 worth of substituted baskets, thus absolutely defeating the right of creditors to prorate the few remaining assets of the defunct institution, however legal, does not savor of equity and good conscience, but rather imputes to the defendant knowledge of all existing liens, including that of the plaintiff.
“Plaintiff’s lien being valid as against the Basket company, was valid against the receiver, and likewise valid as against a purchaser at receiver’s sale. * * *
“A receiver is not a bona fide holder; therefore a purchaser at receiver’s sale cannot be a bona fide purchaser, because he takes only the rights of the receiver, who in turn takes only the rights of the insolvent ; hence this case does not present the equity of a creditor, a mortgagee, or a bona fide purchaser for value.
“Defendant Jackson having elected to purchase as any stranger at receiver’s sale, rather than as mortgagee on foreclosure sale, took only the rights of the receiver, impressed with plaintiff’s lien, which must be paid.”
The decree is affirmed, with costs to plaintiff.
North, C. J., and Fead, Clark, McDonald, Potter, and Sharpe, JJ., concurred. The late Justice Fellows took no part in this decision. | [
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Potter, J.
The defendant, Arthur Goldberg, was arrested charged with robbery armed, with intent, if resisted, to kill and maim. On trial he was convicted, and brings error. He claims tbe trial court erred in charging the offense was established, and the only question was the claimed participation of defendant, and in giving undue prominence to the people’s witnesses. He claims the argument of the prosecuting attorney was prejudicial, and the court erred in failing to properly charge as to the weight to be given defendant’s testimony, and in denying defendant’s motion for a new trial.
The question raised by defendant’s first assignment of error has been ruled adversely to his contention in this State. People v. Bryan, 170 Mich. 683; People v. Kolodzieski, 237 Mich. 654; 14 R. C. L. p. 739.
The statute, Act No. 175, Pub. Acts 1927, chap. 8, § 29, gives-the court the right, in his charge to “make such comment on the evidence, the testimony and character of any witness, as in his opinion the interest of justice may require.”
Defendant complains that the court charged that in determining the credibility of the witnesses the jury was to take into consideration the surroundings of the witnesses for the people and their ability to absolutely identify defendant. The charge was warranted by the facts, and was as favorable to defendant as he was entitled to. The court said they were to take these things into consideration with the other testimony in the case, and charged that, when they had considered the testimony, one of two verdicts could be rendered. We do not think the court erred to defendant’s prejudice.
Defendant contends there was error in the argument of the prosecuting attorney. There is nothing in the record indicating the court’s attention was called to the alleged erroneous argument during the trial; that he was given any opportunity to correct the same; that any ruling was requested, or any exceptions taken to the claimed erroneous argument at the time. Under such circumstances, this court will not consider the question. People v. Giddings, 159 Mich. 523 (18 Ann. Cas. 844); People v. Mulvaney, 171 Mich. 272; People v. Sartori, 168 Mich. 308.
Defendant’s counsel may not sit by and listen to the claimed prejudicial argument of the prosecuting attorney, relying upon his ability to reply thereto, and, when the verdict is adverse, take a post mortem exception thereto. If there was anything in the argument prejudicial to defendant, it was the right of defendant’s counsel to object thereto and assign error thereon.
The assignment based upon the failure of the court to give the defendant’s sixth request to charge is without merit. The subject was properly covered by the charge as given. Defendant’s rights were not prejudiced., It is claimed the court erred in not granting a motion for a new trial. The motion for a new trial was based upon the affidavit of one Charles Chester Howard, while he was a prisoner in Marquette, which affidavit is.not signed by Howard. Under the circumstances, we do not think the court abused his discretion in denying defendant a new trial. People v. Francis, 52 Mich. 575; People v. Nunn, 120 Mich. 530; People v. Sartori, supra.
Conviction affirmed.
Butzel, Wiest, McDonald, and Sharpe, JJ., concurred with Potter, J. North, C. J., and Fead and Clark, JJ., concurred in the result. | [
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North, C. J.
In November, 1915, an award payable in 300 weekly installments was made to George Buzzn and Ganski Flor Buzzn by tbe industrial accident board, now the department of labor and industry. Tbe regularity of tbe proceeding resulting in tbe award is not questioned. No payments were made on tbis award and nothing further done rela,tive thereto until October 25, 1928, when in accordance with the statute (2 Comp. Laws 1915, § 5466), tbe award was certified to tbe circuit court of Wayne county, where tbe accident occurred, and judgment entered thereon by tbe respondent. Upon being served with a copy of tbe judgment, the relators herein moved to set the judgment aside on tbe grounds that the claim or award for compensation was barred by' the statute of limitations, and that tbe plaintiffs were guilty of laches. Tbis motion was denied by tbe respondent and tbe relators seek by mandamus a reversal of tbe order entered.
If the statute of limitations is applicable to the award tbe writ must issue. Respondent held it was inapplicable. It is settled law in tbis State that tbe person in whose favor the award is made may bring “suit upon tbe award as upon a common-law arbitration.” Crane v. Leonard, Crossette & Riley, 214 Mich. 218. Our statute of limitations reads:
“All actions in any of tbe courts of tbis State shall be commenced within six years next after tbe causes of action accrue, and not afterwards” (with certain exceptions here not material). 3 Comp. Laws 1915, § 12323.
Under its terms the last of the payments was due on this award more than six years, before it was certified to the circuit court. It was optional with the plaintiffs whether they would take judgment by ex parte certification of the award to the circuit court as provided by statute (2 Comp. Laws 1915, § 5466), or bring suit thereon as on an ordinary contractual obligation. Crane v. Leonard, Crossette & Riley, supra. In either event they would be tailing the necessary proceeding to enforce their award which was nothing more than a cause or right of action. In creating this statutory right of action, the legislature must be presumed to have been mindful of the provision in the statute of limitations which requires that all actions shall be commenced within six years next after “the causes of action accrue, and not afterwards.” Had the legislature intended -to exempt this particular right of action from the limitations already provided by the statute, it could and doubtless would have so provided in plain terms. This statutory right of action had its origin in the contractual relations of the employer and employee; and the time within which it must be enforced is governed by the statute above quoted. This holding is in accord with the following decisions: Strizich v. Zenith Furnace Co., 176 Minn. 554 (223 N. W. 926); Federal Rubber Co. v. Industrial Commission, 185 Wis. 299 (201 N. W. 261, 40 A. L. R. 491); and Utah Consol. Mining Co. v. Industrial Commission, 57 Utah, 279 (194 Pac. 657, 16 A. L. R. 458).
Counsel for respondent relies upon Baur v. Common Pleas of Essex, 88 N. J. Law, 128 (95 Atl. 627); but a careful reading discloses that this case does not adjudicate and is not an authority upon the question here involved. That the New Jersey case is not in point is noted and commented upon somewhat -at length in Utah Consol. Mining Co. v. Industrial Commission, supra.
There is nothing in the so-called workmen’s compensation act (2 Comp. Laws 1915, § 5423 et seq.) which would justify an inference that the operation of the existing statute of limitations does not apply to the rights accruing under the act. In fact, in so far as the workmen’s compensation act itself contains limitations, the period within which action must be taken is shortened rather than lengthened. One of the objects of this statute is to provide a simple and speedy procedure for the recovery of compensation. Statutes of limitations are to be fairly construed; and they should not be defeated by over-strictness of construction. Palmer v. Palmer, 36 Mich. 487 (27 Am. Rep. 605); Toll v. Wright, 37 Mich. 93; McKisson v. Davenport, 83 Mich. 211 (10 L. R. A. 507). The purpose of these statutes is to deny a remedy to a party who has been unreasonably negligent in asserting his rights. Such statutes are founded not only on the presumption or probability that the claim asserted has been satisfied; but also on the inexpediency of permitting a stale claim to be prosecuted after long acquiescence. A statute of limitations is one of repose as well as one of presumption. Jenny v. Perkins, 17 Mich. 28. There is every reason for holding that the statutory right here sought to be enforced is within the statute of limitations above quoted.
We conclude that the motion to vacate the judgment entered in the circuit court of Wayne county should have been granted, and the writ must issue as prayed, with costs against George Buzzn and Ganski Flor Buzzn.
Fead, Wiest, Clark, McDonald, Potter, and Sharpe, JJ., concurred. The late Justice Fellows took no part in this decision. | [
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Sharpe, J.
A plat of parts of sections 11 and 12 in the township of Greenfield, in Wayne county, was executed by the owner of the lands, the Russel Woods Company, on January 26, 1916, and designated “Russel Woods Sub’n.” It was approved by the township board of that township and the board of county auditors of the county of Wayne, and thereafter duly recorded. In November of that year, the territory embraced in it was taken into and became a part of the city of Detroit.
The principal street in the plat is designated “Broadstreet Boulevard.” It is 100 feet wide, and extends the full length of the plat from Joy road at the south to Davison avenue at the north. These are both paved streets, with street car lines thereon. The lots on both sides of Broadstreet boulevard were platted much wider, and are of greater length, than any of the other lots except those fronting on a park near the center of the plat and adjacent to this boulevard, and were sold for higher prices. It is apparent that it was designed for the better class of residences, and the evidence shows that fine homes have been erected on them, costing from $25,000 to $50,000.
This street was paved by the snbdividers who platted it to a width of 26 feet. It had signs on it calling it a “boulevard,” and was known as such until the city council of Detroit, in 1922, passed an ordinance purporting to change its name to “Broad-street avenue.” The effect of this ordinance was considered by this court in Miller v. City of Detroit, 244 Mich. 38, and it was held void as to streets which were in fact “boulevards.”
In 1928 the city widened the pavement on this street, and has taken proceedings to charge the owners of the abutting property with the expense thereof. The bill of complaint herein was filed to restrain such action, and a decree was entered granting such relief, from which the city has taken this appeal.
The question presented is whether this street is a boulevard in fact. In the opinion filed by the trial court he said:
“The court finds from the evidence in this case, and personal inspection, that Broadstreet boulevard or Broadstreet avenue, as the city of Detroit now calls it, is a boulevard, in fact. That it possesses the shade, the beauties, the width and the aesthetic features which would make it a pleasure to. ride upon.
“In this street originally, and by the platters, the sidewalk, six feet in width in front of the residences on both sides, are set back into the boulevard ten feet and, as the testimony shows, in a large number of cases and from the appearance to the court, in practically all the rest of the abutting property, there is placed flowers, shade, plants, landscaping and the things that this court believes- a boulevard should have of that character.”
This court has had occasion to pass upon the question presented as to other streets in a number of recent decisions. MacLachlan v. City of Detroit, 208 Mich. 188; Miller v. City of Detroit, supra; Doherty v. City of Detroit, 244 Mich. 660; Coburn v. City of Wyandotte, 245 Mich. 314; Oprisiu v. City of Detroit, 248 Mich. 590; Theisen v. City of Detroit, 254 Mich. 338.
It will serve no useful purpose to again state the test to be applied, nor to quote the testimony submitted by the plaintiffs to establish the fact. The trial court heard and saw the witnesses, inspected the street and its surroundings, and concluded that this street was a boulevard in fact; that the ordinance in no way affected it as such, and that the plaintiffs are entitled to the relief sought by them. With this conclusion we are in accord.
The decree so providing is affirmed, with costs to appellees.
Clark, C. J., and McDonald, Potter, North, Fead, Wiest, and Butzel, JJ., concurred. | [
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Sharpe, J.
Plaintiff’s husband, Frank O’Brien, sustained an accidental injury arising out of and in the course of his employment with Rainbow Light, Inc., in the county of Oakland, on January 12, 1929. A report of compensable accident was filed, and an agreement entered into to pay compensation at the rate of $18 per week during total disability was approved by the department of labor and industry on January 28th. O’Brien died on April 16, 1929.
The only question presented at the hearing before the deputy commissioner, and again before the full board, was whether his death resulted from the accidental injury he received on January 12th. Both the deputy and the board so found, and an award was’made pursuant thereto. The defendants seek review by appeal.
Some time after his injury, the deceased went to his former home at Green Bay, Wisconsin, and remained there until the 22d day of March, 1929,- when he and his wife came to Detroit. He was there treated by Dr. Manting, a physician employed by the defendant insurance company. He last saw him the day before he died. The plaintiff testified that his foot was then “swollen, all inflamed-looking, red, and then there were lines, * * * kind of little
red streaks going up;” that he made complaints with reference to his ankle, “just complained how terrible it was, going to drive him insane if he didn’t soon get help;” that he went to sleep during the night, “never woke up; I tried to wake him and couldn’t.”
A post mortem examination was had, but without informing the plaintiff thereof. The doctors who performed it were called as witnesses, and also two doctors called by the plaintiff. The board in its opinion reviewed at length the medical and other testimony bearing on the cause of death, and concluded that it was due to the injury sustained on January 12th. There was evidence to sustain this finding. It will serve no useful purpose to here review it.
“The board is the trier of thé facts, and weighs and measures the conflicting testimony, medical as well as lay.” Ginsberg v. Burroughs Adding Machine Co., 204 Mich. 130, 137.
The award is affirmed.
Clark, C. J., and McDonald, Potter, North, Fead, Wiest, and Butzel, JJ., concurred. | [
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Butzel, J.
Harry Cohen, an attorney of Detroit, plaintiff, was retained by Peerless Soda Fountain Company, a Delaware corporation, defendant, to look after a large amount of business, consisting principally of collections on title-retention contracts. He claims that there is a balance of $2,420.35 due him for services and costs after deducting the sum of $364.35 paid him for specific items. The instant suit was begun on July 3, 1931, and 12 days later plaintiff filed a verified bill of particulars. Sixty-three different cases are therein separately listed, and the services rendered in each of them are set forth, some with a greater degree of particularity than others, but none showing the amount of work ■or the time devoted to each case. Some of the charges "are solely for “correspondence' and conferences.” The bill of particulars indicates that plaintiff did perform a very large amount of work for defendant. This included the instituting of 26 suits in circuit courts, some of which were outside of Wayne county. Without testimony, however, it is impossible to tell whether the charges are fair and reasonable or too large or small. Defendant, in a verified answer to plaintiff’s declaration, admits that it intrusted the business to plaintiff, but denies that the fair and reasonable value of the services is the amount charged. It .makes other claims that would negative plaintiff’s right of -recovery. It does not deny the claims paragraph by paragraph, but it does state:
“That each and all of the charges set forth in plaintiff’s verified bill of particulars are exorbitant; that the various and sundry services alleged in said verified bill of particulars do not exist in fact and were not rendered by plaintiff, and that in all of the instances set forth in plaintiff’s bill of particulars the bulk of the alleged services rendered consisted of letters written in reply to repeated demands for information,” etc!
On August 11, 1931, plaintiff filed a motion for judgment upon the pleadings, on account of defendant’s failure to file a -verified answer specifically denying each and every one of the items contained in plaintiff’s bill of complaint. He bases his right to recover on Rule No. 20, § 5, Court Rules, which is as follows:
“Whenever a bill of particulars is verified by oath, the items thereof shall be deemed admitted except in so far as the opposite party shall file an affidavit within fifteen days specifically denying the same, and .as to each item denied, stating the facts upon which such denial is based.”
Defendant filed an answer to the motion, and asserted that the verified answer theretofore filed by it constituted a sufficient denial of plaintiff’s bill of particulars. The court held otherwise, but granted an extension of time within which defendant could file an amended answer. Notwithstanding several adjournments, it delayed filing the amended answer until after judgment. was rendered. The case was prseciped for trial on August 29, 1931. A motion for entry of judgment on the pleadings was again noticed for September 4th and continued to September 10th, on which date a judgment for the full amount of plaintiff’s claim was entered, without any testimony whatsoever being taken. On September 14, 1931, defendant filed a motion to vacate the judgment and offered immediately to file an amended answer. This motion-was denied. On September 23, 1931, another motion to vacate the judgment was made by defendant, at which time it filed a verified answer setting forth in detail its defense to each one of the charges made by plaintiff.
Defendant claims that a judgment could not be taken on the pleadings because in any event there was an issue of fact as to the reasonableness of the charges. Plaintiff’s declaration states that no specific amount or measure of compensation was agreed upon. Defendant’s verified answer stated that each and every charge in plaintiff’s bill of particulars was exorbitant, etc. Plaintiff had a right to demand a more detailed verified answer. The most that plaintiff can claim under Court Rule No. 20, § 5, is that defendant be deemed to have admitted such items as were not specifically denied. The answer did create an issue of fact as to the reasonableness of plaintiff’s charges. This could only be determined by the taking of testimony. We have denied the right to a summary judgment for professional services for an amount not determined by contract, express or implied, or not liquidated in some manner. Baxter v. Szucs, 248 Mich. 672; and Bisbee v. Wetmore, ante, 178.
We need not discuss the other question raised, as to whether the trial judge did not give defendant sufficient time within which to file an amended answer. It has been filed, and the question will not arise on the trial on the merits.
The judgment of the lower court is reversed, and the case remanded for a new trial. As defendant, through its tardiness, has not been without fault, and the case involves the construction of a court rule, the costs will abide the final outcome of the case.
Clark, C. J., and McDonald, Potter, Sharpe, North, Fead, and Wiest, JJ., concurred. | [
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Butzel, J.
On November' 14, 1924, appellant, Ford Motor Company, as vendor, agreed to sell to William Ford & Company, Inc., as vendee, 1.2312 acres of land oil Second boulevard in Highland Park, Michigan. The executory contract entered into provided for a payment of $15,000 upon the execution of the contract, and the additional sum of $88,000 in monthly instalments of $750 and interest. Sixteen months after the contract was entered into, vendee desired the erection of additional structures on the land at a cost of $36,600. Vendor agreed to pay the builder $30,000 of this amount, the remaining $6,600 to be paid by the vendee. Under date of March 19, 1926, a supplemental agreement was executed. After referring to the original contract, and ■ the fact that the vendee had contracted with a building contractor for the erection of the additional structures at a cost of $36,600 on the land being-sold, it provided for the payment of $30,000 of the cost by the vendor to the contractor, the sum so paid to be added to the purchase price under the contract, and the monthly payments thereunder to be increased .$300 and interest. It further provided that the supplemental agreement should become and be part of the original contract.
In 1930, vendor notified vendee by registered mail that unless defaults in payments of monthly instalments, interest, and taxes be cured by October 23, 1930, it would declare the contract forfeited. Before the latter date arrived, the Union Guardian Trust Company was appointed receiver of the vendee, in a suit brought by plaintiffs Rowe and Guenther. On October 23, 1930, vendor served notice of forfeiture upon the vendee and the receiver, and thereafter filed a petition of intervention in the equity suit and sought permission to institute summary proceedings for repossession of the premises. The court in refusing such permission held that the vendor’s contract was an equitable mortgage that could he foreclosed only in a chancery proceeding. The trial judge relied on the case of Whitney v. Foster, 117 Mich. 643. We do not believe it at all decisive upon the facts presented in the instant case. In Whitney v. Foster, supra, the vendee obtained a loan from the vendor, and, as security, the amount thereof was added to the balance due under the contract. Later, a receiver was appointed for the vendee. Upon denial of petition by the vendor to have the amount due him declared a lien on the property, the vendor appealed, and it was held that he was entitled to an equitable lien on the premises.
In the instant case,' the Ford Motor Company, as appellant, remained the vendor under the land contract, under the original contract as supplemented by the agreement of March 19, 1926. The intention of the parties, as expressed by their agreement and a reasonable inference therefrom, must he controlling. We have frequently held that a contract in form may, through the acts of the parties, he a mortgage. Skupinski v. Provident Mortgage Co., 244 Mich. 309; Levenson v. Cohen, 250 Mich. 31. However, where the facts show that there was more than the mere loaning of money and the taking of the contract as security, a court of equity will give due con sideration to what the parties intended, and not force upon them a different contractual relation than they agreed upon. See Reid v. Dowd, ante, 492. In the instant case, at the request of the vendee, the value of the property sold under the original contract was increased by improvements, and $30,000 of the cost thereof was paid direct to the builder by the vendor. The effect of the agreement was that the vendor agreed to include $30,000 more property than was provided for in the original contract, and vendee in turn agreed to increase the consideration to be paid by it. The result was the same as if the original contract had been canceled, and a new contract entered into for more property and for a larger purchase price. The burden of proof was upon the appellees to show a change in the contractual relations between the parties. It has not been sustained by them. Dalton v. Mertz, 173 Mich. 153; Rubenstine v. Powers, 215 Mich. 434. The contractual rights of the parties remained the same after the receiver was appointed. Rickman v. Rickman, 180 Mich. 224, 250 (Ann. Cas. 1915 C, 1237); Gray v. Lincoln Housing Trust, 229 Mich. 441, 446. The right to declare a forfeiture upon default was not lost by vendor upon the appointment of a receiver. Tower v. Detroit Trust Co., 190 Mich. 670, 674.
The order of the lower court is reversed, with costs to appellant, and case remanded with direction to grant appellant’s petition for permission to bring summary proceedings before a circuit court commissioner to recover possession.
Clark, C. J., and McDonald, Potter, Sharpe, North, Pead, and Wiest, JJ., concurred. | [
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Clark, C. J.
In a trial without a jury plaintiff had judgment for damages for breach of a contract of employment. Defendant has appealed.
The preponderance of the evidence is that plaintiff was employed by defendant by its agent Noble, by oral agreement, for the period of 11 months at $300 per month. She was discharged without cause.
The chief question is of Noble’s authority to make the agreement. His duty in chief was to gather an organization to represent defendant. The wéight of the evidence is that he did employ persons under certain contracts of employment for a fixed period of time. There is testimony pro and con respecting his authority, but we agree with the trial judge in holding authority to make the contract in question. It is argued that the court erred in ruling on offered testimony of Noble respecting his authority. If it be conceded that Noble would have testified precisely as defendant expected, it would not change the result. We find no reversible error.
Affirmed.
McDonald, Potter, Sharpe, North, Fead, Wiest, and Buteel, JJ., concurred. | [
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North, J.
These two suits, consolidated in one appeal, are for damages sustained by the plaintiffs as a result of an automobile accident. Upon trial in the circuit court without a jury, plaintiffs each had judgment. The defendant has appealed.
About 6:30 in the morning of February 6, 1925, Clarence Humphrey, husband of plaintiff Ruth E. Humphrey, was riding in a Ford automobile owned and driven by the plaintiff David McArthur. Another man was riding with them to the Ford factory, where they were employed. Due to heavy fog, visibility was very bad. As they were going' along Fordson road, they reached the point where it forked into Dix avenue near the approach to the bridge over River Rouge. From their junction point the two highways use the same approach. A driver coming from the Fordson road to the bridge must turn his vehicle to the right, while one coming from Dix avenue must curve somewhat to the left. The southerly bank of River Rouge at this point is at leasi 20 or 25 feet north of the northerly line of Dix avenue. If one driving northerly on Fordson road at its junction with Dix avenue continued straight ahead he would cross Dix avenue, pass over an intervening strip of land and go over the bank into River Rouge. Or if after passing Dix avenue he bore somewhat to his right he would meet with the same fate. At the time of the accident there were barriers on either side of the bridge approach extending from 10 to 20 feet westerly from the bridge proper. On the morning in question, driving very slowly and finally practically stopping his car, Mr. McArthur reached the point where he saw to his right what he supposed was the southerly barrier. He proceeded onto what he thought was the approach to the bridge. He was mistaken. The barrier which he had observed was in fact that on the northerly side of the approach. Passing this and going down a slight grade, he soon discovered he had entirely crossed over the approach to the bridge and was heading toward the river. He applied his brakes, but, due to the icy condition, was unable to stop. His car passed over the bank and went some considerable distance out into the stream. Mrs. Humphrey’s husband was drowned, but Mr. McArthur and the other man succeeded in gutting back to shore. '
Plaintiffs predicate their right to recover on defendant’s alleged negligence in failing to safeguard the approach to the bridge by proper barriers, and also its failure to properly light the bridge so that persons attempting to cross in the dark would be able to locate the approach. Defendant urges that it was not guilty of fiegligence, and that Mr. McArthur was guilty of contributory negligence bar-ling recovery in both cases.
We pass the question of defendant’s negligence, because we find the issue of contributory negligence controlling. Mr. McArthur testified:
“It was a real foggy morning. * * * It was real dark in February. * * * Awfully foggy, * * * couldn’t see very far, it was so foggy. * * * When I approached it (the bridge) I don’t believe I was going over 10 miles an hour, and there is a kind of a curve in there and so I slowed down there because I was not real sure where I was, and just as I slowed down and was ready to stop, why we seen the railing on the bridge and the thing that was on the right-hand side; we thought we was all right, so I started up again, but there was a railing on the left-hand side, instead of making a curve we went right straight across; it was so foggy we couldn’t see; it just came up for an instant. * * * After I started up, I wasn’t going over five miles an hour. * * * We went over the bank and about 10 feet down into the water and between 22 and 25 feet to the bottom. * * * No, sir, we didn’t see a light (on the bridge) that morning. # * I had driven over it (the road) for two years, not every day, but pretty near. * * * I knew the road, yes. * * *
“Q. Did it ever appear to you as being a dangerous place?
“A. Yes sir. * * #
“Q. Do you remember distinctly what the situation was as you approached the bridge that morning?
“A. Yes. I knew you couldn’t see anything, it was so foggy.
“Q. Did you have your headlights on?
“A. Yes, sir; windshield open. * * *
“Q. How far ahead of the car could you see at that time?
“A. I don’t think you could see without there was an object; * * * you could see a light maybe 50 or a 100 feet; something like that, at times, not at all times of course; sometimes you would run into a heavy bank (of fog), then again it would be a little bit lighter. * * * Fordson * * * was paved for a short distance. It did run up to Dix avenue. * * * I could see- where we left the pavement. * * * That is where I began to slow down, to stop, to see where to make my turn.
“Q. How far ahead of you could you see the pavement in front of your car?
“A. Well, maybe 50 feet, something like that. * * *
“Q. And as you got to this dirt road (at Dix avenue) how far ahead could you see the road?
“A. Well, I don’t know. I did not see the road; I was looking for the road. * * * I seen the railing on the bridge and it was only just for an instant and I thought it was the right-hand railing; instead of that it was the left-hand railing; then it disappeared. * * * You are supposed to make a right-hand turn, that is, to go onto the bridge.
“Q. If you kept straight on on Fordson you would go straight into the river?
“A. Yes, sir, the same as I did. * * * I should judge I went off of Dix avenue about 10 feet from the bridge abutment.”
Annotation of numerous cases, relative to the duty of the driver of an automobile whose vision is obscured by dust, smoke, or atmospheric conditions will be found in 37 A. L. R. 587, and 73 A. L. R. 1026. The reported case in 37 A. L. R. 586, Castille v. Richard, 157 La. 274 (102 South. 398), quoting syllabus, holds:
“Drivers of automobiles on narrow road approaching in opposite directions, who failed to stop until impenetrable cloud of dust raised by third automobile in passing one of them had subsided, held negligent.”
In some jurisdictions an automobile driver who proceeds while he is unable to see any appreciable distance ahead because of foggy conditions is held negligent as a matter of law. Albertson v. Ansbacher, 102 Misc. Eep. 527 (169 N. Y. Supp. 188); Solomon v. Duncan, 194 Mo. App. 517 (185 S. W. 1141). More often, as in Castille v. Richard, supra, cases of this character are held to present issues of fact. Marsh v. Burnham, 211 Mich. 675, and cases in A. L. E. notes above cited. We have consistently-held that driving an automobile at a speed which-prevents stopping within the range of vision is negligence. Lett v. Summerfield & Hecht, 239 Mich. 699. In the Lett Case and others we have applied the rule when visibility was affected by fog or other atmospheric conditions. Elrich v. Schwaderer, 251 Mich. 33; Bowmaster v. DePree Co., 252 Mich. 505.
“Where the view of an. automobilist is obscured by smoke or weather conditions, or is cut off by an obstruction, or where his eyes are blinded by the sun, or by lights, he is required to exercise care and caution in keeping a lookout commensurate with the increased danger.” 3-4 Iluddy, Automobile Law (9th Ed.), § 50.
In the instant case the driver of the automobile was familiar with all the conditions of the highway. He knew it was of a dangerous character at this particular place. While a different rule might apply to a stranger on this highway (Hoffman v. Southern Pacific Co., 84 Cal. App. 337 [258 Pac. 397]; McFadden v. Railway Co., 157 Wash. 437, 289 Pac. 1), Mr. McArthur was clearly negligent because he was chargeable with full knowledge of the situation, and was bound to act accordingly. His negligence is imputed to Mrs. Humphrey’s decedent. We need not hold Mr. McArthur was guilty of negligence as a matter of law, but we do find he was negligent in fact. Decision to the contrary in the circuit court was against the preponderance of the evidence. (Court Rule No. 59, § 7).
The judgment entered will be set aside, the cases remanded, and judgments entered for defendant. Costs to appellant.
Clark, C, J., and McDonald, Potter, Sharpe, Fead, Wiest, and Butzel, JJ., concurred. | [
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Butzel, J.
The city of Detroit, defendant, was confronted with the problem of devising a means of enabling vehicular traffic from the east or west side of the city to reach the other side, without passing through the congested downtown business district in the center of the city. The city plan commission had found that before the downtown stores were open for business in the morning, crosstown traffic began to open at one side and out of the other at the rate of 14,000 vehicles per hour, and that a steady stream of traffic continued throughout the day. . In accordance with a petition bearing sufficient signatures, an ordinance to build a large arterial highway through the center of the city was submitted in 1922 to the electors. It was adopted by a vote of 65,709 in its favor, and 40,364 against it. The route was named the “Dix-Waterloo highway,” but subsequently renamed “Vernor highway.” It extended for many miles through the more southerly section of the city. The larger portion of it followed old and well-established streets, many of which were widened. In some instances, however, the extension of the highway required the taking of entire parcels of property by condemnation proceedings. In the present case, we are only concerned with a small portion of the highway. Woodward avenue, running north and south, is regarded as the dividing line between the east and west sides of the city. High street, running east and west, skirts the more congested downtown business section. The highway running in a westerly direction was routed along High street, west, which extended from Woodward avenue to Vermont avenue. Sufficient property was condemned between Vermont avenue and Fourteenth avenue so as to continue the highway in a straight line to Fourteenth avenue. Then, according to the original plan in the condemnation proceedings, the highway turned
south for a short distance through a broad open space, then turned west for two blocks along Michigan avenue to Sixteenth street, - then turned south on Sixteenth street, and after proceeding through and beyond the viaduct over the Michigan Central Railroad tracks, it turned west again and continued for many miles. Roosevelt park is bounded on the north by Michigan avenue, on the south by the esplanade in front of the large Michigan Central Railroad station, on the east by Fourteenth avenue, and on the west by Sixteenth street. According to the original plan adopted-in the condemnation -and subsequent assessment proceedings, that part of Michigan avenue and .Sixteenth street abutting the park became part of the highway.
The condemnation proceedings,- instituted, in -the recorder’s court for the city of Detroit, resulted in a very large award for damages. The city.: agreed to pay $2,278,200.19, one-half of the award, and a like amount for the other one-half was assessed against the property benefited by and fronting on the highway. After many hearings and a careful survey, the assessments were regularly determined by the board of assessors in the year 1927, and .the assessment roll was confirmed by the common council of the city of Detroit.
In 1927, plaintiff, Frischkorn Investment Company, a Michigan corporation,, acquired by purchase a large number of improved pieces or..parcels of property fronting on Michigan avenue and in the assessment district... The property, consisting of 21% lots, is in the vicinity of the intersection of Michigan avenue and Fourteenth avenue. Michigan avenue runs at an angle with Vernor highway and intersects it at Fourteenth avenue so that the rear of some of plaintiff’s properties abut on Yernor high way, some are very close to it, while others would have fronted on Yernor highway had it been routed along Michigan avenue between Fourteenth avenue and Sixteenth street, according to the original plan. The assessment districts were divided into zones or districts, each of which was assessed at a different rate, and according to the benefits it was believed would be derived from the improvement. The assessments were especially heavy in the vicinity of the intersection of Michigan and Fourteenth avenues. Such Michigan avenue lots as also acquired Vernor highway frontage in the rear, were assessed at 35 per cent. This was a much higher rate than in the other places on account of frontages on two of the main thoroughfares of the city. Michigan avenue frontage facing the north side of Roosevelt park also was assessed at a high rate because of the added advantage of facing this important new highway. The assessments were made on the basis of frontage on Vernor highway. A higher percentage was assessed on the first 100-foot depth of the lots, and a lower one on any depth in excess of 100 feet. At the northwest corner of Sixteenth street and Michigan avenue, where the highway as planned turned south, three corner lots having a width of 100 feet on Michigan avenue were, assessed on account of the “corner influence” of Yernor highway. Although these three lots, strictly speaking, did not front on the highway, as contemplated, nevertheless the southeast corner of these 100 feet would have touched the highway had it turned south at the intersection of Michigan avenue and Sixteenth streets, in accordance with the original plans. Plaintiff appeared before the assessors and the common council, acting as a board of review. There was neither fraud nor discrimination in the manner in which the assessments were made. The trial judge dismissed the bill' of complaint filed by plaintiff, in which it claimed constructive fraud, illegality, lack of benefits, and discrimination in the making of the assessments. The court did set aside the assessments on the lots on the northwest corner of Michigan avenue and Sixteenth street.
Plaintiff contends, on appeal, that the improvement has been a detriment instead of a benefit to its property. It asserts that the sole purpose of the highway was to enable traffic to speed rapidly past plaintiff’s property; that it was exclusively for the. benefit of the city at large and not of the individual property owners. It offered testimony to show that business has not increased in volume, but, on the contrary, it has decreased in the two years subsequent to the building of the highway.
Assessments for improvements must be made in accordance with the. benefits, and it is difficult to discern in advance with any degree of exactitude the resulting benefits to abutting property owners. It can be readily seen that there may be some benefits through the widening of a narrow street with old buildings that must compete with new buildings on broad streets in the near neighborhood. Property may be benefited through the construction of new streets that afford quicker and better approaches. It is, however, claimed with much force that the widening of streets ' so that more cars may be accommodated and they may .be speeded past the abutting property is a distinct disadvantage to the owners of homes or business along such highways, and that heavy assessments for this purpose amount to taxation without benefits and are confiscatory. The argument has been advanced that the widening of streets to accommodate vehicular traffic fre quently impairs values, discourages prospective customers from the opposite side of streets from crossing on account of its obvious difficulties and dangers, brings noise, dirt, and gasoline odors to homes abutting the street, imposes a burden of taxation that cannot be met by owners of abutting property, and is a distinct detriment instead of a benefit to them. We are not unmindful of the fact that the public records for many years show that assessments for street widenings and openings in the city of Detroit, amounting to very many millions of dollars, remain unpaid. All these claims should appeal most strongly to the legislative authorities. The courts are loath to interfere unless fraud, discrimination, mistake, or the absence of the benefits claimed appear with certainty.
Plaintiff: purchased the property after the completion of the condemnation proceedings, and prior to the improvement being made. It must have known that assessments would follow.' The fact that several years later business on the streets had deteriorated may be entirely due to general business conditions. The benefits of the improvement are not guaranteed by the municipality. If it acts in good faith, has good reason to believe that benefits will accrue, and there is no showing of fraud, mistake, or illegality, the courts may not substitute their judgment for that of legislative bodies. Goodrich v. City of Detroit, 123 Mich. 559, 563. As was stated in the syllabus in Marks v. City of Detroit, 246 Mich. 517:
“To what extent adjoining property is enhanced in value by the widening of a street is left to the judgment of the common council and board of assessors under the Detroit city charter, and, in the absence of fraud, bad faith, or the following of a plan incapable of producing equality, their judgment is conclusive.”
In this same case, Mr. Justice McDonald, speaking for the court, quoted from Brown v. City of Grand Rapids, 83 Mich. 101:
“It is not for this court to set its judgment up in opposition to that of the board of commissioners and the council, and to say that this parcel of land or that is assessed too much or too little. The assessments were to be made according to benefits to each parcel of property, and there is nothing in the record showing that the commissioners did not assess the complainant’s land in accordance with their best judgments.”
There is no showing that the board of assessors and the common council either knew or had good reason to believe that the effects of the widening would not benefit the owners of property abutting the improvement, if such be the case. For this reason we must hold that the assessments are valid and cannot be set aside, except where obvious mistakes have been made.
Plaintiff owns lots 11 and 12 of the Peter Godfrey Farm, Private Claim 726. It has a frontage on the north side of Michigan avenue and on the west side of Wabash avenue. The rear of these lots does not abut on Vernor highway, but on a public alley 20 feet in width, which, as far as the record shows, has never been condemned. North of this alley at the southwest corner of Vernor highway and Wabash avenue, there is a small triangular piece of property belonging to the city. It has a frontage of 39.87 feet along Vernor highway, 16.40 feet on Wabash avenue, and a width of 42.12 feet along the alley. This lot is a remnant of a former lot, and was obtained by the city by excess condemnation. It became tbe absolute property of the defendant, and may be used or disposed of in proper manner. See In re State Highway Commissioner, 256 Mich. 165. While the triangular piece of property is not large, it, together with the alley, constitutes a barrier between the south line of Vernor highway and the north line of lots 11 and 12 of Godfrey Farm, Private Claim 726. These two lots have no Vernor highway frontage. The city retained a valuable parcel of property on the highway. It should pay for the benefits. The exhibits furnished on the condemnation and assessment proceedings did not show either this alley or the portion of the lot retained by the city. This was undoubtedly due to a mistake. Plaintiff should be relieved of the assessment on lots 11 and 12, Godfrey Farm, Private Claim 726. See Panfil v. City of Detroit, 246 Mich. 149.
When Vernor highway was laid out and assessments made, it was on the theory that it would proceed west along Michigan avenue, between Fourteenth avenue and Sixteenth street, and then south down the latter street. Thus plaintiff would have had the advantage of having its lots front on Vernor highway. The assessments were made on the basis of frontage on Vernor highway. Plaintiff’s lots 1. 3, 4, 5, 6, 7, 8, 9, 10, 11, and 12 of Private Claim 44, of the LaFontaine Farm, lying on the north side of Michigan avenue and between Fourteenth avenue and Sixteenth street, and fronting on that part of Michigan avenue along which Vernor highway was to be routed, were not affected by the improvement, for Vernor highway was re-routed so that these lots do not abut on it. After reaching Fourteenth avenue, the course of the highway, instead of going westerly along Michigan avenue and then southerly on Sixteenth street, as originally planned, was re-routed so as' to go diagonally through Eoosevelt park. Two roadways, one for easterly and the other for westerly traffic, run through the park from the intersection of Michigan avenue and Fourteenth avenue, to Sixteenth street at the westerly side of the Michigan Central station. The trial judge correctly said:
“In consideration of the above, I will simply say that this assessment was levied upon the theory that the route of this Vernor highway would be such that the properties of these plaintiffs on the north side of Michigan avenue was assessed as frontage upon the improvement.
“Now, it transpires that when the improvement was actually completed and opened up for travel and put in use, the travel was routed across Eoosevelt park — that is — from Fourteenth street and Michigan southwesterly through what is known as Eoosevelt park to a point a little south of Eose street in a southwesterly direction through the viaduct, and the testimony does not indicate there was any improvement of Michigan avenue between Fourteenth and Sixteenth streets. At least, not on the north side of the street, and the only change made anywhere in that vicinity, as I recall, is at the junction of Sixteenth street and Michigan, and that was on the south side of Michigan on the east side of Sixteenth street, where the corner of the walk was rounded to some extent. That is, that Michigan and Sixteenth at that junction were widened.”
We entirely agree with counsel for defendant in his contention that the city may re-route, close, or change the course of a highway that does.not abut plaintiff’s property, but only may make it less accessible to approach. Mr. Justice Wiest, speaking' for the court, stated the rule in Tomazewski v. Palmer Bee Co., 223 Mich. 565, as follows:
‘ ‘ The question of eminent domain is not involved. By no stretch of imagination can it be said that property rights of plaintiffs are taken. Mere inconvenience in having to go around the east half of the block next south, instead of through it, constitutes no taking of the property of plaintiffs. It is a well-settled rule that a lot owner’s right to object to the vacation of a part of a street depends upon whether his lot abuts upon or comes in actual contact with the vacated portion, or access to his lots is entirely or materially cut off by reason of the vacation. That he may be inconvenienced or that he may have to go a more round-about way to reach certain points does not bring to him any injury different in kind from the general public but only in degree. If means of ingress and egress are not cut off or lessened in the block of the abutting owner but only rendered less convenient because of being less direct to other points in the city and made so by the vacation of the street in another block, such consequence is dammm absque injuria.”
The difficulty in the present case, however, is that Vernor highway, except on paper, was not routed along Michigan avenue between Fourteenth avenue and Sixteenth street. It was not a benefit that plaintiff acquired and kept for a time and then lost in subsequent years. It never had it at any time, for Vernor highway was routed through Roosevelt park. Inasmuch as the assessment was based on the frontage of the new highway and not on indirect benefits that might accrue to all of the neighboring property, it should be set aside as property which did not share in the benefits according to the standard adopted in measuring them. It would be inequitable to assess this property on the basis of frontage on Vernor highway when the improvements never touched these lots. The assessments as to lots 13, 14, 15, of Private Claim 44, LaFontaine Farm, were set aside by the trial judge. Defendant did not appeal from this decision. The assessments against lots 1, 3, 4, 5, 6, 7, 8, 9, 10, 11, and 12 of the same subdivision, and those against lots 11 and 12 of the Peter G-oclfrey Farm, Private Claim 726, are also set aside. Those on the other lots described in the bill of complaint will not be disturbed. A decree will be entered, as thus modified, by the lower court. Plaintiff will recover costs.
Clark, C. J., and McDonald, Potter, Sharpe, and North, JJ.', concurred with Butzel, J. Wiest, J., concurred in the result. Fead, J., did not sit. | [
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Fead, J.
Plaintiff filed this bill October 14, 1930, to set aside a deed executed by him to Herman Nagel on November 23, 1909, and a deed from Nagel to Robert Oakman on December 27,1909, on the ground of fraud.
No excuse for delay in bringing suit is stated in the bill except the averment that plaintiff did not have knowledge of the falsity of the representations “.until lately.” Defendants moved to dismiss the •bill as on demurrer on the ground of laches and the failure of the bill to show excuse for the deláy. The court granted the motion.
Plaintiff, contends that, as laches does not depend alone on lapse of time but involves also injury to the other party through delay, the bill need not state the excuse where no injury to the other party is shown oh the face of the bill.
Thequestión of laches may be raised by demurrer. Parkinson v. Parkinson, 177 Mich. 336.
A bill in equity must state the facts' entitling plaintiff to relief. In the instant case an action at law for fraud or to recover real estate would be barred by the statute of limitations. Courts of equity accept the statute as fixing a proper period of repose for rights in equity as well as at law and apply it unless the suit is peculiarly equitable' in' nature or compelling equities are shown. Campau v. Chene, 1 Mich. 400; Michigan Insurance Co. v. Brown, 11 Mich. 265; Smith v. Davidson, 40 Mich. 632; Young v. Young, 200 Mich. 236; 17 R. C. L. p. 735 et seq.; 21 C. J. p. 251; Lockwood v. Beckwith, 6 Mich. 168 (72 Am. Dec. 69).
Where one invokes the aid of equity, after apparently sleeping on his rights for a time equal to the statutory period of limitations, he must allege facts which excuse the delay and show strong equities in his favor. Campau v. Chene, supra; Abbott v. Godfroy’s Heirs, 1 Mich. 179, 182; 1 Am. St. Rep. 788, 789, note; Hays v. Port of Seattle, 251 U. S. 233 (40 Sup. Ct. 125); Bradfield v. Dewell, 4.8 Mich. 9.
The allegation that plaintiff did not discover the facts “until lately” is too general and indefinite to show the absence of laches. Hays v. Port of Seattle, supra.
The order dismissing the bill will be affirmed, with costs; but, in accordance with 3 Comp. Laws 1929, § 15508, the cause will be remanded with leave to plaintiff to amend his bill of complaint within 15 days. ■ • :.....
Clark, C. J., and McDonald, Potter, Sharpe, North, Wiest, and Btjtzel, JJ., concurred. | [
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Edward M. Sharpe, J.
Petitioner and respondent Leone L. Peddicord were married in Allen county, Indiana, in June, 1927, and as a result of that marriage a son, James Edward Peddicord, was born in August, 1928. July 16, 1931, a divorce was granted respondent on her cross-bill. The decree provided among other matters that petitioner pay respondent for the support of the minor child the sum of $7.50 per week and also provided that the custody of the child be given to respondent, subject to the right of the father to visit said child at reasonable times and to have the custody of the child on alternate Saturday afternoons and until 8 p. m. the following day. The decree also provided that the mother have the right to remove the child from the State each year during the months of July and August for a period of not to exceed 30 days.
During the months of July and August, 1931, respondent took the child to Michigan and remained there longer than 30 days. She then returned to Indiana where she had some difficulty with petitioner over his failure to pay alimony and concerning the child’s clothing. About December 10, 1931, respondent removed the child to the home of her mother, Anna Spencer, in Escanaba, Michigan. The child has remained in this State continuously since that time.
In January, 1932, the superior court of Allen county,. Indiana, upon motion of petitioner, entered an order suspending the order for the support of the child. In April, 1932, petitioner presented a petition to the Indiana court asking for the sole custody of the child. A summons was issued and was served upon respondent in Escanaba, Michigan, May 31, 1932. Through her attorney, respondent entered a special appearance, objecting to the jurisdiction of the court, and at the same time filed a motion to set aside the service of summons and notice of petition to modify the decree. On June 20, 1932, the respondent’s motion was overruled and petitioner was given the custody of the child and the court ordered that the child be kept within the jurisdiction of the Indiana court.
Prior to this order and on June 13, 1932, the petitioner filed a petition in the circuit court of Delta county, Michigan, for a writ of habeas corpus in which he alleges that he is entitled to the custody of the child by reason of the fact that he had filed a petition in the Indiana court to modify the original order and give him custody of the child on the ground that respondent had violated the Indiana decree of July 16, 1931, by removing the child from the State, and for the further reason that respondent and Anna Spencer, the mother of respondent, are not fit persons for the custody of the child.
The writ was issued and the child was produced in court June 15, 1932, and was remanded to the custody of Newton C. Spencer during the pendency of this action. On June 23, 1932, after hearing the testimony, the trial court dismissed the petition, from which order petitioner appeals and claims that the Michigan court is bound under the full faith and credit clause of the United States Constitution by the decree of the Indiana court made June 20, 1932.
In Re Leu, 240 Mich. 240, this court held, that under the full faith and credit clause of the United States Constitution (art. 4, § 1) a decree of another State awarding custody of a child as between its divorced parents is binding only as to facts and circumstances existing at the time of the decree.
The trial court found as a fact that the welfare of the .child was best subserved while remaining in the custody of the mother. ' In this finding we agree.
The decree of the Indiana court, introduced in evidence, gave the custody of the child to the mother, subject to certain rights of petitioner, who was only required to pay $7.50 per week for the support of the child and no other sums for alimony. The testimony in the instant case showed that petitioner frequently failed to make these small payments promptly and in one instance only after pressure was brought on him; that the mother was supported by her own mother and stepfather residing in Escanaba, Michigan, to whose home the mother and child were finally forced to go for refuge and support. The marital misfortunes of the parents were being visited upon the child, who is now in the very best surroundings where it can be properly brought up in peace and comfort. While in Indiana it witnessed quarrels and an act of extreme cruelty when, in an altercation over the child, petitioner struck the mother and injured her. In a case involving the custody of a child, where different conditions have arisen subsequent to the order or decree of a court in another State, the local court will be guided in its decision by what appears best for the welfare and interest of the child. In re Stockman, 71 Mich. 180; In re Leu, supra; In re Volk, 254 Mich. 25.
When petitioner filed his petition for a writ of habeas corpus all of the parties were in Michigan and within the jurisdiction of the Delta county circuit court. Petitioner, having submitted to that court the issue of the custody of the child and invoked its jurisdiction without awaiting the termination of the Indiana proceeding, cannot now complain of its lack of jurisdiction but must abide the decision of the Michigan court.
Judgment affirmed, with costs to respondent.
Nelson Sharpe, C. J., and Potter, North, Pead, Wiest, Butzel, and Bushnell, JJ., concurred. | [
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Nelson Sharpe, 0. J.
Louise Kerckel departed this life in the month of January, 1932, leaving a last will and testament, executed on December 23, 1926, in which her daughter, Erna Kerckel Perris, was appointed executrix. She duly qualified and entered upon the performance of her duties as such.
Grus Kerckel, a stepson of the deceased, presented a claim against the estate in the sum of $1,099, due as of April 15, 1899, and interest thereon from that date. The proceedings in the probate court are not in the record, but it appears from the statement of counsel that it was there allowed and an appeal taken by the executrix to the circuit court. On the trial the court limited the interest which could be charged to the time of the death of the deceased, and the jury rendered a verdict in favor of the claimant in the sum of $1,200.81, from which the executrix has appealed.
The claimant was born in Germany January 21, 1876. His mother died nine months thereafter, and his father later married the deceased. They came to this country in October, 1891, and took up their residence in the city of Owosso. Mr. Kerckel died in 1922. Plaintiff’s claim as filed reads as íoIIqws :
“This claimant, at various times previous to April 15, 1899, placed in the hands of Louise Kerckel, from his earnings, various sums of money, which up to April 15, 1899, amounted to $1,099. At that time he endeavored to obtain from the said Louise Kerelcel this money, but she claimed that it was invested and refused to give it to him, but this claimant then and there made an agreement with her, in which she agreed, in the presence of witnesses, to pay this amount out of her estate at her death. ’ ’
His sister, a married woman, named Marie A. Stegman, who came to this country a few months before her father and stepmother, and who lived in Owosso, testified that the claimant lived in the family home after he came here, but worked for other men; that the deceased had frequently spoken to her about how she was saving claimant’s money for him, and at one time told her that claimant had asked her for his money and she had told him “that if he had the money he would spend it, and in time it would be a nice little nest egg. She didn’t say anything about when she was going to pay it to him, but that she couldn’t get it now because it was invested, but he could get it when she was dead if he wasn’t paid before.” She was unable to fix the date of this conversation, but knew it was after the claimant had reached the age of 21 years.
Grace Ross, a married woman living in Owosso, testified that claimant worked for her father on a farm in the year 1899, before she was married; that her mother wanted him to make them a loan on a mortgage; that she drove him over to the home of the deceased on April 15th of that year, and—
“When we got there Gus said he came after his money, and she said the money was all invested and he talked with her about it for a. while. Finally, in an argument, he said, ‘When can I have it?’ He said, ‘I want it to put it out on interest,’ and she says, ‘It is invested now and if you don’t get it dur ing my lifetime you will get it at my death.’ He told her he had an opportunity to put it out on a mortgage on mother’s farm and get six per cent, interest on it. As to the amount at that time, he said he wanted his $1,099. She said ‘it is all invested and if'I don’t give it to you during my lifetime you can have it at my death. ’ She did not dispute the fact it was $1,099.”
On cross-examination she was asked:
“Whatever you went in the house for, Mrs. Ross, was in G-us’s behalf was it not?”
and answered:
“I imagine it would be, it was to-—I went over there with him, just went with him to get the money—
“There is no question but what I went in the house. I imagine that it would be in Gus’s behalf. We went in there to get the money, yes, sir.”
Defendant’s counsel then-moved to have all of the testimony of the witness stricken from the record “as it appears she was asked there and in behalf of the claimant as his agent and representative.” Error is assigned upon the refusal of. the court to do so. The motion was based upon 3 Comp. Laws 1929, § 14219, which provides that no person acting as an agent in the making of a contract with a deceased person shall be a competent witness in any suit involving such contract as to matters occurring prior to the death of the decedent. It does not appear that Mrs. Ross took any part in the' conversation had between the claimant and the deceased. Clearly, the inhibition of the statute does not here apply. Mrs. Ross was not an agent of the plaintiff within its terms. McCain v. Smith, 172 Mich. 1; Reichert v. Negaunee State Bank, 266 Mich. 413.
The plaintiff was sworn as a witness in his behalf. Defendant’s counsel say that prejudicial error was committed by his counsel “by persistently propounding questions to the plaintiff relative to matters that must have been equally within the knowledge of the deceased person.” Over objection, plaintiff was permitted to testify that the first work he did after he came to Owosso was at the Estey Manufacturing Company in- that city, and that his earnings were at the rate of’$3.50 per week. It appearing by questions which defendant’s attorney was permitted to propound to the witness that he was then living at home and that the deceased knew where he was then working*, these answers were stricken out. He .was then asked whether, after he became of age, he made demand on the deceased for moneys he had turned over to her. An objection thereto was sustained; the court at that time very carefully instructing the jury that the law would not permit him to so testify. This question should not have been asked. In view of the positive testimony of the admissions of the deceased, we are not impressed that the jury in their deliberation could have been in any way influenced by what then occurred.
At the conclusion of the proofs defendant’s counsel moved for a directed verdict, based upon the fact that at the time the alleged obligation was incurred by the deceased she was. then a married woman, and that there was no testimony tending to prove that the consideration therefor “related to her separate and individual estate or property or in any way benefited her property. ’ ’ This motion was taken under advisement and renewed after verdict, and denied. Error is assigned thereon.
A request for an instruction that in order to hold the estate of the deceased liable for the payment of plaintiff’s claim the jury must find by a preponderance of the evidence that the deceased “contracted such debt in relation to her separate and individual property,” was refused and error is also assigned thereon.
Under the law then in force a married woman might lawfully contract with the like effect as if she were unmarried, but a promise or undertaking made by her could not be enforced unless made for the benefit of her separate estate, and the burden of proof rested upon a claimant to establish that fact. West v. Laraway, 28 Mich. 464, cited and quoted from with approval in Werner v. Wegusen, 252 Mich. 41, and in Hartle v. Keefer’s Estate, 260 Mich. 188.
The trial court instructed the jury that the questions for them to determine were:
“First, has the claimant, Gus Kerckel, shown by a preponderance of the evidence that he gave to his stepmother, Louise Kerckel, $1,099 to keep for him; and second, has the claimant, Gus Kerckel, shown by a preponderance that on April 15, 1899, that his stepmother, Louise Kerckel, promised him to return the money during her lifetime or that she would fix it so he would get the money at her death.”
There is no dispute in the evidence as to the statements made by the deceased on which the right to recover is based. If she admitted that she had received the money from the claimant and had invested it, as the jury found the facts to be, it will be assumed that she was holding it for the benefit of her separate estate.
“It would contravene the plainest principles of justice to allow a married woman to get possession of property under an engagement not binding upon her and let her repudiate the contract and keep the property.” Greening v. Wallace, 257 Mich. 343, 345.
The executrix, called as a witness in her own behalf, testified at length as to the work- done by her father in Owosso and the several homes in which the family lived and the moneys paid thereon. She also testified as to the life the claimant led, thus tending to discredit the claim that he at any time conld have earned or given to the deceased the $1,099. It appears that in 1899 she was but 13% years of age. On cross-examination she was asked as to certain loans made by her mother to her, and admitted, over objection, that she had at one time received from her the sum of $400 and at another the sum of $2,300, both of which she claimed had been repaid. These loans were made during the lifetime of the father, and we think this evidence was admissible in its tendency to show that the mother had separate estate and that a part of it may have been the money which she admitted she had received from the claimant.
It is urged that the verdict was against the great weight of the evidence. Several of the neighbors were sworn by the. defendant, and their testimony tends quite strongly to sustain the claim that the plaintiff conld not have earned. and saved the amount claimed at the time the promise to repay it is said to have been made. Plaintiff’s counsel sought to question him concerning the people he worked for, but was met with the objection that such facts were equally within the knowledge of the deceased. This court has said:
“This class of claims should not be encouraged by the courts. Indeed, it is the duty of courts to protect decedent estates from them, and to require some substantial proof establishing them before allowing juries to speculate as to the existence of the contract necessary to support them.” Wright v. Senn’s Estate, 85 Mich. 191, 197.
“We have had frequent occasion to deal with cases of this kind, and it has often been said that it is the duty of courts to protect decedents’ estates from claims of the character of this; and, while the rule in this State does not require that there shall be an express contract in terms, it does require that there shall be at least an implied contract, and that there shall be enough in the record to overcome the presumption arising from the family relation.” Decker v. Kanous’ Estate, 129 Mich. 146.
But we have here a claim supported by the testimony of two witnesses whose truthfulness is not questioned. While the statements were made by the deceased a number of ye'ars before they testified, the circumstances under which they were made were such as would naturally impress what was said upon the minds of persons of intelligence. They were adroitly cross-examined by defendant’s counsel, but the jury were evidently impressed that they were telling the truth. On the record before us, we cannot say that the verdict rendered was against the great weight of the evidence.
The other errors assigned have received due consideration. In our opinion they do not warrant a reversal.
The judgment is affirmed.
Potter, North, Fead, Wiest, Butzel, Bushnell, and Edward M. Sharpe, JJ., concurred. | [
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Butzel, J.
Tbe Boman Standard Life Insurance Company of Manistee, Michigan, issued to Fred F. Ferry of Pentwater, Michigan, a 20-payment, $1,000, nonparticipating life insurance policy. It provided for cash loan values at the end of the third year and each year thereafter, the amount payable at the end of the seventh year being $160. It also contained a clause stating that the beneficiary might be changed on written request filed with the company in due form, accompanied by the return of the policy for such notation. On March 1, 1932, upon the request of insured and proper indorsement on the policy, the beneficiary was changed, and Anna LaLonde, mother of the insured and plaintiff herein, was substituted for insured’s wife, from whom he had been either divorced or separated. On the 1st day of March, 1933, Ferry voluntarily surrendered the policy and delivered it, together with a proper release, to the local agent of the company for the purpose of transmitting it to the home office and obtaining the cash surrender value, which was to be forwarded to Ferry. The company duly received the policy and became liable for its cash value. On March 3, 1933, it wrote to its agent at Pentwater in order to ascertain the exact amount of the cash surrender value, there being some uncertainty as to whether Ferry had paid the last premium so as to complete the full seven years of the term. It was found that this premium had been paid, and that the company was therefore obligated to pay $160. On March 3, 1933, Ferry died suddenly. The company forwarded its check for $160 in payment of the cash surrender value of the policy, and does not dispute its liability on the check. It claims that when said check is cashed its liability will be discharged. Plaintiff, however, claims that as the last-named beneficiary in the policy, she is entitled to collect the sum of $1,000, the entire face value of the policy, and has brought suit to recover that amount. The trial judge directed a verdict for defendant.
We limit our discussion to the questions propounded in appellant’s brief. She claims that the policy contained no provision for the payment of cash surrender values upon the surrender of the policy by the insured. In clause two of the policy, cash, loan, paid-up and extended insurance values are provided for as' shown in the tables contained in the paragraph following, wherein “cash or loan values,” etc., are set up. We believe that the listing of “cash value” at $160 at the end of the seventh year permits of no other construction than that this amount represents • the cash surrender value of the policy at that time.
Plaintiff further claims that the defendant developed its case by introducing the testimony of its local agent and also of its president and general manager for the purpose of showing the surrender of the policy and the payment of its cash value; that such testimony was inadmissible on the ground that it was equally within the knowledge of the deceased (3 Comp. Laws 1929, § 14219). Almost all of such testimony was developed by plaintiff through cross-examination, and having herself opened the door to that testimony, she cannot now complain because defendant thereupon more fully developed the subject matter. Moreover, a large part of the testimony was introduced without any objection whatsoever, some of it consisting of letters written by the deceased. There was sufficient unobjectionable testimony to bring out the full facts of the case.
Plaintiff’s objection that the check was not paid to the insured during his lifetime is fully answered by the case of Lauer v. Michigan Life Ins. Co., 268 Mich. 614. The insured made his election, gave a full release to the company, and surrendered his policy. The company was solely bound to pay the cash surrender value.
The main question presented is whether plaintiff had such rights as beneficiary under the policy that the insured could not surrender it for its cash value without her consent, unless he first effected a chang'e of beneficiary to himself or his estate. Plaintiff, in asserting the necessity of the intermediate step, relies largely upon the case of Quist v. Western & Southern Life Ins. Co., 219 Mich. 406. The issue in that case was whether the insurance company still remained liable to plaintiff, the beneficiary named in the policy, notwithstanding the fact that the in sured, in accordance with the rights reserved to him in the policy, had constituted his estate beneficiary in place of plaintiff, and then cashed in the policy. Plaintiff contended that the alleged change of beneficiary was ineffective because not indorsed on the policy, as therein provided. We held that the insured, as one party to the contract, and the insurer as the other, could waive compliance with the required formalities, and that the company was relieved from liability. Much confusion has arisen as to the rights of the beneficiary, due to the failure to distinguish cases where the policy does not permit the insured to change the beneficiary and in which it is uniformly held that the rights of the latter may not be cut off without his or her consent. However, where the policy does reserve to the insured the right to change the beneficiary, the insured retains full control of the policy, and may exercise all rights, thereunder without the consent of the beneficiary. Under such a policy the beneficiary has merely an expectancy which may be decreased in value or entirely cut off without his or her consent, upon the insured exercising his options under the policy. Quist v. Western & Southern Life Ins. Co., supra; New York Life Ins. Co. v. Cook, 237 Mich. 303; John Hancock Mutual Life Ins. Co. v. Jedynak, 250 Mich. 88. We believe that the only correct and sensible rule is that where the right to change the beneficiary is expressly reserved to the insured, and where there is no fraud or mistake on the part of the insurance company, it is unnecessary for the insured to go through the idle ceremony of first changing the beneficiary to himself or his estate as a condition precedent to cashing in the policy. The law does not encourage indirection or roundabout methods of doing that which may law fully be done in a direct manner. In Rawls v. Penn Mutual Life Ins. Co., 165 C. C. A. 319 (253 Fed. 725), plaintiff, claiming a vested right as beneficiary in the policy, contended that the insured had no right to assign the policy or incumber it with any lien without her consent. In denying her claim the court stated as follows:
“The insured at all times prior to his death had complete domination and control of the policies by reason of his reserved right at any time to change the beneficiary. As was well said by the court of appeals, sixth circuit, in the case of Mutual Benefit Life Ins. Co. v. Swett, 137 C. C. A. 640, 644 (222 Fed. 200, 204, Ann. Cas. 1917 B, 298):
“ ‘As the policy to Swett stipulated that he might, on his written request of the company for its appropriate indorsement on the policy, change the beneficiary, his wife did not acquire a permanent or vested interest in it. The existence of such an interest during her husband’s lifetime was made impossible by the control over the contract of insurance given to him, independent of her will. Her right was inchoate, a mere expectancy during his lifetime, dependent on the will and pleasure of her husband as holder of the poliey, and could not vest until his death happened with the policy unchanged. His control over the poliey was, subject to its items, as complete as if he himself had been the beneficiary.’
“The insured clearly might have changed the beneficiary to himself or to his estate, without the consent of, or even notice to, the beneficiary, and might then have made the assignment, or granted the lien to the company, and thereafter reinstated his wife as beneficiary. Had he gone through this circumlocution, her interest would undoubtedly thereby have been made subject to the assignment. What he might have done by indirection and circumlocution, he had the right to do by direct action. ’ ’ ■
Plaintiff further claims that while the insurance company might have had the transaction corrected by a court of equity, a court of law must follow the exact terms of the policy. There is no provision in the policy forbidding the exercise of any' of the options without first securing the consent of the beneficiary. As the policy reserved to the insured the right to change the beneficiary, the insured retained all rights under the policy, including the right to surrender it for its cash value. Since plaintiff had no vested interest in the policy, she cannot complain that the insured reached the desired end by one proper step instead of by taking two steps in the same direction. The fact that the insured undoubtedly could simultaneously change the beneficiary to himself and then cash in the policy without securing the consent of the beneficiary, leads us irresistibly to the conclusion that he could properly accomplish the same result by the simple process of surrendering the policy to the company together with a proper release. Many cases have so held. Bost v. Volunteer State Life Ins. Co., 114 S. C. 405 (103 S. E. 771); Crice v. Illinois Ins. Co., 122 Ky. 572 (92 S. W. 560, 121 Am. St. Rep. 489); Illinois Bankers’ Life Ass’n v. Rhodes, 147 Ark. 191 (227 S. W. 403); Cooper v. West, 173 Ky. 289 (190 S. W. 1085); Baxter v. Old National-City Bank, 46 Oh. App. 533 (189 N. E. 514); 2 Couch Cyclopedia of Insurance Law, § 333.
Judgment is affirmed, with costs to defendant.
‘Nelson Sharpe, C. J., and Potter, North, Pead, Wiest, Bushnell and Edward M. Sharpe, JJ., concurred. | [
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Bushnell, J.
Plaintiff, a New York corporation, submitted this action against defendants, on 39 trade acceptances totaling $1,462.50, to trial without a jury. It claimed to have purchased the paper for value before maturity from Biophone Corporation, a New Jersey corporation, without any notice of adverse claims. Neither company was admitted to do business in Michigan.
Defendant executrix admitted the operation of the Colonial Theatre in the city of Sault' Ste. Marie by the estate; the purchase of a talking moving picture machine, and the execution of the papers involved; but averred that she was not lawfully authorized to bind the estate. The good faith purchase of the trade acceptances by plaintiff is denied. It was claimed that both the equipment and its installation were imperfect and the apparatus was not a “first quality and pure tone talking movie machine” as represented by seller’s agents.
Testimony was taken before the court without a jury and the cause submitted on February 29, 1932. Almost a year and a half later, over plaintiff’s formal objection, the court permitted defendants to amend the pleadings by adding a cross-declaration, claiming damages because of seller’s breach of express and implied warranties. Several months later a judgment was entered for defendants in the sum of $5,000, with nothing to plaintiff, which appeals.
The estate paid $1,000 at the time it purchased the machine, and thereafter made 65 weekly payments of $37.50 each, it being sharply disputed whether failure to make the 39 other weekly payments was due to dissatisfaction with the performance of the equipment or inability to secure a credit on its indebtedness, the seller having in the meantime placed on the market an improved machine at a lower price.
Among the exhibits are the acceptances, reciting the purchase of goods by the acceptor; the license agreement, the hybrid nature of which is recognized in seller’s assignment, in which it is described as a ‘ ‘ conditional sale contract/lease/chattel mortgage; ’ ’ the guaranty by seller of the acceptances, therein designated as “notes;” and various correspondence between defendants and the seller, but nothing indicating any dealings between the parties to this controversy, prior to suit. The assignment covering the acceptances, the first of which matured June 3, 1929, is dated April 23, 1929. Defendants’ last payment was made to seller on April 27, 1929. The correspondence indicates faulty operation of certain parts of the apparatus, ancl shows unsuccessful attempts to secure a reduction from the purchase price. Nowhere is there any intimation of a transfer of title to the notes. Defendants were apparently unaware of the transfer, because seller was informed that a trade acceptance was protested and the letter of defendants added:
“And we will protest all others until we get the adjustment that is rightfully ours.”
The first theatrical production of sound pictures was late in 1928. At the time of installation of the machine in question, January, 1929, the industry was in an experimental stage; trained operators were few and producers had not yet been able to turn out high quality records. Whatever may have been the reasons for the unsatisfactory performance in defendants’ theatre, the case presents questions of law upon which the entire controversy may be determined.
If the' trade acceptances are negotiable instruments, plaintiff is deemed prima facie to be a holder in due course. 2 Comp. Laws 1929, § 9308. We held in Federal Commercial & Savings Bank v. International Clay Machinery Co., 230 Mich. 33 (43 A. L. R. 1245), that similar trade acceptances were negotiable instruments and this is true notwithstanding their execution and delivery contemporaneously with a sales agreement which was in effect a chattel mortgage. Northwestern Finance Co. v. Crouch, 258 Mich. 411.
We have searched the record for testimony tending to overcome the statutory presumption and all we find is that plaintiff examined the license agreement prior to the purchase of the paper-, but there is no showing of any knowledge of defendants’ claim, nor is there anything in the contract by which plaintiff may have been put on notice.
Unsupported claims of bad faith are not sufficient. Courts require competent evidence of a preponderating nature for the determination of litigated disputes.
“Where the testimony of plaintiff’s bona fides is undisputed, it is the duty of the court to so charge the jury; and that question should not be submitted to them.” Van Slyke v. Rooks, 181 Mich. 88.
“A holder in due course holds the instrument free from any defect of title of prior parties and free from defenses available to prior parties among themselves, and may enforce payment of the instrument for the full amount thereof against all parties liable thereon.” 2 Comp. Laws, 1929, § 9306.
We held in East Lansing State Bank v. Keil, 213 Mich. 17, that mere knowledge and notice of a warranty are not equivalent to knowledge and notice of fraud in the warranty • or breach of same. Such breach could not be set up as a defense in a suit by the purchaser. Miller v. Ottaway, 81 Mich. 196 (8 L. R. A. 428, 21 Am. St. Rep. 513). Neither does such a breach give rise to an action against a good-faith holder who has no knowledge of the breach of warranty. See Hakes v. Thayer, 165 Mich. 476, 487; National Bank of Commerce of Detroit v. B. W. Marr & Co., 254 Mich. 333, and Lincoln Investment Co. v. Metros, 257 Mich. 215.
Mere use of an official title does not avoid personal liability in the absence of an express stipulation of such exemption in the event of lack of the trustee’s authority to bind cestuis que trustent. Feldman v. Preston, 194 Mich. 352; Chappus v. Lucke, 246 Mich. 272, and Marshall Field & Co. v. Himelstein, 253 Mich. 355.
Without further discussion of the facts, we hold that neither plaintiff nor its assignor were doing business in Michigan and, therefore, 2 Comp. Laws 1929, §§ 10118, 10120, and 3 Comp. Laws 1929, § 14027, are not applicable in the instant case. See Cleveland Cooperage Co. v. Detroit Milling Co., 235 Mich. 57, 60.
The seller, Biophone Corporation, was not a party to the action. The buyer’s claim, if any, was against the seller and the issues raised by the cross-declaration could not be tried in the instant case.
The judgment heretofore entered is reversed. The cause is remanded to the trial court for entry of a judgment for plaintiff. Costs to appellant.
Nelson Sharpe, C. J., and Potter, North, Fead, Wiest, and Edward M. Sharpe, JJ., concurred. Btjtzel, J., did not sit. | [
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Wiest, J.
Plaintiff was a longshoreman, employed by defendant terminal company in unloading a vessel at Port Huron. While upon the deck of the vessel and about his work he was struck by a swinging hoist, lifting cargo from a hatch, precipitated to the wharf and injured. This is an appeal in the nature of certiorari from an award to plaintiff under the workmen’s compensation law.
Defendant contends that the accident was upon navigable water and, therefore, not within the provisions of the compensation law of this State (2 Comp. Laws 1929, § 8407 et seq.).
The commission found that the injury must have been occasioned by plaintiff’s fall upon the wharf, and held that the injury consummated, in whole or in part, upon the land brought the case within the compensation act, even though the injuries would not have been received except for the direct force applied upon plaintiff’s person while on the deck of the vessel.
A longshoreman, while employed in unloading a vessel lying in navigable water, is engaged in work of a maritime nature under a maritime contract. Peters v. Veasey, 251 U. S. 121 (40 Sup. Ct. 65). The work of the longshoreman was upon the vessel and the force was applied to his person there with serious consequences when he was knocked from the deck of the vessel to the wharf. The judicial power of the United States extends to all cases of admiralty and maritime jurisdiction. Southern Pacific Co. v. Jensen, 244 U. S. 205 (37 Sup. Ct. 524, L. R. A. 1918C, 451, Ann. Cas. 1917E, 900). The accident was on the deck of the vessel and the injury by fall upon the wharf. The place of the accident identifies the applicable law.
We held in Cooke v. Holland Furnace Co., 200 Mich. 192 (L. R. A. 1918E, 552), (quoting syllabus):
“While the words ‘accident’ and ‘injury’ are not synonymous, the accident produced the injury, and in point of time they are concurrent.”
There can be no award of compensation without an accident and consequent injury. The unlooked for mishap or untoward event was upon the deck of the vessel and constituted an accident, and cannot be separated from the fall to the wharf and injuries there sustained for, under our compensation act, the award must be for “ accidental injuries. ’ ’ Savage v. City of Pontiac, 214 Mich. 626. We cannot separate the cause from the consequences; the origin from the immediate end; the accident from the injuries. To do so would result in. a finding of an accident while engaged in work of a maritime nature and, therefore, not within the State act, and then another finding that the injuries, occasioned thereby, are to be distinguished from the proximate cause thereof and, therefore, not of Federal cognizance.
The.longshoremen’s harbor workers’ compensation act (Act of March 4, 1927, c. 509, 44 Stat. 1424; 33 USCA, §§ 901-950) must be considered. Under that act:
“ ‘Injury,’ within the statute, ‘means accidental injury,’ or death ‘arising out of and in the course of employment,’ and the term ‘employer’ means one ‘any of whose employees are employed in maritime employment, in. whole or in part,’ upon such navigable waters.” Crowell v. Benson, 285 U. S. 22, 38 (52 Sup. Ct. 285).
The senate judiciary'committee, in reporting the measure, stated in part:
“If longshoremen could avail themselves of the benefits of State compensation laws, there would be no occasion for this legislation; but, unfortunately, they are excluded from these laws by reason of the character of their employment; and they are not only excluded but the Supreme Court has more than once held that Federal legislation cannot, constitutionally, be enacted that will apply State laws to this occupation (Southern Pacific Co. v. Jensen, 244 U. S. 205 [37 Sup. Ct. 524, L. R. A. 1918C, 451, Ann. Cas. 1917E, 900]; Knickerbocker Ice Co. v. Stewart, 253 U. S. 149 [40 Sup. Ct. 438,11 A. L. R. 1145]; Washington v. Dawson & Co., 264 U. S. 219 [44 Sup. Ct. 302]).” Senate Report No. 973, 69th Cong., 1st sess., p. 16, cited in footnote to the above case.
In T. Smith & Son v. Taylor, 276 U. S. 179 (48 Sup. Ct. 228), a longshoreman was standing on a stage which rested solely upon the wharf and projected a few feet over the water to one side of the vessel and, while working there, a sling carrying a load struck the workman and knocked him off the stage into the water, where some time later he was found dead. The court stated:
“Deceased was engaged in maritime work under a maritime contract. If the cause of action arose upon the river, the rights of the parties are controlled by maritime law, the case is within the admiralty and maritime jurisdiction, and the application of the Louisiana compensation law violated art. 3, § 2 (U. S. Constitution). But, if the cause of action arose upon the land, the State law is applicable. * * * The blow by the sling was what gave rise to the cause of action. It was given and took effect while deceased was upon the land. It was the sole, immediate and proximate cause of his death.”
In the case at bar “the sole, immediate and proximate canse” was upon the deck of the vessel while plaintiff was engaged in work of a maritime nature ; the blow there received took effect while plaintiff was upon the vessel and gave rise to a cause of action under Federal law.
We hold that a longshoreman, on the deck of a vessel of foreign registry, lying in navigable water, while at work unloading from a hatch and struck by a swinging crane or hoist, carrying a load from the hatch, and knocked to the wharf and injured, is engaged in work of a maritime nature, under a maritime contract, and cannot have an award of compensation under the workmen’s compensation act of the State. Federal law controls.
The award is vacated, with costs to defendant.
Nelson Sharpe, C. J., and Potter, North, Fead, Butzel, .Btjshnell, and Edward M. Sharpe, JJ., concurred. | [
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Edward M. Sharpe, J.
The plaintiffs, Edward Leonard, Elzie Morrison, and Irving B. Babcock, brought separate suits against the defendant, Roy E. Hey, for damages arising out of an automobile collision between a Buick sedan owned by Irving B. Babcock and operated by his chauffeur, Elzie Morrison, and a Graham Paige sedan owned by defendant, Roy E. Hey, and operated by his wife, Lovina Hey, Edward Leonard, the other plaintiff, was a passenger in the Buick car. All three cases were consolidated and tried before the trial judge, a jury trial being waived.
The undisputed facts. are that the collision occurred November 5, 1931, at about 4 p. m. on "Woodward avenue in the city of Birmingham. Plaintiffs were driving south on Woodward and had passed the intersection of Oak street, while defendant’s wife and her mother were driving north on Woodward avenue. Woodward avenue is a wide paved highway with double street car tracks in the center and near the intersection with Oak street a part of the east half of Woodward avenue comes to an end, so that north-bound traffic must cross the street car tracks to the left in order to continue on Woodward avenue, north of Oak street. That portion of Woodward avenue north of Oak street being wide enough, however", to provide room for two cars traveling abreast going north and south. The county road commission had marked the pavement at this crossing to separate north and south-bound traffic. On the west side of Woodward avenue and south of Oak street is located a gasoline station with two driveways leading into it. The distance between the west curb of Woodward avenue and tbe west rail of tbe car track is 31 feet. It bad been raining and tbe pavement was wet and slippery and as tbe driver of defendant’s car started to cross tbe tracks, in order to enter into tbe narrower part of Woodward avenue, ber car skidded on tbe rails and tbe car beaded westerly towards one of tbe driveways of tbe gasoline station and then turned in a northerly direction colliding with plaintiff’s car.
It is tbe claim of tbe plaintiff that be was traveling south 30 miles per hour on Woodward avenue; that be slowed down to 20 miles per hour at Oak street and came to a stop at tbe moment of tbe impact; that tbe collision occurred within five feet of tbe west curb of Woodward avenue and 25 feet west of tbe center of tbe street; that defendant’s car was being driven at a rate of speed estimated at being from 30 to 35 miles per hour; that defendant’s car skidded a distance estimated by one witness as 100 to 125 feet and that ber failure to observe traffic conditions was tbe proximate cause of tbe accident. Tbe defendant contends that tbe driver of bis car was an experienced driver; that she operated tbe car at a reasonable rate of speed and not exceeding 25 miles per hour; that while crossing a double set of rails at a customary and designated point of crossing tbe rear wheels of ber car caught in the westerly or south-bound set of rails; that tbe defect in tbe crossing coupled with tbe wet pavement caused her car to skid to tbe westerly side of Woodward avenue; that before she could right her car and get back on tbe east side of Woodward avenue ber car stalled and while in that condition was struck by plaintiff’s car traveling at an excessive rate of speed.
The trial court found that while the plaintiff’s driver was not guilty of contributory negligence, that “there is nothing to indicate, after the skidding of the car, defendant’s driver was guilty of any negligent act which was the proximate cause of the collision. She seems to have been a reasonably good driver with considerable experience and acted as the average prudent person would do under like circumstances.” Prom this finding, plaintiffs appeal.
It is fundamental law that the driver of a car must keep on the right side of a street or highway, but failure to keep to the right when, through no fault of the driver, an automobile skids on a slippery pavement and is thus thrown across the road, has been held to excuse failure to comply with the statute (1 Comp. Laws 1929, § 4703; Chase v. Tingdale Bros., 127 Minn. 401 [149 N. W. 654]), but if such skidding results from the negligent acts or commissions of a driver, he is not absolved from the consequences of breach of the rule although it is not deliberate or intentional. Berry on Automobiles (4th Ed.), § 865. “One cannot be held guilty of negligence in unconsciously failing to keep to the right of the highway, where that is impossible by reason of circumstances over which he has no control, and for which he is in no sense responsible.” 1 Blashfield, Cyclopedia of Automobile Law, p. 414.
The question for our consideration is whether or not there is substantial evidence from which the court could make such a finding.
Arthur McRoberts, a witness produced by plaintiffs, testified as follows: •
“Q. Can you describe the degree of the angle .that the car took after it changed from a straight north-bound course across the car tracks?
“A. As I viewed it the car was traveling north very close to the street car tracks, a little bit to the right-hand side, and took a very easy turn to the left to make the crossing. The front wheels went across all right but the two rear wheels caught in the car tracks.”
Gerald Lewis, a witness for the defendant, testified :
“Q. "Will you describe for us the course and actions of the Graham Paige as you saw it from the time you first saw it skidding?
“A. When I seen the Graham Paige, the rear end seemed to have slid around and caught in the track and I noticed the car attempted to turn and being caught in the track and starting sliding as a result of wet tracks and seemed for a moment that the car was out of control but it was straightened up and she slowed down.”
There is undisputed evidence that the streets and rails were slippery and there is some evidence that the defendant’s car made an improper crossing of the tracks and a jury might be inclined to favor plaintiffs with a verdict, yet the law permits the trier of the facts a wise discretion in determining what those facts are. We do not substitute our judgment on questions of fact unless they clearly preponderate in the opposite direction. In the instant case there is evidence from which the trial court could make the findings that he did.
Judgment affirmed, costs to defendant.
Nelson Sharpe, C. J., and Potter, North, Fead, Wiest, Btjtzel, and Btjshnell, JJ., concurred. | [
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Adams, J.
This is an appeal from an order of the-workmen’s compensation commission awarding compensation to William Alexander, plaintiff and appellee, for the loss of an eye. The appeal is taken by the Covel Manufacturing Company, defendant,, against whom the award was charged.
In 1944, Alexander was treated for a minor injury to his eye. An examination by a medical doctor at that time indicated that his vision in the left eye was 20/200, which according to medical authorities can be characterized as an 80% loss of vision. His. vision improved thereafter, according to his testimony, and he was able to see satisfactorily for a period of years. On February 6,1947, Alexander went to work for Covel Manufacturing Company. He was not given a pre-employment physical examination although an employing officer of the defendant company testified that Alexander told him he had defective vision in his left eye at the time, a statement denied by plaintiff.
In April, 1948, Alexander, while at work, was hit in the left eye by some hot sand and was sent to a medical doctor for treatment. The doctor found no-sand in his eye but did find that he was suffering from iritis and glaucoma and that vision in his left eye was limited to light perception. He continued to work regularly until November of that year when-his employment was terminated for reasons not related to the injury. Shortly thereafter he began to-experience pain and discomfort in his left eye and on December 3d he was treated by Dr. Louiselle, a medical doctor specializing in the treatment of the eye, ear, nose and throat. Dr. Louiselle found a corneal ulcer and secondary glaucoma. Plaintiff then went to the defendant’s place of business, talked with the personnel director, requested medical treatment and compensation for loss of vision. The request was denied. Plaintiff thereafter continued treatments with. Dr. Louiselle and the ulcer healed but vision did not improve and pain continued. After consultation with other doctors, the eye was removed on June 22,1949.
Dr. Louiselle testified that the corneal ulcer and the secondary glaucoma could have been caused by the hot sand striking the eye. This possible causal relationship was denied by 2 other medical doctors.
Claim for compensation was filed on December 7, 1949, and, after hearing, the commission found that the plaintiff had suffered the loss of industrial vision on December 3, 1948, as a result of an accidental injury he sustained in the month of April, 1948, while employed by the defendant.
In reviewing decisions of the workmen’s compensation commission, this Court has said that by enactment of the legislature (CL 1948, §413.12 [Stat Ann 1950 Rev § 17.186]), the commission is the sole trier of the facts, and this Court will not weigh the evidence. Weenink v. Allen Electric & Equipment Co., 276 Mich 561; Jez v. Jackson Bumper Division, Houdaille-Hershey Co., 306 Mich 111. The credit to be given the testimony of the witnesses, and especially medical testimony when there is a conflict, is solely for the commission’s determination. Spada v. Ford Motor Co., 269 Mich 354. As a part of this fact-finding function of the commission, it naturally follows that the commission may make reasonable inferences from established facts. Lynch v. R. D. Baker Construction Co., 297 Mich 1; Harris v. Fry & Kain, 306 Mich 1. These precedents provide a pattern to be followed in considering the present case.
Defendant contends that the commission erred as a matter of law in finding that plaintiff lost industrial vision in his left eye as a result of the accident in April of 1948 because a doctor’s diagnosis in 1944 had shown that at that time he had already lost 80% of his vision, which according to the workmen’s com pensation act constituted full loss of industrial vision. The record shows, however, that the plaintiff testified that his vision improved after 1944 and "that he was able to see satisfactorily. A medical ■doctor, called as a witness for the defendant company, admitted that such improvement in vision was possible. With that testimony before it, the commission had the right, if they so believed, to find that the plaintiff did have industrial vision in his left eye at the time of the accident in April, 1948.
Error is claimed in the commission’s finding that defendant’s doctors “did not attempt to correct the vision in the left eye” and that “plaintiff did not have glaucoma in the left eye on September 25,1944.” Here again testimony appears in the record from which the commission could reasonably come to those conclusions. The attending physician, called as a witness by the defendant company, admitted that his diagnosis in 1944 did not show glaucoma and that when he treated the eye later he was concerned only with a minor scratch.
It is the defendant’s further contention that the commission erred in finding that the accident in April of 1948 was a causative factor in the loss of plaintiff’s eye. The record shows that 1 medical doctor, with considerable experience in this field, testified that hot sand hitting the plaintiff’s eye could have been a causative factor in the development of the corneal ulcer and secondary glaucoma. While 2 other doctors testified that such could not have been the case, nevertheless under the law, the commission, being the trier of the facts, had the right to determine which version they believed to he true.
When testifying, Dr. Louiselle conceded that his diagnosis was based in part upon a pathological re port and a conference with another doctor. Defendant claims that since he admitted he relied on what other doctors had told him, his testimony of his diagnosis was hearsay. We are unable to agree with this reasoning. His conclusions were presented as his own and were not any more hearsay by reason of being based upon consultation with other doctors than if based upon a lecture or textbook. No person is born with a knowledge of medicine and a doctor’s conclusions must of necessity in many instances be based upon information acquired from sources outside himself.
Appellant also alleges error in that certain hypothetical questions which plaintiff’s attorney was permitted to ask contained misstatements of fact. It may be true they contained misstatements of facts as they appeared from defendant’s evidence, but upon examination of plaintiff’s evidence we find that the facts stated in the hypothetical questions were in substantial accord therewith. It is evident the commission accepted plaintiff’s version of the facts contained in the hypothetical questions.
Defendant also contends that the commission erred in admitting testimony in regard to plaintiff’s being struck in the head with a falling brick in 1947, that accident not having been mentioned in plaintiff’s claim for compensation and defendant having had no prior notice that it would be relied upon as a cause of plaintiff’s disability. Assuming without deciding that the admission of testimony in regard to the falling brick was error, it was not prejudicial to defendant because the commission did not find that that accident bore any causal relation to plaintiff’s disability. The commission’s award was in no way dependent upon that evidence.
Defendant also contends that the plaintiff should have been denied relief because of his failure to com ply with the provisions of sections 15 †and 19, part 2, of the workmen’s compensation act.
Section 19, in substance, requires an employee to submit himself to examination by a physician of the employer’s .choice on pain of having his right to compensation suspended if he refuses. From an examination of the record, we are unable to find any evidence that defendant made a demand that plaintiff submit himself to examination or that plaintiff refused any such demand. In fact, the testimony of defendant’s personnel director on cross-examination seems to indicate quite clearly that no such demand was made.
Section 15 of the act requires the employee to make his' claim for compensation within 6 months after the injuring accident or, if no disability is apparent within the 6-month period, then within 3 months after the disability becomes apparent. According to the testimony of the plaintiff, he made a claim for compensation upon the defendant company within less than a month after he became aware, through a doctor’s diagnosis, that he had lost the vision of his left eye. That being the case, the claim was made within the permitted statutory period.
A full consideration of the record discloses no errors of law and the commission’s order is, therefore, affirmed, with costs to appellee.
Dethmers, C. J., and Btjtzel, Carr, Bushnell, Sharpe, Boyles, and Reid, JJ., concurred.
CL 1948, §412.10 (Stat Ann 1947 Cum Supp § 17.160)-Re-PORTER.
CL 1948, § 412.15 (Stat Ann 1950 Rev § 17.165) .—Reportee.
CL 1948, §412.19 (Stat Ann 1947 Cum Supp § 17.169).—Re-porter. | [
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Carr, J.
This is an action to recover rent claimed By plaintiff under tbe provisions of a written lease. By warranty deed dated October 12, 1945, the property described in the lease and referred to' in the record as 806 Stockbridge avenne, Iron Mountain, Michigan, was conveyed by the then owner, John F. Cowling, to Oliver E. La Lond and wife. By instrument dated October 9th of the same year, La Lond leased the basement and first floor of the building on the property to defendant for a 10-year period at a monthly rental, payable in advance, of $58.50. By its terms the lease became effective on the 1st of November, 1945, and required among other provisions that the lessor install adequate toilet and washroom facilities satisfactory to lessee. Defendant went into possession of the property. In July, following, the lease was modified by instrument in writing increasing the monthly rental to $75 per month and requiring the lessor to install and maintain equipment to furnish steam heat to the lessee, and to furnish said heat “at all times during the periods when heat is to be furnished.”
Defendant occupied the portion of the lessor’s building covered by the lease until December 31, 1949, or shortly thereafter. Its reasons for vacating the premises and transferring its business elsewhere are not involved in the instant case. Following its removal the rent was paid from month to month, and apparently defendant undertook to procure a subtenant for the property or an assignee of its interest under the lease. It caused a sign to be placed, in the window of the building stating that it was “For Rent.” Notwithstanding the efforts made, the property remained vacant.
At the time of the purchase of their lot by La Lond and his wife, their grantor Cowling owned the adjoining lot, and water supplying the building on the property conveyed was carried in pipes located in the lot retained by the grantor, which pipes apparently passed through the basement of Cowling’s residence.. La Lond, who was called as a witness in plaintiff’s- behalf on the trial of the instant case, asserted that he did not know at the time of the conveyance to him that the water supply from the city came through Cowling’s home. However, he made the agreement set forth in the lease with reference to the toilet and washroom facilities and the furnishing of steam heat.
The record does not indicate that the service was interrupted until October 20, 1950, when Cowling shut, off the water. Three days later defendant notified La Lond that unless the latter caused the interrupted service to be resumed by November 1st defendant would construe such failure as an eviction and would terminate the lease. It did not in such notice assert any intention on its part to reoecupy the property, nor any ability or intention to sublet or assign to a third party.
Immediately upon being advised of Cowling’s action, La .Lond brought suit against him for injunctive relief. A temporary injunction was issued on the filing of the bill of complaint, restraining Cowling from interfering with the supplying of water to the building on La. Lond’s property. Service of the injunction was delayed because of inability to locate Cowling. Immediately following such service, and on the 5th of December, 1950, the water was turned on, and La Lond was again in position to furnish-steam heat to the building and to carry out his obligation under the lease with reference to washroom and toilet facilities. ■ Prior thereto, on the 3d of November, 1950, defendant served on La Lond a notice declaring that it was terminating the' lease as of December'1st. Defendant paid the'-rent each month until the latter date.
On the 30th- of- March, 1951, La Lond and his wife conveyed the property in question to the plaintiff in this.case, Howard Walters, and his wife.. Sub .sequently La Lond executed to Walters an assignment of his claim for rental alleged to he due under the lease for the 4-month period beginning December 1,1950. Defendant refused to recognize any liability on its part for rent. In consequence plaintiff started suit on July 30, 1951, asserting in his declaration the right to recover the sum of $600 for rental .accruing during the period from December 1, 1950, to and including the month of July, 1951. The declaration also alleged the right to recover for rental to become due in the future under the terms of the lease. Defendant by answer denied liability, pleading the affirmative defenses of failure of consideration and constructive eviction.
The case was tried before the circuit judge without a jury and judgment entered for the plaintiff in the sum of $505.10, with costs. It appears from the opinion filed, in which the testimony and the -claims of the parties were carefully analyzed, that the trial court specifically found that under the somewhat unusual situation presented by the record the inability of La Lond to furnish water to the leased premises for the period between October 20 and December 5, 1950, was not such a breach of .obligations under the lease as to amount to a constructive eviction of the defendant, or to justify -defendant in treating the lease as terminated on the theory that the lessor had breached it. The further -conclusion was indicated that, inasmuch as the lessor was not in position to wholly comply with his undertakings during a period of approximately 6 weeks, recovery of rental for such length of time should he denied. Accordingly the sum of $112.50 was .deducted from the amount of the rent accruing prior to the bringing of the action. Recovery for subsequent rental was denied on the ground that the .situation might be altered and defenses to such liability on defendant’s part might arise from sub sequent acts or omissions. From the judgment entered both parties have appealed, defendant claiming that the court was in error in finding any liability on its part, and plaintiff asserting that the deduction of the sum of $112.50 from the amount of the rent accruing prior to the bringing of suit was improper under the facts. The action of the trial court in refusing to permit the recovery of future instalments of rent is not questioned.
The principal question at issue in the case arises from defendant’s claim that it was entitled to treat the lease as terminated because of the interruption in the water service from October 20 to December 5, 1950. The argument is in substance that although the premises were vacant at the time, with no indication that the condition in this respect might be changed, La Lond had not performed his undertaking as written and that, in consequence, the giving of the notice of termination of the lease on November' 3, 1950, was a proper act on defendant’s part and justified by the facts. The trial judge came to the conclusion that under the proofs in the case the inability of the lessor to furnish water service during the period in question did not result in actual damage to defendant, and should not be regarded as of such materiality as to authorize the termination of the lease. Obviously defendant in serving its notice of October 23, 1950, considered that the lessor was entitled to a reasonable opportunity to> bring about a resumption of the water service. It is apparent from the record that La Lond moved as expeditiously as possible, and that the delay was occasioned by the inability to obtain service on Cowling of the injunction issued by the court.
In Rosenthal v. Triangle Development Co., 261 Mich 462, the Court quoted with approval from & RCL, p 926, as follows:
‘f Tt is not every partial failure to comply with the terms of a contract by one party which will ■entitle the other party to abandon the contract at ■once.’ ” ■• . . ;
The above statement was recognized' in Abbate v. Shelden Land Co., 303 Mich 657, as a correct expression of the law. Had defendant in the case at bar elected to sue for damages, as it might have done, its recovery under the facts disclosed by the record before us doubtless would have been in a nominal amount only.
In Lynder v. S. S. Kresge Co., 329 Mich 359 (28 ALR2d 440), it was recognized that:
“Deprivation of the' beneficial use and enjoyment •of leased premises as a result of the breach of the landlord’s covenant to complete repairs may be sufficient to justify the abandonment of the premises by ■the tenant.” (Syllabus 1.) '
In accordance with such view .it was held that the tenant was entitled to treat the lease, under which plaintiffs sued to recover rent claimed to be due, as terminated because of the failure and refusal of the lessor to perform a covenant for the making of certain alterations and repairs which were found to be material in character. The facts in. the case at bar are not analogous. Here the lessor, undertook to remedy, as expeditiously as possible, the condition resulting from the act of Cowling, an act that La Lond claimed was wholly improper and in violation of his rights. It may be noted that Cowling was not a witness on the trial in circuit court.. Neither may it be said that defendant was deprived, because of the shutting off of the water service, of any beneficial use that was enjoyed at the time, or of which it was in position' to avail itself either by reoccupying the premises or by subletting or assign ing to another. See, also, Bates v. Smith, 259 Mich 454.
Counsel for defendant cite and rely on Everson v. Albert, 261 Mich 182. There the premises in question were in actual occupancy at the time of the alleged breach of duty on the part of the landlord. The proofs in the case supported the conclusion of the trial judge that, because of the failure of the lessor to prevent the freezing of water pipes in a portion of the building to which defendant did not have access and which was not covered by the lease, and to remedy a condition resulting in foul and offensive odors in the premises in which defendant was conducting a business, the lessee was justified in vacating the premises. In sustaining a judgment in defendant’s favor this Court concluded that under the facts in the case the situation that had been created amounted to a constructive eviction. Obviously the facts involved are not analogous to those in the case at bar, and the decision cannot be regarded as in point. The same comment may be made with reference to Rogers v. Babcock, 139 Mich 94, and to other decisions of like import to which our attention is directed. Under the facts as disclosed by the record we think that the trial court was right in holding that there was not such violation of duty on the part of La Lond as justified the defendant in treating the lease as terminated.
Counsel for appellant assert in their brief that La Lond made no assignment to the plaintiff at the time of the execution of the deed of conveyance, or thereafter, of the lessor’s interest under the lease. The suggestion is made that plaintiff cannot claim the benefit of the contract because all that he received from La Lond was an assignment of alleged delinquencies covering the period from December 1, 1950, to and including March 31, 1951. The argument assumes that such an assignment was necessary in order to permit plaintiff to recover rental accruing after the conveyance to him.
In 51 CJS, p 525, the statement is made that:
“As a general rule, when the landlord conveys the property, his lessee or tenant then becomes the lessee or tenant of his vendee.”
Apparently on the trial plaintiff assumed that by virtue of the vesting in him and his wife of the title to the property he had the right to the payment of such rent as might thereafter accrue under the lease. Such right was recognized in Bender v. Kaelin, 257 Ky 783 (79 SW2d 250). See, also, Lytle v. Payette-Oregon Slope Irrigation District, 175 Or 276 (152 P2d 934, 156 ALR 894). It does not appear that plaintiff’s assumption was challenged in the trial court. We do not find that the question was raised by the pleadings, nor that the claim now made was called to the attention of the trial judge. It is not specifically mentioned in the assignment of reasons and grounds for appeal. Without reference to the merits of the question it must be said that defendant is now precluded from raising it. Bek v. Zimmerman, 285 Mich 224; Maxson v. Bay County, 290 Mich 86.
As before noted, plaintiff has filed a cross appeal claiming that the trial court was in error in deducting from the accrued rental for the 8-months period beginning December 1, 1950, the sum of $112.50, on the theory that the latter sum was the rental accruing during the period from October 20, 1950, when the water service was shut off by Cowling, until December 5th following. Under the record the claim must be sustained. Defendant paid the rent up to and including the 30th of November, 1950. It did not in its pleadings assert the right to recover any payments that it had made. • It did not, in other words, counterclaim on the ground that it was en titled to an offset against the claim for rent assigned by La Lond to the plaintiff.
Such being the situation, the conclusion follows that there was no issue before the court with reference to the rental covering the period when the water service was interrupted. Plaintiff’s declaration asserted the right to recover rent for the period of 8 months beginning December 1,1950, together with future payments that might accrue under the lease. Recovery was limited to the designated period and plaintiff was entitled to judgment accordingly. No claim is here made on behalf of defendant that, if it was not entitled to terminate the lease, recovery of the rent for the month of December, or any part of it, should have been denied by the trial court.
The case is remanded with directions to set aside the judgment entered in the sum of $505.10, and to enter judgment for plaintiff in accordance with this opinion. Plaintiff may have costs.
Dethmers, O. J., and Adams, Butzel, Bushnell, ' Sharpe, Boyles, and Reid, JJ., concurred. | [
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Adams, J.
On December 23,1930, Delbert Allison, then 17 years of age, was committed to the Michigan Home & Training School by order of the probate judge of Midland county as a mentally-defective person.
Upon petition of Minnie Hanneman, natural mother of Delbert, a writ of habeas corpus issued on June 6,1952, directed to the medical superintendent of the Mount Pleasant State Home & Training School with ancillary writ of certiorari to the probate judge to inquire into the cause of his detention. Returns have been filed which show proceedings taken prior to the commitment. Principal errors in the commitment, as charged by petitioner, are failure of the probate court to follow the statutory requirements in service of process, failure to prove facts constituting feeble-mindedness in Delbert Allison, and failure to hold a proper hearing.
Proceedings leading to the commitment were governed by PA 1923, No 151, § § 10,11 (CL 1929, § § 6887, 6888). Subsequent amendments are not applicable to a decision in this cause.
Such proceedings must be in strict conformity with statutory requirements.
“Proceedings taken for an adjudication of insanity against an individual should require the strictest compliance with all the statutory requirements provided. The determination affects the rights of the individual to the enjoyment of life, liberty, and property. Courts will ever protect the rights of the individual who is so unfortunate as to be called upon to make a showing to maintain his or her mental integrity.” In re Phillips, 158 Mich 155, as quoted with approval in Re Fuller, 334 Mich 566.
“The commitment of a person to an insane asylum is too serious to permit any slipshod methods or failure to strictly comply with the provisions of the law. Without such strict compliance, proceedings like those in the instant case are a nullity.” In re Joseph Nowack, 274 Mich 544, as quoted with approval in Re Fuller, supra.
The petition filed with the probate court for commitment, and with which we are now concerned, alleged on information and belief that Delbert Allison was a men tally-defective person. The order of commitment, as well as the certificates of the examining physicians, described him in the same manner. As previously stated, proceedings were brought under CL 1929, § 6887 which provides for the commitment of insane, feeble-minded, epileptic or mentally-diseased persons. This section is a part of PA 1923, No 151, and is not related to the provisions of PA 1929, No 281, which permits a mentally-deficient person to be rendered incapable of procreation by order of the probate court. That act defines a mentally-deficient person while the act here considered contains no such definition.
We must presume from the nature of the certificates and the order of commitment that the court considered the basis for the commitment to be feeble- mindedness since the record discloses no claim or proof of insanity, epilepsy or mental disease. Feeble-minded persons are divided into 3 groups or types, according to Dorland’s, The American Illustrated Medical Dictionary (17th ed), the 3 being idiots, with a mental age below 2 years; imbeciles, with a mental age between 2 and 7 years; and morons, with a mental age between 7 and 12 years.
It is altogether possible, and in fact quite likely, that many persons who are to a degree mentally defective would not fall into any of the 3 named categories. As a matter of fact, PA 1929, No 281, referred to above, includes moral degenerates and sexual perverts in its definition of a mentally-defective person. In other words, while a feeble-minded person would be mentally defective, it would not necessarily follow that a mentally-defective person would be feeble-minded.
The court’s failure to find feeble-mindedness, as such, before ordering commitment is, at very minimum, indicative of failure to have strict compliance with the statute.
CL 1929, § 6888, required notice of the hearing to be served on specified persons, the pertinent portion of the section reading:
“Notice of such petition and of the time and place of hearing thereon, shall be served personally, at least 24 hours before the hearing, upon the person alleged to be so mentally diseased and any sheriff, officer, or county agent who made the petition, father, mother, husband, wife or some one next of kin, of full age, of such alleged mentally-diseased person, if there be any such known to be residing within the county, and upon such of said relatives residing outside of the county and within this State as may be ordered by the court, and also upon the person with whom such alleged mentally-diseased person may reside, or at whose house such person may be. This notice may be served in any part of the State. The court to whom the petition is presented may dispense with such personal service or may direct substituted service to be made upon some person to be designated by it. The court shall state in a certificate to be attached to the petition its reason for dispensing with personal service of such notice, and if substituted service is directed, the name of the person to be served therewith. In such cases the court shall appoint a guardian ad litem to represent such mentally-diseased person upon such hearing, and in other cases it may appoint such guardian ad litem.”
The record shows that notice of hearing was served upon Delbert Allison, Francis B. Shelby, George H. Miller, Alice Miller, and Chester E. Morris. The 3 last named are not related to Delbert Allison and their interest in the matter is unknown. Francis B. Shelby was identified as the township supervisor and as guardian ad litem of Charles Allison, foster father of Delbert Allison. A foster father is defined as a man who has performed the duties of a parent to the child of another by rearing the child as his oavu child. Webster’s New International Dictionary (2d ed). Service upon such foster father was proper but did not fulfill the requirement of service upon a blood relative or next of kin.
Nor does the record contain a certificate of the court stating the court’s reasons for dispensing with personal service upon the persons as described in the statute. Failure to give the required notice to those persons Avho would normally be most concerned with the welfare of the minor was in violation, of both the letter and purpose of the act unless such persons did not exist or their whereabouts was unknown. In order to protect the person to be committed, the statute requires a certificate by the court stating its reasons for not serving upon members of the family. Either the court had no reason for the substituted service or sought to conceal it. As a result of its failure to follow the statute in giving notice of the hearing, the court did not acquire jurisdiction in the matter and ivas without power to issue' a valid order in the subsequent proceedings.
“The probate court derives its jurisdiction from the statute; To obtain jurisdiction in this case, therefore, the provisions of the statute should have been strictly pursued.” In re Greenman, 212 Mich 687. Also, see In re Phillips, 158 Mich 155, and In re Harold H. Roberts, 310 Mich 560.
An examination of the certificates of the 3 examining physicians shows a striking parallel with the statements found in the matter of In re Fidrych, 331 Mich 485, where Justice Dethmers said:
“It should be said here that the requirements of the statute that the specified statements of the petition and certificates shall set forth facts, not mere conclusions, are mandatory not only when made by ordinary laymen but as well when made by physicians, despite the fact that the latter may well qualify as expert witnesses for the giving of opinion evidence for certain purposes. Such opinions do not satisfy the statutory requirements in this connection. It is the probate judge, not the physicians, who must make the determination of feeble-mindedness; it must be predicated upon a showing of facts, not merely upon the opinions of others, whether laymen or physicians.”
Quoting from CL 1929, § 6887, p 2529:
“Certificates of such physicians to authorize commitment must show that it is their opinion that the person is actually insane, or feeble-minded, or epileptic, or mentally diseased, as the case may be, and shall contain the facts and circumstances upon which the opinion of the physicians is based, and show that the condition of the person examined is such as to require care and treatment in an institution for the care, custody and treatment of such mentally-diseased persons.”
In the instant case, the doctors made the following statements:
“This hoy is a low-grade type, unable to add or subtract. Doesn’t know anything about the officials of the State. He had no conception of distance, he is a very low grade about 5-6 years. I feel as though he should be confined to institution.”
“Has a mentality of 6 years of age. Will never be of any greater mentality. Will never be able to support himself.”
“He has made very little progress in school. Cannot answer some of the very simple questions. There is a tendency to associate with small children and girls and in my opinion, he is not safe without watching. He is a moron. I.Q. 6-8. I do not think his condition will improve, rather get worse.”
These statements are primarily conclusions and opinions and substantially fail to state facts and circumstances upon which their opinions are based. They suffer from the same infirmities found in the Fidrych Case, supra, wherein we said:
“The averment of inability to read'or write and of an I.Q. of 41 does not afford a sufficient factual basis for the conclusion of feeble-mindedness, as such facts may not necessarily be inconsistent with the existence of an untrained but, nevertheless, sound mind. The remainder of the statement consists of conclusions and opinions without the facts upon which they are based.”
The record does not disclose that witnesses were sworn at the hearing on December 23,1930, although an affidavit of the probate judge prepared 22 years afterwards and filed with the return, states that the 3 physicians, as well as Delbert Allison and Francis B. Shelby, appeared in open court and were sworn. There is no summary of the' testimony nor a showing that Francis Shelby had personal knowledge of facts and circumstances indicative of feeble-mindedness in Delbert Allison. The order of commitment makes reference to a “full investigation of said matter” but adds no details except mention of the doctors’ certificates.
As was said by Chief Justice Reid in Re Floyd Brooks, 331 Mich 628:
“A recital in the record, ‘After a full investigation of said matter,’ does not show that witnesses testified competently to facts showing feeble-mindedness of Floyd Brooks, and necessity for his commitment.
“ ‘Records must be complete and not leave important statutorv steps to bare inference.’ In re Payette, 315 Mich 700, 703, 704.”
Viewing the record as a whole, we are of the opinion, for the reasons herein stated, that there was a failure to strictly comply with the statutory requirements in committing Delbert Allison to a State institution. An order will enter discharging Delbert Allison from the Mount Pleasant State Home & Training School.
Dethmers, C. J., and Carr, Btjshnell, and Sharpe, JJ., concurred with Adams, J.
Butzel, Boyles, and Reid, JJ., concurred in the result.
CL 1929, § 6645 et seq. (See, as amended, CL 1948, § 720.301 et seq. [Stat Ann. 1951 Cum Supp § 14.381 et seq.]).—Beporter. | [
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Dethmers, J.
Plaintiff’s suit for damages for injuries sustained in a collision with defendant’s automobile was tried by the court' without a jury. Prom judgment for plaintiff defendant appeals, contending that plaintiff was guilty of contributory negligence as a matter of law.
Material facts, viewed in the light most favorable to plaintiff, are as follows: The accident occurred at the intersection of Davison and Oakland avenues in the city of Highland Park. Oakland is a north- and-south street, 46 feet wide from curb to curb, while Davison, running east and west, is at that point 355 feet wide from curb to curb. Plaintiff got off a southbound streetcar on Oakland avenue, a short distance north of the intersection. He walked to the sidewalk on the west side of Oakland and then walked south toward the intersection, during which time he saw defendant’s automobile enter the intersection from the south on an amber light and continue north through the south service drive of Davi son avenue against a red light. It was just leaving the south service drive and proceeding north toward the plaintiff when he last saw it some 300 feet distant. When plaintiff reached the north side of Davison he turned east to cross Oakland and observed that the traffic light was amber and red against him. He waited until the light turned.green and then proceeded at a fast walk or slow run across Oakland, running past 2 other pedestrians in the street. After plaintiff reached the east half of Oakland avenue the collision occurred between him and the left side of defendant’s automobile. Prom the time of the last abovermentioned observation of defendant’s car by plaintiff the latter did not again see it until the instant of the collision. Neither when he started across Oakland avenue nor at any time thereafter did plaintiff look south to see what had become off defendant’s automobile.
Plaintiff cites Travis v. Eisenlord, 256 Mich 264, as authority for his contention 'and theory that he had a right to rely on the green light in his favor and upon the assumption that defendant would heed the red light against him, obey the law and stop, obviating any necessity on plaintiff’s part for looking to see whether his assumption was well founded. An examination of the opinion in that case suggests that this Court’s view' that plaintiff therein was not guilty of contributory negligence as a matter of law by reason of his failure, as he entered the intersection under the protection of a green light, to look in the direction from which defendant was approaching may well have been predicated on the idea that, had plaintiff therein looked at that time and seen defendant approaching, he still would’have had the right to assume that defendant was going to stop for the red light, and would not have been seasonably apprised by such .observation of the fact that defendant was not going to stop. Distinguishable on the facts, however, is the instant case in which plaintiff knew, from the last observation he did make of defendant’s car, that it was crossing Davison avenue despite the red light against it. Whatever the construction to be placed upon the Travis Case, it is plain that in a subsequent case, Boyd v. Maruski, 321 Mich 71, the majority of this Court rejected the above contention of the plaintiff and held guilty of contributory negligence as a matter of law a plaintiff who crossed a street under protection of a green traffic light, but who, after seeing defendant’s vehicle standing across the street to her right as if waiting for the red light against it, failed to make further observation of it while she continued across the street. In that case we said:
“Nonetheless even- with the traffic light in her favor, she was bound to use such care as an ordinarily careful and prudent person would use in looking for approaching traffic. Under her own testimony plaintiff failed to make such observation, and in that respect she was guilty of negligence which was a proximate cause of her accident. * * *
“It was negligence as a matter of law for plaintiff to have continued crossing from the middle of Wyoming avenue to the point of the accident without making any further observation as to vehicular traffic approaching her from the north. Her failure to exercise such care resulted in her walking into the path of defendant’s approaching vehicle.”
Plaintiff’s theory is equally exploded by the reasoning in our opinion in Long v. Garneau, 319 Mich 291, and its analysis of the cases cited therein, although in that case plaintiff’s contributory negligence, as found by the Court, was not necessarily determined as a matter of law. In that case we said, pp 301, 309:
“But the pedestrian may be guilty of contributory-negligence if he fails to take the precautions that the law expects an ordinarily prudent person to take for his own protection and safety. An ordinance giving the pedestrian the right of way is not a ‘guarantee’ that' a pedestrian may cross a street intersection, even with the green light, without looking to the right or to the left, walk into the side of a passing automobile plainly to be seen if the pedestrian had looked, and then avoid the conclusion that he is guilty of contributory negligence.”
“‘Before crossing a street, a pedestrian must (1) make proper observation as to approaching traffic, (2) observe approaching traffic and form a judgment as to its distance away and its speed, (3) continue his observations while crossing the street, and (4) exercise that degree of care and caution which an ordinarily careful and prudent person would exercise under like circumstances.’ Malone v. Vining (syllabus), 313 Mich 315.”
The testimony in the instant case discloses that there was nothing to obstruct plaintiff’s view. Had he looked as he was about to cross the street or at any time while he was crossing the west half of 46-foot Oakland avenue, he could have seen defendant’s automobile approaching him and have been apprised that it was still doing what he knew it to be doing when he actually saw it last, vis., continuing to cross Davison avenue in defiance of the red light. His failure to look and to see what was plainly there to be seen at a time and under circumstances when doing so would have enabled him to avoid the accident, render him guilty of contributory negligence as a matter of law barring recovery.
Judgment reversed, with costs in both courts to defendant.
Reid, C. J., and Boyles, North, Btjtzel, Carr, Bushnell, and Sharpe, JJ., concurred. | [
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Reid, J.
Plaintiff brought this suit to recover damages for personal injuries and loss of property caused by defendant’s automobile, while driven by defendant, striking plaintiff and his automobile .on a public highway. From a verdict and judgment had thereon for plaintiff, defendant appeals.
The accident occurred December 4', 1949, about 1:20 a.m. at the extreme westerly edge of the city of Munising on State trunk line highway M-28. Plaintiff Morrison claims that, with his wife and Mr. and Mrs. Van Dorn as passengers, he had driven his car from downtown Munising to the point of collision and, intending to let the Van Dorns out at the residence of Mrs. Van Dorn’s parents, Mr. and Mrs. Perry, had slowed his car and pulled slightly over onto the berm on the north side of M-28, intending to make a left turn across the highway and drive onto the next driveway 15 or 20 feet west of the Perry residence on the south side of M-28, and was proceeding at about 2 miles per hour, with his car about parallel to M-28 when his car was struck in the rear end by Roy DeLisle’s car driven by DeLisle. DeLisle, a witness for defendant, testified, “He [plaintiff] drew over to the side of the road preparatory to making a left turn. And I slid into the rear end of his pickup,” which collision is not the basis of plaintiff’s claim.
Plaintiff testified:
“My truck or car was * * * [struck] mostly in the left rear by the DeLisle car. As a result of that impact it drove the [i.e., plaintiff’s] car crossways of the road. * * * Most of my car was over the center line [and] on the south side; the rear wheels of my car were to the north of the center line. The DeLisle car was hooked in the left rear bumper of my car and that [i.e., DeLisle’s] car was very close to the center line, extended northward on the north side of the center line. Pretty well all of the DeLisle car was to the north of the center line, facing mostly east and west.”
After the 2 cars came to a rest, they were found to be so interlocked that they could not be driven. Plaintiff, his wife and the Van Dorns got out of plaintiff’s car. Mrs. Morrison and Mrs. Van Dorn walked in front of the plaintiff’s truck or car and were told by Mr. Van Dorn to go to tbe Perry residence. Plaintiff testified that be went to tbe DeLisle car to see whether any one in that car was injured, and then plaintiff saw tbe headlights of defendant’s car coining more than 400 feet, and in fact, about 1/4 mile away. Plaintiff shouted to Van Dorn to go up tbe road and flag tbe oncoming car. Van Dorn took off on a run waving bis arms and shouting, for about 75 feet in a westerly direction from tbe point of collision. Defendant’s car did not slacken speed. Plaintiff was standing on tbe pavement on tbe west side of his car. Van Dorn turned and ran back toward tbe point of collision, looking by times over bis shoulder and when Van Dorn bad returned to a point about 30 feet from tbe point of collision, plaintiff shouted to him, “Jump,” and Van Dorn jumped for the-bank of snow that bad been plowed from tbe pavement by a snow plow. Defendant drove bis car into the same snow bank on tbe northerly side of M-28, tbe front end of bis car stopped in the snow bank, tbe rear end swung around southerly and pinned plaintiff between the right rear fender of defendant’s car and tbe right side of plaintiff’s truck. Plaintiff bad remained about tbe middle of tbe highway. Plaintiff testified that be did not move to one side or tbe other while defendant’s car was coming, because at that time Van Dorn’s life was in danger of which danger plaintiff warned him, and that there was no way by which plaintiff could tell just where defendant’s car was going, whether to cross tbe road or go behind tbe truck, or what other direction it would take. Plaintiff further testified that about 300 feet westerly from tbe scene of the' accident, there was a road sign limiting speed to 25 miles per hour, and that visibility at the time in question was very clear.
Defendant had driven over the place of the accident within 2 hours before the accident with his wife in the car with him, going west as far as Au Train. Defendant claims that as he was returning he first saw a couple of people standing on the southerly side ■of the road, at the place of the accident, about 90 ■or 100 feet away; that he tried his brakes, found the road slippery, put on his brakes a couple of times, blew his horn and cut across the road and went over the snow bank a little ways but did not hit the guard rail, slid 10 or 12 feet; that he saw Van Dorn just as he jumped the fence which was possibly 10 or 12 feet ahead of defendant. From all of defendant’s testimony, it is clear that defendant could not stop his car without collision, after he first saw obstructions in the road at the point of collision. Defendant’s answer states:
“A portion of said highway had snow and ice on same at the point of collision and at other points on said highway both east and west of said point.”
Our statute, PA 1949, No 300, § 627 (CL 1948, § 257.627 [Stat Ann 1952 Rev §9.2327]), provides, in part, as follows:
“No person shall drive any vehicle upon a highway at a speed greater than will permit him to bring it to a stop within the assured, clear distance ahead.”
Without making express reference to any provision of a statute, we say, in Ruth v. Vroom, 245 Mich 88, 91 (62 ALR 1528):
“It is not enough that a driver be able to begin to stop within the range of his vision, or that he use ■diligence to stop after discerning an object. The rule makes no allowance for delay in action. He must, on peril of legal negligence, so drive that he can and will discover an object, perform the manual acts necessary to stop, and bring the car to a complete halt within such range.” •
Defendant is not to be excused from the consequences of negligence by his testimony as to the icy condition of the highway at the scene of the collision. He had driven over the same road within 2 hours before the accident; the statement of his answer, hereinbefore quoted, makes clear that he was required and warned by the general condition of the road, to be on the lookout for icy spots.
Defendant was clearly negligent as a matter of law in driving his automobile at such speed and.under the then existing circumstances known to him, that he could not stop within the assured clear distance-ahead.
The court was without error in charging the jury-in effect that defendant was as a matter of law,, guilty of negligence.
In Sutter v. Pere Marquette R. Co., 230 Mich 489, there was a dispute in the testimony as to whether the plaintiff’s truck was stalled on a street crossing-of defendant’s tracks before the train came around a curve and whether the engineer in consequence was-guilty of subsequent negligence. The jury’s verdict implied a finding that the truck was stalled at the-crossing before the engineer arrived at the curve-one-half mile distant from the crossing, and the further finding that the engineer could have stopped', the train after he first had an opportunity to see the-plaintiff’s truck stalled on the crossing, and thus have avoided the collision. We upheld the verdict by-application of the doctrine of subsequent negligence. In that case, it was necessary to submit the disputed question of fact to the jury. In the instant case, the-undisputed facts clearly show defendant’s negligence- and that his negligent acts occurred subsequent to< the negligence, if any, of plaintiff and plaintiff’s- negligence, if any, had entirely ceased. Hence, the •court was without error in charging the jury that they need not determine and should not take into consideration the question whether plaintiff was at fault in the prior collision between plaintiff’s car and DeLisle’s car.
Defendant complains of the following from the •charge to the jury:
“I charge you that it is not negligence as a matter of law for Mr. Morrison following the collision between the DeLisle and the Morrison cars to remain on the highway for the purpose of warning oncoming-traffic. Indeed under some circumstances there may be a positive duty to so warn traffic, and it is for you to say whether or not Mr. Morrison under the particular circumstances shown in this case did what a reasonably prudent man would have done under like circumstances.”
Defendant claims that this instruction assumes, as an undisputed fact, that plaintiff remained on the highway to warn oncoming traffic. We think it clear that the court left the question as to why plaintiff remained on the highway, to the jury as a question of fact. Especially is such meaning of the charge apparent when the entire quotation is read, and following the quoted excerpt considerable amount of instruction was given on the subject of what a person may be expected to do for his own safety, when called upon to act suddenly. We find no reversible error in this particular.
While Mrs. Morrison was testifying on cross-examination by Mr. Nebel, attorney for defendant, the following- occured: Witness testified that a Mrs. Nedzinski,
-“came over and sat at our table [i.e., at Baij’s tavern]. She ordered pop. I drank one glass of beer with her. • He [apparently referring to plaintiff] drank one glass of beer.
“Q. Are you just as sure of that as you are of anything you said here ?
“The Court: I think that is an improper question. She is under oath and she is telling if there is anything, you are about the only attorney asks that.
“Mr. Nebel: I think I am within my rights.
“The Court: Gro ahead, get the answer from the witness. Don’t make any insinuations.”
Defendant takes exception to the foregoing rulings by the court and claims prejudicial error. The cross-examiner had not taken pains to inquire of Mrs. Morrison whether “he,” i.e., plaintiff, had any other glass or glasses of beer, and yet defendant’s complaint is based on the proposition that the statement of witness, “He drank one glass of beer,” is contradictory of testimony already given by plaintiff as to other glasses of beer which he drank. The cross-examiner evidently wanted the jury to understand that he considered “one glass of beer” (italics supplied) a misstatement. It is further to be noted that the “one glass of beer” seems to refer to a period when Mrs. Nedzinski was at the same table, and not to any imbibing by plaintiff when Mrs. Nedzinski was not present or at the same table. The insinuation of purposeful falsehood implied in the question, “Are you just as sure of that as you are of anything you said here?” was uncalled for and out of place, hence, the court was justified in evidently concluding that the question was only meant to embarrass the witness or as an argument to the jury in the ostensible form of cross-examination, insinuating that the witness was falsifying.
Under all the circumstances, we consider it best to leave the ruling where the trial judge left it, and do not find reversible error.
Defendant does not claim on this appeal that the verdict is excessive. Judgment affirmed. Costs to plaintiff. • .
Dethmers, C. J., and Adams, Butzel, Carr, Bushnbll, Sharpe, and Boyles, JJ., concurred. | [
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North, J.
This is a suit in ejectment to try title to certain property hereinafter designated. Defendant claims title to the parcel as an accretion to a lot owned by him. Plaintiffs dispute defendant’s claim of ownership and assert title to the parcel in controversy on the following grounds:
“That the land in this area, including the land in question, was formed by accretions to the shore of the lake [St. Clair], of which the plaintiffs were the littoral proprietors at the date of defendant’s land contract [1940].”
Plaintiffs also assert title under the terms of a decree rendered in a suit brought by plaintiffs to quiet title to an area including the parcel which is the subject matter of this ejectment case. The instant suit was heard by the court without a jury. Prom a judgment in defendant’s favor, plaintiffs have appealed.
Plaintiffs, as heirs of Carl Schweikart, deceased, in 1926 inherited title to a parcel of land in Harrison township, Macomb county, Michigan. At least a portion thereof was platted in 1935, the plat being known as “Supervisor’s Plat No 9” of Harrison township. In 1940, plaintiffs entered into a contract to sell to defendant lot 57 of the plat; and in fulfillment of the contract plaintiffs in November, 1942, conveyed this lot 57 by warranty deed to defendant. The lot appears to be 60 feet in width and approximately 168 feet in length. In a southwesterly direction this lot faces on Conger Bay Drive, and in a northeasterly direction towards Conger bay, which is a part of Lake St. Clair. The plat in which lot 57 is included is formed somewhat like the letter L. It extends from lot 55 at the angle of the L in a northwesterly direction to and beyond Lake street, and from lot 55 the plat extends almost directly east. Defendant’s lot 57 is the second lot northwesterly of lot 55. The area in controversy in this case, as described in plaintiffs’ declaration, is of the same width as lot 57 and extends northeasterly therefrom approximately 466 feet to the open waters of Lake St. Clair. Prior to the time of defendant’s purchase a channel known as “Schweikart’s Channel” had been excavated. It extends from the next lot southeasterly of defendant’s lot in a southeasterly direction to the water front of lot 55 and thence in an easterly direction. At some little distance east of lot 55 Schweikart’s channel connects with or crosses another channel known as “Catfish Channel” which extends in a northerly direction and through which boats can reach the open waters of Lake St. Clair. The above noted portion of Catfish channel is an extension of the channel which runs northerly from Clinton river to Conger bay and the waters of Lake St. Clair. The Schweikart channel was first dredged sometime between 1924 and 1926. In addition to the portion of this channel, above noted, it also continues in an easterly direction from Catfish channel to Lake St. Clair near the mouth of Clinton river. Supervisor’s Plat No 9 was so laid out in 1935 that a row of lots faced on Schweikart’s channel as extended northwesterly in front of lots 56, 57 and 58. From time to time Schweikart’s channel has been widened and deepened by dredging, and the excavated soil deposited on adjacent area. A channel separating lots 56, 57 and 58 from the area northeasterly thereof, including the area in suit, had existed for some considerable time prior to defendant’s purchase. About 1926, a Mr. Peltier, the owner of the lot next northwesterly of defendant’s lot, “dugout and made the channel wider” to about 15 feet in front of lots 56, 57 and 58. At least from 1935 to* 1941 this portion of the channel continued to be of the width of 15 or 16 feet. In 1941, further dredging was done by defendant, evidently to enable somewhat larger boats to reach and go through Schweikart’s channel to Lake St. Clair.
It seems conceded that for many years flood waters of Clinton river were partially carried away through Catfish channel and that by reason of the alluvial deposits of these flood waters upon the area lying northeasterly of lots 56, 57 and 58, the land gradually built up. "When the water level of the lake was high most (if not all) of such land was covered with water; during normal or low water this area was not all submerged, but was of a* marshy, boggy character and much of it grown over with rather dense, heavy vegetation. For approximately 10 years prior to the time defendant purchased lot 57 (1940), the level of the lake was comparatively low, and during that period pheasant hunters and muskrat trappers went into the area in question; but otherwise no use of the land appears to have been made or attempted at that time.
In the spring of 1941, by dredging opposite the northeasterly line of his lot, defendant widened his channel to between 25 and 30 feet, with a depth of 4£ feet. Much and possibly all of the earth removed was deposited on defendant’s lot for the purpose of filling. In 1940, the year when defendant contracted to purchase lot 57, he had a small garden plot on the opposite side of the channel from lot 57, being a portion of the land in suit.
The surveyor, Walter J. Lehner, who in 1935 prepared Supervisor’s Plat No 9, testified in effect that with slight variation the plat line in the area here involved and his survey line or meander line are the same, and the line of the plat, which includes the northeasterly line of defendant’s lot where it is along the water’s boundary, is the shore line or water’s edge, and that the row of lots 56 to 97 (which includes defendant’s lot 57) went to the water and meander line. It so appears from the recorded plat. At the time defendant purchased lot 57 he did not examine the plat, nor did he make any examination of the area involved in this suit. We quote from his testimony:
“Q. You never went over to see whether there was land over here or not, did you?
“A. All I see water from the other side, from marsh.
“Q. You just stood over here (apparently on the platted land) and looked across here and what you saw was some marsh and saw water in some spots?
“A. Right there.
“Q. But you never were over there to see whether there was any land there ?
“A. Never. After they put the dirt there the following year I went over. That was in 1941. # * * As a matter of fact I never did try to go over into this area on the easterly part of the land in front of my lot until I made soundings here about two weeks ago. * * * My house now stands about 55, 60 feet from the water. * * * When I built it was about 10 to 15 feet from the water. * . # *
“Q. To get back to the original question, there always was water here as far as you know, in front of your lot?
“A. It was all over water.
“Q. In front of your lot there was water?
“A. Yes. * * * When I bought there was water •out in front of lot 57.
“Q. Was there water as far out as you can see?
“A. Yes, that is all can see.
“Q. Was there any land between the edge of the water looking straight out east from your land?
“A. I never seen any.
“Q. You said when you bought you didn’t see any canal, all you saw was water?
“A. Water.'
“Q. Water, and since 1910 when you bought- that property has there ever been a time when, except for this little garden plot, you couldn’t look out toward the bay and see water and marsh?
“A. That is right.
“Q. Can you do that today?
“A. Yes.”
The area to which the foregoing testimony of defendant refers is included in that to which plaintiffs herein claim to be the absolute owners, excepting plaintiffs’ admission of defendant’s right of “easement of a canal known as Schweikart’s Water Highway (also known as Schweikart’s Channel).” Prior to defendant’s purchase of lot 57 from plaintiffs, they owned in fee all of the land (with certain exceptions not material herein) adjacent to that portion of Conger bay to the northeast and to the north of Supervisor’s Plat No 9. In the instant case plaintiffs claim they are now the fee owners of a substantial area, mostly, if not wholly, resulting from alluvial deposits flooded in from Clinton river, which claimed area is within that designated in Supervis- or’s Plat No 9 and in earlier government surveys as Conger bay.
As a first requisite of plaintiffs’ right to recover in this ejectment suit they must prove their title or right of possession to the land involved. As noted earlier herein plaintiffs assert that (1) they have such title by reason of conveyances to them and their predecessors in title; (2) by reason of the alleged fact that as littoral owners they have become possessed of title to the area resulting in accretions contiguous to their land; and (3) they also assert title by adverse possession. The burden of proof is on plaintiffs. From our review of the record we have been unable to find that plaintiffs have proven title to any of the area involved in this ejectment suit.
In January, 1909, by warranty deed given by the heirs of one William Cottrell, there was conveyed to Carl Schweikart and 2 others a parcel of land which included that portion of Supervisor’s Plat No 9 later laid out as defendant’s lot 57, and other neighboring lots. The land in the Cottrell deed was bounded on the west for a distance of 221 feet as follows:
“To the S W corner of land of the Conger Bay Club, so called, thence E’ly along the S’ly side of land of Conger Bay Club, so called, about 100 feet to Lake St. Clair; thence S’ly parallel with said road heretofore referred to, to the lands of Denmarsh; thence W’ly along Denmarsh N’ly line to the place of beginning. * * * The parties of the first part hereby convey all the riparian or water rights pertaining to said land (with a certain exception not here material).”
In 1921, through mesne conveyances Chrl Schweikart, as grantee in a quitclaim deed, became the sole owner of the Cottrell property described in the deed just above noted, except that the last quoted sentence was not included in the quitclaim deed to Carl Schweikart. Evidently in lieu thereof the quitclaim deed to Carl Schweikart contained the following:
“It is the intention to convey and the said party of the first part (Mount Clemens Carp Co., Ltd.) does hereby convey all its right, title and interest in and to the land described together with all the interests, rights and easements granted to and acquired by a certain deed from Carl Schweikart and others to first parties dated January 22d, 1917, * * * also all the right, title and interest of every kind and nature in and to all the land and real estate and every interest in the land now owned by party of the first part, wherever said land may be situated.”
Plaintiffs’ allegation that they are “the owners in fee” of the area in suit is denied by defendant’s answer. Plaintiffs, as sole heirs of Carl Schweikart, deceased, became possessed of whatever property rights were held by Carl Schweikart at the time of his death. But we are of the opinion that by the foregoing line of conveyances plaintiffs, as heirs of Carl Schweikart, became possessed of title in fee only to the shore line of Conger bay (Lake St. Clair), together with such riparian' rights as were appurtenant thereto. Title in fee was not conveyed to any of the area on the lake side of the shore, line.
In addition to the foregoing, plaintiffs in asserting fee title also rely upon the decree obtained by them in August, 1928, in a suit which they brought to quiet title to the area to which they now assert ownership. In this particular it should be noted that defendant Stivala herein was not a party to that litigation. It preceded defendant’s purchase of lot 57. Further, by its very terms the decree constituted an adjudication of plaintiffs’ right only as against each of the somewhat numerous defendants there named. We quote from the decree entered in that suit:
“And it appearing * * * that the title of the said plaintiffs herein had at the time of their filing of said bill of complaint ought to be quieted as to and against the said claim or possible rights on the part of said defendants * * * and that the plaintiffs and their predecessors in title to the said lands and premises in said hill of complaint described, have been for more than 15 years in open, actual, visible, distinct, notorious, continuous, hostile and adverse possession of said real estate and of all of it adversely to said defendants and intervening defendants, * * * and that plaintiffs’ title thereto has by reason of such possession become complete and perfect, against the said defendants and intervening defendants, and each of them. * * *
“It is therefore ordered, adjudged and decreed, that the claims and possible rights of the said defendants and intervening defendants * * * be and the same are hereby declared to be null and void as against the plaintiffs and that the title of said plaintiffs in and to the lands in question herein at the time of the filing of said bill of complaint was free and clear of and from all claims, rights or encumbrances of any hind xohatsoever on the part of said defendants or any of them.”
It is also worthy of note that the lands and premises covered by the decree were bounded by a line, which, so far as material herein, extended from a certain point “easterly * * * to Lake St. Clair; thence southerly and southeasterly along the border of Lake St. Clair to the westerly line of Catfish Channel (so called); * * * together with all parts of private claim 373 lying between said above described premises and Conger bay of Lake St. Clair and any marsh appurtenant and adjacent thereto and all riparian rights appurtenant to said above described premises [including the property rights described in a contract given by William Cottrell and subsequently conveyed by the Cottrell deed above noted].”
Plaintiffs’ suit to quiet title also sought and obtained correction of certain pertinent deeds, but here again by the corrected conveyances it is disclosed that the fee title of plaintiffs went only to “the border of Lake St. Clair.” Admittedly plaintiffs became the owners of land which extended to the shore line of Conger bay “and all riparian rights appurtenant” to such land. However there is no showing in this record that by reason of plaintiffs’ title to upland property they, as riparian owners through accretions, obtained a good title to the area involved in this ejectment suit, which in a northeasterly direction extends from defendant’s lot 57 to the open waters of Lake St. Clair. As to defendant herein, who was not a party to plaintiffs’ suit to quiet title, the decree of the court, which pertained only to those who were defendants or intervening defendants in that case, is of no persuasive or binding force. It does not in any effectual way tend to establish plaintiffs’ allegation that they are the owners in fee of the area in suit. The record in the instant case does not show that plaintiffs have title by adverse possession to the area involved in the suit at bar; or that any portion of that area ever became contiguous to lands owned by plaintiffs or any of those through whom plaintiffs derived title to shore lands. As to its being necessary that any accretions must in fact be contiguous to the land of one asserting title to the accretion, see 56 Am Jur, p 898.
“The depth of water upon submerged land is not important in determining the ownership. * * * The adjoining proprietor’s fee stops there (at the water line), and there that of the State begins, whether the water be deep or shallow, and although it be grown up to aquatic plants, and although it be unfit for navigation.” People v. Warner, 116 Mich 228, 239. See, also, Hilt v. Weber, 252 Mich 198, 208 (71 ALR 1238).
As appears from the foregoing, after plaintiffs had acquired the land which now includes defendant’s lot 57 and appurtenant riparian rights, they sold to defendant on contract lot 57 and 2 years later gave a warranty deed thereof to defendant; but in neither instrument did plaintiffs make any reservation of riparian rights appurtenant to lot 57, and consequently such rights passed with the fee to the lot to defendant.
“It is a settled rule in this State that, where there is no reservation of them, riparian rights attach to lots bounded by natural watercourses.” Bauman v. Barendregt, 251 Mich 67. See, also, Blain v. Craigie, 294 Mich 545.
Notwithstanding in the deed by plaintiffs to defendant the property conveyed was described as lot 57, nonetheless such conveyance (there being no reservation) carried with it appurtenant riparian rights the same as though the property, which had a water frontage, had been described in the deed by metes and bounds.
Our decision herein does not hinge upon nor determine what rights defendant may have in the area 60 feet in width extending from the northeasterly line of his water-front lot out to the open waters of Lake St. Clair. Instead, we find that plaintiffs have not proven ownership or right of possession of the area in suit, and our decision is based thereon.
The trial judge found and recited in the judgment entered “that the said defendant is not guilty of unlawfully withholding from the said plaintiffs the premises described, in manner and form as the plaintiffs have in their declaration in this cause alleged.” The judgment entered in the circuit court is affirmed, with costs to appellee.
Boyles, C. J., and Dethmers, Btttzel, Carr, Btjshnell, and Sharpe, JJ., concurred. Reid, J., did not sit. | [
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Boyles, J.
In this case the hill of complaint was filed to construe or hold for naught certain provisions in an antenuptial agreement entered into by the plaintiff and one Vernon P. Kennett, in contemplation of their remarriage after a former divorce. The circuit judge, after issue had been joined and a hearing held, dismissed the hill of complaint and the plaintiff appeals. Vernon P. Kennett, deceased, is represented in this litigation by the executrices and trustees of his estate, who were made defendants.
Plaintiff and Vernon P. Kennett were married the first time in 1932 and divorced in 1948.- On April 5, 1950, they entered into the antenuptial agreement here in question in contemplation of their remarriage, and were remarried 2 days later. Vernon P. Kennett died testate May 15, 1950, and his will was duly admitted to probate. It had been executed September 21,1948, while their divorce case was pending after their separation in 1948, and before decree. In his will he left his considerable estate to trustees, to use the income for the benefit of the 3 children of these parties during minority, with the principal to he distributed to them in equal shares when each reached 21 years of age. Plaintiff was not mentioned in the will. The decree of divorce, which was entered December 6, 1948, inter alia, required Vernon P. Kennett to transfer a certain automobile to the plaintiff, to pay her $287.36 each month until 114 monthly payments had been made, a total of $32,760; to pay $50 per month for the' support of each child, and to procure and deed to the plaintiff a residence to cost between $8,000 and $10,000 for the use of herself and their minor children. The decree otherwise terminated all rights of the plaintiff. Its provisions become of some importance in view of the plaintiff’s claim as to the meaning of the antenuptial agreement later entered into, before their remarriage.
The nub of the controversy between the parties in this litigation concerns the time when certain provisions in the antenuptial agreement should be considered to have taken effect. The plaintiff claims that the agreement was made in contemplation of a future separation or divorce between the parties after their remarriage, and that it was intended to reinstate the provisions of the decree of divorce in the event of such future separation; that it was not intended to take effect in any way upon the death of Vernon P. Kennett while the parties were still living together as husband and wife. The result of such a construction would be that the plaintiff would still be entitled to share in his estate notwithstanding the antenuptial agreement, by electing to disregard the will. She claims the right of an election to disregard his will and to have her share in his estate as his surviving spouse. On the contrary, the defendants claim that by its express terms the antenuptial agreement definitely provides for the rights of the plaintiff at his death. Incidentally, under the agreement plaintiff receives $10,000 in cash, and also all unpaid monthly payments as provided for in the decree, about $27,500.
Unless the agreement is ambiguous, it controls. There is no claim of fraud, lack of knowledge or consent, mental incapacity, or undue influence. Plaintiff’s only other claims—lack of consideration, and that the agreement is contrary to public policy—have been disposed of by our previous decisions. In addition to the actual benefits which plaintiff derives from the agreement, marriage alone is a sufficient consideration for an antenuptial agreement. Hockenberry v. Donovan, 170 Mich 370; Richard v. Detroit Trust Co., 269 Mich 411. See, also, Lamb v. Lamb, 192 Mich 466.
Certain provisions in the antenuptial agreement applicable to the question here involved are as fol lows: (Emphasis has been added, in certain pertinent particulars.)
“That whereas, a marriage has been agreed upon .and is intended to be duly had and solemnized between Vernon P. Kennett and the said Emily Ellen Kennett; * * * and whereas it is the intention of the said party of the second part by this indenture to bar her dower interest as the wife or widow of said first party in and to all such real estate, land, messuages, tenements, and hereditaments and to empower and authorize the said first party at any time during the existence of the coverture between the parties, or at his death, his heirs, executors or ■administrators to sell, dispose of, assign or convey any and all of said land, tenements, messuages, and hereditaments aforesaid, and to make and execute, a good and sufficient deed therefor independent of and without the consent or privity of the said party of the second part; and also to bar the dower interest of the said second party as the wife or widow of the said party of the first part in and- to all property that he may become seised of and not owned by him at the time of their marriage, and to authorize the conveyance thereof in the same manner as real estate now owned and possessed by him; and whereas, it is the intention of said second party to waive as well all her homestead rights or interests in and to any of the said property now owned by said first party, or that may come into his possession and he become seised of during the period of coverture or as the ividow of said first party; and whereas, it is also the intention of said second party to waive all her rights, title and interest either as the wife of said first party or as his widow in and to any and all personal property that he may own at the time of their said marriage or at any time during the coverture or at the time of his death.
“That whereas the parties hereto have been recently, and on December 6, 1948, divorced from each other, and all property rights between them have been adjusted and incorporated into said decree of divorce, including custody of children, alimony and property division and settlement, and whereas at this time all matters incorporated into said decree of divorce are now in force and effect, and have been carried out and performed by each party thereto, including the payment of 17 payments of alimony of $287.36, being a total of $4,885.12, to this date, and also the conveyance in accordance with the terms of said decree by the first party herein to the second party of a house and lot in Alma of the agreed value' of $10,000, which said house and lot are now the property of second party herein. That according to the decree of divorce there is now owing by the first party to the second party 97 payments of alimony amounting to $27,873.92.
“Now therefore it is agreed between the parties hereto that conveyance will he at once made by the second party to the' first party by quitclaim deed of the house and lot and premises in Alma, Michigan above referred to, and the second party also fully and completely releases said first party from all future payments of alimony as provided in said decree of divorce, except in case the parties hereto separate again hereafter, or first party dies, then and in that case the party of the first part agrees that all payments of said alimony that would by the terms of said decree of divorce fall due and become payable subsequent to the date of said latter separation or death of first party shall become again owing and payable by the first party to the second party in the same manner as if the contemplated marriage of the parties had never taken place. It being understood and this agreement is that all payments of alimony provided to be paid in said decree of divorce are waived so long as the parties shall live together after the marriage herein contemplated. And the first party in addition thereto shall in case of divorce or at his death his estate shall pay to the second party the sum of $10,000 in cash, one third thereof each year for 3 years thereafter, the first payment to be made within 3 months from the date of said divorce or death, it being the intention and agreement of the parties that this provision and the other provisions of this paragraph are made for the purpose of restoring to the second party all of her remaining rights under the decree of divorce in case of separation of the parties after the marriage herein contemplated.
“The said party of the second part does hereby and for the consideration hereinbefore expressed waive and agree to waive all her rights of dower which shall or may vest in her by reason of hex-marriage with the said first party or as his wife or widow.”
In additional agreements entered into on April 5, 1950, before their remarriage, the parties agreed that the antexxuptial contract should end at the expiration of 15 years, and also added the following:
“It being the intexxtion of the said second party by this ixxstrument to bar any axxd all rights of dower or of homestead rights in and to all of the estate of whatsoever nature, lands, tenemexxts, hereditaments and messuages which the said first party now is or shall hereafter become seised of, also to convey and waive all her rights and title in and to any axxd all persoxxal property now iix the possession of said first party or which may be iix his possession at axxy time during his life or at his death, both as the wife or widow of said first party. And the said second party does hereby further agree that in case she shall survive the said first party she will accept iix lieu of her dower or homestead interests in and to all of the lands and tenements, messuages, and hereditaments of said first party, and also any and all property of which said first party shall or may become seised between the time of said marriage and his said death, and also in lieu of all personal property of which he may now be possessed or shall be at the time of his death, any devise or bequest which said first party may see fit to make for her, said second party, by will or otherwise, if he so elects.
“So as to clear up any ambiguity in this contract or agreement, it is hereinabove and hereby agreed mutually between the parties hereto that the said second party is to have no interest in any of the property of the said first party whether real estate, personal estate, statutory estate, as ividoiv or heir, or dower or otherwise, except such as is provided in this agreement or which the first party may voluntarily and of his own free will and accord make for her during his lifetime.”
The controlling provisions of the agreement have been quoted at some length. We find nothing in any part of the entire antenuptial agreement which may be considered as injecting into it the provision now claimed by the plaintiff that it was made only in contemplation of a future' separation or divorce between the' parties. It repeatedly emphasizes what should be the rights of the plaintiff in the event of his death. Nor is there any indication that it was intended to reinstate the provisions of the earlier decree of divorce in the event of the death of Vernon P. Kennett while the parties were still living together. We are constrained to hold that the agreement is not ambiguous, that there was no other agreement, and that it means what it says.
Affirmed. Costs to appellees.
Dethmers, C. J., and Adams, Butzel, Carr, Bushnell, Sharpe, and Reid, JJ., concurred. | [
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Carr, J.
The material facts in this case are not in' dispute. In July, 1950, the defendant Somerville Construction Company was engaged in the construction of a pipe line for the transmission of gas between Vermontville and Mulliken, a distance of approximately 10 miles. Defendant’s employee, Ernest Graham, was in immediate charge of the work as job superintendent. A crew of between 35 and 40 men were employed in the laying of the pipe line, and equipment adapted to the necessary work to be done was used.
It was the duty of the superintendent to supervise the project, including the performance of the necessary labor and the operation of the machinery used in connection therewith. Prom the time that he came on the job shortly after July 4th to and including July 29th Graham roomed in Hastings, several miles distant from the location where the work was in progress. He was furnished a pickup truck by the employer for his use in performing his duties and for transportation between his rooming place and the site of the pipe line construction.
On the 29th of July, 1950, a ditch-digging machine used in necessary excavation broke down. Graham was advised of the fact and discussed with one of the employees on the job the necessity of obtaining the numbers of the parts of the machine that would require replacement. The employee in question, James Sutton, was living in Nashville. Pursuant to the arrangement made, Graham picked him up about 5:45 in the afternoon and the men drove to the place where the disabled machine had been in use. There the parts necessary to be replaced were examined and respective numbers taken for the purpose of enabling Graham to order new parts. The parties then returned to Nashville where Graham had dinner with Sutton and his wife.
During the evening Graham engaged in social recreation until shortly after 11 o’clock when he left, alone, for Hastings. He was at the time driving the pickup truck furnished him by his employer. While en route the truck left the road at a curve and Graham was killed, death being instantaneous or practically so. His widow, plaintiff herein, filed claim for compensation on behalf of herself and minor children, claiming that the accident arose out of and in the course of Graham’s employment. A hearing was had before a deputy commissioner who found that the facts in the case did not support plaintiff’s claim. On appeal, the workmen’s compensation commission reversed the holding of the deputy and made an award of compensation. On leave granted, the defendants have appealed, claiming in effect that there was no testimony tending to’ support the commission’s finding.
As indicated, the compensation commission came to the conclusion that at the time of the accident Graham was acting within the scope of his employment and that such accident arose therefrom. Emphasis was placed on the nature of his duties and on his right to take Sutton with him from Nashville to the location of the work in progress, for the reason above indicated. For the purposes of the case it will be assumed that while on such mission, and while the parties were returning to Nashville, Graham was acting within the ambit of his employment. However, from the time that he reached the home of Sutton until he departed for Hastings some 3 or 4 hours later, it is obvious that he was not in the course of his employment, and no claim is made that he was. The argument advanced on this appeal is in substance that when he left Nashville to go to his rooming house in Hastings he did so as a part of his employment and in the course thereof, and that, in consequence, the fatal accident may be said to have arisen therefrom.
On behalf of plaintiff it is argued that Graham’s rooming house was his headquarters and that it was. his intention on returning there during the night of July 29th to order the necessary repair parts from a service plant or station maintained by the employer at Ada. The latter claim was considered by the commission and rejected as not a proper inference from the facts shown. In reaching such conclusion, it was said:
“Plaintiff attempts to show that her decedent was going to his rooming house in Hastings to make a telephone call to Ada for the necessary parts for the ditching machine so it could be repaired the following day. We are not impressed with that theory because if the deceased had wanted to order the parts that evening he could readily have done so by telephone from Nashville or have driven to his rooming house to telephone earlier in the evening. It is not reasonable to infer that he would wait until such a late hour when the office at Ada was probably closed to order the parts. The only reasonable inference from the facts is that he intended to order the parts on the following day.”
We do not find in the record testimony that can be construed as supporting a conclusion that the rooming house at Hastings was in fact used by Graham as his headquarters. We do not understand from the opinion of the commission that it so found. The keeper of the rooming house, offered as a witness on behalf of plaintiff, testified that she had from 20 to 25 roomers, that Graham used the desk ’phone in making calls, that such calls were put through “collect,” and that on one occasion a party calling for him while he was absent asked that she deliver a message requesting him to call a Grand Bapids operator. It does not appear to whom or for what specific purposes the calls by Graham over the rooming house telephone were made. Neither does it appear that any privileges were given to him not enjoyed by other roomers. Doubtless some calls of a business nature were made in the manner indicated, but such fact does not justify an inference that the rooming house was the headquarters of the work being carried on by defendant Somerville Construction Company. We think the testimony of plaintiff’s witness Sutton, who worked on the job, is significant. In describing what the superintendent did, he said:
“Well, he was on the job all day—that is, you know, as far as back and forth, past every little while.”
It is a fair conclusion from the record that Graham’s work of supervising the operation was done on the job. Its nature suggests that such must necessarily have been the case. There is no testimony in the record to support an inference or conclusion that the rooming house was, in any proper sense of the term, his headquarters.
The determination of the question involved in the case necessarily involves the interpretation of the provisions of the statute on which plaintiff’s claim is based. OL 1948, §412.1 (Stat Ann 1950 Rev § 17.151) provides in part:
“An employee, who receives a personal injury arising out of and in the course of his employment by an employer who is at the time of such injury subject to the provisions of this act, shall be paid compensation in the manner and to the extent hereinafter provided, or in case of his death resulting from such injuries such compensation shall be paid to his dependents as hereinafter defined.”
The provision quoted has been considered by this Court in numerous decisions. In Daniel v. Murray Corporation of America, 326 Mich 1, 9, 10, the prevailing opinion quoted with approval from McNicol’s Case, 215 Mass 497 (102 NE 697, LRA1916A, 306), as follows:
“ ‘In order that compensation may be due the injury must both arise out of and also be received in the course of the employment. Neither alone is enough.
“ ‘It is not easy nor necessary to the determination of the case at bar to give a comprehensive definition of these words which shall accurately include all eases embraced within the act and with precision exclude those outside its terms. It is sufficient to say that an injury is received “in the course-of” the employment when it comes while the workman is doing the duty which he is employed to perform. It “arises out of” the employment, when there is apparent to the rational mind, upon consideration of all the circumstances, a causal connection between the conditions under which the work is required to be performed and the resulting injury. Under this test, if the injury can be seen to have followed as a natural incident of the' work and to have been contemplated by a reasonable person familiar with the whole situation as a result of the exposure occasioned by the nature of the employment, then it arises “out of” the employment. But it excludes an injury which cannot fairly be traced to the employment as a contributing proximate cause and which comes from a hazard to which the workman would have been equally exposed apart from the employment. The causative danger must be peculiar to the-work and not common to the neighborhood. It must be incidental to the character of the business and not independent of the relation of master and servant. It need not have been foreseen or expected, but after the event it must appear to have had its origin in a risk connected with the employment, and to have flowed from that source as a rational consequence.’ ”■
The test suggested by the language of the Massachusetts court was recognized in Pearce v. Michigan Home & Training School, 231 Mich 536; Appleford v. Kimmel, 297 Mich 8; Murphy v. Board of Education of the School District of the City of Flint, 314 Mich 226, as well as in other decisions.
It has been repeatedly held that, as a general rule, an- employee who is on his way to his home-after completing his work at his place of employment is not within the course of such employment,, and that an accidental injury resulting from a traffic hazard, or other intervening cause, is not compensable. In Morey v. City of Battle Creek, 229 Mich 650 (38 ALR 1039), an award of compensation made for accidental death sustained under such circumstances was set aside. In Murphy v. Board of Education of the School District of the City of Flint, supra, it was held that a teacher who was injured on the street while going from the school where she was employed to her home was not entitled to compensation, notwithstanding testimony to the effect that she intended to look over papers and prepare examination questions at her home. Attention was called to the fact that the plaintiff was not at the time of her injury engaged in any specific mission for her employer, and that the main reason for her presence on the street was her desire to go home. A discussion of cases presenting so-called exceptions to the general rule and involving the performance of some errand or other specific duty for the employer is not required. In the case at bar there is no showing that the employee was so engaged or occupied at the time of his injury.
In Daniel v. Murray Corporation of America, supra, the plaintiff had finished his work for the day, had punched a time clock, and had crossed a public street to a parking lot maintained by the employer for the exclusive use of employees. While on the lot he slipped and fell, sustaining an injury. It was held that such injury did not arise out of and in the course of his employment since the employee had no further work or duties to perform for the employer on that day. It was also held that, under the provisions of the statute above quoted:
“To arise ‘out of’ the employment the injury sustained must have a causal connection with the work to be performed; must be. one which follows as a natural incident to the employment, be connected with it, and not the result of a risk disassociated therefrom (CL 1948, § 412.1).”—(Syllabus 2.)
“An injury is received ‘in the course of’ employment, as that term is used in the workmen’s compensation act, when it comes while the workman is doing the duty which he is employed to perform (CL 1948, § 412.1).”—(Syllabus 3.)
“Under the test that an injury, to be compensable under the workmen’s compensation act, must have arisen out of and in the course of the employment, an injury which cannot fairly be traced to the employment as a contributing proximate cause and which comes from a hazard to which the workman would have been equally exposed apart from the employment would not be compensable (CL 1948, §412.1).”—(Syllabus 4.)
The holding in the Daniel Case has been followed in subsequent decisions among which are: Hickman v. City of Detroit, 326 Mich 547; State Treasurer v. Kaiser-Fraser Corp., 326 Mich 715; Pilgrim v. Menthen, 327 Mich 714; Campbell v. Secretary of State, 335 Mich 237.
In Phillips v. Fitzhugh Motor Co., 330 Mich 183, defendant’s employee for whose accidental death an award of compensation was sought was acting as sales manager for his employer and also as manager of the parts department and in charge of used cars. He returned to his place of employment during the evening of his injury for the purpose of doing certain work there. Acting in his capacity as manager of the used-car department, he went to the home of an employee whose duties involved the preparing of cars for sale and procured such employee to accompany him for the purpose of doing work of the character indicated. The men quit their respective tasks at about midnight, and the,manager returned the other employee to his home. Pie then, started for his own home but on the way was involved in a traffic accident that resulted in his death. Citing Daniel v. Murray Corporation of America, supra, it was held in the prevailing opinion of this Court, on appeal from an award of compensation, that the accident and injury to the employee did not arise out of and in the course of the employment. Compensation was accordingly denied.
The Phillips Case was followed in Lyons v. Ford Motor Co., 330 Mich 684. There the employee of the defendant was the editor of a publication issued by 1 of the divisions of the defendant company. He had regular hours of duty but was frequently required to work overtime. He did not receive extra pay for such additional time, but was permitted to take time off from his regular period of work in order to equalize the hours of his employment. He was assigned a car from the garage of the defendant maintained at its Ypsilanti plant. On the 2d of June, 1948, he went to Detroit on matters connected with the duties of his employment. Returning to the Ypsilanti plant during the early evening, he then left to go to his home but met with a traffic accident resulting in his death. It was conceded that during the trip to Detroit and return to the Ypsilanti plant Lyons was in the course of his employment. This Court held, however, in accord with the Daniel Case and the Phillips Case, that at the time the accident happened the employee was performing no duty for his employer arising out of or in the course Of his employment, and vacated an award of compensation made by the commission.
Under the statute, as interpreted by the foregoing-decisions, the finding of the workmen’s compensation commission in the instant case cannot be sustained. At the time of his injury, Graham was not engaged in performing any specific duty arising out of his employment. While going from Nashville to his rooming place, his home for the time being, he was not, under the undisputed facts in the case, within the course of his employment. His mission in taking Sutton from Nashville to the location of the job, for the purpose stated, and in returning him to Nashville, ended at Sutton’s home. Prom that moment until the trip to Hastings was begun Graham was clearly not within the ambit of his employment. He was engaged solely in recreational activities for his own enjoyment. There is no testimony on which to base a conclusion that he was during such trip, prior to the accident, engaged in any work, or performing any duty, for his employer. Whether he intended to order the necessary parts for the ditch-digging machine by telephone from Hastings on the following day, or to send in the order in some other manner or from some other point, does not appear. He might, as the commission pointed out in its opinion, have telephoned such order from Nashville, but the record does not show whether or not he attempted to do so. So far as this record shows his day’s work had been completed early in the evening, and he was at the time of the accident on Ms way to his home. That was his mission at the time of the accident. The fact that he was driving a motor vehicle belonging to the employer does not alter the situation.
The case is remanded to the workmen’s compensation commission with directions to vacate the award of compensation. Defendants may have costs.
Dethmers,- C. J., and Adams, Btitzel, Btjshnell, Sharpe, Boyles, and Reid, JJ., concurred. | [
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Nelson Sharpe, C. J.
The defendant company entered into a contract with the owner of a building for the erection of the steel joists used in the construction thereof. It sublet this work to one J. L. Peters Company. It is the claim of the plaintiff that he sustained an injury due to the negligent manner in which this work w~as performed. The first trial thereof resulted in a judgment for the defendant. On appeal to this court it was reversed and a new trial ordered (260 Mich. 692). In the opinion there filed it was said:
“The safety of plaintiff was dependent upon the joists on which the planks were placed being securely fastened, and the neglect of Peters and his employees to do so subjected plaintiff to an unusual danger in the performance of his work. If his injury was due to such neglect, defendant may not be relieved from the consequences thereof by the fact that the work was being done by Peters as an independent contractor.”
On trial by the court without a jury it found that the plaintiff was entitled to recover and entered a judgment in his favor for $8,340.
A motion for a new trial based in part upon the fact that new evidence had been discovered bearing upon its liability was granted conditional on the testimony theretofore taken being considered as submitted thereon. A number of additional witnesses were then examined, after which the court filed an opinion in which he stated:
“The testimony taken as a whole satisfies the' court that for some unexplained reason Peters failed to properly brace the joists in the east bay, and inasmuch as his negligence in law is the negligence of the defendant, the Gabriel Steel Company, the plaintiffs (plaintiff is) entitled to recover in the amount hereinbefore determined.”
A judgment was entered pursuant thereto.
Defendant’s counsel then filed a “motion to dismiss or render judgment of no cause of action” based upon the claim that after the judgment first entered had been set aside, the plaintiff had “assigned all his right, title and interest in and to this cause of action to Gladys Amada. ’ ’ The trial court found that the assignment had been made but was for security only and dismissed the motion.
Some time later defendant’s counsel filed another motion for a new trial based in part upon the claim that the judgment was contrary to the great weight of the evidence and was excessive. The trial court, upon reflection, found that the allowance made for “lost earnings and pain and suffering was excessive” and entered a judgment in the sum of $6,340, from which the parties have appealed.
The accident happened on Tuesday, the 17th day of July, 1928. There was evidence that plaintiff and one of his employees were assured by some of the employees of the Peters Company that the joists would be in position for placing the scaffolding thereon on Monday morning; that on that morning when plaintiff’s men went to work, the joists were “looking right, like they were looking on the first and second floor; ’ ’ that the planking was then placed thereon and that the next morning as the plaintiff and his foreman were standing thereon, the joists loosened and fell into the basement, taking the planking and the plaintiff with them, and causing the injury for which he here seeks to recover damages.
When the joists were placed in position for putting the planking upon them, the plaintiff and his workmen had the right to assume that they were fastened in such a manner as would afford reasonable security to them in the furtherance of their work on the building and if they were not, as found by the court, the neglect to do so necessarily subjected them to an unusual danger. And as was said in the former opinion, “If his (plaintiff’s) injury was due to such neglect, defendant may not be relieved from the consequences thereof by the fact that the work was being done by Peters as an independent contractor.”
The conclusion thus reached became the law of this case and is not subject to review upon this appeal. Pierce v. Underwood, 112 Mich. 186; American Ins. Co. of Newark v. Martinek, 216 Mich. 421.
It is argued that the plaintiff was guilty of contributory negligence; that he or his workmen could and should have seen that the joists had not been securely fastened; and that the work thereon had not been completed. This question was not presented to the trial court except in the last motion made by defendant for a new trial and was apparently not passed upon by him. It may be disposed of, against the contention of the defendant, by the evidence of the architect. He testified:
“Q. What is there that would possibly, or could possibly prevent a contractor, a mason contractor, from observing an unclipped and unbridged condition of a steel joist, laid across two I-beams, before he puts his planks on there?
“A. Well, a mason contractor might or might not be familiar with the steel joists, which might be laid in there every place and not fastened. He might not be able — -he would not know where to look for fastenings, whether clipped or not.”
The plaintiff testified that prior to that time he “had never worked on a building where steel joists were used.”'
The assignment of the cause of action in no way affected plaintiff’s right to recover. Sayre v. Railway Co., 205 Mich. 294.
Defendant urges that the amount of the judgment is still excessive, while plaintiff contends that the evidence did not justify the reduction made. The trial court heard and saw the witnesses who testified to plaintiff’s injury, his pain and suffering, and the loss in earnings he would be likely to sustain therefrom. We see no reason for interference with the conclusion reached by him as to the amount for which plaintiff was entitled to recover.
The judgment is affirmed. As both parties have appealed, no costs will be allowed.
Potter, North, Fead, Wiest, Butzel, Bushnell, and Edward M. Sharpe, JJ., concurred. | [
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Shakpe, J.
Plaintiff, Glenna Koob, administratrix of the estate of Robert Dale Koob, deceased, began an action against the city of Lansing, a municipal corporation, as defendant for damages growing out of the death of her husband, Robert Dale Koob.
The material facts are as follows: On February 10, 1946, Robert Dale Koob, a resident of Vermont-ville, Eaton county, together with one Starr Farrah were riding in an automobile owned by Starr Farrah. Shortly after midnight on the above date they were riding on East Main street in the city of Lansing and drove into the river where both men were drowned. Main street runs in an east-and-west direction. It intersects Washington avenue, a north- and-south street, and continues east from there about three blocks on a slightly downhill grade, until, it terminates at the west bank of the Grand river. On the east side of the river, Main street continues but at a higher elevation. The width of East Main street, between the curbs, is approximately 30 feet. In the 400 block of this street, which is between River street and the river, the street is dirt surfaced. There were no street lights in the 400 block, no warning signs indicating that the street ends at the river. There were no barriers, lights, reflectors or warnings of any kind on the west bank of the river where the accident occurred. It appears from the record that Mrs. Sherman lives at 411 East Main street, a place near the river where the accident occurred; that about 12:45 a. m., on the morning in question she heard a noise and observed a flash of light pass the door of her house. She did not know what it was, but she and her husband went out doors to look around. They heard bubbles coming from the riven Mr. Sherman called the police who arrived shortly thereafter and commenced to determine what had gone into the river. They succeeded in pulling a Ford Tudor sedan out of the river. When it was pulled out the windshield was broken, the left door was partially open and there was the body of Robert Dale Koob in the car. About noon the next day the body of Starr Farrah was found in the river.
The cause came on for trial and at the close of plaintiff’s proofs, defendant’s counsel made a motion for a directed verdict. This motion was renewed at the close of all proofs and its determination reserved under the Empson act.
The following special questions were submitted to the jury:
“1. Do you find, from the evidence presented, that the proximate cause of the accident which resulted in the death of Robert Dale Koob was the failure of the city of Lansing to maintain East Main street at or near the Grand river and River street in a reasonably safe condition for public travel in the nighttime?
“2. Do you conclude, from the evidence, that Robert Dale Koob was a passenger in an automobile driven by Starr Farrah at the time of the accident?
“3. Do you find that Robert Dale Koob, at the time of the accident, was exercising reasonable care?”
In answer to the special questions the jury found that plaintiff’s decedent was a passenger in the automobile and was in the exercise of due care at the time the'automobile went into the river. The jury returned a verdict in the sum of $5,COO in favor of plaintiff.
Following the verdict above mentioned, defendant’s counsel made a motion for judgment notwithstánding the verdict based upon the following 'reasons:
“1. That plaintiff has failed to offer any testimony as a matter of law to go to the jury on the question of the defendant’s negligence.
“2. That plaintiff failed to carry the burden resting upon her to show that her decedent was not the operator of the motor vehicle in which he was riding.
“3. That assuming negligence of defendant, the operator of the motor vehicle in which plaintiff’s decedent was riding was guilty of contributory negligence as a matter of law and the jury should not have been allowed to speculate thereon.
“4. That considering all the evidence, together with the inferences to be drawn therefrom, in -the light most favorable to plaintiff there is no testimony from which'the jury could find the defendant city liable.” '
Defendant also filed a motion for a new trial based upon similar reasons given in its motion non obstante veredicto.
The trial court in granting the motion non obstante veredicto stated:
“Considering the testimony of plaintiff in the most favorable light to her, it shows that the cause of the accident was the lack of due care on the part of the driver of the automobile. * * * There was no testimony as to who was the driver or who was the passenger of this car.”
Plaintiff appeals and urges that there is ample evidence to sustain the jury’s special finding that plaintiff’s decedent was a passenger in the automobile at the time of the accident. If plaintiff’s decedent was a passenger in the automobile, the negligence, if any, of the driver could not be imputed to him. See Bricker v. Green, 313 Mich. 218 (163 A.L.R. 697). Plaintiff urges that the following facts support the jury’s determination as to who was the passenger in the car: While Robert Dale Koob owned a car of his own and had left his father’s home driving his own car that very evening, the boys at the time of the accident were riding in the car owned by Starr Farrah. Starr Farrah’s car was a two-door Ford. At the time it was pulled out of the river, the windows were closed and were all intact, although the windshield was broken out; the left door, the door next to the driver’s seat, was open; and Robert Dale Koob’s body w7as still in the car on the floor between the front and rear seats while Starr Far-rah’s body was out of the car and was recovered from the river a considerable time later.
In Butrick v. Snyder, 236 Mich. 300, 305, we said:
“While it is true that a verdict may not rest upon bare conjecture, * # * it is also true that a finding as to a particular fact may be based upon infer enees fairly drawn from other facts established by proof. * * * The reasonable inferences which may be drawn from the affirmative facts proven are evidence, and not presumptions.”
In our opinion the established facts form a basis from which'a jury could find that plaintiff’s decedent was a passenger in the car. Counsel for defendant concedes that it was a question of fact for the jury to determine whether or not the defendant was guilty of negligence in its failure to maintain East Main street in a reasonably safe condition for public travel in the nighttime.
We conclude that plaintiff having established the fact that her decedent was a passenger in the car at the time of the accident and defendant conceding its negligence was a jury question, it becomes our duty to reverse the judgment entered in this cause and remand the same to the trial court for entry of judgment upon the verdict. Plaintiff may recover costs.
Bushnell, C. J., and Boyles, Reid, North, Butzel, and Carr, JJ., concurred with Sharpe, J. Dethmers, J., concurred in the result.
3 Comp. Laws 1929, § 14531 et seq., as amended by Act No. 44, Pub. Acts 1939 (Comp. Laws Supp. 1940, § 14531, Stat. Ann. and Stat. Ann. 1947 Cum. Supp. § 27.1461 et seq.).—Reporter. | [
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Sharpe, J.
Plaintiff appeals from an award of the department of labor and industry claiming that the award is insufficient.
On January 3, 1936, plaintiff, while in the employ of defendant company, sustained an injury to his right leg. Following the accident, he was paid compensation for total disability under section 9 of part 2 of the compensation act at the rate of $18 per week for intermittent periods totaling 164 weeks throughout and until expiration of 500 weeks from the date of the injury. On March 19, 1945, the injured leg was amputated at the mid-line of the femur. It is admitted that plaintiff has lost his leg as a result of the accidental injury sustained on January 3, 1936; and that August 3, 1945, is the date of the expiration of the 500-week period. The department of labor and industry awarded plaintiff compensation of $21 a week from March 19, 1945, to August 3, 1945, the end of the 500-week period.
Plaintiff appeals and urges that the statute does not set a 500-week limitation for statutory schedule awards; that a claim coming under the statutory schedule for the specific loss of a member is a separate and distinct claim, different in kind from claims for loss of wages resulting from total or partial disability; and that the 500-week limitation contained in section 10 of part 2 of the compensation act relates only to “incapacity to work” which is “partial.”
The determination of the controversy here presented rests primarily on the construction of part 2, § 10, of the workmen’s compensation act (2 Comp. Laws 1929, § 8426), as amended by Act No. 245, Pub Acts 1943 (Comp. Laws Supp. 1945, § 8426, Stat. Ann. 1947 Cum. Supp. § 17.160). This section reads as follows :
“While the incapacity for work resulting from the injury is partial, the employer shall pay, or cause to be paid as hereinafter provided, to the injured employee a weekly compensation equal to 66| per cent-um of the difference between his average weekly wages before the injury and the average weekly wages which he is able to earn thereafter, but not more than $21.00 a week; and in no case shall the period covered by such compensation be greater than 500 weeks from the date of the injury. In cases included by the following schedule, the disability in each such case shall be deemed to continue for the period specified, and the compensation so paid for such injury shall be as specified therein, to-wit: * * *
“For the loss of a leg, 66|- per centum of average weekly wages during 200 weeks;
“An amputation between the knee and foot 6 or more inches below the knee shall be considered a foot, above this point a leg; * * *
“The loss of both hands, or both arms, or both feet, or both legs, or both eyes, or of any 2 thereof, shall constitute total and permanent disability, to be compensated according to the provisions of section 9.
“The amounts specified in this clause are all subject to the same limitations as to maximum and minimum as above stated. In case of the loss of 1 member while compensation is being paid for the loss of another member, compensation shall be paid for the loss of the second member for the period herein provided, payments to begin at the conclusion of the payments for the first member.”
In interpreting the compensation act we have held that the power to review payments ceases when plaintiff has received the maximum number of weekly payments mentioned in the statute, whether it be for partial disability or total disability. See Broadnax v. Ford Motor Company, 308 Mich. 305. We have also held that the period for which compensation may be paid for partial disability under the above quoted section 10 is limited to 500 weeks from the date of the injury. See Kiviniemi v. Quincy Mining Co., 286 Mich. 680; Willard v. Globe Housewrecking Co., 294 Mich. 42.
Plaintiff urges that the latter portion of section 10 relating to specific losses does not contain the limitation with reference to the payment of compensation for the period of 500 weeks from the date of injury as does the part of the act relating to partial or total disability.
We note that after enumerating the schedule of disability, the act provides: “The amounts specified in this clause are all subject to the same limitations as to maximum and minimum as above stated.” In our opinion the word “maximum” refers to the “period covered by such compensation” which shall not be “greater than 500 weeks from the date of the injury.” In the case of scheduled loss of the various named members, the act speaks in terms of a conclusively presumed period of disability, not in terms of a specific indemnity.
In Addison v. W. E. Wood Company, 207 Mich. 319, we said:
“When the schedule provisions of section 10 become applicable, the actual extent and duration of incapacity resulting from the specified injury yield to the indisputable presumption expressly declared .in the statute by the legislature which only obtains in case the member is in fact gone, or lost. * * *
“While the statute does not provide specific indemnity for loss of a member in addition to compensation for otherwise caused disability, when an existing disability is, or becomes defined by and limited to the loss of a member, its thereafter duration and degree, as specified in section 10, are conclusively determined and fixed as total disability, or incapacity for work, during a period of 125 weeks, although it may be in fact only 6 weeks or for life.”
In Henderson v. Consumers Power Co., 301 Mich. 564, 583, in construing that part of the act under consideration in the case at bar, we said :
“It is clear that such provision only limits the ‘period covered by such compensation’ to 500 weeks from the date of the injury. In other words, under such provision an employee would not be entitled to compensation covering a period beyond 500 weeks from the date of the injury. Compensation could not be awarded for a period extending beyond the 500 weeks. The test is whether the period covered by the award is within the 500-week period. Such statute is not a statute of limitation for the filing of a claim for compensation; it is a limitation upon the period of time covered by an award. Kiviniemi v. Quincy Mining Co., 286 Mich. 680; Willard v. Globe Housewrecking Co., 294 Mich. 42.”
In our opinion part 2, § 10 of the act in question clearly provides that compensation may not be awrarded for any period of time beyond 500 weeks from the date of the injury. The award is affirmed, with costs to defendant.
Bushnell, C. J., and Boyles, Reid, North, Dethmers, Butzel, and Carr, JJ., concurred. | [
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Dethmers, J.
Defendant was convicted in 1921 of burglary, in 1930 of robbery armed, and in 1938, on a plea of guilty, of carrying concealed weapons. His arraignment in 1938 was on an information read to him in open court by the prosecuting attorney and then handed to the circuit judge, but which, as appears from the records, was not filed with the clerk. A copy thereof was found in the office of the said circuit judge after his decease. The court records fail to disclose a determination by the judge that the plea of guilty was freely made with full knowledge of the nature of the accusation, but a contemporary letter from the judge to the department of corrections states that he did make “a thorough investigation of the plea and facts surrounding that charge.” Sentence was never imposed upon that conviction but, instead, at the.court’s request, defendant was returned to prison as a parole violator.
In 1944 defendant was convicted by a jury of larceny from a hotel. Thereafter, on the basis of the above four' convictions, he was arraigned upon a supplemental information charging him as a fourth offender under the habitual criminal act, and pleaded guilty.
Defendant contends that his 1938 conviction on the concealed weapons charge should not have been considered valid for the purpose of enhancing punishment under the habitual criminal act and that, therefore, he should have been sentenced only as a third and not as a fourth offender in 1944. Defendant is here on appeal from orders (1) denying his motion to set aside his sentence as a fourth offender, (2) denying his motion for discharge on the 1938 conviction and (3) granting the people’s application for duplicating the lost information in the concealed weapons case.
It is defendant’s theory that a circuit court has no jurisdiction for any purpose in a criminal case, and that the cáuse is not pending there, until an information is filed with the clerk. With this we do not agree. When the return on examination has been filed in the circuit court by the examining magistrate and the latter’” jurisdiction ends, no hiatus occurs leaving the case suspended in mid-air with jurisdiction nowhere. Nor can it be said that, because the law permits the filing of papers in a cause with the clerk of the court, the placing of papers in the hands of the judge of the court for filing and his acceptance thereof for that purpose are ineffective. A cause was pending in the circuit court in 1938 in which it was competent for the court, at a later date, under the provisions of 3 Comp. Laws 1929, § 13898 et seq. (Stat. Ann. § 27.476 et seq.), to order the filing of a duplicate of the lost original information, which, as appears from the journal entries, was read to defendant in open court upon arraignment and thereupon handed to the judge. The statute of limitations has no application, as urged by defendant, to such filing of duplicate papers or records.
The statute, 3 Comp. Laws 1929, § 17328 (Stat. Ann. § 28.1058), requires, the .judge to become satisfied, after such investigation as he may deem neces sary, that a plea of guilty “was made freely, with full. knowledge of the nature of the accusation.” Despite the absence of a journal entry to that effect, the record before us is persuasive that the judge did make such an investigation and satisfy himself on that score. See People v. Vester, 309 Mich. 409.
Defendant urges that his 1938 conviction is not a conviction within the meaning of the habitual criminal act, to be considered for the enhancement of his punishment as an habitual offender, because sentence was never imposed thereon. 3 Comp. Laws 1929, § 17340 (Stat. Ann. § 28.1084), provides for enhancement of the punishment due a person convicted of a felony when he has been theretofore “three times convicted * * * of felonies.” The statute does not make imposition of sentence upon the previous convictions a prerequisite to the enhancement of punishment upon the fourth conviction. The conviction is the finding of guilt. Sentence is not an element of the conviction but rather a declaration of its consequences. As authority that this is the meaning of the word “convicted” as used in this statute see Attorney General, ex rel. O’Hara, v. Montgomery, 275 Mich. 504. In People v. Cordell, 309 Mich. 585, we quoted with approval the following:
“ ‘ “The suspension of the sentence simply postpones the judgment of the court temporarily or indefinitely, but the conviction and liability following it, and all civil disabilities remain.” ’ ”
In People v. Morlock, 234 Mich. 683, we held that a violation of the prohibition law might be charged as a second offense, although the first conviction had been removed to the Supreme Court on exceptions, before sentence, and remained there undecided still. In People v. Adams, 95 Mich. 541, we held that in a prosecution for second offense under the local option law, the record of the first conviction, which remains unreversed, is admissible, even though a void sentence was imposed. In the case of In re Southard, 298 Mich. 75, we said:
“The habitual criminal act was passed to provide a punishment for repeated commissions of felonies. People v. Palm, 245 Mich. 396. The act is concerned wTith prior convictions and not the sentences under those convictions.”
Other points discussed in defendant’s brief, but not set forth in or necessarily suggested by the statement of questions involved, are not considered. Court Rule No. 67, § 1 (1945).
The orders appealed from are affirmed.
Bushnell, C. J., and Sharpe, Boyles, Reid, North, Butzel, and Carb, JJ., concurred. | [
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Sharpe, J.
This is a chancery suit to enjoin defendants from constructing a building- comnionly known as a bungalow on a lot in the Meyering Land Company’s Woodward Hills subdivision in Oakland county, Michigan.
The facts are not in dispute. The principal issue involves the construction of the following restrictions:
“A. All lots fronting on Beechwood Drive, and all lots on Groveland between Maplewood avenue and Clawson avenue shall be restricted and shall be used for single bungalow residence buildings only, the value of which must be at least $6,000 and shall be placed not nearer than 20 feet from the front lot line and not nearer than 3 feet from the side lot lines. * * *
“D. All other lots in said subdivision shall be restricted and shall be used for single residence building£ only, the value of which must be at least $7,500 and shall be placed not nearer than 25 feet from the front lot line and not nearer than 3 feet from the side lot lines.”
The subdivision was platted about 1925 and the owners placed on record certain restrictions. The portions pertinent to the present issue are as above mentioned. The defendant Carey Homes, Inc., started to erect a single residence on lot No. 224 of said subdivision which lot is covered by the restriction mentioned in paragraph D above. It is admitted the value of the house and location within the lot-conforms to the restrictions. The building in process of erection is to be a one-and-a-half-story bunga low type house. When the cause came on for trial, plaintiffs offered to produce a witness whose testimony would show the intention of the original sub-divider regarding the restrictions. The trial court refused to consider this line of testimony on the theory that there was no ambiguity in- the meaning of the restrictions. Subsequent to the close of all testimony he filed an opinion in which it was said:
“The language of the restrictions is clear. The lots in question are restricted simply to single residence buildings only, the value of which must be at least $7,500, and be built not less than 25 feet from the front line and not less than 3 feet from the side lot line.”
A decree was entered dismissing plaintiffs’ bill of complaint.
Plaintiffs appeal and urge that the existence of restrictions “A” and “D” in the same set of restrictions and the language used in them exclude the right to build “single bungalow” residences (A) in a “single residence buildings only” (D) area. 1
It is the general rule that restrictions will be construed strictly against those claiming to enforce them and all doubts resolved in favor of the free use of the property. Brown v. Hojnacki, 270 Mich. 557 (97 A.L.R. 621).
In Moore v. Kimball, 291 Mich. 455, we said: “Where the language of the restriction is clear, the parties will be confined to the language which they employed.” The language employed in stating the restrictions is to be taken in its ordinary and generally understood or popular sense. See Seeley v. Phi Sigma Delta House Corp., 245 Mich. 252.
We are in accord with the interpretation of the trial court in his finding that “the language of the restrictions is clear.” It clearly appears from the restrictions that only “single bungalow residence buildings” can be built on lots fronting on Beechwood Drive and all lots on Groveland between Maple-wood avenue and Clawson avenue. While all other lots in the subdivision are not so restricted and single residence buildings including bungalow residences may be built thereon.
The decree of the trial court is affirmed, with costs to defendants.
Bushnell, C. J., and Boyles, Reid, North, Dethmers, Butzel, and Carr, JJ., concurred. | [
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Fead, J.
The suit is to cancel, for fraud, reinstatement of a life insurance policy issued in 1917, which lapsed for nonpayment of premium in 1930. The assured, Jesse T. Stringham, died May 23,1932.
Both the original application, made a basis of reinstatement, and the application for reinstatement contained the usual representations that assured was in sound health, and had not and did not have consumption nor other serious disease. The claim of fraud is that the representations were false.
Stringham was a veteran of the Spanish-A.merican war. In 1900 he filed sworn declaration for invalid pension, stating he was unable to earn a living by reason of “varicocele of left side and disease of lungs,” and that to the best of his knowledge the disabilities were permanent. Supporting affidavit of Dr. Stimson, filed in 1902, averred, in addition to specific symptoms, that assured’s lungs were in “very bad condition” and he had advised him to go west on account of them.
In 1926, assured filed application for increased pension in which he stated he was disqualified from manual labor by reason of “varicocele and lung trouble,” to the best of his belief permanent. Dr. Moyer supported the application by affidavit, stating he had “examined said Jesse T. Stringham at least twice a year for seven years, and have noted the progress of his disease, which is T. B. of the lungs. He has a cavity in one lung practically healed but at times causes him a good deal of trouble; ’ ’ and further stating that the condition was bound to be progressive, was worse each winter, the doctor was positive it had progressed in the preceding six months but expected improvement during warm weather.
In proof of death submitted to plaintiff, defendant stated the character of the assured’s last illness to be a “bad cough and troubled breathing”’ an acquaintance made a statement that the assured had been in poor health for about- a year and death had resulted from lung trouble; the attending physician, Dr. Moyer, gave both the remote and immediate causes of death as “T. B.” The death certificate stated the cause of death as “T. B. of both lungs.”
In the medical examination for the original policy the assured, in answer to a question whether he had ever applied for pension, stated: “Yes, for varicocele.” In his report, Dr. Huber, the medical examiner, stated he found no indication of tuberculosis or serious disease, past or present. He confirmed his report on the stand. Similar statement was made in the medical report on reinstatement by Dr. Stealy, who, however, was not sworn as a witness. It does not appear that assured mentioned his lung troubles to the examiners.
Drs. Stimson, Moyer and Rickerd, the latter a member of the pension examining board in 1926, tes tified. It was shown that Stringham was a stone-cutter from 1913 to 1929 and that the occupation produces dust which, getting into the lungs, causes a condition somewhat similar to consumption. All the doctors testified that assured had lung trouble. None gave an opinion that it was stone dust disease. Drs. Stimson and Moyer did not deny their diagnoses as set up in the pension papers and proof of death. Their attitude is that, as put by Dr. Stimson, “clinically” they had found tuberculosis but “pathologically” they did not know. They said that without a microscopic examination of sputum they could not be certain assured had consumption.
Plaintiff has the burden of proof of fraud, not beyond a reasonable doubt nor to an absolute certainty but by a preponderance of the evidence. The evidence is convincing that assured had lung trouble from 1900 to the time of his death and it was the cause of death. The medical opinion, so far as stated, is that he had tuberculosis. Against the opinion is only a possibility that his lung trouble arose from stone dust, so remote a possibility that no doctor hazarded an opinion that stone dust, and not tuberculosis, was the trouble.
The essential question is whether plaintiff had the burden of proof beyond a doubt and must fail because the doctors stated that they could not be certain that assured had tuberculosis as they had not made a test according to the most scientific and accurate method. Such standard of proof of the character of disease and cause of death could not fail to work injustice in innumerable cases where claims are made under policies. It would destroy the evidentiary value of opinions of physicians who have not at their command the means of the ultimate test. As between medical opinion based.upon “clin ical” diagnosis and a mere remote possibility there can be no choice.
The overwhelming evidence is that the assured was afflicted with tuberculosis when he applied for reinstatement and the policy must be set aside for fraud.
.Decree is reversed and one will be entered in accordance with this opinion, with costs.
Nelson Sharpe, C. J., and Potter, North, Wiest, Butzel, Bushnell, and Edward M. Sharpe, JJ., concurred. | [
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Dethmers, C. J.
Combined for trial and appeal are the 2 cases of father and of son suing to recover their damages for injuries to the son, hereinafter called the plaintiff. They result from the intersection collision of plaintiff’s motorcycle with a truck owned by the defendant company and driven by defendant Humphrey, hereinafter called the defendant. Plaintiffs appeal from judgment of no cause for action entered non obstante veredicto on the ground of plaintiff’s contributory negligence as a matter of law.
Plaintiff was driving his motorcycle west, near the north edge of a 4-lane, east and west, highway. He was approaching its intersection with a 2-lane, north and south, highway, on which defendant’s truck was proceeding north toward the intersection. It was after dark. A signal flashed red to traffic on the north and south highway and yellow to those on the east and west highway. Plaintiff’s headlight was on lower beam and “would barely light up a person at 75 feet” ahead. He was travelling at a speed of from 35 to 40 miles per hour. At that rate of speed he could not have stopped the motorcycle in 85 feet, nor 100 feet, but could have done so in approximately 150 feet. At about 500 feet back from the intersection an automobile passed him on the left, travelling on the inner westbound lane. It continued its course on that lane at a distance of from 35 to 50 feet ahead of him. When he was from 300 to 400 feet from the intersection he looked to the left and saw no vehicle approaching the intersection from that direction.
Defendant stopped the truck at the south entrance to the intersection as required by the red flasher signal (CDS 1956, §257.614 [Stat Ann 1952 Rev § 9.2314]). He testified that he saw plaintiff’s motorcycle and the automobile just ahead and to the left of it approaching at a distance of about 700 to 1,000 feet. He estimated plaintiff’s speed at from 60 to 70 miles per hour. Testimony of another witness was that when the automobile immediately preceding plaintiff’s motorcycle was 350 feet distant, defendant’s truck started into the intersection. Defendant testified that he drove the truck through the intersection in second gear, in which its maximum speed was from 8 to 10 miles per hour. He also testified that he last saw plaintiff’s motorcycle when it was 500 feet distant and that after starting the truck and entering the intersection he did not again look to his right. The truck crossed the 3 southerly lanes. The automobile just ahead and to the left of plaintiff did not slow down, hut passed through the intersection immediately behind the truck.
Plaintiff testified that when he was 85 to 100 feet from the intersection he first observed a gray object in the center of the road ahead. He then saw the truck moving slowly and realized that he could not stop soon enough to avert a collision. He applied his brake, skidded, jackknifed the front wheel, the motorcycle turned on its side on the skid bars, he was unable to miss the truck and collided with one of its rear wheels.
The basis of the court’s holding plaintiff guilty of contributory negligence as a matter of law was that his speed was excessive in view of (1) the obstruction of his view to the left by the automobile which had just passed him, (2) his inadequate headlight, which did not throw a light ahead the full distance within which he could stop, and (3) the caution warning of the yellow flasher signal confronting him. Defendants’ brief plants it squarely on plaintiff’s driving at a speed which would not permit him to stop in less than 150 feet while his headlight would barely enable him to see a person 75 feet ahead. In other words, it is claimed that plaintiff was driving at a speed greater than would permit him to stop within the assured clear distance ahead in violation of CLS-1956, §257.627 (Stat Ann 1952 Rev §9.2327), and without the caution required by CLS 1956, § 257-.614 (Stat Ann 1952 Rev § 9.2314) while approaching an intersection facing a flashing yellow signal. Defendants also point to the prohibition of CLS 1956, § 257.630 (Stat Ann 1952 Rev § 9.2330) against driving a motor-driven cycle after dark at a speed greater than 35 miles per hour, unless it is equipped with a headlamp adequate to reveal a person or vehicle 300 feet ahead.
That plaintiff was guilty of negligence as a matter of law cannot be doubted. Was his negligence a proximate cause of the accident? That seems to us to have presented a question of fact for the jury. Whether a headlight on plaintiff’s motorcycle, which would have been adequate to reveal a person 150 feet or even 300 feet ahead, would have disclosed the presence of defendant’s truck to plaintiff soon enough to have enabled him to avoid the accident, or whether, on the contrary, because the truck was coming from one side, it would not have come within the ambit or spread of the rays from such adequate headlight in time to have permitted plaintiff, travel-ling at from 35 to 40 miles per hour as would have been permissible and proper with such headlight, to see it and to avert the collision- — these are factual questions. They go to whether plaintiff’s negligence was a proximate cause. If it was not, then that negligence is no bar to his right to recover. Marcott v. Marquette, Houghton & Ontonagon R. Co., 47 Mich 1; Spencer v. Phillips & Taylor, 219 Mich 353; Rife v. Colestock, 297 Mich 194; Socony Vacuum Oil Co. v. Marvin, 313 Mich 528; Alley v. Klotz, 320 Mich 521. This is true even though the plaintiff’s negligent act was, as here, a violation of a statutory duty. See, by way of analogy, cases of such negligence on the part of defendants: Syneszewski v. Schmidt, 153 Mich 438; Fifelski v. Grand Rapids Gas Light Co., 181 Mich 503; Lexchin v. Mathews, 269 Mich 120; Warwick v. Blackney, 272 Mich 231; Stahl v. Bell, 276 Mich 37.
Defendants contend that the court correctly entered judgment non obstante veredicto, if for the wrong reason, then, because the proofs fail, as a matter of law, to show defendant guilty of actionable negligence. We think there was sufficient testimony to go to the jury on this question. As previously noted, defendant testified that while standing still at the entrance to the intersection he saw plaintiff approaching from his right, that he then estimated plaintiff’s speed at from 60 to 70 miles per hour, that he last saw plaintiff when 500 feet distant and that he thereafter started into the intersection. Another witness testified that when defendant started to cross plaintiff was but 385 feet distant. Defendant further testified that once he entered the intersection he did not again look to his right and that he proceeded at a speed of from 8 to 10 miles per hour. ■ Whether defendant was guilty of actionable negligence which was a proximate cause of the accident in starting across the 4-lane intersection under such circumstances and then proceeding at some 8 to 10 miles per hour without again looking to his right, gave rise to a question of fact for the jury.
Reversed and remanded for entry of judgments on the jury verdicts, with costs to plaintiffs.
Carr, Kelly, Smith, Black, Edwards, Yoelker, and Kavanagh, JJ., concurred. | [
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Carr, J.
For several years past plaintiff has carried on within this State the business of buying and selling motor vehicles, having been licensed to do so under the provisions of the statute regulating such business. Following notice and hearing his license was suspended for a period of 90 days by the secretary of State, and plaintiff, on leave granted, has prosecuted this appeal in the nature of certiorari. The order in question was dated August 21, 1947, and became effective, subject to certain expressed conditions not material at this time, on September 15th, following.
The suspension of the license was based on the finding that plaintiff, without being authorized to do so under such license, had purchased and sold new automobiles in his business. The controversy involves the interpretation and application of provisions of the motor-vehicle title act of this State, Act No. 46, Pub. Acts 1921 (1 Comp. Laws 1929, § 4658 et seq. [Stat. Ann. § 9.1471 et seq.]), as last amended by Act No. 151, Pub. Acts 1943, and Act No. 272, Pub. Acts 1945 (Comp. Laws Supp. 1945, § 4658 et seq., Stat. Ann. 1946 Cum. Supp. § 9.1471 et seq.). Section 14 of said act was further amended by Act No. 250, Pub. Acts 1947, but said amendatory act, which became effective October 11,1947, is not material in the determination of the issues here involved.
Various provisions of the act indicate a legislative intent to differentiate between dealers selling new automobiles and those engaged solely in business as used-car dealers. Section 14e directs the secretary of State to adopt some method “to segregate new car dealers, exclusive used car dealers, junk dealers, et cetera, on his records.” Section 14, in providing for the issuance of a license, makes reference to section 14e which in terms requires that, if new motor vehicles are to be sold, the application shall set forth the make or makes to be handled and each dealer shall accompany his application for a license with an affidavit “swearing to the fact that he holds a bona fide contract to act as factory representative” for the sale of a specified make of par. Section 14f further requires the secretary of State to refuse to issue a license to any applicant the secretary finds “is engaged or will engage in the business of selling at retail any new motor vehicles without having authority of a contract with a manufacturer or distributor thereof.” No claim is made in the instant case that plaintiff had such a contract. The license which he held permitted him to engage in the sale in his business of used cars only.
As the basis for the order made by him, the secretary of State filed findings of fact and conclusions of law, stating therein that, on the receipt of information that plaintiff was offering for sale and selling new automobiles, an investigation was instituted. Thereafter a complaint against plaintiff was submitted to the secretary of State by the executive secretary of the Michigan Automobile Dealers Association. Said complaint purported to set up facts concerning plaintiff’s operations, and submitted in connection with it were advertisements inserted by plaintiff in certain newspapers circulating in the community in which his business was conducted. Statements contained in such advertisements indicated that plaintiff was offering new cars for sale. Thereafter a notice was served on plaintiff by the secretary of State, reciting that a “verified complaint” had been filed against him charging a violation of section 14f, paragraph (c), of the motor-vehicle title act.
It is conceded that the reference in the notice was to the complaint above mentioned. As a matter of fact, said complaint was not verified, although attached to it was a certification by a notary public that it had been signed in his presence. On the hearing the right of the secretary of State to proceed was challenged on the ground that there was no properly verified complaint before him. However, the testimony of plaintiff was tahe.n and certain exhibits were incorporated in the record for the purpose of showing the facts with reference to sales by him of new automobiles. Following the introduction of the proofs the attorney general intervened in the case and filed a verified complaint against, plaintiff. This was done over objection. An offer to continue the hearing in order to give plaintiff further time to make such showing as he desired was not accepted. The order for the suspension of the license followed.
The first question for consideration arises from the claim of plaintiff that the secretary of State was not authorized to act except on the basis of a properly verified complaint. Section 14f of the act contains the following provision:
“The secretary of State shall, upon a verified complaint in writing of any person, investigate the conduct of any licensee and shall suspend or revoke or refuse to renew any license if investigation proves that licensee has not complied with all or certain sections of this act.”
This must be read in conjunction with other provisions of the act, particularly the following clause from section 14:
“The secretary of State shall be authorized, after a hearing, notice of which shall be given 10 days in advance, for good cause shown, to revoke the license of any motor vehicle dealer or to refuse to issue a license as provided in section 14f of this act.”
It is significant to note that the above language in section 14 was enacted in the form quoted in Act No. 151, Pub. Acts 1943, by which act section 14f was added to the statute. It may not be assumed that the legislature intended these provisions to have identical meanings. It was clearly the purpose to authorize the secretary of State to proceed on his own initiative in a proper case, and to require him to make an investigation on the filing of a verified complaint containing charges that a licensed dealer has not complied, or is not complying, with the provisions of the motor-vehicle title act. The reference to a refusal to issue a new license, contained in the provision quoted from section 14f, would seem to leave no serious question in this regard. Obviously it was the intention of the legislature that the secretary of State may, following notice and hearing, refuse to issue a license without a verified complaint having been filed by a third person and an investigation held thereon.
As before noted, the findings filed by the secretary of State recited that an investigation into plaintiff’s alleged activities had been started prior to receipt of the communication from the executive secretary of the Michigan Automobile Dealers Association. Such investigation was authorized by the statute. The unverified complaint, subsequently filed, served merely to furnish additional information. It is not questioned that the notice served on plaintiff properly advised him of the nature of the charge against him. The reference therein-to “a verified complaint” did not affect the notice or the subsequent hearing held thereon. No proceedings were taken on the complaint of the attorney general. It has no bearing on the issues in the case and may be disregarded. Under the provisions of the statute the secretary of State was empowered to hold an investigation, give notice, and conduct a hearing on his own initiative. From a legal standpoint that is precisely what was done in the instant case. Plaintiff’s claim that the order from which he appeals is a nullity because no verified complaint was filed with the secretary of State prior to notice and hearing cannot be sustained.
Plaintiff further claims that the evidence introduced on the hearing before the secretary of State was not sufficient to support the order for suspension of the license. In section 14f of the motor-vehicle title act it is declared that:
“The findings of fact made hy the secretary of State acting within his power shall, in the’ absence of fraud, be conclusive, but the Supreme Court shall have power to review questions of law involved in any final decision or determination of the secretary of State: Provided, That application is made by the aggrieved party within 30 days after such determination by any method permissible under the rules and practice of said court or the laws of this State, and the Supreme Court shall be authorized to make such further orders in respect thereto as justice may require.”
In his findings filed at the conclusion of the hearing the secretary of State said:
“The testimony of Mr. Salway shows that on three successive occasions he advertised for sale several automobiles. He said in his prominent newspaper advertising: ‘These are absolutely brand new automobiles.’ His testimony discloses that these cars were actually sold by him, and he offered no proof that they were ‘used’ beyond showing that they had been ‘titled’ to a private name before acquisition thereof by him. The cars so offered and sold were in fact what he represented them to be — -‘absolutely brand new,’ and Mr. Salway, an ‘exclusive used car dealer,’ has thus unlawfully engaged in the business of selling new cars without having obtained either a manufacturer’s franchise (14e) or a license from this office so to do (14f).”
Under the provision of section 14f of the statute, above quoted, we do not weigh the evidence. We consider it solely for the purpose of determining if it supports the finding on which the order is based. Powers v. Secretary of State, 312 Mich. 315; G. F. Redmond & Co. v. Michigan Securities Commission, 222 Mich. 1. The inquiry is, in consequence, whether the evidence in the record was sufficient to justify the factual finding set forth in the language quoted.
In an advertisement in the Hillsdale Daily News under date of April 22, 1947, plaintiff described cars offered for sale by him as “absolutely brand new automobiles.” One of the cars, he stated, was “delivered by local Plymouth dealer 28 hours ago.” The second was claimed to have “50.9 actual miles.” The third was listed as “another fine new automobile.” In another advertisement in the same paper on April 25, 1947, an automobile was described as “brand new this week from local Plymouth dealer.” On May 2, 1947, plaintiff advertised for sale a certain car, stating he “made a scoop” by purchasing it “one day before it was delivered to private party from local Hillsdale Plymouth dealer.” As stated by the secretary of State in his finding the testimony of plaintiff disclosed that the cars referred to in the advertisements were offered for sale and sold by him. There is nothing in the record to suggest that the description of the cars was not accurate. Plaintiff does not contend that he was guilty of false advertising.
Section 1, paragraph (e), of the motor-vehicle title act defines the term “used vehicle” as “A motor vehicle which has been sold, bargained, exchanged, given away or title transferred from, the person who first took title to it from the manufacturer or importer, dealer or agent of the manufacturer or importer, and so used as to have become what is commonly known as ‘second hand’ within the ordinary meaning thereof.” The definition suggests a line of demarcation between new and used automobiles. It is apparent that in the statute in question the legislature did not use either term in a technical sense but rather with the intent that each should be given its ordinary meaning. Obviously, it was the purpose to differentiate between new and used ears and, as before noted, between dealers therein. The definition of a used vehicle clearly implies that a new automobile must be regarded as one that has not been so used as to have become second hand in the ordinary acceptance of the term. Whether in a given instance a motor vehicle, title to which has been transferred by the manufacturer or importer, or by a representative thereof, has been so used becomes an issue of fact. The evidence before the secretary of State in the instant case tended to show that the specified motor vehicles described by plaintiff in his advertisements as “new” were correctly classified. In other words, they had not been used in such manner or to such extent as to render them second-hand cars. We conclude that there was evidence before the secretary of State to support the finding on which the order was based.
This brings us to a consideration of the further question whether the facts so found constituted “good cause” for the suspension of plaintiff’s license within the meaning of the term as used in the provision hereinbefore quoted from section 14 of the motor-vehicle title act. Said provision specifically refers to section 14f which sets forth the grounds on which the secretary of State is required to deny an application for any license. It is a logical conclusion that the legislature had in contemplation that whatever constituted a reason, or reasons, for denying a license in the first instance should be considered “good cause” for the revocation of a license. Since engaging in the business of selling new motor vehicles at retail without having authoritv of a contract with the manufacturer or distributor therefor necessitates refusal of a license, it must be regarded as sufficient cause to justify a suspension or revocation.
It is argued also on behalf of plaintiff that if the provisions of the motor-vehicle title act defining the powers and duties of the secretary of State with reference to licenses are construed as authorizing that official to determine in any instance whether particular motor vehicles are new or second hand, such provisions are unconstitutional because attempting to make an unwarranted delegation of power to an administrative officer. The argument rests on the theory that the statute provides no legal test that may be applied to determine in a given instance whether a motor vehicle should be classified as new or as used, and that in consequence the secretary of State is not only required to determine the fact but to provide his own standard in so doing. With this contention we are unable to agree. We think the legislature has clearly indicated the meaning to be given to the term “used vehicle.” By necessary implication a new vehicle is one that has not become used or second hand within the meaning of the statutory definition. As before noted, the terms in question must be given their ordinary significance. In refusing to issue a license, or in revoking a license previously issued, the secretary of State must be governed accordingly. He is not at liberty, as plaintiff implies, to indulge in any arbitrary definition of terms. The statute does not attempt to grant him authority to do so. Rather the legislature has clearly indicated in the provisions of the statute the general purpose sought to be accomplished thereby, and has outlined the procedure to be followed in effectuating that purpose. To that end the secretary of State is charged with the exercise of certain powers and the performance of duties specifically vested in him.
In Warnshuis v. State Board of Registration in Medicine, 285 Mich. 699, the Court had under consideration a statutory provision authorizing the defendant board to refuse to issue or continue a certificate of registration or license to any person guiltv of “grossly unprofessional and dishonest conduct.” The phrase quoted was declared to mean, among other things, advertising in which “grossly improbable statements are made.” Under said statute the determination as to what constituted a “grossly improbable statement” was left to the board. It was contended that the provision authorizing revocation or suspension of a license because of such advertising was unconstitutional and void on the ground'that an attempt had been made by the legislature to vest the defendant board of registration with arbitrary power. In support of such contention it was argued that the result of the statute was to leave the determination of the question whether the statements in an advertisement in a particular instance were grossly improbable “to the varying opinions and views of the board.” The act was upheld, however, this Court saying in part:
“In our opinion the terms used in the statute have a definite and well recognized meaning. It would be quite impossible for the legislature to enumerate all of the specific statements which might be grossly improbable. The determination of what constituted ‘grossly improbable statements’ can best be left to those who have the education and experience, such as the medical board. Such delegation of power is properly vested in the State board of registration in medicine.”
In Argo Oil Corp. v. Atwood, 274 Mich. 47, it was said:
“It is too well settled to need the citation of supporting authorities that the legislature, within limits defined in the law, may confer authority on an administrative officer or board to make rules as to details, to find facts, and to exercise some discretion, in the administration of a statute.”
See, also, In re Van Hyning, 257 Mich. 146; Milk Marketing Board v. Johnson, 295 Mich. 644; Toole v. Michigan State Board of Dentistry, 306 Mich. 527; Ranke v. Corporation & Securities Commission, 317 Mich. 304.
Under the general principles announced and applied in the above cited cases arid other decisions of like import, the conclusion follows that the provisions of the motor-vehicle title act, here in question, defining the powers and duties of the secretary of State with reference to the refusal and revocation of licenses to dealers, are not invalid for the reason urged by plaintiff. Such provisions, construed in the light of the general purpose of the legislature in the enactment of the statute, do not attempt to vest unwarranted and arbitrary power in an administrative officer. It is true that the performance of the duties imposed on him requires the secretary of State to determine facts, but the standards to be observed in such determinations are clearly indicated by the statute. Those standards were observed in the instant case. On the record before us it cannot be said that the secretary of State acted arbitrarily or without proper statutory authority. Powers v. Secretary of State, supra.
The order suspending plaintiff’s license is affirmed. The question involved being of public interest, no costs are allowed.
Bushnell, C. J., and Sharpe, Boyles, Reid, North, Dethmees, and Butzel, JJ., concurred. | [
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Kelly, J.
A Wayne county circuit court jury .awarded plaintiff Helen Hall $5,000 and her husband $1,400, and answered “No” to the special question: '“Was plaintiff Helen Hall a guest passenger in the car of defendant George H. Kimball, Jr., at the time of the accident ?”
The trial court denied defendant’s motion for judgment non obstante veredicto and entered judgments. Defendant appeals, contending that the ■court erred in submitting to the jury the question ■as to whether plaintiff Helen Hall was a guest passenger and, also, the question of defendant’s negligence.
The cases were consolidated at time of trial and ■on this appeal. We shall refer to plaintiffs in the singular throughout this opinion. Defendant Kim-ball died after trial of the cases and his administratrix is continuing the appeal.
Question No. 1: Was plaintiff a guest passenger •or a passenger for hire?
The record does not sustain gross negligence necessary for plaintiff to recover as a guest passenger.
Appellant contends that the proof discloses r Plaintiff was a gratuitous guest passenger; his (defendant’s) wife was plaintiff’s aunt and plaintiff was injured as she was riding with him to the hospital to visit his wife; plaintiff was under no compulsion to accompany him and could have stayed at home had she so desired; that there was no agreement, understanding or discussion as to plaintiff’s passenger status; there was a close family relationship that existed between plaintiff and defendant and defendant’s wife and that there was “not a word about payment in any shape or form either tangible or intangible ;” defendant did not need any help from plaintiff in driving and there was no contract of any kind.
Plaintiff insists the proof establishes: Defendant was a small, frail man, 72 years of age, who did not like to drive alone or in heavy traffic, and who was greatly disturbed by his wife’s illness; plaintiff did not want to make the trip with defendant to the hospital because she not only had a dinner guest at her home, but would have to leave her sick, bed-fast, mother, her husband and her children; the first 2 times defendant called her on the telephone in the afternoon, before the evening accident, she refused' him and it was only because he “asked,” “urged,”' and “insisted” that she accompanied him on the 10-mile trip to the hospital; it was a detriment, sacrifice and inconvenience to her to accompany defendant.
In Hunter v. Baldwin, 268 Mich 106, 109, we held that not everyone riding in a motor vehicle without payment is a guest; plaintiff who cranked automobile at request of operator before re-entering car after absence of several hours, held not a guest so as to relieve owner of car from liability for plaintiff’s injuries suffered when car ran over him.
Cardinal v. Reinecke, 280 Mich 15, established that a teacher in school of beanty culture who, at request of defendant, accompanied her and her 2 daughters on a trip to investigate possibility of daughter becoming an operator in a beauty parlor, held, not a mere guest passenger — hence, entry of judgment for defendant on ground plaintiff was a guest passenger was error.
In deciding Peronto v. Cootware, 281 Mich 664, we found that a mother who lived 42 miles from town in which her sons resided and who was sent for by one son to take care of his sick wife held, not a guest passenger of other son, the defendant, who was an uncompensated volunteer in conveying mother to his brother, since the trip was not for mother’s own business or pleasure and the mother made the trip in order to render a requested service.
The principles established in the 3 above-mentioned cases sustain the trial court’s decision that the question as to whether plaintiff was a guest passenger was one of fact that should be decided by the jury.
Question No. 2: Did plaintiff introduce sufficient proof to justify submitting the question of defendant’s negligence to the jury?
Plaintiff started her action against defendant Kim-ball and defendant Shoha and in finding defendant Kimball guilty of negligence, the jury also found defendant Shoha not guilty of negligence.
The collision between Kimball and Shoha’s cars occurred as Kimball was endeavoring to turn left off a 4-lane highway, Telegraph road, onto G-olf drive. Kimball had remained stationary and parked for at least a minute, waiting for a break in the traffic that would give him enough time to make the left turn without a collision. The question as to whether he negligently turned in front of traffic and IShoha’s car was a question for the jury to answer and decide. The trial court did not err in submitting this question to the jury.
Affirmed. Costs to appellee.
Dbthmers, C. J., and Carr, Smith, Black, Edwards, Voelker, and Kavanagh, JJ., concurred.
See PA 1949, No 300, §401 (CLS 1956, §257.401, Stat Ann 1952 Rev § 9.2101). — Reporter. | [
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Black, J.
Refer to Certain-teed Products Corporation v. Paris Township, 351 Mich 434. Following entry of judgment and decree and the filing of additional pleadings, Judge Searl proceeded toward hearing as directed. Thereupon — August 25,1958— an interlocutory decree was entered in case No. 57,706. From such decree the defendants, now cross plaintiffs by aforesaid additional pleadings, have taken this appeal.
The question as briefed and argued is whether this initial interlocutory decree affords defendants the' full measure of protection called for by our opinion in Certain-teed. Counsel clash with respect to certain wording of the decree, it being insisted on the one hand that Judge Searl has failed to provide due “guarantee” that no gypsum dust will settle on Paris township as a result of plaintiffs’ impending mining and manufacturing operations, and on the other that the decree does “correctly establish the factual representations of Bestwall (assignee of and successor to Certain-teed) with respect to dust control.”' As it proceeds the argument becomes a debate of applied semantics, the verbal premises of which each array of counsel selects from our said opinion and Judge Searl’s mentioned decree. However, all things considered in the light of what has been declared and written in both courts, such debate pre sents no solntional difficulty as of today. Tomorrow may be different.
The decree brought here is no more than one of authorization to start the experiment considered in Certain-teed, on and in accordance with considered and necessarily provisional specifications of judicial surveillance. The lessons of experience as the project proceeds, distinguished from narrow or broad interpretation of words employed in such decree, will dictate the course of the chancellor’s superintendence. His determination of developing issues will be controlled by results — not tentative decretal provisions. Such is the substance of our said opinion. There is no indication that the decree before us departs therefrom.
We apprehend that Judge Searl, as result-reports come to him in the orderly course of pleading and hearing, will by our said opinion-standards extend priority to the rights of the inhabitants of Paris township should it become necessary — we trust it will not — to select pne of these competing rights (habitational versus industrial) over the other. He will listen to no captious or querulous dust complaint and will apply the doctrine de minimis thereto. On the other hand he will hold Bestwall to a high degree of performance and result of that which, in the varying words of its witnesses (sworn at original and interlocutory hearings), Bestwall has assumed to represent in the inducement of declaratory relief. Generally, and at all hazard, the chancellor will see that the right of comfortable habitation in Paris township is amply protected as in our said opinion provided. We need say no more.
There being no substantial conflict of decrees entered thus far, we affirm, without costs.
Dethmers, C. J., and Carr, Kelly, Smith, Edwards, Voelker, and Kavanagh, JJ., concurred. | [
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Kelly, J.
On October 2, 1962, the chief inspector of the inspections division of the city of Saginaw ordered defendants, by certified mail, to demolish the house and garage they owned on Andre street, in Saginaw, on or before November 1, 1962.
February 4, 1963, the city manager sent notice to defendants to obtain demolition permits within 10 days.
Defendants failed to comply, and on February 20, 1963, plaintiff filed complaint in the Saginaw circuit court, alleging:
“That plaintiff city of Saginaw has enacted an ordinance to protect the health, safety, welfare and morals of the people of the city of Saginaw, which ordinance provides minimum standards regulating and controlling the design, construction, quality of materials, use and occupancy, location and maintenance of all buildings and structures in the city and became effective on March 1, 1960, is known as the building code or the uniform building code, and hereinafter referred to as Ordinance D-511, as amended,”
and that defendants had failed to meet the requirements of the ordinance.
Defendants challenged the ordinance as an unconstitutional and improper exercise of police power.
The trial court in its opinion found “that said ordinance which plaintiff seeks to enforce is not an unwarranted exercise of police power”, and in its judgment stated;
“Pursuant to the provisions of Ordinance D-511, as amended, and chapter 3, article 1, § 101, said buildings are a public nuisance by reason of inadequate maintenance, dilapidation and abandonment; and in order to abate said nuisance,
“It is ordered and adjudged, That defendants, their heirs, executors or assigns, cause the buildings at 207 North Andre street to be demolished within 90 days from the date hereof;
“It is further ordered and adjudged, That if defendants do not cause the buildings to be demolished within the above time limit, plaintiff may carry out said abatement within the meaning of chapter 3 of the Saginaw general code.”
The fact that defendants again challenged the validity of the ordinance in the Court of Appeals is evidenced by the following from the opinion of the Court of Appeals affirming the judgment and finding of the Saginaw circuit court (pp 683, 684) :
“The defendants appeal, claiming that section 203(a) of Ordinance D-511 of the city of Saginaw is unconstitutional as an improper exercise of the police power of the municipality, and an improper delegation of legislative authority to an administrative official without definable standards. Second, the appellants contend that the city’s action constitutes the taking of private property for public use without just compensation.
“The ordinance in question, Ordinance No D-511, § 203(a), provides that:
“ ‘All buildings or structures which are structurally unsafe or not provided with adequate egress, or which constitute a fire hazard, or are otherwise dangerous to human life, or which in relation to existing use constitute a hazard to safety or health, or public welfare, by reason of inadequate maintenance, dilapidation, obsolescence, or abandonment as specified in this code or in any other effective ordinance, are for the purpose of this section, unsafe buildings. All such unsafe buildings are hereby declared to be public nuisances and shall be abated by alteration, repair, rehabilitation, demolition or removal, in accordance with the procedure of this section or of article 1 of chapter 3 of the Saginaw general code.’
“The Saginaw general code referred to above, chapter 3, art 1, § 101.1 provides:
“ ‘Whatever annoys, injures or endangers the safety, comfort or repose of the public; offends public decency; interferes with, obstructs or renders dangerous any street, highway, navigable lake or stream; or in any way renders the public insecure in life or property is hereby declared to be a public nuisance.’
“The ordinance before us used the terms, ‘by reason of inadequate maintenance, dilapidation.’ These terms could scarcely be made more specific, and an examination of the photographic exhibits shows that no better terms, description or adjectives could be used to describe the condition of the buildings in question. Thus the appellants’ contention that there has been an improper delegation of legislative authority to an administrative official without definable standards is without merit.”
In their appeal to this Court, defendants call attention to the fact that in Commissioner of State Police v. Anderson (1955), 344 Mich 90, 95 we said:
“To say that the houses are old and dilapidated does not alone justify their razing or make them a nuisance,”
and submit as their question No 1, the following:
“Did the trial judge of the lower court err in his ruling that the ordinance which appellee, city of Saginaw, seeks to enforce is not an unwarranted exercise of police power?”
Plaintiff-appellee admits that the ordinance in question (ordinance D-511) could be administered in an unconstitutional manner, but states that “this is precisely why the city of Saginaw has gone to court in this matter rather than performing the demolition under the provisions of the city ordinance.”
We answer defendants-appellants’ question No 1 in the affirmative. The ordinance discloses that there was an improper delegation of authority without definable standards, a greater delegation of authority without definable standards than delegations we have passed judgment upon and have declared unconstitutional in previous opinions. See Osius v. City of St. Clair Shores (1956), 344 Mich 693 (58 ALR2d 1079); Hoyt Brothers, Inc., v. City of Grand Rapids (1932), 260 Mich 447; O’Brien v. State Highway Commissioner (1965), 375 Mich 545.
We in the past, as we will in the future, have recognized a city’s right to proceed in court to abate a nuisance, and nothing in this opinion should be interpreted to prevent plaintiff taking further proper action against defendants.
We cannot, however, approve a judgment based on an invalid ordinance and, therefore, are granting appellants’ request for relief:
“That section 203(a) of ordinance D-511 of the city of Saginaw, Michigan be declared unconstitutional as an improper exercise of the police power of the municipality, and as an improper delegation of legislative authority to an administrative official without precise standards to guide his actions, and that the action taken under said ordinance be set aside.”
Reversed. Costs to defendants-appellants.
Dethmers, C. J., and Black, and T. M. Kavanagh, JJ., concurred with Kelly, J.
City of Saginaw v. Budd (1906), 3 Mich App 681. | [
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T, E. Brennan, J.
This action by a machinery broker plaintiff was brought to recover a commission on the sale of used machinery to the defendant corporation.
Defendant concededly entered into a written contract which provided that its obligation to purchase the machine was “subject to financing.” The trial court found that the -parties intended by this phrase to mean that the purchase of the machine would be accomplished with the aid of the personal indorse ment of the directors of the defendant corporation, if necessary.
The Court of Appeals reversed (5 Mich App 53), holding that:
“There was no written or oral promise given to plaintiff by the directors or their agents that they would personally indorse the papers necessary to finance the purchase of the furnace. When a person selling machinery to a corporation concludes his contract with the corporation rather than with the representatives of the corporation, the seller is bound to look to the corporation for performance on the contract. Whitney v. Wyman (1879), 101 US 392 (25 L Ed 1050).”
The principles of law thus noted by the Court of Appeals are correct, but they are inapplicable. This action is not against the directors; there is no attempt to hold them personally liable for the broker’s commission. The trial court found that the corporation promised to buy the machine, and that the words “subject to financing” were intended by the parties to mean “our usual method of financing, including indorsement by the directors, if necessary.”
A can promise 33 that C will do something. If A is not C’s agent, C will not be bound to do it. But nonperformance by C will be a breach of contract by A. This is the typical situation of an agent’s liability upon implied warranty of authority.
So, it was possible for defendant corporation to promise plaintiff that its directors would indorse notes for the furnace, if that step was necessary to secure financing for the purchase of it.
The trial court found that the contract was ambiguous on this point, but that this was the true intention of the parties.
This factual determination by the trial judge, who observed the demeanor of the witnesses, should not have been disturbed by the Court of Appeals.
The Court of Appeals is reversed, and the judgment of the circuit court is affirmed. Costs to appellant.
Souris, J., concurred with T. E. Brennan, J.
Kelly, Black, T. M. Kavanagh, and Adams, JJ., concurred in result. | [
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T. M. Kavanagh, C. J.
On March 13, 1964, Erika Sleboede, plaintiff-appellee, was granted a default judgment of divorce from Guenter Sleboede, defendant-appellant, in Wayne Circuit Court. Plaintiff had not requested judicial distribution of property; her complaint prayed only for dissolution of the marriage, payment of attorney’s fees, and such other relief “as shall be agreeable to equity and good conscience.” She testified that she had quitclaimed her interest in a house to Guenter and that all other property interests had been distributed in accordance with the wishes of both parties.
The judgment omitted reference to any property settlement other than the usual one dollar “in lieu of” plaintiff’s dower rights and
“in full satisfaction of all claims that she may have in any property which the defendant owns or may hereafter own or in which he has or may hereafter have any interest.”
Throughout the judicial proceedings no mention was made of a $31,500 insurance policy then in effect which Guenter had purchased on his life naming Erika as beneficiary. The judgment contained no provision regarding insurance. Guenter died in an automobile accident in September 1965, having kept the $31,500 insurance policy in force and not having changed the beneficiary designation. The insurer paid the proceeds to the administrator of Guenter’s estate.
On March 13, 1967, Erika Sleboede moved for entry of an order nunc pro tunc amending the divorce judgment so as to require Guenter to maintain the life insurance policy and to continue Erika as beneficiary thereunder. Attached to the motion was an affidavit executed by Guenter’s divorce attorney which stated that Guenter intended that Erika remain the beneficiary of the policy and that no provision regarding the policy or other property had been made in the divorce judgment “because of the desire of Guenter Sleboede to provide for his wife voluntarily and without court direction contained in a judgment.” (Emphasis added.) Also attached to the motion was a handwritten letter allegedly writ ten by Guenter to Erika shortly before his death which stated, in pertinent part:
“As to you — you will not have anything in your hands to prove that I owe you money — and it will stay that way. —to prove that my word to you is as good as gold. —I’ll never disappoint you in that respect.
.y. .... -V-
“As to our financial settlement, I’ll stick to what I promised when you left. I’m leaving my 1st life insurance policy in your and my name. Should I ever die before collecting, you’ll receive the $32,000.”
The letter clearly identified the policy by insurer and number. Guenter’s estate contested the motion.
On January 12, 1968, the trial court entered an order nunc pro tunc amending the 1964 divorce judgment so as to require maintenance of the policy by Guenter Sleboede and irrevocable designation of Erika Sleboede as beneficiary. The Court of Appeals affirmed per curiam (16 Mich App 202), holding that the trial judge’s determination that a predivorce property settlement existed was supported by adequate competent evidence, and that the court had authority to amend the divorce judgment nunc pro tunc. Following denial of defendant-appellant’s motion for rehearing we granted leave to appeal. 382 Mich 786.
Although the parties have raised several issues our answer to the following controls this case :
May provisions of a parol property settlement between the parties to a divorce judgment be subsequently incorporated into the judgment of divorce by means of an order nunc pro tunc¶
The lower courts misconstrued the purpose of an order nunc pro tunc. The function of such an order is to supply an omission in the record of action previously taken by the court but not properly recorded; an order nunc pro tunc may not be utilized to supply previously omitted action. Magoun v. Walker (1938), 286 Mich 686; Mallory v. Ward Baking Co. (1935), 270 Mich 91; Haray v. Haray (1936), 274 Mich 568.
“Briefly stated, the purpose of a nunc pro tunc order is not to change or alter an order or judgment actually made. In other words its function is not to make an order now for then, but to enter now for then an order previously made. Mathey v. Mathey (1953), 175 Kan 446, 451 (264 P2d 1058, 1062).
In this case, the omission of reference to the insurance policy in .the original divorce judgment was no mere clerical error or mistake. The parties did not want the policy brought into the divorce action settlement provisions. Although the court was aware that a pre-divorce parol property settlement had been agreed upon, the particulars of that settlement were — at the instance of both parties — not brought before the court in 1964; and they were not included in the 1964 judgment. Thus plaintiff-appellee’s 1967 motion clearly sought new action by the court, not mere belated inclusion in the judgment of prior action. We therefore hold that the nunc pro tunc order, incorporating into the divorce judgment insurance provisions of a parol property settlement between the parties to the divorce judgment, was erroneously entered.
Reversed. Defendant-appellant shall have costs.
Black, Adams, T. E. Brennan, T. Gr. Kavanagh, Swainson, and Williams, JJ., concurred with T. M. Kavanagh, C. J.
Although Guenter Sleboede originally filed an answer to Erika’s complaint, his pleadings were later withdrawn pursuant to stipulation in order that Erika might “proceed in the same manner as if default had been taken.” Nevertheless Guenter Sleboede’s attorney, H. Bollin Allen, was present in court at the taking of the divorce, approved the original divorce judgment order “as to form and substance,” and prepared the amended divorce judgment. See footnote 2, infra.
The judgment entered on March 13, 1964, contained no reference to alimony. On March 19, 1964, a “no alimony” provision was added without objection.
See MOLA § 552.101 (Stat Ann 1957 Bev §25.131).
This “letter” is a composite — three post cards, a greeting card, and two pages of stationery, all mailed in one envelope.
But see footnote 8, infra.
“The entry of a nunc pro tuno order does not involve the equity jurisdiction of the court. The Latin phrase is merely descriptive of the inherent power of the court to make its records speak the truth — to record that which was actually done, but omitted to be recorded. It is no warrant for the entry of an order to record that which was omitted to be done.” W. F. Sebel Co., Inc. v. Hessee (CA 10, 1954), 214 F2d 459, 462.
We note also, as argued by defendant-appellant, that a divorce property settlement, as opposed to alimony and child support, is seldom subject to revision “except on the ground of fraud, or for like reasons.” Ratcliffe v. Ratcliffe (1944), 308 Mich 488, 494. See also, Roddy v. Roddy (1955), 342 Mich 66; Keeney v. Keeney (1965), 374 Mich 660.
Lest this opinion be too broadly interpreted, we would emphasize that it is not herein decided that Erika Sleboede is not entitled to the insurance proceeds. | [
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T. M. Kavanagh, J.
Defendant appeared before a one-man grand jury, convened by the Wayne County Circuit Court, and, after being sworn, refused to answer the following questions:
(1) Are you familiar with East Jefferson Avenue in the City of Detroit, or by that I mean the location of East Jefferson Avenue in the City of Detroit?
(2) Have you ever given any money, gift or gratuity or any other thing of value directly or indirectly or through any other person or persons to any candidate for a public or political office in the City of Detroit or the County of Wayne?
(3) Have you ever made a political contribution to any candidate for public office in the State of Michigan?
(4) Are you married or single?
To defendant’s asserted privilege “[not] to be a witness against myself,” the grand juror ruled the questions were not incriminating and directed defendant to answer. Immunity from prosecution was not offered or granted to defendant pursuant to MCLA § 767.6 (Stat Ann 1954 Rev § 28.946).
Upon defendant’s continued refusal to answer, a four-count bench warrant issued charging defendant with contempt for each question which he refused to answer. He was arraigned before another judge of Wayne Circuit Court, stood mute, and moved to dismiss and quash the grand jury warrant on the grounds that: Count I was in fact self-incriminating ; Count II was merged with Count III and, therefore, was not properly brought against defendant; Count III was in fact incriminatory; and Count IV was outside the scope of the grand jury investigation and provided no legal basis for prosecution. By supplemental motion to dismiss, defendant alleged that Becorder’s Court and not the Wayne County Circuit Court was the proper court to hear the criminal charge, pursuant to MCLA § 726.11 (Stat Ann 1962 Bev § 27.3561).
Defendant waived trial by jury and a record was made by stipulation consisting of the order creating the grand jury, defendant’s testimony before the grand jury, and newspaper clippings relating to defendant’s background. On April 26, 1967 — after termination of the grand jury — defendant was found guilty of criminal contempt and fined $250 on each count.
Defendant appealed and his conviction was affirmed by the Court of Appeals (McGregor, J., with Fitzgerald, J., concurring; J. H. Gillis, P. J., dissenting). 14 Mich App 494. Application for rehearing was denied by the same decretal division. Application for leave to appeal to this Court was timely filed and granted. 382 Mich 760.
The issues presented by this appeal are:
(1) Whether defendant, not having been granted immunity, properly invoked his privilege against self-incrimination to the propounded questions?
(2) Whether the judgment of criminal contempt subsequent to the termination of the grand jury deprived defendant of a statutory right to purge himself? (MCLA § 767.5 [Stat Ann 1954 Bev § 28.945].)
(3) Whether venue was improperly laid in Wayne Circuit Court?
There are several situations by which a witness may find himself charged with contempt of a grand jury. The only kind we are concerned with in this case is that of a witness appearing before a judicial inquiry and refusing to answer certain questions put to him.
The constitutional standard against compulsory self-incrimination made binding upon the states in Malloy v. Hogan (1964), 378 US 1 (84 S Ct 1489, 12 L Ed 2d 653) (see, also, In re Colacasides [1967], 379 Mich 69, 84) as it relates to the grand jury— contempt situation was recited in the landmark case of Hoffman v. United States (1951), 341 US 479 (71 S Ct 814, 95 L Ed 1118), at pp 486, 487:
“The privilege afforded not only extends to answers that would in themselves support a conviction under a federal criminal statute but likewise embraces those which would furnish a link in the chain of evidence needed to prosecute the claimant for a federal crime. Blau v. United States [1950], 340 US 159 [71 S Ct 223, 95 L Ed 170]. But this protection must be confined to instances where the witness has reasonable cause to apprehend danger from a direct answer. Mason v. United States [1917], 244 US 362, 365 [37 S Ct 621, 61 L Ed 1198], and cases cited. The witness is not exonerated from answering merely because he declares that in so doing he would incriminate himself — his say-so does not of itself establish the hazard of incrimination. It is for the court to say whether his silence is justified, Rogers v. United States [1951], 340 US 367 [71 S Ct 438, 95 L Ed 344, 19 ALR2d 378], and to require him to answer if fit clearly appears to the court that he is mistaken.’ Temple v. The Commonwealth [1881], 75 Va 892, 899. However, if the witness, upon interposing his claim, were required to prove the hazard in the sense in which a claim is usually required to be established in court, he would be compelled to surrender the very protection which the privilege is designed to guarantee. To sustain the privilege, it need only be evident from the implications of the question, in the setting in which it is asked, that a responsive answer to the question or an explanation of why it cannot be answered might be dangerous because injurious disclosure could result. The trial judge in appraising the claim ‘must be governed as much by his personal perception of the peculiarities of the case as by the facts actually in evidence.’ See Taft, J., in Ex parte Irvine [SD Ohio, 1896] 74 F 954, 960.”
See, also, In re Cohen (1940), 295 Mich 748; People v. Hoffa (1947), 318 Mich 656; In re Vickers (1963), 371 Mich 114.
Our determination, therefore, must turn upon whether, from reading the record as a whole, defendant was justified in reasonably apprehending danger from a direct answer or whether he mistakenly apprehended the hazard of incrimination.
The second and third questions asked by the grand juror manifestly sought to elicit answers admitting at least a transfer of “money, gift, or gratuity # * # [or] political contribution.” The inculpatory ramifications of an answer to these questions is not subject to dispute when understood in the context of the ordered purpose of the grand jury. An affirmative answer to either question propounded by the grand juror would have provided an essential element of the offense of bribery. See People v. Ritholz (1960), 359 Mich 539, 552. See, also, 3 Gillespie, Criminal Law & Procedure (2d ed), ch 50.
Although the people candidly recognize this point, they argue that these questions were innocuous because they “were not in the context of a specific payment of money to a specific individual.” This wholly ignores what was lucidly stated by the United States Supreme Court in Blau v. United States (1950), 340 US 159 (71 S Ct 223, 95 L Ed 170), at p 161:
“Whether such admissions by themselves would support a conviction under a criminal statute is immaterial. Answers.to the questions asked by the grand jury would have furnished a link in the chain of evidence needed in a prosecution of petitioner for violation of (or conspiracy to violate) the Smith Act. Prior decisions of this court have clearly established that under such circumstances, the Constitution gives a witness the privilege of remaining silent. The attempt by the courts below to compel petitioner to testify runs counter to the Fifth Amendment as it has been interpreted from the beginning. United States v. Burr, 25 Fed Cas, Case No 14,692e, decided by Chief Justice Marshall in the Circuit Court of the United States for the District of Virginia; Counselman v. Hitchcock [1892], 142 US 547 [12 S Ct 195, 35 L Ed 1110]; Ballmann v. Fagin [1906], 200 US 186 [26 S Ct 212, 50 L Ed 433]; Arndstein v. McCarthy [1920], 254 US 71 [41 S Ct 26, 65 L Ed 138]; Boyd v. United States [1886], 116 US 616 [6 S Ct 524, 29 L Ed 746]; cf. United States v. White [1944], 322 US 694, 698, 699 [64 S Ct 1248, 88 L Ed 1542, 152 ALR 1202].”
We hold that defendant properly invoked his constitutional privilege against self-incrimination as to questions 2 and 3. We further hold that judicial sanction for the assertion of his constitutional right in the form of contempt proceedings was invalid and reverse the judgments of conviction on Counts II and III.
On the other hand, a review of the record discloses that questions 1 and 4 were not of the type which could logically, though mediately, link defendant by his answer to a definite element of the involved offenses. In no sense was the chase getting too hot or the scent too fresh. United States v. Weisman (CA2, 1940), 111 F2d 260.
While the safeguards against self-incrimination are vigilantly and vigorously protected, they do not sanction every chimerical danger viewed by defendant as a link in the chain of evidence. As stated by our Court in In re Schnitzer (1940), 295 Mich 736, 740:
“The tendency to incriminate must be a reasonable one; an answer may not be withheld because it might possibly under some conceivable circumstances form part of a crime.”
We conclude as to questions 1 and 4, that despite their questionable relevancy, defendant should have responded to the questions. His adamant but unjustified assertion of silence properly subjected him to the court’s exercise of its power to punish contumacious conduct.
It is next argued by defendant that the imposition of a sentence after the termination of the grand jury was unlawful as depriving him of his statutory right to purge himself. MCLA § 767.5 (Stat Ann 1954 Rev § 28.945).
This argument misapprehends the nature of the contempt order here involved. Unlike the order in Colacasides, supra, which imposed coercive imprisonment conditioned upon either purgation or the expiration of the grand jury, the order in the instant case was punitive in design and effect.
The United States Supreme Court in Bloom v. Illinois (1968), 391 US 194 (88 S Ct 1444, 20 L Ed 2d 522) said:
“Criminal contempt is a crime in the ordinary sense; it is a violation of the law, a public wrong which is punishable by fine or imprisonment or both.” (P 201.)
The crime in the instant case was complete prior to charge and, upon conviction and sentencing by the trial judge, the sentence imposed was placed beyond the court’s power to amend. People v. Fox (1945), 312 Mich 577. The proviso contained in MCLA § 767.5 (Stat Ann 1954 Rev § 28.945) in regard to contemnor appearing before the judge to purge himself, and the discretion of the judge to commute or suspend further execution of such sentence, is, so far as criminal contempt is concerned, an unconstitutional delegation by the legislature to the judicial branch of government of a power which exists only in the executive. People v. Freleigh (1952), 334 Mich 306, 310. Admittedly, the Freleigh and Fox cases were construing the Constitution of 1908, art 6, § 9. However, the parallel provision in the Constitution of 1963, art 5, § 14, lends itself to a comparable interpretation. The proviso in question is severable from the remainder of the statute, and the remainder is in itself a complete and enforceable act. See MCLA § 8.5 (Stat Ann 1969 Rev § 2.216). Defendant was deprived of no legal right to purge himself after sentencing.
Defendant frames the last issue as whether venue was improperly laid in Wayne Circuit Court. He then proceeds to discuss the question of whether Recorder’s Court has original and exclusive jurisdiction of all prosecutions and proceedings on behalf of the people of this state for crimes, misdemeanors and offenses arising under the laws of this state and committed within the corporate limits of the City of Detroit.
Although the terms are sometimes erroneously used interchangeably, “venue” has nothing whatsoever to do with “jurisdiction.” Instead it is concerned only with the place of trial of an action within the state. Peplinski v. Employment Security Commission (1960), 359 Mich 665, 668. “Jurisdiction” deals with the service of process and the power of the court to act in the matter. Langdon v. Wayne Circuit Judges (1889), 76 Mich 358, 367. We, therefore, address ourselves to the question of jurisdiction and not venue.
Defendant’s argument challenging the jurisdiction of the Wayne Circuit Court is that the Recorder’s Court of the City of Detroit by statute has “original and exclusive jurisdiction of all prosecutions and proceedings * * * for crimes # * * committed within the corporate limits of the City of Detroit * * * ,” with certain exceptions not pertinent. MCLA § 726.11 (Stat Ann 1962 Rev § 27.3561). Defendant argues that criminal contempt is a crime in the ordinary sense of the word. Bloom v. Illinois, supra. He, therefore, concludes that jurisdiction over a prosecution for criminal contempt occurring in the City of Detroit lies in Recorder’s Court.
While contempt, like other crimes, is an affront to society as a whole, it is more directly an affront to the justice, authority and dignity of the particular court involved. Accordingly, the court with jurisdiction over the proceedings wherein the alleged contempt occurred has jurisdiction over contempt proceedings. MacLean v. Harp (1933), 265 Mich 172; Fitzsimmons v. Board of Canvassers of Detroit (1898), 119 Mich 147.
Criminal contempt is also distinguishable from other crimes in that:
“There is inherent power in the courts, to the full extent that it existed in the courts of England at the common law, independent of, as well as by reason of statute * * # , which is merely declaratory and in affirmation thereof, to adjudge and punish for contempt * * * . Such power, being inherent and a part of the judicial power of constitutional courts, cannot be limited or taken away by act of the legislature, nor is it dependent on legislative provision for its validity or procedures to effectuate it.” In re Huff (1958), 352 Mich 402, 415, 416. (Emphasis added.)
The United States Supreme Court imposed more stringent due process requirements on proceedings to punish witnesses for contempt of Michigan’s “one-man grand jury” in the cases of In re Oliver (1948), 333 US 257 (68 S Ct 499, 92 L Ed 682), and In re Murchison (1955), 349 US 133 (75 S Ct 623, 99 L Ed 942). However, neither case questioned the inherent power, independent of statute, of Michigan’s constitutional courts to punish for contempt. In fact, the Murchison Court expressly recognized that only Michigan courts have the power to declare whether or not the Michigan legislature can restrict or regulate their contempt powers. The court responded to petitioner’s claim that a Michigan statute prohibited the offended judge from trying the contempt case as follows:
“The trial judge answered * * * [the claim] by holding that the state statute barring him from trying the contempt cases violated the Michigan Constitution on the ground that it would deprive a judge of inherent power to punish contempt. This interpretation of the Michigan Constitution is binding here.” (P 135.)
Three years later, this Court in In re Huff, supra, held that constitutional courts had the power to adjudge and punish for contempt and that such power cannot be limited or taken away by act of the legislature, nor is it dependent upon legislative provision for its validity or procedures to effectuate it.
We hold that the Wayne County Circuit Court had jurisdiction to try defendant for criminal contempt.
The convictions on Counts I and IV are affirmed. The convictions on Counts II and III are reversed.
T. E. Brennan, C. J., and Kelly, Adams, and T. G-. Kavanagh, JJ., concurred with T. M. Kavanagi-i, J.
Black, J.
(for affirmance). With Division 1 divided and this Court correspondingly separated, I concede that the presented questions of alleged self-incrimination are susceptible of plausible argu ment each way. Yet I think Mr. Joseph asks that we venture too far into an already overdeveloped area of judicial unreality to find that any answer to any one of these innocuous questions, each of which was answerable either way by a single word, might or could import some “link” in some chain of evidence needed to support a prosecution against him.
Believing as I do that the majority opinion below reasoned to the right result (14 Mich App 494), my vote is cast to affirm. Cassandra already encroaches too far into the welter of judicial pronouncements which seem to shackle effective effort of the states to protect themselves from the pillage and carnage of crime. I would give her no more room than she has already usurped in the Arab’s tent of due process.
Dethmers, J., concurred with Black, J.
The declared purpose of the grand jury is recited in the amended order granting the Attorney General’s petition for a grand jury as: “ * * * conducting an investigation to determine whether the crime of attempted bribery, the crime of bribery of public officers and employees, the crime of acceptance of a bribe by public officers and employees, the crime of offering a reward to a public officer or employee to omit to perform acts for a consideration, reward or inducement, the crime of wilful neglect by a public officer or employee, the crime of conspiracy to accept a bribe by public officers or employees, and to solicit bribes, the crime of conspiracy to obstruct justice by private persons and public officers and employees, and crimes relating to vices and gambling * * * .”
“Any witness neglecting or refusing to appear in response to such summons or to answer any questions which such judge may require as material to such inquiry, shall be deemed guilty of a contempt and after a public hearing in open court and conviction of such contempt, shall be punished by a fine not exceeding $1,000.00 or imprisonment in the county jail not exceeding 1 year or both at the discretion of the court: Provided, That if such witness after being so sentenced shall offer to appear before such judge to purge himself of such contempt, the judge shall cause such witness to be brought before him and, after examination of such witness, the judge may in his discretion commute or suspend the further execution of such sentence.”
In the construction of the statutes of this state the following rules shall be observed, unless such construction would be inconsistent with the manifest intent of the legislature, that is to say:
“If any portion of an act or the application thereof to any person or circumstances shall be found to be invalid by a court, such invalidity shall not affect the remaining portions or applications of the act which can be given effect without the invalid portion or application, provided such remaining portions are not determined by the court to be inoperable, and to this end acts are declared to be severable.”
The questions:
“1. Are you familiar with East Jefferson Avenue in the City of Detroit, or by that I mean the location of East Jefferson Avenue in the City of Detroit?
“2. Have you ever given any money, gift or gratuity or any other thing of value directly or indirectly or through any other person or persons to any candidate for a public or political office in the City of Detroit or the County of Wayne?
“3. Have you ever made a political contribution to any candidate for public office in the State of Michigan?
“í. Are you married or single?” | [
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Request for appointment of counsel denied.
Case below, Court of Appeals No. 21579, per curiam opinion of July 29, 1975.
Levin, J., would grant the request for appointment of counsel. | [
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Bird, J.
Defendant sold to plaintiff, in June, 1920, ten car loads of Zinfandel grapes at $80 a ton. The grapes were to be loaded and delivered to plaintiff f. o. b. at shipping points in California. Defendant also sold to “Kamil and Brecher Produce Company,” of Detroit, five cars under a like contract. Subsequently the produce company sold to plaintiff its contract, and defendant was notified thereof. These grapes were to be delivered during the grape season, which included the months of August, September, October and November. Defendant delivered only eight cars. The first car was shipped on August 30th, and the last one was received on November 8th. After shipping the seventh car defendant advised plaintiff that the crop was fifty per cent, short. On October 23d defendant wired plaintiff he was shipping the eighth and last car. This car arrived November 8th. Plaintiff then began this suit to recover his damages resulting from nondelivery of the other seven cars. At the close of the testimony defendant moved for a directed verdict, on the ground that plaintiff had proved no damages. The trial court submitted the case to the jury, reserving the right to set it aside after verdict. The jury returned a verdict for plaintiff of $2,500. Subsequently the court granted defendant’s motion and ordered judgment for him non obstante veredicto, on the ground that the testimony on the question of damages was too meager to submit to the jury.
The measure of damages for failure to deliver in such cases is the difference between the contract and market price, if there be a market price. If the goods cannot be obtained in the market, then the measure of damages is the damage which naturally and directly flows from the breach thereof. Uniform sales act (3 Comp. Laws 1915, § 11898, subdivision 2).
In a similar ease this court said:
“The measure of damages for failure to deliver goods sold, where they can be obtained in the open market, is the additional cost of the goods; where they cannot be obtained in the market, the purchaser is entitled to recover the profits lost through the fault of the seller.” F. W. Kavanaugh Manfg. Co. v. Rosen, 132 Mich. 44 (102 Am. St. Rep. 378).
This, was approved in Talcott v. Freedman, 149 Mich. 577.
• The trial court, in substance, gave this rule to the jury, but subsequently concluded the testimony was not sufficient on that question to submit to the jury. ■ It is argued that when defendant refused to deliver the balance of the grapes, it was the duty of plaintiff to go into the market and purchase the grapes, and his failure to make any effort in this regard would bar his recovery. We think the proof fairly shows that there was no market for this quality of grapes in Detroit or vicinity. There is some proof that ■ there was a market for them in Chicago. At the latter part of the season plaintiff attempted to, and did, purchase a car that was “rolling toward” Chicago. When the car arrived in Chicago it was in bad condition and, therefore,, was not forwarded to him. Zinfandel grapes appear to be a product of California. They are raised within a hundred-mile circle around Lodi and Stockton. The price of Zinfandel grapes was not quoted on the Detroit Fruit Exchange because they are a specialty, and, so far as the record shows, there was no market from which plaintiff could buy such grapes, except in the territory where they are raised.
The trial court, in directing a verdict for defendant, comments about the conflicting testimony of plaintiff in regard to his efforts to purchase the grapes after defendant announced that he could deliver no more. There was an apparent conflict in his testimony, but when construed in connection with his statement “that the season was so nearly over, that he made no further effort,” the conflict is in a measure explained. At any rate, the conflict in his testimony was a question for the jury.
In this situation plaintiff’s damages were such as naturally and directly flowed from the failure to deliver. Plaintiff testified that this quality of grapes was in great demand in the season of 1920, because they were suitable for the manufacture of wine. He further testified that he readily sold all the grapes which he received, and could have sold all he contracted for if he could have gotten them. He introduced in evidence a table showing the number of boxes or crates in each car; his profits on each box, and his total profit on each car, together with the transportation charges on each car from California. This showed that his profit on the first car was $618.29, and on the eighth car $1,009.47. He further testified that he sold most of the boxes, or crates, from the car on the team track, and that the demand was sufficient to absorb all of the grapes which he had contracted for. It was further shown that, when the season opened, grapes were selling in California for $55 or $60 a ton. When the season closed in November they were selling at $175 a ton. We think proof of these facts was some testimony bearing on plaintiff’s damages, and sufficient to enable the jury to estimate them with reasonable certainty.
The contract provided that defendant should be relieved of performance if there were a crop shortage. When the price had doubled defendant refused to deliver the last seven cars, and gave as an excuse that the crop was short. The proof shows that the crop was at least 60 per cent., and that defendant sold to other customers and handled in all 51 cars of this quality of grapes. A California broker testified, upon cross-examination, that Zinfandel grapes could have been obtained in the California market at the close of the season “if one was willing to pay the price.” The record is very persuasive that the reason for the nondelivery of the grapes was due to the high price rather than to the scarcity. This question, however, was for the jury.
The judgment will be reversed, and, as no exceptions have been filed by the defendant, a judgment will be rendered in the trial court for plaintiff on the verdict of the jury. Plaintiff will recover his costs in both courts.
McDonald,' C. J., and Clark, Sharpe, Moore, Steere, Fellows, and Wiest, JJ., concurred. | [
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Btxtzel, J.
James A. "Welch, a realtor, as owner of property at Potters lake, in Lapeer county, Michigan, which he wished to subdivide and market, entered into a written contract with Sherman Justin for dredging the land. Justin was to receive $1,500 when the work was done, the payment to be secured by a mortgage on the subdivision, it being expected that the lots would be sold very rapidly and sums realized to pay the mortgage. Justin agreed that Burt Gr. Sisson, plaintiff, should receive one-half of the contract price in consideration of his furnishing part of the necessary dredge and labor for the carrying out of the contract. The record is somewhat indefinite as to the arrangements between Justin and defendant George Hirons whom Justin contacted in order to raise money. Hirons claims that he agreed to finance one-half of the mortgage upon the understanding that he was to be paid first by the mortgagor.
The trial judge concluded from the meagre testimony that at the time, the mortgage was given, the lots would be sold quickly and the mortgage, or at least one-half of it, would be thus paid off. The discussions between'Hirons and Justin took place prior to the execution of the mortgage. Some four months láter, after the dredging was begun, Justin and Hirons went to the office of Welch, the mortgagor, and the mortgage was then executed running to Hirons and securing two notes of $750'each, identical in tenor, date and all other respects and both payable to Hirons. The mortgage and one $750 note were delivered to Hirons, Welch retaining the other or second note until the job was completed. A $50 payment later was made on the note delivered to Hirons. On completion of the dredging, Justin agreed that Sisson should receive for his share in the work the second note held by Welch. Accordingly, Welch delivered it to Sisson, after indorsement thereon of a credit of $50 claimed by Welch. When Sisson requested Hirons to indorse the note and join in foreclosure proceedings, the latter claimed no title to the note, but refused cooperation. Thereupon Sisson instituted foreclosure proceedings against Welch, including Hirons and Justin as defendants.
No objection was made to Sisson’s title to the note or to his right to foreclose the mortgage held in trust by Hirons. The latter, however, claims that there was an oral understanding between himself and Justin, apparently acquiesced in by Welch, that Hirons was to receive his money first out.of the proceeds of the foreclosure sale, and that he had advanced the $750 to finance the work and that the mortgage securing the two notes was drawn in his favor in order to assure him of being paid first. Plaintiff claims that his note is entitled to share in the proceeds equally with that held by Hirons.
The agreement claimed by Hirons was not reduced to writing when the notes and mortgage were executed. The trial court found that no actual notice of the claimed priority was given Sisson before or at the time he took the note from Welch. The record clearly indicates that the alleged oral agreement was discussed by Justin, Hirons and Welch prior to the execution of the mortgage and notes and was reiterated at the time the instruments were drawn and there is no support for appellee’s claim that this was a subsequent oral agreement.
The sole question for our determination is whether oral testimony of the alleged agreement as to priority in payment of Hirons’ note is admissible in evidence. Presumptively notes secured by a single mortgage are entitled to equal treatment. Cooper v. Ulmann, Walk. Ch. (Mich.) 251; Jennings v. Moore, 83 Mich. 231 (21 Am. St. Rep. 601). The question of admissibility of oral testimony to vary the effect of the presumption was not specifically considered by the court in Cooper v. Ulmann, supra, relied upon by appellee. However, the correct rule is stated in Carr v. Stencel, ante, 182, where we held that parol evidence was not admissible to vary the order of payment of notes secured by one mortgage •when neither the notes nor mortgage made any reference to priorities. See, also, Jennings v. Moore, supra. The judge in the instant case granted foreclosure, but he was in error in holding that.Hirons’ note was to be paid first out of the proceeds of the sale.
The decree will be modified so as to give Sisson and Hirons equal shares in the proceeds of the foreclosure sale. As the appeal is solely between Sisson, as appellant, and Hirons, as appellee, the former will recover costs against the latter.
North, C. J., and Fead, Wiest, Bushnell, Sharpe and Toy, J J., concurred. Potter, J., did not sit. | [
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Btjtzel, J.
Plaintiffs, engineers residing in Ann Arbor, Michigan, claim that they were employed as consulting engineers by the inter-county drainage board of Oakland, Macomb, Lapeer and St. Clair counties to lay out a drainage district embracing an area of some 100 square miles, almost exclusively in Oakland and Macomb counties. Suit was brought against a number of parties including the inter-county drainage board and the drain commissioners, but not the treasurers of the respective counties. The drain commissioners of Lapeer and St. Clair counties were joined as parties defendant though the amount claimed from them is almost negligible, the lower court finding that only $17 was due from them together. The drain commissioners of these two counties are not appellants.
Plaintiffs, in their bill of complaint filed in Washtenaw' county where they reside, allege that they were appointed as consulting engineers by the Oakland county drain commissioner and that in 1926 they made engineering studies of the more difficult jihases relative to the laying ont of an inter-county drainage project; that on May 7, 1927, their employment as consulting engineers was duly confirmed at a meeting of the inter-county drainage board; that during the years 1927 and 1928, they performed extensive research work, prepared elaborate plans, maps, drawings and performed a very large amount of professional work; that the reasonable value of the services rendered for the drainage board is $42,500; that the defendant Hunter, then deputy commissioner of agriculture of the State of Michigan, caused an apportionment of the costs of the proposed drain to be made in accordance with the drain law then in force, and that 88.13 per cent, of the costs were charged to Oakland county, 11.83 per cent, to Macomb county, and 4/10ths of one per cent, to the other two counties; and that accordingly, there is the sum of $37,455.25 due them from Oakland county, $5,027.75 from Macomb county, all in accordance with the records and files of the inter-county drainage board. Plaintiffs further allege that no final order of determination was ever entered by the inter-county drainage board and that the entire project, while not abandoned, has been delayed on account of business conditions. Plaintiffs claim that-formal demand was made upon the respective drain commissioners of the counties, constituting the inter-county drainage board, requesting them to issue drain orders upon the county treasurers conformable with the amounts found due in the apportionment of costs made by the commissioner of. agriculture, but that their request was formally denied by the board on the ground that legal questions were involved. Plaintiffs further allege that they were seeking the aid of a court of equity because an accounting was necessary between themselves and the defendants, and they were without an adequate remedy at law. They further asked for a mandatory injunction ordering the several drain commissioners to issue drain orders on their respective county treasurers directing the latter to pay the amounts out of revolving drain funds of the counties.
Both the opinion and decree of the lower court find almost all the facts true, as set forth in the bill of complaint. The decree directs that drain orders be drawn upon the revolving funds of Oakland and Macomb counties, respectively, requiring the treasurer of Oakland county to pay the plaintiffs out of such fund the sum of $37,455.25 and the treasurer of Macomb county to pav plaintiffs out of such fund the sum of $5,027.75.
The defendants in their appeal raise numerous questions. The resolutions of the inter-county drainage board unequivocally show that there is no question as to the amount of plaintiffs’ bill or the performance of the services and that their bill of $42,500 was duly approved by the inter-county drainage board. The record shows no occasion for any accounting whatsoever. It does show, however, that the drainage project was abandoned or indefinitely postponed owing to lack of funds; that the so-called revolving drain funds of each county were not only depleted, but disclosed a very large deficit and this reflected in a measure the general financial condition of the counties. It was further shown that the proposed inter-county drain would cost approximately $8,500,000, plaintiffs claiming that they were entitled for their services as consulting engineers to a fee of one-half of one per cent, of the estimated actual cost, or $42,500 and that this percentage was the usual and customary fee. No testimony whatsoever was offered to the contrary. It was further shown that a mile and a third of the proposed drain to be constructed from the Ten-Mile road drain to Bear creek in Macomb county was to consist of an arch drain about 20 feet wide and 12 to 14 feet high and was to be water tight. The floor was to be laid down first, then a strong arch of reenforced concrete was to be built over the floor deep in the ground. It was not to have any manholes to drain off the surface water from the Ten-Mile road, but was to take the place of an open drain at the north of the Ten-Mile road. The map introduced might possibly indicate other portions of inclosed barrel, though the testimony as to their existence and character is not entirely clear. The project, first designated as a “sewer drain,” was subsequently called a “drain.” It was also to serve as an outlet for the overburdened drains of Ferndale, Royal Oak and other villages. There was also to be a sewage disposal plant in connection with the project.
In Hankinson v. Deake, 265 Mich. 1, we held that a project designed primarily for drainage did not become a sewer merely because it was capable of being used for sewage disposal, and that the fact that the joints of the drain were not sealed, but permitted seepage showed it was not a sewer. The record in the instant case does not show the approximate cost of this large covered barrel, nor whether it was such a necessary part of the drain as to make it an indispensable part thereof or whether, as appellees claim, it was only incidental to this very large project. Farther facts may possibly be brought out in subsequent proceedings, if there are any.-
Appellants claim that if the drain orders are drawn on the respective county treasurers in accordance with the decree of the court, and if the county treasurers are bound to honor them, it would become necessary for each county, through proper action to raise funds with which to pay such drain orders by assessing the districts claimed to be benefited and that as no benefits were derived from this unconsummated project, the counties would never be reimbursed if they paid appellees ’ claim.
Appellants stress the argument that there were absolutely no grounds for plaintiffs’ invoking the jurisdiction of a court of equity, there being no occasion for an accounting whatsoever.
Appellants further claim that the inter-county drainage board never made a preliminary determination of practicability of the inter-county drain as required by the drain law then in force, being Act No. 316, Pub. Acts 1923, as amended by Act No. 365, Pub. Acts 1925; that it was incumbent upon the plaintiffs as engineers to know that under said drain law, a sewer could not be built, as we held in Clinton v. Spencer, 250 Mich. 135. They further claim that the suit should have been brought in the counties in which defendants reside and that it was. against both the common law and the statute, 3 Comp. Laws 1929, § 13997, subd. 8, to compel defendant public officers to go into a foreign county to defend their rights; and that if the latter procedure were permitted, by improperly invoking equity jurisdiction, local officers of counties in one part of the State might be oblig'ed to go to a far distant county to defend the interests of their own counties. The jurisdictional question also arises whether, in an equity suit, there was not a fatal nonjoinder of parties defendant, because the county treasurers, real parties in interest, were omitted.
We plant our decision squarely upon the ground that a court of equity had no jurisdiction in the prem ises. There was no occasion for any accounting. While the drain commissioners of Lapeer and St. Clair counties were included as parties defendant, the drain commissioners and treasurers of Oakland and Macomb counties were the only parties with any substantial interest. Proper law actions could have been brought in the latter two counties. The existence of a number of independent law actions, however, would not constitute the “multiplicity of suits” which confers equity jurisdiction. See Salisbury v. City of Detroit, 258 Mich. 235. The inter-county drainage board would be a proper party in each of such law actions even though the board was not to make the payment. The payments were to come from the revolving funds of the respective counties which are disbursed by the county treasurers. At the oral argument, counsel for appellees in response to an inquiry of the court stated that further litigation would probably be required. Inasmuch as necessary parties are not before us, we decline to pass upon the legality of the claims in the present proceeding and limit our decision to the procedural question.
Plaintiffs’ remedy, if any, was by mandamus in each of the counties where the drain commissioner and corresponding county treasurer could be joined, along with the inter-county drainage board, all as proper parties. In Commonwealth, ex rel. Bell, v. Powell, 249 Pa. 144 (94 Atl. 746), the court, in holding that mandamus proceedings were proper to compel the auditor to draw an order upon the State treasurer to pay a bill, stated:
1 ‘ That the auditor general and the State treasurer were, under the circumstances, properly joined as defendants cannot be seriously questioned. The purpose is to compel performance of an official duty which requires successive but interdependent action by the two officers. Unless they are joined, the relator will have no effective writ. The principle which authorizes such joinder is thoroughly justified. ’ ’
Plaintiffs, however, claim that mandamus could not be brought, relying upon First National Bank of Paw Paw v. Nash, 232 Mich. 380, where the court in denying mandamus said:
“Mandamus will only issue against a public official in such cases to compel the performance of a clear, legal duty. We are impressed that, if plaintiffs have a remedy, it is by bill in equity, in which an accounting may he had as to the amount yet legally due for service performed by McElheny under his contract and for bridge work, the cost of the drain determined. ’ ’
However, as was pointed out above, there was no occasion for an accounting in the instant case. Further, there was no denial that plaintiffs rendered services under their contract of employment, nor was there any dispute as to the amount of their claim for $42,500, which claim, duly approved by the inter-county drainage board in pursuance of statutory authority, became liquidated at least for the purpose of bringing mandamus to compel the issuance of drain orders.
The case of Waterman-Waterbury Co. v. School District, No. 4, Cato Twp., 183 Mich. 168, 176, also relied upon by appellees, defines a liquidated claim, such as will justify mandamus, as follows:
. “The ‘liquidated claim’ requisite for mandamus must be a claim wherein the amount due is either fixed by the judgment of a court, by some statutory provision, by some authorised officer or board, or by agreement between the parties.”
In that case, mandamus was held to be improper because, as the court said, both the execution and performance of the asserted contract were in dispute and evidently the validity of the claim had not been determined by any statutory board or tribunal.
In Cook v. State Administrative Board, 259 Mich. 85, referred to by appellees, where mandamus was denied, it did not appear that the petitioners’ claim had been approved by the board. Other cases cited by appellees are clearly distinguishable.
When the plaintiffs requested the inter-county drainage board to issue the drain orders, the only reason assigned by the board for refusing to issue said orders was “because of legal questions involved and on advice of counsel.” Mandamus afforded a proper and effective remedy to raise these legal questions and to afford the plaintiffs the relief sought in this proceeding.
The decree of the lower court is reversed, with costs to appellees, and the bill of complaint dismissed.
Fead, C. J., and North, Bushnell and Sharpe, JJ., concurred with Butzel, J.
This section was amended by Act No. 225, Pub. Acts 1931.— Reporter. | [
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Fead, J.
This is certiorari to review an award of the department of labor and industry, denying compensation.
Defendant employer operates a used car lot. On a Sunday its manager ordered George Hamilton, an employee then on duty, to move some office furniture and fixtures to another location. George told the manager he could not move the furniture alone and he was authorized to employ his brother Theodore, plaintiff’s husband, to help him. While standing on a step-ladder to remove electric lights and hand them to George the bracket gave way, Theodore fell, fractured his skull and he died therefrom.
The basis of Theodore’s pay was 50 cents per hour. George estimated that the work would take about two hours and so informed the manager. Whether Theodore was to be paid at the rate of 50 cents per hour for the time employed or $1 for the job was in dispute, defendant claiming the latter.
It appears from the opinion of the department of labor and industry that it found the fact as claimed by defendant because it held Theodore an independent contractor, and denied compensation on that ground,
Tlie courts have declared several factors as in-dices of an independent contract, among them a fixed price for the work to be clone and the specific and limited character of the work, none of them, however, conclusive. The basic test is that the employer’s right of control of the workman extends only to the results to be accomplished by him and not to the method or means of accomplishment.
The work here involved is of a character which is ordinarily not the matter of an independent contract at least when the employer provides the transportation of the furniture. It is usually common labor over which the employer retains the right of full control. George Hamilton performed the work as defendant’s employee. He was subject to its directions. And there is nothing in the record to indicate that Theodore, as George’s helper, had any control over the method or means of doing the work or that he was not to perform it under George’s orders and, therefore, under the same control of the employer as was George.
The evidence does not justify the holding of the department that Theodore Hamilton was an independent contractor. The award -is vacated and' the cause remanded to the department for further proceedings.
North, C. J., and Wiest, Butzel, Bushnell, Sharpe and Toy, JJ., concurred. • Potter, J., did not sit. | [
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Wiest, J.
Plaintiff, as beneficiary under an insurance policy on tbe life of ber husband, having been paid single indemnity, brought this action to recover double indemnity as provided therein as follows:
“If the death of the insured shall result, independently and exclusively of all other causes, from bodily injury, effected directly by external, violent and accidental means, within 90 days from the happening of such injury, of which, other than in the case of drowning or asphyxiation, there shall be visible contusion or wound, on the exterior part of the body, * * * provided, that there shall be no liability hereunder for death resulting’ * * * directly or indirectly, wholly or in part, from poisoning, infection, or any kind of illness, disease or mental infirmity.”
The insured died from blood poisoning caused, it is claimed, by an abrasion of his shin some weeks earlier, affording an infection entry poisoning the blood stream. The injury, without infection, was not serious but, with subsequent infection, if so introduced, and, therefore, secondary in point of time, was fatal.
The issue the court submitted to the jury was whether the injury to the shin was the seat of the infection or secondary cause of death. Plaintiff had verdict and judgment thereon. Defendant’s motions for judgment, notwithstanding the verdict, and a new trial were denied, and review is by appeal.
The abrasion on the shin happened on or about March 15,1985, was the size of a half dollar and evidently, at first, was not considered serious for only simple home treatment was applied and the man continued in his employment until April 29th, at which time a physician was called and death occurred on May 1st.
In order to have recovery under the policy the burden was on the plaintiff to prove that the injury to the shin afforded a portal of entry for the infection, and that the infection causing’ blood poisoning and death did so enter. To malee such proof plaintiff offered a certified copy of the death certificate, and counsel for defendant stated there was no objection thereto.
The certificate, among other things, stated:
"The principal cause of death and related causes of importance were as follows: Septicemia from hemolytic streptococcus from infection in calf of right leg with phlebitis. * * Infection following injury to leg.”
After introduction of the certificate the doctor who made it testified that:
"The cause of the infection was probably an infection from the outside through a break in the skin. * * *
"I assumed at the time that I saw the patient that he had had an injury from statements made, which was part of the medical history. * * *
“As part of the history I was told that he had received an injury upon his leg. * *
“The patient told me that he had been injured some time previously at this point of the leg, and that the — and that I assumed from the statement and from the appearance of the leg that that was the source of the entrance of the infection. * * *
“The cause of death is infection in the leg which gained entrance through previously existing-wound. ’ ’
There was error in permitting the doctor to testify that the insured said he had received an injury to the leg, for that was but the relation of a past event and not at all necessary for treatment but, with the death certificate so in evidence and no motion made to strike it out by reason of the subsequent testimony of the maker thereof, we do not think the error should bring reversal.
If the abrasion afforded a portal-of entry through which the infection entered, poisoned the blood stream and caused death, then the double indemnity was due plaintiff as beneficiary. That the abrasion was accidental was clearly inferable from the evidence and also that the infection could thereby enter and poison the blood stream. The insured had on the same leg varicose veins and the possibility of blood poisoning therefrom was presented by evidence. If from such source plaintiff could not recover. By verdict the jury negatived such source of poisoning of the blood stream.
We do not find that defendant was unduly hampered in presenting that issue. The case was well tried .and the combined efforts of counsel, court and jury -to ascertain the facts and apply the law thereto ought to end the litigation unless there is. found serious error reflected in the verdict. Slight errors, but without any particular significance, may be found and they are passed as no more than abstract technicalities.
Complaint is made of repeated instructions relative to right of recovery in case the injury to the shin afforded entry of the infection and, therefore, was secondary in effect. A right instruction, even if repeated, cannot be held error.
Upon an examination of the record we think there was evidence to go to the jury upon the issues of whether the abrasion was accidental, afforded a portal of entry for infection and that the infection so entered and caused poisoning of the blood stream and death of the insured.
We find no reversible error and the judgment is affirmed, with costs to plaintiff.
Fead, C. J., and North, Butzel, Bushnell and Sharpe, JJ., concurred. Tot, J., took no part in this decision. Potter, J., did not sit. | [
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Si-iarpe, J.
In April, 1922, defendant contracted to sell to Lewis H. Gallarno and Mary Gallarno, bis wife, a parcel of real estate in the city of Detroit, known as 19163 Blake avenue, upon which was located a frame dwelling, for an agreed purchase price of $4,500 of which $250 was paid upon the delivery and execution of the contract and the balance of $4,250 to be paid in monthly instalments of $35, such payments to include both principal and interest at the rate of six per cent, per annum. On February 24, 1930, Gallarno and wife assigned their interest in the contract to Jens Nelson, plaintiff herein, and such assignment was assented to by defendant. At the time of the assignment of the contract, there had been paid to defendant the sum of $1,810 exclusive of interest; and from the date of the assignment until the month of December, 1931, plaintiff paid defendant the sum of $652.60. The record also shows that sometime in the spring of 1931 the dwelling on said premises was damaged by fire to such an extent that the city authorities would not permit it to be restored to its original condition before the fire. The dwelling was remodeled and made into a two-story, two-family flat; and the insurance company paid the sum of $951.44 as part of the cost of remodeling the property. In April, 1933, defendant took possession of the premises without having served a legal notice of forfeiture of the contract upon plaintiff.
In September, 1933, plaintiff filed Ms bill of complaint to have the land contract cancelled, an accounting and a lien for such moneys as may be found to be due Mm. The trial court referred the matter of taking proofs to a circuit court commissioner who made a finding in addition to such facts as are hereinbefore stated that plaintiff became in default under the terms of the land contract in the month of June, 1931; that in addition to the money paid by the insurance company for repairing and remodeling the building, plaintiff spent additional sums, but the effect of such expenditures as improvements was offset and nullified by depreciation through the neglect and careless attention of the plaintiff to the property; that plaintiff was in possession of said premises from February 24, 1930, to January 3, 1933, and collected in rentals the sum of $600 and is chargeable with an additional sum of $400 for reasonable rental value of said premises during the period of vacancies due to his lack of proper attention to the management of the property; that on January 2,1933, plaintiff offered to sell to defendant his equity in the premises for $400 and upon'the refusal of defendant to purchase same, then expressed his intention of abandoning the contract as well as the premises; that prior to or during the month of April, 1933, plaintiff did abandon the premises and the defendant finding the premises abandoned took peaceable possession of the same to preserve Ms lawful interest therein; that defendant has offered to reinstate the land contract upon payment of the amounts due thereunder; and that the defendant was justified in taking possession of the abandoned premises for the purpose of preserving the same and preventing further waste.
The trial court adopted the findings of the circuit court commissioner and entered a decree dismissing plaintiff’s bill of complaint. Plaintiff appeals and contends that there was no valid forfeiture by defendant of the land contract; that there was no abandonment of the premises by plaintiff and that he (plaintiff) is entitled to an equitable lien upon the premises for the improvement placed upon the same by plaintiff.
We have examined the record and have found evidence from which the trial court could have made a finding that plaintiff had abandoned the contract and premises. One witness heard plaintiff say to defendant, “You can do as you like with it (the land contract). I am through. I am going away, and you can do what you want with it. I am through.” Other witnesses testified that they heard plaintiff say substantially the same thing. Moreover, the condition that the dwelling was in at that time indicates an abandonment. One witness testified:
“The property was just a wreck; doors open and the windows broke out, the window shades on the floor; the floor is warped on account of the water. There was nobody living there at the time. ’ ’
“Conduct on the part of both the vendor and the purchaser which is inconsistent with the continuance of the contract of sale constitutes rescission by abandonment.” Stevens v. Wakeman, 213 Mich. 559.
“The rights of either party under a contract of sale may be lost by abandonment and become extinguished thereby. A relinquishment in writing is not necessary, as abandonment may be deduced from circumstances or course of conduct clearly evincing an abandonment thereof, or the abandonment may be by parol.” 66 G. J. p. 730.
“Abandonment by the purchaser is shown * * * where he positively and absolutely refuses to perform the conditions of the contract, such as a failure to malee payments due, accompanied by other circumstances, * * * or where by his conduct he clearly shows an intention to abandon the contract. * * * As a general rule whether or not the purchaser’s acts and conduct amount to an abandonment of the contract is a question for the jury; but such acts and conduct may be so decisive and unambiguous as to justify the court in deciding the question as a matter of law.” 66 C. J. p. 731, et seq.
See, also, 66 C. J. p. 733 — “Effect of Abandonment;” and Allen v. Mohn, 86 Mich. 328 (24 Am. St. Rep. 126).
In the instant case the contract has the usual provisions giving the vendor the right, upon vendee’s default, to declare the contract void and at an end and to take possession and retain the property and all payments and improvements made as stipulated damages.
In view of the provisions contained in the contract relating to defendant’s right in the event of a forfeiture, and the fact that plaintiff abandoned the contract and defendant’s apparent acquiescence therein, we find it unnecessary to decide other issues raised by plaintiff.
The decree of the trial court is affirmed. Defendant may recover costs.
North, C. J., and Fead, Wiest, Butzel, Bushnell and Toy, JJ., concurred. Potter, J., did not sit. | [
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Sharpe, J.
This is an appeal from the circuit court in chancery to interpret the following provision of the last will and testament of Beulah Robinson, deceased:
“To the Beulah Robinson Scholarship Fund:
(1) The residue of the home in which I live;
(2) All income accruing from the Robinson Lake Property — 640 acres, sec. 27-46-37;
.(3) N. W. % of N. W. %, sec. 4-43-35; _
_ (4) Lots on Minckler Hill, Sipchen addition;
(5) Lot 2, sec. 16-46-35;
(6) Sec. 12, N. W. % of S. E. %, 46-36 and N. E. % of S. E. % of same section;
■ (7) Sec. 21, N. % of S. %, 46-36;
(8) The undivided 1/6 of W. % of N. W. %, sec. 25-46-36;
(9) S. E. % of N. E. %, sec. 31-45-34;
(10) N. E. % of N. W. % of sec. 17-44-34;
(11) Lot 2 of sec. 17-44-34;
(12) All stocks and bonds and other residue not otherwise mentioned;
(13) E. % of N. E. % of N. E. % and E. % of S. E. % of N.-E. sec. 27-46-37;
(14) The Nette River property;
(15) Balance due from the Fred Peters insurance.
“The above stated property shall be handled and disposed of as he sees fit by Frank H. Fisher of Iron River, Michigan.
“I especially request that Abbie Boyington be given the chairmanship of the scholarship fund.”
Plaintiffs, as heirs at law of deceased, filed a bill of complaint praying for a construction of the above provision and for a judgment determining the legal effect of said provision and contend among other things that the paragraph in question purports to be a general bequest and devise to the Beulah Robinson Scholarship Fund which has no legal capacity to take.
The record discloses that testatrix had been a teacher in the public schools for many years prior to the time the will was drawn; that she was much interested in better education for the young; that for some years before the will was made she was a member of an unincorporated society or association known as the Twentieth Century Club; that at vari ous meetings of the club she discussed with other members the raising of money to be loaned to ambitious students who wished to pursue their studies beyond the high school but were financially unable to do so; that she induced the members to raise $500 toward establishing such a fund by offering to contribute a like amount for the purpose if they did so; that when the other ladies had raised the specified amount she gave $500 to it as she had promised; that she participated in various meetings when the funds were discussed, and the questions of making loans were considered; that she, with others, prepared and adopted rules and regulations for the handling of the money in the fund and agreed that it should be known as the Beulah Bobinson Scholarship Fund; and that she was, in fact, the moving factor in the establishment of this fund.
The Twentieth Century Club of Iron Biver, Michigan, is an unincorporated organization which has been in continuous existence since the adoption of the rules and regulations of the Beulah Bobinson Scholarship Fund. It holds regular meetings, has by-laws and regulations; and its officers are elected annually. One of its permanent committees is the scholarship committee which sponsored the organization and raising of funds for the Beulah Bobinson Scholarship Fund. This fund is not incorporated, has no articles of association, nor any definite provisions to determine who may be members or officers, but has a chairman and an advisory committee. The “rules and regulations governing the administration of the Beulah Bobinson Scholarship Fund” were adopted August 14, 1931, and are as follows:
“1. This fund shall be called the Beulah Bobinson Scholarship Fund.
“2. The object of this fund shall be to make loans from it to boys and girls who wish to go on beyond the bigb school and fit themselves for some gainful occupation, but who, without financial help, would not be able to do so.
“3. To be eligible to secure a loan from this fund, girls and boys must be graduates from the Iron River High School; and said loans shall not be placed on a competitive basis. It is further recommended, that, in case a student is pursuing a four-year college course, loans may be made only during the junior and senior year. In very exceptional cases, at the discretion of the scholarship committee, loans may be made in the sophomore year.
“4. To secure a loan, a student must be recommended as worthy and promising, by a committee of three members of the board of education, the superintendent of schools, the cashier of the bank that has the funds in charge. This committee shall act as an advisory committee to the scholarship committee.
“5. It shall be the duty of the chairman of said scholarship committee to obtain a semi-annual report from the proper official of the institution in which the student is enrolled as to the character of the work being done by said student; and to answer all letters received from students.
“6. Furthermore, it shall be the duty of each student having a loan to communicate with the chairman of the scholarship committee, at least once each semester, concerning course of study being pursued and progress in same.
“7. One hundred dollars shall be the maximum loan to any one student at any one time; but a second loan of not more than $100 may be made when so decided by the scholarship committee.
“8. A student may borrow on his or her own note signed by one of the parents, and indorsed by two responsible parties, without interest during the pursuance of his or her own course; money to be refunded as soon as possible after leaving the institution of learning, with interest at 3 per cent, after said date until paid.”
It is elementary that the cardinal principle in the interpretation of wills is to carry out the intention of the testator if it is lawful and can be discovered; and that the whole will is to be taken together and is to be so construed as to give effect, if it be possible, to the whole.
In Re Blodgett’s Estate, 197 Mich. 455, we said:
“If the intent of the testator is obscure, the language ambiguous, resort must be had to the well-understood rules applicable to the construction of wills for the purpose of arriving at the ultimate object of the inquiry, vis., the intention of the testator, the solution of the question: What was his will¶”
In Sondheim v. Fechenbach, 137 Mich. 384, this court quoted the following from Schouler on Wills (3d Ed.), §467:
“ ‘In fine, where the meaning of the language of the will is plain, the court of construction does not go outside to discover what the testator intended; but where the provisions are doubtful, or may admit of more than one interpretation, the court will put itself in the situation of the testator, in reference to the property and the relative claims of the testator’s family, the relations subsisting between him and them, and the circumstances which surrounded him, in order to be enlightened.’ ”
See, also, Tuxbury v. French, 41 Mich. 7; Stender v. Stender, 181 Mich. 648.
If the subject matter of the will is a gift, grant, bequest or devise, in trust or otherwise, for religious, educational, charitable or benevolent uses, the court must also be mindful of the language of 3 Comp. Laws 1929, §§ 13512, 13513, which reads as follows:
13512. “No gift, grant, bequest or devise, whether in trust or otherwise to religious, educational, char itable or benevolent uses, or for the purpose of providing for the care or maintenance of any part of any cemetery, public or private, or anything* therein contained which shall in other respects be valid under the laws of this State, shall be invalid by reason of the indefiniteness or uncertainty of the object of such trust or of the persons designated as-the beneficiaries thereunder in the instrument creating the same, nor by reason of the same contravening any statute or rule against perpetuities. If in the instrument creating’ such a gift, grant, bequest or devise, there is a trustee named to execute the same, the legal title to the lands or property given, granted, devised or bequeathed for such purposes, shall vest in such trustee. If no such trustee shall be named in said instrument or if a vacancy occurs in the trusteeship, then the trust shall vest in the court of chancery for the proper county and shall be executed by some trustee appointed for that purpose by or under the direction of the court; and said court may make such orders or decrees as may be necessary to vest the title to said lands or property in the trustee so appointed.
13513. “.The court of chancery for the proper county shall have jurisdiction and control over the gifts, grants, bequests and devises in all cases provided for by section one of this act. Every such trust shall be liberally construed by such court so that the intentions of the creator thereof shall be carried out whenever possible. The prosecuting attorney of the county in which the court of chancery shall have jurisdiction and control shall represent the beneficiaries in all cases where they are uncertain or indefinite, and it shall be his duty to enforce such trusts -by proper proceedings in the court, but he shall not be required to perform any duties in connection with such trusts in any court outside of this State.”
A construction of the above sections was had in Scudder v. Security Trust Co., 238 Mich. 318, where we said:
“This statute recognizes the fact that charitable trusts may not always be ‘fully expressed and clearly defined’ in the instrument creating them. Its purpose is to enable a court of chancery to enforce such indefinite trusts. It provides that they are not to be invalidated for that reason; that it is the duty of the court to give them a liberal construction, ‘ so that the intentions of the creator thereof shall be carried out whenever possible.’ It provides that the prosecuting attorney shall represent the beneficiaries, ‘in all cases where they are uncertain and indefinite,’ and shall enforce them in a court of chancery. * * *
“ ‘The final test to be applied to the validity of a trust, challenged as violating the act, is -whether the court of chancery could in the last analysis enforce the trust provisions.’ ”
See, also, Greenman v. Phillips, 241 Mich. 464.
The devise in the case at bar being for “educational purposes” is to be construed liberally to the end that the intention of the testatrix may be fully complied with, if possible. In Scudder v. Security Trust Co., above, we held that such a trust is valid where it names a trustee capable of executing it, a definite charitable purpose, and a particular class from which the beneficiaries are to be selected.
In our opinion such a trust was created and Frank II. Fisher is the trustee. He had been Mrs. Robinson’s friend and fellow worker and is given the power to handle and dispose of the property for the Beulah Robinson Scholarship Fund in accordance with the uses and purposes as set forth in the rules and regulations of the fund. Moreover, the object of the trust is to advance the cause of education and it was created solely for the purpose of aiding grad nates of the Iron River High School to further their education. We are of the opinion that it sufficiently appears that the testator established a charitable trust, the purpose of which was clearly indicated and enforceable in a court of chancery.
Appellants raise the question of the constitutionality of Act No. 280, Pub. Acts 1915 (3 Comp. Laws 1929, § 13512 et seq.), but inasmuch as this question was not raised or passed upon in the court below, we decline to pass upon it.
The decree of the trial court is affirmed. Defendants may recover costs.
North, C. J., and Fead, Wiest, Butzel, Bushnell and Toy, JJ., concurred. Potter, J., did not sit. | [
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Toy, J.
In this workman’s compensation case there are involved two compensable accidents to the employee at the plant of employer. The first occurred on December 23, 1929, and the second on June 29, 1934.
The Michigan Mutual Liability Company carried the employer’s insurance at the time of the first accident, while the Liberty Mutual Liability Company carried such insurance upon the happening of the second accident.
On January 13, 1930, an agreement for payment of compensation was entered into between the employer and employee in the amount of $18 per week. This was approved by the department. After 40 weeks of such payment at $18 per week, and after a petition for lump sum settlement was filed by plaintiff, an agreement was entered into between plaintiff and the Michigan Mutual Liability Company, that compensation be paid “during partial disability” for 460 weeks thereafter at $1.17 per week, which agreement was approved by the department. Thereafter the department entered its order approving a lump sum payment thereof in the amount of $538.20, to be deposited in a bank and paid plaintiff at the rate of $100 each month. Payment thereof was duly made by the insurance company, although settlement receipt therefor was never approved by the department. From that time, plaintiff was employed as a watchman by the employer, until the occurrence of the second accident. Following' the second accident, agreement for payment of compensation during disability was entered into between plaintiff, defendant and Liberty Mutual Liability Company, and payment at the rate of $14.08 made to plaintiff thereunder from the date of the second accident until November 8, 1934. On November 7, 1934, defendant and the last named insurance company filed a petition to stop or reduce compensation, alleging that plaintiff was “able to return to work.”
Plaintiff answered denying that he was able to return to work, and filed his cross-petition for review of payments of compensation with respect to the first accident. Tie alleged in his cross-petition that the approval of the department of the lump sum payment was procured by fraud and misrepresentation; that at the time of such approval of the lump sum settlement, plaintiff was totally incapacitated to follow his trade as a mason; that the settlement receipt had never been approved by the department ; that he has never been able to return to the skilled labor he performed at the time of the first accident; that his external tibial nerve “does not function;” that he “is paralyzed;” that he “has an injury to the spinal cord and a compression fracture of a vertebra;” that he has an unstable gait and that he has “foot drop;” all of which he contends brought about physical consequences which totally disable him.
The department granted review of payments and after a hearing thereon before a deputy commissioner followed by review thereof by the department, it determined (quoting from its opinion):
“The department having found that plaintiff’s present total disability is caused by the injury of 1929, the award of the Deputy Commissioner Whitney granting Liberty Mutual Insurance Company’s petition to stop compensation as of the date of hearing, March 19, 1935, is hereby affirmed and the department having found, from an examination of the record, that plaintiff was partially disabled from October 17, 1930 to June 29, 1934, the date of the second accident, and that previous to and at the time of the first accident, plaintiff was engaged as a skilled employee for the Clark Equipment Company at average weekly wages of $27 and that during the said period of partial disability, plaintiff was employed as a watchman at an average weekly wage of $14.38, and award of $12.62 per week, partial disability from October 17, 1930 to June 29, 1934, as provided in 2 Comp. Laws 1929, § 8427, subd. e, is hereby granted and shall be paid by the Clark Equipment Company and the Michigan Mutual Liability Company. The department further awards plaintiff $18 per week for total disability for a period of 2-5/6 weeks from September 28, 1930 (and of 40 weeks total compensation previously paid) to time of reemployment by defendant on October 17, 1930, and there shall be deducted from the above awards the sum of $538.20 which has been paid to plaintiff pursuant to the terms of the agreement of October 12, 1930. The department further finds plaintiff is totally disabled and the Clark Equipment Company and Michigan Mutual Liability Company shall pay plaintiff $18 per week from the 19th day of March, 1935, until the further order of the department. ’ ’
The employer and the Michigan Mutual Liability Company appeal.
Appellants claim that because of plaintiff’s petition for lump sum settlement, agreed to by the Michigan Mutual Liability Company, approved and ordered paid by the department, and paid by the said insurance company, a redemption of appellants’ liability was effected by virtue of the first part of 2 Comp. Laws 1929, § 8438, which provides:
“Whenever any weekly payment has been continued for not less than sis months, the liability therefor may be redeemed by the payment of a lump sum by agreement of the parties, subject to the approval of the industrial accident board.”
We do not accord with this view. The settlement here effected was in pursuance to the second part of the above cited statute, which reads:
“The said board* may at any time direct in any case, if special circumstances be found which in its judgment require the same, that the deferred payments be commuted on the present worth thereof at five per cent, per annum to one or more lump sum payments, and that such payments shall be made by the employer or the insurance company carrying such risk, or commissioner of insurance, as the case may be. ’ ’
It is urged by appellants that because plaintiff’s petition for lump sum settlement failed to set up special circumstances as required by the second part of the statute above quoted, that it must, perforce, come within the first part of the section. This is not the test. We have heretofore held that the line of. demarcation between the two procedures' is whether the settlement is made by approved agreement or by award on petition. Marks v. Otis Elevator Co., 276 Mich. 75; Catina v. Hudson Motor Co., 272 Mich. 377; Norbut v. I. Stephenson Co., 217 Mich. 345.
The plaintiff here filed his petition for lump sum settlement. The agreement between the parties, provided for partial disability compensation for 460 weeks at $1.17 per week. It did not, however, contain any provision for lump sum payment. The department made an award granting the plaintiff’s petition. Clearly, such settlement and award were within the second part of the quoted statute rather than the first. It follows then that the department had power and jurisdiction to review payments of the first accident. Catina v. Hudson Motor Co., supra.
It is stated in appellant’s brief that the second question involved is:
“Where plaintiff has been paid compensation under an approved agreement for partial disability does the subsequent filing of a petition to review payments authorize the board to order payment of additional compensation without a showing by plaintiff that his earning ability has diminished as a consequence of a change in his physical condition attributable to said accident? ”
Following the lump sum settlement plaintiff worked for defendant employer as a watchman until the second accident. The lump sum award for partial disability was effective during this period. There was, daring sach period, no change of condition warranting a review of payments. The award of lamp settlement was res judicata, and prevents any farther award for sach period. Therefore the award of the department in sach regard is erroneoas.
Following the occarrence of the second accident, total disability compensation was paid therefor as long as the disability caased thereby existed. The department foand, and the record snpports sach finding, that sach disability as was caased by the second accident ceased on March 19, 1935. The department foand, however, and there is medical testimony snpporting sach finding, that following sach second accident the condition of plaintiff changed and that he became totally disabled, and that sach continaing total disability resalted from the injaries received from the first accidental injary. The plaintiff should therefore be awarded compensation for total disability commencing March 19, 1935, and antil the farther order of the department made in pnrsnance to the statate.
The award entered by the department is vacated and the canse remanded for the entry of an award in accordance herewith. Costs to appellants.
North, C. J., and Fead, Wiest, Butzel, Bushnell and Sharpe, JJ., concarred. Potter, J., did not sit.
Tlie powers and duties of the industrial accident hoard have been transferred to the department of labor and industry and the board abolished. See 2 Comp. Laws 1929, § 8312.—Reporter.
The powers and duties of the industrial aoeident board have been transferred to the department of labor and industry and the board abolished. See -2 Comp. Laws 1929, § 8312. — Reporter.
See 2 Comp. Laws 1929, § 8453.—Reporter. | [
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North, J.
Plaintiff, Edison Sault Electric Company of Sault Ste. Marie, entered into a contract to furnish electrical power, for a 10-year period, to the defendant, Manistique Pulp & Paper Company of Manistique, on June 30, 1931. The contract con tained the following provision for a minimum annual charge:
‘ ‘ (2) Minimum .charge.
“The consumer guarantees that the amount paid by it for energy and demand charge under this contract shall equal at least the sum of $60,000 for each contract year. * * *
“If the sum of $60,000 shall not have been paid by the consumer to the seller for energy and demand charge during any contract year, the seller shall, on the monthly bill rendered for the last month of such contract year, add an amount sufficient to make the total sums paid and thereupon to be paid by the consumer to the seller for said energy and demand charge during such contract year equal to the sum of $60,000, subject, however, to a reduction of $7 per hour for each hour of interruption of service in excess of an aggregate of 120 hours in such jmar.”
To this contract was attached an industrial power rate schedule providing for discounts of bills if payment were made within 15 days. We quote the provisions of this rate schedule pertinent to this case:
“Prompt payment.
“Payment is to be made for energy and demand charges monthly. If the bills are paid within 15 days from the date same are rendered, a discount of ten per cent, upon the demand charge and four per cent, upon the energy charge will be allowed to the consumer, and payment by consumer to avoid loss of discount shall not deprive consumer of right of adjustment for inaccuracies in measuring or billing.
“Minimum annual charge.
“The minimum annual charge shall be $’60,000 per year, subject, however’, to a reduction of $7 per hour for each hour of interruption of service in excess of an aggregate of 120 hours in such year. ’ ’
Before any power service was rendered and on January 27, 1932, the parties entered into an “amendatory contract” making certain changes in the original contract, a part of which reads:
“Second: That the first paragraph of section (2) of said original power contract entitled ‘minimum charge’ is hereby amended to read as follows, to-wit:
“(2) Minimum charge:
“The consumer guarantees that the amount paid by it for energy and demand charge under this contract shall equal at least the sum of $60,000 for each contract year, except as otherwise provided'in the original power contract and exhibit A .(rate schedule) hereto.”
There was also attached to this amendatory contract an industrial power rate schedule (exhibit A) containing provisions identical with the above excerpt from the rate schedule attached to the original contract.
This suit involves the construction of the contract. The controversy is this: Plaintiff claims the contract provides that defendant’s agreement is actually to pay plaintiff a minimum of $60,000 annually, and that this is determined by the total in fact paid, whether for net monthly charges or gross monthly charges. Defendant claims such determination should be on the basis of the total amount of the gross monthly bills, notwithstanding such monthly bills were discounted and the total actually paid annually is less than $60,000. The circuit judge tried the case without a jury and sustained plaintiff’s contention. Defendant has appealed.
The parties have operated under the contract for three years. No controversy arose during the sec ond year because tbe total of discounted bills paid during that year exceeded $60,000. But under tbe bolding of tbe circuit judge defendant is required to pay plaintiff tbe further sum of $3,587.08 for the first contract year, and $3,922.40 for the third contract year.
“A contract should always be so construed as to carry into effect the intention of the parties, which must be ascertained from the language of the instrument, and the facts and circumstances attending its execution.” Mathews v. Phelps (syllabus), 61 Mich. 327 (1 Am. St. Rep. 581).
But if the terms of a contract are expressed in words of such clear and definite meaning that there is no ambiguity, in the absence of fraud or mistake (of which no claim is here made), the terms of the contract control. There is then no room for a construction by the courts which departs from the express terms' of the contract. An intent differing from the plain terms of the contract cannot be read into it. Dunn v. Detroit Federation of Musicians, 268 Mich. 698; Michigan Trust Co. v. Grand Rapids Hotel Co., 265 Mich. 328, at page 338; Sturgis National Bank v. Maryland Casualty Co., 252 Mich. 426.
The quoted agreement both in the original and in the “amendatory contract” specifically and clearly provides:
“The consumer guarantees that the amount paid by it * * * under this contract shall equal at least the sum of $60,000 for each contract,year.”
The original contract also contains the following provision:
“If the sum of $60,000 bhall not have been paid by the consumer to the seller * * * during any contract year, the seller shall * * * add an amount sufficient to make the total sums paid * * * during such contract year equal the sum of $60,000.”
The portion of the contract last above quoted is contained in paragraph 2 of section 2 of the original contract. The amendatory contract provides:
“That the first paragraph of section (2) of said original contract entitled ‘ minimum charge ’ is hereby amended to read as follows, to-wit: (Here follows the amended paragraph 1 of section 2).
“Except as hereinabove.amended the provisions of said section (2) of said original power contract shall continue in full force and effect.”
By reason of the foregoing, the portion of section 2 quoted from the original contract continues “in full force and effect” as a part of the amendatory contract. The final provision in the amendatory contract is that it and the original contract “shall be together construed, treated and performed by the parties as if the aforesaid amendments of said original power contract and exhibit A thereto as herein contained and attached had originally constituted parts of said original power contract.”
If there is no provision in the amendatory contract which modifies the provisions above quoted, which question we hereinafter discuss, we are of the opinion that the quoted terms of the contract are so definite, clear and explicit that there can be no doubt as to its meaning. Repeatedly the contract provides that the amount to be “paid” each contract year shall be $60,000. We think plaintiff is correct in its contention that the contract is not performed by defendant until it actually pays to plaintiff during each contract year the sum of $60,000.
But appellant strenuously insists that regardless of the proper construction of the original contract, the amendatory contract by an additional provision therein contained modifies the original contract and as so modified it should be interpreted in accordance with appellant’s contention. We quote from appellant’s brief:
“If there were ever any doubt under the original contract as to whether or not the defendant is entitled to discount on the minimum payment, the new and added language of the second contract, being the one at bar, completely dispels it.”
The particular provision to which appellant refers as “the new and added language of the second contract” is the italicized portion of the following, quoted from paragraph 1 of section 2 of the amendatory contract. The portion not italicized is found in both contracts.
“The consumer guarantees that the amount paid by it for energy and demand charge under this contract shall equal at least the sum of $60,000 for each contract year, except as otherwise provided in the original power contract and exhibit A hereto.”
Appellant contends that by excepting the provisions in “exhibit A hereto,” the parties were'excepting the discounts provided for in exhibit A which, among other things, included the schedule of rates. We think this is a strained construction and if intended by the parties would not have been inserted in the amendatory contract in this obscure and indefinite manner. Instead the fair construction is this: In both the original power ■ contract and in exhibit A there is a definite and express exception to the requirement that defendant’s minimum annual charge shall be $60,000. That exception, as appears both in the original power contract and in exhibit A attached to the amendatory contract, is in the following words:
“Subject, however, to a reduction of $7 per hour for each hour of interruption of service in excess of an aggregate of 120 hours in such year. ’ ’
Careful consideration of both the original power contract and the amendatory contract, together with the exhibit A attached to each, satisfies us that the exception referred to in the italicized words above quoted is the exception for interruption of service in excess of 120 hours during the contract year. In the preparation of these contracts the respective parties were represented by able counsel. It seems incredible that if the change were sought to be made which appellant insists was made by the terms of the amendatory contract that it would not have been expressed in clear, concise and definite terms. A simple provision in the amendatory contract that the computation and determination of the minimum annual charge of $60,000 should be based on the amount of the gross monthly bills, instead of on the amount of the discounted monthly bills, would have sufficed. We are not in accord with appellant’s contention that this phase of the original contract was in any way altered by the amendatory contract.
In view of the determination reached it is unnecessary to consider other questions presented in the briefs. Judgment entered in the circuit court is affirmed, with costs to appellee.
Fead, C. J., and Wiest, Btjtzel and Bushnell, JJ., concurred. Tot, J., took no part in this decision. Sharpe and Potter, JJ., did not sit. | [
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McAllister, J.
On November 30, 1938, Bertba L. Westgate was awarded a decree of divorce from Elmore L. Westgate with provisions of alimony granting ber a one-half interest in all of his rights in an oil business known as the Direct Refinery Stations. Because of her inability to ascertain the exact nature of the ownership of Mr. Westgate in such business, plaintiff filed a petition in the divorce proceedings setting forth that her husband and defendants herein, as well as others, were engaged in a conspiracy to cheat her out of her rights in the business by concealment of property rights and ownership ; that Elmore L. Westgate was the real owner of the business but that in order to defraud her he had covered up such interests under the names of others. In her petition, Mrs. Westgate prayed that defendants and others be joined as defendants in the proceedings and that they show cause why a temporary receiver should not be appointed for the Direct Refinery Stations.
After a delay of several weeks, during which time it was impossible to make personal service of process or service of order to show cause upon defendants, and in order to conserve the business, the circuit court, after a hearing in which various other respondents appeared, appointed a receiver. An order of publication was necessary to secure service upon defendants in plaintiff’s action; and it was not until June 12,1939-, four months after the appointment of the receiver, that they entered their appearance and at the same time filed their answer to plaintiff’s petition. In their answer, they denied that they were concealing property from plaintiff or defrauding her out of her rights, and denied that she was entitled to the appointment of a receiver.
On September 9, 1939, the receiver filed a petition for an injunction against defendants and others alleg ing interference with employees of the receiver and obstruction of the receivership; and on the same day the circuit court enjoined defendants from “communicating with, molesting or interfering in any way with any of the agents or employees of Fred G. Timmer, receiver, or with any of the operators or employees of operators of any of the Direct Refinery Stations cooperating with this receiver, buying their petroleum products from him, employed by him or operating in conformity with him, or from going upon or near the premises on which said Direct Refinery Stations are located or making any threats of violence either directly or indirectly against said employees of said receiver or said station operators or their employees and further that you do absolutely and entirely desist and refrain from attaching or levying upon the property or assets of said Direct Refinery Stations’ business or the wholesale business connected therewith and from interfering with or in any manner disturbing any portion of the property or assets now or hereafter in the possession of said receiver or in the possession of any of his agents or employees or of the aforesaid station operators of the Direct Refinery Stations who are cooperating with and operating under the jurisdiction and control of the receiver herein, during the pendency of said receivership or until the further order of this court in the premises.”
Defendants filed a motion to dissolve the injunction, which was denied by the circuit court, and they were given leave to appeal. The question presented on review is whether the trial court erred in denying the motion to dissolve the injunction.
Defendants complain that the court improperly enjoined them from interfering with the receiver’s possession of the premises and business of the Direct Refinery Stations. Defendants claim that they are the owners of this property. No attack upon the order appointing the receiver is made as far as the record discloses, except in defendants’ answer; and they conld not attack the validity of snch an appointment, or question the extent of the receiver’s possession, on a motion which did not raise such an issue. We are of the opinion that there is no merit in defendants’ contention on appeal from the order denying the motion to dissolve the injunction. The conduct enjoined was interference with the possession of the receiver. It would be unlawful, in any event, so to interfere, and the injunction only emphasized the law to defendants.
In support of their claim that they are improperly enjoined from bringing actions against the receiver, defendants rely upon Gutsch v. McIlhargey, 69 Mich. 377; Kenney v. Ranney, 96 Mich. 617; and McAfee v. Bankers Trust Co., 253 Mich. 685. These cases are not applicable for the reason that they involved personal actions and were not against defendants in their capacity as receivers. Where a receiver is personally at fault in wrongfully taking possession of property belonging to and in possession of a third party, his receivership is no protection to him. But it is the duty of the court to protect a receiver against interference with his possession of property belonging to the estate in receivership. See McAfee v. Bankers Trust Co., supra.
The order of the trial court is affirmed, with costs to plaintiff.
Bushnell, C. J., and Sharpe, Potter, Chandler, North, Wiest, and Butzel, JJ., concurred. | [
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Chandler, J.
(dissenting). During the year 1937, plaintiff offered for sale through Brown, Anthony & Company, Incorporated, a brokerage corporation, an issue of capital stock. Brown, Anthony & Company, by approval of an application filed by it on or about October 19, 1936, had been licensed to deal in securities and had furnished the bond required by the provisions of 2 Comp. Laws 1929, § 9790, as amended by Act No. 229, Pub. Acts 1931, and Act No. 37, Pub. Acts 1935 (Stat. Ann. § 19.762), the defendant Maryland Casualty Company being the surety thereon.
During 1937 and prior to June 30th of said year, the expiration date of the license of Brown, Anthony & Company, said company through its agent, Loren J. Kuehnle, solicited subscriptions for shares of the proposed issue of stock being offered by plaintiff. The subscriptions, in writing, were forwarded to the Detroit office of the brokerage company, and in due time each subscriber received a confirmation of sale, together with a letter acknowledging receipt of the subscription.
The- license of Brown, Anthony & Company expired on June 30,1937, and was not renewed. After said date, the salesman, Mr. Kuehnle, collected the amount of the subscriptions from the various subscribers, payment in each instance being made by a check which was cashed by the brokerage company. However, the certificates of stock were never delivered to the subscribers, nor did plaintiff receive the sums paid by the subscribers therefor from the broker. Thereafter, plaintiff reimbursed each of said subscribers for the sums so paid by them, and received an assignment of any claims they might have against Brown, Anthony & Company and its surety.
Thereupon, this suit was instituted to recover said sums against the insolvent principal and its surety. The trial court entered judgment against both defendants and the surety has appealed, claiming that its liability as surety on the bond terminated on June 30, 1937, the expiration date of the license of the principal.
It appears to be conceded that Brown, Anthony & Company failed to comply with the provisions of the statute under which it was licensed, and the only question before us is whether or not the liability of the surety on the bond terminated with the expiration of the license.
The statute contains no provision relative to the length of time the bond shall remain in force and the bond itself in terms does not limit liability to the license period.
However, the bond is required in express terms for the protection of the public against the acts of the licensee in violation of the provisions of the statute under which the license is granted. In Timmerman v. Hartford Accident & Indemnity Co., 243 Mich. 338, an action was brought to recover on a dealer’s bond which had been issued by the defendant surety company in connection with a proposed application for a dealer’s license for defendant Bultman. No application for a license was made by Bultman after the bond was issued; the bond was never filed; nor was a license ever granted. Under this state of facts, the plaintiffs sought to recover from the surety on the bond. In denying recovery, it was pointed out that the bond was executed by the surety in furtherance of a statutory purpose, that is, the protection of the public from the unlawful acts of those to whom a license had been issued in accordance with the provisions of the statute, and that the license, the subject matter of the bond, never existed. The foundation of the decision denying liability rests upon the fact that no license existed.
If there is no liability under the bond for acts occurring prior to the granting of the license because of the nonexistence of such license, by what reason can it be said that there is liability for acts occurring after the license has expired? The bond becomes effective upon its acceptance and the issuance of ai license by the securities commission; it is for the protection of the public during the life of the license from the prohibited acts of a licensed dealer; and liability terminates thereunder with the expiration! of the license.
The unlawful acts of the agent of Brown, Anthony ■& Company consisted in the misappropriation of funds at various times subsequent to the expiration of the license, and it follows that no recovery therefor can be had against the surety on the bond.
Counsel for appellee contend that the issue involved in the instant case is identical with that involved in City of Detroit v. Blue Ribbon Auto Drivers’ Ass’n, 254 Mich. 263 (74 A. L. R. 1306). The trial judge was of the opinion, and so stated, that the question raised by this appeal was the same as that before the court in the Blue Ribbon Case, and based his conclusion of liability thereon.
The writer of this opinion has diligently endeavored either to harmonize his views with those expressed in City of Detroit v. Blue Ribbon Auto Drivers’ Ass’n, supra, or to distinguish that case from the instant one, but his efforts have been futile.
I believe that the foregoing opinion is sustained by Timmerman v. Hartford Accident & Indemnity Co., supra; United States v. Smith, 8 Wall. (75 U. S.) 587; Spiegler v. City of Chicago, 216 Ill. 114 (74 N. E. 718); Rumford v. Boston Grocery Co., 111 Me. 116 (88 Atl. 394); Lyman v. Cheever, 168 N. Y. 43 (60 N. E. 1047); Commonwealth v. Foch Cereal Co., 302 Pa. 373 (153 Atl. 695); Adams v. State, 105 Tex. 374 (150 S. W. 591); and that the holding in the Blue Ribbon Case, supra, is decidedly in the minority.
The judgment should be reversed as to the defendant surety company, with costs.
North, J.
I am unable to agree with Mr. Justice Chandler’s conclusion that in the instant case the transaction which resulted in the alleged liability on the bond did not occur during the life of the bond and that therefore the surety cannot be held liable. Instead, I think it must be held, under the particular facts in this case, that the transaction which gave rise to the fraudulent conduct for which plaintiff seeks to hold the surety liable was fully consummated and the status and rights of the respective parties fixed prior to the expiration date of the dealer’s license or the expiration of its bond.
Admittedly, during that portion of 1937, up to and including June 30th, the principal on the bond was a duly-licensed broker. The broker’s license expired June 30, 1937, and was not renewed; but prior to June 30, 1937, the broker had fully completed transactions with various purchasers of stock in plaintiff company whereby they had agreed to buy and the company had agreed to sell at an agreed price an agreed number of shares of stock in plaintiff company. In so far as there were any negotiations for the sale of this stock they were fully completed and the rights of the vendor and the vendees were finally fixed prior to June 30, 1937, the date on which the broker’s license expired. A few days later and incident to legal requirements and in compliance with these consummated transactions the purchasers of the stock remitted to the broker through its agent the respective sums due from them to the vendor company. The broker, who unknown to the parties concerned was then insolvent, embezzled these remittances. The purchased stock was never delivered. There is no express provision in the bond as to the date of its expiration nor is there such a provision in the statute or in the license issued to the broker.
Under the above facts it seems clear that the purchasers of the stock had a right of action under the provisions of the blue sky law, as hereinafter noted, in consequence of a clear breach of the broker’s bond given in compliance with the provisions of that law. The rights of action of the respective purchasers were assigned to the plaintiff in this suit, and so plaintiff stands in the shoes of the purchasers so far as its legal rights are concerned.
In compliance with the blue sky law, Act No. 220, § 22, Pub. Acts 1923 (2 Comp. Laws 1929, § 9790), as amended by Act No. 37, Pub. Acts 1935 (Comp. Laws Supp. 1940, § 9790, Stat. Ann. § 19.762), the bond here in suit was conditioned “upon the faithful compliance with the provisions of this act by said dealer and all salesmen registered by him.”
2 Comp. Laws 1929, § 9799, as amended by Act No. 37, Pub. Acts 1935 (Comp. Laws Supp. 1940, § 9799, Stat. Ann. § 19.771), in part reads:
“It shall be unlawful for any person engaged in business as a dealer and/or broker within the meaning of this act and who is insolvent, to accept or receive from a customer, ignorant of such broker’s insolvency, any money or securities belonging to such customer otherwise than in liquidation of or as security for an existing indebtedness and to thereby cause the customer to lose in whole or in part any money or securities .”
That is exactly what was done in the instant case; and its legal aspect is not altered by the fact that plaintiff subsequently voluntarily reimbursed tbe purchasers for the moneys paid to the broker. The purchasers were indebted for and made remittances to the broker for their respective purchases which previously, and prior to any claimed expiration of the bond in suit, had been fully consummated. Except for such antecedent consummated transactions the acts which gave rise to this suit would not have transpired. Under such a state of facts the surety on the bond should be held liable to indemnify plaintiff as the assignee of the stock purchasers for the amount of the loss; and it should be so held on the theory that the loss arose out of a .transaction which was fully consummated in its legal aspects prior to the expiration of the broker’s license or his bond. The foregoing holding is not in conflict with the decisions cited in my Brother’s opinion,- but instead the cited decisions are clearly distinguishable.
The Timmerman Case (243 Mich. 338) is wholly unlike the instant case in that a license never was issued to any person as a broker or dealer and therefore the bond issued in contemplation of an application for and the issuance of a dealer’s license never became operative. No application for a license was made and none issued. Under such conditions it is too plain for argument that the surety on the bond could not be held liable.
In United States v. Smith, 8 Wall. (75 U. S.) 587, the bond was given to secure payment to the Federal government of duties by one licensed to engage in distilling “coal oil.” Licenses granted to those so engaged expired on May 1st of each calendar year. After the expiration of his license the principal on the bond failed to pay duties which accrued to the government in the months of June and July, 1866. The right of payment which the government sought to enforce against the surety on the bond was in no way connected with any transaction of the licensee which, had its inception, or was consummated prior to the expiration date of the license. It was under such circumstances that the court held the surety was not liable. But in the instant case plaintiff is asserting liability against the surety by reason of the dealer’s defalcation in a transaction which so far as the contractual rights and the legal status of the respective parties are concerned was fully consummated prior to the date on which the dealer’s license expired.
Likewise, in Spiegler v. City of Chicago, 216 Ill. 114 (74 N. E. 718), the factual situation is clearly distinguishable from the instant suit in that the Illinois case did not involve a transaction which was consummated prior to the expiration date of the license. On this same ground the remaining four eases cited by my Brother are distinguishable from the instant case.
The judgment entered in the circuit court in favor of plaintiff in the instant case should be affirmed, with costs.
Nor am I in accord with Mr. Justice Chandler’s opinion wherein he intimates it is impossible to distinguish from the instant case our decision in City of Detroit v. Blue Ribbon Auto Drivers’ Ass’n, 254 Mich. 263 (74 A. L. R. 1306). Both in the instant case and in, the Blue Ribbon Case the bond in suit was one required by law; and if justifiable within its express terms the bond in each case should be so construed that it will accomplish the purpose for which it was required. Such construction is an obvious essential of sound public policy in the administration of law.
In the instant case resort to the bond arose from a transaction which was purely contractual, not tortious. Both before and at the time plaintiff’s assignors purchased the stock and made the pay ment therefor they had full opportunity to ascertain whether the broker was operating under bond, and to ascertain the terms of the bond, including the date of its expiration. Under such circumstances it was only a matter of justice to the surety and no injustice to plaintiff or its assignors that the bond should be construed according to its terms, including the period of its duration. As stated in appellant’s brief: “The act (blue sky law) affords no protection to persons dealing with unlicensed dealers, brokers and salesmen.” And it may be noted this was the basis of our decision in Timmerman v. Hartford Accident & Indemnity Co., supra.
But liability on the bond in the case of City of Detroit v. Blue Ribbon Auto Drivers’ Ass’n, supra, arose solely from a tortious act, not from a contractual relation. The plain purpose of the Detroit ordinance which required the bond was to insure to an injured person satisfaction for negligent injury done by a bonded driver of a Detroit taxicab. Neither Amanda Watson, the injured party iñ the Detroit ease, nor any other pedestrian' on the streets of Detroit could by any reasonable means know which of the numerous drivers of Detroit taxicabs were under bond or what were the terms and conditions of the bond that might have been given by any particular driver. And certainly no one could foretell by which of the many taxicab drivers he would be negligently injured. Surely the paid surety on such a bond was chargeable with notice of the purpose for which the bond was required. Hence as a matter of public policy the surety in the Detroit case was held liable. A contrary holding would have done an injustice to the injured pedestrian and would have deprived the public of the protection obviously contemplated by the ordinance provision. Further, it should be noted that the express condi tion of the taxicab bond was that if “any judgment rendered in any court against the owner of such taxicab (or taxicabs) arising out of damage or injury to any person or property caused by the negligent operation of such taxicab (or taxicabs) is paid, then this obligation shall be null and void, otherwise in full force and effect.”
The performance by the surety of the above-quoted condition of its bond was exactly what our decision required in the Detroit Case, and it should stand as sound law in this jurisdiction.
As above noted, the judgment entered in the circuit court should be affirmed, with costs.
Bushnell, C. J., and Sharpe, McAllister, Wiest, and Butzel, JJ., concurred with North, J. The late Justice Potter took no part in this decision.
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Wiest, J.
Plaintiff, an employee of defendant, was injured in December, ,1934, and awarded compensation in July, 1935, for partial disability. In November, 1938, he petitioned for an award for total disability, and was adjudged totally disabled but denied additional' compensation on the ground that he was in fact totally disabled when adjudged partially disabled in 1935, and, therefore, has not suffered further disability.
The award for partial disability in 1935 is res judicata as of that time and the finding of the department that he is now totally disabled established increased disability, commanding an award for such lessened ability, and the department was without power to review and impeaeh its former award by a holding that, when he was awarded compensation for partial disability, he was in fact totally disabled. See Wicko v. Ford Motor Co., 292 Mich. 335.
Plaintiff, defendant, and the department are bound by tbe finding and award for partial disability only in 1934, and tbe finding of total disability in 1938 entitled plaintiff to an award for sucb.
Tbe bolding is reversed and tbe case remanded for entry of an award for total disability from tbe date of tbe bearing in November, 1938, with credit to defendant for payments, if any, since made under tbe partial disability order.
Bttshnell, C. J., and Sharpe, Chandler, North, McAllister, and Butzel, JJ., concurred. Tbe late ’Justice Potter took no part in tbis decision. | [
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Wiest, J.
August 14,1939, plaintiff, a millwrigM, in the employ of the Briggs Manufacturing Company, was directed, with five other employees, to lift in place a conveyor weighing about a thousand pounds. Three men were on each side of the conveyor. At a given signal by the foreman to lift, plaintiff responded by lifting but the other] men did not all lift at the same time and, because of extra exertion, plaintiff felt a pain in his stomach. As a result of the strain plaintiff suffered a ruptured blood vessel in his stomach and is disabled from working in the employment in which he was formerly engaged. The department found plaintiff suffered such disability as the result of the mentioned lifting but held there was no accidental injury and denied the award. Plaintiff appeals, contending that, under the mentioned facts as found by the department, he is entitled to compensation.
The question of law is whether plaintiff suffered an accidental injury within the meaning of the compensation act.
In Smallegan v. John Smallegan & Sons, 268 Mich. 245, plaintiff therein and a fellow employee were employed in lifting a barrel weighing 450 pounds up to a platform. We stated:
‘ ‘ The regular way to lift the barrel upon the platform was for one man to take hold of one end of the barrel while the other man lifted the opposite side of the barrel and both lift together. Upon this occasion both men were in their proper position to lift, yet Arthur did not start lifting when plaintiff did so that the full weight of the lifting was borne by the plaintiff alone. As a result of this unusual lifting, plaintiff felt a sharp pain in the back of the head, became dizzy and subsequently suffered a brain, hemorrhage. ’ ’
Under such statement of facts we held:
“To justify compensation for accidental injury, there must have been ‘some unusual, fortuitous or .unexpected happening which caused the injury and which was in essence accidental in character.’ Sinkiewicz v. Lee & Cady, 254 Mich. 218, 220. The circumstances surrounding the lifting of the barrel were unexpected by plaintiff. The sudden lifting of a weight twice as heavy as customary was an unusual event not contemplated by plaintiff and resulting in an undue strain upon plaintiff. In our opinion plaintiff suffered an accidental injury such as is contemplated by the compensation act.”
The department considered the instant case within the rule stated in Nagy v. Continental Die Casting Corp., 283 Mich. 162, and cases there cited, of no accidental injury where an employee in lifting, in the usual course of his work and without slipping or any unusual circumstances, except the weight of the object being lifted, suffered strain; and upon a finding that “the plaintiff knew before lifting that he was going to make a heavy lift. At the time he received the strain, he was doing exactly what he intended to do. The mere fact that the lift was heavier than usual does not make it an accidental injury,” denied compensation.
This leaves out of consideration the special circumstances that plaintiff’s exertion in lifting was to he simultaneously accompanied by like exertion of five others and the division of the weight among all. The failure of the others, upon signal of the foreman, to lift in unison left plaintiff unaware of the burden he attempted to lift arid constituted a fortuitous happening.
The lift for each of the six men was heavy and required common effort to apportion to each his share of the weight and plaintiff’s over-exertion and resulting- injury was by reason of the inertia of his fellow workmen. Such inertia cast upon plaintiff an unanticipated exertion causing him injury not attributable to his employment.
The instant case falls within the ruling in Smallegan v. John Smallegan & Sons, supra.
The deputy commissioner found an accidental injury arising out of and in the course of employment causing total disability, and made an award for such. Upon appeal to the department, total disability was found but the award by the deputy was reversed on the ground the disability was not caused by an accidental injury.
The award of the department is vacated and the case remanded with direction to affirm the award of the deputy commissioner. Plaintiff will recover costs.
Btjshnell, C. J., and Sharpe, Chandler, North, McAllister,- and Butzel, JJ., concurred. The late Justice Potter took no part in this decision. | [
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Chandler, C. J.
(dissenting in part). For some time prior to the facts hereinafter related, the Lonis Sultan Chevrolet Company, a corporation, had been purchasing a parcel of real estate located on Grand River avenue in the city of Detroit from the Gemmer Manufacturing Company. The Chevrolet Company was engaged in the automobile sales business and Louis Sultan, one of the plaintiffs herein who conducted the affairs of said company, desired to erect a modern building on the premises to be used for this purpose.
In 1936, he contacted one William Hordes, an agent of defendant in Detroit, to determine if he might secure a loan with which to make the improvements in question. Nothing was done at this time toward consummation of a loan. However, in the late summer of 1937, Mr. Sultan again discussed the question with Hordes, and after some negotiation, received information that he could borrow funds from defendant, providing he was willing to purchase some other property from defendant which it owned in Detroit and desired to sell.
Sultan testified that he was not interested in purchasing any additional real estate and that he so informed Hordes; and that the latter stated that if he wanted to obtain the loan it was essential that he agree to purchase a piece of property from defendant. He further testified that because it was necessary that he obtain the money, demolition having been started on his old building, he agreed to the arrangement. The property he agreed to purchase will be referred to herein as the Virginia Park property, that being the name of the street upon which it was located.
Hordes informed Sultan that the purchase price of the property was $19,000 and, according to Sultan, after examining the same he told Hordes that it was not worth half that much. Thereafter, the two went to Chicago where the entire matter was discussed with Mr. McArthur, president of the defendant company.
At this meeting, Sultan again protested that he did not want to purchase the Virginia Park property and that in any event it was not worth the price demanded. It appears, however, that defendant refused to make the loan unless the sale was consummated as a condition thereof, although the price of the Virginia Park property was reduced to $18,800.
Mr. Sultan finally consented and at that point it was understood that he was to obtain a loan of $35,000, out of which was to be deducted $7,500 as the down payment on the Virginia Park property, leaving the balance available to Sultan.
Mr. Sultan was informed that the funds would be sent to defendant’s attorney in Detroit, Mr. Putnam, who would prepare the necessary papers to be executed by plaintiffs. Thereafter, and before completion of the deal, it was agreed that plaintiff could borrow an additional $7,500 to be used for improvement of a parcel of land he had purchased adjacent to the garage property on Grand Eiver avenue. Consequently, the total amount of the loan became $42,500.
On April 21, 1938, the necessary papers to close the loan were executed by plaintiffs, the same consisting of a note in the principal amount of $42,500, with interest at five per cent, per annum, secured by a mortgage covering the Grand Eiver avenue property, and a note in the amount of $11,300, with interest at four per cent, per annum, secured by a mortgage on the Virginia Park property, which principal amount represented the balance of the purchase price thereof.
On the same day, plaintiffs were given a check for $7,500, representing the down payment on the Virginia Park property which was immediately indorsed by them and returned to defendant’s attorney. The same kind of transaction occurred with reference to another check for $650 which represented a payment on the premium of a $20,000 life insurance policy purchased from defendant by Sultan at the Chicago meeting at the suggestion of Mr. McArthur. In addition to these sums which were deducted from the proceeds of the loan, the mortgage tax in the amount of $212.50 was deducted. At a later date, plaintiffs were required to pay $100 as part of defendants’ attorney fee incurred in connection with the loan.
Default occurred in the terms of the mortgage covering the property on Grand River avenue and defendant instituted foreclosure thereof by advertisement. Thereupon, plaintiffs filed the bill of complaint herein to enjoin said foreclosure, and for an accounting, claiming that the mortgage in question was usurious. Defendant answered, denying the charge of usury, and also filed a cross bill praying for an accounting and foreclosure of the mortgage, having abandoned its foreclosure by advertisement.
The cause was referred to a commissioner who made findings of fact and conclusions of law, wherein he held that the transaction was usurious and that all interest on the sum loaned should be declared void, recommending that a decree of foreclosure be entered in favor of defendant and that the amount due be restricted to the balance of principal owed by plaintiffs, plus taxes paid by defendant, or a total of $32,804.38.
The trial court disagreed, holding that the transaction was not usurious, and a decree was entered in favor of defendant, fixing the amount due as $46,533.88, including principal and interest, plus $3,845.08, the taxes paid by defendant. Plaintiffs thereupon appealed.
Plaintiffs claim the transaction was usurious because of certain elements present therein. These are, the claimed excessive price of the Virginia Park property which they were required to purchase as a condition of securing the loan, the premium paid on the life insurance policy in the amount of $650, the $100 paid on defendant’s attorney fee, the mortgage tax in the amount of $212.50 and $211.42, termed excessive interest, which represents interest charged from the date of the mortgage to the date all of the funds were disbursed, it appearing that funds were disbursed from time to time subsequent to the execution date in payment of construction bills as they were presented to defendant’s attorney.
The maximum legal rate of interest which may be charged in this state is seven per cent, per annum. 2 Comp. Laws 1929, § 9239 (Stat. Ann. §19.11). And to sustain the claims of plaintiffs it was necessary for them to show by a preponderance of the evidence that there was intent on the part of defendant by the transaction in question to exact a rate of interest in excess of the maximum amount permitted by the cited statutory provision. See Flax v. Mutual Building & Loan Ass’n of Bay County, 198 Mich. 676; Domboorajian v. Woodruff, 239 Mich. 1; Ferguson v. Grand Rapids Land Contract Co., 242 Mich. 314 (63 A. L. R. 820); Bankers Trust Co. of Detroit v. Cowhey, 243 Mich. 353; Minnesota Mutual Life Ins. Co. v. Schlanger, 284 Mich. 208.
A leading, and the principal case relied upon by appellants, is E. C. Warner Co. v. W. B. Foshay Co. (C. C. A.), 57 Fed. (2d) 656, which we have carefully examined, together with other authorities. It is apparent that in all the cases where the courts have been called upon to decide whether a sale of property made contemporaneously with a loan constitutes a usurious transaction, they have had to determine if the intent to exact usury was present. In some instances, it has been found that the necessary element of intent was lacking; in others, it has been found that the sale price of the property was not excessive as compared with its claimed actual value, as the fact that a sale is attached as a condition of the loan is not of itself sufficient to condemn the transaction.
In the case before us, the sale price of the Virginia Park property was $18,800. The commissioner found the value thereof to be $9,200, based upon the testimony of plaintiffs’ witnesses; the court found it to be worth $14,820, based upon the testimony of defendant’s witnesses. It would, therefore, appear that the price obtained was in excess of the actual value of the property sold.
However, we are of the opinion, as was the trial court, that despite this fact the element of intent to obtain illegal interest does not appear. The record shows that the defendant company had previously held a mortgage on the Virginia Park property which had been foreclosed. The sale price approximated the investment it had in the premises according to the books of the company, and it naturally desired to liquidate the asset with the least possible loss.
In addition, there are other factors which point to the absence of the required intent, without considering the testimony of defendant’s officers and agents who participated in the negotiations leading up to the consummation of the loan. In the first place, the interest rate on the Grand River mortgage was five per cent, per annum, and on the Virginia Park mortgage four per cent, per annum. If defendant had intended to exact a usurious rate of interest, the expected thing would be to find these instruments bearing the maximum legal rate. Furthermore, at the time the deal was closed, defendant required that the land contract from the Gemmer Manufacturing Company, under which the Grand River property was being purchased by the Sultan Chevrolet Corporation, be assigned to plaintiffs individually, who then executed the mortgage and became personally responsible thereunder. This action is not compatible with a claimed usurious intent for had such intent been present defendant undoubtedly would have taken the mortgage from the corporation and the defense of usury would not then have been available. See Act No. 327, § 78, Pub. Acts 1931 (Comp. Laws Supp. 1940, § 10135-78, Stat. Ann. § 21.78).
We are not unmindful that the fact that a sale price in excess of the actual value was obtained should be considered and is important in determining the presence or absence of a usurious intent, and we have dope so in this case. However, it is our conclusion that when all the facts and circumstances are considered, as we have outlined, the usurious intent cannot be said to have been present.
This conclusion would warrant complete affirmance of the decree of the trial court were it not for the question concerning plaintiffs ’ supplemental bill of complaint which we will now discuss.
The decree was presented for settlement on December 12, 1941. On the same day, plaintiffs petitioned for leave to file a supplemental bill of complaint which alleged that on March 22, 1941, three days prior to the filing of the findings of fact and conclusions of law by the commissioner, a fire occurred at the Grand River avenue premises, the fire insurance policy being issued to plaintiffs and showing the interest of defendant as mortgagee; that after the fire plaintiffs proceeded to repair the premises and adjusted the amount of the loss with the fire insurance company at $16,475.50; that thereafter the fire insurance company issued its check in this amount payable to plaintiffs and defendant and that plaintiffs requested defendant to indorse the check so that they might pay for the cost of the repairs, which defendant arbitrarily refused to do; that on December 5, 1941, plaintiffs’ counsel informed defendant’s counsel of his intention to file a supplemental bill of complaint with reference to this matter and that thereupon it was agreed that if plaintiffs would present their bills for repairs on December 8, 1941, defendant would endorse the check, provided that if the proceeds thereof exceeded the cost of the repairs, the excess would be applied in payment of taxes which had accrued since the trial of the case; and that after some further negotiations, and on December 11, 1941, defendant’s counsel informed plaintiffs’ attorney that defendant refused to carry out this agreement and to indorse the check.
The supplemental bill concluded with a prayer that a mandatory injunction issue to compel defendant to indorse the check; that the amount defendant was entitled to receive out of the proceeds be determined, and that the court decree that the retention of such amount as the court might find defendant entitled to retain should cure the default existing under the mortgage.
On the same day the decree was filed, an order was entered denying plaintiffs’ motion for leave to file the supplemental bill.
Either plaintiffs or defendant should have the proceeds of this check and we believe the trial court should have granted plaintiffs’ motion for leave to file the supplemental bill so that the issue presented could have been determined.
Were it not for this feature, the decree would be affirmed. In view thereof, however, it will be reversed and the case remanded. Plaintiffs may have leave to file their supplemental bill in the court below and the parties can present such proof as they may desire relative to the question raised. Plaintiffs shall recover costs of this appeal.
Sharpe, J., concurred with Chandler, C. J.
Butzel, J.
I believe the trial judge should have confirmed the report of the circuit court commissioner who alone had the advantage of seeing and hearing the witnesses. The intention to exact usury by making a necessitous borrower purchase property at twice its value is convincingly clear. The defendant had taken on foreclosure and owned for many years an old two-story four-family apartment house with an additional apartment in a high basement, the latter being occupied by a custodian who paid $17.50 per month and furnished his services in looking after the building. It had only one furnace for all the apartments, the heat being supplied by the lessor. The two apartments on the first floor were rented for $35 per month and the two on the second floor for $32.50 per month. This with the $17.50 per month for the basement made a net rental of $152.50 per month, provided there were no vacancies. The comparatively small rentals reflected the fact that the apartment building was 21 years old and in an undesirable condition and neighborhood, the latter being described by a witness as “a very concentrated habitation there, which isn’t entirely satisfactory from the residential point, approaching the tenement standpoint.” Plaintiffs were obliged to purchase the apartment building for $18,800 in order to secure the loan on the Grand River property. Immediately upon taking possession of the apartment building, they were put to the expense of erecting a new roof, installing a new boiler and redecorating all the apartments.
The sole expert who testified for defendant placed a value of $14,820 on the property. This was approximately $4,000 less than the price plaintiffs were forced to 'agree to pay. The expert based his high estimate largely upon the cubic content of the building which he multiplied by 32 cents a cubic foot, and then deducted the depreciation. This method, while of value under certain circumstances, becomes undependable when applied to an old building in a not too attractive neighborhood. The head building appraiser of the city of Detroit assessor’s office stated that 10 cents per cubic foot was the proper figure to use. He also estimated the cubic content at 5,000 cubic feet less than was found by defendant’s witness. Defendant’s appraiser found that the cost of heating the apartment amounted to $225 per year. One of plaintiffs ’ testified that he bought 50 tons of coal a year at $8 a ton. Defendant’s witness further placed a higher value on the land because it abutted an alley to the west. The photographic exhibits showed that the east side of the lot adjoined the rear of business lots facing on Linwood avenue and was in close proximity to the rear of stores with wooden porches and steps. This might detract from the value of the property for residential purposes. The witness further tried to carve an additional rent-producing apartment out of the basement by taking from the present tenant part of the basement for which, he furnished his services in looking after the building in addition to paying the $17.50 monthly rent.
The wife of the custodian testified that the basement was in very bad condition, the joists under the living and dining rooms were in need of repair, while those under the kitchen and hallway were en-, tirely worn out. The expert from the tax assessor’s office placed a value of $6,450 on the building and $1,260 on the land. The estimates of plaintiffs ’ experts were slightly higher. The commissioner took the highest of these estimates and placed a value of $9,200 on the property. The evidence showed that this was very fair. Defendant had loaned $15,000 on the property in 1925 and in succeeding years it added taxes and other expenses paid by it so as to bring its cost to $19,669.89. It demanded $18,800 from plaintiffs or $9,600 more than the property was worth. Plaintiffs had to have a loan. The testimony on behalf of plaintiffs showed that the expression “bonus” was used by defendant’s agent in the negotiation. Defendant denies this. Whether the excess price was called a bonus or not, the effect of the transaction was to force plaintiff to pay $9,600 more for the property than it was worth. This was a method of exacting usury. When it is made a condition precedent to the lending of money that land or goods be sold, either by .the lender to the borrower at a price exceeding true value, or by the borrower to the lender at a price falling short of true value, the courts have never hesitated to characterize the transaction as a cover for usury. In such cases, intent is inferable from the disparity between the sale price and the true value, provided such disparity was known to the parties, whether they said anything about it or not. Such has been the consistent tenor of the American decisions from 1810 to the present clay. Rose v. Dickson, 7 Johns. (N. Y.) 196; Douglass v. McChesney, 2 Rand. (23 Va.) 109; Morgan v. Schermerhorn, 1 Paige Ch. (N. Y.) 544 (19 Am. Dec. 449); Bank of the Valley v. Stribling’s Ex., 7 Leigh (34 Va.), 26; Bank of Washington v. Arthur, 3 Grat. (44 Va.) 173; Root v. Pinney, 11 Wis. 84; Low v. Mussey’s Estate, 36 Vt. 183; Earnest v. Hoskins, 100 Pa. 551; Meyer Brothers v. Cook, 85 Ala. 417 (5 South. 147); Carter v. Hook, 116 Va. 812 (83 S. E. 386); Norton v. Nathanson, 85 N. J. Eq. 409 (97 Atl. 166), affirmed 86 N. J. Eq. 433, 434, 435 (99 Atl. 1070, 1071); Sanford v. Hawthorne, 103 Neb. 867 (174 N. W. 863); E. C. Warner Co. v. W. B. Foshay Co. (C. C. A.), 57 Fed. (2d) 656, certiorari denied, 286 U. S. 558 (52 Sup. Ct. 641, 70 L. Ed. 1292) (Minnesota law); Bishop v. Rider, 143 Misc. 291, affirmed 235 App. Div. 736 (255 N. Y. Supp. 787), affirmed 261 N. Y. 512 (185 N. E. 717); In re Prince (C. C. A.), 89 Fed. (2d) 681 (New York law). See 2 Restatement of the Law of Contracts, § 528, comment a; § 530, comment b.
While it is true that had the loan been made directly to the corporation in which plaintiffs owned practically all of the stock, the corporation could not under the law avail itself of the defense of usury, it is doubtful whether this question was considered when defendant demanded that the corporation first deed the Grand River property to the plaintiffs as individuals before making the loan. The record is silent as to why this was done but good business considerations might have made it desirable for defendant to have the personal obligation of plaintiffs behind the loan instead of that of the corporation. The motive possibly might have been due to a knowledge by defendant that buying apartment buildings is ultra vires of an incorporated Chevrolet dealer.
In this connection it becomes important that at the time the loan was made, plaintiffs were called upon to sign a document stating that the mortgage note of $42,500 was free from all defenses both in law and equity, and that the note and interest thereon would be fully paid when due. The suspicion is strong tha/t defendant’s demand that such a document be signed by plaintiff might have been for the very purpose of attempting to legalize something that the law proscribes.
Plaintiff was obliged also to take out a life insurance policy in defendant’s company and the sum of $650 was deducted from the loan to apply on the insurance premium. We pass the question whether this was an additional usury, as the commissioner did not deduct this amount and plaintiffo did not take any exception to his report. Not all the facts regarding the life insurance are clear.
The. further question arises whether, in the case of a usurious loan, plaintiff, who filed a bill to restrain the foreclosure of the mortgage by advertisement, is bound to pay interest at 5 per cent, on the correct amount after proper deductions for the usurious charges. Inasmuch as defendant filed a cross bill asking for foreclosure in the instant chancery suit, plaintiffs are not required to pay any interest.
Prom 1843 to 1891 the obligee of a usurious loan could bring action thereon and obtain judgment for the principal and legal interest. Act No. 47, § 2, Pub. Acts 1843 (Rev. Stat. 1846, chap. 34, § 4); Thurston v. Prentiss, Walk. Ch. (Mich.) 529; Craig v. Butler, 9 Mich. 21. In the latter year the law was changed so as to provide that “in any action brought by any person” on a usurious contract, “defendant shall not be compelled to pay any interest thereon.” Act No. 156, § 2, Pub. Acts 1891 (2 Comp. Laws 1929, §9240 [Stat. Ann. §19.12]). Regarding the sources, history, and interpretation of Michigan legislation on usury, see discussion in Fretz v. Murray, 118 Mich. 302, 303, 304, and Vandervelde v. Wilson, 176 Mich. 185, 188-192.
Accordingly, it has since Í891 been held that, where a mortgagor sues to restrain a foreclosure by advertisement, then, if the mortgagee files a cross bill praying foreclosure in chancery, such cross bill constitutes an action on a usurious contract, within the meaning of the statute, and forfeits all interest. Estey v. Capitol Investment, Building & Loan Association, 131 Mich. 502; Leach v. Dolese, 186 Mich. 695 (Ann. Cas. 1917A, 1182). But if the mortgagee only files an answer, admitting the jurisdiction of the court and joining in the prayer of plaintiff mortgagor that the amount legally due be determined by the court, such answer does not constitute “an action by the mortgagee on this usurious contract, or in the nature of a cross bill seeking affirmative relief;” therefore, in such a case, the allowance of legal interest is proper. People, ex rel. Attorney General, v. Detroit Mortgage Corp., 239 Mich. 495. The cross bill in the case at bar seeking foreclosure in chancery excuses payment of all interest. Once such a cross bill is filed, it is improper for the court to permit the mortgagee to amend his pleadings so as to withdraw it, since such an amendment would prejudice the mortgagor, by reviving his liability for legal interest. Leach v. Dolese, supra.
Defendant admits that $212.50 deducted from the loan to pay the mortgage tax was an improper charge against plaintiffs. We also find that the circuit court commissioner was correct ih finding that the $100 attorneys’ fees paid to defendant’s attorneys and deducted from the loan to plaintiff was also an improper charge. Plaintiff should be credited with $9,600, the excess amount they were obliged to pay for the Virginia avenue property. The total amount of the loan was $42,500. After deduction of $9,600, overpayment on the apartment building, $212.50 for the mortgage tax, $100 for defendant’s attorneys’ charge, $2,465.55 paid by plaintiff and credited as interest on the mortgage note, and $924.03 paid as principal, the balance of $29,197.92 is due defendant. There is also due defendant the additional amount of $3,606.46 paid out by it for taxes which plaintiffs should have paid.
We fully agree with the foregoing opinion as to plaintiffs’ right to file a supplemental bill and the remanding of the case so that proper disposition can be made of moneys received on account of fire insurance.
Decree may be entered in accordance with this opinion and the case remanded for further proceedings. Plaintiff to recover costs of both courts.
Boyles, North, Starr, and Bushnell, JJ., concurred with Butzel, J. Wiest, J., took no part in this decision. | [
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Sharpe, J.
Plaintiff filed a bill of complaint in the circuit court of Wayne county and alleged that he is a licensed real estate broker; that Cottrell Block Construction Company is a Michigan corporation in the general real estate and construction business; that John B. DeGalan is doing business as the Melvindale Development Company; that the other defendants are individuals and residents of Wayne county, Michigan; that in October, 1941, Herman Farris was the owner of an equity in a gfoup of lots, all of which were delinquent in taxes and had been taken over by the State of Michigan for the nonpayment of taxes; that such lots were about to be sold by the State land, office board to the general public; that prior to such sale, defendant Louis Smilansky interested plaintiff into going into a building company to utilize 50 lots, not involved in this transaction, for the purpose of building homes on such lots, plaintiff to be the broker for the sale of such homes; that about this time, plaintiff discovered that Herman Farris owned several hundred lots in various subdivisions practically all of which were subject to the so-called State scavenger sale; that plaintiff proposed to Louis Smilansky ■that arrangements be made to secure certain of these lots from Herman Farris and the State of Michigan; that meetings were held with plaintiff, Louis Smilansky, John B. DeGalan, and the Cottrell Block Construction Company and it was agreed that the Cottrell Block Construction Company would be enabled to bid at the scavenger sale as an owner of the lots and plaintiff would have the right to sell such lots; that as a result of this verbal agreement, plaintiff attended the scavenger sale and the lots were bid in under the name of Effie James, who is the wife of John B. James, president of the Cottrell Block Construction Company; that plaintiff attended the sale in an advisory capacity for the Cottrell Block Construction Company and advised as to which lots should or should not be purchased; and that on November 17, 1941, he entered into the following agreement: •
“This is to confirm our verbal agreement, made November 15th, in our office, relative to your handling the sale of numerous lots which we own in the city of Melvindale, Michigan.
“1. We will pay to you a real estate broker’s commission of $50 per lot on any and all sales of lots wbicb are accepted by us.
“2. In the event that we sell a lot or lots direct and pay no commission to any broker, we will pay you a commission of $50 per lot.
“3. If we sell through another broker and pay him a $50 commission per lot, we will then pay you an overriding commission of $20 per lot. In the event that we pay another broker less than $50 per lot, we will then pay you, in addition to said $20 overriding commission, 50 per cent, of the difference between $50 and the amount of commission per lot which we paid an outside broker.
“4. In the event that you sell in cooperation with another broker, we will then pay you a $70 commission per lot which you will split with the other broker by agreement with him.
“5. All promotional expenses, such as signs, brochures, et cetera, shall be charged to a promotional account in our books and from time to time as commissions are paid to you, we shall subtract from said commission in an amount not to exceed 10 per cent, of the commission, funds until you have paid for cost of said promotion.
“6. This agreement shall be in effect until March 1, 1942, at which time it will terminate, provided however, that in the event that there has been a sale of at least 50 lots, then the above agreement shall automatically be renewed until September 1, 1942.
“Very truly yours,
“(Signed) John B. DeGalan
By Edwin Gage
John B. DeGalan
For Cottrell Block Construction Co.”
Plaintiff also alleged that on or about November 10,1941, John B. DeGalan filed a certificate of doing business under the assumed name of Melvindale De velopment Company; that it was understood and agreed between plaintiff, Cottrell Block Construction Company, Smilansky, and DeG-alan that the actual business of selling the lots would be done under the name of Melvindale Development Company; that thereupon plaintiff proceeded to advertise the lots and expended a great deal of time and effort in interesting brokers and builders in the property; that in the early part of 1942, there appeared to be an added interest in home building and thereupon Smilansky, DeGalan, Cottrell Block Construction Company and Farris entered into a conspiracy to deprive plaintiff of the benefits to be derived by him under his contract; that these defendants made a deal whereby, ostensibly, defendant Farris repurchased all of the lots from defendant Effie James and thereby took from plaintiff the opportunity to sell any of the lots; and that by reason of the conspiracy projected by the defendants, except Effie James, plaintiff was unable to negotiate for the sale of any of the lots.
Plaintiff asked for an injunction against the defendants restraining them from selling any of the lots; that an accounting be had for all lots sold by them since November 17, 1941, and the contract be decreed to be in full force and effect.
The trial court entered an order to show cause; and on March 17, 1942, the defendants filed a motion to dismiss the bill of complaint for the following reasons:
1 “If the allegations in plaintiff’s bill of complaint are true, plaintiff has an adequate remedy at law.
2 “It does not 'appear from the bill of complaint, (that plaintiff’s contract, Exhibit A, referred to in the bill of complaint) was fraudulently induced to be entered into by the defendants. Plaintiff’s remedy for enforcement of same is an action at law.
3 “That it does not appear on the face of the bill of complaint that an accounting is necessary in that it is not alleged or clearly shown that an action at law is inadequate for that purpose.
4 “That it appears on the face of the bill of complaint that plaintiff if he has any action could recover for his claim services and damages, if any, in an action at law.
5 “That there is a misjoinder of defendants.”
Later the defendants filed answers to the order to show cause.
The above motion came on to be heard and the trial court stated in her opinion:
“If the complainant has any standing in the court, it is because he has made a valid contract with the defendants for the sale of real estate and for real estate commissions. He seeks an enforcement of this contract in equity. If he has a valid contract, his remedy at law is complete in the appropriate action for breach of contract.”
An order was thereupon entered dismissing plaintiff’s bill of complaint. Plaintiff appeals and contends that he does not have a complete and adequate remedy at law; and that he must resort to a court of equity in order to protect his rights in the premises- It is the theory of plaintiff that the defendants entered into a conspiracy to obtain the benefits of plaintiff’s efforts by secret deals to place the property in such a position that plaintiff could no longer obtain the benefits of his work.
On a motion to dismiss a bill of complaint all properly alleged facts stated in the bill are accepted as true, Marvin v. Solventol Chemical Products, Inc., 298 Mich. 296; Wedin v. Atherholt, 298 Mich. 142, and well-pleaded facts in defendant’s answers which, are not controverted must also be taken as admitted and considered when deciding a motion to dismiss, Case v. City of Saginaw, 291 Mich. 130.
See, also, Court Bale No. 23, §2 (1933), and Court Buie No. 24, § 1 (1933).
In Laubengayer v. Rohde, 167 Mich. 605, 609, we said:
“Complainant’s rights are to be tested by the allegations in his bill taken as true, rather than by his prayer for relief.”
In defendants’ answers to the order to show cause it was alleged and not controverted that plaintiff has no contract or agreement with Effie James for the sale of any of the lots.in question; and that on or about February 19, 1942, plaintiff agreed to accept the sum of $1,000 in full settlement for services rendered by him in connection with sale of said lots.
If is the rule in Michigan that where there is an adequate and complete remedy at law injunction will not issue to prevent breach of contract.
In Attorney General, ex rel. Marr, v. Board of Education of Detroit (syllabus), 133 Mich. 681, we held:
“A bill in equity will not lie, at the suit of a schoolbook publisher, to enjoin a board of education from making a change of textbooks in the public schools, in violation of an alleged. contract with complainant, as there is an adequate remedy at law.”
In Lee v. Hedenskoog, 200 Mich. 427, we held that a court of law is as competent as a court of equity to award a money judgment.
The prayer for relief in plaintiff’s bill of complaint asks for an accounting for all lots sold by defendants since November 17, 1941.
In Laubengayer v. Rohde, supra, we said:
‘ ‘ To sustain a bill for an accounting there must be mutual demands, a series of transactions on one side, and payments on the other.”
In Austin v. Socony Vacuum Oil Co., 291 Mich. 513, we said:
“It may be that the complication of the books and records of the Davis Gasoline Company will require discovery. Plaintiffs are afforded full opportunity for such discovery in a law action under Court Rule No. 40 (1933) (3 Comp. Laws 1929, §§13543-13547 [Stat. Ann. §§27.37-27.41]). Despite plaintiffs’ contrary contention, discovery is not in itself a ground for equitable interference.”
In the case at bar the bill of complaint does not allege a series of transactions and payments, nor does it allege that any effort was made to secure the required information as to the number of lots sold under the so-called “discovery rule.” Under such circumstances we must hold that the bill of complaint does not state facts entitling plaintiff to an accounting.
Nor does the bill allege any fraud in the procurement of the contract. It does allege that plaintiff knew all about the transaction from the start, knew that Parris was the owner of the lots, attended the sale and knew that the lots were bid in by Effie J ames.
As we view the case plaintiff seeks the aid of a court of equity to collect commissions on the sale of real estate under the terms of his contract. As was said by the trial judge: “He seeks an enforcement of this contract in equity. If he has a valid contract, his remedy at law is complete in an appropriate action for breach of contract.”
The decree of the lower court is affirmed, with costs to defendants.
Chandler, C. J., and Boyles, North, Starr, Butzel, and Bushnell, JJ., concurred. Wiest, J., did not sit. | [
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McAllister, J.
• This is a suit in equity brought by the school district of the city of Pontiac against the city of Pontiac to recover moneys claimed to be due it from the collection of taxes by the city. The school district is a municipal corporation, established and operating under Act No. 319, Pub. Acts 1927, as amended (2 Comp. Laws 1929, § 7094 et seq. [Stat. Ann. § 15.1 et seq.]); and the city is a municipal corporation established and operating under the home rule act (1 Comp. Laws 1929, § 2228 et seq. [Stat. Ann. § 5.2071 et seep]) and the provisions of its charter.
Taxes are raised for the school district in the following manner: The school district furnishes the city clerk with a statement of all taxes to be raised for school purposes. The city clerk delivers a copy of the statement to the city assessor, who assesses the school taxes along with the city taxes.
In accordance with Act No. 337, Pub. Acts 1919 (see 2 Comp. Laws 1929, §7478 [Stat. Ann. §15.501]), the school district voted to have the school taxes col lected by the city in instalments in the same manner as the city taxes. Under the charter of the city of Pontiac, chap. 11, § 6, the city taxes are dne on July 1st, bnt may be paid without additional charge until August 1st. Subsequent thereto, a charge of one per cent, per month is added to all delinquent taxes until they are returned, together with accrued penalties, to the county treasurer, on March 1st of the following year. The county treasurer then adds three-fourths of one per cent, per month after March 1st, and a collection fee of four per cent., under the provisions of 1 Comp. Laws 1929, § 3483, as amended by Act No. 87, Pub. Acts 1931 (Comp. Laws Supp. 1935, §3483, Stat. Ann. §7.144), which provides as follows :
“To all taxes unpaid on the first day of March next after their assessment there shall be added interest at the rate of three-fourths of one per cent, per month or fraction thereof, and to all taxes returned to the county treasurer there shall also be added a collection fee of four per cent. Such interest and collection fee shall be collected with such taxes, and the interest and taxes to be- paid to the State, county and township, in proportion to their several rights therein.
“The collection fee paid to the county treasurer shall belong to- the general fund of the county, and that paid to the auditor general shall belong to the general fund of the State. No other charges shall be added to any taxes voluntarily paid either to the township treasurer, county treasurer or the State treasurer, except the expense after it accrues under section- 59 of this act. The various county and township treasurers shall allocate and distribute such moneys proportionately among the several county or township funds.”
Under 1 Comp. Laws 1929, § 3480, as amended by Act No. 134, Pub. Acts 1933 (Comp. Laws Supp. 1935, § 3480, Stat. Ann. § 7.141), the county treasurer is required to render detailed monthly statements to the townships or cities, and pay over all moneys owing as shown by the statements. Within 10 days after receiving a statement from the county treasurer, the city clerk must deliver to the school district a detailed statement showing the amount of money due it, together with interest thereon, as provided by 1 Comp. Laws 1929, § 3481, as amended by Act No. 87, Pub. Acts 1931 (Comp. Laws Supp. 1940, § 3481, Stat. Ann. § 7.142). The city treasurer is then obliged to pay the school district all moneys shown by such statement to be due it, upon warrants drawn by the proper district officers. It appears that this provision of the statute was not strictly complied with, because the city clerk did not render detailed statements regularly, and the city treasurer, from time to time, merely mailed checks with attached voucher statements to the school district. Except for a mistake in one instance, the city has never paid the school district interest or collection fees since January, 1931, but has turned over only the original amount of the taxes assessed, and no settlements have been made between the city and the school district. The school district, therefore, brought this suit, claiming the interest of three-fourths of one per cent, per month, assessed under the provisions of 1 Comp. Laws 1929, § 3483, as amended by Act No. 87, Pub. Acts 1931 (Comp. Laws Supp. 1935, § 3483, Stat. Ann. § 7.144), and the one per cent, per month charge levied under section 6 of the city charter.
The circuit court awarded the school district the interest of three-fourths of one per cent., holding that the school district was entitled thereto under the provisions of 1 Comp. Laws 1929, § 3481, as amended, which provides:
“The township or city clerk shall within 10 days after receiving the notice from the county treasurer of the amount of delinquent taxes' and a description of the land upon which said taxes were paid, make out and deliver to the moderator or secretary of the district board or board of education of e'ach school district situated in whole or in part within such township or city to which money may be due from delinquent school taxes as shown by the statement of the county treasurer, a detailed statement showing the amount of such delinquent school tax together with the interest thereon and deliver a copy of such statement to the township or city treasurer. The township or city treasurer shall pay all moneys shown by such statement to be due such school district to the proper receiving officer of such district upon warrants drawn by the proper district officers.”
But with regard to the amount accrued from the one per cent, charge added by the city under its charter, the court held that this was a fee which the city earned as a collecting agent, and to which it was entitled under chapter 11, § 16, of its charter, which provides:
“The fees and penalties for the collection of all taxes provided for by this charter or the general laws of the State shall belong to the city and shall be paid by said treasurer into the city treasury.”
The school district has appealed from the trial court’s determination with regard to the one per cent, interest fund; and the city has filed a cross-appeal, contending that it is entitled not only to the 'fund growing out of the one per cent, interest charge but also to the fund made up of the interest charge of three-fourths of one per cent.
Section 89 of the general property tax law (1 Comp. Laws 1929, § 3483, as amended), providing for the additional charge to be made upon unpaid taxes, explicitly refers to such charge as an interest charge and definitely recognizes the distinction between such interest charge and a collection fee, which is also therein referred to. Section 87-a of the same act (1 Comp. Laws 1929, § 3481, as amended) provides specifically that the interest charge therein provided on delinquent school taxes shall be. paid to the school district. It is contended by the city of Pontiac that it is entitled to this interest charge under the provisions of section 16 of its charter which provides that “the fees and penalties for the collection of all taxes provided for by this charter or by general laws of the State shall belong to the city. ’ ’ In answer to this contention, however,‘it may be said that the statute clearly directs that the interest on snch delinquent funds be paid to the school district and that the charter provision, in any event, only refers to fees and penalties and makes no provision relative to any right of the city to interest charges. Under the provisions of 1 Comp. Laws 1929, §§ 3481, 3483, the school district is entitled to the interest charge of three-fourths of one per cent, per month on- delinquent school taxes.
It is contended by the city that it is entitled to the one per cent, charge on unpaid school taxes by virtue of section 16 of chapter 11 of the city charter which provides that the fees- and penalties for the collection of all taxes provided for by the charter or the general laws of the State shall belong to the city; that the validity of such charter provision is confirmed by 2 Comp. Laws 1929, § 7480 (Stat. Ann. § 15.503), which provides:
“Except as provided otherwise in this act, the provisions of the general school laws of this State and any law in force in such district relative to voting, assessing and collecting school taxes, shall continue and be in full force and effect. ’ ’
Further pertinent provisions of the city charter with reference to the collection of delinquent taxes and the payment of them to the parties thereto entitled are the following [chap. 11]:
“Sec. 6. The taxes assessed on the general city tax roll for each fiscal year shall be due and payable on the first day of July of each year, and may be paid at any time during the whole of said month without any collection fee, or additional charge. An additional charge of one per cent, shall be added to all unpaid general city taxes on the first day of August, and an additional charge of one per cent, shall be made and added to all such delinquent unpaid taxes on the first day of each month during which said taxes shall remain unpaid, until return thereof, together with such accrued penalties or charges, shall be made to the county treasurer.
“Sec. 7. The city treasurer shall give notice by publishing in a daily newspaper published and circulating in said city, for the six secular days next preceding July 1, which notice shall be sufficient demand for the payment of all taxes on said rolls, and that the payment therein specified may be made to him at any time up to and including the 31st day of July without any collection fee therefor; provided that an addition of one per centum shall be made thereto on the first day of August, and an additional charge of one per centum shall be made on the first day of each month that the tax remains unpaid until return to the county treasurer by the city treasurer. * * *
“Sec. 14. The treasurer shall, within ten days after the expiration of the time limited in his warrant, or in case of extension of time for collecting such taxes, ydthin ten days after such time has expired, pay over to the treasurer of the board of education the amount which by law is payable to him, on the first day of March, or within ten days thereafter, shall pay to the county treasurer the balance which by law is payable to him, and shall make his returns according to the general laws of the State relating to township treasurers, except as herein otherwise provided, and such general laws shall govern in all things not herein otherwise provided for.”
In addition, it is claimed that part 2, chap. 9, § 7, of the school code, being 2 Comp. Laws 1929, § 7463 (Stat. Ann. § 15.487), refers to the compensation to be paid to the city for the collection of school taxes. The section in question provides as follows:
“It shall be the duty of the supervisor of the township and the assessing officers of each city to assess the taxes voted by every school district in his township or city, and also all other taxes provided for in this act, chargeable against the district of the township or city upon its taxable property respectively, and to place the same on the assessment roll in a separate column for school taxes apart and distinct from all other taxes, and the same shall be collected and returned by the treasurer in the same manner and for the same compensation as township or city taxes. If any tax provided for by law for school purposes shall fail to be assessed at the proper time, the same shall be assessed in the succeeding year. ’ ’
With regard to the foregoing section, it is sufficient to say that it merely provides that the school taxes be collected and returned by the treasurer without additional compensation to him for the service thus rendered and does not intimate that the city be allowed compensation in the way of a collection fee for the collection of school taxes.
The issue, therefore, with reference to the one per cent, charge resolves itself into a determination of whether such charge is interest on delinquent taxes or a collection fee. If it be an interest charge, the school district is entitled to it in accordance with the generally understood and applied principles that interest is merely an incident of the principal and must be accounted for. 56 O. J. p. 729. If it be a collection fee, the collection agency is entitled thereto. It is apparent from a reference to chapter 11, § 7, of the city charter that the additional charge of one per cent, is considered a collection fee. The charter provides that payment of the taxes may be made up to and including the 31st day of July without any collection fee therefor, but that an addition of one per cent, per month shall thereafter be made for each month that the tax remains unpaid. There would seem to be no question, therefore, that the charge of one per cent., added by virtue of the charter, is a collection fee for delinquent school taxes in addition to the interest charge to which the school district is entitled by virtue of the provisions of 1 Comp. Laws 1929, § 3483, as amended. Is there statutory authority for the allowance of this collection fee to the city of Pontiac? We are of the opinion that 2 Comp. Laws 1929, § 7480, authorizes the allowance of the collection fee to the city when it specifies that the provisions of the general school laws and any law in force in such district relative to voting, assessing and collecting school taxes shall continue in full force and effect except as otherwise provided in the act. The law in force in the school district relative to the voting, assessing and collecting of school taxes covering the period in question was the charter of the city of Pontiac. When the electors of the school district voted to have the school taxes collected by the city, they are presumed to have done so with the knowledge that the city, under chapter 11, § 16, of its charter, was entitled to the collection fees provided for by chapter 11, §§ 6, 7, of the charter. We are in accord with the holding of the trial judge that the provisions of the city charter must prevail except where contrary to State law; and there is nothing in the statutes of the State of Michigan repugnant to the charter provisions of the city of Pontiac authorizing the city to retain the collection fees which are imposed by virtue of its own charter provisions. In the decree of the circuit court requiring the city of Pontiac to pay over to the school board the fund representing the three-fourths of one per cent, interest charge, the court allowed the city to set off the sums of $9,679.93 and $1,642.79. These sums represent n payment of the one per cent, collection fee and certain overpayments which were mistakenly made by the city to the school board. Under the evidence in the case, there is no question that such payments were erroneously made and the court properly allowed them to be set off against the fund to which the school board was entitled.
Upon a review of the record, the decree of the trial court is affirmed, no costs being allowed because the case concerns a matter of public importance.
Bushnell, C. J., and Sharpe, Chandler, North, "Wiest, and Butzel, JJ., concurred. The late Justice Potter took no part in this decision. | [
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Butzel, J.
Henry R. Tonnelier died July 29, 1938, leaving a last will executed October 19, 1935, which was duly admitted to probate. It is divided into five “Items.” Item 1 provides for payment of debts and Item 5 for the appointment of testator’s wife as executrix. Item 2 provides for seven legacies of $2,000 each to testator’s seven brothers and sisters, named by testator and all of whom were living at the time the will was made. The will does not mention Joseph Tonnelier, a deceased brother of testator and the father of the three plaintiffs in the instant case'. He had died previous to the making of the will. It does not mention plaintiffs. It does, however, provide that in case any of the seven mentioned brothers and sisters should predecease testator or die before the disposition of his estate without children surviving them, then, in such event, the provision for such deceased brother or sister shall pass to and Vest in the surviving brothers and sisters, to he divided equally between them share and share alike.
Item 3 devises a life estate in the residue of testator’s estate to testator’s wife, provides that she shall have the personal custody, management and possession of the property, the use, profits and income and as much of the principal as may he necessary for her adequate, comfortable and convenient support. It gives her power to sell the real estate and other securities, and complete power of management, sale and reinvestment.
The word “said” is frequently inserted in legal documents for the purposes of clarity and brevity hut often has the opposite effect and leads to difficulty. In quoting Item 4 we have italicized the word “said,” which is largely the cause, of the present litigation:
“At the decease of my said wife, I give, devise and bequeath all my remaining property, of every kind and nature, both real and personal, to my brothers and sisters then surviving at the death of my said wife, to be divided equally between them, share and share alike. If any of my said brothers or sisters have deceased at the death of my said wife, leaving child or children, such child or children to take the portion of said deceased parent. However, if any of my brothers and sisters have deceased preceding the death of my said wife, leaving no child or children, the portion of such deceased brother or sister shall abate and become void and such portion shall pass to and become a part of my residuary estate to be divided between my residuary legatees and devisees as hereinabove provided.”
In considering Item 4, we are not unmindful of the fact that neither Joseph Tonnelier, the deceased brother, nor plaintiffs are mentioned in Item 2. There is no specific provision in any other portion of the will in regard to the three plaintiffs herein. They claim, however, that they are entitled to share in the residue under Item 4. Jane Tonnelier, the widow, died June 8, 1940. Edward A. Westin was appointed administrator de bonis non with the will annexed. He and six of the brothers and sisters mentioned in Item 2, all of whom are living, are defendants herein. The seventh brother mentioned in Item 2 'is not contesting this claim. Plaintiffs, as children of the deceased brother Joseph, claim that under Item 4 they are entitled to a one-eighth interest in the residue and have filed the bill in the instant case for construction of the will. They base their claim on, the wording of Item 4, and particularly the first two sentences thereof. Obviously they are not in the class mentioned in the first sentence of Item 4, which states that upon the death of his wife the'residue, both real and personal, is to go to his brothers and sisters surviving at the death of his said wife, to be divided equally between them, share and share alike. This provision, however, is followed by the sentence:
“If any of my said brothers or sisters have deceased at the death of my said wife, leaving child or children, such child or children to take the portion of said deceased parent.”
Plaintiffs claim that the word “said” in this sentence should be deleted; that it must have been inadvertently inserted by the scrivener, who used the word “said” frequently in referring to testator’s wife.
Counsel call attention to familiar rules of construction, so firmly established as to no longer need citation of authority. The will should be construed so as to carry out the testator’s intent if it is lawful and the language of the instrument so permits. In order to ascertain such intent, the court must look to the four corners of the' will. If the words of the will permit, the construction conforming with the laws of inheritance should be favored. In the last analysis, however, all the words in a will must be taken into consideration. The word “said” may be very important. As was stated in Baird v. Johnston, 230 Iowa, 161 (297 N. W. 315):
“Such terms as ‘said road’ and the ‘same’ found in the order are in common use and have a well understood meaning. ‘Said’ is a word of reference and means ‘before mentioned,’ ‘already spoken of,’ ‘aforesaid;’ it refers to an appropriate antecedent. 38 Words & Phrases (Perm. Ed.), pp. 25, 26.”
In view of the wording of the will, it becomes unimportant whether the children of a brother who died previous to the making of the will would be in the same class as brothers and sisters who were living at the time the will was drawn. We, therefore, need not discuss Anderson v. Wilson, 155 Iowa, 415 (136 N. W. 134), and other cases so strongly stressed by plaintiffs, nor In re Turner’s Estate, 208 N. Y. 261 (101 N. E. 905, Ann. Cas. 1914D, 245), and the cases to which defendants call our attention.
The trial judge held that the first sentence of Item 4 in which the residue is left to the brothers and sisters surviving at the death of the wife, absolutely, effectually excluded the children of a brother who had died prior to the making of the will; that the second sentence of Item 4 referred to brothers and sisters who when the will was drawn had a chance to survive the wife, or, as appellees state, who had a possibility of such survival. While not conclusive, we cannot overlook Item 2 of the will, wherein neither plaintiffs nor their deceased father are mentioned, nor do we overlook the fact that the second sentence of Item á is clumsily drawn.
Construing the will in its entirety, we come to the conclusion that plaintiffs were excluded in the will. The decree of the trial court to this effect is affirmed, with costs to defendants.
Chandler, C, J., and Boyles, North, Starr, Bushnell, and Sharpe, JJ., concurred. Wiest, J., took no part in this decision. | [
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North, J.
This appeal is from a decree entered in the circuit court in chancery of Wayne county dismissing plaintiff’s bill of complaint wherein he sought an accounting from defendants incident to a former partnership in the law firm of Connolly & Henderson. The theory upon which plaintiff asserts a right to an accounting and to some extent the factual background of the case are set forth in the bill of complaint from which we quote somewhat at length:
“That * * * on or about December 5, 1919, said William F. Connolly, deceased, and plaintiff became associated together as copartners in the practice of law, under the firm name of Connolly & Henderson; and entered into written articles of copartnership, which provided in substance that the said William F. Connolly, deceased, was to share 65 per cent., and plaintiff 35 per cent., of the profits of said law partnership. * * *
‘ ‘ That the partnership arrangement detailed in the preceding paragraph, continued until January 2, 1925, when said William F. Connolly, deceased, and plaintiff, entered into another agreement, by the terms of which each of the partners agreed to give his entire time, skill, business ability and attention to the carrying on of said law business; and each was to receive one-half of the net profits thereof, and in the same proportion to share the losses thereof. # # #
“That for some time previous to 1926, said William F. Connolly, deceased, had taken an active interest in the affairs of Briggs Manufacturing Company, a Michigan corporation, and said partnership had often been engaged in a professional capacity to attend the different affairs of said company, which was engaged principally in the manufacture of automobile bodies. # # *
“That commencing with the year 1926, the various affairs of the Briggs Manufacturing Company commanded more and more of the time of the partnership, and particularly the time of William F. Connolly, de ceased, until several large matters arose, which required that said William F. Connolly, deceased, give a great deal of time to the affairs of said Briggs Manufacturing Company.
“That said William F. Connolly, deceased, from the year 1925 until his death in 1935, was a director, general counsel, and the treasurer of said Briggs Manufacturing Company, and counselled, participated and had charge of many of the large and important business affairs and transactions of said Briggs Manufacturing Company involving large sums of money, and required great knowledge, experience and resourcefulness in bringing said transactions to a successful consummation; and all of which was of great value to the said Briggs Manufacturing Company. * * *
“That during the years 1926 to 1929, said William F. Connolly, deceased, devoted practically his exclusive time to the various affairs of the Briggs Manufacturing Company, but accounted for no fees or earnings from the Briggs Manufacturing Company, until May of 1929, when he made a partial accounting. * * *
“That because said William F. Connolly, deceased, was devoting almost his entire time to the affairs of Briggs Manufacturing Company, plaintiff, in the spring of 1929, decided to terminate the partnership, whereupon a series of letters and telegrams passed between said William F. Connolly, deceased, and plaintiff, by the import and terms of which said William F. Connolly, deceased, accepted an accounting as stated by the plaintiff, of the partnership affairs, without repudiating or in any manner denying plaintiff’s claim to an interest in the earnings of said William F. Connolly, deceased, accepted an accounting (of) his services and earnings from the Briggs Manufacturing Company.
“That in September, 1929, after the deceased William F. Connolly returned (from a trip to Europe) to Detroit, he resumed his former practice of devoting his exclusive time to the affairs and business of Briggs Manufacturing Company.
“That in November, 1929, no settlement having been made, by William F. Connolly, deceased, of his earnings from the Briggs Manufacturing Company, and said William P. Connolly, deceased, continuing to absent himself from his office on the affairs of Briggs Manufacturing Company, plaintiff moved from said offices, taking the chairs, desk, a set of Michigan Reporter, and leaving in said office subsequently occupied by said William P. Connolly, deceased, exclusively until his death, the remainder of the partnership furniture, library and equipment.
“That subsequent to November, 1929, plaintiff discontinued the use of the firm name, and used plaintiff’s name exclusively in the practice of law, although said deceased William P. Connolly continued use of the firm name of Connolly & Henderson until his death, or for many years subsequent to November of 1929, when the partners ceased practicing law together in the same office.
“That there was no accounting by said William P. Connolly for his earnings as director, general counsel, attorney and treasurer for the Briggs Manufacturing Company, other than for his so-called nominal earnings, which on its face purports to be in truth and in fact not his actual earnings. * * *
“That said William P. Connolly, deceased, in one form or another, received a salary greatly in excess of $50,000 per annum, for the years 1925 to 1929 inclusive, for which no accounting has been made to plaintiff, and to an accounting of which plaintiff is entitled. * * * _
_ “That plaintiff has presented a claim against the estate of William P. Connolly, deceased, which claim was denied by the commissioners on claims, and which on appeal to the circuit court for the county of Wayne, was again denied without prejudice, et cetera, by the Honorable Arthur P. Webster, in a cause being circuit court law docket no. 195,941.”
The relief sought is that there be decreed dissolution of the partnership and an accounting “of the partnership dealings and transactions and of all moneys earned, received or disbursed by either and both of said partners. ’ ’ And further, the following specific prayer for relief is made:
“That the account stated by plaintiff in his letter dated May 28,1929, to William F. Connolly, deceased, pursuant to the authorization given to plaintiff by said William F. Connolly, deceased, in his letter to plaintiff of May 7,1929, be decreed to be an accounting of said partnership.”
By their answer defendants have denied the material facts alleged by plaintiff and upon which he asserts a right to an accounting; and further, defendants affirmatively assert that plaintiff’s alleged right to relief is barred by laches and the statute of limitations.
One of appellant’s contentions is that the trial court was in error in limiting proofs to the period between 1925 and 1929. In his brief appellant states:
“This partnership began on December 2, 1919, as Connolly & Henderson and it continued publicly under that firm name and style until long after the removal of appellant from the offices of the firm in November of 1929.”
We are unable to accede to the correctness of appellant’s contention. Not only because of the specific allegations contained in plaintiff’s bill of complaint, but also because of the testimony taken, we think it conclusively appears that there is no possible ground, under the facts in this case, upon which plaintiff could be held entitled to an accounting of the partnership affairs prior to 1925 or subsequent to the time when plaintiff abandoned the partnership place of business and thereafter “discontinued the use of the firm name and used plaintiff’s name exclusively in the practice of law’ ’ as alleged in his bill of complaint. There are no allegations in the bill of complaint on the basis of which plaintiff conld assert a right to an accounting prior to 1925; and under plaintiff’s allegations in the bill of complaint as well as the testimony given it conclusively appears that these former partners by mutual consent, or at least by a course of conduct in which each acquiesced, terminated, as between themselves, their partnership relation in November, 1929, and hence plaintiff could not be entitled to an accounting concerning firm transactions subsequent to the last-noted date. Just disposition of the instant case requires consideration only of plaintiff’s alleged right to an accounting for the period from 1925 to 1929. In so concluding we are mindful, as pointed out by appellant, that Judge Connolly continued to maintain the law office theretofore occupied by the partnership, that he continued to use the firm stationery until the supply on hand was exhausted, and that for some time after November, 1929, Judge Connolly to a limited extent made use of the firm name of Connolly & Henderson.
There is little, if any, conflict in the testimony in this case in so far as it relates to plaintiff’s contention that subsequent to January 2, 1925, Honorable William F. Connolly, formerly a judge of the recorder’s court of Detroit, devoted much of his time and attention to the affairs of the Briggs company and gave to it in a large measure the benefit of his business judgment and counsel. Prior to 1925 he had acquired large holdings in the Briggs company’s stock and subsequently he made substantial investments in its stock and in the stock of subsidiary companies. From these investments he received very large incomes in the way of dividends and profited by opportunities to make advantageous stock investments. But there is no testimony from which it can be ascertained that Judge Connolly received any specific payments or emoluments for professional services rendered to the corporation as a lawyer, distinct and apart from his services rendered as a corporate officer. In fact it conclusively appears from the record that throughout a period beginning prior to 1925 and until after 1929 the Briggs company continuously retained as its general counsel a firm of Detroit attorneys with which Judge Connolly was in no way associated and that the legal services required by the Briggs company were rendered by such general counsel.
The partnership agreement entered into between plaintiff and Judge Connolly in 1919 contained the provision that “each * * * agrees with the other to give his time and best efforts to the work of said firm;” and in the agreement entered into by the partners January 2, 1925, it was specified “said partners severally agree * * * to give their full time and attention” to the firm’s business. The theory upon which plaintiff asserts a right to recover is of a dual character. First, as above noted in the quoted portion of plaintiff’s prayer for relief, he asserts a right to an accounting based upon the letters of May 7 and May 28,1929, which passed between the parties; and second, plaintiff asserts a right to an accounting arising out of the partnership relation without primarily relying upon the correspondence which passed between the parties in May and June of 1929. As to this latter aspect, plaintiff’s theory is outlined in his brief as follows:
“That neither partner could give his services away, without the consent of his partner, and if he did, he was in duty bound to account for the value thereof upon demand by his partner. * * * If W. F. Connolly used the possession which he had that belonged to Connolly & Henderson in the service of the Briggs Manfg. Co. or W. O. Briggs, to-wit, his time, labor, ability, skill, knowledge, experience and good will, and did not make any charge therefor then appellant says under the ruling in the Pierce Case (Pierce v. Pierce, 89 Mich. 233) that W. F. Connolly must account for the value of what he did irrespective of the wording of either partnership agreement.
“The personal services of William F. Connolly after the formation of the firm of Connolly & Henderson for the practice of law in 1919, as amended in 1925, were no longer his own and the elements of his contribution to the partnership heretofore listed belonged to the partnership firm of Connolly & Henderson ; he could not render services gratuitously because the purpose of the partnership was to operate for profit.”
As bearing upon plaintiff’s assertion of a right to an accounting based upon the letters of May 7 and May 28, 1929, the following facts are pertinent. In his brief plaintiff states: “On May 1, 1929, plaintiff contemplated moving his law office to the Stott building and practicing alone. This coming.to the attention of William F. Connolly on May 3, 1929, he wrote plaintiff. ’ ’ This letter to plaintiff reads:
“If you would consider remaining in present suite, I offer you this suggestion:
“ (1) I will pay all expenses of this office — 100 per cent.
“(2) You keep as your own all your personal earnings — 100 per cent.
“(3) We divide what I produce 50 per cent — 50 per cent.
“ (4) You may date this arrangement back to Jan. 1,1928.”
To the above letter plaintiff replied on May 6th with the suggestion that: “We figure up and agree on the value of your services to the Briggs company for the last four years. # * * That we account on that basis.”
On May 7th Judge Connolly replied:
“As to the accounting — I am entirely agreeable to your drawing up an accounting in any form and upon any basis you consider proper and fair, and will okay it as made by you, now in advance. You may charge to me whatever, in your judgment, should be charged to me for my services as treasurer of Briggs.”
In a letter replying to the above on May 8th plaintiff suggested a value of Judge Connolly’s services as treasurer of the Briggs company at from $25,000 to $50,000 per year and concluded: ‘1 Please give me your idea.” On May 15th Judge Connolly wrote plaintiff that a “memorandum of the nominal revenue I have received as treasurer” would be furnished plaintiff. Following this and on May 28th, 1929, plaintiff wrote Judge Connolly as follows:
“Dear Judge: Have been awaiting your figures since your note of the 15th. I suggest that we take as a basis the difference between $50,000 as the high annual salary and $25,000 as a low, which figures,
“$37,500x4 $150,000.00
% 75,000.00
“Less my indebted to you 9,347.79
$65,692.21
“That I pay
% rent $147.25
% steno 100.00
other 52.75
$300.00 per month” '
June 3d Judge Connolly again wrote plaintiff and inclosed a check for $300 “to cover my share office expense” and added: “Haskins & Sells (Briggs’ auditors) are gettingme data on revenue from Briggs and will pass same along to you as soon as received. ’ ’ To the above and as of the same date plaintiff replied: “Dear Judge: Re your check to cash for ofs. expense for $300 herewith re enclosed to you. If you don’t mind I would rather that we have our accounting agreed upon first.” On July 12th, the partners met at their office and Judge Connolly gave plaintiff the statement from the Briggs company showing the compensation paid to Judge Connolly as treasurer of the corporation for four years, 1926-1929, totalling $14,700. Plaintiff was informed by Judge Connolly that he was about to leave on a trip to Europe and “that when he got back, they would adjust the matter, get it settled up. ’ ’ Before departing Judge Connolly left at the office his check for $2,000, later deposited in the firm’s bank account, to be used to defray office expenses during his absence. Nothing further of any definite character developed between these parties as a result of their negotiations relative to an accounting. After Judge Connolly returned from Europe in September, 1929, and apparently without knowledge on his part, plaintiff in November, 1929, moved out of the firm’s offices, located in another office building, and thereafter carried on his private law practice with which Judge Connolly during the remaining five or six years of his life had no connection whatever, and during this period plaintiff made no demand on Judge Connolly for a settlement or an accounting. We find nothing in this record which would justify any other conclusion than that the above-noted negotiations for an accounting and continuance of the partnership did not result in a meeting of the minds of the partners, and it follows that such negotiations did not “constitute an agreement for an accounting* and a promise to pay for the value of services rendered by decedent to the Briggs Manufacturing Company,” as appellant contends in his brief. The incompleted negotiations between these partners cannot be made the basis of an accounting against the estate of William F. Connolly, deceased.
But wholly apart from plaintiff’s claim of a right to an accounting above considered, he asserts that in equity because of the partnership agreement between himself and Judge Connolly he is entitled to an accounting for whatever may have been received by Judge Connolly for services rendered to the Briggs company regardless of whether it was received directly as compensation or indirectly in the way of emoluments, bonuses or profits derived from investments in the corporation’s activities, such as the organization of subsidiary companies. And further, that regardless of whether Judge Connolly actually received such compensation, still in equity defendants should be required to account to plaintiff for the value of the services rendered by Judge Connolly to the Briggs company.
The partnership between plaintiff and Judge Connolly was “for the g’eneral practice of the law,” and it is elementary that any accounting contemplated by this suit must pertain to the practice of law. In a Kentucky case wherein the court held a partner liable to account for profits derived from a transaction within the scope of the partnership’s business, it was said:
“We should not be understood as holding, that a partner must account to his co-partners for the profits of a venture outside the partnership and not of the character of business done by the partnership, although the partnership contract may require each partner, as in the instant case, to devote his entire time and attention and apply his utmost skill and ability to the partnership affairs. Where such obligation is upon a partner and he devotes his time and ability to a business in which he invests his own funds only, and which is other than the character of the partnership business, his partners cannot require an accounting of the profits, but their remedy is of an other character.” Chambers v. Johnston, 180 Ky. 73, 86 (201 S. W. 488, 494).
In writing the court’s opinion in one of our earlier cases involving a partnership accounting, Justice Campbell said:
“When partners unite their fortunes, it can seldom he expected that each is as valuable to the firm as every other. And s o long as the firm lasts no premium is given to the more useful members, and no deduction is made for incapacity or absence of any one. The venture is made to reach general results, and nothing more is contemplated. Failure in duty may be a cause of dissolution, but it is no ground of compensation to the diligent.” Godfrey v. White, 43 Mich. 171, 182.
■ Our review of this record brings the conclusion that notwithstanding Judge Connolly enjoyed a large income from his investments in the Briggs corporate stock and in the subsidiary activities of the Briggs company it cannot be found on this record that such income or the compensation received as treasurer of the Briggs company was in any way an evasive or indirect method of compensating Judge Connolly for services rendered to the Briggs company which were within the scope of the business of the law firm of Connolly & Henderson. The record is convincing that the Briggs company did not look to Judge Connolly for the rendition of legal services nor, with some very minor exceptions, did Judge Connolly undertake to render to the corporation such services. A number of witnesses who had personal knowledge of the extent and character of Judge Connolly’s relations with and activities in the affairs of the Briggs company testified; and from such testimony it clearly appears plaintiff’s contention cannot be sustained that Judge Connolly in fact did render extensive legal services to the Briggs company and was compensated therefor hy indirect means. John H. French was one of the witnesses of this type. He was a director and officer of the Briggs company from 1923 to 1929. We quote a resume of a portion of his testimony as set forth by appellant in his brief:
“All legal bills came over my desk. I do not recall of ever seeing a bill from-Judge Connolly. Judge Connolly had no office in the Briggs company. He was there infrequently. He might drop in at 4 or 5 o ’clock in the afternoon probably once a week or every two weeks. He customarily went in to talk to Mr. Lark, the secretary of the company. * * *
“Judge Connolly’s duties as treasurer of the company were most nominal. He attended the annual meeting and read the treasurer’s report which had been prepared by the auditor and was handed to bim to read in printed form. If I had to place a value upon Judge Connolly’s services as treasurer I would not be able to agree with Mr. Maise at $25,000 a year. I would say he was merely nominal. I would say that Judge Connolly’s salary was not on the same general scale with other officers.”
Another witness, H. W. Griffith, who was secretary of the Briggs company in 1924, 1925 and 1926, and thereafter served as the vice-president and general manager of one of the associated companies, gave testimony bearing on this phase of the case. Wo quote from the resume of his testimony as set forth in appellant’s brief:
“Between 1925-1929, to my knowledge Beaumont, Smith & Harris were attorneys for W. O. Briggs, Briggs Manufacturing Company and Briggs Commercial & Development Company. I never knew Judge Connolly to draw any contracts or resolutions, or any other legal documents between those years. While I was secretary of Briggs, I never took up legal matters with Judge Connolly.”
While there is testimony in the record which is in conflict with the foregoing- and other like testimony as to the character, extent and value of Judge Connolly’s services to the Briggs company, still the conclusion is quite unescapable that whatever profits Judge Connolly received through the Briggs company, wfth the exception of his compensation as treasurer, were the direct result of his extensive investments in the Briggs company and in its subsidiaries; and like the trial judge, we are of the opinion that plaintiff “failed to prove that Judge Connolly received any money from the Briggs company in behalf of the law firm which he did not account for.” And even if it were to be found that in some limited way Judge Connolly did render services which were of such a character that he should have been compensated therefor as an attorney and should have accounted to the partnership, certainly fair compensation for such services would total much less than the $9,347.79 and other items of plaintiff’s admitted indebtedness to Judge Connolly. Plaintiff has not established a right to an accounting for any moneys received by Judge Connolly from the Briggs company for legal services nor a right to an accounting for any sums of money which Judge Connolly should have charged to and should have received from the Briggs company for the rendition of such services.
In so far as plaintiff claims an equitable right to an accounting on the theory that instead of Judge Connolly devoting his time to the law business of the partnership he gave to the Briggs company the benefit of his time and ability, plaintiff’s contention is thus succinctly stated in his brief: “That neither partner could give his services away, without the consent of his partner, and if he did, he was in duty bound to account for the value thereof upon demand by his partner.” See 47 C. J. p. 1253;‘20 R. C. L. p. 876. This theory, we think, will not support recovery under the facts of this case. At most Judge Connolly’s course of conduct, of which plaintiff complains, was no more than a breach of the partners ’ agreement “to give their full time and attention” to the law business of the partnership. For that the accounting, if it could be called such, to which plaintiff would be entitled would be the value of Judge Connolly’s services which were lost to the partnership, not what he might have obtained or did obtain in other lines of activities, especially if such income or benefit was obtained by Judge Connolly through investments of his own money instead of activities in the practice of law.
In this connection it is interesting to note that during the period from 1925 to 1928 inclusive it is disclosed by the partnership books that the law business “produced by W. F. Connolly” totalled $56,300.47, and that “produced by Henderson” amounted to $47,683.48. How much more law business Judge Connolly could have produced or would have produced for the partnership if he had devoted his “full time and attention” to the firm’s business does not appear. Hence to attempt an accounting on that basis would, on this record, be mere speculation.
Another question, upon which we think there is no occasion to pass, necessarily suggests itself. If it were to be assumed, as plaintiff contends, that Judge Connolly rendered legal services to the Briggs company for which he received no compensation, would not the remedy of the partnership of Connolly & Henderson be by suit against the Briggs company for the value of such services; rather than for plaintiff in this proceeding to demand an accounting from the Connolly estate for the value of such legal services rendered to the Briggs company by Judge Connolly but for which he received no compensation?
As bearing"upon defendants’ contention that plaintiff is not entitled to recover in this proceeding’ because of laches the following is pertinent. Certainly throughout the years for which plaintiff seeks an accounting he was well aware of the extent to which Judge Connolly was devoting or failing to devote his time and ability to the business of the partnership, but notwithstanding this plaintiff acquiesced by continuing the partnership relation. Since, as we find upon this record, Judge Connolly did not directly or indirectly receive from the Briggs company compensation for rendering leg-al services, which was the business of the partnership, it would be in violation of the equitable rule requiring diligence to decree at this late date an accounting by- the estate of the deceased partner “for the value of the services rendered to the Briggs Manufacturing Company” notwithstanding neither the deceased partner nor his estate received compensation for such alleged services. Such an accounting would go back more than 10 years prior to Judge Connolly’s death and more than 11 years prior to the time plaintiff brought this suit; and this too without demand for an accounting during all that period, except the unsuccessful attempt at an adjustment made by the partners in the summer of 1929.
It is by no means a far-fetched assumption that had plaintiff’s present suit been prosecuted during the lifetime of Judge Connolly he could and would have given material testimony not available since his demise. If an amicable adjustment could not have been effected by the partners upon a timely presentation of plaintiff’s present claim, the partnership relationship could have been terminated by Judge Connolly even prior to 1929. And further, as pointed out by defendants, before this suit was brought two other persons had died who possessed intimate knowledge of pertinent matters. No credible excuse or explanation is offered for plaintiff’s delay. Under this record plaintiff’s right to an accounting should be held to be barred by unexcused laches.
“In a large measure the question as to whether relief should be withheld on the ground of laches must depend upon the facts and circumstances of the particular case.” Upell v. Bergman, 246 Mich. 82, 89; but from earliest times in this jurisdiction equity has sustained and adhered to the following: “Nothing can call forth this court into activity but conscience, good faith and reasonable diligence; where these are wanting the court is passive, and does nothing.” Campau v. Chene, 1 Mich. 400, 405.
“The rule that ‘equity aids the vigilant, and not those who slumber on their rights,’ is designed to promote diligence on the part of suitors; to discourage laches, by making it a bar to relief; and to prevent the enforcement of stale demands of all kinds, wholly independent of the statutory periods of limitation.” Douglass v. Douglass (syllabus), 72 Mich. 86.
While in the two cases just above cited the periods of inaction were much greater than in the instant case, the defense of laches has been upheld in more recent decisions of this Court notwithstanding the time of inaction was of shorter duration. See Ingles v. Bryant, 117 Mich. 113; Pittsburgh & Lake Angeline Iron Co. v. Lake Superior Iron Co., 118 Mich. 109, affirmed 178 U. S. 270 (20 Sup. Ct. 931); and Kipp v. State Highway Com’r, 286 Mich. 202.
“Peace and good order require that equity shall not aid those who grossly neglect to take care of their own rights.” Zoellner v. Zoellner (syllabus), 46 Mich. 511.
In arriving at our conclusion we are mindful of the stress which plaintiff places upon the fact that defendants in making return for the Federal estate tax and also in adjusting the State inheritance tax made a reservation in the amount of $25,000 as an “estimated settlement” of plaintiff’s claim involved in this suit. And this, plaintiff asserts, constitutes an admission of liability on the part of defendants. While the noted circumstance is of some evidentiary value, it is not sufficient, in view of the other facts and circumstances disclosed by the record, to justify decreeing to plaintiff the accounting which he seeks. Bather, we think, the reservation of $25,000 as an estimated settlement of plaintiff’s claim was no more than a proper precaution taken in behalf of defendants.
The decree entered in the circuit court is affirmed, with costs to appellees.
Bushnell, C. J., and Sharpe, Potter, Chandler, McAllister, Wiest, and Butzel, JJ., concurred. | [
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Wiest, J.
This is an appeal by defendants in the nature of certiorari from an award of compensation to plaintiff. Defendants, by motion, ask leave to take newly discovered evidence.
Plaintiff was in the employ of defendant Franklin Fawcett, and, February 13, 1931, while he was attempting to move a log with a cant hook, the hook slipped and he fell and received injuries to his chest and ribs. The employer reported the accident and the parties entered into an agreement for compensation which was approved by the department. August 12, 1931, a settlement receipt was filed, and approved by the department August 22, 1931. In January, 1935, plaintiff filed a petition for further compensation on account of increased disability; and, in May, 1936, the department, upon a finding that the settlement receipt of 1931 had never been approved by the department, awarded compensation at the rate of $10 per week for total disability from July 29, 1931, and until the further order of the department, less a period of 39 days. The attention of the department being called to the error in holding the settlement receipt had not been approved, the then department acknowledged the error and an opinion was prepared to correct the same by a holding that plaintiff, under such circumstances, was not entitled to further compensation. This contemplated order was not entered and, upon a change in the personnel of the department, entry was refused. Thereupon defendants applied to this court for relief and we issued a writ of mandamus requiring the department to set aside its erroneous order and make review. Fawcett v. Department of Labor and Industry, 282 Mich. 489. Thereupon the department vacated its former order and, upon consideration of the case, found that plaintiff, hy reason of the injuries sustained in 1931, is suffering total disability from heart trouble attributable to the injuries, and, in August, 1938, awarded him compen-' sation of $10 per week from September 1, 1931, with the exception of 39 days, and until the further order of the department.
The department found that plaintiff, since September 1, 1931, was totally disabled by a heart condition, and stated:
“The date of September 1, 1931, was selected because it was during the preceding month of August that the plaintiff attempted to pick blueberries and found himself unable to do so because of the condition of his heart. The immediate question is whether or not such heart condition is attributable to the accidental injury of February 13, 1931. The determination of this question, in our opinion, rests largely upon our findings of fact regarding the happening and nature of the original injury. # #
“The record indicates that up to the time of the accident, the plaintiff was a well, able-bodied woodsman. * * * We believe the preponderance of the evidence introduced in this case to indicate that the plaintiff’s disabling heart condition could be caused by an accident of the nature herein found, that is, by a severe blow causing a bruised area approximately four or five inches wide and six inches long-over the heart, fracturing- two ribs over the heart and rendering the recipient unconscious over a period of one-half hour to 45 minutes immediately thereafter. * * *
“We have, therefore, a situation of an apparently able-bodied woodsman suffering an accident of such nature as might cause a disabling heart condition followed, immediately by the actual development of such disability. In this case, the possibility of such an accident having caused the disability, when considered in connection with the fact that the disability definitely dates from the accident, indicates, in our opinion, the clear probability of a causal relationship between the two. We, therefore, find the plaintiff to have been totally disabled as a result of the said accidental injury of February 13, 1931, from the 1st day of September, 1931.”
The heart trouble, whether attributable to the accidental injury, was an issue before the department. Plaintiff was formerly a resident of the lower peninsula of Michigan and the accident happened in Alger county in the upper peninsula where plaintiff was not so well known. The doctors who examined the plaintiff after the accident found a heart condition termed “myocarditis” which might or might not be of long standing or might be the result of a traumatic injury affecting the heart.
On account of the lack of knowledge of the past life of the plaintiff, defendants claim they were unable to produce witnesses to refute plaintiff’s claim of no previous heart trouble but, after the award and this appeal, discovered, for the first time, many witnesses whose affidavits are before us, in which doctors state they treated plaintiff for heart trouble long before the accident and lay persons state they saw plaintiff stricken to the ground by heart trouble and helped to revive him and to whom he stated that he had had heart trouble for many years.
In support of the motion for an order of this court to permit the taking of newly-discovered evidence, defendants invoke power under Court Rule No. 72, § 1, subds. (e) and (g) (1933) reading:
“(e) Continue the cause until such further evidence shall be taken and brought before it as the Court may deem necessary in order to do justice;
“(g) Give any judgment and make any order which ought to have been given or made, and make such other and further orders and grant such relief, whether mentioned in the notice of appeal or not, as the case may require.”
Review in this case is fixed by statute (2 Comp. Laws 1929, § 8451 [Stat. Ann. § 17.186]), and is by appeal in the nature of certiorari in which we are limited to questions of law. The mentioned court rule has no application to such a review but concerns reviews in which this court may render decree or direct judgment on facts.
The department of labor and industry could not have granted a rehearing (Fitzpatrick v. Olds Division of General Motors Corp., 282 Mich. 646), and we are not given power to do what the department is barred by law from doing. When a branch of this case was before us in Fawcett v. Department of Labor and Industry, supra, we said the department may not conduct a rehearing of an award but the remedy, if any, is in equity.
If plaintiff, by false testimony, obtained an award to which he was not in fact entitled, the remedy, if any, is in a court of equity.
The motion to continue the case and take further testimony is denied, with costs of the motion to plaintiff.
The finding of increased disability attributable to; the accidental injury was supported by evidence and, as we do not review the issues of fact de novo nor determine whether the finding of the department was against the preponderance or weight of the evidence, we must let the finding of the department stand. This rule of limitation upon our review is well settled both by statute and our former decisions. Froman v. Banquet Barbecue, Inc., 284 Mich. 44.
Counsel for defendants states in his brief:
“We wish that this Honorable Court would, in the privacy of their offices, and at their leisure, use a round object, a desk, a chair or any object that they see fit, and see by what stretch of the imagination a person could, when he falls on his abdomen, injure the chest enough to fracture ribs severely enough to penetrate the heart.”
The desire of counsel brings no incitement to comply, and, besides, our- review is limited to points of law without foolhardy hazard to life or limb.
The appeal in the nature of certiorari presents no points of law calling for vacation of the award, and it is affirmed, with costs to plaintiff.
Bushnell, C. J., and Sharpe, Chandler, North, McAllister, and Butzel, JJ., concurred. The late Justice Potter took no part in this decision. | [
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Starr, J.
Plaintiffs filed petition under 3 Comp. Laws 1929, §14403 (Stat. Ann. §27.1187), on the law side of the court, for a certificate of discharge of a real estate mortgage. Defendant filed motion to dismiss such petition and the court entered an order dismissing the same. On May 21, 1940, plaintiffs filed claim of general appeal from such order.
In its brief defendant contends that plaintiffs’ appeal should be dismissed because, in the absence of a certificate by the trial court that the controversy actually involved more than $500, plaintiffs could not appeal without' first obtaining leave from this court. Court Rule No. 60, § 1 (1933), provides, in part:
“Leave to appeal to the Supreme Court shall be required only in the following cases:
“(a) Where such leave is expressly required by statute or rule; * * *
“(d) Where, in an action at law submitted on the facts to court or jury, a judgment is rendered for the defendant, unless the trial judge shall certify that the controversy actually involves more than $500.”
The present case is an action at law; it was submitted on the facts to the trial court; and the order dismissing plaintiffs’ petition was, in effect, a final judgment for the defendant. The record does not contain a certificate by the trial judge that the controversy actually involved more than $500.
No application for leave to appeal having been filed, and no leave having been granted, the appeal is dismissed.
However, we' have éxamined the- records and briefs and are convinced that, if plaintiffs’ appeal were considered on its merits, they could not succeed.
The defendant not having filed motion for such dismissal, no costs will be allowed.
Chandler, C. J., and Boyles, North, Butzel, and Bushnell, JJ., concurred with Starr, J. Sharpe, J., concurred in the result. Wiest, J., took no part in this decision. | [
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Starr, J.
Plaintiff, as a resident and as a qualified and registered elector of the city of Detroit, Wayne county, files petition for writ of mandamus to compel defendant, as county clerk of Wayne county, to accept and file plaintiff’s nomination petitions for the office of member of the board of county auditors for Wayne county. An order to show cause was entered and defendant filed answer, denying plaintiff’s right to such writ.
From the petition and answer it appears that one Ray D. Schneider was, prior to January 30, 1942, elected a member of the board of county auditors for Wayne county for the term ending December 31, 1944. It further appears that on January 30, 1942, Schneider was, for cause, removed from such office by the governor of the State, thereby creating a vacancy in the office (1 Comp. Laws 1929, § 3353 [Stat. Ann. § 6.696]; 1 Comp. Laws 1929, § 3350 [Stat. Ann. § 6.693]). On February 4, 1942, the judge of probate, county clerk, and prosecuting attorney of Wayne county appointed plaintiff to “the office of county auditor, for the county of Wayne and member of the board of county auditors for the county of Wayne,” to fill the vacancy caused by the removal of Schneider. Plaintiff’s appointment was made in pursuance of 1 Comp. Laws 1929, § 3369 (Stat. Ann. §6.715), which provides:
“When a vacancy shall occur in an elective or appointive county office, it shall be filled in the following manner:
“1. If the vacancy shall be in the office of county clerk or prosecuting attorney it shall be filled by appointment by the judge or judges of that judicial circuit and the person appointed shall hold office for the remainder of the unexpired term.
“2. If the vacancy shall be in any other county office, either elective or appointive, the judge of probate, the county clerk and the prosecuting attorney shall appoint some suitable person to fill such vacancy and the person so appointed shall hold such office for the remainder, of the unexpired term.”
Plaintiff’s appointment stated that lie was “to fill said vacancy, and to hold said office for tfie remainder of tfie unexpired term, to-wit: December 31, 1944.” Plaintiff qualified and took office under sucfi appointment.
On June 3, 1942, plaintiff, as a citizen and as a qualified and registered elector (not in fiis capacity as county auditor), sought to file with defendant, as county clerk, plaintiff’s nomination petitions for tfie office of member of tfie board of county auditors for Wayne county, on tfie Democratic ticket, to fill tfie vacancy for tfie term ending December 31, 1944. Plaintiff sought to file sucfi nomination petitions in pursuance of fiis contention that ■candidates for tfie vacancy in sucfi office for tfie balance of tfie unexpired term would be voted for at tfie general election, to be field in November, 1942, tfie primary for which election would be field in September, 1942. Plaintiff also sought to file, accompanying sucfi nomination petitions, tfie affidavit required by Act No. 351, pt. 3, chap. 3, § 22, Pub. Acts 1925, as added by Act No. 348, Pub. Acts 1941 (Comp. Laws Supp. 1942, § 2883-4, Stat. Ann. 1941 Cum. Supp. §6.141 [1]).
Defendant’s answer admits that sucfi nomination petitions, sought to be filed by plaintiff, were in proper form and complied with tfie laws of tfie State. However, defendant refused to accept plaintiff’s nomination petitions and affidavit on tfie ground that there was no vacancy in tfie office of member of tfie board of county auditors for Wayne county to be filled at tfie general election in 1942.
Tfie question is: Was plaintiff’s appointment as a member of tfie board of county auditors for Wayne county for tfie balance of tfie term, expiring Decern her 31, 1944, a valid and legal appointment, or, was bis appointment only provisional until the vacancy for the balance of the unexpired term could be filled at the general election in November, 1942?
The terms of the statute, 1 Comp. Laws 1929, §3369 (Stat. Ann. §6.715), above quoted, under which plaintiff was appointed, are plain and unequivocal. If such statute is constitutional as a proper exercise of legislative power, it is clear that plaintiff’s appointment for the balance of the term, ending December 31, 1944, was valid and legal. If such statute is not constitutional then plaintiff’s appointment was only provisional until the vacancy for the balance of the unexpired term could be filled at the next general election in 1942. Michigan Constitution 1908, art. 16, § 5, states:
“The legislature may provide by law the eases in which any office shall be deemed vacant and the manner of filling vacancies, where no provision is made in this Constitution. ’ ’
The Constitution contains no express provision for the filling of a vacancy in the office of member of the board of county auditors for Wayne county.
Plaintiff cites and relies upon the case of Attorney General, ex rel. Lawrence, v. Trombly, 89 Mich. 50, as authority for his contention that the above-quoted statute, under which he was appointed, is unconstitutional. The decision in the Trombly Case is readily distinguishable from the present case. In the Trombly Case the vacancy in the office of county auditor was filled by appointment by the governor in pursuance of Act No. 167, Pub. Acts 1857 (How. Stat. § 667). Such act was held unconstitutional because it divested “the people of the county of Wayne of the right to select their own officers in the usual manner” and deprived the “electors of counties of their constitutional right to elect for the unexpired term.”
In the present case, plaintiff was not appointed by a State official, having no immediate concern with local county affairs, but was appointed by the judge of probate, county clerk, and prosecuting attorney of Wayne county. The present statute does not interfere with but, on the contrary, is in accord with “the principle of local self-government.” Therefore, such statute is not subject to the infirmity of the act of 1857, which was held unconstitutional in the Trombly Case.
We conclude that the present statute above quoted, under which plaintiff was appointed, was a proper exercise of legislative power and is constitutional. The appointment of plaintiff as a member of the board of auditors for Wayne county for the remainder of the term, expiring December 31, 1944,, was a valid and legal appointment. Our conclusion is in accord with our recent decision in Sempliner v. FitzGerald, 300 Mich. 537. See, also, People, ex rel. Le Roy, v. Hurlbut, 24 Mich. 44 (9 Am. Rep. 103); People, ex rel. Attorney General, v. Lothrop, 24 Mich. 235; 11 Am. Jur. pp. 613-615.
As plaintiff’s appointment was for the remainder of such unexpi-red term, ending December 31, 1944, no vacancy will exist in such office to be filled at the general election in November, 1942. Therefore, defendant was justified in refusing to accept plaintiff’s nomination petitions and affidavit.
Plaintiff’s petition for writ of mandamus is denied. A public question being involved, no costs are allowed.
Boyles, North, and Sharpe, JJ., concurred with Starr, J. | [
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Butzel, J.
On July 1, 1940, plaintiffs, residents of the city of Ypsilanti, Michigan, and employees of its fire department, filed an initiatory petition asking that the common council submit to the electors by appropriate resolution the proposition that the city come under the provisions of Act No. 345, Pub. Acts 1937 (as amended by Act No. 210, Pub. Acts 1939 [Comp. Laws Supp. 1940, § 2746-21 et seq., Stat. Ann. 1941 Cum. Supp. §5.3375 (1) et seq.]). This act, as stated in its title, provides for the establishment, maintenance and administration of a system of pensions and retirements for members of the police and fire departments in cities, et cetera; for appropriations and deductions from salaries, and the mechanism for carrying out the purposes of the act. Section 11 of the act provides that any city, village or municipality having a paid or part-paid fire or police department, may come under the provisions of the act by submitting the adoption of the act to the electors “in the manner provided by law for amending charters.”
On August 19, 1940, the common council voted to submit the propositions but in the resolution provided that it required a majority of three-fifths of the electors for adoption. Because of uncertainty whether the general electors or only property owners could vote, a separate count was kept. A majority vote both of the property owners and of all the electors was cast for adoption of the act. It did not receive a three-fifths vote of approval. In view of our decision that it only required a majority vote, we need not discuss whether only property owners were qualified to vote. We also hold that the requirement by the council that a three-fifths majority would be necessary would be mere surplusage, if the statute only required a majority vote.
The law for amending charters is contained in sections 21-25 of the home-rule cities incorporation act, Act No. 279, Pub. Acts 1909, as amended (1 Comp. Laws 1929, §§ 2258-2260 [Comp. Laws Supp. 1940, §§2257, 2261, Stat. Ann. §§5.2101-5.2103, Stat. Ann. 1941 Cum. Supp. §§5.2100, 5.2104]). Sections 21, 23 and 24 provide:
“Sec. 21. Any * * * city charter # # * may from time to time be amended in the manner following: An amendment may be proposed * * * by an initiatory petition as herein provided, * * * then the same shall be submitted to the electors of such city as herein provided at the next regular spring or fall election held in such city * * * which shall occur not less than 90 days following the filing of such petitions. The form in which any proposed amendment to a city charter shall be submitted on the ballot, unless provided for in the initiatory petition, shall be determined by resolution by the legislative body.” (Comp. Laws Supp. 1940, § 2257, Stat. Ann. 1941 Cum. Supp. §5.2100).
“Sec. 23. Every city charter and amendment thereto, # * * before submission to the electors, shall be published as the (charter) commission or legislative body respectively may prescribe. There may be submitted with any charter or an amendment to a charter independent sections of propositions, and such of them as receive a three-fifth’s vote of the electors voting thereon shall become a part of such charter, or shall prevail as such amendments.” 1 Comp. Laws 1929, § 2259 (Stat. Ann. §5.2102).
“Sec. 24. If the charter, or any amendment thereto, * # # be approved, then two printed copies thereof, with the vote * * * duly certified by the city clerk shall, within 30 days after the vote is taken, be filed with the secretary of State, and a like number with the county clerk of the county in which such city is located and shall thereupon become law.” 1 Comp. Laws 1929, §2260 (Stat. Ann. §5.2103).
The common council voted that as less than three-fifths of the voters had approved the proposition, it was lost. Thereupon plaintiffs, claiming that it had been duly adopted by the majority vote, brought mandamus proceedings in the Washtenaw county circuit court to compel defendants to comply with its provisions. The main question presented is whether the circuit judge erred in denying plaintiffs relief. He held that a three-fifths approval and not merely a majority of the votes was necessary. He further held that, because there was no provision of the charter of Ypsilanti touching upon the questions of pension and retirement for fire and police department personnel, there was nothing therein to amend; that, therefore, the proposed act was an independent section or proposition, rather than a charter amendment, as those terms are used in Act No. 279, § 23, Pub. Acts 1909, as amended (1 Comp. Laws 1929, §'2259 [Stat. Ann. §5.2102]), which requires such “independent sections of propositions” to receive a three-fifths’ vote in order to prevail. The judge concedes that section 23 as it stands does not apply to a proposal such as the adoption by a city of the act in question, because such an act is proposed independently of any charter or charter amendment, and section 23 refers only to “independent sections of propositions” that are “submitted with any charter or an amendment to a charter;” but he relies on section 11 of the act proposed to authorize the separate submission of that act. He thus conceives section 11 of the act proposed as making an exception in favor of, that act from the rule of conjunctive submission laid down in section 23 of the home-rule cities incorporation act. But he is unwilling to interpret section 11 of the later act as cutting down the three-fifths’ majority required by section 23 of the older act.
"We might be disposed to adhere to this view if section 11 went no further than the authorization of the submission, independently of any charter or charter amendment, of the act in question. But it does go further, and prescribes the very manner of adoption, as that “provided by law for amending charters.” Charter amendments require only a simple majority for adoption. If Act No. 345, supra, is to be adopted in the same manner as a charter amendment, then it needs no more than a simple majority for passage.
"While there is no express provision of the home-rule cities incorporation act, Act No. 279, Pub. Acts 1909, as amended (1 Comp. Laws 1929, §§ 2228-2274 [Stat. Ann. §§ 5.2071-5.2118]), to the effect that only a simple majority of the electors voting on an ordinary charter amendment is requisite, sections 5(e) and 25 contain strong implications that such is the case:
“Sec. 5. No city shall have power; * * *
“(e) To adopt a charter or any amendment thereto, unless approved by a majority of the electors voting thereon.” 1 Comp. Laws 1929, § 2241, as last amended by Act No. 239, Pub. Acts 1935 (Comp. Laws Supp. 1940, § 2241, Stat. Ann. 1940 Cum. Supp. § 5.2084).
“Sec. 25. * * * No proposal submitted to the electors by the initiative and receiving an affirmative majority of the votes cast thereon shall be held unconstitutional, invalid or void on account of the insufficiency of the petition by which submission of the same was procured.” 1 Comp. Laws 1929, §2261, as last amended by Act No. 279, Pub. Acts 1939 (Comp. Laws Supp. 1940, §2261, Stat. Ann. 1941 Cum. Supp. § 5.2104). (Italics ours.)
And, in Maher v. City of Jackson, 191 Mich. 266, 276, we held:
“ If at any time any portion of this charter proves unsatisfactory to a majority of the electors, it is readily within their power to amend it in a manner pointed out in the act (home-rule cities incorporation).” (Italics added.)
See, also, Opinions of the Attorney General 1926-1928, pp. 439-444. Indeed, it is practically conceded by defendants that if the proposed act be an ordinary “charter amendment” and not “independent sections of propositions,” within the meaning of those terms as used in section 23 of the home-rule cities incorporation act (1 Comp. Laws 1929, § 2259 [Stat. Ann. § 5.2102]), then only a simple majority of the electors voting on it sufficed to cause its adoption.
The circuit judge further held that, since the initiatory petition did not provide the form in which the proposed act was to be submitted on the ballot, it became the duty of the common council to prescribe snch form in its resolution, under Act No. 279, § 21, Pub. Acts 1909, as amended (Comp. Laws Supp. 1940, §2257, Stat. Ann. 1941 Cum. Supp. §5.2100), but that the August 19, 1940, resolution failed to do this because, in composing such form, the common council wrote: “Shall an act of the legislature of the State of Michigan for the year 1937, as amended by the legislature of the State of Michigan in 1939, entitled: (title) * * * Yes ( ). No ( ).” — inadvertently failing to complete the question by inserting the words, “be adopted by the city of Ypsilanti? ” after the title of the act, so that the form of ballot prescribed by the council’s resolution does not state a question, or call for the adoption or rejection of anything. The lack in language, while careless, constitutes at most a curable error, which, we feel, was cured by the inclusion of the pretermitted words in the published notice of election and the ballots as printed. Even in the resolution itself, the paragraph immediately following the imperfect ballot-form shows that the council had adoption or rejection by the electorate of the proposal in mind, for it reads:
“And be it further resolved, that all electors voting yes, their ballots shall be voted in favor of the adoption of said act, as amended, and all those voting no shall be against the adoption of said act.”
The circuit judge also expressed the opinion that the initiatory petition was not adequate or sufficient. This he did in face of the perfectly valid curative provision in Act No. 279, § 25, Pub. Acts 1909, as last amended by Act No. 279, Pub. Acts 1939 (Comp. Laws Supp. 1940, § 2261, Stat. Ann. 1941 Cum. Supp. § 5.2104), which reads:
“No proposal submitted to the electors by the initiative and receiving an affirmative majority of the votes east thereon shall be held unconstitutional, invalid, or void on account of the insufficiency of the petition by which the submission of the same was procured.”
In the light of our disposition of the questions already discussed, none of the other questions raised by counsel need be passed upon. For the errors enumerated, the order denying the petition for mandamus is reversed.
Let the writ issue. As the question is a public one, no costs allowed.
Chandler, C. J., and Boyles, North, Starr, Bushnell, and Sharpe, JJ., concurred. Wiest, J., did not sit. | [
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North, J.
This is an action on a fire insurance policy. Plaintiffs, Horace and Edith Johnston, were contract purchasers from plaintiff Olaf Olson of a parcel of land in Alcona county on which the Johnstons had commenced but had' not completed the erection of a two-story dwelling. Defendant’s local agent on August 29, 1938, issued a' standard form fire insurance policy, effective for one year from date, in the amount of $1,500 on the building and $500 on the contents. The insurance ran to Horace Johnston as the sole and unconditional owner subject to a mortgage interest held by plaintiff, Olaf Olson. At the time this policy was issued plaintiffs had another fire insurance policy in the Northern Insurance Company in the amount of $2,000 on the building and $500 on the contents.
The building and its contents were destroyed by fire September 13, 1938. It is admitted that the loss on the contents was in excess of $1,000; but the value of the building is in dispute. Plaintiffs received in settlement from the Northern Insurance Company the full face value of its policy, and thereafter they brought suit on defendant’s policy. On trial before the court without a jury, plaintiffs had judgment for $1,828.57. Defendant has appealed.
On October 18, 1938, plaintiffs’ attorney wrote defendant advising it of the fire loss and requesting blank forms for proof of loss. To this letter, defendant, on October 28,1938, replied that the matter had been turned over to the Underwriters Adjusting Company. On the last-mentioned date, or the day following, Mr. McParlan, the adjuster for the Underwriters Adjusting Company and who had also been the adjuster in the settlement of the Northern Insurance Company’s policy, contacted Mr. and Mrs. Johnston at or near Saginaw, Michigan. Mr. McParlan requested Mr. and Mrs. Johnston to have their attorney come to see him at Saginaw. The Johnstons promptly advised their attorney, who was located some distance from Saginaw, of the requested interview at the latter place. October 31, 1938, the attorney wrote Mr. McParlan and in part said:
‘ ‘It will be impractical for me to be in Saginaw, and it seems a useless expense besides. If you should be up this way I would be glad to talk this matter over with you. But it seems the only thing to do is to send us your check for $1,994. I will be pleased to hear from you, however, regarding this matter.”
On October 29, 1938, defendant’s local agent at defendant’s direction wrote plaintiffs asking for the payment of the premium on the policy and advising them that defendant had informed him “the policy must be picked up for cancellation as soon as settlement is made.” The premium was paid November 18, 1938. All of the above negotiations or interviews took place prior to November 12th, the expiration of the 60 days within which the policy required proof of loss to be filed. November 17, 1938, defendant’s local agent wrote plaintiffs’ attorney: “It is customary for the Insurance Company to send the cheek to the agent and require him to take up the policy at the time he delivers the check. Accordingly I will be pleased to notify you whenever I get a check for Mr. Johnston.” The fair inference from this letter written just after the expiration of the 60 days within which proof of loss should have been made is that notwithstanding proofs had not been filed defendant was still contemplating payment.
Mr. McParlan had not replied to the letter of plaintiffs’ attorney of October 31st, and on December 6th the attorney again wrote Mr. McParlan, explaining that defendant’s local agent had assured him a check in settlement of the claim would be forthcoming and inquiring when he could expect receipt of same. Mr. McParlan did not reply to this letter. On- January 14, 1939, plaintiffs’ attorney prepared a proof of loss which was mailed direct to the defendant company. This proof of loss was turned over by defendant to Mr. McParlan who, on January 24,1939, wrote the attorney he (McParlan) rejected the purported proof of loss. Later the attorney interviewed Mr. McParlan at Saginaw at which time the latter voiced his suspicions as to the justness of the claim. On February 10, 1939, suit on the policy was commenced by Horace Johnston, and during the trial the other plaintiffs were added.
In the trial court and on this appeal defendant has contended plaintiffs are not entitled to recover for the reasons hereinafter considered.
I. The fire insurance policy contained the following clause: “The insured shall give immediate notice in writing, to this company, of any loss or damage, * * # and, the insured shall, within 60 days after the fire, unless such time is extended in writing by this company, render to this company a proof of loss, signed and sworn to by the insured.” Appellant does not stress in its brief plaintiffs’ failure to give “immediate notice” of the loss. Perhaps this is due to the fact the same agent acted as adjuster for defendant company and also for the other company carrying insurance on this prop erty; and unquestionably this adjuster did have immediate notice of the loss and promptly paid in full the policy carried in the other company. But appellant does contend that plaintiffs’ failure to file sworn proof of loss within 60 days after the fire constitutes a bar to recovery in this suit. "We think the trial judge was right in holding that the testimony discloses such a course of negotiations between these parties continuing over an extended period, and after defendant and its adjuster had full knowledge of all the facts, as naturally led plaintiffs to believe defendant did not intend to require strict compliance with the provision of the policy as to sworn proof of loss. To say the least, the defendant and its representative were very diplomatic in avoiding a statement of its denial of liability until after the 60-day time limit in the policy had expired. It is a reasonably fair inference from this record that this course of conduct on the part of defendant and its agent was pursued for the purpose of bringing about a condition in consequence of which the insurer might disavow liability. And it was this course of conduct that obviously led plaintiffs and their attorney to permit expiration of the 60 days without filing sworn proof of loss. It is worthy of note it was within this limited period that defendant’s local agent requested payment of the premium on defendant’s policy, and it was but very shortly after the expiration of the 60-day period that the agent wrote plaintiffs’ attorney: “It is customary for the Insurance Company to send the check (in payment of loss) to the agent and require him to take up the policy at the time he delivers the check. Accordingly I will be pleased to notify you whenever I get a check for Mr. Johnston.” To allow defendant to urge as a,defense plaintiffs’ belated service of sworn proof of loss, under the circumstances in this case, would constitute a fraud upon plaintiffs. As we have previously held, the insurer may waive its right to have proof of loss furnished within the time limited “by acts and conduct manifesting an intent and purpose not to claim the supposed advantage, or by so neglecting and failing to act as to induce a belief that it was the intention and purpose to waive.” Struble v. National Liberty Ins. Co., 252 Mich. 566.
II. Defendant also urges nonliability on the ground the policy provided that unless there was an agreement in writing to the contrary it should not be liable for loss or damage: “If the interest of the insured be other than unconditional and sole ownership when loss or damage occurs.” In the instant case Mr. Johnston was named in the policy as insured and sole owner, and Olaf Olson was named as mortgagee. Obviously this was the mistake of defendant’s agent who prepared the policy and the error was not discovered during the short interval which intervened between the time the policy was issued and the loss. But the undisputed testimony shows, and the circuit judge found, that at the time defendant’s agent prepared this policy he was fully advised that Mr. and Mrs. Johnston were contract vendees and that Olaf Olson was the vendor. Since the agent at the time of writing the insurance had this knowledge, he should have prepared the policy accordingly. We have held in previous cases wherein the insurer’s agent had knowledge of the true state of the title of the property, the insurance company “should be held to have all the knowledge possessed by its agent.” Schaefer v. East & West Ins. Co., 260 Mich. 220. See, also, Miotke v. Milwaukee Mechanics’ Ins. Co., 113 Mich. 166. Under the facts of the instant case the defendant cannot sustain its contention of nonliability on the ground just above noted.
III. Appellant’s remaining contention is that the judgment in the circuit court for $1,828.57 is not sustained by competent testimony. This result was reached on the basis of the circuit judge’s finding that the loss of the insured building amounted to $3,100. It was pointed out by the circuit judge that the testimony on this phase of the case was unsatisfactory ; but he considered it with care and arrived at the noted result. On this record we are disinclined to disturb his finding, since he saw and heard the various witnesses and since there was conflict in the testimony given.
As previously noted the property was insured in another company. In adjustment that company paid for loss of the building $2,000. The balance of $1,100 should be paid by defendant to plaintiffs for loss of the building. There is no controversy about the Johnstons’ loss of contents of the building being very much in excess of $1,000; and hence the $500 insurance on contents of building provided in defendant’s policy should be paid in full. The result is a total liability of $1,600. As above noted, the amount of the judgment in the circuit court was somewhat in excess of $1,600. This resulted from an attempt on the part of the circuit judge to prorate the loss between the two insurance companies, but without making allowance for the total amount already paid by one of these companies. We think recovery should be limited to the amount above stated. Notwithstanding there is a slight reduction in the amount of judgment rendered in the circuit court, since defendant throughout the litigation has contested any liability whatever, costs will be allowed to appellees on this appeal. The case will be re manded to the circuit court for entry of judgment in accordance herewith.
Bushnell, C. J., and Sharpe, Chandler, McAllister, Wiest, and Butzel, JJ., concurred. The late Justice Potter took no part in this decision. | [
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Sharpe, J.
Plaintiffs filed a bill of complaint in the circuit court of Wayne county in chancery for an accounting, for an injunction against defendant enjoining it from disturbing plaintiffs in their quiet and peaceful possession of certain real estate, and for the conveyance of the premises to plaintiffs. Defendant filed an answer and a motion to dismiss plaintiffs’ bill of complaint on the ground that it did not state a cause of action.
The trial court dismissed plaintiffs’ bill of complaint, giving the following as his reasons therefor:
“It is a rule of equity pleading that facts must be set forth and that mere statements of conclusions are not substitutes therefor. Fraud cannot be pleaded by saying fraud any more than negligence can be pleaded in a declaration by saying negligence or nuisance can be pleaded by simply saying nuisance or breach of trust by saying breach of trust. The facts must be pleaded from which these matters flow as conclusions of fact and law. So in the case of usury the facts must be pleaded from which the conclusion is to be drawn that usury exists. The total failure to 'set forth any facts to back up the averment that the transactions in question were usurious is a fatal defect in this bill of complaint. # # *
“The necessary conclusion is that the bill fails to show fraud in the inception of the original $65,000 mortgage, or that it was tainted with usury. It fails to show any reason why Exhibits 1 and 2, attached to the bill of complaint, should be looked upon as extensions of the period of redemption of the original mortgage. No reason is set forth which has legal validity why these documents should be considered to be anything except what they purport to be upon their face.”
Plaintiffs appeal. On a motion to dismiss a bill of complaint all properly alleged facts in' the bill are accepted as true, Marvin v. Solventol Chemical Products, Inc., 298 Mich. 296; Wedin v. Atherholt, 298 Mich. 142, and well-pleaded facts in defendant’s answer which are not controverted must also be takeh as admitted and considered when deciding a motion to dismiss, Case v. City of Saginaw, 291 Mich. 130.
See, also, Court Rule No. 23, §2 (1933), and Court Rule No. 24, § 1 (1933).
In the case at bar, plaintiffs seek relief from a series of transactions with defendant which it is claimed were tainted with usury.
The facts as contained in the- pleadings and upon which decision is based are as follows:
Plaintiffs purchased a large tract of land in the village of Ecorse, Wayne county, Michigan. In October, 1934, they mortgaged the premises to defendant company for $65,000. The payments due on the mortgage being in default, the mortgage was foreclosed by advertisement. The sale took place April 22, 1938, and the property was bid in by the mortgagee (defendant) for the sum of $50,672.56.
The period of redemption would have expired April 22, 1939, but on that date the parties entered into an agreement which was in the form of a lease with option to purchase. This agreement provided that beginning April 22,1939, and for a period of 18 months the plaintiffs were to pay rent for the premises at a monthly rental of $600 payable monthly in advance. The option executed at the same time was not exercised by plaintiffs during the period of the lease.
On December 30, 1940, another agreement was entered into between the parties. This agreement was in the form of a lease, whereby plaintiffs were to lease the premises for a period expiring September 30, 1941. The agreement contained an option to purchase the premises which option expired July 1, 1941. The above agreement also provided that upon payment of the sum of $2,500 on or before September 30, 1941, the lease would be extended until December 31, 1941. The option provided that the premises could be purchased for the sum of $90,000 and, if the option was exercised, plaintiffs, wére to pay the sum of $35,000 in cash and to be given a land contract providing for payment of the balance extending over a period of five years. This option was not exercised.
Tbe theory upon which plaintiffs claim a cause of action is that the transactions were usurious; that they were coerced into executing certain agreements; and that they were “lulled into a feeling of false security” and therefore failed to redeem from the mortgage foreclosure.
The bill of complaint avers that on October 10, 1934, a mortgage was executed by plaintiffs to defendant corporation securing the principal sum of $65,000; and that on the same date, plaintiffs paid defendant the sum of $15,000 in cash. Paragraph 5 of the bill of complaint charges that on April 14, 1939, plaintiffs were coerced into entering into an agreement whereby they acknowledged an indebtedness of $54,219.20 and executed a lease with option to purchase. The answer filed by defendant to this allegation, which is undisputed and which the trial court took into consideration, is that the mortgage had been foreclosed and the property sold for $50,672.56 and on the last day • of the period of redemption, the above lease and option to purchase was delivered.
Considering these facts, the plaintiffs knew or could have known the amount of money necessary to redeem the property. They had one year from the date of sale to redeem or to enter into an agreement, which they did. Under such circumstances, the claim of being coerced into signing the agreement is contrary to the undisputed pleadings and does not state a cause of action.
Paragraph 6 of the bill of complaint merely states that in accordance with the agreement, plaintiffs paid a certain amount per month for rental of the property for a period of 18 months. Paragraph 7 of the bill, in substance, states that on Decern ber 30, 1940, defendant took the position that plaintiffs were indebted to it (defendant) in the sum of $90,000 for the premises and that plaintiffs would have to execute an agreement acknowledging that amount in order to protect their rights. It should be noted that at this time the period of redemption of the mortgage had expired and plaintiffs had not exercised their rights under the option. Defendant was the sole owner of the property and had the sole right to set the price and name the conditions upon which it would sell the property.
Paragraph 8 declares that under the option agreement plaintiffs paid defendant the sum of $10,000 and were assured that if they paid the $90,000 as agreed upon they would not be disturbed in their possession of the premises, but being lulled into security they did not pay the above amount. Paragraph 9 specifically states that plaintiffs are not indebted to defendant in any amount, while paragraph 10 alleges that the two options and lease agreements hereinbefore mentioned were intended as extensions of the period of redemption of the mortgage.
We have examined the entire pleadings and conclude that the basis upon which plaintiffs ask relief is that the transactions in connection with the original $65,000 mortgage and the foreclosure sale of the premises were usurious. Pacts are not set forth in the pleadings challenging the consideration of the original mortgage and in the absence of any such showing we must assume that the amount named therein was the actual consideration. Nor are there any facts shown that the price bid for the property at the foreclosure sale was not the actual amount due upon the mortgage. To say that a transaction is usurious, without pleading facts upon which such a conclusion would naturally fol low, is insufficient to form a basis for an action in chancery.
In Spelman v. Addison, 300 Mich. 690, 702, we said:
“In determining the sufficiency of a bill of complaint, consideration should be given to the character of the plaintiff’s alleged cause of action and to such circumstances as whether the records and knowledge of the facts on which plaintiff relies are in his possession or largely, if not exclusively, in the possession of the defendant.”
In the above case, many of the material facts were exclusively within the possession of defendant, while in the case at bar, all of the facts are within the knowledge of plaintiffs or could have been readily ascertained by them prior to the filing of their bill of complaint.
In Watson v. Wagner, 202 Mich. 397, 402, we said:
“The facts upon which the claim of fraud is based must be alleged, rather than conclusions. But it is sufficient if the substance of the transaction and the result is alleged.”
In the case at bar, plaintiffs did not make such specific allegations of facts as would reasonably inform the defendant of the nature of the cause it would be called upon to defend. Such failure is fatal to proceeding further in the cause. There was no error in dismissing such a bill of complaint. The decree dismissing plaintiffs’ bill of complaint was entered November 28, 1941; and since such decree was entered there have been other proceedings which are not material to the issue involved in this cause.
The decree is affirmed, with costs to defendant.
Chandler, C. J., and Boyles, North, Starr, Butzel, and Bushnell, JJ., concurred. Wiest, J., took no part in this decision. | [
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North, J.
Defendant appeals her conviction for the murder of her husband, Romold Franszkiewicz, whose death occurred July 21, 1940. She married him in 1935. Both were advanced in years and both had been married before. They lived on a farm in Nadeau'township, Menominee county.
At the time of deceased’s death there seems to have been no suspicion of foul play. No inquest was ordered; and the official certificate gave heart trouble as the cause of death. However, on January 18, 1941, a petition was filed before a justice of the peace in Menominee for an order providing for the disinterment of the remains of deceased. The justice entered such an order on the same day. There was disinterment and an autopsy was performed. Dr. K. G. Kerwell removed the heart, part of the liver, spleen, kidneys, stomach and part of the intestines. These were delivered by a deputy sheriff to Drs. Weller and Emerson at University Hospital at Ann Arbor for analysis. Testimony was given by Dr. Emerson that enough arsenic was found in the body of deceased to be fatal, “about four times the average lethal or killing dose.”
It appears deceased suffered from diarrhea as early as May, 1940, and that this condition may be caused by arsenic. He consulted a doctor on July 10, 1940. But he seemed to undergo his most intense suffering shortly prior to his death. The day before his death he was taken to another doctor; and to still another doctor on the day of his death.
There was evidence as to motive. There was testimony that defendant in certain instances exhibited intense dislike for deceased; and that she wanted her son by her first husband to live with her but that deceased objected. The prosecution also charged that she might have been motivated by a desire to acquire deceased’s farm and that she endeavored, though unsuccessfully, to get some insurance on deceased’s life. Also, it was shown that defendant had bought some rat poison about a year and a half before deceased’s death; and similar poison showed arsenic on analysis. A jury found defendant guilty of murder in the first degree and she was sentenced to solitary confinement at hard labor for life.
Defendant charges the trial court committed some eight errors, on which she bases this appeal. First, it is contended that no corpus delicti was proved. The objection here is based chiefly on two grounds. The first is that it was not shown the arsenic did not come into decedent’s system through some innocent means, as by the embalming fluid. The second is that the examining toxicologist, Dr. Emerson, only examined parts of some of the vital organs and then proceeded by multiplication to compute the amount of arsenic in the entire organ; that he thus got his final total of arsenic by assuming it was evenly distributed. As to the first argument, People v. Gerndt, 244 Mich. 622, 632, holds:
“The mere possibility that the deceased may have come to.her death otherwise than in the manner charged in the information, especially since such suggested possibility is not supported by any proof in the case, is not sufficient to justify setting aside the verdict of the jury, notwithstanding the same was based in. part on circumstantial evidence.”
Also, in this case, the fact there was enough arsenic found to be fatal to four persons negatives the idea the disorder was chronic rather than acute. The pathologist and toxicologist both testified to in dications of breakdowns of some of the vital organs and discounted the contention that the effect in the present case might have arisen from chronic, cumulative poisoning. Dr. Weller also testified his examination showed heart disease did not cause the death. If defendant wished to have more testimony-in regard to the content of the embalming fluid, she should have procured it in her own behalf. Dr. Emerson testified that the arsenic he found could not have come from embalming fluid.
As to the charge that the computation of the total amount of arsenic was based on assumption and inference, People v. Kuhn, 232 Mich. 310, holds that the method used in the instant ease is proper. Dr. Emerson testified each organ contains an even distribution. The Gerndt Case, supra, also holds that the possession by defendant of the poison need not be shown positively. It was not fatal to the prosecution’s case that instead of showing recent possession of arsenic, the testimony only disclosed defendant bought the rat poison some 18 months before the time of the alleged crime. This circumstance only went to the weight of the evidence. The condition of deceased before he died, his seeming to suffer from pain in the stomach, pallor, et cetera, indicated symptoms of acute arsenic poisoning. The testimony was ample to make a case for the jury’s determination.
The second charge of error relied on by defendant is that the autopsy and disinterment of deceased failed to follow statutory direction and so the evidence gained thereby was inadmissible. Statutes provide for coroners holding inquests and provide for disinterment of bodies (3 Comp. Laws 1929, §§ 17414,17417 [Stat. Ann. §§ 28.1180, 28.1183]) and for justices of the peace doing so in some instances (3 Comp. Laws 1929, § 17403 [Stat. Ann. § 28.1169]). In the present ease there was a complaint filed with a justice of the peace of Menominee, Michigan. The latter ordered the sheriff to disinter the body so an inquest might be held. No such inquest appears to have been held. Instead, the prosecuting attorney ordered the sexton of the cemetery to disinter the body and deliver it to the parlors of the funeral director who had embalmed the body. An autopsy was then conducted by a physician who removed certain organs and put them in sealed jars. These were taken to University Hospital at Ann Arbor for analysis. The question is whether the results of analysis of the organs so obtained are admissible.
There seem to be no Michigan cases on this point. However, the question has come up in other jurisdictions. In Commonwealth v. Grether, 204 Pa. 203 (53 Atl. 753), the Pennsylvania supreme court held:
“The third, fourth, and fifth (assignments of error) * * * relate to the exhumation and examination of the body of the deceased, alleged to have been unlawful because not conducted by the coroner, or under his direction. The rights and duties of the coroner were not involved in the examination of the body, which was made at the instance and under the direction of the district attorney for the purpose of being able to submit to the jury conclusive evidence that a bullet from the pistol of the prisoner had caused the death charged to him. Such evidence it was the right, as well as the duty, of that officer to procure, if it existed, without regard to anything the coroner may have done or omitted to do.”
This theory is found in Commonwealth v. Taylor, 132 Mass. 261, which holds that the testimony of a qualified medical examiner as to what he found upon making an autopsy is not rendered incompetent by the fact that in making the autopsy he proceeded without authority and not in strict compliance with the statute. Underhill’s Criminal Evidence (4th Ed.), § 547, states such evidence is competent though some minor statutory details were not observed in holding the autopsy. In Streipe v. Hubbuch Bros. & Wellendorf, 233 Ky. 194 (25 S. W. [2d] 358), the Kentucky court of appeals held that evidence of physicians attending an autopsy is admissible even if the inquest was illegally held, and that such evidence is not contrary to constitutional prohibitions of searches and seizures since there is no property right in a dead human body. Keyes v. Konkel, 119 Mich. 550 (44 L. R. A. 242, 75 Am. St. Rep. 423), likewise holds the next of kin does not have such a property right. We are not in accord with appellant’s contention that because of irregularities incident to the autopsy or the failure to have a formal inquest the testimony obtained by the autopsy was inadmissible, for the same reason that testimony obtained by the unlawful use of a search warrant is held to be incompetent and inadmissible. Instead, we hold that the testimony obtained from the autopsy in the instant case was admissible.
The next error charged by the defendant has to do with admission of certain testimony by the trial court. Witness Haas testified for the prosecution that he visited deceased the second day before he died; that deceased told him he was in terrible pain, his insides were burning up, that he felt he was “leaving,” and that he did not “know what 'she is giving” him. This was offered as a dying declaration. Defendant objected. It was admissible since it shows a sense of impending death and it shows his condition and symptoms; the “she” is clearly identifiable from the context as defendant though deceased did not then say so. Nor was it error to admit testimony of statements by deceased on his trip to the doctor the day he died to show how he was suffering. It was on this occasion deceased said: “I think I am going six feet under the ground.” People v. Arnett, 239 Mich. 123; People v. Gorman, 252 Mich. 603.
The fact that the embalming fluid and the rat poison analyzed were of then obtainable samples and not conclusively proven to be the same as that used or purchased was a circumstance for the jury to weigh. There was testimony by the embalmer who took charge of the remains of deceased that the embalming fluid examined was “out of the same case” as that he used; and the druggist from whom defendant purchased testified that “Rough on Rats” is a “patent medicine” and “It is presumed that it is arsenic trioxide; ’ ’ and further the sample of which the analysis was offered in evidence was purchased from this same source and was a brand with which the druggist was familiar. Testimony in these respects was not immaterial or incompetent. Nor is there a lack of testimony preceding the hypothetical question asked Dr. Weller as to the cause of death of deceased on which to base such a query; Dr. Sawbridge had testified earlier as to the symptoms. We find no errors in other rulings on admissibility of testimony as claimed by defendant.
It is charged that the prosecuting attorney’s conduct and remarks during the trial and argument were prejudicial. The prosecutor did press his case vigorously. However, as the trial judge said in his opinion denying a motion for a new trial, much of that argument was in reply to what had been said by the attorney for defendant, which the trial judge said was one of the most forceful arguments ever heard in his court room. It does not appear to us that the prosecutor went outside of the record to de fendant’s prejudice. Argument of the prosecutor in reply to defendant’s attorney and justified by the testimony of defendant was not prejudicial error. People v. Powers, 203 Mich. 40; People v. Gerndt, supra. While “lack of virtue” was a poorly chosen phrase for the prosecutor to use to describe defendant’s proneness to use profanity and her acts in mistreating her husband, it was not such a transgression as would justify granting another trial. And the same may be said of the incident in the prosecuting attorney’s closing argument when he said to the jury: “Is it the conduct of an innocent woman to call the witnesses what she did while they were on the stand?” While defendant’s testimony on cross-examination was undisputed wherein she said she had not called the people’s witnesses a certain vile epithet, she did on cross-examination in referring to one of the people’s witnesses say: “I say that is lie — she wanted from me one thousand dollars and she know.” The prosecutor’s deviation from the literal context of the record could not have prejudiced the jury and was not sufficient to justify reversal in this case.
Defendant’s other claims of error have been considered and found to be without merit. The trial court was not in error in instructing the jury that the element of motive was not indispensable in a charge of murder (People v. Cipriano, 238 Mich. 332), and further, as above stated, there was in the instant case testimony tending to establish motive. Also, as above noted, the circumstances under which the autopsy was performed did not render the evidence thus obtained inadmissible. Our consideration of the record satisfies us that the verdict of the jury was sustained by the evidence. The fact that various witnesses contradicted themselves merely entered into the question of credibility -which was for the jury. We think defendant had a fair and impartial trial; and her conviction' and the judgment of the circuit court are affirmed.
Chandler, C. J., and Boyles, Starr, Butzel, Bushnell, and Sharpe, JJ., concurred. Wiest, J., took no part in this decision. | [
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Starr, J.
Plaintiffs appeal from an order entered December 4,1941, denying their motion for a rehearing on an order entered May 22, 1941, dismissing their bill of complaint.
In 1916 plaintiffs acquired title to the land in question, located in the city of Hamtramck. In about 1926 they constructed a two-story building thereon, the upper story being used by plaintiffs for residence purposes and the ground story for commercial purposes. In 1926 they executed a mortgage on such property in the amount of $5,000 to the Peoples State Bank of Detroit. Such mortgage was assigned to the First National Bank — Detroit’ and later passed to B. C. Schram, receiver of the bank.
Plaintiffs defaulted in the payment of taxes on the ' property for 1935 and prior years. At the tax sale in May, 1938, the property was bid in by the State of Michigan. Neither plaintiffs nor receiver Schram redeemed from such tax sale, and the State’s title became absolute on November 3,1939 (1 Comp. Laws 1929, § 3467, as last amended by Act No. 325, Pub. Acts 1937 [Stat. Ann. 1938 Cum. Supp. §7.120]). In 1939 receiver Schram began foreclosure of the mortgage by advertisement and at sheriff’s sale on August 9,1939, bid in the property for $1,900 and received sheriff’s deed. Plaintiffs did not redeem from such foreclosure sale, their right to redeem expiring on August 9, 1940.
On September 3, 1940, about 25 days after plaintiffs’ right of redemption from the foreclosure sale had expired, the property was sold by defendant State land office board at public auction (commonly known as the scavenger sale) in pursuance of Act No. 155, Pub. Acts 1937, as amended by Acts Nos. 29, 244, and 329, Pub. Acts 1939 (Comp. Laws Supp. 1940, § 3723-1 el seq.). At such sale the property was bid in by a third party, not named in the record, at a price of $3,750. On September 27,1940, receiver Schram executed quitclaim deed of the property to defendant Baum for a price of $1,500. Within 30 days after the scavenger sale, plaintiffs and defendant Baum each filed matching bids with defendant board, made the required payments, and requested land contracts. The board determined that defendant Baum was entitled to match the bid received at the scavenger sale. The board further determined that, because the period of redemption in the foreclosure proceedings had expired August 9, 1940, plaintiffs had lost their right and privilege as former owners to present a matching bid.
Defendant Baum began proceedings before a circuit court commissioner to obtain possession of the property. On November 30, 1940, plaintiffs began the present chancery action asking that defendant board be required by decree to execute and deliver land contract to plaintiffs; that defendant Baum be decreed to have no interest in the property entitling him to match the bid received by the board at the scavenger sale; that the board be enjoined from issuing land contract to defendant Baum; and that Baum be enjoined from interfering with plaintiffs’ possession of the property. An order to show cause and restraining order were issued. Defendant Baum answered denying plaintiffs’ right to relief sought and asked dismissal of their bill. Defendant board' answered and moved to dismiss plaintiffs’ bill. On March 6,1941, the court entered an order dismissing plaintiffs ’ bill of complaint with prejudice and dissolved the restraining order. On plaintiffs’ motion the court, on April 14,1941, granted a rehearing. The parties stipulated as to certain facts for the “purpose of decision on defendants’ motion to dismiss : ’ ’
“1. * * * That mortgage foreclosure sale under advertisement was held August 9, 1939, and (plaintiffs’) equity of redemption from same expired August 9,1940; that public (scavenger) sale was set for July 12,1940, by State land office board but same was not held at that time; said premises being offered for sale on September 3, 1940, and that public (scavenger) sale under the land board act was held on September 3, 1940, and property bid in by a stranger at $3,750; that defendant Baum received his deed from the receiver of the First National Bank— Detroit on September 27, 1940, and both plaintiffs and defendant Baum filed matching bids within the period of 30 days from said sale as provided by the statute; that the State land office board rejected plaintiffs’ bid and accepted bid of defendant Baum.
“2. That plaintiffs claimed that they had an investment of $20,228 in said premises and defendant, David Baum, claimed that in addition to agreeing to meet the bid made at public sale of $3,750, he. had paid $1,500 to the receiver of the First National Bank —Detroit, purchaser at mortgage foreclosure sale, for the title to said premises and right to match the bid, or a total of $5,250. Defendant Baum claimed that this figure represents the present fair market value of said premises, inasmuch as $1,500 was the highest price that said receiver could secure for the right to match the bid at open sale at which plaintiffs made a lesser offer, which was refused.
“Plaintiffs claimed that the present fair market value of said premises is at least $9,000.”
On May 22, 1941, the court dismissed plaintiffs’ bill of complaint on the ground that it failed to state a cause of action. The court’s finding stated, in part:
“The court does hereby make the following findings for the purpose of decision upon the said order to show cause and motion to dismiss bill of complaint and vacate restraining order:
‘ ‘ 1. That the bill of complaint filed herein fails to state or present a cause of action and, therefore, the motion to dismiss is granted and the said bill of complaint dismissed and the restraining order vacated, with costs to defendants to be taxed.
“2. That the decision of the State land office board that defendant, David Baum, is the only person entitled as ‘owner’ to exercise the privileges granted to former owners by the pertinent provisions of the land board act, Act No. 155, § 7, Pub. Acts 1937, as amended, with regard to the premises in question and to meet the bid made at the public sale on September 3, 1940, is in accordance with the provisions of said act and correct and legal and the acceptance of the bid of defendant Baum is proper and legal.
‘ ‘ 3. That the plaintiffs lost all right, title and interest in and to said premises on August 9,1940, the time of expiration of their equity of redemption from the mortgage foreclosure sale of said premises and had no interest in said premises on September 3, 1940, date of public sale of said premises under the land board act nor on or about September 27, 1940, when plaintiffs made a matching bid within the time limited therefor, which was correctly and legally refused by the State land office board.
“4. That the defendant, David Baum, as grantee of the title and right to match bid of the receiver of First National Bank — Detroit, purchaser at mortgage foreclosure sale, was vested with the right to match the bid made to the State land office board at public sale under the land board act on September 27, 1940, and did properly and legally match same on said date and became and is entitled to complete the purchase of said premises under the terms of •said act. # * *
“6. That the court having found that plaintiffs had no interest in or title to said premises at the time of filing matching bid and that defendant Baum did have such interest and title and is, therefore, the only person designated by the land board act and authorized to meet the bid made at the public sale of said premises under the land board"act as ‘owner,’ the question of whether or not plaintiffs or defendant have the greater financial interest in said premises is immaterial and irrelevant and was, therefore, not considered or determined by the court. ’ ’
Plaintiffs’ motion for rehearing was denied December 4, 1941, and they appeal.
Plaintiffs contend that, as owners of the property at the time of the tax sale in May, 1938, they had the right under Act No. 155, § 7, Pub. Acts 1937, as amended by Act No. 244, Pub. Acts 1939 (Comp. Laws Supp. 1940, § 3723-7, Stat. Ann. 1940 Cum. Supp. § 7.957), to match the bid made at the scav enger sale. Such section of the act provided, in part:
“Any person who, at the time of the tax sale, had any interest in any parcel of land so sold, shall have the right for a period of 30 days after such public sale as in this section provided, to meet the highest bid, by paying the amount thereof to the county treasurer.”
Defendants contend that plaintiffs, upon the expiration of their right of redemption in the foreclosure proceedings on August 9, 1940, lost their privilege as former owners to meet the bid received at the scavenger sale on September 3, 1940.
At the time of the tax sale in May, 1938, plaintiffs owned title to the property subject to the mortgage held by receiver Schram. Therefore, at the time-of the tax sale both plaintiffs and receiver Schram had an “interest in the land.” In National Bank of Detroit v. State Land Office Board, 300 Mich. 240, 247, Mr. Justice Sharpe stated:
“In Redford Union Schools, Dist. No. 1, v. State Land Office Board, 297 Mich. 535, we held that the right to meet the highest bid at the scavenger sale is limited to parties having an interest in the land sold at the tax sale when the State bid in the property.”
The statute gave plaintiffs and defendant Sóhram, both of whom had “an interest in the land,” the privilege of matching the highest bid received at the scavenger sale, “priority to be given the one having the largest financial investment in the property.” (Act No. 155, § 5, Pub. Acts 1937, as amended by Act No. 244, Pub. Acts 1939 [Comp. Laws Supp. 1940,_ § 3723-5].) Such privilege did not accrue to or vest in either plaintiffs or receiver Schram until the property was sold to the highest bidder at the scav enger sale. In James A. Welch Co., Inc., v. State Land Office Board, 295 Mich. 85, 94, we said:
“The right of plaintiff to meet the highest bid (at the scavenger sale) is not a.condition upon which the State acquired title absolute (at the tax sale in 1938) to the lands in question. This privilege could not under any circumstances accrue to plaintiff or become a vested right in it until a sale has been made by the State to the highest bidder. It is only upon the acceptance by the State of the highest bid that the statutory right of the former owner to meet such highest bid becomes operative and permits the former owner to acquire the title in the manner provided by the statute. Until such sale, it is not a present vested right or a present interest; it is a mere contingent right which may or may not happen.”
Plaintiffs did not avail themselves of their right of redemption in the foreclosure proceedings and at the expiration of such right on August 9,1940, all plaintiffs ’ rights in and to the property were extinguished. Section 14434, 3 Comp. Laws 1929 (Stat. Ann. § 27.1230), provides, in part:
“Unless the premises described in such deed shall be redeemed within the time limited for such redemption * # * such (sheriff’s) deed shall thereupon become operative, and shall vest in the grantee therein named, his heirs or assigns, all the right, title, and interest which the mortgagor had at the time of the execution of the mortgage or at any time thereafter.”
See, also, Swarthout v. Shields, 185 Mich. 427; Stolte v. Krentel, 271 Mich. 98; Detroit Fidelity & Surety Co. v. Donaldson, 255 Mich. 129.
Plaintiffs, having lost all their right, title, and interest in and to the property at the expiration of their right of redemption on August 9,1940, were not thereafter at the time of the scavenger sale on September 3, 1940, in a position to exercise the privilege of meeting the highest bid at such sale. The statute clearly contemplated that one having an interest in property at the time of the tax sale in May, 1938, should continue to hold an interest until the scavenger sale in order to be entitled to exercise his privilege of matching the highest bid at such sale.
As plaintiffs had lost their privilege of meeting the highest bid at the scavenger sale, they cannot maintain the present action. Their bill of complaint did not state a cause of action and was properly dismissed.
The order of the trial court dismissing plaintiffs’ bill of complaint is affirmed. In view of our conclusions, no costs will be allowed.
Chandler, C, J., and Boyles, North, Butzel, Bushnell, and Sharpe, JJ., concurred. Wiest, J., took no part in this decision. | [
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Clark, J.
Plaintiffs, husband and wife, 81 and 77 years old respectively, born in Sweden, in this country nearly 43 years, of very limited knowledge and experience respecting business of the character here attempted by them, owning 26 shares of capital stock of Consumers Power Company valued at $2,600, exchanged it, at the solicitation of defendant, a stock salesman, for 55 shares of capital stock of Foulds Company, and paid to boot $95 in cash. Plaintiffs accepted four dividend checks from the Foulds Company. Claiming to have been defrauded in the exchange, they brought this suit.
Trial was without a jury. The court filed findings and gave judgment to plaintiffs for $1,200. Defendant brings error.
It is urged that plaintiffs pleaded rescission and failed to prove it, that there is no evidence of restoration of the certificates of stock received by plaintiffs, nor of an offer to restore, necessary to maintenance of an action at law on the theory of rescission, and that the court therefore erred in his finding and in awarding judgment.
The declaration is on the theory of rescission. The trial throughout is on the theory of affirmance of the transaction and recovery of damages for the fraud. The evidence of fraud would he practically the same on either theory, but there is marked difference respecting damages. In rescission a plaintiff may recover back what he has paid or parted with. In affirmance the measure of plaintiff’s damage is the difference in value of the property he bought as it was represented and as it was. Here the evidence relative to damages on both sides is on the theory of an affirmance, the theory of the trial. The evidence shows no rescission. At the conclusion of proofs the , court asked plaintiffs ’ counsel what he claimed as to measure of damages, and he stated his claim on the theory of affirmance. Defendant’s objection was not made during the trial and not raised until after the court had filed his findings, when it was proposed as an amendment. It came too late. Parties will be held in this court to the theory upon which the cause was tried without objection in the circuit court. 3 C. J. p. 723.
It may be noted that no point is made that filing the declaration constituted an election of remedies. Donovan v. Curts, 245 Mich. 348.
Defendant contends that plaintiffs’ accepting dividends on the Poulds Company stock after learning of the fraud is a waiver of right of action. This was a fully executed contract or transaction. Plaintiffs might retain the dividends in any event (Stowe v. Mather, 247 Mich. 329), and accepting them was not here a waiver. 27 C. J. p. 25.
Lastly, it is contended that the finding of fraud is against the clear weight of the evidence. A claimed misrepresentation is that of value of the Foulds Company stock. Plaintiffs had testimony of qualified disinterested witnesses that the value was not as represented, that the disparity was at least as great as that found by the trial court. Defendant had testimony of qualified witnesses to the contrary. "We cannot sustain the contention. Defendant professed expert knowledge of the value. Plaintiffs knew nothing about it. They relied on the representation, which, proving false, sustains the finding and judgment. O’Neill v. Kunkle, 244 Mich. 653, and cases cited.
Judgment affirmed.
North, C. J., and Fead, Wiest, McDonald, Potter, and Sharpe, JJ., concurred. The late Justice Fellows took no part in this decision. | [
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Btjtzel, J.
Defendant signed and plaintiff accepted the following order:
“Kalamazoo Tank & Silo Co.,
“Kalamazoo, Michigan.
“Please ship April 1st, 1924, or at your earliest convenience, to me at Oxford, County of Oakland, State of Mich., the following named below, this order being subject to your approval at Kalamazoo, Mich., and to the conditions printed on back.
Diameter Height Material Price
13,000 5x8x12 Fire Clay Build, tile
1,500 Headers 5x4x8
300 Corner Bid. tile
100 5x4x12 Bldg, tile 100-% blocks- $1,650.00
“On the arrival of the above I will pay to the Kalamazoo Tank & Silo Co., or only on their order, the above amount less freight, which I am to pay on arrival, receiving credit for same by delivering freight bill to the bank at time of making settlement $1,650.00 by notes due Aug. 1st, 1924, int. at 7% from date of arrival.
“Payable at Commercial State Svgs. Bank, Detroit, Mich.
“Date 3-14-1924.
“Salesman H. M. Barclay
Sign here “William H. Shirk
“Frank Berry
“P. 0. 819 Majestic Bldg., Detroit, Mich.”
To this was added a property statement signed by defendant, and on the margin was written: “These tile to be shipped as per bargain letter.”
Without objection defendant was permitted to introduce testimony tending to show that, prior to the execution of the agreement, it was agreed that plaintiff would, as a part of the transaction, construct a barn for defendant to cost, in addition to the cost of tile, $2,500 if the barn was made 100 feet long, and $3,000 if made 120 feet long. Plaintiff in turn denied any such arrangement and introduced testimony tending to show that its agent introduced to defendant a Mr. Berry, a carpenter, and Mr. Blackford, a mason, who were connected with plaintiff, with a statement that the company would in no way assume the responsibility of their agreements, that if they did not carry out the bargains, it would be defendant’s funeral, not the company’s, and that defendant with such understanding hired them, one at 85 cents an hour and the other at $1.00 an hour to do the work. The trial resulted in a verdict and judgment for plaintiff for the full amount of its claim.
Defendant in propria persona in a brief of 147 pages, and under 51 heads, urges that many revers ible errors appear in this record. "We have read the record and defendant’s volnminons brief with care, and reach the conclusion that none of the questions raised would justify this court in reversing the judgment, and but few of them require discussion.
The words “bargain letter” appearing in the sentence on the margin of the order required explanation. Plaintiff’s claim* supported by testimony, was that it accumulated building tile in its yard from time to time which were not perfect but which were usable, and which it sold at around 80 per cent of the price of number one tile. It claimed to have inclosed a mimeographed circular letter with reference to these tile to defendant in a letter sent him by mail some time before the order was given. He admits receiving the letter which referred to this circular letter, but denied receiving the circular letter, and based his refusal, on demand to produce, on this ground. The case was tried some three years after the transaction, and plaintiff was unable to find and produce a copy of the circular letter, and parol testimony of its contents was admitted. This is urged as constituting serious and reversible error. Quite possibly plaintiff did not go quite as far as its proofs tending to show the mailing of the letter with thé inclosure as it should. However, defendant admitted receiving the letter and introduced it in evidence, and the testimony of plaintiff’s agent who took the order showed that all the talk at the time the order was taken and the only price made was for these imperfect tile which were called “bargain tile,” and were referred to in the bargain letter. Indeed, the testimony of the agent, if believed, and it was believed, established that in the several hours the parties discussed the deal, defendant was fully informed what “bargain tile” were, and likewise what the contents of the “bargain letter” were.
There is a claim of defendant that it does not sufficiently appear that the tile ordered reached their destination in sound condition. The agent testified that it was agreed that plaintiff would furnish other tile for all broken in shipment if defendant would have them marked on the freight bill, which was not done. He also testified:
“The tile at Oxford that Mr. Shiek received was in due accordance with the tile I sold him, the exact tile of the bargain tile. * * * I looked the tile over at Oxford station that was there, but I didn’t count them, but I did examine the tile and found the tile, the bargain tile, exactly what Mr. Shiek bought. The tile were apparently all there except some that was broken in the car by bumping the car.” •
There was also testimony that after the car had been placed on the team track, and had been opened by defendant and some of the tile removed, the railroad company bumped into it with another car in doing some switching and broke some of the tile. This, however, was after delivery of the car to defendant and while he was exercising control over it. He may have a claim for such damage against the railroad company but not against plaintiff.
It is urged at much length that undue prominence was given plaintiff’s claims in the charge. We do not so find. We do not find any statement of any of the plaintiff’s claims in the charge which were not good-faith claims made by plaintiff, and all had evidential support. That more lines were used in the record in stating the claim of plaintiff than were used in stating the claim of defendant is not unusual. Defendant generally denies all or most of plaintiff’s claims, and a statement that he makes suck denial is sufficient. Where, as here, he asserts an affirmative defense, the trial judge should state his claim in that regard. This was done and fully done in the instant case, and, as we shall presently see, the charge fully protected defendant’s rights.
Defendant complains because the trial court did not instruct the jury on the defense of fraud. In none of his requests did defendant suggest such a defense. In his notice he did insist that a fraud was perpetrated on him (1) by the contents of plaintiff’s catalogue, and (2) by plaintiff’s promise to build the barn. As to the first of these propositions, the catalogue contained the usual “puffing” of goods and nothing more. As to the second, it is doubtful if defendant’s testimony tended to show anything beyond a promise to do something in the future. But be that as it may, in a very fair charge, the court submitted to the jury the main question, i. e., whether plaintiff 'agreed to build the barn, and directed them to find for plaintiff if it did not, and if it.,did to find for defendant. The jury by its verdict found it did not promise to build the barn. Whether we call it fraud or breach of contract is, therefore, unimportant. The charge was full, clear, and without bias. It contained no prejudicial error.
The other objections do not merit discussion.
The judgment will be affirmed.
North, C. J., and Fead, Wiest, Clark, McDonald, Potter, and Sharpe, JJ., concurred. | [
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Wiest, J.
Defendant owns the home of former Governor Baldwin at the northwest corner of Fort and Cass streets in the city of Detroit. Widening of Cass street by the city required removal of a part of the building and reconstruction by the owner. In the condemnation proceeding defendant was awarded, for the purpose of reconstruction of the building, about $18,000. Plaintiff had estimated the expense at $18,354.75. Plaintiff was employed to reconstruct the building. The contract between the parties was oral, and they differ sharply as to the terms. Plaintiff brought this suit, claiming a balance due him amounting to $1,355.61, based on an alleged oral contract, on the basis of cost plus 10 per cent. Defendant claims there was a limit of $12,000 agreed upon for the whole job, and seeks recovery of overpayment of $2,111.55. The case was heard by the court and judgment awarded plaintiff for the amount he claimed. Defendant prosecutes review wholly upon questions of fact.
The findings of the circuit judge are supported by the record and we cannot hold that the judgment is against the preponderance of the evidence.
The estimate of cost of reconstruction, made by plaintiff during pendency of the condemnation proceeding, was, evidently, a factor in obtaining an increased award. This strongly tends to negative the terms of the contract as claimed by defendant, and in connection with payments made of over $2,000 in excess of what defendant now claims he was to pay, is persuasive that the contract was as claimed by plaintiff.
It would be of no benefit to the profession to make review of the evidence.
We find no reversible error. Judgment is affirmed, with costs to plaintiff.
McDonald, C. J., and Potter, Sharpe, North, Dead, and Btjtzel, JJ., concurred. Weadock, J., did not sit. | [
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North, J.
This is a mandamus proceeding in which plaintiff seeks to have defendants directed to make payment of certain matured drain bonds and of matured interest coupons. The relief sought was granted by the trial judge and defendants have appealed. The bonds here involved were in part issued incident to the construction of the Beyer drain (see Hankinson v. Deake, ante, 1) and part were issued incident to the construction of the West Park Miller avenue drain. Except as hereinafter noted the questions presented are controlled by our recent decision in Regents of the University of Michigan v. Pray, 264 Mich. 693. Appellants here assert that mandamus will not lie “when the validity of the drainage district, which has issued bonds, is questioned.” This contention is based upon the fact that certain property owners by injunction suit resisted assessment and payment of the drain taxes. See Hankinson v. Deake, supra. Plaintiff herein was not a party to that suit and decree therein could not bind him. At the time plaintiff instituted this suit there was upwards of $20,000 in the Beyer drain fund, a sum largely in excess of the payment sought by plaintiff.
‘ ‘ Mandamus is a proper remedy to compel, payment of a claim against a municipal or public corporation where there are funds generally applicable to its payment. So mandamus lies to compel payment of a claim against a special fund which is in existence and in the hands of the proper officer.” 38 C. J. p. 768.
See, also, Ullman v. Sandell, 158 Mich. 496; Spiegel v. Barrett, 189 Mich. 111; Regents of the University of Michigan v. Pray, supra.
The fact that the injunction suit, to which plaintiff was not a party, was pending, did not impair plaintiff’s right to have payment nor relieve defendants of the obligation to make payment.
Judgment is affirmed, with costs to appellee.,.
McDonald, C.. J., and Potter, Sharpe, Fead, Wiest, and Butzel, JJ., concurred. Clark, J., took no part in this decision. | [
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Potter, J.
Plaintiff was, on May 5, 1929, riding with her husband, Luther Gardinear, in an automobile along the South Lyons road going east. The automobile collided with the defendant’s train. Her husband, Luther Gardinear,-was killed, and plaintiff injured. She sued defendant for $150,000. -Plaintiff was also appointed administratrix of her husband’s estate and as such sued defendant for damages arising out of the same transaction for $100,000. Plaintiff had verdict for $5,000 in her own right; she had verdict as administratrix of her husband’s estate of $3,500. On motion, judgment was rendered for defendant notwithstanding the verdict in both cases. Plaintiff appeals.
There are many assignments of error. It is unnecessary to discuss all of them. It seems to be settled by the statutes and decisions' of this State that one driving an' automobile in the nighttime must have the vehicle under such control it may be stopped within the range of clear vision ahead; must have his vehicle equipped with proper lights to enable him to see clearly 200 feet ahead; must have the vehicle equipped with proper brakes kept in good working- order to enable him to stop within the range of such lights; and if, by reason of inattention, want of diligence, failure to have proper lights or brakes, or of driving too fast, the person in charge of such automobile drives against the side of a moving freight train which could have been seen in time to have stopped and to have avoided the injury had the driver thereof been driving at the rate of speed he should have driven, and exercising proper diligence and attention, such person is guilty of contributory negligence which bars recovery. ’
In this cáse the decedent, Luther Gardinear, being guilty of contributory negligence under the undisputed facts, could not recover. The negligence of decedent is imputable to the plaintiff who was riding with him.
Judgment of the trial court affirmed, with costs.
McDonald,,- O. J., and Weadock, Sharpe, North, Fead, Wiest, and Butzel, JJ., concurred. | [
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Sharpe, J.
Prior to the year 1929, the plaintiff had been engaged in lecturing and furnishing entertainments by concert companies in which she took part. In that year she visited the city of New York, and her attention was then called to entertainments given under the name of the “Town Hall,” founded by the League for Political Education. On her return to Detroit she consulted with some of her friends and finally concluded to have a “Detroit Town Hall” in that city. The plan was to secure a number of “founders-members” who would each pay a specified amount and receive tickets entitling them to admission to the entertainments to be given. In July of that year she sought the assistance of the defendant, who had been the society editress of the Detroit Free Press for a number of years and at that time published and edited the 20th Century Club magazine. On August ,1st they entered into a contract to undertake the management of a “Town Hall series of attractions” for three years, the profit to be divided equally between them. A certificate of doing business under the assumed name of “Detroit Town Hall” was filed by them with the county clerk. Pursuant thereto they arranged for a series of lectures in the Cass Theatre during the seasons of 1929-1930, 1930-1931 and 1931-1932, beginning about October 1st and ending about May 1st of the following year;
Some dissatisfaction arose as early as January, 1931, and on the 31st day of that month the plaintiff and two other ladies organized a corporation under the name of “The Detroit Town Hall.” The defendant had no knowledge thereof at that time. After some correspondence with the officials of the “Town Hall” in New York, plaintiff concluded to no longer use that name, and in her preparatory work for the season of 1932-1933 she sent a notice to their former patrons, stating that the partnership would soon expire and that she would continue the lecture course under the name of “Detroit Friday Morning Series” instead of “Detroit Town Hall Series;” that the same theatre would be used therefor, and that the defendant would not be connected therewith. On February 12, 1932, she published a circular, headed “Detroit Friday Morning Series of World Personalities formerly Detroit Town Hall, ’ ’ and in which she announced the names of a number of the lecturers.
On defendant’s attention being called to these acts of the plaintiff she mailed a letter “To the Contributing Members of the Detroit Town Hall Series,” stating that she had been “urged to provide a lecture course beginning in October of the same high quality that has marked the Town Hall events,” and that she was formulating plans therefor. She soon after leased the Wilson theatre and announced a lecture course to be conducted therein under the old name, “Detroit Town Hall Series.”
On March 1, 1932, the plaintiff filed the bill of complaint herein, setting up to some extent the facts above stated, alleging that defendant had “no right to appropriate to herself the trade-name, ‘Town Hall,’ ” and that such name was of great value to plaintiff, and prayed therein that the court decree that the name “Town Hall” was her property and that she was entitled to the exclusive right thereto, and that defendant be enjoined from using the same.
The defendant filed an answer denying that plaintiff was entitled to the relief sought, and by cross-bill prayed that the corporation “Detroit Town Hall, Inc.” be made a party defendant, and that it and the plaintiff be enjoined from using the trade-name “Detroit Town Hall,” and that they be required to account to her for their unlawful and unauthorized úse of the name. The plaintiff and the corporation filed answers thereto, denying that defendant was entitled to the relief sought by her.
The trial court held that, at the termination of the partnership agreement, the trade-name, not having been disposed of, belonged to the partners in common and that each of them had the right to use it, but neither of them tó the exclusion of the other, and entered a decree dismissing both the, bill and cross-bill. He also held that it might not be used by the corporation, and enjoined its nse by it. •
The defendant has appealed. Her counsel do not question the holding of the court as above stated, but insist that plaintiff abandoned her right to use the trade-name and should be restrained from further using it as prayed for in the cross-bill. This claim is based upon the letters and circulars sent out by the plaintiff, above referred to. But that there was no' such intent on her part is clearly evidenced by a letter written by plaintiff’s attorney to defendant’s attorney on February 25, 1932, a number of months before the partnership agreement had terminated, in which, after referring to the fact that the plaintiff intended during the coming season to use a name other than “Town Hall,” he said:.
“This will give Mrs. Stringer the same opportunity as Mrs. Saunders will have to promote an independent series for the coming season. But by this act of Mrs. Saunders, Mrs. Stringer must not get the idea that Mrs. Saunders has abandoned the name ‘Town Hall,’ because she has not. Mrs. Saunders will not tolerate the use of the name by Mrs. Stringer. She is willing, as stated, for the coming season, to use some other name herself.”
The applicable rule is thus stated in 26 R. C. L. pp. 909, 910:
“Abandonment must, however, be strictly proven where a forfeiture is claimed on that ground. The temporary disuse of a trade-name, or even the temporary use of an additional trade-name in connection with it, is not sufficient. It is necessary to show, not only acts indicating a practical abandonment, but an actual intent to abandon, since acts' which, unexplained, woiild be sufficient to establish an abandonment ínáy be answered by showing that there never was an intention to give np and relinquish the right claimed. ’ ’
The text is fully supported by the cases cited in the footnote thereto.
The decree is affirmed, with costs to appellee.
McDonald, C. J., and Weadock, Potter, North, Pead, Wiest, and Butzel, JJ., concurred. | [
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Fead, J.
This is review of the third trial of a malpractice case. The testimony was substantially identical with that developed on the former trials, reported in 258 Mich. 293, and 262 Mich. 192.
In the latter it was held that the verdict was not against the great weight of the evidence. The ruling is equally applicable here. It is the function of the jury, not of this court, to pass upon the credibility of witnesses, both expert and lay.
Both counsel wandered a little in'the arguments to the jury. But as honors were apparently even, and the court directed the jury to disregard the departures, we find no reversible error in this respect.
Plaintiff had verdict for $10,000. A former verdict for $6,500 was held not excessive in 262 Mich. 192. Plaintiff was 25 years old when injured, some five years before the last trial. His leg is permanently shortened and bowed, and he claimed damages, both past and future, for pain, humiliation, inconvenience, and loss of earning capacity. The trial was not characterized by appeal to sympathy or prejudice, and the record presents no legal basis for our setting aside the judgment of the jury and substituting a lesser sum for that found by it.
The other point presented is with reference to the examination of Dr. Warnshuis, secretary of the State medical society, .called by defendant as a medical expert witness. On cross-examination he testified:
“Q. Every year you contribute to a fund which goes to defend cases like this, and you contribute to the defense of these cases, don’t you?
“A. You mean personally? I pay dues, and those dues are a lump sum. Now, what is done with those dues I have nothing to say about.
“Q. Don’t you know that a part goes to the defense of cases like these?
“A. Yes, I am secretary of the association.”
On re-direct examination:
“Q. Doctor, Mr. Hoffman asked you about your connection ■ with the State medical society, whether or not part of your dues did not go to .a fund to defend doctors who are sued for malpractice, did he not.? . •
“A. Yes.
“ Q. Doctor, who decides in the State medical society yfhat doctors you will defend?
“A. The medical-legal committee.
“Q. There is a medical-legal committee, isn’t there ?
“A. Yes, sir.
“Q. And do they defend all doctors?
“A. They do not.
“Q. What ones do they defend?
“Mr. Hoffman: Wait a moment, we object to this unless they let us go into the other end of it.
“Mr. Barbour: What is that?
“Mr. Hoffman: We say it is incompetent to say what ones you do defend and who decides it.
“The Court: I think now you are attempting to substitute the judgment of the medical-legal committee for that of the jury. Objection sustained to it.
“Mr. Barbour: I only went into it, if the court please, because of the Supreme Court decision that that is a proper question that Mr. Hoffman asked. Of course, I made no objection when he went into it, but it does seem to me that when Mr. Hoffman went into this that we should go into it fully. 1 have never done it before in any case.
“Mr. Hoffman: We are perfectly willing you do if you let us show what the medical-legal committee does—
“The Court: We shall sustain the objection.”
And later:
“Q. Doctor, one question. In speaking of this defense fund, whether or not that goes to the paying of judgments against doctors, or just the attorney fees for'just trying the cases?
“A. It does not. It does not go to pay any judgment. It just pays the legal counsel which we employ. ’ ’
The original inquiry was competent as bearing upon the.interest of the witness and his credibility. DeHaan v. Winter, 262 Mich. 192.
The witness’ understanding, whether true or false, of the practice of the society in defending cases was relevant to the claim of his interest and should have been received, however incompetent it otherwise would have been. Nor would the plaintiff be entitled thereby to put the society or committee on trial. The interest of a witness is shown by his own understanding of the facts, not. by the facts themselves. And, of course, the court has discretionary power to keep the trial to the issues.
However, the record does not demonstrate that the adverse ruling was prejudicial to defendant. No offer of proof was made, but the court assumed and counsel, upon the argument in this court, stated that the witness would have testified that the society defends only those cases which the medical-legal committee finds to be without merit. Obviously such' an answer could not affect the interest of the witness (if his membership in the society created an interest and affected his credibility), otherwise than adversely to defendant, because a witness, who knew of the practice of selecting cases for defense, would be under the added pressure of supporting another member against an accusation which the committee had found to be unjust. Moreover, the original inquiry was rather casual and the imputations of bias from the payment of dues were not serious. The arguments are not reported, and we do not know whether the matter of interest from membership was stressed to the jury. The attitude of the society toward the defense of its members was quite fully set out in the testimony, and from the record it does not appear credible that refusal to permit the witness to state which doctors the society defends could have had any effect, adverse to defendant, on the jury’s opinion of the witness or on the verdict.
Judgment affirmed, with costs.
Weadock, Potter, Sharpe, North, Wiest, and Butzel, JJ., concurred. McDonald, C. J., did not sit. | [
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Sharpe, J.
Charles J. McElheny had a contract for the construction of the Dowagiac river drain. On December 23, 1920, he gave three drain orders, issued to him in October and November of that year, aggregating $8,260, to the defendant Sill, who was at that time sheriff of Cass county, to sell for him, for which Sill was to receive $740. These orders were drawn on the usual blank form, directed' to the county treasurer of the county of Cass, and payable on March 15, 1921, out of any money in his hands “belonging to the Dowagiac river drain fund.” They purported to be signed by the drain commissioners of Van Burén, Berrien,' and Cass counties, but the names of the other commissioners had been written thereon by Abner M. Moon, the commissioner of Cass county. This fact was known to the defendant Sill. These orders were a part of those involved in the litigation which has been before this court in People v. McElheny, 221 Mich. 50; Nash v. Robinson, 226 Mich. 146; Maryland Casualty Co. v. Moon, 231 Mich. 56; National Bank of Paw Paw v. Nash, 232 Mich. 380, and First National Bank v. Moon, 243 Mich. 124, and, by reason of the manner in which they were signed, were said to be void in the Maryland Casualty Company Case.
After Sill received the orders, he took them to the office of Coy W. Hendryx, an attorney in Cassopolis, and talked with him about them. Hendryx gave him a copy of a written opinion which he and the late T. J. Cavanaugh had signed, relative to the validity of orders issued in payment of the construction of this drain. It was dated February 5, 1920, eight months before these orders were drawn, and stated that in their opinion the purchasers of such orders would be protected ‘ ‘ and any and all orders will be paid in full on or before March, 1921.” Sill then went to Marcellas and talked with the defendant Lowry, who was cashier of a State bank at that place, about the orders. Lowry called in the defendant Kinney, who was acquainted with plaintiff, and Kinney, by telephone, made an appointment with plaintiff to meet them. The three then drove to Lawton, where plaintiff lived, and made sale of the orders to him, for which he drew a check for $8,000, payable to Lowry, and delivered it to him. This check was cashed at Lowry’s bank. Sill and Lowry each retained $320, $100 was paid to Kinney, and the balance to McElheny.
Claiming that he was induced to purchase the orders by the false and fraudulent representations of the defendants, plaintiff brought this action to recover the money so paid, less $508, received by him from the casualty company. He had verdict and judgment against the defendants Sill and Lowry. They seek review by writ of error.
Plaintiff testified that he had never before seen a drain order; that he thought the orders belonged to the bank of which Lowry was cashier; that the defendants said “the orders were all right, no question about that,” and called his attention to the statement in the opinion that they would be paid in full on or before March, 1921. At the time of plaintiff’s purchase, on December 23, 1920, no tax had been spread to pay these orders. This fact was known to the defendant Lowry. In his instructions to the jury the trial court said:
“Defendants cannot be held liable unless the representations were made by them with the intent to defraud and deceive the plaintiff. In other words, it is necessary for the plaintiff to prove defendants made representations with knowledge of their falsity, and that they intended to deceive and defraud him. ’ ’
This instruction was certainly as favorable to the defendants as they were entitled to, and was justified by the testimony of the plaintiff above referred to. There was no error in the denial of defendants ’ motion for a directed verdict and in the submission of the case to the jury.
It is strongly urged on behalf of the defendants that they believed the orders were good, that they were fortified in this belief by the opinion of the attorneys, and that plaintiff relied upon this opinion, and not upon what they said to him about the orders. But the statement in the opinion that the orders would be paid on or before March, 1921, was certainly based on the assumption that a tax to pay-them would be spread upon the 1920 tax roll. No such statement would have been made by these attorneys in December, 1920, without knowledge of that fact,' and Lowry knew at the time plaintiff purchased that no such tax had been spread.
Counsel rely upon the holding in Krause v. Cook, 144 Mich. 365, in which it was held to be error to refuse the following request:
“If a person received information from others and believes it, repeats it,’ explaining that he has no personal knowledge, he is not guilty of fraud.”
There can be no criticism of this statement of the law. But we do not think it applicable to the facts here presented. Had appellants taken these orders to the attorneys and secured a written opinion from them as to their validity and the time they would be paid, and stated that they had no personal knowledge concerning them, a different question would be presented. But Sill is chargeable with knowledge that the orders had been unlawfully issued by Moon, and Lowry with knowledge that the representation in the opinion that they would be paid in March, 1921, was untrue. It cannot be said as a matter of law that there was no evidence of guilty knowledge and of intent to deceive on their part.
It is strongly urged that the verdict is against the great weight of the evidence, and that a new trial should have been granted for this reason. In denying it, the trial court filed an opinion in which he reviewed the testimony at length. We have read the record with care, and cannot avoid reaching the conclusion that plaintiff purchased these orders in reliance upon representations made to him by defendants which were false in fact and known by the defendants to be so. . . ’
The other assignments have been considered. They present no reversible error. The case was fairly tried. A question for the jury was squarely presented, and the verdict’ reached should not be disturbed.
The judgment is affirmed, with costs to appellee.
North, C. J., and Fead, Wiest, Clark, McDonald, and Potter, JJ., concurred. The late'Justice Fellows took no part in this decision. | [
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Sharpe, J.
The declaration, by which plaintiff’s action was begun, reads as follows:
“Forrest Stout, plaintiff herein, by Roman F. Glocheski, his attorney, complains of Joseph Anderson, - Smith (first name unknown) and Thomas Stinson, defendants herein, in' a plea of trespass, filing this declaration with rule to plead indorsed thereon, pursuant to the statute, as commencement of suit.
“For that the said defendants on, to-wit: the 19th day of August, 1925, with force and arms made an assault on .the said plaintiff and then and there did beat, bruise, wound and illtreat the said plaintiff, by reason thereof the said plaintiff then and there became and was sick, sore, lame and disordered and so remained and continued for a long space of time, to-wit: three years, during all of which time the said plaintiff suffered and underwent great bodily pain and mental distress and was obliged and did undergo surgical and medical treatment and for a space of three years thereafter said plaintiff was thereby hindered and prevented from performing and transacting his necessary affairs and business, to-wit: the business of farming, whereby he lost great gains and profits which otherwise would have accrued to and been earned by him; and by reason of the premises the said plaintiff was thereby forced and obliged to and did necessarily pay, lay out and expend a large sum of money, to-wit: two hundred ($200) dollars in procuring medical attention and nursing and that this plaintiff is still sick, sore and disordered, and that he has and is now suffering from permanent injuries inflicted by the said defendants.
“That plaintiff’s bridge in his nose is broken and it interferes with his breathing and that this plaintiff is informed that he will be obliged to undergo a further surgical operation and that this plaintiff’s eye is permanently injured, by reason of said assault, so that the vision is impaired and this plaintiff has practically lost the sight of said eye; and that this plaintiff will suffer in the future great bodily pain and great inconvenience and annoyance by reason of his permanent injuries, and other wrongs to. the said plaintiff then and there did, against the peace of the people of the State of Michigan, and to the plaintiff’s damage of ten thousand ($10,000) dollars, and therefore he brings suit.”
It was filed on August 16, 1928. Defendants moved to dismiss for the reason that the action, being one for assault and battery, was not brought withffqtwo years from the time the cause of action accrued, as required by subsection 3 of 3 Comp.' Laws 1915, § 12323, since amended by Act No. 161, Pub. Acts 1927. Plaintiff claims that the action is one to recover damages for injury to his person and is governed by subsection 2 of said section, limiting the time for bringing same to three years. The cause of action set forth in the declaration is clearly one of trespass for assault and battery. It follows, very closely the form prescribed therefor in 1 Abbott’s Cyclopedia of Michigan Practice (2d Ed.), p. 69; 1 Creen’s Michigan Practice (3d Ed.), p. 477; Tiffany’s Justice’s Cuide (10th Ed.), p. 872.
The judgment of dismissal is affirmed, with costs to appellees.
North, C. J., and Fead, Butzel, Wiest, Clark, McDonald, and Potter, JJ., concurred. | [
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North, C. J.
On October 31,1928, Walter Dickinson sustained serious injuries in consequence of the negligent operation of a Ford Fordor sedan owned by defendant Peter J. Homerich, and driven by the defendant John Todd. Default judgment for $5,000 damages and $39.60 costs was taken against these two defendants in January, 1929. In May following garnishment proceedings were instituted against the American Casualty Underwriters, an unincorporated voluntary association, which had issued to Homerich a $5,000 auto insurance policy. Judgment for the full amount of the policy was rendered against the garnishee defendant; and it has brought the matter to this court on case-made. It denies liability here for the following reasons:
(1) The insured did not give appellant immediate written notice of the accident nor forward immediately to the appellant the summons served upon the insured.
(2) There was no waiver of the provisions of the policy as to notice, and the trial court was in error in holding otherwise.
(3) At the time of the accident, defendant’s automobile was being driven by an intoxicated person in violation of law and by the express terms of the policy appellant is not liable; and also the appellant is not liable because the policy of insurance had been canceled for nonpayment of premiums prior to the accident.
The pertinent parts of the policy are:
“B. The subscriber shall give the attorney in fact immediate written notice of any accident, claim, loss or suit hereunder with fullest information obtainable. * * * The subscriber shall immediately forward to the attorney in fact every notice, summons or other process served on him on behalf of third persons, when the Exchange will, at its own cost, defend.”
“M. No condition or provision of this contract shall be altered or waived except by written indorsement, attached hereto and signed by the attorney in fact; nor shall notice to, or knowledge possessed by any agent, or other person, be held to effect a waiver or change in any part of this contract. ’ ’
“A. This contract does not cover loss resulting or arising * * * while the automobile is * * * being driven by any person prohibited by law from driving an automobile.”
“N. * * * In the event the subscriber has elected to pay such premium deposit on an annual or semi-annual basis, then unless the annual premium or first semi-annual premium is paid in full within thirty days from the date the contract bears, the contract shall be void from the beginning, and the risk shall not attach hereunder. ’ ’
The case was tried without a jury and special findings of fact and conclusions of law filed. While the insured did not give immediate written notice of the accident, and did not immediately forward the summons, the trial judge found that:
“Said garnishee defendant was notified .of said collision and agreed to look after plaintiff’s interests therein- by reason thereof and all notices required to be given to said garnishee defendant were either given as provided in said policy or waived by said garnishee defendant.”
For reasons hereinafter indicated, we need not pass upon the sufficiency of the telephone notice which the insured claims he gave to Mr. Chellis’ office. Mr. Chellis was the general agent of the garnishee defendant. He denied having received the notice or having any knowledge thereof. However, it may be noted in passing that the following direction as to giving notice appears on circular advertising matter:
“If accident is fatal or involves serious injury, telegraph or .telephone, giving date of inquest if one is held.”
The defenses which the appellant sought to make based upon thefailure of the insured to give written notice of the accident or to- forward the summons when served upon him, or because of the claim that at the time of the accident the machine was being driven by an intoxicated person, were waived by the denial of any liability whatever at the time the insured sought to deliver the summons-in this case to defendant’s agent.
The record shows that the insured sought to do this promptly. Mr. Chellis testified:
“When he came into my office with the summons * * *, I tqld him his policy had lapsed, that his policy was not in force.. He acknowledged that he knew that it had .lapsed. , I told him his policy had been canceled, and he said he knew it.”
Having thus based its nonliability solely upon the ground that the policy had lapsed, the circuit judge was right in holding that other defenses were waived by the insurance company. And such denial of liability constituted a waiver of other possible defenses notwithstanding the provision that the terms of the policy cannot be altered or' waived except by written indorsement, etc. Improved Match Co. v. Fire Ins. Co., 122 Mich. 256; 14 R. C. L. p. 1349:
The trial judge also found that, notwithstanding the insurance policy seems to have been dated August 20, 1928, it was in fact issued to the insured “about or shortly after October 2, 1928, and was in full force and effect on October 31, 1928, the date of said collision.” There was evidence to support this finding. The policy described the automobile covered as a Ford make, Fordor automobile, motor number 14654898. This machine was not purchased by the defendant until September 15, 1928, and therefore it seems improbable the policy could have properly been dated August 20,1928, as claimed by the defendant. But aside from this, on October 2, 1928, the insurance company wrote the defendant a letter in which it stated “you are covered;” it billed him the premium October 17, 1928; accepted payment of the premium December 18, 1928, and mailed defendant the receipt on the same date. It did not tender repayment of the premium until months later, and after this garnishment proceeding had been instituted. The defendant claimed that because of the nonpayment of the initial premium it had canceled Homerich’s policy October 20, 1928, under clause “N” of the policy above quoted. But defendant failed to prove notice of cancellation was given the insured, and it made no claim of having attempted to return the premium subsequently paid until after garnishment proceedings were instituted. The policy provides:
“This contract may be canceled, cancellation to be effective at noon on the fifth day after the mailing of written notice thereof, by either of the parties. * * * Notice of cancellation mailed by either party hereto to the other’s address herein given shall be sufficient notice and the check of the attorney in fact, similarly mailed, a sufficient tender of any unused premium deposit.”
We would not be justified in setting aside the conclusion of the trial judge that this policy was in force on the date of the accident. We are not impressed with the bona fides. of defendant’s belated claim that it issued another policy to Homerich dated December 28,1928. The insurer did not claim it had ever received a written application for this second policy, and delivery of such a policy was not tendered to the insured until after garnishment proceedings were instituted in May, 1929.
The trial court’s' determination that Homerich’s policy was in force on the date of the accident, and that no valid defense to the insurer’s liability thereon was established, must be sustained. Judgment having been obtained in the principal suit against the insured, the insurer became liable in garnishment in this proceeding under the policy issued. Barney v. Insurance Exchange, 240 Mich. 199.
The judgment entered in the circuit court is affirmed, with costs to the appellee.
Fead, Btttzel, Wiest, Clark, McDonald, Potter, and Sharpe, JJ., concurred. | [
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Per Curiam.
For this factually complicated case the respective findings and conclusions of the trial judge and of Division 3 appear comprehensively in the opinion next below (Aalsburg v. Cashion [1968], 14 Mich App 91). There is no need for repetition or supplementation thereof beyond observation (a) that the sketch appearing at page 93 of the reported opinion and its detailed adjunct, referring to composite Exhibits 14 and 15, have been most helpful in bringing to us a precise understanding of the main issue, and (b) that a second survey, made in 1936 by the Kent County surveyor’s office, depicts the shoreline of Kent County’s Silver Lake in the same position — vis-a-vis the premises of these contending parties — as does the sketch-designated “1916 Shoreline (Survey).” We regard the two surveys and their identity with each other as controlling of the stated main issue. As we shall see this view of the proof will not alter to substantial degree the result reached in the circuit court, for the 1942 and 1916 shorelines thus sketched are not very far apart as they intersect the extended north and south lines of the Barnes’ lot.
At the outset it cannot be too strongly emphasized that but three pairs of riparian owners contend here. Others who might well have been joined as parties are absent. Accordingly, our aim de novo must be that of determining, as among the MacGregors, the Barneses and the Aalsburgs only, the rightful northerly and southerly boundaries of the easterly portion of the middle tract. That tract is owned of record by defendants Cashion and is under executory purchase by defendants Barnes. Our determination thus made will neither adjudicate nor prejudice the legal rights of riparians whose property lies either to the north of that of the MacGregors or south-southeasterly of that of the Aalsburgs.
Ascertainment of the rule of law applicable to determination of the designated boundaries of these riparians presents no difficulty. Silver Lake is an inland navigable body of water. It is round or substantially so. The difficulty arises when judges undertake to apply the rule to the constantly changing shorelines of most inland lakes. The rule requires that the chancellor below and the chancellors on appeal determine the two points of intersection of each riparian’s side boundaries with the shoreline of the lake. Then, the ascertainment made, the sub-aqueous portion of each riparian’s property is legally divided from the subaqueous portion of each adjacent riparian’s property by drawing straight lines from the two ascertained points to what this record terms “the imaginary center point” of the lake. Thus the shoreline between the two ascertained points forms the sometimes undulating base of a triangle. The apex of that triangle is the center of the lake. The sides of it provide the subaqueous boundary or boundaries in question.
We continue to refer to the contending parties as the MacG-regors, the Barneses and the Aalsburgs. Both as to their respective lots as designated by the sketch and the fee of the land lying lakeward thereof, all three pairs of parties claim under the original riparian owner of the entire area, one Howard M. Weller.
Weller originally prepared what is known in the record as “Howard M. Weller’s unrecorded plat of Silver Lake Resort.” We assume from Exhibit 5, which we shall consider further, that this was done in the summer of 1916. The plat extended some 1,300 feet around the southwesterly portion of Silver Lake. None of the lots platted, those of the present MacG-regors, Barneses and Aalsburgs included, extended to the shore of the lake.
Weller and wife, and after her death Weller unmarried, conveyed away most of the platted lots. Then it was discovered that previous conveyancing left the respective lot owners without riparian rights. Weller undertook to correct the situation by making and recording his self-explaining deed of January 15, 1925. For the complete contextual essence of that deed see the appendix hereto.
At this stage the rightful position of a court of equity, when that court is called upon to determine property rights from instruments prepared and executed by persons long since dead or unknown, will bear repeating from our 1957 decision of Rumrell v. Mingus, 350 Mich 571, 575:
“The task of a judge, when in the midst of opposing demands he is called upon to apply as well as interpret the written equivocacy of those who have long since passed beyond, proceeds at risk of mistake. And, when an obscure writing of the past is to be held as having created, preserved, or destroyed, what at the time were visibly utilized rights in land, the chances of error become greater when the interpreter coniines his appraisal to the writing itself. He should, whenever the testimonial record so connects with the time of writing that he may safely do so, place himself in the position of the deceased grantor or grantors and, standing there, examine together and as one the writing and the physical characteristics of that which the writing was intended to affect.”
The rule stated in Bumrell was written first in our state for Dakin v. Dakin (1893), 97 Mich 284, 292. This passage was quoted with approval from Taylor on Evidence:
“Whatever be the nature of the document under review, the object is to discover the intention of the writer, as evidenced by the words he has used; and, in order to do this, the judge must put himself in the writer’s place, and then see how the terms of the instrument affect the property or subject-matter. With this view, extrinsic evidence must be admissible of all the circumstances surrounding the author of the instrument.”
Standing then, in the assumptive position of grantor Weller when the deed of 1925 was made, we have turned first to the earliest of reliable exhibits, No. 5 aforsesaid. It was made by the Kent County Surveyor for Mr. Weller and is dated September, 1916. No objection to its admissibility or accuracy was submitted and it was received without objection. It provides the scale for determination of the required distances from the easterly corners of the 6(y x 100' Barnes lot out to the shoreline. See again the aforesaid sketch. Having been made for grantor Weller, the exhibit or one of its counterpart prints presumably was before Mr. Weller when he undertook to convey, with reservation for common use of the four-foot walkway “along the shore or water line of said Lake,” that which his 1925 deed sets forth,
The next unquestioned document delineating the shoreline, opposite what at the time belonged to the predecessors of the MacGregors, Barneses and Aalsburgs, is a survey made in August of 1936 by the Kent County Surveyor’s Office. Utilizing and comparing the scaled distances of those surveys of 1916 and 1936, it appears that the shoreline opposite the MacGregor, Barnes, Aalsburg and other nearby lots did not change perceptibly between 1916 and 1936. Hence these documentary records of the pertinent shoreline tend to lend dependable verity to the survey of 1916, and to suggest that the two surveys (of 1916 and 1936) outweigh the presumably dim and offhand boyhood memory of plaintiffs’ witness Cavera.
Mr. Cavera’s memory was that, in 1925, the shoreline of the lake made a nearly closed lagoon (or bayou as he called it) opposite what are now the MacGregor, Barnes and Aalsburg tracts. Upon strength of that memory he drew offhand, upon one of the maps received in evidence, the shoreline which is designated on the sketch as the “1925 Shoreline (Testimony).” Neither court below accepted that testimony for the purpose of ascertaining the location of the 1925 shoreline. We agree and, instead, apply to the question of descriptive intent the survey of 1916, fortified as that survey is by the 1936 corresponding survey and the valued presumption of continuance, of a once existing state of things, which we think grows from this record out of the 1916 survey.
Jones has provided a remarkably enduring definition of the presumption referred to. See § 58a (52, 53, 54), headed “Presumptions as to continuance of the existing state of things — Generally.” (1 Jones, Blue Book of Evidence [1913 ed], 284), reading:
“As we have shown, once a fact is established, inferences flow from it in proportion to the variety of , circumstances which surround it. One ever-present inference must result as soon as that fact is proved to exist — namely, that as soon as it passes from the now to the then of its term — as soon as it has passed from the present, it is presumed to have remained in existence until the contrary is proved. We advisedly repeat the alternative, although it is understood with every disputable presumption. When things are once proved to have existed in a particular state, they are presumed to have continued in that state until the contrary is established by evidence, either direct or presumptive.”
Aside from the separately complex rule of law which, once accepted, the Cavera testimony would introduce into this case from other cases where rights riparian upon a nearly enclosed cove have been involved (See Weisenburger, supra at 290, 291), we find weakness of such testimony over and above its conflict with the 1916 and 1936 surveys and the natural doubt which inheres in the 40-year dimmed memory of a then youngster. Such weakness lies with the fact that Mr. Cavera joined May 12, 1945, with his wife, in warranting to the Aalsburgs all riparian property claimed by the latter in this case. He must, considering the total absence of reservation from his warranty deed to the Aalsburgs, be regarded as a witness having some interest or concern in the outcome of these combined cases, to say nothing of some other possible action which might bring to question what is not involved here, that is, the southernmost boundary of the Aalsburg tract. To recapitulate:
. The foregoing sums up our stated view of the proof. The surveys of 1916 and 1936 determine best the intent of Mr. Weller when, in 1925, he deeded by extending the respective lot lines so that “each of said lots or parcels of land shall extend to the shore or water line of said Lake, subject to the common right of said present owners # # # to walk along the shore of said Lake as hereinafter mentioned.” Unless the parties stipulate otherwise, say to extend the Barnes’ lot lines to the 1942 shoreline as determined by Judge Hoffius, or to median points between the water lines designated by the “1916 Shoreline (Survey)” and the “1942 Shoreline (Testimony),” the decretal judgment to be entered in circuit will determine the base of the needed triangle according to the 1916 survey.
No further question calls for discussion beyond stated concurrence here (a) with the determination of Division 3 that “insufficient evidence” supports the claim of acquiescence (p 98), and (b) with the corresponding conclusion of Division 3 that no case of adverse possession was made out (p 103). Aside from other insufficiencies of proof, neither acquiescence nor hostile possession is made out by a course of “joint use” of adjoining property by neighbors who once were “friendly and cooperative,” nor by the common acceptance and reliance upon a deed which expressly reserved to all such neighbors the “common right to walk freely upon, over and along” a strip of land not exceeding four feet in width “along the shore or water line of said Lake.”
So much of the judgment of the Court of Appeals as negates acquiescence and adverse possession is affirmed. The remainder is vacated for remand upon instruction that a new judgment enter in accordance with this opinion. No costs, no party having prevailed fully.
T. E. Brennan, C. J., and Dethmers, Black, T. M. Kavanagh, Adams, and T. G-. Kavanagh, JJ., concurred.
Kelly, J., did not sit in this case.
Appendix
(Designated portion of Weller deed of January 15, 1925, to lot owners in the “H. M. Weller’s unrecorded plat of Silver Lake Resort.”)
“WHEREAS, the undersigned Howard M. Weller was heretofore the owner of certain lands located on the Southerly or Southwesterly side or shore of Silver Lake in Cannon Township, Kent County, Michigan, and being more particularly described as located in the Southeast fractional One-fourth (SE frc. 1/4) of Section Nine (9), Town Eight (8) North, range Ten (10) West, Cannon Township, Kent County, Michigan, and
“WHEREAS, said Howard M. Weller heretofore platted that part of portion of the above mentioned land located on or adjacent to the Southerly or Southwesterly shore of said Silver Lake, said plat or platted land being known as ‘H. M. Weller’s unrecorded plat of Silver Lake Resort’ and
“WHEREAS, said Howard M. Weller and Eliza Weller, his wife, now deceased, and said Howard M. Weller, a widower, have heretofore sold and conveyed to divers and many persons substantially all of the said land owned by them or by said Howard M. Weller on the Southerly or Southwesterly shore of said Silver Lake, said land being sold in the form of resort lots and said lots being described in certain of the deeds, contracts or instruments of conveyance by lot number of said ‘H. M. Weller’s unre corded plat of Silver Lake Resort’ and described in certain other deeds, contracts or instruments of conveyance by mete and bound descriptions, and
“WHEREAS, said lots or parcels of land heretofore sold as above mentioned by said Howard M. Weller and Eliza Weller, his wife, now deceased, or by said Howard M. Weller, widower, do not in all instances as described in the deeds or other instruments of conveyance thereof extend to the shore or water line of said Silver Lake, and
“WHEREAS, said Howard M. Weller now desires to transfer and convey to each of the present owners of said lots or parcels of land heretofore sold by himself and wife or by himself, a widower, that additional piece, parcel or strip of land located immediately between each respective lot or parcel of land heretofore sold and the shore or water line of said Silver Lake so that each of said lots or parcels of land shall extend to the shore or water line of said Lake, subject to the common right to said present owners of said lots or parcels of land, their heirs and assigns to walk along the shore of said Lake as hereinafter metioned;
“NOW THEREFORE, said Howard M. Weller for and in consideration of the sum of One ($1) Dollar and other good and valuable considerations to him paid by each of the present owners of said lots or parcels of land heretofore sold by said Howard M. Weller and wife or by said Howard M. Weller, a widower, as above mentioned, the receipt of which considerations is hereby confessed and acknowledged, does hereby grant, bargain, sell and convey to each of said present owners of said lots or parcels of land, their heirs and assigns, that certain piece, parcel or strip of land located immediately between each of said lots or parcels of land respectively as described in the original deeds or conveyances from said Howard M. Weller and wife or said Howard M. Weller, a widower, and the shore or water line of said Silver Lake together with all riparian and shore rights; all said lands being located in the southeast fractional One-fourth (SE frc. 1/4) of Section Nine (9), Cannon Township, Kent County, Michigan.
“It being the intent of said Howard M. Weller to hereby grant, bargain, sell and convey to each of the present respective owners of said lots or parcels of land heretofore purchased from himself and wife or himself as a widower, their heirs and assigns whatever land if any there be, located immediately between each of said lots and the shore or water line of said Silver Lake so that each of the respective present owners of said lots or parcels of land, their heirs and assigns shall own and have title to any and all land located immediately between the front line and projected side lines of said lots and said Silver Lake.
“PROVIDED HOWEVER, that each and all of the present and future owners of said lots or parcels of land heretofore purchased and the owners of lots or parcels of land hereafter purchased from and sold by said Howard M. Weller and wife or said Howard M. Weller, a widower, their heirs and assigns, shall have and are hereby given the common right to walk freely upon, over and along a strip of land not exceeding four (4) feet in width along the shore or water line of said Lake, and the several pieces, parcels or strips of land as above mentioned are hereby sold and conveyed subject to such right to each and all of said present owners to walk freely upon and along the shore of said Lake.”
That issue is the descriptive intent of grantor Weller when he proceeded to execute and record the riparian deed of 1925.
For the authorities see the opinion of Weisenburger v. Kirkwood (1967), 7 Mich App at 291. 56 Am Jur, Waters, §464, pp 877, 878 states the rule succinctly:
“Where the shores of the lake are comparatively even and round, the boundary lines may be drawn from the shore to the center of the body of water.”
By the deed Weller declared:
“It being the intent of said Howard M. Weller to hereby grant, bargain, sell and convey to each of the present respective owners of said lots or parcels of land heretofore purchased from himself and wife or himself as a widower, their heirs and assigns whatever land if any there be, located immediately between each of said lots and the shore or water line of said Silver Lake so that each of the respective present owners of said lots or parcels of land, their heirs and assigns shall own and have title to any and all land located immediately between the front line and projected side lines.”
We have applied this rule to an obviously necessary variety of instances to which it belongs. Among our cases are Fowler v. Hamilton Moving & Storage Company (1949), 324 Mich 614; Sanford v. Millikin (1906), 144 Mich 311, 312; Blank v. Livonia Twp., (1889), 79 Mich 1, 5 and Ormsby v. Barr (1870), 22 Mich 80, 84, 85. | [
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Per Curiam.
These consolidated actions were filed to recover personal property taxes paid under protest. Plaintiff Xerox moved for discovery of assessment records in possession of Detroit’s Board of Assessors. The circuit judge granted discovery and ordered that Detroit produce such specific portions of those records as are identified in his order. The order declares and finds:
“Plaintiff’s motion to require the production of certain designated documents in defendant City of Detroit’s possession pursuant to Buie 310 having been heard, the Court finds that plaintiff is entitled to such production and that such documents are not privileged and are relevant to the subject matter involved in the pending actions.”
An assigned panel of the Court of Appeals denied defendants’ application for leave to review the mentioned order “for lack of merit in the grounds presented.”
Application by the defendants for leave to review such order of denial was denied here April 23, 1970. Motion for reconsideration was denied May 21,1970. Then, upon motion of the Court, an order entered June 11, 1970, recalling our previous orders of denial and providing grant of the original application.
The controlling question posed for review is properly counterstated:
“Whether a personal property taxpayer, claiming discrimination and lack of uniformity in the assessment of its property, is barred from discovery and production, under GCR 310, of working papers in the possession of Appellants’ Board of Assessors which will tend to prove or disprove Appellants’ affirmative allegations that the taxpayer’s property and comparable property were assessed on a uniform basis?”
In the course of their various briefs defendants have continued to insist that § 23 of the general property tax law (MCLA § 211.23 [Stat Ann 1970 Cum Supp § 7.23]) creates a statutory privilege from discovery of all of the assessment records that were ordered in for inspection and copying by the trial judge. They stress that portion of § 23 which, referring to the statutory tax statement which the supervisor or assessor has received and filed, provides that such statements shall not be used “for any other purpose except the making of an assessment for taxes as herein provided,” and that “any officer or person who shall make or allow to be made wilfully or knowingly, any other or unlawful use of any such statement” shall be liable, etc.
' We are unable to agree with counsel for defendants. In the first place none of the records ordered up for discovery below are statutory statements within said § 23. In the second place GCR 1963, 310.1, declaring the “Power of court” to provide discovery of documents, papers, books, etc., found not privileged and relevant to the subject matter of the pending action, automatically overrides any such interpretation as Detroit has placed on said § 23. The rule does no more nor less than redeclare equity’s historic power to “probe the conscience of the defendant” by ordering discovery and inspection of books, records, documents, physical things and the like that are in the possession or within the defendants’ control, as to which see Pomeroy’s extended discussion headed “Discovery” (1 Pomeroy’s Equity Jurisprudence [4th ed], § 191 et seq., p 261 et seq.).
The circuit judge found that the records ordered in by him are not privileged and that they are relevant to the subject matter of these actions. On review we are provided no reason for holding that such records are not relevant within the rule, and no reason for holding that a municipality may withhold from judicial surveillance and employment as evidence any municipal assessment record that might bear admissibly upon the issue of valid or invalid payment under protest.
Our ruling is that the counterstated question is controlled by the reasoning and principle laid down in C. A. Roberts Company v. City of Detroit (1956), 346 Mich 384. We repeat and apply what was said in that case (pp 386, 387):
“We are cited to no authority for the proposition that the records and papers which defendants call nonpublic or limited-public are privileged as such either because of the long-standing practice and custom of the office of the board of assessors in treating them thus or because they are not public records required by law to be kept by defendant city or its officers. In litigation between private parties papers may be possessed which are not public, but their private status does not necessarily render them privileged from examination by the opposite party under proper court order. The rule of evidence is the same whether defendant be a per son or a municipal corporation. 81 CJS, States, § 215. Obviously, tbe public or private character of tbe papers is not, of itself, controlling of tbe question of privilege.”
Affirmed. Costs to plaintiff.
T. M. Kavanagh, C. J., and Black, Adams, T. E. Brennan, T. Gr. Kavanagh, Swainson, and Williams, JJ., concurred. | [
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T. E. Brennan, J.
The Case
The defendant, Edward L. Kennedy, was charged with having committed perjury in testimony before a grand jury in Oakland County. He was convicted and on November 29, 1966, sentenced to 1-1/2 years to 15 years in prison.
Defendant appealed his conviction and sentence to the Court of Appeals. The Court held that the trial court had improperly denied a motion to quash the information prior to trial, there being no evidence of false swearing presented before the magistrate upon preliminary examination.
After the decision by the Court of Appeals, the people filed a motion in circuit court asking that the cause be remanded to the magistrate for further examination. This motion was granted by the trial judge. Defendant’s application for leave to appeal from the order of remand was granted in the Court of Appeals.
The Court of Appeals in a per curiam, opinion reversed the circuit court, stating that the circuit court was without jurisdiction because the earlier appellate decision had not remanded the case to the trial court.
Plaintiff’s application for leave to appeal to the Supreme Court was granted after application to the Court of Appeals for a rehearing had been denied.
First Issue
Whether jurisdiction, for any purpose, reattached in circuit court after the decision in People v. Kennedy (1968), 9 Mich App 346.
Discussion
As a general rule, appellate courts do not retain jurisdiction of causes after handing down opinions and entry of orders in pursuance thereof.
The rules governing both this Court and the Court of Appeals contemplate return of the original record to the court from which the appeal was taken. This procedure obtains whether the appeal results in affirmance, reversal or remand for a specified purpose.
Under our former practice, this transmission of the original record to the lower court was called the remittitur. Reynolds v. Newaygo Circuit Judge (1896), 109 Mich 403. In other jurisdictions, it is sometimes referred to as a procedendo or simply the mandate.
Our General Court Rules of 1963 use the terms “order” and “final process”.
Under whatever name, it is axiomatic that a court speaks through its orders. Appellate courts can, and often do, enter orders directly affecting the rights of the parties. They can and often do enter orders which completely dispose of the litigation, leaving nothing for the trial court to do upon retransmission of the record.
But every final order on appeal unless otherwise expressly provided sets in motion the clerical process of re-transmission to the lower court.
Upon return of the record, the lower court is again vested with jurisdiction over the cause. Department of Conservation v. Connor (1948), 321 Mich 648.
When the mandate of an appellate court is filed in the lower court, that court reacquires the jurisdiction which it lost by the taking of the review proceedings. 5 Am Jur 2d, Appeal and Error, § 990, p 417.
“On remand, the trial court may consider and decide any matters left open by the appellate court and is free to make any order or direction in further progress of the case, not inconsistent with the decision of the appellate court, as to any question not presented or settled by such decision.” 5 Am Jur 2d, Appeal and Error, § 992, pp 419, 420.
Conclusion
After the decision in People v. Kennedy (1968), 9 Mich App 346, jurisdiction reattached in the circuit court for all purposes not inconsistent with the decision of the Court of Appeals.
Second Issue
Whether the circuit court could properly remand the case to the magistrate for further examination where the appellate court had found the examination legally insufficient to support an information charging perjury.
Discussion
In the first appeal — People v. Kennedy (1968), 9 Mich App 346, — the Court of Appeals set aside the judgment of conviction and quashed the information. Upon quashing of the information the criminal prosecution reverted to the pre-information stage. The defendant remained bound over to circuit court upon the magistrate’s return. Mentor v. People (1874), 30 Mich 91; Dimmers v. Hillsdale Circuit Judge (1939), 289 Mich 482. By its decision, the Court of Appeals concluded that the examining magistrate abused his discretion in finding probable cause to bind the defendant over for trial. That conclusion was the law of the case. The circuit court was bound by it.
Upon receipt of the decision of the Court of Appeals quashing the information, Circuit Judge Ziem stood in exactly the same position as did then Circuit Judge Quinn in the case of People v. Miklovich (1965), 375 Mich 536. Both cases were remanded to the magistrate for further examination. In sustaining the action of the circuit court in Miklovich, we said,
“In support of his contention that the circuit court had no jurisdiction to remand to the examining magistrate, defendant argues that since under CL 1948, § 766.13 (Stat Ann 1954 Rev § 28.931) the magistrate must discharge the defendant if he finds that no offense has been committed or that there is not probable cause for charging the defendant therewith, it therefore follows that the circuit court upon a similar finding, under a motion to quash the infor mation, has no authority to order a further examination.
“Defendant’s argument is without merit. The discharge by an examining magistrate upon examination of a person accused of a crime is not a bar to his subsequent arrest, examination, and trial for the same offense because he has not been placed in jeopardy. Jurisdiction, having once vested in the circuit court, was not lost by virtue of the granting of the motion to quash the information. Therefore, the circuit court had authority, upon motion of the prosecutor, to remand to the examining magistrate for further examination.” People v. Miklovich, supra, pp 538, 539.
The decision of- the Court of Appeals vacating the order of the circuit court remanding the cause to the magistrate for further examination is reversed, and this cause is remanded to the circuit court for reinstatement of its order of remand and transmittal to the magistrate for further examination.
Adams, J., concurred with T. E. Brennan, J.
T. M. Kavanagh, C. J., and Black, J., concurred in the result.
T. Gr. Kavanagh, Swainson, and Williams, JJ., did not sit in this case.
9 Mich App 346 (1968).
14 Mich App 360 (1968).
9 Mich App 346 (1968).
GCR 1963, 812.11, 902(3).
GCR 1963, 821.1, 866.
GCR 1963, 821.2, 866. | [
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Per Curiam.
Plaintiff brought this action to obtain declaratory relief, seeking a judicial determination as to whether Eastern Michigan University is a public employer within the meaning of PA 1947, No 336, as amended by PA 1965, No 379, and is sub ject to the jurisdiction of the Labor Mediation Board. Section 15 of the act requires a public employer to bargain collectively with the representatives of its employees and authorizes a public employer to make and enter into collective bargaining agreements with such representatives. MCLA § 423.215 (Stat Ann 1968 Rev § 17.455[15]). The Board had asserted jurisdiction in connection with a petition filed with it by Eastern Michigan University employees for certification of the American Federation of State, County and Municipal Employees (Council 7 and Local 1666) as the exclusive bargaining representative for non-teaching employees at the Physical Plant Department of Eastern Michigan University.
In denying declaratory relief, The Honorable William F. Ager, Jr., Circuit Judge, rendered an opinion in which he stated as follows:
“Article VIII, Sections 5 and 6, provide that the Regents and Central Michigan Board and Eastern Michigan Board ‘shall have general supervision of its institution and the control and direction of all expenditures from the institution’s funds. The Court is of the opinion that Eastern Michigan Board and Central Michigan Board have the same constitutional powers and rights under these provisions as the Regents so far as general supervision of the institutions is concerned and the expenditures from the Institution’s funds.’ [sic.] Article IV, Section 48, provides that ‘The legislature may enact laws providing for the resolution of disputes concerning public employees, except those in the state classified civil service.’
“The Court must determine whether these provisions conflict. The Court must harmonize different sections of the Constitution when possible, and when interpreting one section of the Constitution must assume that the framers of the Constitution when drafting that section had knowledge of the other provisions. In construing the Constitution, one part of that document is not to be allowed to defeat another, if by any reasonable construction the two can be reconciled.
“It is the Court’s opinion that there is no reason that the two provisions of the Constitution cannot stand together. Article VIII, Sections 5 and 6, were not meant to exempt the Regents and Boards from all laws passed by the legislature. It is not an unlimited grant. For instance, it has never been claimed that they would be exempt from the criminal laws when exercising their supervisory powers over the institutions. As the Supreme Court has stated (Branan [sic] case, 5 Mich. App. 132 [sic]) ‘ . . . it (the University) is not an island.’ It is not felt that Article IV, Section 48, would intrude on Regent’s or Boards’ exclusive power to supervise the affairs of their institutions. This section could just as well have excluded employees of the University of Michigan, Eastern Michigan University, or Central Michigan University as those under state classified civil service, if the framers of the Constitution had intended this. It must be remembered that the Act under consideration does not impose an obligation on parties (employer or employee) to agree to any proposal or to require the making of a concession. Neither party is forced under the act to enter into any agreement. The Act mainly deals with the rights of employees. It sets forth procedure for employees to elect exclusive bargaining units to represent them and to meet with employers. Employers must meet with them but are not compelled to agree.” (Footnote added.)
Upon appeal to the Court of Appeals, that court affirmed (18 Mich App 435). We granted leave to appeal (383 Mich 774).
The Question
Is plaintiff a public employer within the meaning of the statute regulating public employees?
Discussion and Decision
The powers and prerogatives of Michigan universities have been jealously guarded not only by the boards of those universities but by this Court in a series of opinions running as far back as 1856. See, The People ex rel. Drake v. The Regents of the University of Michigan (1856), 4 Mich 98; The People v. The Regents of the University (1869), 18 Mich 469; The People, ex rel. Attorney General v. The Regents of the University (1874), 30 Mich 473; Weinberg v. The Regents of the University of Michigan (1893), 97 Mich 246; Sterling v. Regents of the University of Michigan (1896), 110 Mich 369; Board of Regents of the University of Michigan v. Auditor General (1911), 167 Mich 444; Agler v. Michigan Agricultural College (1914), 181 Mich 559; People, for use of Regents of the University of Michigan, v. Brooks (1923), 224 Mich 45; and State Board of Agriculture v. Auditor General (1924), 226 Mich 417.
The above cases reflect the holdings of this Court that a constitutional corporation, such as plaintiff, has “the entire control and management of its [the University’s] affairs and property.” Weinberg v. The Regents of the University of Michigan, supra. In the main, they deal with situations where the legislature attempted to impose its will upon the internal operations of a university.
Art 4, § 48 of the Michigan Constitution of 1963 reads:
“The legislature may enact laws providing for the resolution of disputes concerning public employees, except those in the state classified civil service.”
The Address to the People accompanying this section provides:
“This is a revision of Sec. 7, Article XVI, of the present [1908] constitution to make it clear that the legislature has power to establish procedures for settling disputes in public employment. The section does not specify what the procedure shall be, but leaves that decision to future legislatures. The state classified civil service is exempted because the constitution has specific provisions in this area.” Official Eecord, Constitutional Convention of 1961, Vol II, p 3377.
Art 8, § 6 of the Michigan Constitution of 1963 provides:
“Other institutions of higher education established by law having authority to grant baccalaureate degrees shall each be governed by a board of control which shall be a body corporate. The board shall have general supervision of the institution and the control and direction of all expenditures from the institution’s funds.”
Here we find no plenary grant of powers which, by any stretch of the imagination, would take plaintiff’s operations outside of the area of public employmént. “Public employment” is clearly intended to apply to employment or service in all governmental activity, whether carried on by the state or by townships, cities, counties, commissions, boards or other governmental instrumentalities. It is the entire public sector of employment as distinguished from private employment. The public policy of this state as to labor relations in public employment is for legislative determination. The sole exception to the exercise of legislative power is the state classified civil service, the scheme for which is spelled out in detail in Article 11 of the Constitution of 1963. We con- elude that the autonomy sought by plaintiff in the area of labor relations is unnecessary for it to maintain “the entire control and management of its affairs and property.”
Since we find no conflict in the provisions of the Constitution of 1963, it is unnecessary to determine whether the legislature could have enacted PA 1947, No 336, as amended by PA 1965, No 379, as an exercise of the police power. See Branum v. Board of Regents of University of Michigan (1966), 5 Mich App 134.
The circuit court and the Court of Appeals are affirmed. No costs, a public question being involved.
T. M. Kavanagh, C. J., and Adams, T. E. Brennan, T. G-. Kavanagh, Swainson, and Williams, JJ., concurred.
Black, J., concurred in the result.
Branum v. Board of Regents of University of Michigan (1966), 5 Mich App 134, | [
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Fitzgerald, J.
Defendants appeal from a judgment of the Court of Appeals which reversed a decision of the Workmen’s Compensation Appeal Board. 67 Mich App 279; 240 NW2d 773 (1976). The dispute involves two issues:
1. Whether plaintiffs injury arose out of and in the course of his employment with defendant.
2. Whether an agricultural worker is entitled to weekly benefits for a work-related injury sustained prior to our decision in Gallegos v Glaser Crandell Co, 388 Mich 654; 202 NW2d 786 (1972), which held that the agricultural exclusion in the Worker’s Disability Compensation Act of 1969, 1969 PA 317, § 115(d); MCLA 418.115(d); MSA 17.237(115)(d), was in violation of the equal protection clauses of the Michigan and United States Constitutions.
The Court of Appeals decided these issues in the affirmative. We affirm.
Plaintiff drove a truck for defendant Lloyd Hammond Produce Farms, delivering produce to cities in southern Michigan and Indiana. His weekly wage of $84.40 consisted of piecework and hourly earnings. On March 1, 1972, plaintiff had driven his employer’s truck to Battle Creek, Kalamazoo, Jackson, and Detroit delivering potatoes. After making his last delivery in Detroit at 5 or 5:30 in the afternoon, plaintiff began his return trip on I-96 to defendant’s farm in East Lansing. Plaintiff turned north on M-52 from 1-96. On M-52, plaintiff’s truck skidded on a patch of ice and rolled over, causing personal injuries to plaintiff.
A hearing was held in March 1973, and the referee awarded wage benefits of $56.53 per week from March 2, 1972 to May 4, 1972 and medical expenses. The Workmen’s Compensation Appeal Board, in a three-to-two decision, reversed on the award of wage benefits, deciding against retroactive application of Gallegos v Glaser Crandell Co, supra. However, the board unanimously agreed that plaintiff’s injuries arose out of and in the course of his employment and affirmed the award of medical expenses. Defendant Lloyd Hammond Produce Farms had the agricultural medical coverage required by MCLA 418.115(e); MSA 17.237(115)(e). The Court of Appeals affirmed the award of medical expenses and reinstated the referee’s award of weekly wage benefits.
I
Defendants argue that the injuries sustained by plaintiff did not arise out of and in the course of his employment and, therefore, are not in any way compensable. It is clear from the record that on plaintiff’s return trip from Detroit to his employ er’s farm in East Lansing on March 1, 1972, he turned north on M-52 from 1-96 for the purpose of stopping by his sister’s home, where he had been staying, to tell her that he would be home that night and to inform his brother-in-law that he would need a ride home from the farm. Plaintiffs sister lived near the intersection of M-52 and M-78, and plaintiff intended to proceed southwest on M-78 to his employer’s farm in East Lansing after he had made arrangements for a ride home from work. However, the accident happened on M-52 before plaintiff reached his sister’s house. Ordinarily, plaintiff would have continued on 1-96 past M-52 on a trip from Detroit to his employer’s farm. The route taken by plaintiff on the day of the accident would have added about ten miles to the total trip, and defendants claim that this deviation was such a departure from his employment as to be a bar to plaintiffs workmen’s compensation claim.
In Thomas v Certified Refrigeration, Inc, 392 Mich 623; 221 NW2d 378 (1974), this Court overruled the holding of Conklin v Industrial Transport, Inc, 312 Mich 250; 20 NW2d 179 (1945), that even a slight deviation to carry out a personal mission would preclude compensation. In Thomas this Court found that a workman’s injury arose out of and in the course of his employment where plaintiff was involved in an automobile accident in his employer’s truck, which he was permitted to keep at home overnight, while deviating from his normal route to work to take his daughter to school. After reviewing Nemeth v Michigan Building Components, 390 Mich 734; 213 NW2d 144 (1973); Burchett v Delton-Kellogg School, 378 Mich 231; 144 NW2d 337 (1966); and Howard v Detroit, 377 Mich 102; 139 NW2d 677 (1966), the Thomas Court said:
"We do not suggest that every authorized use of a company-owned vehicle or deviation from a business route will fall within this triad of cases. An authorized but totally private excursion such as using the company vehicle for weekend personal errands certainly is not covered because such trips lack a dual purpose required by Burchett or a 'sufficient nexus between the employment and the injury’ required by Nemeth. If a personal business detour is so great that the deviation dwarfs the business portion of the trip, it no longer can be said that it is 'a circumstance of [the] employment’ as required by Howard. This Court will not attempt to fix any formula, but in any case the nature of the deviation must be balanced against the clarity of authorization and effect of the activity on the employment relationship or the interests of the employer.” 392 Mich 623, 634-635.
In the instant case, the Workmen’s Compensation Appeal Board correctly found that plaintiffs alternative route on the day of his injuries constituted a "slight deviation”. Also, plaintiff testified that his sister’s telephone was temporarily out of order and that the only way to tell her of his whereabouts and to make arrangements for a ride home from work was to see her personally. On the previous evening plaintiff had worked too late to get a ride home and had to spend the night in his employer’s truck. In view of these circumstances, there was a sufficient nexus between plaintiffs employment and his injuries to warrant compensation.
Defendants argue that Thomas is not applicable in the instant case since there is no evidence that plaintiffs employer authorized plaintiffs deviation for personal business. Thomas avoided ruling on the "further issue whether injury is compensable which occurs off the employer’s premises during a personal activity unapproved by the employer but where the activity is reasonably incidental to the employment relationship”. 392 Mich 623, 636. However, there is no indication that plaintiffs employer ever gave any instructions as to what route he was to follow in making his deliveries. Thus, while plaintiffs deviation may not have been expressly authorized, it was certainly not beyond the contemplation of his employer in view of the amount of driving plaintiff did for his employer and the factual basis which necessitated plaintiffs slightly longer alternative route.
In Thomas, this Court suggested the extension of the rule in Crilly v Ballou, 353 Mich 303; 91 NW2d 493 (1958), from its factory locale to vehicle cases. Crilly involved the issue of whether injuries resulting from horseplay at the job site arose out of and in the course of employment. In reaching his conclusion that such deviation from regular employment was part of the work environment, and thus, that resulting injuries were compensable, Justice Talbot Smith in Crilly quoted from Secor v Penn Service Garage, 19 NJ 315; 117 A2d 12 (1955), as follows:
" 'An employee is not an automaton, and, even when he is highly efficient, he will to some extent deviate from the uninterrupted performance of his work. Such deviation, if it be considered minor in the light of the particular time, place and circumstance, is realistically viewed by the employer and the employee as a normal incidence of the employment relation and ought not in this day be viewed as legally breaching the course thereof. Fulfillment of the high purposes of our socially important and ever broadening workmen’s compensation act suggests this approach and nothing in the statutory terms dictates any narrower position.’ ” 353 Mich 303, 314.
In view of the foregoing, we affirm the holding of the Court of Appeals that plaintiffs injury arose out of and in the course of his employment with defendant.
II
Defendants challenge the award of wage benefits to plaintiff on the basis of MCLA 418.115(d); MSA 17.237(115)(d). Defendants maintain that since plaintiff’s accident preceded this Court’s holding in Gallegos v Glaser Crandell Co, supra, that decision is not applicable to the instant case. Gallegos held that MCLA 418.115(d); MSA 17.237(115)(d) was unconstitutional because it excluded certain agricultural employees from the coverage of the Michigan Worker’s Disability Compensation Act of 1969, thus denying them equal protection of the laws. The Workmen’s Compensation Appeal Board agreed with defendants’ argument and gave Gallegos prospective application. Plaintiff urges that Gallegos be given retroactive application, arguing that the statutory exclusion was void ab initio. The Court of Appeals consciously avoided the application of the void ab initio theory to the agricultural exclusion, but found that the Workmen’s Compensation Appeal Board’s application of the exclusion violated plaintiffs right to equal protection and reversed the board’s denial of wage benefits.
It is a general rule of statutory interpretation that an unconstitutional statute is void ab initio. This principle is stated in 16 Am Jur 2d, Constitutional Law, § 177, pp 402-403, as follows:
"The general rule is that an unconstitutional statute, though having the form and name of law, is in reality no law, but is wholly void, and ineffective for any purpose; since unconstitutionality dates from the time of its enactment, and not merely from the date of the decision so branding it, an unconstitutional law, in legal contemplation, is as inoperative as if it had never been passed.”
That this rule has been consistently followed in Michigan there can be no doubt. See Adsit v Secretary of State, 84 Mich 420; 48 NW 31 (1891); Michigan Sugar Co v Auditor General, 124 Mich 674; 83 NW 625 (1900); Briggs v Campbell, Wyant & Cannon Foundry Co, 379 Mich 160; 150 NW2d 752 (1967); People v Carey, 382 Mich 285; 170 NW2d 145 (1969) (opinion of T. M. Kavanagh, J.); and Horrigan v Klock, 27 Mich App 107; 183 NW2d 386 (1970).
Briggs v Campbell, Wyant & Cannon Foundry Co, supra, involved the question of whether an amendatory state statute could apply retroactively in order to cure defects of a statute previously declared unconstitutional. In discussing this issue, the Briggs Court held that the prior unconstitutional statute was void from the date of its passage and, therefore, could not be cured retroactively by a subsequent statutory amendment, unless the contrary clearly appeared from the context of the statute itself.
In Horrigan v Klock, supra, the Court of Appeals followed the rule that an unconstitutional statute is void ab initio, which was reaffirmed in Briggs, in holding that Maki v East Tawas, 18 Mich App 109; 170 NW2d 530 (1969), aff'd 385 Mich 151; 188 NW2d 593 (1971), which declared a state statute to be unconstitutional, was "fully retroactive”. See Pittman v Taylor, 398 Mich 41, 46; 247 NW2d 512 (1976).
Defendants claim that Williams v Detroit, 364 Mich 231; 111 NW2d 1 (1961), and Parker v Port Huron Hospital, 361 Mich 1; 105 NW2d 1 (1960), support their argument that Gallegos should be applied prospectively. However, these two cases are clearly distinguishable from Gallegos in that they involve the overruling of established common-law doctrines rather than the constitutional declaration with respect to the validity of a statute. The prospective-retroactive issue is relevant in situations where a previously valid common-law doctrine or prior judicial rule of constitutional interpretation is being abandoned. Such situations are analogous to the amendment or repeal of existing statutes by the Legislature. However, in the instant case we are concerned with the question of whether an unconstitutional statute is to be given any effect, and thus, Williams and Parker are inapposite.
Defendants rely on Lemon v Kurtzman, 411 US 192; 93 S Ct 1463; 36 L Ed 2d 151 (1973), for the proposition that an unconstitutional statute is not necessarily void ab initio. Lemon involved the question whether the State of Pennsylvania was permitted to reimburse nonpublic sectarian schools for services rendered after a statute was enacted authorizing such reimbursement but before the statute was declared unconstitutional. In Lemon, Chief Justice Burger observed that "statutory or even judge-made rules of law are hard facts on which people must rely in making decisions and in shaping their conduct”. 411 US 192, 199.
Defendants argue that in view of the Lemon decision, policy considerations dictate the prospective application of Gallegos. It is defendants’ contention that the retroactive application of Gallegos would place a substantial financial burden upon small farmers and insurance companies who had justifiably relied upon the agricultural exclusion contained in MCLA 418.115(d); MSA 17.237(115)(d), thereby resulting in a denial of due process to these groups.
We are not unmindful that certain factual circumstances might warrant the retroactive application of an unconstitutional statute. In Dearborn Fire Fighters Union Local No 412, IAFF v Dearborn, 394 Mich 229; 231 NW2d 226 (1975), Justice Levin, citing Lemon v Kurtzman, supra, wrote that "[d]ecisions holding legislative acts unconstitutional have, on occasion, been given limited retroactivity in recognition of the necessities of governmental administration”. 394 Mich 229, 271. (Emphasis supplied.) Dearborn Fire Fighters involved a constitutional challenge of the validity of 1969 PA 312; MCLA 423.231 et seq.; MSA 17.455(31) et seq., which provides for compulsory arbitration of police and fire department labor disputes. In an opinion joined by Chief Justice T. G. Kavanagh, Justice Levin wrote:
"In addition to the almost insurmountable administrative, political, and judicial problems that would be created by any attempt to unravel and renegotiate the 'contracts’ imposed by police and fire department arbitration panels, application of this decision retroactively would cause hardship on employees and employers and would not be constructive. Michigan labor organizations, their members and municipalities have justifiably relied on a presumptively valid statute.” 394 Mich 229, 271-272.
However, in the instant case, considerations of justice and practicality do not warrant the limited effect of the prospective application of Gallegos. Indeed, it would be patently unfair to deny plaintiff weekly benefits for injuries sustained in an accident occurring prior to the time the statutory exclusion was declared unconstitutional, but subsequent to the time the Gallegos plaintiffs were injured. In Gallegos, it was said that "There is no basis for distinguishing the work of a laborer who drives a truck at a factory from a laborer who drives one on the farm * * * ”, 388 Mich 654, 667. It seems clear that a denial of weekly benefits to plaintiff in the instant case would be no less a denial of equal protection of the laws than it was to the Gallegos plaintiffs and could find support neither in logic nor justice. Therefore, we hold that the agricultural exclusion contained in MCLA 418.115(d); MSA 17.237(115)(d), which was declared unconstitutional in Gallegos, was void from the date of its enactment.
The decision of the Court of Appeals is affirmed, with costs to plaintiff.
Kavanagh, C. J., and Williams, Levin, Ryan, and Blair Moody, Jr., JJ., concurred with Fitzgerald, J.
Coleman, J.
(to reverse). It is agreed that plaintiff’s injury arose out of and in the course of his employment. It occurred prior to this Court’s ruling unconstitutional those portions of the Workmen’s Compensation Act of 1969 which excepted piecework employees and those not employed 35 hours a week for 13 consecutive weeks.
The core question of the retroactivity of Gallegos v Glaser Crandell Co, 388 Mich 654; 202 NW2d 786 (1972), is admittedly close. The majority’s concern for Mr. Stanton is appreciated and shared.
However, the consequences reach farther than Mr. Stanton. Precedent is likely to remain in Michigan jurisprudence at least long enough for further interpretation in the light of different or similar facts, and therein lies the problem.
What is mandatory today may be forbidden tomorrow by judicial fiat.
Legal history assures us that our law is not static. It is a living reflection of changing societal expectations. Historically, the law evolved through the application of fundamental concepts to a changing world.
In a comparatively recent and unusually intense surge of judicial activism, we have seen emerge changing attitudes regarding the role of the judiciary in our governmental scheme. The increased judicial activism, perhaps unavoidably, often reflects value judgments or impatience with the other branches of government.
Consequently, greater numbers of statutes and rules of common law, which for years may have been accepted and followed by all concerned, have been declared unconstitutional. Also, newly perceived "rights” have led to continuous reassessments of old law and practices to the end that trial judges and others concerned with the administration of justice as well as the lay citizen can place little reliance upon the stability of our laws.
The purpose of this assessment is not to declare rapid movement of the law either good or bad, but to pose a problem to be solved.
This case illustrates the dilemma which arises when a citizen, individually or corporately, relies upon a statute valid on its face — only later to have the statute declared unconstitutional to the citizen’s financial (or personal) disadvantage.
Does the citizen’s (and his attorney’s) reliance upon a law later declared to be unconstitutional deny him due process of law or fundamental fairness by reaching back in time and taking his property through judicial action in which he had no part or notice? On the other hand, is one who is injured before a court’s decision of unconstitutionality, but who brings his case after that decision, to be denied the benefits of the ruling? Would he be denied equal protection of the law? So far as what is "right” and what is "wrong”, a dilemma is presented.
Also, a trial judge (or administrative agency) is mandated to follow the law. Precedent set by this Court binds the lower courts (and agencies). The judge correctly applies the law on day A, but the law is eradicated on day X. How can we surmount the resultant snowballing problems?
I
Plaintiff, a piecework and hourly employee of defendant farmer, was injured in a one-car accident on March 1, 1972. In March, 1973, a referee awarded medical expenses and wage benefits of $56.53 per week for the period of March 2 to May 4, 1972. The Workmen’s Compensation Appeal Board affirmed the referee’s granting of medical expenses (defendant farmer carried agricultural medical coverage ) but reversed the award of wage benefits, saying that Gallegos, decided December 21, 1972, applied to Mr. Gallegos and all similar persons injured after the date of decision. The Court of Appeals affirmed WCAB’s award of medi cal expenses and reinstated the referee’s award of weekly wage benefits.
II
Justice Fitzgerald states:
"It is a general rule of statutory interpretation that an unconstitutional statute is void ab initio”, and
"That this rule has been consistently followed in Michigan there can be no doubt.”
I submit that the "general rule” is not today strictly applied nor has the rule "been consistently followed in Michigan” (e.g., People v Fields [On Rehearing], 391 Mich 206; 216 NW2d 51 [1974]).
It is agreed that as a matter of pure logic, if we find a statute to be unconstitutional we find that it is void and therefore "never was” (even if it had been followed for 50 or more years).
However, for reasons expressed in the "prologue” to this opinion — and for many other reasons — the Justice’s later observation is more realistic:
"We are not unmindful that certain factual circumstances might warrant the retroactive application of an unconstitutional statute.”
In Lemon v Kurtzman, 411 US 192; 93 S Ct 1463; 36 L Ed 2d 151 (1973), the Supreme Court had to decide if nonpublic schools should be reimbursed for services provided under a statute which the Court later declared unconstitutional. The Court had previously "approved nonretroactive relief in civil litigation” including cases where it was asked to "reach back to disturb or attach legal consequences to patterns of conduct premised * * * on unlawful statutes”.
It is difficult to reconcile "the constitutional interests reflected in a new rule of law with reliance interests founded upon the old”. The Court said it had abandoned the void ab initio theory because "statutory or even judge-made rules of law are hard facts on which people must rely in making decisions and in shaping their conduct”.
The Court said Lemon concerned "the appropriate scope of federal equitable remedies”. In such cases "reliance interests weigh heavily”. The first Lemon decision was not clearly predictable. It could not be said that the schools "acted in bad faith or that they relied on a plainly unlawful statute”. The Court’s review was made "in light of the general principle that, absent contrary direction, state officials and those with whom they deal are entitled to rely on a presumptively valid state statute enacted in good faith and by no means plainly unlawful”.
Ill
How does this apply to Hammond Produce Farms? Legislative history and court decisions indicate that our decision in Gallegos was not clearly predictable. The statute was not plainly unlawful.
1912 (1st Ex Sess) PA 10 was Michigan’s first legislation "providing for compensation of workmen for industrial injuries upon the basis of trade risks relating to the industry”. Mackin v DetroitTimkin Axle Co, 187 Mich 8; 153 NW 49 (1915). Part 1, § 1 limited the defenses an employer could use when sued by an employee for work-related injuries. Part 1, § 2 said the provisions "shall not apply to actions to recover damages for personal injuries sustained by household domestic servants or farm laborers”. Mackin said this was not "class legislation” and did not deprive farm laborers "of equal protection under the law”.
The employee in Shafer v Parke, Davis & Co, 192 Mich 577; 159 NW 304 (1916), worked on a farm owned by the company. He was kicked by a horse. In awarding compensation, the Industrial Accident Board said the company "should not be classified as a farmer, inasmuch as the use of the land was but incidental to its principal occupation as a manufacturer”. In reversing, the Court said the statute "does not classify the employee by the ordinary business of his employer, but by the kind of work he, himself, is employed to do”. Similar are Bates v Shaffer, 216 Mich 689; 185 NW 779 (1921), and Harper v Lowe, 272 Mich 331; 262 NW 260 (1935). The Court tacitly approved the agricuh tural exception.
The defendant in Roush v Heffelbower, 225 Mich 664; 196 NW 185 (1923), owned "a cornhusker which he used on his own farm and on the farms of neighbors”. He "employed the plaintiff to go with him from farm to farm and. assist in its operation”. The plaintiffs right arm was caught in the husker and had to be amputated. The plaintiff sued; the defendant won a judgment. The Court said "there is a reasonable and substantial distinction” between employment conditions for farm workers and industrial workers.
In Carroll v General Necessities Corp, 233 Mich 541; 207 NW 831 (1926), the company used horses in the summer and stabled them on a farm in the winter. It did not own or have any interest in the farm.
The injured worker had been "transferred to the barn in question solely to look after defendant’s horses”. He "did not work on the farm or have anything whatever to do with it”. He was injured by a horse and was awarded compensation over the corporation’s objection that the worker was a farm laborer.
In affirming, the Court distinguished other cases where employees were "engaged in some form of work upon a farm which was necessary to be done for its general operation”. In Carroll, "the defendant was not engaged in farming”. The plaintiff’s work did not necessarily make him a farm laborer.
1943 PA 245 amended the workmen’s compensation act to make "every employer * * * and every employe, unless herein otherwise specifically provided * * * subject to the provisions of this act”. Section 2a said the act "shall not apply * * * to casual employes or domestic servants or farm laborers”.
In Hammons v Franzblau, 331 Mich 572; 50 NW2d 161 (1951), the plaintiff was employed to pick and crate apples. He suffered a leg injury and sought compensation. The compensation commission said the plaintiff was a farm laborer. The Court agreed saying that "[s]ince the picking of apples constitutes the harvesting of a crop produced from the soil, it is farm labor in the ordinary sense of the word”.
1965 PA 44 amended part 1, § 2a. It applied the act to "[a]ll agricultural employers of 3 or more regular employees paid hourly wages or salaries who are employed 35 or more hours per week for a period of 13 or more weeks during the preceding 52 weeks”. A new section defined an agricultural employer in part "as one who hires a person performing services * * * [i]n * * * delivering to storage or to market * * * any agricultural or horticultural commodity; but only if such service is performed as an incident to ordinary farming operations”. 1966 PA 27 amended part 1, § 2a to make clear that farm workers "paid on a piecework basis” were not covered.
The latter language was tested in Gallegos v Glaser Crandell Co, 34 Mich App 489, 497; 192 NW2d 52 (1971). The plaintiffs were injured while harvesting pickles. They were paid on a piecework basis. They claimed the distinction between salaried farm workers and piece-work farm laborers denied them equal protection of the laws.
The Court of Appeals noted that our Court had upheld legislative classifications in Gauthier v Campbell, Wyant & Cannon Foundry Co, 360 Mich 510; 104 NW2d 182 (1960), and Wolodzko v Wayne Circuit Judge, 382 Mich 528; 170 NW2d 9 (1969). The panel could not say "that the legislative decision to amend the act so as to include certain farm laborers while continuing to exclude others was arbitrary or totally without reason”. The panel felt "it would be a usurpation of legislative powers if we were to interfere without clear authority for doing so”.
Our Court reversed at 388 Mich 654; 202 NW2d 786 (1972). The majority could find "no basis for distinguishing * * * any one of numerous * * * labor activities 'on the farm’ * * * from the same activity in industry, wholesaling, retailing, or building”. The majority was troubled by the "special treatment and classification of their employees” accorded agricultural employers. They felt this was "impermissible, clearly discriminatory and has no rational basis”.
The three members of WCAB who said Gallegos was not retroactive recognized "the administrative problems involved in enforcing liability against a class (Michigan farm employers) who had placed substantial reliance on legislative enactments that precluded their purchase of workmen’s compensation insurance”. Making Gallegos retroactive "would surely give rise to a question of due process”.
The dissenters said it "is a fundamental principle that an unconstitutional statute is void ab initioSuch legislation "can neither create nor deprive anyone of any legal rights; and reliance, detrimental or otherwise, upon the provisions * * * can have no saving grace”. The dissenters reviewed cases where we declared statutes void ab initio and said they "readily explain the Court’s silence with regard to that issue in Gallegos”
The Court of Appeals sidestepped the issue saying the "void ab initio theory * * * is an [oversimplification] that we need not apply here”. It "disregards the importance that changing factual contexts play in constitutional adjudication”.
The panel held that applying the statute "to an employee in plaintiff’s position violates his rights to equal protection”.
We have. a predicament. The defendant employer relied on a statute which was not clearly invalid. It could justifiably have relied on our previous decisions. It could not predict that we would reverse our prior position and void the statute. Based upon the statute and judicial precedent, any lawyer consulted would have had ample reason to advise a farmer that a piecework or part time employee did not require workmen’s compensation. The small farmer could be placed in dire financial straits by retroactive application of Gallegos. Because in workmen’s compensation there is no effective statute of limitations (this was a 1967 injury), similarly uninsured farmers could find themselves personally liable years from now.
However, the plaintiff belongs to a class which we have said in this case would be denied equal protection of the laws if the statute was enforced. He properly presented his claim. It was adjudicated after Gallegos. Justice Fitzgerald says it "would be patently unfair” to deny him benefits.
The competing interests are quite evenly weighted if we look only to this case. (We do not know how many others will be affected.)
I would find that defendant’s reliance upon the statute and caselaw was justified. Plaintiff knew or should have known that by law he was not covered by workmen’s compensation at the time of the injury. Plaintiff’s attorney suggests that the Legislature assist the small farmers who relied to their detriment on § 115(d) of the statute. This is not a solution upon which the Court can rely.
The solution lies at our doorstep. I would use it to bring some orderliness and dependability in the legislative and judicial roles which fall upon statutes as a result of our system of checks and balances.
Facts will dictate different dispositions, but when feasible, as here, I would urge applicability of an opinion to the case decided and all like causes arising thereafter. All then are on notice and can be expected to abide by the decision.
In any case, the Court should hereafter carefully consider the possible retroactivity of each suitable decision and plainly state the determined application.
I would reverse the Court of Appeals and affirm the WCAB.
1969 PA 317, MCLA 418.115(d); MSA 17.237(115)(d):
“All agricultural employers of 3 or more regular employees paid hourly wages or salaries, and not paid on a piecework basis, who are employed 35 or more hours per week by that same employer for 13 or more consecutive weeks during the preceding 52 weeks. Coverage shall apply only to such regularly employed employees. The average weekly wage for such an employee shall be deemed to be the weeks worked in agricultural employment divided into the total wages which the employee has earned from all agricultural occupations during the 12 calendar months immediately preceding the injury, and no other definition pertaining to average weekly wage shall be applicable.”
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Fitzgerald, J.
The narrow issue before this Court is whether the City of Detroit’s published notice of intent to issue bonds for stadium development meets the requirements set by statute. This case does not concern the merits of such stadium development.
Defendant City of Detroit appeals directly, pursuant to our grant of by-pass, from the trial court’s summary judgment enjoining the defendant from issuing general obligation bonds for "Civic Center —Riverfront Stadium Development”. At issue is the trial court’s holding that the November 3, 1976 published notice of intent to issue such bonds was deficient in light of Alan v Wayne County, 388 Mich 210; 200 NW2d 628 (1972). We are of the opinion that the trial court erred in granting such relief and therefore it is reversed. The notice of intent as published met all applicable statutory and case-law requirements.
The contested bond issue seeks to finance in part a proposed 20,000-seat sports facility to be located on the Detroit River near Cobo Hall in downtown Detroit. The total cost of the project has been variously estimated at 20-25 million dollars. Five million dollars of the total cost was to be obtained from a Federal grant under the Public Works Employment Act of 1976, Pub L 94-369, 42 USC 6701 et seq. Another $5,865,000 was to be paid directly by the City of Detroit. This money was transferred from the Civic Center Plaza appropriation to an appropriation for a new riverfront arena by a resolution passed by the Detroit City Council on October 27, 1976.
On October 27, 1976, the Detroit City Council also passed a resolution authorizing the issuance and sale of $7,795,000 in General Public Improvement Bonds, Series 77-A, which was subsequently approved by the Mayor on November 1, 1976. Of this $7,795,000, $1,500,000 was designated for "Civic Center — Riverfront Stadium Development” for the purpose of securing funds for architectural plans and specifications.
On November 3, 1976, the City of Detroit, pursuant to MCLA 117.5(g); MSA 5.2084(g), published notice of intent to issue bonds in a one-quarter page advertisement in the Detroit Free Press, at page 11C, "Business Finance Section”. See Appendix. The notice stated that these bonds were subject to a referendum petition during a 45-day period between the notice date of November 3, 1976 and December 18, 1976.
After the 45-day period for a referendum petition had passed, the City of Detroit applied to the Municipal Finance Commission for approval of the issue of the bonds. On February 15, 1977, the Municipal Finance Commission issued an order of approval allowing the City of Detroit to issue the total bond package, including the $1,500,000 for Civic Center — Riverfront Stadium Development. The bonds were to have been sold on March 30, 1977, but plaintiff filed a suit on March 14, 1977, in Wayne Circuit Court seeking an injunction.
After this Court denied the Governor’s request, sent pursuant to GCR 1963, 797, for an early determination as to whether the notice published was sufficient, the trial court, on March 28, 1977, granted the requested injunction and denied defense motions for accelerated and summary judgment. On April 1, 1977, this Court granted defendant’s motion for immediate consideration and ap plication for leave to appeal prior to decision of the Court of Appeals.
I
Defendant contends, and we agree, that this is not an Alan case. The published notice at issue in Alan was found misleading in that it did not indicate: (1) that the full faith and credit of the county was behind the bonds; (2) any interest rate or period of time over which the bonds would mature; (3) that the taxpayers had a right of referendum in relation to the proposed bond issue. Here, the notice of intent cannot compare with the patently defective notice of Alan. This defendant’s quarter-page notice unmistakably stated that the bonds would be secured by the city’s unlimited taxing power, that they would mature over a period not to exceed 16 years, and that they would bear interest at a rate not to exceed ten percent. The notice gave specific detail regarding the taxpayer’s right of referendum and indicated that additional information would be made available by the city clerk or finance director upon request.
At issue in this case is whether defendant has met the requirements provided by statute in publishing its notice of intent to issue bonds. It should be noted that in Alan this Court was concerned with the applicability of a different statute, namely, the Revenue Bond Act, MCLA 141.101 et seq.; MSA 5.2731 et seq. The statute at issue in the instant case is the home rule cities act, MCLA 117.1 et seq.; MSA 5.2071 et seq. The pertinent section of the home rule cities act, MCLA 117.5(g); MSA 5.2084(g), requires, inter alia, that "[t]he notice of intent to issue bonds shall state the maximum amount of the bond issue, purpose thereof, source of payment, right of referendum thereon, and such other information as the legislative body shall determine to be necessary to adequately inform the electors and all other interested persons of the nature of the issue and their rights with respect thereto”. We are persuaded that defendant satisfied the statutory requirements with the notice of intent published on November 3, 1976. Defendant’s notice of intent to issue bonds stated the maximum amount of the bond issue, the various purposes of the bond issue, its source of payment, the right of the taxpayers to a referendum, and other information in relation to the nature of the issue, including the maximum interest rate and period of maturation.
Plaintiff contends that defendant’s notice of intent to issue bonds is defective because it did not adequately inform the taxpayers of the City of Detroit of the nature of the project which is the subject matter of the notice. However, the applicable statute merely requires that the notice of intent to issue bonds state the "purpose thereof’ rather than describe the proposed project with great specificity. Defendant’s notice of intent did in general terms state just what the purpose of the bonds in question was, namely, "Civic Center— Riverfront Stadium Development”. It is our opinion that defendant’s notice of intent in the instant case met all the requirements of the statute, including an adequate statement of the "purpose thereof * * * and such other information as * * * to adequately inform the electors and all other interested persons of the nature of the issue and of their rights with respect thereto”.
Another factor to be weighed in assessing the specificity with which the purpose of the bond issue was stated is that here the proposed public improvement bond issue had many purposes. The defendant’s notice did specify that of the proposed total proceeds, $325,000 was allocated for improvements to the Art Institute, $350,000 for historical purposes, $3,225,000 for recreational-capital improvement purposes, $1,395,000 for environmental protection and maintenance, $1,000,000 for Washington Boulevard-Woodward Avenue community and economic development, and $1,500,000 towards development of a civic center — riverfront stadium. Requiring further particularization in the case of this multi-purpose general public improvement bond issue raises the danger that newspaper publication of a prospectus, rather than reasonable notice, would be required. Some flexibility must be left to the issuing authority as to the disposition of the bond proceeds. Too much detail in the notice of intent could deny to the issuing authority the requisite flexibility, would not appreciably aid taxpayers in determining whether to petition for a referendum on the financing of a given endeavor through bonding, and thus could well be self-defeating.
II
We believe that the trial court erred in finding that Alan required in this case notice of some indication of the total contemplated project cost. This Court in Alan did quite correctly find a stated debt of $126,000,000 to be misleading, when the notice spoke in terms of "acquiring, constructing, furnishing and equipping a new stadium,” and the notice said nothing concerning the interest rate nor of the period over which the bonds would mature. These factors would have pushed the potential cost to as high as $371,000,000. Since Alan was a case of financing the total project by one bond issue, the failure in Alan to specify the total project cost amounted to a failure to disclose sufficient facts regarding the nature of the bond issue. However, in the instant case the notice stated the maximum interest rate of the bonds and their maximum period of maturation, and thus provided concerned taxpayers with sufficient information to determine the maximum cost of the bonds.
We are not presented with a situation in which the total project was to be financed by a single bond issue. The City of Detroit may have financed the balance of the project by some means not involving the issuance of bonds. Indeed, there is nothing before us to indicate that defendant would not have had the option of financing actual construction through Federal grants, general fund appropriations or by a combination of both had it decided to go through with the project once the architectural plans and specifications were completed. To be sure, if the city did decide to finance actual construction in whole or in part through additional bonds, notice would again be required.
Accordingly, we hold that it was sufficient for defendant to state the maximum cost of the bond issue in question, rather than make uncertain estimates of the ultimate cost of the project as plaintiff urges.
Ill
We are of the opinion that the trial court’s holding that the notice of intent was misleading because it referred to a stadium rather than an arena was clearly erroneous. Dictionary and encyclopedia definitions aside, facilities designed to house indoor sporting events are commonly referred to as stadiums. The Olympia Stadium is presently the home of the National Hockey League’s Detroit Red Wings, while the NHL Chicago Black- hawks and the National Basketball Association’s Chicago Bulls play their home games in the facility known as Chicago Stadium. Furthermore, had defendant referred to the development of a civic center arena, there could well have been confusion as to whether bond proceeds would be used towards further development of the already existing 11,000-seat civic center facility known as Cobo "Arena”.
IV
The trial court held the notice of intent to be defective because it had not been approved by the Municipal Finance Commission prior to publication. Although there is language in Alan, supra, 388 Mich 210, 353, to the effect that "proper notice cannot reasonably be accomplished until after the terms of the issue have been approved by the Municipal Finance Commission”, this observation relative to Alan should not control the results of this case. MCLA 117.5(g), supra, requires that the legislative body, rather than the commission, determine the contents of the notice of intent. Furthermore, before the commission approves the issue, it must "determine that the proposed bonds comply with the provisions of this [municipal finance] act and other provisions of law”. MCLA 135.7; MSA 5.3188(27). Until the notice of intent is published and the referendum period has run, the commission cannot make the determination mandated by the law.
For the foregoing reasons, the judgment of the trial court is reversed, and the cause is remanded with direction to grant the defendant City of Detroit’s motion for summary judgment. No costs, this being a public question.
Kavanagh, C. J., and Coleman and Ryán, JJ., concurred with Fitzgerald, J.
Levin, J., took no part in the decision of this case.
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Kavanagh, J.
We granted leave to appeal to consider whether the intentional burning of a home by one spouse will bar recovery under a statutory fire insurance policy where the policy names both spouses as "the insured”. We hold in this case that it will not.
Plaintiff and her husband, as tenants by the entireties, owned a home which was insured by defendant. On January 20, 1974, it was extensively damaged by a fire started by plaintiffs husband, who was living apart from plaintiff as divorce proceedings between them were then pending. Plaintiff filed a claim under the insurance policy, which the defendant denied. Defendant asserted that since plaintiff and her husband were the insured and owned inseparable interests in the property as tenants by the entireties the fraud of plaintiffs husband was imputed to plaintiff. Plaintiffs suit was dismissed on defendant’s motion for summary judgment. The Court of Appeals affirmed "with extreme reluctance”. Morgan v Cincinnati Ins Co, 91 Mich App 48, 50; 282 NW2d 829 (1979). We reverse.
On appeal defendant contends that the question whether an innocent insured may recover on property insurance after another insured has committed some act of fraud depends on whether the interests of the insured are considered joint or several. Defendant asserts that the property interests of parties holding as tenants by the entireties are unified and cannot be separated and therefore plaintiff cannot show an interest in the insured property separate from that interest which has been tainted by fraud.
This argument misses the point, for no interest in the insured property was tainted by fraud, nor does that bear on the question before us. Claimant’s right in this matter is determined not by interest in the insured property but by the rights under the contract of insurance.
In Monaghan v Agricultural Fire Ins Co of Watertown, NY, 53 Mich 238; 18 NW 797 (1884), this Court addressed the issue of recovery by an innocent insured notwithstanding fraud by another insured. In Monaghan three minors owned a parcel of property and a house and barn on it by deed from their father. After the father’s death their mother, who owned no interest in the real property, procured a fire insurance policy on the premises and contents, naming herself and the three minors as insured. After a fire damaged the house it was determined that the mother had committed fraud in reporting as destroyed certain items which she had removed from the house prior to the fire. The three minors instituted the action for recovery of fire insurance proceeds. The Court stated that recovery under the insurance contract was to be determined irrespective of the nature of ownership of the property insured. Recovery was to be determined according to the contract interests held by the respective parties. The Court in Monaghan construed the contract interests created by the insurance policy to be joint. As a direct result of making the initial determination that the contract interests of the parties were joint the Court made the statement for which the case has come to be recognized, i.e., "And if the right of action has become barred as to one of the joint contractors, it has to all of them”. 53 Mich 238, 252.
Since the decision in Monaghan the law applicable to insurance contracts has undergone considerable development. Recognizing the disparity in the bargaining positions of the companies which write insurance and the consumers who buy the policies, both the statutory law and judicial decisions have aimed at making certain that the interests of every insured are protected.
The rule stated in Monaghan is a general law of contracts. Under contract law "[i]f two or more persons promise one and the same performance, there is necessarily a relation of suretyship between them”. 4 Corbin, Contracts, § 925, p 702. Thus some courts have held that " '[b]ecause the agreement not to commit fraud is joint, with each insured promising that he and the other would not commit fraud, the breach caused by intentional destruction is chargeable to both insureds and precludes recovery by the innocent joint insured’ Klemens v Badger Mutual Ins Co of Milwaukee, 8 Wis 2d 565, 567; 99 NW2d 865, 866 (1959).
Without limiting the principles of law applicable to contracting parties generally, consistent with the effort to protect the interest of the insured we are moved to limit the rule of law articulated in Monaghan.
The standard fire insurance policy prescribed by statute provides:
"This entire policy shall be void if, whether before or after a loss, the insured has wilfully concealed or misrepresented any material fact or circumstance concerning this insurance or the subject thereof, or the interest of the insured therein, or in case of any fraud or false swearing by the insured relating thereto.” MCL 500.2832; MSA 24.12832.
The insurer in this case would have us read this provision as if it stated "[t]his entire policy shall be void if * * * any person insured” has committed fraud. We believe such a reading is unwarranted, and hold that the provision voiding the policy in the event of fraud by "the insured” is to be read as having application only to the insured who committed the fraud and makes claim under the policy. The provision has no application to any other person described in the policy as an insured.
To adopt the reading of the insurer would require ascribing to the Legislature an intent to impose a mutual obligation of suretyship on each of several persons insured; that each insured must not only undertake to forbear from fraud himself, but must also undertake to prevent each of the other persons insured from engaging in fraud on pain of losing all interests under the policy. Such an intent is unlikely; as this case aptly illustrates, an insured often has no control over the conduct of others.
We no longer consider the application of the theory of implied suretyship appropriate in insurance law. In Michigan limitations on recovery under an insurance policy must be clearly stated in the contract. The implication of a mutual obligation of suretyship among several insured persons is in effect a limitation on recovery by implication and not to be permitted under Michigan law.
Furthermore, since the provision quoted above does not expressly create a joint obligation of suretyship, to read the fraud provision as creating one would be contrary to the reasonable expectations of an insured. An ordinary person seeing his or her name included in an insurance contract without limiting language would suppose his or her interest to be covered. It appears that the instant policy names "Robert Morgan and Helen Morgan”, without more, as the insured under the policy.
Henceforth whenever the statutory clause limiting the insurer’s liability in case of fraud by the insured is used it will be read to bar only the claim of an insured who has committed the fraud and will not be read to bar the claim of any insured under the policy who is innocent of fraud.
The summary judgment herein is set aside and the cause remanded for further proceedings.
Costs to plaintiff.
Williams, Levin, Ryan, and Blair Moody, Jr., JJ., concurred with Kavanagh, J.
Coleman, C.J., took no part in the decision of this case.
Fitzgerald, J.
We are asked to decide whether the intentional burning of a home, held in tenancy by the entireties, by one spouse, will bar recovery by the innocent spouse under a statutory fire insurance policy naming them both as the insured.
I
Helen and Robert Morgan owned a home as tenants by the entireties. The home was insured by the defendant Cincinnati Insurance Company. On January 20, 1974, a fire occurred which extensively damaged both the dwelling and the personal property located in it. The Morgans were living separately at the time; divorce proceedings instituted by the plaintiff were pending. It was subsequently determined that Robert Morgan was responsible for starting the fire.
Mrs. Morgan filed a claim with the Cincinnati Insurance Company for benefits under the policy, seeking to recover for both the damage to the residence and personal property. This claim was denied. She then began this action to recover the proceeds under the policy. Defendant filed and was granted a motion for summary judgment regarding the real property claim on the grounds that the fraud by one coinsured acts as a bar to recovery by the innocent coinsured. The Court of Appeals affirmed, albeit reluctantly, finding that a tenancy by the entireties is an indivisible interest which precludes recovery by one innocent party. Morgan v Cincinnati Ins Co, 91 Mich App 48; 282 NW2d 829 (1979).
The question of the destroyed personal property was decided upon a stipulated statement of facts submitted by the parties and is not at issue before this Court. We consider here only the real property question.
II
The Michigan standard fire insurance form provides:
"This entire policy shall be void if, whether before or after a loss, the insured has wilfully concealed or misrepresented any material fact or circumstance concerning this insurance or the subject thereof, or the interest of the insured therein, or in the case of any fraud or false swearing by the insured relating thereto.” MCL 500.2832; MSA 24.12832.
The Morgans’ policy was issued in both of their names. It is defendant’s position that the longstanding law in Michigan is that where recovery is barred by the fraud of one named insured, it is barred to them all. The cases cited to support this position are Monaghan v Agricultural Fire Ins Co of Watertown, NY, 53 Mich 238; 18 NW 797 (1884), and Ijames v Republic Ins Co, 33 Mich App 541; 190 NW2d 366 (1971). In the Monaghan case, Kate Monaghan, a widow, lived with her three minor children in a home that had been given to the children by deed. In August 1880, Mrs. Monaghan applied for and obtained from defendant insurance company a policy insuring herself and her children against loss or damage to their dwelling by fire or lightning. The policy contained the standard provisions regarding forfeiture in case of any misrepresentations, concealment or fraud relating to any such loss or damage. In the middle of September 1880, a fire occurred which destroyed the home and its contents. In October, Mrs. Monaghan made an affidavit stating which items were lost in the fire and which were saved. The insurance company learned that certain items of personal property which Mrs. Monaghan claimed to be destroyed had in fact been removed by her prior to the fire. When the insurance company threatened to prosecute, Mrs. Monaghan executed a release of all action against defendant.
In November, a guardian for the three minor children was appointed. On behalf of the children, he gave the insurer a proof of loss for the insured home. This claim stated that Kate Monaghan’s interest was only in the personal property; the children were the owners of the real estate and dwelling and they were not part of any fraud or wrongdoing.
In March 1881, Kate Monaghan assigned to her three children all of her rights, title and interest in and to all claims against the defendant arising from the insurance policy. When the loss on the real property was not paid, the guardian, on behalf of the children, filed suit to recover the amount of the insurance. The decision of the Supreme Court in favor of the insurance company was based, in part, on the nature of the insured’s interest in the property. The way in which the children held title was not considered important. Rather, the Court looked to see whether or not the contract was divisible. The Court considered the fact that there was one unapportioned premium paid, and reasoned that the insurance company, when entering the contract, probably looked only to Mrs. Monaghan, the one adult party, to perform the conditions of the policy.
"We are clearly of opinion that no action could be brought by any of the insured, less than the whole, to recover a loss under this policy, unless in a case where the interests of one had been assigned to the other joint contractors. And if the right of action has become barred as to one of the joint contractors, it has to all of them. It follows that the plaintiffs, by obtaining an assignment of Mrs. Monaghan’s claim and interest in the policy, can stand in no better position than they would be in had the action been brought in the names of all the joint contractors; and whatever would be a defense were she one of the plaintiffs, is equally available when suit is brought by her assignees. Any attempt on her part to defraud the company by not complying with the conditions of the policy, or any false swearing or concealment or fraud in reference to the proofs of loss, would defeat a recovery.” Monaghan, supra, pp 252-253.
Thus, this Court held that the children, assignees of their mother’s interest in the policy, received no greater rights upon the assignment than their assignor. Their interest was derivative; the fact that they held title to the realty was not determinative. Their mother’s attempt to defraud the company by falsifying the affidavit barred them from any recovery on the policy.
The Court of Appeals in Ijames v Republic Ins Co relied on the Monaghan case when deciding the question, "Does the attempted fraud of one of two named insureds under a Michigan statutory fire insurance policy bar recovery for the whole amount of the contents loss?” Ijames, supra, p 542. Holding the contract indivisible as between the rights of the various named insureds, the Court stated, "Monaghan clearly stands for the proposition that if recovery is barred as to one of the named insureds, it is barred to them all.” Ijames, supra, p 545. The Court later commented, "The rule of law may be harsh and inequitable. It may be in need of re-examination. If this be so, only the Supreme Court may make the re-examination which would result in a change in the precedent which binds our bench as well as the trial bench of the state.” Ijames, supra, p 547.
Michigan has, on the basis of these two cases, been said to adhere to the general rule that if the interests of the insured are considered joint and non-separable, an innocent coinsured is barred from recovery on an insurance policy following an act of fraud or other misconduct by another coinsured. Our Court, however, departed from this axiomatic rule when in Simon v Security Ins Co, 390 Mich 72; 210 NW2d 322 (1973), we held that under the facts of that case the alleged theft of personalty by a husband should not automatically foreclose an innocent wife’s recovery on the insurance policy. Concluding that the plaintiff wife should have the opportunity to demonstrate a separable interest in the lost articles and without expressly overruling Monaghan, a unanimous Court held that, especially considering the trend towards married women’s separate status for certain legal purposes, "If plaintiff wife is able to show that her interest'in the property is divisible from that of her husband, then his unilateral act of misconduct (if any) should not automatically foreclose plaintiff from recovery under the policy.” Simon, supra, p 80. The emphasis in Simon was the need to treat the plaintiff as an individual; what was specifically rejected in that case was "any view which automatically ascribes the actions of the husband to the wife”. The cases cited in Simon demonstrate instances where courts found traditionally non-separable interests to be divisible based on the equities of the factual circumstances. The statutes cited reveal the Legisla ture’s attempt to remove the common-law disabilities of the wife during coverture so that she may be treated and viewed as a separate legal entity. "Certainly the day is long gone when women were lumped together with children and 'other incompetents’ as requiring rigid protection from such rigors as separate ownership of property.” Simon, supra, p 83. Monaghan was not expressly overruled; the Simon Court refused, however, to apply its "conclusive presumption”. In Monaghan, the children’s rights were joint with their mother’s; as coinsureds they were viewed as joint contractors with no greater defenses available to them than those of their assignor. Considered as joint contractors in the policy, their interests were non-separable and recovery was barred. The facts of the Simon case necessitated a different response. The Court was unwilling to label a husband and wife automatically as joint contractors on an insurance policy with an unquestionably indivisible interest. The same considerations motivate me here.
I agree with the defendant that this decision must rest on real property concepts and not personal property law. We are concerned with whether or not the insurance company is obligated to pay the proceeds to its insured, not whether such proceeds should be characterized as personal property, potentially outside the scope of property held as tenants by the entireties. I look therefore to the nature of property held as a tenancy by the entireties.
A tenancy by the entireties is created when a conveyance of land is made to a husband and wife.
"And therefore, if an estate in fee be given to a man and his wife, they are neither properly joint tenants, nor tenants in common, for husband and wife being considered as one person in law, they cannot take the estate by moieties, but both are seised of the entirety, per tout, et non per my [by all and not by the half], the consequence of which is, that neither the husband nor the wife can dispose of any part, without the assent of the other, but the whole must remain to the survivor.”
Similar to the joint tenancy inasmuch as the unities of time, title, interest and possession must exist at the time the tenancy is created and both carry the distinguishing right of survivorship, the tenancy by the entireties has the additional requirement that a valid marriage exist between the parties at the time the estate is created. It is an estate of the common law created by operation of law rather than by the act of the parties through deed or will. The tenancy is based on the common-law concept of the unity of husband and wife though in retrospect an accurate evaluation would have to be that, "in the eye of the common law, husband and wife are one person, and that one is the husband”. The marital union, rather than a merger of two individuals, has been aptly characterized a "supplanting of the one by the other”. Conceived in feudal England as part of a system of land tenures that necessitated ownership of land by men capable of bearing arms, "For purposes of property and of contract, the married woman was under a complete legal black out termed coverture.” She was unable to contract or convey property without her husband’s consent. She could not sue nor was she capable of being sued unless her husband was made a party. Upon marriage, by the right of jure uxoris, the husband acquired complete dominion and control over all real property held by his wife. By the right of jus mariti, he obtained rights in all of her personal estate. His power included all rights to possession, use, income and usufruct of his wife’s property during coverture. The wife maintained a bare legal existence. Property owned by her before marriage was considered hers, although subject to jure uxoris. If expressly authorized, she could act as an agent for her husband. While serving to consolidate in the husband the total use of her property, the disabilities of coverture were seen as serving to protect and benefit women. The idea that married women were incapable of managing their business dealings prevailed along with the belief that if a wife were allowed to control her own property, the inevitable outcome would be familial dissension.
Beginning in the 1800’s, married women’s property acts were passed to remove the common-law disabilities of coverture. Married women were given the power to contract, convey and acquire real property, sue and be sued as separate legal entities, free from any spousal interference. The effect of these statutes on the tenancy by the entireties differed significantly among the states. The salient feature of the tenancy by the entire-ties was the concentration of power in the husband; he was able to exercise all the incidents of ownership except determining succession at his death, should he predecease his wife. The new statutes established the concept that a wife can exist as a separate legal entity; the automatic dominance of the husband was rejected.
While some states interpreted the passage of this legislation to mean that the tenancy by the entireties could no longer exist, or must exist, if at all, in some other form, Michigan viewed the married women’s act as an aspect of the relationship between husband and wife; the woman’s change in legal status was not seen as affecting the characteristics of the tenancy by the entireties. Since the statute did not specifically mention the tenancy by the entireties, the tenancy was believed to continue to exist as it did at common law.
"[T]he estate by the entirety was in its origin a mere joint tenancy, adorned with the disabilities of coverture and a fortuitously conceived notion of an indestructible right of survivorship.” The presumption exists that absent explicit language to the contrary, a conveyance to a husband and wife creates a tenancy by the entireties. The majority view is that a divorce converts entireties property into a tenancy in common. A joint tenant may partition or convey an undivided share of his estate without the mutual consent of the other joint tenants. Doing so, however, defeats the right of survivorship in the ordinary joint tenancy. A tenancy by the entireties may not be so defeated. At common law the husband was able to convey as a life estate his interest in property by the entire-ties, but such conveyance could only last as long as the joint lives of the husband and wife with the third party becoming a tenant in common with the wife for this period. Any such conveyance would be subject to the wife’s right of survivorship. In Michigan, the husband alone is entitled to possess, use, and manage the entireties property, but he may do nothing without the express consent of his wife to defeat her right of survivorship. It is this survivorship quality that imbues the tenancy with an aura of indestructibility, for the act of one spouse cannot impair the rights of the other.
I question the wisdom of perpetuating such an indivisible estate in view of the equities of the controversy before us.
The general rule that an innocent coinsured may not recover on an insurance policy following an act of fraud by the coinsured hinges on whether or not the interests of the coinsured are considered joint or severable. The rationale for the rule is the idea that "spouses who hold joint interests in insured property have a joint obligation to refrain from fraud, and so the fraud of one spouse necessarily becomes the fraud of the other”. This obligation rests on an implied condition of the insurance contract that policyholders will do nothing which would serve to destroy the insured property and it is assumed that they will use their best efforts to protect the property.
"The law has not frequently been called upon to adjust controversies between husband and wife tenants by the entireties. If relations become strained and a divorce is obtained, this type of tenancy ends and the controversies cease to be a part of the law of tenancies by the entireties.”
I feel it would be wrong to deny recovery of the insurance proceeds to Helen Morgan. The tenancy by the entireties is a product of the common law characterized by a massive concentration of power in the husband and an indestructible right of survivorship.
While Michigan has traditionally adhered to a strictly literal view of the tenancy by the entire-ties, I cannot in good conscience hold that the wrongful conduct of a husband may be imputed to his wife and serve to bar her from recovering the proceeds of an insurance policy. The policy was taken out in the names of a husband and wife. To hold today that they are "one” impermissibly ignores the separate legal status of the innocent spouse. Monaghan is inapposite. One spouse may not be held responsible for the crime of the other. Though based on different circumstances, I agree with the words of Chief Justice Hallows of the Wisconsin Supreme Court. "Married people are still individuals and responsible for their own acts. Vicarious liability is not an attribute of marriage.”
Having determined that the insurance company is responsible to pay the innocent coinsured on the policy, I hold that Mrs. Morgan may recover to the extent of her interest in the property. The contract of insurance is a personal agreement of the parties, subject to the interpretation and enforcement of our courts.
As tenants by the entireties, one spouse has no greater interest in the property than the other. The quantity of interest being equal and the liability being several, the innocent coinsured may recover one-half of the damages within the limits of the policy.
The decision of the Court of Appeals should be reversed.
"When the insurance was obtained nothing was said as to the precise nature of the interest, whether separate or joint, in the property insured. Nor was it necessary. The policy was good for all, whether their interests were joint or several. Castner v Farmers’ Mut Fire Ins Co, 46 Mich 15 [8 NW 554 (1881)].” Monaghan v Agricultural Fire Ins Co of Watertown, NY, 53 Mich 238, 252 (1884).
"We can see good reasons in this case for holding the contract for insurance to be joint and not several, which might, and probably did, influence the defendant in entering into it. Mrs. Monaghan was the only adult party among the insured, and the one upon whom the defendant would rely to make the proper proofs of loss in case of fire, and, the only one it could hold to perform the conditions of the policy.” Id.
See Anno: Insured’s Fraud — Coinsured’s Rights, 24 ALR3d 450. Also, 5A Appleman, Insurance Law and Practice, § 3594.
Simon, pp 82-83.
See Mercantile Trust Co v New York Underwriters Ins Co, 376 F2d 502 (CA 7, 1967) (trust company’s interest divisible from homeowner’s); Hoyt v New Hampshire Fire Ins Co, 92 NH 242; 29 A2d 121; 148 ALR 484 (1942) (that tenants in common would assume their individual interests were covered by the policy without qualification).
See MCL 600.2001; MSA 27A.2001 which removed the common-law prohibition on the ability of the wife to sue or be sued without her husband’s consent. Also, Const 1963, art 10, § 1.
Blackstone, Commentaries (Gavit, ed), p 334.
See Cribbet, Principles of the Law of Property (2d ed), p 95; 41 Am Jur 2d, Husband and Wife, § 57, pp 62-63; 41 CJS, Husband and Wife, § 31, p 440; Jacobs v Miller, 50 Mich 119; 15 NW 42 (1883).
1 Schouler, Marriage, Divorce, Separation and Domestic Relations (6th ed), § 6, p 6.
Honigman, Tenancy by Entirety in Michigan, 5 Mich SBJ 196-197 (1926).
Phipps, Tenancy by Entireties, 25 Temple LQ 24 (1951).
41 Am Jur 2d, Husband and Wife, § 16, p 30.
Honigman, supra, p 197. See, also, Phipps, supra, p 26.
"That the real and personal estate of every female, acquired before marriage, and all property, real and personal, to which she may afterwards become entitled by gift, grant, inheritance, devise, or in any other manner, shall be and remain the estate and property of such female, and shall not be liable for the debts, obligations and engagements of her husband and may be contracted, sold, transferred, mortgaged, conveyed, devised or bequeathed by her in the same manner and with the like eifect as if she were unmarried.” MCL 557.1; MSA 26.161.
Some states adopted the view that the married women’s act abolished the tenancy by the entireties. See, for example, Clark v Clark, 56 NH 105 (1875).
Many took the position that the tenancy by the entireties may still exist but in a modified form with each spouse having equal power to control the entireties property. See, for example, Ross v Ross, 35 NJ Super 242; 113 A2d 700 (1955):
"It is well settled in this state that where title to real property is held by husband and wife as tenants by the entirety, 'the wife holds in her possession during their joint lives one-half of the estate in common with her husband, and, as between themselves, the respective rights of the parties are those of tenants in common.’ ”
Michigan, along with Massachusetts and North Carolina, took the view that the tenancy by the entireties was not affected by the married women’s acts and continued to exist as at common law. See Fisher v Provin, 25 Mich 347 (1872); Morrill v Morrill, 138 Mich 112; 101 NW 209 (1904); Arrand v Graham, 297 Mich 559; 298 NW 281, 300 NW 16 (1941); Schram v Burt, 111 F2d 557 (CA 6, 1940).
For an excellent comparison of these differing approaches, see Phipps, supra, pp 28-35, 46-57.
"The rights of husband and wife in such an estate are purely common-law rights, to be tested and interpreted by the rules of that law as they existed before the wife was emancipated as to her individual property interests. By the common law the husband controlled his wife’s estate, and had the usufruct, not only of real estate standing in both their names, but of that sole seised by his wife, whether in fee simple, fee tail or for life. It remains the law that, while coverture continues, the husband has the control, use, rents, and profits of an estate by entirety.” Way v Root, 174 Mich 418, 429-430; 140 NW 577 (1913).
See, also, Morrill, supra, p 114; Arrand, supra, pp 561-563.
Honigman, supra, p 199.
In Way v Root, pp 427-428, the Court stated:
"When the husband and wife have thus together acquired an unincumbered title to real estate they have laid up treasures, where, without their concerted action, neither moth, nor rust, nor thieves, nor creditors, nor anything else but death or the tax gatherer can divest them.”
Hoyt v Winstanley, 221 Mich 515; 191 NW 213 (1922); DeYoung v Mesler, 373 Mich 499; 130 NW2d 38 (1964).
Phipps, supra, p 35.
Spiessbach, Weeding Out the Troublesome Plant of Tenancy by the Entirety, 2 Seton Hall L Rev 415, 418 (1971).
Steigler v Insurance Co of North America, 384 A2d 398, 399 (Del, 1978).
Shearer v Dunn County Farmers Mutual Ins Co, 39 Wis 2d 240, 248; 159 NW2d 89, 93 (1968).
4A Powell on Real Property, ¶ 623, pp 701-702.
Shearer, supra, p 249.
Clay Fire & Marine Ins Co v Huron Salt & Lumber Mfg Co, 31 Mich 346 (1875); Eghotz v Creech, 365 Mich 527; 113 NW2d 815 (1962). | [
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Request for appointment of counsel granted. Defendant shall file with Genesee Circuit Court an affidavit concerning his present financial status (see guidelines at 387 Mich xxxi). The prosecutor shall be furnished a copy of the financial affidavit and may challenge defendant’s asserted indigency within 20 days after receiving the affidavit. The challenge, if brought, shall be resolved at a hearing before Genesee Circuit Court at which the prosecution, defendant, and counsel for defendant shall appear personally to aid the court’s inquiry. Genesee Circuit Court, upon a finding of indigency, shall appoint counsel for defendant and shall furnish any portion of the record counsel may require.
James Anthony Moore, in propria persona, appellant.
Case below, Court of Appeals No. 22941, order of January 13, 1976. | [
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Leave to appeal is considered, and, it appearing to this Court that the cases of People v Wynn (Docket No. 56977), People v Pearson (Docket No. 57147), and People v Schwartz (Docket No. 57273), are presently pending on appeal before this Court and that the decision in those cases may he decisive of the issue raised in the present application for leave to appeal, it is ordered that the present application be held in abeyance pending decision in those cases.
Case below, Court of Appeals No. 18861, per curiam opinion of November 10, 1975. | [
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Rehearing denied.
Lindemer and Ryan, JJ., not participating. | [
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SAWYER, J.
This case presents an issue of first impression in Michigan, namely what constitutes a marijuana plant. More specifically, we must determine at what point does a cutting from a mature marijuana plant that is placed in “grow material” become a “plant” that may be separately counted as a plant for purposes of determining how many plants defendant, Lorenzo E. Ventura, had in his possession.
In this case, the Grand Rapids Police Department executed a search warrant at defendant’s residence. In the “grow room” located on the main floor of the house, the officers found 21 marijuana plants plus 22 so-called “clone” plants. It is the clones that are at issue in this case. One of the officers involved in the search testified that a “clone” is a portion of a mature plant that is used to start a new plant. The officer testified that he pulled the clones out of the grow material that they were placed in and that some of the clones had hair-like fibers growing off the main root, with those fibers visible to the naked eye.
The search of the home also yielded a number of items related to the sale of marijuana: a digital scale with marijuana residue on it, an open box of sandwich bags, and a marijuana grinder. A purse was also found with a small bag of marijuana in it. Additional marijuana and marijuana seeds were also found in the home. Also during the search, defendant’s wallet was located, and it contained registration cards identifying defendant as a qualifying medical marijuana patient and as a primary medical marijuana caregiver under the Michigan Medical Marihuana Act (MMMA), MCL 333.26421 et seq. During an interview, defendant stated that he had one additional patient for whom he was a medical marijuana caregiver. Under MCL 333.26424(a) and (b)(2), this allowed defendant to cultivate up to 24 marijuana plants.
Defendant was charged and convicted following a bench trial of one count of possession with intent to deliver marijuana and one count of manufacturing marijuana. He was sentenced to 24 months’ probation and 120 hours of community service. He now appeals, and we affirm.
We turn first to the primary issue in this case, namely how many plants did defendant cultivate and have in his possession. It is undisputed that defendant possessed at least 21 plants and that under § 4 of the MMMA he is immune from prosecution if he cultivates no more than 24 plants. What is in dispute is whether the additional 22 clones should be considered plants as well under the MMMA. If they are considered to be individual plants themselves, then defendant exceeded the allowed amount by 19 plants. Defendant argues that the trial court erred by ruling that the clones constituted individual plants and thus finding defendant guilty of the charged offenses. In essence, defendant argues that the cuttings were still only leaves and had not yet become independent plants.
We begin by noting that the MMMA does not provide a definition of “plant.” Nor are there any published opinions in this state that have interpreted the word “plant” as used in the MMMA. Moreover, resorting to the dictionary does not provide significant assistance. Merriam-Webster’s Collegiate Dictionary (11th ed) defines “plant” as “a young tree, vine, shrub, or herb planted or suitable for planting.” That definition merely brings us back to where we started: were these clones still just leaves or had they progressed to the point that they were suitable for planting?
While there are no cases in Michigan that provide assistance, there are decisions in other jurisdictions that are instructive. In United States v Edge, the Sixth Circuit, in determining what constitutes a marijuana plant for purposes of the federal sentencing guidelines, concluded that a “marijuana cutting is a ‘plant’ for federal sentencing purposes if there is readily observable evidence of root formation. A marijuana cutting with root balls or ‘root hairs’ easily meets this test.” The court concluded that this definition would be easy to apply and comported with the plain and ordinary meaning of the statute at issue.
We also find guidance in State v Schumacher, in which the Idaho Court of Appeals determined what constituted a “plant” for purposes of calculating the number of marijuana plants the defendant had in his possession. Similar to the Sixth Circuit’s decision in Edge, the Schumacher court concluded that a cutting becomes a plant when it has a readily observable root system:
We think it clear that in ordinary usage, the word “plant” contemplates the presence of a root structure. In common parlance, one plant does not immediately become many plants as soon as it is cut into pieces, even if those pieces have been placed in soil or a growing medium. Therefore, we hold that for a cutting to achieve plant status, it must have readily observable evidence of root formation.
Our decision is consonant with those of many federal courts that have been called upon to determine the meaning of "marijuana plant” for purposes of the federal sentencing guidelines. Those courts hold that root formation is necessary for a cutting to be counted as a plant. See United States v Robinson, 35 F3d 442, 446 (9th Cir. 1994); United States v Burke, 999 F2d 596, 601 (1st Cir. 1993); United States v Edge, 989 F2d 871, 879 (6th Cir. 1993); United States v Bechtol, 939 F2d 603, 605 (8th Cir. 1991); United States v Eves, 932 F2d 856, 860 (10th Cir. 1991). As noted by the Sixth Circuit Court of Appeals, this is a "commonsensical, easy to administer test.” Edge, 989 F2d at 877. In applying it, "a court must be permitted to use its eyesight and common sense to conclude that it has before it a plant with roots.” Burke, 999 F2d at 600.
We are satisfied that the “root formation” standard adopted by the Idaho Court of Appeals and the federal cases it relied on is consistent with the plain and ordinary meaning of “plant,” and we apply the same interpretation to the word “plant” as used in the MMMA.
The trial court employed a similar definition in reaching its decision. And, perhaps more importantly, it specifically held that only those plants with root systems could be and were counted:
Probably the key ingredients in any plant would be some leaf material, some kind of stem, and some sort of root material. ... And it seems to me once you have those components in place, you have a plant.
I’m inclined to agree with the detective’s approach of only counting those . . . that had root systems. They, from the photographs, have leaves, they appear to be alive and healthy, unlike the five plants in the basement which have shriveled and died.
So it seems to me the 22 so-called clones that had root structures and leaves and are green and are alive constitute plants. They’re not very big plants and they’re not mature plants, but the statute doesn’t address that. It just says plants.
For these reasons, the trial court correctly concluded that defendant cultivated and possessed a total of 43 marijuana plants, which was more than the 24 allowed him under the MMMA. Accordingly, the trial court did not err by holding that defendant was not entitled to claim immunity under § 4 of the MMMA.
Next, we turn to defendant’s challenge to the search warrant in this case. Specifically, defendant argues that the trial court should have suppressed the fruits of the search because there were material omissions in the affidavit in support of the search warrant. We disagree. In particular, defendant argues that the affidavit failed to mention that he was a qualifying registered patient under the MMMA as well as a qualifying registered caregiver. Therefore, defendant argues, the delivery observed by the informant could have been defendant giving his patient a supply of marijuana.
This Court addressed this issue in People v Brown, concluding that probable cause may be established without proving that the suspect’s activities come within the MMMA:
The possession, manufacture, use, creation, and delivery of marijuana remain illegal in this state, even after the enactment of the MMMA. Thus, we conclude that to establish probable cause, a search-warrant affidavit need not provide facts from which a magistrate could conclude that a suspect’s marijuana-related activities are specifically not legal under the MMMA. Probable cause exists if there is a substantial basis for inferring a fair probability that contraband or evidence of a crime exists in the stated place. [People v] Kazmierczak, 461 Mich [411,] 417-418[; 605 NW2d 667 (2000)]. Defendant has presented no authority indicating that for probable cause to exist, there must be a substantial basis for inferring that defenses do not apply. See, generally, [People v] Lemons, 454 Mich [234,] 246 n 15 [; 562 NW2d 447 (1997)] (discussing affirmative defenses). We disagree with the trial court’s holding pertaining to probable cause. Accordingly, we affirm the trial court on alternative grounds, and defendant’s issue regarding the good-faith exception to the exclusionary rule is moot. See Contesti v Attorney General, 164 Mich App 271, 278; 416 NW2d 410 (1987) (discussing mootness). [Citation omitted.]
Accordingly, the trial court did not err by refusing to suppress the evidence merely because the affidavit did not establish that defendant was not entitled to the immunity defense under § 4 of the MMMA.
Finally, defendant argues that the trial court erred by finding that he had delivered marijuana to another occupant of the house, Kelrick Traylor. We disagree. We review de novo a challenge to the sufficiency of the evidence in a bench trial, viewing the evidence in the light most favorable to the prosecution and determining whether the trial court could have found the essential elements proved beyond a reasonable doubt. Defendant presents a brief argument in support of his position. Defendant first argues that there was insuf ficient evidence that he delivered marijuana to Traylor. But it is unnecessary to prove delivery because the charge is supported by possession with the intent to deliver. And defendant does not argue that there was insufficient evidence to support the conclusion that he possessed marijuana with the intent to deliver. Defendant also argues that the relevant material found in Traylor’s room consisted of seeds, stems, and residue, which are not considered “usable marijuana” under the MMMA. But what constitutes “usable marijuana” under the MMMA is irrelevant to what constitutes marijuana for purposes of a punishable crime under MCL 333.7401. The relevant definition is that contained in MCL 333.7106(4), which provides the following definition:
“Marihuana” means all parts of the plant Cannabis sativa L., growing or not; the seeds of that plant; the resin extracted from any part of the plant; and every compound, manufacture, salt, derivative, mixture, or preparation of the plant or its seeds or resin. Marihuana does not include the mature stalks of the plant, fiber produced from the stalks, oil or cake made from the seeds of the plant, any other compound, manufacture, salt, derivative, mixture, or preparation of the mature stalks, except the resin extracted from those stalks, fiber, oil, or cake, or any sterilized seed of the plant that is incapable of germination. Marihuana does not include industrial hemp grown or cultivated, or both, for research purposes under the industrial hemp research act.
Accordingly, the material was in fact marijuana.
Affirmed.
Murray, P. J., and Meter, J., concurred with Sawyer, J.
Although the MMMA uses the spelling “marihuana,” we use the more common spelling “marijuana” throughout this opinion.
MCL 333.26424 allows a registered qualifying patient to possess up to 12 plants and a qualifying registered caregiver to possess up to 12 plants per qualifying registered patient.
MCL 333.7401(2)(d)(¿¿¿) (less than five kilograms or fewer than 20 plants).
MCL 333.26424(a) and (b)(2).
United States v Edge, 989 F2d 871, 879 (CA 6, 1993).
Id. at 878-879.
State v Schumacher, 136 Idaho 509; 37 P3d 6 (Idaho App, 2001).
Id. at 519-520.
People v Brown, 297 Mich App 670, 677-678; 825 NW2d 91 (2012).
We also note that, as pointed out by the prosecution, defendant was identified in the search warrant by description rather than by name. Thus, it is unclear how the police would have been able to establish that defendant was a registered patient and caregiver in advance of the search.
People v Wilkens, 267 Mich App 728, 738; 705 NW2d 728 (2005).
MCL 333.7401.
See MCL 333.26423(k). | [
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