Baker v. First Nat. Bank of Santa Rosa

1936 OK 10, 54 P.2d 355, 176 Okla. 70, 1936 Okla. LEXIS 103
CourtSupreme Court of Oklahoma
DecidedJanuary 14, 1936
DocketNo. 24065.
StatusPublished
Cited by2 cases

This text of 1936 OK 10 (Baker v. First Nat. Bank of Santa Rosa) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Baker v. First Nat. Bank of Santa Rosa, 1936 OK 10, 54 P.2d 355, 176 Okla. 70, 1936 Okla. LEXIS 103 (Okla. 1936).

Opinion

OSBORN, V. O. J.

This action was instituted'in the district court of Oklahoma county by the First National Bank of Santa Rosa, N. M., hereinafter referred to as plaintiff, against Neil J. Baker, J. B. Malone, and J. M. Malone, hereinafter referred to as defendants, as an action in replevin wherein it was sought to recover possession of certain negotiable bonds. The cause was tried to1 a jury and a verdict was rendered in favor of defendants. A motion for new trial was filed by plaintiff and sustained by the trial court. From this order defendants have appealed.

Bonds in the amount of $22,000 were stolen from plaintiff, First National Bank of Santa Rosa, N. M., sometime prior to June 19, 1931. Several days thereafter certain of these bonds were found in the possession of defendants. After some negotiation and investigation this action was instituted. Defendants by answer admitted that the bonds in their possession were stolen from plaintiff, but pleaded that they were innocent holders thereof for value without notice.

The defendant Neal J. Baker pleaded and testified that he procured the bonds from one J. L. White, who negotiated the same to him as security for a loan and at the same time executed to him a bill of sale and a contract to repurchase the bonds within a period of 30 days.

J. B. Malone and J. M. Malone testified that they loaned certain sums of money to Neil J. Baker and accepted said bonds as security for said loans. Plaintiff filed a reply to the separate answers of defendants in which it was denied that defendants were holders of the bonds in due course. We quote from the reply to the answer of Neal J. Baker as follows:

“Plaintiff alleges that at and before the time said defendant acquired said bonds defendant knew that the party from whom said defendant acquired said bonds was not *71 a bona fide holder thereof for value in due course.
•‘Plaintiff further alleges that before and at the time said defendant acquired said bonds he had actual knowledge and notice that said bonds had been stolen.
“Plaintiff further alleges and states that before and at the time said defendant acquired said bonds said defendant, Neil J. Baker, had knowledge of such facts that his action in taking said bonds amounted to bad faith on his part.’’

Similar allegations were contained in the reply to the answers of J. B. Malone and J. M. Malone. The evidence is conflicting. Defendants offered evidence to substantiate the allegations of the answer regarding the transaction with J. L. White. Further evidence was to the effect that White had disappeared and that they had been unable to locate him after it was discovered that the bonds were stolen.

Plaintiff introduced as a witness one R. H. Morgan who testified that he was one of the attorneys representing the parties who held up and robbed the plaintiff bank; that he was employed by said parties while they were being held in the county jail at Lawton; that at the same time three other parties were held in said jail for investigation on the same charge, who procured their release from jail by writ of habeas corpus; that cue of these parties was named Boss Jackson; that the said Jackson procured the bonds involved herein at Ana-darko, and that he and Jackson brought them to Oklahoma City. The witness further testified that he delivered these bonds to defendant Baker, and after some negotiation Baker agreed to pay and Jackson agreed to accept $7,500 of bonds and that Baker retained out of said amount $300 as a commission: that upon payment of the $7,200 to Jackson in cash the bonds were delivered to Baker.

Defendants, assumed the burden of proof and after the introduction of evidence on behalf of defendants and plaintiff, defendants, by way of rebuttal, called certain witnesses to testify as to their general reputation as law-abiding citizens. Over the objections of plaintiff this evidence was received and submitted to the jury.

After a verdict in favor of defendants was returned by the jury a motion for a new trial was filed by plaintiff setting up 22 specifications of error. The trial court overruled the .motion for new trial as to 21 of the grounds relied upon, but sustained the same upon one ground which is as follows:

“Error of the court in permitting the defendants to introduce testimony as to the general reputation of the. defendants being law-abiding citizens.”

As presented in the briefs there is but one question certified to this court for a decision and that is whether or not under the issues involved in this case such evidence was properly admitted. The argument of defendants is based upon the following proposition:

“Where the pleadings and the proof bring into question, on the part of the plaintiff, the character and good standing of the defendants in their community, evidence is competent to show their standing as law-abiding- citizens, and especially is this true where the plaintiff has sought to directly discredit and impeach their testimony.”

The record, does not disclose that any evidence w,as offered by defendants relating to their general reputation for truth and veracity. The inquiries were confined as to general reputation as law-abiding citizens.

It is contended by defendants that by the pleadings and evidence defendants were charged not only with bad faith but were charged with the commission of a felony under the provisionsi of section 2265, O. S. 1931.

Defendants concede that as a general rule in civil actions such evidence is not admissible, but contend that this case falls within certain exceptions heretofore recognized in this and other jurisdictions.

The case of Woodmen of the World v. Welch. 16 Okla. 188, 83 P. 547, was an action on a life insurance policy. The policy provided that if the insured should die as a consequence of a violation of the law the same would be void. The insured was killed in an altercation with one Ennis. There was a sharp conflict in the evidence as to whether the insured 'or Ennis provoked the difficulty. Evidence of the character of insured for being a peaceable and law-abiding citizen was admitted over the objection of the defendant. The opinion holds that such evidence was admissible on the theory that the intent of the insured was a material inquiry and where, under the facts and circumstances, the question of intent was in doubt, character evidence was admissible to aid in the determination of such question.

*72 The case of Great Western Insurance Co. v. Sparks, 38 Okla. 395, 132 P. 1092, was also an action on a life insurance policy. The defense was that the insured had made fraudulent misstatements of fact in his application for insurance. The trial court permitted the introduction of evidence as to the general reputation of the insured for being a truthful, honest, law-abiding citizen. The opinion of this court prepared by Mr. Justice Kano holds that the admission of such evidence constituted reversible error.

The case of National Council Knights and Ladies of Security v. Owen, 47 Okla. 464, 149 P. 231, was likewise an action on an insurance policy.

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Related

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1979 OK 163 (Supreme Court of Oklahoma, 1979)
Oller v. Hicks
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Bluebook (online)
1936 OK 10, 54 P.2d 355, 176 Okla. 70, 1936 Okla. LEXIS 103, Counsel Stack Legal Research, https://law.counselstack.com/opinion/baker-v-first-nat-bank-of-santa-rosa-okla-1936.