Becnel v. Ashton Plantation Co.

105 La. 677
CourtSupreme Court of Louisiana
DecidedJuly 1, 1901
DocketNo. 13,684
StatusPublished
Cited by1 cases

This text of 105 La. 677 (Becnel v. Ashton Plantation Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Becnel v. Ashton Plantation Co., 105 La. 677 (La. 1901).

Opinion

The opinion of the court was delivered by

Nicholls, O. J.

Statement of the Case.

Nicholls, C. J. The plaintiff asks judgment against the defendant company for seven thousand-two hundred and eighty-five dollars upon allegations that on the 22nd day of January, 1897, he entered into a written contract with said company, by the terms of which he was engaged and employed as manager and superintendent of the Ashton Plantation Company, Limited, and of the Iiahnville and Boutte Railroad Company, for the term.of ten years beginning on the first day of January, 1897; that under the terms of said contract petitioner was to be paid for his services, annually, the sum of $2500.00, and upon the payment by the Ashton Plantation Company, Limited, 'of a debt of $60,000.00, which it was represented to petitioner was due by said company to one A. H. Morris, petitioner was to receive as additional salary one-sixth of the profits made yearly by the said Ashton Plantation Company, Limited, in addition to the sum of $2500.00 aforesaid.

That he duly entered into and properly performed his duties as manager and superintendent of the Ashton Plantation Company, Limited, and of the Hahnville and Boutte Railroad Company, on or about the first day of January, 1897, and continued to properly discharge and perform his said duties up to the 3rd day of February, 1899, when, without previous notice to him, he was informed that said contract was terminated and his services no longer required. That during the time that he was performing the duties of manager and superintendent as aforesaid, to-wit: during the sugar crop season of 1897-1898, the Ashton Plantation Company, Limited, under his management, earned an amount of money sufficient to pay a cash dividend of $30,000.00, without, however, any deduction being made from its earnings during said season of any part of said debt of $60,000.00, which, at the date of petitioner’s contract, it was represented to him, was due by the company to said A. H. Morris; -that, on or about Jan[679]*679uary 4th, 1898, from a written acknowledgment of A. H. Morris, petitioner learned that said debt of $60,000.00, which, prior to that time, petitioner supposed was due by said company to said A. H. Morris, was not due by said company to A. H. Morris, and that therefore petitioner was entitled, under his contract, to one-sixth of said sum of $30,000.00 as additional salary for the year 1897; that petitioner, believing that the officers of and parties in interest in said Ashton Plantation Company, Limited, would deal with him in good faith and provide for the payment of his said one-sixth of the profits of said Ashton Plantation Company, Limited, for the year 1897, out of subsequent profits or other assets, did not press his claim or make demand for the payment of his one-sixth of said sum of $30,000.00, viz, $5000.00, continued -to discharge and perform his duties as manager and superintendent of said Ashton Plantation Company, Limited, and of the Hahn-ville and Boutte Railroad Company, without, however, in any way or manner, or by any act, waiving or abandoning his right to said' sum of $5000.00, and that said sum of $5000.00 is now wholly due and owing to him by said Ashton Plantation Company, Limited; that in addition to said sum of $5000.00, one-sixth of the profits of the said company for the year 1897, said company is indebted to petitioner in the sum of $2185.12, being balance of his annual salary for tile year 1899.

That, although, according to said contract, said Ashton Plantation Company, Limited, had the right to relieve itself from all future obligations assumed by said company under said contract, said contract provided, for the benefit of petitioner, an annual and indivisible salary of $2500.00 per annum; that said Ashton Plantation Company, Limited, is indebted unto him in the- further sum of $100.00, being an amount over-paid on account of the “Lone Star Store,” resulting from an erroneous credit allowed to petitioner of $100.00, instead of the sum of $200.00.

That, on or about the 3rd day of February, 1899, said Ashton Plantation Company, Limited, went into liquidation under its charter, and petitioner, being offered appointment as one of the liquidators thereof, accepted the same with the object of assisting said company in the liquidation of its affairs and protecting the creditors in their rights, and under -the belief that said company and its liquidators would act with petitioner in good faith. That, on the 28th day of March, 1899, petitioner, learning for the first time that his claim for the amount due him as aforesaid would not be acknowledged by the liquidators of [680]*680said company, and being- dissatisfied with the course of the liquidation, in so far as other creditors are concerned, resigned his position; and that the liquidators of said company, now continuing to discharge their functions as such, are Charles E. Rice and James Legendre of New Orleans.

That said Charles E. Rice and James Legendre, liquidators as aforesaid, refuse to acknowledge or pay said sum of $7285.12 due petitioner as aforesaid, all of which said sum is now due and owing to petitioner.

The defendants first pleaded the general issue. They admitted that plaintiff was employed by the Ashton Plantation ©ompany, Limited, now in liquidation, under a written contract; that he acted under that 'employment until the 3rd of February, 1899; that the company went into liquidation on that day, and that plaintiff was appointed as one of the liquidators, and accepted the appointment, which he afterwards resigned, on or about March 28th, 1899. They specially denied, however, that they owed him anything; that he was discharged without previous notice, or that notice was necessary; that the company earned enough to pay, or did pay, a dividend of $30,000.00, or any dividend at all, properly called; that the crops of 1897 and 1898, or either of them, realized any profits, or, if they did, that the plaintiff was entitled to any part thereof; that he never ascertained the debt of $60,000.00, alluded to in his contract, was not due, and they denied that the company was bound to pay him “an annual and indivisible salary of $2500.00 per annum.” They averred that they properly refused to recognize his right to any compensation after the 3rd of February, 1899, the day the company went into liquidation, because it had been stipulated, in the contract of employment, that such liquidation would terminate the contract and would release the parties from all obligations thereunder, and for the other reasons in the. answer stated. That the plaintiff had ample notice, long before the 3rd of February, 1899, that his services would have to be dispensed with at any moment; that besides being employed as superintendent and manager, he was a stockholder and director of the company, and had the almost exclusive, unlimited control, direction and custody since the day he was employed of the Ashton plantation, in the parish of St. Charles (the main asset of the company), of the railroad operated in connection therewith, of cern, which were kept by him, or under his direction, in the parish of St. Charles; knew he had utterly exhausted the resources of the company, making it impossible for it to procure the necessary funds with [681]*681the finances required to operate the whole, and of the books of the con-which to continue its business, and he, himself, as a director and stockholder, finally voted to put the company in liquidation, and was made one of the liquidators thereof.

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Bluebook (online)
105 La. 677, Counsel Stack Legal Research, https://law.counselstack.com/opinion/becnel-v-ashton-plantation-co-la-1901.