Bennett v. Monticello State Bank

285 N.W. 266, 226 Iowa 705
CourtSupreme Court of Iowa
DecidedApril 4, 1939
DocketNo. 44565.
StatusPublished
Cited by4 cases

This text of 285 N.W. 266 (Bennett v. Monticello State Bank) is published on Counsel Stack Legal Research, covering Supreme Court of Iowa primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bennett v. Monticello State Bank, 285 N.W. 266, 226 Iowa 705 (iowa 1939).

Opinion

Oliver, J.

This is an action at law by EL S. Bennett, appellant, against the Monticello State Bank, appellee, on a certificate of deposit issued by said bank, on June 8, 1932, reciting L. H. Bennett has deposited $3,591.26, payable to order of H. S. Bennett, or self, and another certificate in the same form, dated May 31, 1933, for $1,400. Both of said certificates were paid by said bank to L. EL Bennett, July 20, 1933.

L. EL Bennett was the father of appellant. Appellant alleged that in 1932 it was agreed between him and his father that if appellant and his wife would move from Colorado to the home of father Bennett in Jones county, Iowa, for the purpose of establishing a permanent residence and being near father Bennett during his declining years, father Bennett would place money in appellee bank for appellant, that appellant and wife carried out their part of the agreement and that the certificates of deposit above described were for money deposited by father Bennett in appellee bank in connection with his part of the agreement. However, appellant alleged that at the time of delivery of said certificates, H. S. Bennett was the sole payee therein, and that thereafter, without the consent of appellant, the same were materially altered by the bank, or with its knowledge and consent, by adding, after the name of appellant, the words “or self”. In other words appellant contends that the certificates were originally made payable to the order of appel *707 lant alone and were thereafter changed so that the same were payable to the order of appellant or to the order of father Bennett.

Appellant alleged that he was the owner of the claims against appellee bank on said certificates and prayed judgment for the amount thereof. The bank controverted the various allegations of the petition alleging, among other things, that the money represented by the certificates was deposited by father Bennett for his sole use and benefit; that neither the money nor the certificates were ever delivered to appellant, and appellant had no interest therein; that the same belonged to father Bennett and he exercised complete control and dominion over the same, and that the bank properly paid the same to father Bennett.

For additional defense, the bank also set up a prior adjudication as a bar to said action. Said claimed prior adjudication rested upon an action brought by father Bennett, as plaintiff, against appellant and appellee bank, as defendants, and tried on its merits in 1936, about one year prior to the trial of the case at bar. In the former trial father Bennett alleged the bank was holding $1,221.84 of his funds on account of claims made thereto by appellant and prayed judgment therefor. The bank answered that father Bennett and appellant were both claiming said funds; that it claimed no interest therein and was holding the same for delivery as the court might direct. Appellant answered setting up the aforementioned agreement with his father that he should have this $1,221.84, and counterclaimed against his father therefor.

In said counterclaim and based upon said alleged agreement, appellant also alleged that his father had deposited in said bank, in the name of appellant, $1,400 and $3,591.26 (as evidenced by the aforementioned certificates), and that said father withdrew from said bank the funds which he had theretofore deposited to the account of appellant, and refused to deliver said funds to appellant. Wherefore appellant prayed judgment against his father, among other things, for said sums of $1,400 and $3,591.26 deposited in said bank as aforesaid.

The reply of father Bennett to said counterclaim contained, in part, averments which generally denied the alleged contract with appellant and specifically denied that he made the deposits in question for appellant. Upon the issues thus made said *708 former case was tried and submitted to a jury under appropriate instructions setting out the claim that the father deposited in the bank for appellant’s use and benefit, on June 8, 1932, the sum of $3,591.26, and on May 31, 1933, the sum of $1,400, and the issues between the father and son relative thereto. The jury was instructed that if a contract was made between father Bennett and appellant to the effect that father Bennett would deposit sums of money in the bank for appellant and thereafter father Bennett did deposit $1,400, or other definite sum or sums, for appellant, then such contract was enforceable, and the jury should allow appellant such amounts as it found father Bennett deposited in said bank for the use and benefit of appellant in conformity with said contract. The verdict of the jury and the judgment thereon were for appellant on his counterclaim for $1,221.84, which covered only the first item of appellant’s counterclaim, not included in this case, and did not include the amount represented by either of the certificates of deposit in question.

It was and is the plea and contention of appellee that this judgment constituted a final adjudication that the father, who had previously cashed the certificates evidencing said deposits, was the owner thereof and that appellant was not the owner thereof, nor entitled thereto; that said adjudication is binding upon appellant and bars him from maintaining this action.

Although appellee bank was a party to said former suit, it filed no pleadings therein other than its answer above mentioned. In both cases the two certificates of deposit, stamped “paid Jul. 20, 1933”, were part of the evidence, and, from appellant’s cross-examination in the case at bar, it appears that in each trial he testified similarly with reference to a visit to the bank and an inspection of its records covering two deposits in controversy. At the conclusion of the evidence in the case at bar, a verdict was directed in favor of the bank and against appellant, and judgment entered accordingly, from which this appeal is taken.

Although the verdict was directed generally it appears to have been based upon the effect of the former adjudication. In that case the father was plaintiff, and appellant and appellee were co-defendants. However, their positions were not identical since the bank made no claim to any of the funds in question. The first case was predicated upon the arrangement with the *709 father, under which appellant claimed the deposits by the father were made to the account of appellant and, therefore, he had title in and ownership of the funds. This alleged state of facts also constituted the foundation of the case at bar.

In the former case appellant also alleged that the father withdrew the funds from the bank and refused to deliver them to appellant. This allegation although not formally admitted, was apparently undisputed and no instruction to the jury appears to have been required upon it. The paid certificates of deposit, in evidence in both cases, established the fact that the funds in dispute had been withdrawn from the bank on July 20, 1933.

That the deposits had been made was undisputed. The issue in both cases was hoiv they had been made. In each it was necessary for appellant to prove title in order to succeed. Since he was relying upon the same title in both cases, it follows that in each the same evidence would be necessary to establish such title and ownership.

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Bluebook (online)
285 N.W. 266, 226 Iowa 705, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bennett-v-monticello-state-bank-iowa-1939.