Billings v. Bennett

289 A.2d 590, 265 Md. 390, 1972 Md. LEXIS 962
CourtCourt of Appeals of Maryland
DecidedApril 17, 1972
DocketNo. 316
StatusPublished

This text of 289 A.2d 590 (Billings v. Bennett) is published on Counsel Stack Legal Research, covering Court of Appeals of Maryland primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Billings v. Bennett, 289 A.2d 590, 265 Md. 390, 1972 Md. LEXIS 962 (Md. 1972).

Opinion

Barnes, J.,

delivered the opinion of the Court.

This appeal presents to us the question of whether the Circuit Court for Howard County (Mayfield, J.) properly granted a summary judgment on October 20, 1971, in favor of the appellee, Marguerite C. Bennett, who was the defendant below, for costs.

On April 6, 1967, Billings, who is not a member of the Bar of Maryland, filed his original Declaration in proper person in the Circuit Court for Anne Arundel County. This Declaration is an elaborate document of some seven legal-size typewritten pages and contains eight alleged causes of action. It begins by reciting that the plaintiff, Billings, sues the defendant, Marguerite C. Bennett, “as a result of deliberate, premeditated, and calculated actions on the part of the defendant, her attorney, and others, which resulted in the defrauding of the plaintiff.”

The first cause of action alleged that shortly after the signing by the parties of an agreement on April 6, 1965, for the purchase by the plaintiff of all the stock held by the defendant in Edwin Bennett, Inc., a Maryland corporation, the defendant was advised, through her attorney, that contrary to paragraph 1 (b) of the agreement of April 6, 1965, providing “(b) That the inventory of stock, goods, wares, and merchandise attached hereto as Exhibit ‘A’ is an accurate and complete inventory of all of the stock, goods, wares and merchandise of said Corporation as of March 31, 1965, and said inventory is [392]*392shown at cost value,” some 64 specifically described items with an alleged value of $890.57 were missing from the inventory of the corporation.

For the second cause of action, Billings alleged that the defendant, through her attorney, was advised that contrary to paragraph 1 (c) of the agreement, providing “(c) That the total debts, dues, obligations, liabilities and payables of said Corporation are correctly and completely shown on Exhibit ‘B’ attached hereto and made a part hereof, and that Seller is not aware of any other Corporate liabilities other than those as shown on Exhibit ‘B’, and agrees to be personally responsible for any Corporate obligations incurred prior to the date of this Agreement, not appearing on Exhibit ‘B’,” three accounts payable, specifically listed, were incorrectly listed with a shortage of $150.16 and six accounts payable, identified by name and amounts, totaling $427.23, were not listed at all.

The third cause of action claims that the defendant, through her attorney, was advised that contrary to paragraph 1 (d) of the agreement providing “(d) That the total receivables of said Corporation are correctly and completely shown on Exhibit ‘C’, and Seller is not aware of any receivables or assets other than those as shown on Exhibits ‘A’ and ‘C’,” two receivables, identified by name and by net amounts, were listed at $116.87 above their actual worth and five of the receivables listed, identified by name and amounts, totaling $435.47 were unsubstantiated, for a grand total of $552.34 of erroneous and unauthorized accounts receivable.

The fourth cause of action alleged that the defendant, through her attorney, was advised that contrary to the agreement and the balance sheet of March 31, 1965, being a part of the agreement, three errors in assets, in addition to those already set forth, were present, which were specifically identified and totaled in net amount of $4,228.61.

In the fifth cause of action, it was alleged that the [393]*393defendant, through her attorney, was advised that contrary to the agreement and the balance sheet, three errors in liabilities, in addition to those already stated, were present, which were specifically described In some detail, with a net “deficit” of $1,452.18.

The sixth cause of action claims that the defendant failed to advise the plaintiff that the Maryland Corporate Income Tax in the amount of $509.46 was unpaid for the year ending January 21, 1963, for which amount the plaintiff makes claim.

The seventh cause of action claims that the plaintiff had learned of a suit instituted by Jeppesen & Company against the corporation as a result of a claim dating back to 1963, which had been under negotiation at that time, and that in answer to a specific question by the plaintiff as to the existence of any outstanding disputes, the defendant, through her attorney, replied “none” just prior to signing the agreement.

The eighth and final cause of action claims that the defendant agreed to pay a one-fourth part of the total 1965 taxes due the City of Annapolis and the State of Maryland; but this portion of $160.08 due the plaintiff has never been paid.

The Declaration then continues:

“Plaintiff deposes and says that in addition to the losses suffered by the eight aforementioned causes of action, he has been forced to spend added time and monies, including legal fees, on matters relative to the original purchase agreement signed with the defendant. Further, that these added expenses were incurred as a direct result, not only of the carelessness of the defendant, her attorney, and other associates, but also as a result of deliberate, calculated, and premeditated misstatement, deception, and fraud. Despite repeated demands by the plaintiff directly and through his attorneys, defendant [394]*394steadfastly refuses to admit any of plaintiff’s allegations or offer any settlement.”

The ad damnum clause recites:

“Wherefore, this suit is brought and plaintiff, because of the deliberate fraud, asks triple-[punitive?] damages in total amount of $150,-000.00 plus interest from date of filing and any court costs or other legal fees which might be incurred.”

There was a demand for a jury trial filed with the Declaration.

On May 12, 1967, the defendant demanded the production of the agreement of April 6, 1965, in accordance with Maryland Rule 326 and a photostatie copy of this agreement was filed by the plaintiff on May 26, 1967. On the same day the plaintiff filed a suggestion for removal and the Circuit Court for Anne Arundel County, on May 31, 1967, ordered that the action be removed to the Circuit Court for Howard County. This was done and on August 29, 1967, the defendant filed the general issue pleas in assumpsit — never promised as alleged and never indebted as alleged. Then follows some skirmishes in regard to interrogatories; and on January 18, 1968, Billings requested that LeRoy Bald, co-executor of the estate of Edwin Bennett, II and former secretary of the corporation, be joined as a party defendant. This request was granted by Judge Mayfield on the same day, January 18.

Bald, the new defendant, demurred to the “Request for Joining Added Parties” on the ground that the “plaintiff fails to state a cause of action against LeRoy Bald.” This “demurrer” was sustained by the lower court on March 19, 1969, with leave to amend. Billings then employed local counsel, who on his behalf, on April 1, 1969, filed a motion to extend the time to amend the Declaration from April 3 to April 18, Billings — a nonresident of [395]*395Maryland — being on a business trip to Maine and not expected to return until April 10.

On April 25, 1969, local counsel for Billings, reciting that disagreement had arisen between them and a lack of cooperation by Billings, filed a motion to strike their appearance of which due notice had been given; and the lower court granted this motion the same day.

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Related

Kline v. Lightman
221 A.2d 675 (Court of Appeals of Maryland, 1966)

Cite This Page — Counsel Stack

Bluebook (online)
289 A.2d 590, 265 Md. 390, 1972 Md. LEXIS 962, Counsel Stack Legal Research, https://law.counselstack.com/opinion/billings-v-bennett-md-1972.