Booth v. Friedman

255 P. 222, 82 Cal. App. 174, 1927 Cal. App. LEXIS 693
CourtCalifornia Court of Appeal
DecidedApril 4, 1927
DocketDocket No. 5833.
StatusPublished
Cited by8 cases

This text of 255 P. 222 (Booth v. Friedman) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Booth v. Friedman, 255 P. 222, 82 Cal. App. 174, 1927 Cal. App. LEXIS 693 (Cal. Ct. App. 1927).

Opinion

STURTEVANT, J.

Claiming that M. S. Eisner, deceased, was at the time of his death under obligation to pay the plaintiff certain moneys, the plaintiff commenced this action against the defendants as executors of the estate of the deceased. The trial court made findings in favor of the plaintiff and a judgment in accordance with those findings was entered. From that judgment the defendants have appealed and have brought up a bill of exceptions. On the appeal the appellants attack certain findings as not being supported by the evidence. Before taking up a consideration of those attacks it is necessary to recite some of the facts.

Prior to the year 1920 the Novelty Products Company, a corporation, had been engaged in the manufacture of toys. It had a paid-up capital of $100,000. B. D. M. Greene was president and manager. Under his solicitation $2,500 of the stock was sold to M. S. Eisner, deceased, and $2,500 was sold to F. E. Booth and $2,500 was sold to H. G. Maxson. B. D. M. Greene was the holder of $45,000 and other stockholders each held $2,500, more or less, making in all about twenty-five stockholders. In January, 1920, the Novelty Products Company owed the Bank of Italy on certain promissory notes. The bank was asking for security. On that *176 date, after certain conversations held, F. B. Booth, M. S. Eisner, and B. D. M. Greene signed a written guaranty in the sum of $10,000 in which they recited, “we hereby promise and agree to pay to you at any time upon demand, in United States gold coin, the full amount of principal and interest due to you from said the Novelty Products Company at the time of said demand, not exceeding the sum of $10,000.” On March 14, 1920, F. E. Booth was in Europe and a similar paper in the sum of $5,000 was signed by M. S. Eisner and B. D. M. Greene. On May 17, 1920, under similar circumstances the latter two signed another guaranty in the sum of $3,000; Later, when F. E’. Booth had returned, the bank asked that it be given one guaranty and that the others be taken up. On November 12, 1920, a document identical in form, but in the principal sum of $18,000, was signed by F. E. Booth alone and was delivered to the bank and thereupon the bank surrendered the three guaranties for $10,000, $5,000, and $3,000 respectively. Thereafter F. E. Booth was compelled to pay the bank. Having paid the bank, he made his claim to the executors to be reimbursed to the extent of one-third of the amount so paid by him. The claim was rejected and thereupon he brought this suit and in his complaint he pleaded his cause of action in accordance with the claim theretofore presented by him.

Whenever the bank asked for a guaranty, B. D. M. Greene communicated the request to the decedent. In turn the decedent acted alone or took the matter up with F. E. Booth and later communicated with B. D. M. Greene. Each of the first three guaranties was on the printed form of the Bank of Italy; each was in duplicate; when B. D. M. Greene received them he signed one copy only and delivered both copies into the hands of M. S. Eisner; and when M. S. Eisner or F. E. Booth, or both, had signed, the signed copy was returned to B. D. M. Greene and he delivered it to the bank. All of these steps were taken as to the one sued on except this, the record shows that B. D. M. Greene never saw either copy after he delivered them to M. S. Eisner. It does not show who delivered it to the Bank of Italy. Although B. D. M. Greene was the principal witness of the plaintiff, he testified that he could not account for his signature not being on the guaranty dated November 12, 1920. There was no evidence explaining its absence. There was no evidence, *177 oral or written, accounting for the absence of M. S. Eisner’s name from the same document except the testimony of F. E. Booth hereinafter set forth.

The appellants claim that the sixth finding is not supported by the evidence. That finding is as follows: “That at the time of the execution of said eighteen thousand dollar ($18,000) guarantee agreement and thereafter, and in consideration of the execution thereof by said F. E. Booth, as aforesaid, the said Milton S. E'isner agreed and acknowledged that he was responsible for, and would pay to F. E. Booth, one-third (%) of any amount which the said F. E. Booth might be obliged to and did at any time actually pay to the said Bank of Italy by virtue and because of the execution of said eighteen thousand dollar ($18,000) guarantee agreement by the said F. E. Booth, and that said Milton S. Eisner would pay to the" said F. E. Booth said one-third (%) of such amount whenever and at such time as the said F. E. Booth paid to the Bank of Italy such sums as the said F. E. Booth became liable for to the said bank because of said eighteen thousand dollar ($18,000) guarantee agreement.” The appellants claim there is no testimony in the record to the effect that the deceased promised to pay one-third of the amount paid to the bank by F. E. Booth; that there is no testimony in the record that the deceased authorized F. E. Booth to make any payment to the bank and that there is no testimony in the record that the deceased would repay F. E. Booth “whenever and at such time as” F. E. Booth might pay the bank.

Before proceeding further it should be stated that the F. E. Booth Company had on its books an account of other transactions and of moneys loaned by it to the Novelty Products Company, but none of those matters comes within the scope of this litigation. However, some of the conversations held between the decedent and representatives of the F. E. Booth Company were concerned with the book account and not with the guaranties held by the bank.

When the plaintiff was introducing its case in chief it called F. E. Booth as a witness. The defendants interposed an objection to his testimony. (Code Civ. Proc., sec. 1880, subd. 3.) The objection was sustained and the witness withdrew.

*178 Between the time that the first guaranty was signed and his death, the decedent held conversations from time to time with B. D. M. Greene, James G. Jessie, secretary of the F. E. Booth Company, and H. G. Maxson, assistant general manager of the F. E. Booth Company. The last two took the stand and testified to certain admissions made by the decedent. Some of those admissions tended to support the case of the plaintiff. When the plaintiff rested the defendants called certain witnesses and offered proof of statements made by F. E. Booth and by some of Ms witnesses inconsistent with the theory of the plaintiff’s case. In rebuttal F. E. Booth took the stand and testified as to his recollection as to the connection in which those inconsistent statements were made by him. Among other things in his direct examination, he testified: “I don’t know whether it was that particular day or at a subsequent meeting, but I told them why this $18,000 note was signed, and I told them further that Eisner had asked me, in view of the fact that I owned twice as much stock as he did, and in view of the further fact that he didn’t want to entangle his financial affairs — he had had some difficulty, he told me, and I told them, with some sheep business and one thing and another, and he asked me as a favor if I would not let his name be off of that note, but that he assured me on his word that this responsibility would not be rubbed out, that it would remain just the same as if his name was on that. All this I explained to young Milton and to Mr.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Jans v. Nelson
100 Cal. Rptr. 2d 106 (California Court of Appeal, 2000)
Niederer v. Ferreira
189 Cal. App. 3d 1485 (California Court of Appeal, 1987)
Berrington v. Williams
244 Cal. App. 2d 130 (California Court of Appeal, 1966)
Jackson v. Lacy
100 P.2d 313 (California Court of Appeal, 1940)
Stankey v. Palmer
44 P.2d 382 (California Court of Appeal, 1935)
Manuel v. Hicks Iron Works
14 P.2d 756 (California Supreme Court, 1932)
Harris v. Holland
290 P. 903 (California Court of Appeal, 1930)
Haley v. Traeger
268 P. 459 (California Court of Appeal, 1928)

Cite This Page — Counsel Stack

Bluebook (online)
255 P. 222, 82 Cal. App. 174, 1927 Cal. App. LEXIS 693, Counsel Stack Legal Research, https://law.counselstack.com/opinion/booth-v-friedman-calctapp-1927.