Brewer v. De Camp Glass Casket Co.

139 Tenn. 97
CourtTennessee Supreme Court
DecidedSeptember 15, 1917
StatusPublished
Cited by10 cases

This text of 139 Tenn. 97 (Brewer v. De Camp Glass Casket Co.) is published on Counsel Stack Legal Research, covering Tennessee Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Brewer v. De Camp Glass Casket Co., 139 Tenn. 97 (Tenn. 1917).

Opinion

Me. Chibe Justice Neil

delivered the opinion of the Court. ”

The hill was filed to attach a fund belonging to- the defendant company in the First National Bank of Kingsport. There was a motion to dismiss the bill and in the alternative a demurrer in case the motion should fail. It was agreed between the parties that if the motion should be sustained the demurrer should'not he considered an entry of appearance. The chancellor disallowed the motion and overruled the demurrer, but, under the statute applicable to the subject, granted an appeal to this court.

The defendant company is a foreign corporation that has not complied with our statutes authorizing such corporations to do business in the State, hut its president and secretary and treasurer and several of its directors, all mentioned in the bill,' reside in Tipton county, of this State. It has no office or place of business in Sullivan county, but has property there, consisting of about $10,000 on deposit in the First National Bank of Kingsport in that county, which hank is made a defendant.

The complainant sues on a contract for personal services which will presently he more particularly mentioned.

■ The business of the .corporation, as described in the bill, was the making of glass burial caskets and also other articles of glass. It contemplated building a factory for these -purposes at Kingsport and had obtained an option on ten acres of silicate- lands. [101]*101Its purpose was to construct a plant that would cost about $75,000. It employed the complainant as its general superintendent, as he alleges, for the period of two years at the price of $5,000 a year, payable in installments as he should desire, and at the end of each year he was to have a certain proportion of the stock. The bill alleges, in addition to the foregoing matters, that the defendant company was a “foreign investment company,” and that it had been engaged in the sale of its stock in Sullivan county, “and perhaps other counties in this State.” After alleging that the defendant company had not complied with our laws for the domestication of foreign corporations, the bill continued:

“But it has complied with the act of September 27, 1913, being chapter 31 of the printed acts of said year and familiarly known as the ‘Blue Sky Law.’ ”

Among other requirements of the statute referred to, such corporations as it applies to were required to file with the Secretary of State an authorization to accept service of process when suit should be brought in any county of the State. The defendant company filed such authorization, and on process being sent to him, directed to the sheriff of Sullivan county, where the bill was filed, the Secretary of State acknowledged service in the name of the defendant company. This is the first ground on which the complainant insists that the court acquired jurisdiction of the defendant company. The chancellor held [102]*102that the act of 1913 referred to did not apply to corporations of the class to which the defendant belongs. The first question suggested is whether this decision of the chancellor was correct. This question we pretermit as unnecessary to a decision of the cause.

The complainant’s chief claim to effective jurisdiction over the defendant is based on his attachment of its funds in the hands of the First National Bank of Kingsport, on the ground of the defendant’s non-residence. At this point it is necessary that we set out the motion to dismiss, which was made in the chancery court. That motion reads:

“Come all the defendants, and appearing specially for the purpose of denying the jurisdiction of the court in this cause, except First National Bank, and moved the court to dismiss the bill in this cause as to them, because it appears from the bill and record in the cause that this court has not jurisdiction of the persons of these defendants, because it is alleged in the bill that said company is a foreign corporation with officers and agents in Tipton county, Tenn., upon whom process can be served, and that the other defendants are residents of Tipton county, Tenn., and this suit must be brought in the county where said officers and agents of said De Camp Glass Casket Company reside, or are found, and in the county where said other defendants reside or are found.”

The predicate of the motion is that, where there is an office or agency in any county of the State, the [103]*103foreign corporation to which it belongs must he sued there, and cannot be proceeded against by attachment of its property in lieu of personal service in any other county where its property may be found.

It is not a sound proposition that because suit may he brought and personal service had on an agent of a non-resident corporation, in one or more counties of this State, where it has an office or agency, on causes of action growing out of or connected with the business of such corporation, an action may not be commenced against it, on those or other causes of action, by original attachment in another county where it has no such office or agency, but in which it has property located. The reverse is true. To hold differently would, in our judgment, be a perversion of our statutes, and would greatly narrow the remedies of our citizens against non-resident corporations. A non-resident corporation might own real or personal property, or both, in many counties of the State, with an office or agency in only one. It would be unreasonable to require a citizen of the State having a demand against such non-resident to go to a distant part of the State, to bring his suit, when there is property in his own county out of which satisfaction might be had. Indeed, such a requirement would make it necessary for the citizen, before- bringing his attachment suit, to make inquiry in every county of the State for the purpose of ascertaining whether his non-resident debtor had an office or agency located in any one of the counties. It does not appear why he should be subjected [104]*104to that inconvenience and expense. There is nothing in our statutes to justify such an imposition.

In Shannon’s Code (Thompson’s Edition) section 4515, it is provided that:

“In actions commenced by the attachment of property without personal service of process, . . . the attachment may be sued out or suit brought in any county where the real property, or any portion of it, lies, or where any part of the personal property may be found.”

Section 5211 declares:

“Any person having a debt or demand due at the .commencement of an action . . . may sue out an attachment at law or in equity, against the property of a debtor or defendant in the following 'cases: (1) Where the debtor or defendant resides out of the State. ’ ’

These two sections lay down the general rule for obtaining effective jurisdiction or non-resident defendants ; that is, by attachment of their properties in any county of the State where it may be found. We now reach another class of cases, those covered by sections 4539 to 4541, inclusive. This class is one in which a suit may be brought against a corporation, either resident or non-resident (Coke & Coal Co. v. Southern Steel Co., 123 Tenn., 429, 131 S. W., 988, 31 L. R. A. [N. S.], 278), in the county where the company has its chief office, by service of process on certain designated officers or agents in a prescribed order of precedence.

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139 Tenn. 97, Counsel Stack Legal Research, https://law.counselstack.com/opinion/brewer-v-de-camp-glass-casket-co-tenn-1917.