Consolidated Public Utilities Co. v. Baile

136 A. 825, 152 Md. 371, 1927 Md. LEXIS 126
CourtCourt of Appeals of Maryland
DecidedFebruary 16, 1927
StatusPublished
Cited by15 cases

This text of 136 A. 825 (Consolidated Public Utilities Co. v. Baile) 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
Consolidated Public Utilities Co. v. Baile, 136 A. 825, 152 Md. 371, 1927 Md. LEXIS 126 (Md. 1927).

Opinion

Urner, J.,

delivered the opinion of the Court.

As the lessee of the Albion Hotel property in Westminster, the plaintiff suffered losses in consequence of the seepage of water into the basement of the building. The damages thus sustained are sought to be recovered from the defendant corporation on the theory that the water causing the injury percolated through the foundation walls from a leak in one of the mains forming part of the public water supply system, which the defendant owns and operates. The plaintiff’s term as tenant of the building ended on September 22nd, 1922, but this suit was not brought until August 19th, 1925. An important feature of the defense was the effort to prevent recovery of any damages incurred beyond the statutory limitation period of three years. But the suit was also resisted on the basis of a denial that the defendant’s water main was the source of the seepage into the building which the plaintiff occupied.

The presence of water in the basement was first noticed by the plaintiff in 1911. Erom that time, until his tenancy ended, water continued to enter the basement in sufficient quantities to interfere with the use of the bowling alleys there located, and finally to cause their abandonment and ruin. Complaints were made by the plaintiff and his lessor to the superintendent of the defendant company, on the *374 supposition that the water was escaping from the defendant’s main in the street on which the leased building fronted. But as the result of investigations, chiefly made by driving a steel rod into the ground at various points along the course of the main, the superintendent concluded that it was not leaking, and so informed the plaintiff and his landlord. The complaints and tests were repeated at intervals, but the source of the water was not discovered, or its flow abated, until 1924, when, upon an urgent demand by the owner of the building, the defendant made excavations along the line of the main in the adjacent street, and found a leak, which was promptly repaired. Since that time, according to the testimony, the basement has been free of water. The evidence to that effect doubtless influenced the jury to render a verdict for the plaintiff, notwithstanding the proof offered by the defendant suggesting other sources from which the water might have reached the building in the plaintiff’s possession.

The first question to be considered, on this appeal from the judgment on the verdict, is raised by an overruled demurrer to the plaintiff’s replication to the defendant’s plea of limitations. The plea stated that “the alleged cause of action did not accrue within three years before the bringing of this suit,” and the replication averred that “the said cause of action did accrue within three years prior to the filing of the said suit, inasmuch as the said defendant did fraudulently keep the plaintiff in ignorance of the said cause of action by denying and failing to ascertain that it was water from its main or mains seeping into said basement, although the said plaintiff did charge and notify the said defendant that he believed that said water was coming from its main or mains on or about the year 1917; and the fact that it was actually the water of said defendant seeping into said basement did not come to the knowledge of the plaintiff until May 1st, 1924, although the plaintiff had used ordinary diligence to discover the same.”

By section 14 of article 57 of the Cbde it is provided:

*375 “In all actions where a party has a cause of action of which he has been kept in ignorance by the fraud of the adverse party, the right to bring suit shall be deemed to have first accrued at the time at which such fraud shall or with usual or ordinary diligence might have been known or discovered.”

In support of the demurrer, it is contended that the replication does not meet the requirements of the Code provision for the suspension of the bar of limitations, because there is no sufficient allegation of any fraud of the defendant by which the plaintiff was kept in ignorance of his cause of action. The averment is that the defendant fraudulently kept the plaintiff in ignorance of the cause of action “by denying and failing to ascertain” that the water complained of came from its main. But the conduct thus specified may not have involved any element of fraud. It is not alleged that there was any bad faith in the defendant’s- denial and failure to ascertain that there was a leak in its main near the building into which the water percolated. In the case of Cumberland Glass Co. v. De Witt, 120 Md. 381, to which the appellee referred, the replication to the plea of limitations alleged that the defendant company fraudulently kept the plaintiff in ignorance of the cause of action “by fraudulently, deceitfully and dishonestly denying that it had in any way been guilty of any of the acts” charged in the declaration. The denial in this case is not so described. Because of the defendant’s denial, and failure to discover, that a leak in its main existed, the plaintiff’s suspicion as to such a leak appears from the replication to have remained for a long time unverified. But unless the denial was false, or the failure to discover was deceptive, the plaintiff was not thereby fraudulently kept in ignorance of his right to bring this suit. In alleging that the defendant failed to ascertain the existence of a leak in its main, the replication excludes the theory that the denial was made with knowledge that it was false, and there is no averment that the failure to make the discovery was in consequence of any desire or purpose to suppress the truth. The charge that the defendant “fraudulently” kept the plaintiff in ignorance of his cause of action *376 is not sufficient to -give a sinister character to the normally innocent conduct by which that result is alleged to have been accomplished. Lansford v. Moore, 145 Md. 420; Hughes v. McDougall, 142 Md. 1; Kinsey v. Drury, 141 Md. 684.

The plaintiff’s right of action accrued at the inception of his injury from the flow of water into the basement of the building in his occupancy, and he could enforce that right until the expiration of three years after he ceased to be thus injuriously affected. Code, art. 57, see. 1. But his recovery is limited to the damages sustained within three years prior to the suit, unless he can show that his delay, for a longer period, in bringing the suit, was due to his having been kept in ignorance of his cause of action by fraud of the defendant, which could not have been discovered by ordinary diligence. In this ease the plaintiff alleged in his declaration that in the fall of 1917 water from a leak in the defendant’s main began to seep into the basement of the building tenanted by the plaintiff, and that this cause of injury continued until the termination of his tenancy in September, 1922, and that the defendant negligently failed to repair the main, although repeatedly notified by the plaintiff of the injurious conditions. It was not of the fact and cause of his injury, but of the defendant’s responsibility for it, that the plaintiff remained in ignorance, according to his replication, until a time within the period of the statute of limitations. The ignorance thus alleged would not toll the statute, unless it was caused by a fraud which the defendant practiced.

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Cite This Page — Counsel Stack

Bluebook (online)
136 A. 825, 152 Md. 371, 1927 Md. LEXIS 126, Counsel Stack Legal Research, https://law.counselstack.com/opinion/consolidated-public-utilities-co-v-baile-md-1927.