Coral Gables Corp. v. Hamilton

147 S.E. 494, 168 Ga. 182, 1929 Ga. LEXIS 100
CourtSupreme Court of Georgia
DecidedFebruary 23, 1929
DocketNos. 6620, 6645
StatusPublished
Cited by29 cases

This text of 147 S.E. 494 (Coral Gables Corp. v. Hamilton) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Coral Gables Corp. v. Hamilton, 147 S.E. 494, 168 Ga. 182, 1929 Ga. LEXIS 100 (Ga. 1929).

Opinion

Russell, C. J.

(After stating the foregoing facts.)

We are of the opinion that the court did not err in overruling the motion to dismiss, based upon the ground that the court was without jurisdiction. It may suffice to say that under the provisions of our Civil Code (1910), § 5055, non-residence of a defendant is one of the grounds of attachment; and under the provisions of section 5102 the plaintiff in attachment is required to file a declaration at the term succeeding the levy of the attachment, which is, for the purpose of the proceedings, in a sense the appearance term of the case. Under the provisions of the uniform procedure act of 1887 (§ 5406), one who is proceeding in any action at law may avail himself in the superior court of any equitable remedy which is more expedient or efficacious than the processes of law, and may avail himself of equitable remedies not only to avoid circuity of action and a multiplicity of suits, but he may also invoke the extraordinary remedies afforded by courts of chancery in order to preserve his rights by maintaining the status of all tangible assets of his debtor to be found within the jurisdiction of the court, until the rights of the petitioner can be determined. [192]*192Treating the petition in this case as the filing of the petition, required by section 5102 in cases of attachment, without regard to the ground upon which the attachment is based, the petitioners had the right to file an equitable petition ancillary to the proceeding by attachment. Section 5102 is as follows: “When the attachment has been returned to the proper court, the subsequent proceedings shall be in all respects the same as in cases where there is personal service; and when the attachment is returnable to the superior or county court, the plaintiff shall file his declaration at the first term.” Conceding that a declaration in attachment, like any other petition, must show the jurisdiction of the court, and though the petition in the present instance alleges that the Coral Gables Corporation is not a resident of this State, all of the facts stated in the petition show that the main purpose of the petitioners in attachment is to obtain a judgment in rem against property and money alleged to be within the jurisdiction of the court and in the hands of certain named persons and corporations resident and doing business in the State of Georgia. The declaration shows upon what property or funds the judgment is to operate. The prayer is for an equitable attachment.

It is now well settled that citizens of this State will not be required to pursue their rights in- foreign forums, when there is property of a non-resident within this State and subject to the jurisdiction of its courts, which supplies a res available to the courts which will enable them to administer justice. As said in 15 E. C. L. 632, § 75, “The seizure of property by a court, required in order to confer jurisdiction to enter a judgment in rem in reference to it, in the absence of personal service on the parties having interests therein, is usually by writ of attachment; but it is immaterial whether the proceeding against the property be by an attachment or bill in chancery or other equivalent, if it be substantially a proceeding in rem.” Where an award against property specifically described is sought, the proceeding has generally been regarded as one quasi in rem, so as to give the court jurisdiction against the property which is itself within the jurisdiction of the court. In the petition now before us there is a sufficiently specific designation of the property sought to be reached by process of garnishment, and each of the garnishees appears to have been personally served. In support.of the proposition that equi[193]*193table proceedings may be resorted -to in subjecting property of a non-resident to just demands against him, the decision in Pennington v. Fourth National Bank, 243 U. S. 269 (37 Sup. Ct. 282, 61 L. ed. 713, L. R. A. 1917F, 1159), can well be cited. In that ease it was held that an injunction restraining a bank joined as defendant from paying out any part of the deposit standing in the name of the husband was a sufficient seizure to support a judgment ordering the payment of the balance to the wife, although the husband was a non-resident, was not served within the State, and did not appear. The court said: '“The objection that this proceeding was void, because there was no seizure of the res at the commencement of the suit, ’ is also unfounded. The injunction which issued against' the bank was as effective a seizure as the customary garnishment or taking on trustee process. Such equitable process is frequently resorted to in order to reach and apply property which can not be attached at law.” As already stated, there are many cases in which the law by reason of its universality can not supply a remedy as appropriate or as efficient as those within the power of courts of equity; and therefore this petition properly asked the application of equitable principles in subjecting to the demands of the petitioners the property alleged to be in the hands of the other defendants named in the petition.

It can not be said that the petition is subject to general demurrer for the reason that it sets out no cause of action against the defendant. According to their allegations, the petitioners were the victims of fraudulent representations which induced them to part with several thousand dollars for nothing but a few square feet of ground in and on the banks of an alluvial swamp. The defendant corporation through its agents (if the allegations of the petition be true) were guilty of frauds of several kinds which subjected them to the liabilities imposed -by the shortest section of the Code, which declares that “fraud voids all contracts.” They purchased land which is valueless unless it is supplied with all of the modern conveniences and luxuries which were held before their eyes to induce them to purchase. Yet even upon this piece of primeval earth 50 feet by 100 feet they were forbidden to build a habitation costing less than the many thousands of dollars stipulated in the contract, even though they be supplied with none of the conveniences which were stipulated to be supplied, such as [194]*194paved streets and sidewalks, facilities of rapid transit, electric lights, and water. ■ It is so well settled that a petition which is amendable will withstand a general demurrer, and that its defects can not be reached except by timely and appropriate special demurrers, that citation of authority is not deemed necessary. But having stated the contents of the petition, it is apparent that there are several grounds upon which the petitioners would be entitled to seek a rescission. And while the plaintiffs can not have complete rescission of the contract, inasmuch as the defendant corporation is a non-resident and service has not been obtained, nevertheless, under the prayer for rescission, under the facts pleaded, petitioners are entitled to have the contract, because of fraud, declared void in so far as the property or funds seized by the court in this State are concerned. If other allegations would not afford ground for rescission and the restoration or return of the payments made by the petitioners, the stipulations in which the company agreed to furnish the conveniences to which we have just referred would suffice to prevent the dismissal of the petition as a whole.

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Bluebook (online)
147 S.E. 494, 168 Ga. 182, 1929 Ga. LEXIS 100, Counsel Stack Legal Research, https://law.counselstack.com/opinion/coral-gables-corp-v-hamilton-ga-1929.