Cornille v. R. G. Dun & Co.

79 So. 855, 143 La. 173, 1918 La. LEXIS 1567
CourtSupreme Court of Louisiana
DecidedJune 29, 1918
DocketNo. 21278
StatusPublished
Cited by3 cases

This text of 79 So. 855 (Cornille v. R. G. Dun & Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Cornille v. R. G. Dun & Co., 79 So. 855, 143 La. 173, 1918 La. LEXIS 1567 (La. 1918).

Opinion

O’NIELL, J.

The only question presented for decision is whether the method provided by article 198 of the Code of Practice, for service of citation “on any commercial association trading under a title or as a firm,” applies to an ordinary partnership, i. e., a partnership of which the members are liable only jointly.

The suit is for damages for injury alleged to have been done by defendant to plaintiffs’ commercial standing and credit, by an alleged publication and circulation of reports said to be false and libelous.

The plaintiffs alleged in their petition that the defendant, R. G. Dun & Co., was a commercial firm, composed of several persons whose names were unknown to petitioners, and domiciled and doing business in the parish of Orleans, state of Louisiana. The prayer of the petition was for service upon and judgment against the commercial firm of R. G. Dun & Co. There was no demand for service upon or judgment against any individual member of the firm.

The citation was addressed: “To the commercial firm of R. G. Dun & Company, New Orleans.” Service was made by delivering a copy of the citation and petition into the hands of a clerk in the employ of the defendant, in the company’s office in New Orleans; all of the members of the firm being then absent. The sheriff’s return is in due form, and its recitals are not disputed.

The defendant excepted to the mode of service of citation, and to the jurisdiction of the court, on the following grounds, viz.:

(1) That the defendant was not domiciled in New Orleans, but in New York City, to the knowledge of the plaintiffs, and that none of the members of the firm were residents of, or were actually in, the state of Louisiana.

(2) That the defendant was not a commercial firm, but an ordinary partnership; and that service of citation on a clerk in the firm’s office was not according to law and was invalid.

(3) That the service of citation was not made upon a person alleged in the petition to be a duly authorized agent of R. G. Dun & Co., as required by the Code of Practice.

(4) That there had not been a legal service of citation upon any duly authorized agent, nor service upon any person authorized to be served, under the laws of this state.

On trial of the exceptions, the defendant proved by the testimony of the clerk, in whose hands the copy of the citation and petition had been left, that he did not accept service or acknowledge its validity, nor pretend to have authority to represent the firm [1047]*1047in the matter of service of citations, when the papers were served upon him. He acknowledged that he was, and had been continuously for 17 years, a clerk in the defendant’s employ, in the New Orleans office, in which the company conducted its business in this district. The defendant then proved, by the testimony of the district manager, that the company’s home office was in New York City; that the firm was composed of three members, residing, respectively, in New Jersey, New York, and Maryland; that the business of the firm consisted in procuring and furnishing to its subscribers information regarding the financial standing, credit rating, etc., of traders and business establishments generally; and that the firm also conducted a collection agency, collecting bad debts, but was not engaged in buying or selling goods or property of any kind. It was shown, by the testimony of the district manager, that the defendant had maintained the same office in New Orleans for more than 30 years, paying a license to the city and to the state for the business conducted there.

The plaintiff then introduced in evidence, in connection with the cross-examination of the district manager, the petitions in three suits in which R. G. Dun i& Co. had obtained judgments by default against other and different parties, in the city court of New Orleans ; which suits were filed, respectively, seven, four, and three months prior to the institution of the present suit. The purpose of the evidence was to prove that R. G. Dun & Co. was a commercial firm doing business in New Orleans, and had judicially acknowledged that fact. The petition in each of the three suits in the city court declared that it was the petition of R. G. Dun & Co., a commercial partnership, domiciled and doing business in the city of New York, state of New York, and also doing business in the city of New Orleans, state of Louisiana.

On re-examination of the district manager, the defendant proved that the allegation, in each of the previous suits, that R. G. Dun & Co. was a commercial partnership, was made by the attorneys for the company without authority from the manager, who did not know the difference between a commercial and an ordinary partnership. The evidence was promptly objected to by plaintiff’s attorney, on the ground that the defendant was estopped and forbidden to deny the judicial declaration that the firm was a commercial partnership, especially without having alleged that the declaration was made in error. The objection was overruled, and a bill of exceptions was reserved and is urged in this appeal.

The district court held that the defendant was only an ordinary partnership, not a commercial partnership, and that the only legal or effective method of serving citation upon an ordinary partnership was by service upon each and every member of the firm, in person. The ruling of the court was that the service of citation in this case had no effect, that the defendant was dispensed and relieved from answering the suit until legally cited, and that no other exception was passed upon. From that ruling, the plaintiffs prosecute this appeal.

Opinion.

It is conceded by the defendant that, as the district court did not decide or consider the plea to the jurisdiction, we are not now called upon to decide whether the court has jurisdiction to render a judgment against the defendant partnership in this suit, if the service of citation is legal. In other words, the question whether the firm or partnership styled R. G. Dun & Co., doing business in New Orleans, is within the jurisdiction of the civil district court, is not now before us for decision.

• Assuming, merely for the purpose' of this decision, that the defendant partnership is subject to the process of the civil district court, the question is whether the partner[1049]*1049ship has been legally cited. And, in our opinion, that question does not depend upon whether the defendant is a commercial partnership or only an ordinary partnership; that is to say, whether it is a partnership for whose debts the members are liable in solido, or a partnership for whose debts the members are liable only jointly. Hence we deem it unnecessary to decide now whether the defendant is judicially estopped or bound by the declaration, made in the other suits, that the firm was a commercial partnership.

Article 198 of the Code of Practice purports to provide a method or process for serving citation upon any and every character of juridical or fictitious being, or association of persons.

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Bluebook (online)
79 So. 855, 143 La. 173, 1918 La. LEXIS 1567, Counsel Stack Legal Research, https://law.counselstack.com/opinion/cornille-v-r-g-dun-co-la-1918.