Culliford v. Walser

3 A.D. 266, 38 N.Y.S. 199

Opinion

Hatch, J.:

Plaintiff instituted an action against one Montgomery Gadd and procured to be issued therein an order of arrest upon which the per[268]*268son of GadcL was taken in custody by the sheriff. For the purpose of procuring his release from custody, defendants executed an undertaking of bail in the sum of $1,000, whereby they jointly and severally Undertook, pursuant to the statute, that the said Gadd should at all times render himself amenable to the process of the court during' the pendency of .the action, and would at all times render himself amenable to any mandate which might be issued to enforce final judgment against him in the action. Final judgment was obtained against Gadd and duly entered. From this judgment he appealed to the General Term, where the same was affirmed, and judgment of affirmance, with costs, entered. From this determination he appealed to the Court of Appeals. This appeal was dismissed for fraud in the undertaking given to stay proceedings, and a judgment for costs was entered upon the dismissal. Subsequently lie filed a.new notice of appeal to the Court of Appeals, and procured the execution of a new undertaking staying proceedings. This appeal was heard upon the merits, and resulted in a judgment of affirmance, with costs, and judgment was dul-y entered thereon. Intermediate the dismissal of the first appeal and the perfecting of the new one, property executions were issued upon the three judgments first referred to, and all were returned unsatisfied. Upon the affirmance of the judgment in the Court of Appeals a property execution was issued upon the judgment entered therein, which was returned unsatisfied. Thereupon the plaintiff issued executions upon all of the judgments against the person of Gadd, and they were each returned by the sheriff as not found.

Upon the first appeal to the General Term Gadd procured to be executed an undertaking staying proceedings with ■ Cornelius C. Ellis and Franklin Wand as sureties therein. On the. day before the last appeal was perfected in the Court of Appeals by the filing of the undertaking, plaintiff commenced an action against Ellis and Wand as sureties upon this undertaking. Service of the summons therein was made only upon Ellis; he made default, and judgment was entered against him for the amount of the recovery against Gadd, together with the sum entered in the judgment of affirmance at the General Term, and the costs of the action. This judgment was obtained and entered during the pendency of - the last appeal in the Court of Appeals, and now remains wholly unsatisfied of record, [269]*269Rone of the judgments obtained against Gadd have ever been paid, and the same now remain undischarged of record. Prior to the affirmance of the judgment in the Court, of Appeals, and while the apj>eal was pending therein, plaintiff issued an execution upon the judgment recovered against Ellis, under which a levy was made upon his real property and the same was advertised for sale. Thereupon Ellis made' a motion to open his default and for leave to file an answer. The motion was denied, but an order was entered providing that upon payment by him of this judgment, with interest, disbursements and sheriff’s fees upon the execution, .the plaintiff assign the judgment against Gadd entered on the recovery and upon affirmance at the General Term, together with any cause of action the plaintiff may have against the present defendants upon the undertaking now the subject of consideration. Both parties disregarded this order, and thereafter the attorney for Ellis paid to plaintiff’s attorney a siim of money about equalling the judgment entered against Ellis, and the parties agreed that the action then pending upon appeal against Gadd should be prosecuted to a final determination for the benefit of Ellis, and that thereafter this action should be brought by and in the name of plaintiff for her and Ellis’ benefit, and that plaintiff should account to Ellis for all moneys received by her. Thereupon the sheriff was directed by plaintiff’s attorney to withdraw the executions, and upon the payment by Ellis of the expenses and fees the same was withdrawn and the levy released.

However involved and complex the various steps and proceedings which have been had, make this case, it appears with absolute clearness that the primary liability to pay rested upon Gadd, and when judgment was rendered against him it was. the contract of. defendants that they would render his body amenable to process, or in default thereof pay the judgment, not exceeding the sum stated in the undertaking. This was the primary liability as between the parties hereto. (Code Civ. Proc. § 575 ; Metcalf v. Stryker, 31 H: T. 255-257.) And the fact remains that up to the present time neither Gadd nor the defendants have paid anything, although the judgments against the former remain in full force and vigor, and defendants have at no time produced his body amenable to process. When plaintiff proceeded against the sureties in the undertaking on-appeal it did not affect the liability of Gadd to pay the judgment, [270]*270and defendants, by virtue of their contract as bail, were under the same obligations to pay after their liability became fixed, to the extent of their undertaking. When Ellis paid it did not work-a discharge of their liability or affect their undertaking, or discharge the debt of Gadd, unless it was so intended. There was no' privity between Ellis and the defendants; he paid to relieve himself from liability on the judgment, not to discharge the judgment against Gadd or relieve defendants. This position finds support in Madison Square Bank v. Pierce (137 N. Y. 444); Mechanics’ Bank v. Hazard (13 Johns. 352).

It is said, that these cases do not.apply to the present case, for the reason that the question arose between principal and surety and not between surety and bail, and a distinction is sought to be made between sureties and bail. But it has been said that bail are sureties, with the rights and remedies of sureties in other cases.” (Toles v. Adee, 84 N. Y. 222.)

The facts found and the evidence disclosed that there Was no intention upon the part of plaintiff or Ellis that his payment should operate as a discharge of deféndants from liability. The intention to work such a result must be clear, otherwise the liability remains where it primarily belongs. (Ontario Bank v. Hallett, 8 Cow. 192 ; Dunford v. Weaver, 84 N. Y. 445 ; Muller v. Eno, 14 id. 597-605.)

When Ellis paid he undoubtedly became subrogated to all the rights which plaintiff had or could enforce against the primary debtors. The judgment and undertaking were not affected by the act of Ellis in releasing himself.' They survived and remained available -to him as to the plaintiff in the action. (Townsend v. Whitney, 75 N. Y. 425.)

We quite agree with the claim that plaintiff “ cannot have- two satisfactions.” But because plaintiff cannot have this advantage it does not relieve the defendants from paying once the amount they have contracted to pay. Upon the facts it is quite clear that plaintiff is not to be paid twice. She has not assigned any judgment nor her right of action against the defendants, nor has either she or Ellis assumed to discharge defendants' from liability. What has been ■done is this: She has accepted some money from Ellis,, and has agreed with him that she will prosecute this action for the joint benefit of both, accounting to him for what she receives in the end. Both [271]*271have an interest.

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

Culliford v. Walser, 3 A.D. 266, 38 N.Y.S. 199 (N.Y. Ct. App. 1896).

3 A.D. 266 (Culliford v. Walser) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Dunford v. . Weaver
84 N.Y. 445 (New York Court of Appeals, 1881)
Townsend v. . Whitney
75 N.Y. 425 (New York Court of Appeals, 1878)
Toles v. . Adee
84 N.Y. 222 (New York Court of Appeals, 1881)
Hinckley v. . Kreitz
58 N.Y. 583 (New York Court of Appeals, 1874)
Madison Square Bank v. Pierce
33 N.E. 557 (New York Court of Appeals, 1893)
Appleby v. Robinson
44 Barb. 316 (New York Supreme Court, 1865)
President of the Ontario Bank v. Hallett
8 Cow. 192 (New York Supreme Court, 1828)
People v. Casborus
13 Johns. 351 (New York Supreme Court, 1816)
Madison Square Bank v. Pierce
17 N.Y.S. 270 (New York Supreme Court, 1891)
Rathbone v. Warren
10 Johns. 587 (Court for the Trial of Impeachments and Correction of Errors, 1813)