Dunkin v. Vandenbergh

1 Paige Ch. 622, 1829 N.Y. LEXIS 353, 1829 N.Y. Misc. LEXIS 89
CourtNew York Court of Chancery
DecidedOctober 6, 1829
StatusPublished
Cited by26 cases

This text of 1 Paige Ch. 622 (Dunkin v. Vandenbergh) is published on Counsel Stack Legal Research, covering New York Court of Chancery primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Dunkin v. Vandenbergh, 1 Paige Ch. 622, 1829 N.Y. LEXIS 353, 1829 N.Y. Misc. LEXIS 89 (N.Y. 1829).

Opinion

The Chancellor :—On a bill filed in this court for a set-off, the powers of this court are more extensive than those of courts of common law where a set-off is claimed there in the ordinary progress of a suit. But on applications of this kind I apprehend the ground on which relief is granted is the same in all courts. It is the equitable control which they *are authorized to exercise over the parties and proceedings in causes before such courts, to prevent injustice. Hence one court will not order a party against whom a judgment has been obtained, to deduct the amount from a judgment which he has obtained against the adverse party in another court, but will leave such adverse party to apply to the court where the judgment against himself had been obtained, and which court alone has power to control the proceedings on that judgment. (Brewerton v. Harris and Harris, 1 John. Rep. 144; Lessee of Underwood v. Courtown, Irish Term. Rep. 427.) I am not aware of any case in which a set-off has been allowed on motion, either in this court or in a court of law, except where the demand claimed to be set off against the judgment or decree of the adverse party was judicially determined or settled by the order, judgment or decree of some court of competent jurisdiction. The demand which the complainant claims to off set against this decree for costs, is nothing but a promissory note on which no judgment or decree has passed. Although the answer admits the defendant’s indebtedness, which might have been conclusive against him in this suit, this cause is now at .an end. In the suit now pending in the Supreme Court on the note, the defendant will still be at liberty to plead the illegality of the consideration set up in his affidavit on this motion. Independent of the solicitor’s lien, I think the note is not a proper subject of set off against this decree for costs.

But as the other question is now before me, I will dispose [625]*625of that also. It has repeatedly been decided, in the Supreme Court chat the attorney’s lien will prevent one judgment from being set off against another in such a manner as to deprive him of his costs. (Cole v. Grant, 2 Caines’ Rep. 105; Devoy v. Boyer, 3 John. Rep. 247.) In this respect that court has followed the rule of the King’s Bench in England, which differs from that of the Common Pleas. But I should regret to see the same difference existing between the practice of the Court of Chancery and the Supreme Court here. The rule should be the same in all courts, as there is no difference in principle. It is supposed by the counsel for the complainant from an expression of the Supreme Court in *Porter v. Lane, (8 John. R. 357,) that the judges intended to adopt the practice of the Common Pleas in England in opposition to that of the King’s Bench. But on examination it will be found that case did not depend on the question upon which the two courts in England differ. That question is whether the costs in different and independent suits can be off set against each other to the exclusion of the attorney’s lien. As to that the practice of the English Common Pleas differs from that of all other courts, and is in direct opposition to the decisions of the Supreme Court in Cole v. Grant, and Devoy v. Boyer, before referred to. But the question which arose in Protter v. Lane, was whether the lien of the attorney could interfere with the equitable rights of the parties in the same suit or matter. In this respect the practice adopted by the Supreme Court is in conformity to that of the King’s Bench in England, as well as to that of the Common Pleas. (Howell v. Harding, 8 East’s Rep. 362.) The same rule also prevails both in the English and Irish Courts of Chancery. In Shine v. Gough, (2 Ball & Beatty, 33,) Lord Maaners adopts the rule laid down in the case of Taylor v. Popham, (15 Ves. 79.) In that case Lord Eldon says, “ where different demands arise in a cause, the costs should be arranged as the equities between the parties require, with[626]*626out considering the solicitor.” And in the case of Bryant, (1 Mad. Rep. 49; 2 Rose’s Cas. 237, S. C.,) the party in whose favor the costs of a petition was granted, was not perm^e¿ to reieaSb them to the prejudice of the solicitor’s lien, though the consideration of such release was the discharge of a debt due to the adverse party, before such costs accrued. And surely if the party could not voluntarily release them upon such a consideration, he ought not to be permitted to do the same thing indirectly by confessing a judgment for that debt and having the same off set.

The question in all these cases is, what is equitable and just between the parties and the attorney'or solicitor? Where different claims arise in the course of the same suit, or in relation to the same matter, it is undoubtedly equitable and just that these equities should be arranged between the parties *without reference to the solicitor’s or attorney’s lien. His lien is only on the clear balance due to his client after all these equities are settled. But when other claims, arising out of different transactions and which could not have been" a legal or equitable set-off in that suit, exist between the parties, the court ought not to divest the lien of the attorney or solicitor which has already attached on the amount recovered for the costs of that particular litigation. When a party applies to the equity of the court to prevent the solicitor from exercising his legal right to collect his .costs, the equity of the solicitor to have those costs should be taken into consideration. When the solicitor has been at the labor and expense of prosecuting or defending a suit, it is equitable and just that his costs should be paid out of the result of that litigation. If the equities of the parties are equal they should be left to the exercise of their legal rights. If the solicitor can collect his costs by execntion the court will not permit his client to interfere and deprive him of his remedy. But if he is obliged to resort to a suit in the name of his client, the adverse party may avail himself of any proper subject of off-set which existed previous [627]*627to the time of the solicitor’s lien. But a demand acquired after that time cannot be off set either at law, or by an application to the equitable powers of a court on motion.

In the case of The Mohawk Bank v. Burrows, (6 John. Ch. Rep. 317,) although the decision was against the application for a set-off, yet the reasoning of Chancellor Kent is undoubtedly in opposition to the opinion above expressed. He supposes the doctrine of the Supreme Court to be in accordance with the practice of the English Common Pleas; and he founds that opinion upon the loose expression in Porter v. Lane, which I have already shown applies to a different question. He has evidently overlooked the two cases of Cole v. Grant and Devoy v. Boyer, which were decided while he presided in that court, in both of which the decisions are in opposition to the practice of the Common Pleas, and in exact conformity to the rule of the Court of King’s Bench. The case of Taylor v. Popham, cited by Chancellor Kent, was not a question of set-off, but a question between the solicitor of a *simple contract creditor and a bond creditor, whether his cost in a suit against the estate should be paid in preference to the debts due by specialty from the client, for which the estate was also liable.

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Cite This Page — Counsel Stack

Bluebook (online)
1 Paige Ch. 622, 1829 N.Y. LEXIS 353, 1829 N.Y. Misc. LEXIS 89, Counsel Stack Legal Research, https://law.counselstack.com/opinion/dunkin-v-vandenbergh-nychanct-1829.