Elston v. Piggott

94 Ind. 14, 1884 Ind. LEXIS 2
CourtIndiana Supreme Court
DecidedMarch 4, 1884
DocketNo. 11,047
StatusPublished
Cited by38 cases

This text of 94 Ind. 14 (Elston v. Piggott) is published on Counsel Stack Legal Research, covering Indiana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Elston v. Piggott, 94 Ind. 14, 1884 Ind. LEXIS 2 (Ind. 1884).

Opinion

Elliott, J.

The first question which we are required to decide is this: Is a decree and sale obtained by a trustee of a foreign corporation, whose agent has not filed a power of attorney as required by the act of June 17th, 1852, so destitute of force as to pass no title to the trustee who becomes a purchaser at the foreclosure sale? We think this question is not a difficult one. The failure of the agent of the corporation to file the power of attorney required by the statute was a matter to be pleaded in abatement in the suit in which the decree was rendered. Walter A. Wood, etc., Co. v. Caldwell, 54 Ind. 270 (23 Am. R. 641); Domestic Sewing Machine Co. v. Hatfield, 58 Ind. 187; Daly v. National Life Ins. Co., 64 Ind. 1; Singer Manufacturing Co. v. Brown, 64 Ind. 548; Johnson v. State, 65 Ind. 204; Smith v. Little, 67 Ind. 549; Behler v. The German Mutual Ins. Co., 68 Ind. 347; The American Ins. Co. v. Wellman, 69 Ind. 413; Singer Manufacturing Co. v. Effinger, 79 Ind. 264; Finch v. Travellers Ins. Co., 87 Ind. 302. The question as to the right of the parties to plead matters in abatement was settled by the decree of the Federal court, and can not be litigated in an attack upon the decree or the sale made under it. If, therefore, the trustee should be regarded as the corporation for which he was trustee, still no question as to the right to prosecute the suit can now be made, for the decree put an end to all such questions.

It follows as a necessary consequence, that, having obtained a valid decree, the plaintiff in the suit had a right to enforce it in the usual manner. The decree settled all questions as to the power of the court to render it, and there can be no interference with the complete execution of the decree for any cause involved in the suit which resulted in the decree. The [16]*16time for objecting that there was no right to prosecute the foreclosure suit has gone by, and the decree can not be rendered nugatory for a cause which might have constituted ground for a plea in abatement.

A plaintiff who has a valid decree has all the incidents of such a decree, and necessarily the right to have it executed according t.o law. It would be very strange if a plaintiff having a valid decree should not be allowed to take any steps to secure its benefit, by having it executed. A valid decree is always enforceable. To be sure, some act may occur subsequent to its rendition which may destroy its force; but this is a very different question from the one here under immediate discussion, for here the question is, can the enforcement of the decree be defeated because the plaintiff would not have been entitled, had defence been made, to maintain his suit? We are perfectly satisfied that the enforcement of a decree in favor of a foreign corporation can not be prevented by showing a failure to file a power of attorney, and that such a failure will not invalidate a title acquired under the decree.

The second question is: Can a foreign corporation, in whose favor a decree is rendered, hold and convey real estate purchased under the decree in cases where there is neither a prohibitory statute, nor a statute granting such right? We state the question as the record presents it; for the inquiry is not as to the general power to hold real estate, but as to the power to acquire it in payment of debts. The question really narrows to a compass more limited than that embraced in the question as we have stated it, for jt comes to this: Has the foreign corporation a right to buy at execution sales made on judgments in its favor? That the question is thus limited is plain when it is brought to mind that an authority to do an act necessarily implies authority to do whatever is a necessary incident of the principal act. It seems clear that the right to buy necessarily implies the power to hold and enjoy what is bought. The right to buy would be a barren right without the authority to hold and enjoy the property purchased.

[17]*17Foreign corporations are allowed to transact business in our State, and for many years no restrictions were placed upon them. Our reports contain many cases recognizing their right to do business within our borders. Liens, have been ■enforced in their favor; titles have been quieted in them; possession of land has been awarded them, and contracts have been enforced in their behalf. We have found no case questioning their right to do business in this State, nor do we see Row this right can be questioned, except where there is a ■statute directly bearing upon the subject, for it has long been the law that a corporation may transact business, within the ■scope of its corporate powers, beyond the State which gave it ■existence. Bank of Augusta v. Earle, 13 Peters, 519, 592; Christian Union v. Yount, 101 U. S. 352.

It is true that corporations are not, in a strict sense, citizens ■of the United States, and can not claim immunities upon that ground. Paul v. Virginia, 8 Wal. 168; Ducat v. Chicago, 10 Wal. 410; LaFayette Ins. Co. v. French, 18 How. 404; Ducat v. Chicago, 48 Ill. 172; People v. Fire Association, 92 N. Y. 311. Although a corporation can not claim the protection of the Federal Constitution on the ground of citizenship, it is, nevertheless, entitled to do business, until forbidden by statute, in other States than that by which it was created. It was said by the Supreme Court of the United States in Bank of Augusta v. Earle, supra: “We think it well settled, that by the law ■of comity among nations, a corporation created by one sovereignty is permitted to make contracts in another, and to sue in its courts; and that the same law of comity prevails among the several sovereignties of this Union.” This doctrine is strongly re-asserted in the later case of Christian Union v. Yount, supra. This principle of the comity of nations is part of the common law, and is by long settled rules, as well as by positive statute, engrafted on our law. Story Conflict of Laws, 36, 37; Thompson v. Waters, 25 Mich. 214 (12 Am. R. 243); Curtis v. McCullough, 3 Nev. 202.

[18]*18In the absence of a statute prohibiting it, corporations may, it has often been held, acquire property in a foreign State. This doctrine is declared in Cowell v. Springs Co., 100 U. S. 55, where it was said, in speaking of the position that a corporation could not acquire property in a foreign State: “The answer to this position is found in the general comity, which, in the absence of positive direction to the contrary, obtains through the States and Territories of the United States, by which corporations created in one State or Territory are permitted to carry on any lawful business in another State and Territory, and to acquire, hold, and transfer property there equally as individuals.” But in the present case we need not go to this length, although the authorities would fully warrant us in doing so, for the question here is a much narrower one.

It is certainly true that an execution plaintiff may, unless forbidden by statute, bid in property at his own sale, and he who asserts the contrary must produce the statute.

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Bluebook (online)
94 Ind. 14, 1884 Ind. LEXIS 2, Counsel Stack Legal Research, https://law.counselstack.com/opinion/elston-v-piggott-ind-1884.