Fournier v. McGlew

181 N.E. 726, 279 Mass. 516, 1932 Mass. LEXIS 962
Massachusetts Supreme Judicial Court·Decided June 28, 1932·Published

Opinion

Crosby, J.

This is an action of contract, brought by trustee process under G. L. c. 246, wherein the Prudential Insurance Company of America is alleged to be trustee of credits of the principal defendant. The alleged trustee appeared specially and filed a motion to dismiss the action as to it for want of proper service, a motion for discharge denying the jurisdiction of the court, and an answer in abatement denying the jurisdiction of the court and representing that no sufficient service was made upon it. The plaintiffs and the alleged trustee submitted a written statement of agreed facts upon which the trustee’s motion to dismiss and answer in abatement were to be heard and disposed of.

That statement is as follows: Edward J. Pritchard, upon whom the writ was served as appears by the officer’s return thereon, was at the time of the service “an agent of the Company licensed as such in the Commonwealth, who, having authority to issue policies and bind risks for the Company, has issued the policy, the liability on which is sought to be enforced . . .” within the terms of G. L. c. 223, § 39. The alleged trustee is and was at the time of the service of the writ a “foreign insurance company transacting business in this Commonwealth.” The writ is in the proper venue. The foregoing facts are agreed upon and admitted for the purpose of the hearing and dis[518] position of the trustee’s motion to dismiss and answer in abatement only. Edward J. Pritchard, upon whom the writ was served, was at the time of the service an agent of the company such as is described in G. L. c. 223, § 39, namely, an “agent who lives or has his usual place of business in the county and has control over or superintendence of subordinate agents of the company.” The defendant Thomas E. McGlew at the time this suit was brought was not an employee of the alleged trustee within the meaning of St. 1921, c. 486, § 37, relating to a trustee process where the defendant is an employee of the trustee company.

The plaintiffs requested the trial judge to make the following rulings: (1) Upon the agreed statement of facts and the record it appears that due and sufficient service of the plaintiffs’ writ was made upon the alleged trustee; (2) It appears from the record and written statement of agreed facts that the alleged trustee has been brought within the jurisdiction of the court in this case, and may properly be held to answer as such trustee; and (3) Upon all the facts, service was made upon the alleged trustee in accordance with the provisions of G. L. c. 223, § 39. The judge denied the trustee’s motion to dismiss as to it, sustained its answer in abatement, and allowed the motion for its discharge. The plaintiffs excepted to these rulings, and to the refusal to make the rulings requested by them.

The only question presented by the record is whether a trustee writ is properly served on a foreign insurance company as trustee when it is served in the manner provided in G. L. c. 223, § 39. It is the contention of the alleged trustee that the service on it was insufficient upon the facts shown, and could be properly made by service upon the insurance company only as provided in G. L. c. 175, § 151, Third. The decision of the question depends upon the proper interpretation to be given to the statutes regulating the service of writs brought by trustee process where a foreign insurance company is summoned to appear as trustee.

G. L. c. 175 bears the title “Insurance.” Section 151 provides that “No foreign company shall be admitted and [519] authorized to do business until . . . Third, It has filed with the commissioner a power of attorney constituting and appointing the commissioner or his successor its true and lawful attorney, upon whom all lawful processes in any action or legal proceeding against it may be served, and therein shall agree that any lawful process against it which may be served upon its said attorney shall be of the same force and validity as if served on the company .... The service of such process shall be made by leaving the same in duplicate in the hands or office of the commissioner. One of the duplicates of such process, certified by the commissioner as having been served upon him, shall be deemed sufficient evidence thereof, and service upon such attorney shall be deemed service upon the principal.” G. L. c. 246, § 5, reads as follows: “Trustee writs shall be served by copy on each trustee and on the defendant. In other respects service upon trustees and defendants shall be in the manner provided by chapter two hundred and twenty-three . . . . ” Section 6 of the same chapter as amended by St. 1921, c. 486, § 37, provides: “When a foreign corporation having a usual place of business in the Commonwealth is summoned as trustee in an action against one of its employees, service of the writ may be made as provided in section thirty-eight or thirty-nine of chapter two hundred and twenty-three, or upon any paymaster or other officer or agent of the corporation whose duty it is to pay such employee, and such service shall be as binding upon the corporation as if it had been made upon the commissioner of corporations and taxation or the commissioner of insurance.”

G. L. c. 223, § 37, as amended by St. 1926, c. 255, provides in part that “In an action against a domestic corporation other than those mentioned heretofore in this section, service shall be made upon the president, treasurer, clerk, cashier, secretary, agent or other officer in charge of its business, or, if no such officer is found within the county, upon any member of the corporation.” Sections 38 and 39 of the same chapter are: “38. In an action against a foreign corporation, except an insurance company, which [520] , has a usual place of business in the Commonwealth, or, with or without such usual place of business, is engaged in or soliciting business in, the Commonwealth, permanently or temporarily, service may be made in accordance with the provisions of the preceding section relative to service on domestic corporations in general, instead of upon the commissioner of corporations and taxation under section three of chapter one hundred and eighty-one.” “39. In an action against a foreign insurance company transacting business in this Commonwealth, service may be made upon an agent of the company, licensed as such in the Commonwealth, who, having authority to issue policies and bind risks for the company, has issued the policy the liability on which is sought to be enforced, or an agent who fives or has his usual place of business in the county and has control over or superintendence of subordinate agents of the company, instead of on the commissioner of insurance under clause third of section one hundred and fifty-one of chapter one hundred and seventy-five.”

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

Fournier v. McGlew, 181 N.E. 726, 279 Mass. 516, 1932 Mass. LEXIS 962 (Mass. 1932).

181 N.E. 726 (Fournier v. McGlew) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

§ 151
Massachusetts § 151
§ 37
Massachusetts § 37
§ 38
Massachusetts § 38
§ 39
Massachusetts § 39
§ 5
Massachusetts § 5
§ 6
Massachusetts § 6