Giant Powder Co. v. San Diego Flume Co.

20 P. 419, 78 Cal. 193, 1889 Cal. LEXIS 564
CourtCalifornia Supreme Court
DecidedJanuary 29, 1889
DocketNo. 12721
StatusPublished
Cited by29 cases

This text of 20 P. 419 (Giant Powder Co. v. San Diego Flume Co.) is published on Counsel Stack Legal Research, covering California Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Giant Powder Co. v. San Diego Flume Co., 20 P. 419, 78 Cal. 193, 1889 Cal. LEXIS 564 (Cal. 1889).

Opinions

Thornton, J.

— This is an action to enforce the lien of a material-man.

The complaint was demurred to by the San Diego Flume Company, on various grounds. The demurrer was sustained, and plaintiff declining to amend, judgment was entered against it. From this judgment the plaintiff appeals.

It is argued here on behalf of the demurrant that, as alleged in the complaint, the claim of lien was prematurely filed, and therefore that the complaint does not state facts sufficient to constitute a cause of action against the San Diego Flume Company.

It is alleged in the complaint that one Joseph John-drew contracted with the defendant company to do certain work; the plaintiff furnished materials to defendant to be used in the work; that John drew commenced work under the contract on the ninth day of April, 1887, and continued doing such work until the tenth day of [195]*195August following; that on or about said last-named day, Johndrew stopped all work and surrendered the contract and his right thereunder to the flume company, and the flume company accepted the surrender of this contract and accepted the structure and works for which a lien is here claimed, and took possession thereof, and has ever since continued in the occupation and use of the structure and works so accepted. The contract above mentioned was not recorded until June 6, 1887.

The claim of lien is averred to have been filed for record on the fifth day of September, 1887.

The statute (see Statutes of 1887, pp. 154, 155, sec. 1187, Code Civ. Proc., as there amended) requires that the claim of a material-man shall be filed for record within thirty days after the completion of the building, improvement, or structure, but provides further on this point that any trival imperfection in the said work, or in the construction of any building, improvement, or structure, or of the alteration, addition to, or repair thereof, shall not be deemed such a lack of completion as to prevent the filing of any lien; and in case of contracts, the occupation or use of the building, improvement, or structure by the owner, or his representative, or the acceptance by said owner or his agent of said building, improvement, or structure, shall be deemed conclusive evidence of completion.”

We are of opinion that the allegations of the complaint bring the case within the words of the statute above quoted. It is distinctly averred that the structure made by Johndrew was accepted by the flume company. How near the structure approached completion on the tenth day of August, 1887, is not averred. It may have been so nearly completed that it might have been occupied and used by the flume company; or if not near completion, it may have been in a condition that the maker might have accepted and conveniently used and occupied it. The above is consistent with the allegations of the [196]*196complaint. Whatever might have been the actual condition of the structure on the tenth of August, 1887, we think the averments that the defendant company accepted the structure, and from the time of its acceptance continued in the use and occupation of it, bring the case within the rule prescribed by the section of the statute above quoted, unless the fact that the contract between Johndrew and the flume company was not recorded when the work was commenced by Johndrew under it excludes it therefrom. And the counsel for respondent (the flume company) contends that such is the effect of a failure to record the contract above mentioned, before the work under it was commenced.

It will be observed that the statute in stating the rule relied on by the plaintiff (section 1187, supra) uses the words and in case of contracts,” and it is here urged by the learned counsel for the flume company that "it is true there was an effort to make a contract, but this effort was ineffectual, because of the failure of the parties to have the instrument, which purported to be a contract, filed for record before the work was commenced. This failure made the contract wholly void.”

The section of the statute which declares such contract wholly void declares how far it is void. (Section 1183, Code Civ. Proc., amended in 1887, Statute of 1887, p. 153.) In our judgment "wholly void” has the same meaning as void.” When an instrument is void, it is void from one end to the other, and in all its parts, — in other words, it is wholly void. The language used is, " they shall be wholly void, and no recovery shall be had thereon by either party thereto.” The statute only declares the contract void as between the parties to it. The inability to maintain an action on the contract is confined to the parties. In this case the parties to the contract are Johndrew and the Flume company, — the one, in the purview of the act of which the section referred to formed a part, the -.contractor; the other the [197]*197owner. As between the contractor or owner and the material-man the contract is not void. If the contractor has purchased materials, the contract between the contractor and the material-man is still good. And by the express terms of section 1183, supra (Statutes of 1887, pp. 152, 153), though the contract between the owner and contractor is void, the material-man is still entitled to his lien for the value of the materials furnished. Such we understand to be the ruling of this court in Southern Cal. L. Co. v. Schmitt, 74 Cal. 625 (see last paragraph in opinion). The contract, though not recorded, yet remains to mark the extent of the recovery of the lien-holders and to show the relations of the owner and contractor to the work, and also remains unaffected for the purposes of the rule prescribed in section 1187 as to what shall be deemed evidence of the completion of the work referred to in it.

The recording of the contract, as far as regards the person furnishing labor or materials to the work, is immaterial. No doubt the requisition was made for the benefit of such person, but it is a benefit that he may waive. The failure to record may affect the rights of the owner and contractor, but it does not affect those of the furnisher of labor or materials. Nor do we see any reason why it should be otherwise. Such person has no control over the contract; it is not in his possession, nor is he entitled to its. possession. It may be out of his power to have it recorded before the work commenced under it. The work may have commenced long before such person has been brought into any relation with the work — days or months before he has been applied to for labor or materials. The statute imposes the duty of recording the contract on the parties to it. If any are to suffer from failure to record, the parties to the contract should and do suffer. It is just to make the parties who neglected their duty suffer, but it would be unjust to make others suffer on whom no such duty was [198]*198ever imposed, who have neglected no duty, and are entirely innocent. The law-makers have not been guilty of the injustice of causing detriment to innocent persons.

We think that the notice or claim of lien is alleged to have been filed within a proper time, and that the complaint is in that respect good and sufficient.

The complaint was demurred to on the further grounds that Johndrew was improperly joined as a defendant, and that two causes of action are improperly united in this, a personal liability against Johndrew and a cause of action for the foreclosure of a material-man’s lien against the flume company.

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Bluebook (online)
20 P. 419, 78 Cal. 193, 1889 Cal. LEXIS 564, Counsel Stack Legal Research, https://law.counselstack.com/opinion/giant-powder-co-v-san-diego-flume-co-cal-1889.