Great American Ins. Co. v. Keswater

1928 OK 393, 268 P. 258, 131 Okla. 196, 1928 Okla. LEXIS 621
CourtSupreme Court of Oklahoma
DecidedJune 12, 1928
Docket18125
StatusPublished
Cited by4 cases

This text of 1928 OK 393 (Great American Ins. Co. v. Keswater) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Great American Ins. Co. v. Keswater, 1928 OK 393, 268 P. 258, 131 Okla. 196, 1928 Okla. LEXIS 621 (Okla. 1928).

Opinion

DIFFENDAFFER, C.

From the record, it appears that on June 16, 1925, the Great American Insurance Company issued a fire insurance policy to Charles I. Shears, insuring against loss or damage by fire a certain ice plant consisting of a building, machinery, etc., located in Strong City, Okla., in the sum of $8,000. Shears lived at Norman, Okla., and on or about the 10th day of July, 1925, while said policy was in force, the ice plant, machinery, etc., were destroyed by fire. On July IS, 1925, Shears executed to one Arthur H. Keswater of Cheyenne, Okla., a power of attorney, whereby he constituted and appointed Keswater as his lawful attorney, for him and in his name, place and stead, and to his use, to do anything in and about the settlement of the loss occasioned by the fire, and to fully adjust with the insurance company any loss under the policy, and granting him as his attorney in fact full power to do anything whatsoever requisite necessary to be done in the premises as fully as he himself could do if personally present, with full power of substitution, etc.

Keswater, as such attorney in fact, not being able to effect a settlement with the company, on January 30, 1926, filed suit against the company in the district court of Roger Mills county. The action was entitled “Arthur H. Keswater, as Attorney in Fact for Charles I. Shears, Plaintiff, v. Great Western Insurance Company, a Corporation, Defendant,” and alleged in part as follows:

*197 “Comes now the plaintiff, and for his cause of action against the defendant, alleges and states: 1. That he is the duly appointed attorney in fact for Charles I. Shears, as is more fully shown by Exhibit A hereto attached, and as such attorney in fact has authority to bring the action.”

Exhibit A, attached to the petition, was a copy of the power of attorney, signed and acknowledged by Shears. Then follow the usual allegations in an action of this kind, setting out a cause of action upon the policy. Upon this petition, summons was issued directed to the sheriff of Roger Mills county, which was served by delivering a copy thereof to one H. E. Rupp, an agent of the company having power to countersign policies, residing in that county. Defendant company did not answer or otherwise plead, and on March 3, 1926, the court rendered default judgment in favor of the plaintiff and against the company for the sum of $7,750 and costs. Execution was thereafter issued, and delivered to the State Insurance Commissioner on June 3, 1926. June 15, 1926, at the same term, the insurance company filed its petition and motion to vacate the judgment and recall execution, alleging as grounds therefor: Eirst, fraud and irregularity upon the part of plaintiff and his attorney in procuring the judgment; second, thar the judgment is void upon the face of the record in that the petition wholly failed to state a cause of action; and for the further reason that the petition shows upon its face that Arthur H. Keswater is not the real party in interest; and that the purported cause of action set forth in the petition was not in the said Arthur H. Keswater, individually, or as attorney in fact, but was in Charles I. Shears solely and exclusively.

It is also alleged in the petition and motion to vacate that the petition upon which the judgment was based wholly failed to state a cause of action in that it shows upon its face that no proof of loss was furnished by the assured in the manner and form required by the policy; and for the further reason that the petition wholly failed to state a cause of action in that it failed to allege the replacement value of the property alleged to have been destroyed by fire, and failed to allege that the purported refusal of the company to settle the loss was within 60 days after the date of the alleged loss.

The petition to vacate alleges that the insurance company has a good and valid defense, as set out in an answer thereto attached as a part thereof. To the petition to vacate, defendant in error, Arthur H. Keswater, attorney in fact for Charles I. Shears, filed as his answer a general denial. The issues, as thus joined, were tried to the court on the 29th day of July, 1926, during the same term; and after hearing the evidence the court took the matter under advisement until the 6th of September, the first day of the next term. On that, date, and before the court announced its decision, Charles I. Shears, over the objection of the insurance company, filed a motion, which is, omitting the caption, as follows:

“Comes now Charles I. Shears, the principal for whose benefit this action was instituted, and adopts the acts of his said attorney in fact, Arthur H. Keswater, in instituting this action, as his own acts, and moved the court to substitute his name as plaintiff in place of the name of Arthur H. Keswater.”

Thereupon, the court sustained the motion of Charles I. Shears, and denied the petition to vacate the judgment, from which rulings and orders, the insurance company, after motion for new trial was filed and overruled, prosecutes this appeal.

Two propositions are presented by plaintiff in error. The first proposition is, that the judgment is void on its face for the reason that the petition upon which default judgment was taken wholly failed to state a cause of action, and that the court erred in rendering default judgment thereon, and in denying the motion of plaintiff in error to vacate the judgment.

It is first urged that the petition was fatally defective in that nowhere therein is the value of the property at the time of the fire, or loss, or the cost of replacement alleged. The petition does not in direct terms allege the value of the property at the time of the fire, but does allege that the plaintiff’s loss by reason of the fire was “destruction of the building $2,000; destruction of the tools, machinery and equipment $9,389.-18,” making a total loss by plaintiff of $11,-289.18. That an itemized statement of the machinery, tools, equipment and accessories, together with the value thereof, is attached hereto, marked “Exhibit C.” Exhibit C referred to shows items and their values, totaling more than $12,000.

We think the petition in this respect was sufficient to bring it within the rule' announced in Wagner v. Lucas, 79 Okla. 231, 193 Pac. 421; Gibson v. Dizney, 72 Okla. 69, 178 Pac. 124; and Stauffer v. Watts, 73 Okla. 68, 174 Pac. 1031. In the latter case, it was held:

“Despite the fact that the petition may be *198 detective in stating a cause of action, if the relief sought by the petitioner can be ascertained from the allegations of the petition, a judgment is not void.”

And in Wagner v. Lucas, 'supra, it was held:

“Judgment rendered by a court having jurisdiction is not void on account of an amendable defect or insufficiency in the petition, and will not be vacated for such reason upon petition filed by defendant after the term.”

The same rule would apply to the contention of plaintiff in error that the petition was fatally defective in that it failed to allege that the denial of liability by the company was within the 60 days allowed by the policy within which to furnish proof of loss.

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Bluebook (online)
1928 OK 393, 268 P. 258, 131 Okla. 196, 1928 Okla. LEXIS 621, Counsel Stack Legal Research, https://law.counselstack.com/opinion/great-american-ins-co-v-keswater-okla-1928.