Haas v. Ardoin

145 So. 388
CourtLouisiana Court of Appeal
DecidedJanuary 24, 1933
DocketNo. 1097.
StatusPublished

This text of 145 So. 388 (Haas v. Ardoin) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Haas v. Ardoin, 145 So. 388 (La. Ct. App. 1933).

Opinion

LE BLANC, J.

This suit involves a contest over the proceeds of the sale of certain rice that was sold from a bonded warehouse, the warehouse 'receipt be'ing held by the Rice Growers’ Credit Corporation, Inc., intervener herein.

Plaintiffs are the holders of a certain note for the sum of $1,000 executed by the defendant K. J. Ardoin, the farmer who produced the rice. This note is dated Opelousas, La., April 27, 1931. It is made payable on or before September 15, 1931, and bears 8 per cent, per annum interest from maturity. It also contains the usual stipulation regarding attorney’s fees if placed in the hands of an attorney for collection. The note is in a regular printed form, and on its face it would appear to have .been intended for use as a rent nóte, for it bears in print, these words: “This note is given for rent of.” Written in ink, following, are the words: “the Lake and also the following tracts of land, 166 acres of P. I. Land, 82 acres Chachere Land, 80 acres Ewell Land and 40 acres Damon Deville Land situated (this last word also in print) in Ma-mou, La.”

In filing suit against the defendant Ardoin, plaintiffs allege in their petition that the said note .was given by him for rent of water *389 from a certain late, which water was used in making his rice crop of 1931, on which they therefore cl§im a privilege. They do not allege it, but it is clear that the privilege they claim is the one arising under the provisions of Act No. 26 of 1898. They asked for and obtained from the district judge a writ of sequestration ordering the seizure of approximately 1,600 bags of rice stored in the warehouse of Dolsy Guillory in Mamou, La. The notice of seizure filed in the record shows that the sheriff actually seized 903 sacks of rice.

The Rice Growers’ Credit Corporation, Inc., had made advances to Ardoin for the making of this same crop, on which there was, according to the petition of intervention filed by it, a balance of $745.41 still due. In addition thereto, it is alleged that there were older accounts due by him, which, together with the balance due for advances in 1931, made a sum greatly exceeding the value of the rice that was stored in warehouse, and for all of which it held, as security, the warehouse receipt issued to Ardoin and which was indorsed in blank by him at the time it was delivered. Upon application, intervener obtained the release of the seized rice by executing a forthcoming bond in the sum of $1,000.

Plaintiffs and defendant Ardoin both make the same defenses to the claims of the inter-vener, those of the defendant being made more in the interest of the plaintiffs than his own. ?Chere are two affirmative defenses set out by their answers. The first is that plaintiffs’ claim for water rent bears a lien and privilege on the defendant’s rice crop that is superior to and outranks all other parties, including any claim of the intervener up to the sum of $1,000, and the second is that, at the time'the warehouse receipt held by the intervener was delivered- by Ardoin, there was a specific verbal agreement made between them that the plaintiffs’ claim for water rent would be paid out of the proceeds from the sale of the rice stored in warehouse. As an alternative defense, the plaintiffs claim that if the intervener has any privilege on the proceeds of the rice, it is limited to the sum of $745.41 as set forth in the petition of intervention, and that it has no right to claim the surplus value of the rice.

From a judgment which rejected their claims and maintained the intervention and third opposition of Rice Growers’ Credit Corporation, Inc., the plaintiffs have taken this appeal.

They have filed an exception of no cause of action to the petition of intervention in this court, but, as the issues raised thereunder appear to be the same as those that come up on the merits of the case, they all will be considered together.

From the testimony, a lot of which may be said to be irrelevant to the two issues presented, it appears that Ardoin was heavily indebted unto the Rice Growers’ Credit Corporation, both for advances for the year 1931 and for some older accounts. On October 28, 1931, after certain adjustments had been made, it was determined that he owed $4,-438.31. He had on hand' on that date 1,623 bags of Blue Rose rice, which, it was agreed, he would store in a public warehouse at Mamou, La., and turn over the warehouse receipt to the Rice Growers’ Credit Corporation to secure a note that he was to give covering his entire indebtedness as previously determined. This note he duly executed on October 29, 1931, and at • the same time, or shortly thereafter, indorsed and turned over the warehouse receipt issued to him by the Mamou warehouse, as collateral security therefor. In due course, this stored rice was sold, but had not all been delivered on the day plaintiffs "obtained the order of sequestration. From the proceeds of sale accounted for up to that date, there was enough to take care of the advances of 1931 made by the credit corporation except the sum which was calculated as being approximately $745.41 as alleged in the petition of intervention. After the sale of the rice which had been seized, and all proceeds collected, it was definitely ascertained that the balance due for advances was $725.46 instead of the sum alleged, and that there remained a surplus of $1,395.51 which intervener contends it had the right to apply on its noté which was secured by the warehouse receipt.

The only hope that plaintiffs can have of being paid their note out of the surplus has to be based upon their being able to prove the verbal agreement said to have been made by the Rice Growers’ Credit Corporation with Ardoin that the note would be taken care of1 in the distribution of the proceeds from the sale of the rice, or that they enjoyed a privilege by virtue of being furnishers of water within the terms of Act No. 26 of 1898. Upon them rested the burden of proof under either or both of their contentions.

With regard to the alleged verbal agreement made by intervener with Ardoin to the effect that the note of $1,000 would be paid, plaintiffs have certainly failed to show by a preponderance of the testimony that there was such an understanding and agreement. They have offered, as evidence on that point, the testimony of Ardoin, only, which is denied by C. E. Carnes, the representative of the Rice Growers’ Credit Corporation who had the transaction in charge for his company and handled all the details connected therewith.

Article 2277 of the Revised Civil Code provides that all contracts for the payment of money, where the amount is above $500, must be proved at least by one credible witness, and other corroborative circumstances. The alleged contract here involved, was for the sum of $1,000, and no attempt to prove same was *390 offered beyond the testimony of one witness. No corroborative circumstances whatever appear in the record. On the contrary, when we search for circumstances, we find one that seems rather to support the testimony on the other side. We refer espeéially to the memotandum made at the time of the adjustment of accounts between intervener and Ar-doin, copy of which is filed in the record. It was from dfta included in this memorandum that the amount of $4,438.31 embodied in the note given by Ardoin was arrived at.

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Bluebook (online)
145 So. 388, Counsel Stack Legal Research, https://law.counselstack.com/opinion/haas-v-ardoin-lactapp-1933.