Henry Lochte Co. v. Lefebvre

50 So. 26, 124 La. 244, 1909 La. LEXIS 459
CourtSupreme Court of Louisiana
DecidedJune 14, 1909
DocketNo. 17,431
StatusPublished
Cited by11 cases

This text of 50 So. 26 (Henry Lochte Co. v. Lefebvre) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Henry Lochte Co. v. Lefebvre, 50 So. 26, 124 La. 244, 1909 La. LEXIS 459 (La. 1909).

Opinions

Statement of the Case.

BREAUX, C. J.

Plaintiffs are grocers in the city of New Orleans.

The defendant is a sugar planter, and has a plantation store, and during the year sells goods and merchandise to his laborers. The plaintiffs sold goods on credit to the defendant, who made advances of those goods to the employes in making the year’s crop.

The defendant, indebted to plaintiffs for $7,519.12, confessed judgment on the 18th day of January, 1908.

By the confession and the judgment defendant sought to admit that the sum of $5,757.72 was secured by privilege on his 1907 crop.

The method followed to obtain evidence of the credit was: Defendant executed his notes in favor of the plaintiffs for amount •of the latter’s- indebtedness for groceries consigned to defendant payable at the end of the year. -

At maturity, the notes were not paid. It was on these notes that suit was brought and judgment confessed as before stated.

Plaintiffs obtained a writ of fieri facias in accordance with which the sheriff seized 500 barrels of first, and 200 barrels of second, clarified.

A few days after the seizure had been effected, to wit, on the 23d day of January. 1908, the defendant obtained an order from the court permitting him to furnish a forthcoming bond, under section 3411 of the Revised Statutes, for the return of the sugar seized, in case its return is called for.

The People’s Bank of Plaquemine intervened about the same time, and claimed that originally it had a privilege on the crop, and particularly on the part seized, for the balance due of $16,525.92, with 8 per cent, in terest from January 30, 1907, and 10 per cent, on the amount judicially claimed as fee of attorney.

The act under which the bank claims and on which it bases its intervention recites that the defendant executed a promissory note for the amount before stated, which is identified with, the act drawn to secure the advances, interest, and fees. The act contains the usual clause, “pledge and pawn” of the crop to secure advances.

For convenience, the borrower, Lefebvre, executed notes from time to time for amounts borrowed from the bank, which were annexed to the $25,000 note held by the bank. This was done up to the grinding season. After that time the bank paid on defendant’s check. As defendant realized cash on his crop, he deposited it in bank.

The intervener and third opponent asked for an order from the court directing the sheriff to retain the proceeds of sales in his hands until further order of court.

Intervener also as.ked for recognition of the privilege accorded by law for the balance due, interest, and fee, and for payment of the amount by “priority and privilege over other claims,” quoting from intervener’s prayer.

In answer to this petition, plaintiff pleaded the general issue.

According to-the evidence, the act executed by defendant in favor of the bank was recorded in the “Record of Liens and Privileges” and Pledges in the parish of Iberville, and it was only recorded in the Book of Mortgages in the parish of West Baton Rouge. It was not recorded in the Book of Liens and Privileges.

The Australia plantation, on which the [247]*247crop was cultivated, is situated about one half in Iberville and the other half in the parish of West Baton Rouge.

The plaintiff, Lochte & Co., agreed to sell groceries to the defendant early in the year.

The defendant states as a witness that during the year he received goods from the plaintiff to supply his laborers and his tenants, and to that extent lessened the amount of cash that he needed from the People’s Bank to pay cash obligation, particularly his pay roll. That the goods he obtained from plaintiff and the cash from the bank went “hand in hand” into the actual making ot the crop of 1907, and he added that he thought that the People’s Bank, through its president, knew that he received these supplies from plaintiff company.

It is also a fact that 'the defendant received amounts from the bank to pay the expenses of grinding and taking off the crop.

The amount thus received and expended was $10,955.32.

At one time the intervener referred to this sum as an amount of proceeds from the crop placed to the credit of defendant in. bank, and which he later withdrew to pay the expenses of the grinding and saving his crop.

At another time it is referred to as an amount which the bank advanced to defendant to meet the expenses just mentioned.

At one time, while testifying, the president, Dunlap, as a witness,'is quite positive that it was the bank’s money which thej'' loaned to defendant on his own check. He repeated that it was a loan. The evidence on this point is conflicting.

The following is a statement of the conclusion arrived at by our learned Brother of the district court:

First. That the People’s Bank advanced $25,000 to the defendant in accordance with act of privilege, pawn, and pledge, within the intendment of Act No. 66, p. 114, of 1874.

Second. That the plaintiff company advanced to the defendant, under a verbal contract, supplies to make his crop of 1907 to the amount of $5,757.72.

Third. That the sugar seized in this case sold on the open market for $16,666.55, and that the entire crop sold for $30,674.42, out of which amount the bank had received $14,007.87 prior to the seizure.

The court a qua deducted the $14,007.S7 from thé $25,000, the total advance as per the judgment, leaving a balance due the bank of $10,992.13, secured bj privilege first in rank out of the proceeds of sugar seized and sold.

The judgment of the district court fixed the amount at $16,666.55.

The balance of the proceeds was decreed subject to the privilege of Lochte & Co.

Discussion and the Decision.

Several objections were urged during the trial which we will dispose of at this time.

The Act of Pledge and Pawn.

The plaintiff, Lochte & Co., objected to the act executed by defendant in favor of the intervener as not in the authentic form, and that it did not make proof of its contents. It was introduced in evidence as an authentic act and as making full proof of the rights claimed.

It was' regularly offered, and not the least objection was urged against its admissibility. It follows, whether authentic or not, is now of no moment. No objection having been raised, it is now properly before the court as evidence.

The Bond.

During the trial in the district court, .plaintiff objected to the forthcoming bond fur[249]*249nislaed by the defendant to the sheriff on the ground that it was made payable to the , sheriff; it should have been made payable to the plaintiff.

That question is not properly before us. The issue presented and the argument lead us to the conclusion that plaintiff is secured enough by the bond, and, if it is not, the sheriff himself and others concerned will have to respond for the amount.

But above all, we do not consider that issue as being before us. We, therefore, pass it without further comment.

Judgment is Not Evidence of a Privilege.

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Bluebook (online)
50 So. 26, 124 La. 244, 1909 La. LEXIS 459, Counsel Stack Legal Research, https://law.counselstack.com/opinion/henry-lochte-co-v-lefebvre-la-1909.