High v. Supreme Lodge of the World

7 N.W.2d 675, 214 Minn. 164, 144 A.L.R. 810, 1943 Minn. LEXIS 584
CourtSupreme Court of Minnesota
DecidedJanuary 2, 1943
DocketNo. 33,284.
StatusPublished
Cited by20 cases

This text of 7 N.W.2d 675 (High v. Supreme Lodge of the World) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
High v. Supreme Lodge of the World, 7 N.W.2d 675, 214 Minn. 164, 144 A.L.R. 810, 1943 Minn. LEXIS 584 (Mich. 1943).

Opinion

Peterson, Justice.

This appeal from an order sustaining defendant’s demurrer to the complaint raises the question whether the complaint states facts sufficient to constitute a cause of action. The complaint, which abounds in statements of evidence, inferences, and conclu *165 sions, is several times too long. It is with no little difficulty that we ascertain the ultimate facts upon which plaintiff relies as a basis for recovery. With considerable misgiving we shall state the facts pleaded as we understand them.

For many years the financial affairs of Duluth Lodge No. 505, a subordinate lodge of defendant, had been so mismanaged that its very existence was threatened. From May 1, 1985, to May 1, 1936, plaintiff, an attorney at law, was its “Dictator” and as such its chief executive officer.

The mismanagement related to four items: (1) Delinquency in payment by the Duluth lodge to defendant of over $12,000 representing a portion of the membership dues; (2) unpaid certificates of indebtedness aggregating $12,000 held by 100 members issued by the Duluth lodge to equip and furnish a building which it purchased for a lodge home; (3) the wrongful expenditure of $12,495.10 belonging to the beneficiary fund for payment of benefits to members, concerning which we said in High v. Supreme Lodge, 210 Minn. 471, 472, 298 N. W. 723, 724, was “in violation of specific rule,” and that “an auditor representing the Supreme Lodge [defendant] authorized the transfer of this overdraft to the general revenue fund”; and (4) other groups of obligations aggregating $37,000.

During his regime as “Dictator” plaintiff undertook the task of liquidating the indebtedness and bringing order out of the financial chaos. Some considerable progress had been made when his term expired. He wanted to turn the work over to his successor and to be relieved of further responsibility. At the request of defendant he continued to act, not as an officer of the lodge, but as an attorney at law. A plan formulated by him for the purpose of paying off the indebtedness was formally adopted by the lodge, and apparently all creditors accepted it. Formulation and execution of the plan required extensive legal and administrative services on plaintiff’s part between May 1, 1935, and April 1, 1938, for which he charged defendant. A dispute followed, as a result of which plaintiff sued defendant and recovered therefor the sum of $2,000. In High v. Supreme Lodge, 210 Minn. 471, 473, 298 *166 N. W. 723, 725, we upheld the recovery, stating that plaintiff “accomplished such results that ‘all of the obligations of Duluth Lodge * * * had been compromised, adjusted, and settled, through the payment of approximately the sum of $13,000, its morale has been sustained, and its membership substantially retained.’ ”

In executing the plan a great deal of friction arose between plaintiff and defendant, due, as plaintiff alleges, to the fact that defendant compelled the Duluth lodge to deviate from the plan in order to favor certain creditors who were prominent and active in lodge affairs. The relations of the parties changed from one of the utmost good will and cordiality, as evidenced by defendant’s “General Dictator’s” letter to plaintiff in January 1937 expressing “gratitude” for doing “a good job,” which the General Dictator said was ‘a clear demonstration that when the right man undertakes to do the right kind of a job from an honest standpoint little or nothing can prevent him from accomplishing his objective,” to one of extreme animosity, some months later, as a result of which defendant informed plaintiff in effect that the further execution of the plan was no concern of his and that it intended to act in its own way.

In August 1938 an auditor of the defendant made a report of his audit at a regular lodge meeting. In his oral report he used the following language:

“It is true that this Lodge is in considerably better financial condition than when the last audit was made by the Supreme Lodge in February, 1936; but it is not in nearly as good financial condition as it is made to appear; in connection with adjustment of Certificates of Indebtedness issued by this Lodge a very slipshod, careless and unsatisfactory job has been done. Adjustment of these Certificates of Indebtedness has been made in an inconsistent, hit or miss manner without in any respect following any consistent or orderly plan. Some certificates have been paid and some not paid. Some of these certificates have been, by action of' the Lodge taken from its list of obligations. Holders of Certificates so acted upon, may, if dissatisfied, compel payment. This *167 Lodge can be forced to back up on action which it has taken in connection with such Certificates of Indebtedness. Holders can legally compel this Lodge to pay. Altogether, the matter of adjustment of Certificates of Indebtedness issued by this Lodge has been handled in such an inconsistent, unsatisfactory, hit or miss manner, that the whole matter of these certificates is not to be considered in any respects definitely and finally settled. This Lodge had better watch its step.”

It is alleged that these words were spoken of and concerning the services rendered by plaintiff as an attorney at law in bringing about the adjustment and settlement of the Duluth lodge indebtedness; that the words are defamatory and false; that they were uttered with express malice; and that, because of extensive publication, they tend to injure the plaintiff in the practice of his profession as an attorney in the city of Duluth. It is alleged that these words are actionable per se; no special damages are pleaded.

A defamatory charge imputing to a professional man such as an attorney or a physician lack of due qualification, misconduct, or want of integrity is slanderous and actionable per se. Gribble v. Pioneer Press Co. 34 Minn. 342, 25 N. W. 710; Sharpe v. Larson, 67 Minn. 428, 70 N. W. 1, 554; Id. 70 Minn. 209, 72 N. W. 961; Brill v. Minnesota Mines, Inc. 200 Minn. 454, 274 N. W. 631, 112 A. L. R. 173.

Of course, the words must relate to the attorney in his professional capacity and not merely as an individual without regard to his profession. McDermott v. Union Credit Co. 76 Minn. 84, 78 N. W. 967, 79 N. W. 673.

Defendant’s main point is that the comment and criticism in the instant case, if at all applicable to plaintiff, does not constitute slander within the rule, because it relates not to plaintiff’s professional character generally as an attorney at law, but only to a single, specific act, citing in support of that view Foot v. Brown, 8 Johns. (N. Y.) 64, where in a per curiam opinion the court held that it was not slander to charge “a professional man with igno- *168 ranee in a particular case.” This case was cited, and apparently relied on, below.

Onr rule is settled contrary to defendant’s contention. In Pratt v. Pioneer Press Co. 30 Minn. 41, 14 N. W. 62; Id. 32 Minn. 217, 18 N. W. 836, 20 N. W. 87; Id. 35 Minn. 251, 28 N. W. 708, a defamatory charge was made against a physician relating to his professional conduct in a particular case. Mr. Justice Mitchell speaking for the court in 35 Minn. at p.

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Bluebook (online)
7 N.W.2d 675, 214 Minn. 164, 144 A.L.R. 810, 1943 Minn. LEXIS 584, Counsel Stack Legal Research, https://law.counselstack.com/opinion/high-v-supreme-lodge-of-the-world-minn-1943.