Holbrook v. J. J. Quinlan & Co.

80 A. 339, 84 Vt. 411, 1911 Vt. LEXIS 285
CourtSupreme Court of Vermont
DecidedMay 8, 1911
StatusPublished
Cited by19 cases

This text of 80 A. 339 (Holbrook v. J. J. Quinlan & Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Vermont primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Holbrook v. J. J. Quinlan & Co., 80 A. 339, 84 Vt. 411, 1911 Vt. LEXIS 285 (Vt. 1911).

Opinion

Powers, J.

The plaintiff patronized a “Stock Exchange” conducted at Newport by one Charles N. Bra'dy. The result was not altogether unusual, — he lost his money. He brought a suit against this defendant returnable to Orleans County court, predicating his claim upon the ground that this stock proposition was the defendant’s, and that Brady was its agent. This suit was, on the defendant’s motion, (it being a Maine corporation) removed to the Federal court and was therein tried at its May Term, 1907. The declaration in that suit counted specially on six different stock transactions, each bearing a separate number and date, and contained a general count in assumpsit. When, at that trial, the plaintiff attempted to give evidence of the two trades here in suit, numbered 288 and 294 and dated April 6, 1905 and April 10, 1905, respectively, the defendant objected on the ground that there were no special counts in the declaration covering these trades, and that recovery could not be had thereon under the general count. The circuit court having intimated an opinion that no recovery could be had for the damages sought — which included dividends and rights which had accrued on stocks purchased — without special counts upon the. respective contracts, the plaintiff, without attempting to amend, abandoned his claim for damages for the breach of these two special contracts, and attempted to recover the money paid in upon them, — insisting that, in the circumstances, he could rescind the contracts and recover the consideration paid under the general count. In this position he was sustained by the circuit court and he amended his specification accordingly. The jury rendered a verdict for the [417]*417plaintiff which included the amounts paid in on these two trades and interest thereon — $1,063.30. The defendant carried the case to the circuit court of appeals which handed down a decision in May, 1908, holding that the declaration did not contain proper counts to warrant a recovery for damages for breach of the special contracts embodied in these two trades, and that the plaintiff could not rescind and recover the money paid in. The judgment order contained the following provision: “It is hereby ordered, adjudged and decreed that the judgment of said circuit court be and it hereby is reversed unless the plaintiff remits $1,063.30 within such time as may be fixed by the circuit court. If such remittitur be made, the judgment is affirmed. ” The plaintiff seasonably complied with this requirement by filing a remittitur of the amount specified, and, a few days later, the defendant filed a “protest” wherein it insisted that if the plaintiff intended to make further claim for any of the items included in his specification, he should do so in the circuit court, and that no other court had or could have jurisdiction over them or any of them. The circuit court gave no heed to this and on June 26, 1908, issued execution for the amount of the original judgment less.the amount remitted. This execution was promptly paid.

The case in hand is an action of special assumpsit on the two trades above referred to — Nos. 288 and 294. The defendant (having first pleaded a special plea which is not here - involved) pleaded the general issue and a special plea in bar. The latter set out all the facts regarding the first suit as above recited,

The defendant filed a motion to remove this case to the circuit court and objected to all proceedings in the state court, on the ground that these two transactions were finally settled and determined in the first suit; and if not, were finally removed to the -circuit court and only triable therein. At the close of the evidence the defendant moved for a verdict on the ground that the state court had no jurisdiction of the subject-matter, that he was estopped by the proceedings in the first suit, and that the matters involved were res adjudicata. On all these points the court ruled against it and proper exceptions were reserved.

We agree with the defendant that when a cause is removed [418]*418to the Federal court, it all goes. No part of the suit or the subject-matter thereof remains in the state court. Friedman v. Israel, 26 Fed. 804; Company v. Carter, 88 Fed. 707; Kern v. Huidekoper, 103 U. S. 491, 26 L. Ed. 354; Barney v. Latham, 103 U. S. 205, 26 L. Ed. 514. The defendant’s position, however, that the removal finally transfers jurisdiction to the Federal court finds support only in B. & O. Railroad Co. v. Fulton, 59 Oh. St. 575, 44 L. R. A. 520, and the dissenting opinion in McIver v. Fla. Cent. & P. R. Co., cited below. In the former case, it is expressly held that when a case is removed to and thereafter disposed of in the Federal court- — even if such disposal is otherwise than on the merits,- — the plaintiff cannot recommence the action in the state court, citing Cox v. E. Tenn. V. & G. R. Co., 68 Ga. 446. It may safely be asserted that after a cause has been removed, the state court can proceed no further with it or any part of it until its jurisdiction is in some way restored. Carson v. Dunham, 121 U. S. 421, 30 L. Ed. 992. But its jurisdiction is restored when the case is disposed of in the Federal court otherwise than on its merits. This proposition is abundantly supported by the cases. Thus in Hooper v. A. K. & N. Ry. Co., 106 Tenn. 28, 53 L. R. A. 931, it is held that one may take a voluntary non-suit in an action properly removed to the Federal court and begin another action in the state court — criticising B. & O. R. Co. v. Fulton, supra. See also, Ill. Cent. R. Co. v. Benz, (Tenn.) 58 L. R. A. 690. Again, in Young v. So. Bell T. & T. Co., (S. C.) 7 L. R. A. (N. S.) 501, it is held that the removal does not confer such exclusive jurisdiction upon the Federal court that, upon a discontinuance, the plaintiff could not begin a new action in the state court. And in McIver v. Fla. Cent. &c. R. Co., 110 Ga. 223, 65 L. R. A. 437, it is held that one may become nonsuit or voluntarily dismiss an action properly removed, and thereafter begin a new suit on the same cause of action in the state court. The opinion in this case points out the fact that Cox v. E. Tenn. V. & G. R. Co., 68 Ga. 446, is not an authority to the contrary.

In Stevenson’s Admr. v. Ill. Cent. R. Co., 117 Ky. 855, 4 Ann. Cas. 890, it is held that an action dismissed in the Federal court to which it has been removed, does not prevent a state [419]*419court from assuming jurisdiction in a new suit on the same cause of action. To the same effect are Rodman v. Mo. Pac. Ry. Co., (Kan.) 59 L. R. A. 704, Gassman v. Jarvis, 100 Fed. 146,—wherein B. & O. R. Co. v. Fulton is criticised with some severity—Foley v. Cudahy Packing Co., 119 Ia. 246; Fleming v. Railroad, 128 N. C. 80, and other cases to be found in 17 Dec. Dig. under “Removal of causes,” § 109. And it makes no difference if the sum declared for in the new suit is so small that the suit cannot be removed. McIver v. R. R. Co., Hooper v. Ry. Co., Young v. So. &c Co., supra.

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Bluebook (online)
80 A. 339, 84 Vt. 411, 1911 Vt. LEXIS 285, Counsel Stack Legal Research, https://law.counselstack.com/opinion/holbrook-v-j-j-quinlan-co-vt-1911.