Hughes v. Woodard

1937 OK 662, 77 P.2d 685, 182 Okla. 372, 1937 Okla. LEXIS 255
CourtSupreme Court of Oklahoma
DecidedNovember 16, 1937
DocketNo. 27683.
StatusPublished
Cited by6 cases

This text of 1937 OK 662 (Hughes v. Woodard) 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
Hughes v. Woodard, 1937 OK 662, 77 P.2d 685, 182 Okla. 372, 1937 Okla. LEXIS 255 (Okla. 1937).

Opinion

CORN, J.

This is an appeal from a judgment rendered in the district court of Tulsa county, in an action brought by the defendants in error to recover $514, allegedly due them as attorneys’ fees.

The question arose under the following *373 circumstances. In 1930, the people of Tulsa voted bonds for public improvements, including street widening projects, affecting private property, including that belonging to the plaintiff in error. By 1932, some $400,000 was left; the improvements were not completed and the city commission determined to abandon further improvements and use this money to pay old warrants not connected with the bond issues.

This action aroused certain citizens interested in seeing these improvements made, and they employed the defendants in error to prevent such 'action and force the city to proceed with the improvement program. An injunction suit and two mandamus actions were filed. The city was enjoined from misuse of the funds, but before the mandamus suits were tried the city agreed to proceed with the improvements.

Not having been paid for their services, the defendants in error proposed a plan whereby the property owners would pay them a percentage of the sale price of the property acquired by the city, 'as attorneys’ fees for services rendered in compelling the city to proceed. Some 20 property owners signed the agreement, including the plaintiff in error, who set the sale price of his property at $7,800. The defendants in error continued their efforts in behalf of the owners, and several deals with the city were closed.

During their efforts the defendants in error served the city with a list of property owners who had signed the agreement and claimed a lien upon this property to secure their fees. By 1934, no agreement h'ad been reached regarding the property belonging to the plaintiff in error and the city brought a condemnation suit, making the defendants in error parties defendant because of their lien claim. Appraisers set the value of the plaintiff in error’s property at $10,780, and both the defendants in error and the city joined in an application to have 5 per cent, of this amount impounded with the city clerk until the rights of the parties could be determined. The defendants in error answered the petition of the city and cross-petitioned, asking for- payment.

The plaintiff in error then moved for judgment against the city on the appraiser’s award 'and the city moved to dismiss its suit, but neither motion was ever heard, and a compromise was later effected whereby the plaintiff in error received $10,280, less the 5 per cent which was impounded under the court’s order.

Issues were joined and the matter was tried to the court as to the right of the defendants in error to the $514. The trial court rendered judgment for this amount, and from this judgment the plaintiff in error has appealed, setting up nine assignments of error, grouped under three propositions, as grounds for reversal.

The first proposition urged as ground for • reversal is that the contract sued upon is void as being against public policy. In this connection the plaintiff in error argues that. the contract m'ade no mention of any litigation, and that the meaning and purpose of the contract was solely to influence the city of Tulsa in adopting a favorable course of action. We can find no merit in this argument.

In the first place, the services for which the attorneys’ fees were asked h'ad already been rendered for the most part. The city had attempted, or was contemplating, an illegal and unauthorized use of certain bond money in which this particular class of taxpayers had 'a very evident interest. The services were for forcing performance and compliance with previous legislation, and to preserve this money for the benefit of this class of taxpayers, of which the plaintiff in error was one, from illegal dissipation. There can be no grounds for arguing that the services were for the purpose of controlling or influencing the city government in the course of legislation. The end to which the efforts of the defendants in error were ~ directed was to restrain the commission of an illegal act and to force compliance with a legal duty owed this group of taxpayers.

Supporting his contention the plaintiff in error cites numerous authorities holding that a contract whereby a l'awyer is to receive a contingent fee, based upon doing some act in regard to controlling the course of government, is void and against public policy. We find no grounds for disagreement with the authorities offered, for such is undoubtedly the law in all jurisdictions. One of the principal authorities cited by the plaintiff in error is the e'ase of Glenn v. Southwestern Gravel Co., 74 Okla. 131, 177 P. 586, which quotes with approval from an Illinois case deciding much the same-question, and holding that the rule which makes void a contract for contingent compensation for obtaining legislation applies to a city council as well as to a state Legislature. Also cited are Chambers v. Coates, 176 Okla. 416, 55 P. (2d) 986, and McGuffin. *374 v. Coyle and Guss, 16 Okla. 648, 86 P. 954, 86 P. 962, 6 L. R. A. (N. S.) 524.

There is one salient, distinguishing feature to be noted in these and the other authorities cited by the plaintiff in error which makes them easily distinguishable from the case at bar. This is, that all the cases offered by the plaintiff in error turned on the point of a contingent fee, contingent upon the success of procuring a species of legislation, this being the sole consideration.

The very facts of the case at bar preclude the cited authorities from being 'applicable. The action or services here were not to control the course of government, they were directed toward forcing the city to discharge a legal duty. There was nothing in the agreement tending to inject the element of personal influence and solicitation in procuring any action by the city.

The validity of a contract is not to be destroyed merely because the compensation for the services rendered is contingent, when the purposes for which !a person is employed are to render legitimate professional services. It is a question for the trial court to determine, as a matter of law, whether a contract is void, as against public policy, and the power to declare a contract to be in contravention of public policy is a delicate and undefined power, to be exercised only in cases free from doubt. See Huber v. Culp, 46 Okla. 570, 149 P. 216.

It has been said that it is elemental in the law of contracts that the courts will not declare contracts void on the grounds of public policy except in cases th'at are free from doubt; and that prejudice to the public interest must be clearly apparent before a trial court is justified in pronouncing a contract void on that account. Stansell v. Roach, 147 Tenn. 183, 246 S. W. 520, 29 A. L. R. 143. See, also, the annotations therein. Certainly, under the rule above stated, there can be no grounds in the case at bar for declaring it void as against public policy.

The second contention urged by the plaintiff in error raises the question whether the petition of the defendants in error stated a cause of action, and whether the evidence proves a right to recover. The plaintiff in error contends that there was no evidence that he employed the defendants in error personally, and that he.

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Bluebook (online)
1937 OK 662, 77 P.2d 685, 182 Okla. 372, 1937 Okla. LEXIS 255, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hughes-v-woodard-okla-1937.