Idaho Gold Dredging Corp. v. Boise Payette Lumber Co.

115 P.2d 401, 62 Idaho 683
CourtIdaho Supreme Court
DecidedMarch 25, 1941
DocketNo. 6819
StatusPublished
Cited by10 cases

This text of 115 P.2d 401 (Idaho Gold Dredging Corp. v. Boise Payette Lumber Co.) is published on Counsel Stack Legal Research, covering Idaho Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Idaho Gold Dredging Corp. v. Boise Payette Lumber Co., 115 P.2d 401, 62 Idaho 683 (Idaho 1941).

Opinions

MORGAN, J.

This action was commenced by Idaho Gold Dredging Corporation, hereafter called the mining company, against Boise Payette Lumber Company, hereafter called the lumber company, and United Pacific Insurance Company, formerly United Pacific Casualty Insurance Company, hereafter called the surety, to recover $5,000 alleged to have been paid by the mining company to its attorneys for their services rendered in a suit prosecuted by the lumber company against the mining company, wherein the former sought to enjoin the collection of a judgment against it and in favor of the latter. In the injunction suit an undertaking was given, as required by I. C. A., sec. 6-405, executed by the lumber company and the surety, wherein it was recited:

“NOW, THEREFORE, we, the undersigned, in consideration of the issuing of said injunction do jointly and severally undertake in the sum of $5,000 and promise to [688]*688the effect that in case said injunction shall issue the said plaintiff will pay to the said party enjoined such costs, damages and reasonable counsel fees not exceeding the sum of $5,000 as such party may incur or sustain by reason of the. injunction if the court finally decide that the plaintiff was not entitled thereto.”

The case has been before us heretofore on appeal from a judgment of dismissal following the sustaining of a demurrer to the complaint (Idaho Gold D. Corp. v. Boise Payette L. Co., 60 Ida. 127, 90 Pac. (2d) 688) and a statement of the facts appearing in the complaint will be found in that opinion. For additional history of the litigation between the mining company and the lumber company, leading to this case, see Idaho Gold D. Corp. v. Boise Payette L. Co., 52 Ida. 766, 22 Pac. (2d) 147; 54 Ida. 765, 37 Pac. (2d) 407; Boise Payette Lbr. Co. v. Idaho G. D. Corp., 56 Ida. 660, 58 Pac. (2d) 786.

The lumber company and surety filed an answer to the complaint and incorporated therein was a cross-complaint, by the former against the mining company, wherein it was alleged that the mining company had recovered a judgment against the lumber company in the sum of $100,000, together with costs, in Idaho Gold Dredging Corporation v. Boise Payette Lumber Company, 54 Ida. 765, 37 Pac. (2d) 407, as damages alleged to have been sustained from oil and grease used by the lumber company in its logging operations, which oil and grease became mixed with the sand and gravel of certain placer mining claims belonging to the mining company, located along Grimes Creek, in Boise County, and which were being dredged by it, rendering it impossible to extract from said claims and save gold which was present therein. Commencement of suit by the lumber company against the mining company, to enjoin the collection of the judgment, is alleged in the cross-complaint; also that a demurrer to the complaint was, by the district court, sustained and the action was dismissed; that an appeal from the judgment of dismissal was taken to this court and “that on said appeal the lumber company contended in its brief and in its oral argument before the supreme court that it would be most unconscionable and unfair [689]*689for the mining company to collect from the lumber company the said judgment of $100,000, which represented the full value of said mining property, and at the same time hold and have the mining property which had now been restored to its full value because the oil and grease theretofore complained of no longer polluted the water of Grimes Creek; that because of such changed conditions the mining company should be enjoined from collecting its said judgment and a new trial granted the lumber company in the cause in which said judgment had been entered; that in answer to said argument and for the purpose of persuading the court not to grant a new trial or enjoin the mining company from collecting its said judgment, counsel for the mining company stated in their brief on said appeal: ‘We are authorized by the mining company to say that if the lumber company wants that land it can have it and we will give a deed to it and let the lumber company recoup its losses,’ And such statement was repeated in the oral argument by counsel for the mining company before the supreme court.”

A general demurrer to the cross-complaint was sustained. The issues framed by the complaint and the answer thereto were tried to a jury and, at the close of evidence introduced on behalf of the mining company, on motion made by counsel for the lumber company and the surety, a nonsuit was granted and a judgment of dismissal of the action was entered. The mining company has appealed from the judgment and the lumber company and the surety have cross-appealed, stating in their notice:

“NOW, THEREFORE, Said defendants, Boise Payette Lumber Company a corporation and United Pacific Insurance Company, a corporation, formerly United Pacific Casualty Insurance Company, a corporation, hereby appeal to the Supreme Court of the State of Idaho from so much of the judgment so made and entered in the above entitled cause on or about the twenty-fifth day of April, 1940, as bars the said defendant from obtaining judgment on said cross-complaint and as renders final the order and decision of said court sustaining plaintiff’s demurrer to said cross-complaint.”

[690]*690Luther W. Tennyson and the firm of Hawley & Worth-wine were attorneys for defendant (appellant here) in the injunction suit. They demurred to the complaint, the demurrer was sustained, and a judgment dismissing the suit followed. An appeal was taken to this court and the judgment was affirmed (56 Ida. 660, 58 Pac. (2d) 786). The Supreme Court of the United States was petitioned for a writ of certiorari, which was denied (299 U. S. 577, 57 Sup. Ct. 40, 81 L. ed. 425).

In this case appellant proved the services rendered by its attorneys in the injunction suit, and the reasonable value thereof. To prove payment of the attorneys’ fees, it introduced in evidence, as plaintiff’s exhibit 1, a receipt which is as follows:

“RECEIPT
“Hawley & Worthwine and Luther W. Tennyson do hereby acknowledge the receipt of the sum of $5,000 in full payment of all fees and expenses from the Idaho Gold Dredging Company in connection with their services as attorneys in the case of Boise-Payette Lumber Company vs. Idaho Gold Dredging Company injunction action.
“Dated at Boise, Idaho, this 20th day of October, 1936.
HAWLEY & WORTHWINE,
By Jess Hawley
By Luther W. Tennyson.”

A number of efforts were made by appellant’s counsel to introduce testimony explaining the presence of the word “expenses” in the receipt, and to show that the entire sum of $5,000 was paid to the attorneys as fees, and no part of it as expenses. Questions seeking to elicit such testimony were objected to and the objections were sustained. As an example, S. K. Atkinson, president of appellant corporation, was asked by its counsel, with respect to the word “expenses” appearing in the receipt:

“Q. Mr. Atkinson, of that five thousand dollars, how much was attorneys’ fees and how much was expenses, if you know ?”
Mr. EBERLE (of counsel for respondent) : “Well now just a moment. It’s an attempt to vary that receipt. [691]

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Cite This Page — Counsel Stack

Bluebook (online)
115 P.2d 401, 62 Idaho 683, Counsel Stack Legal Research, https://law.counselstack.com/opinion/idaho-gold-dredging-corp-v-boise-payette-lumber-co-idaho-1941.