Inland Finance Co. v. Standard Salmon Packers, Inc.

7 Alaska 131
CourtDistrict Court, D. Alaska
DecidedFebruary 5, 1924
DocketNo. 2144-A
StatusPublished
Cited by1 cases

This text of 7 Alaska 131 (Inland Finance Co. v. Standard Salmon Packers, Inc.) is published on Counsel Stack Legal Research, covering District Court, D. Alaska primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Inland Finance Co. v. Standard Salmon Packers, Inc., 7 Alaska 131 (D. Alaska 1924).

Opinion

REED, District Judge.

The movant, Martin R. Nissly, alleges in support of his motion that he is assignee of the claims of the defendant S. G. Blowers & Co. against the defendant Standard Salmon Packers, Inc., and also assignee of the second mortgage executed June 12,1920, by the Standard Salmon Packers, Inc., to S. G. Blowers & Co.; that no personal service of summons was made in the foreclosure proceedings in this case on S. G. Blowers & Co., and that said S. G. Blowers & Co. had a good defense to the action, in that the defendant Standard Salmon Packers, Inc., did not owe the plaintiff the sum of $30,000 as alleged in the corriplaint, or any sum in excess of $20,000; and that the foreclosure proceedings were fraudulent and collusively made between the plaintiff and the defendant, the Standard Salmon Packers, Inc., for $38,889.14, with intent to defraud the creditors of Standard Salmon Packers, Inc., and particularly S. G. Blowers & Co. from setting up its mortgage, and depriving it and its assignee from realizing anything thereon; that the property covered by the mortgage so foreclosed was bid in by the Inland Finance Company for the sum of $15,000, which was an entirely inadequate sum; and the movant, as assignee of S. G. Blowers & Co., was thereby prevented from redeeming the property under his second mortgage, etc. Also at the same time, the movant Nissly moved to vacate and set aside the sale on the ground that the United States marshal making the sale had sold real and personal property in one lump or parcel for $15,000 and did not sell the real property separate and alpart from the personalty ; that no notice of sale was published as required by law for the sale of real estate, and the same was not sold at the courthouse as required by law; that the personal property was not offered for sale in separate parcels.

On January 26, 1923, Nissly filed a supplemental motion, covering practically the same points as covered in the original application, with the additional grounds of a challenge as to the suf[136]*136ficiency of the showing for the issuance of an order for service by publication, and a challenge to the published summons itself.

Considering the first question, that of the jurisdiction of the court over the defendant S. G. Blowers & Co., counsel for; Nissly contends: (1) That there is not sufficient showing for the issuance of an order for service by publication. (2) That the summons was not published for the length of time required by law; i. e., for a 'period of six consecutive weeks. (3) That the summons as published was insufficient notice.

As to the first contention, the affidavit for publication ahd service of summons states in positive terms that S. G. Blowers & Co. is a corporation having its principal place of business at 82 Wall street, New York City, and that said corporation has no officer, nor agent, nor representative of any kind in the territory of Alaska, nor any place of business nor office within said territory, and that personal service of summons cannot be had on it. These allegations are not made “upon information and belief,” but positively, and are sufficient, and they exclude every condition in which personal service under paragraph 1 of section 878, Compiled Laws, could be made on a private corporation. See Knapp v. Wallace, 50 Or. 348, 92 P. 1054, 126 Am. St. Rep. 742; Pike v. Kennedy, 15 Or. 420, 15 P. 637; Bank v. Richardson, 34 Or. 518, 54 P. 359, 75 Am. St. Rep. 664; McDonald v. Cooper (C. C.) 32 F. 746, 749; Ballew v. Young, 24 Okl. 182, 103 P. 623, 23 L. R. A. (N. S.) 1084.

It further appears from the record that on December 16, 1921, the United States marshal for the Second division of Alaska made a return on the summons issued in the case, to the effect that after diligent search and inquiry he was unable to serve the summons on the defendant S. G. Blowers & Co., a corporation, for the reason that S. G. Blowers & Co. is a foreign corporation not doing business in the territory of Alaska, and has not filed its articles of incorporation in the territory of Alaska, and has no officer, agent, nor place of business in said territory. This return, with the affidavit of the attorney for the plaintiff to the same effect (i. e., that personal service cannot be made on the ■ defendant corporation S. G. Blowers & Co. within the territory of Alaska, and that the office and place of business of S. G. Blowers & Co. is at No. 82 Wall street, New York City), brings the case squarely within the decision of Marx v. Ebner, 180 U. S. 314, 21 S. Ct. 376, 45 L. Ed. 547, which is decisive on the point. [137]*137Under the .foregoing decision of the United States Supreme Court, the affidavit and the return of the United States marshal together are sufficient for the issuance of an order for the publication of summons.

The second contention, that the summons was not published once each week for a period of six successive weeks, as required by section 880 of the Compiled Taws, is, in my judgment, without virtue.

Counsel for movant bases his contention that there was insufficient publication on Early v. Doe, 16 How. 610, 14 L. Ed. 1079. The authority in this case cannot be questioned as to the facts therein stated; but the case is not in point herein.

The publication in the case at bar was made six times, once each week, beginning December 17, 1921, and ending January 21, 1922; the publication of January 21 carried the publication forward to the close of the day January 27, and at any time after 30 days from January 27 the default of the defendant was liable to be entered. In truth and in fact, in this case the default was not entered until the 24th day of May following. Publication for six weeks, according to the authorities, is a full compliance with the statute as to the number of publications required. See Wilson v. Northwestern Mutual Life Ins. Co. (C. C. A.) 65 F. 38; Ann. Cas. 1917B, notes page 209 et seq.

The third contention of counsel is that the published notice of summons is insufficient, in that it did not comply with the sixth paragraph of section 879, Compiled Eaws, by giving a succinct statement of the relief demanded. The summons as published in this regard is as follows:

“And if you fail to so appear and answer, for want thereof plaintiff will take judgment against you for the sum specified in the complaint, and will apply to the court for the relief demanded therein, a copy of which complaint is herewith served upon you, and which relief is for . the foreclosure of mortgage held by plaintiff upon the cannery site and cannery property, etc., of the defendant Standard Salmon Packers, Inc., at Tenakee, Alaska, in the sum of $30,000, as more fully set forth in the complaint on file in this cause, which is herewith served upon you, and to which reference is hereby made.”

This statement is somewhat loose and defective, yet it comprehends in a general way a succinct statement of the relief demanded in the complaint, and is, in my judgment, sufficient, as it reasonably shows the nature and purpose of the action and the relief demanded.

[138]*138According to the authorities, it is sufficient if it, in a reasonable degree, tends to carry information to interested persons that the action affects their rights and the nature of the relief sought. See 21 Ruling Case Raw, 1297; Bewick v. Muir, 83 Cal. 368, 23 P. 389; Barndollar v. Patton, 5 Colo. 46; Freeman v. Paul, 105 Ind. 451, 5 N. E. 754; Hickman v.

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7 Alaska 131, Counsel Stack Legal Research, https://law.counselstack.com/opinion/inland-finance-co-v-standard-salmon-packers-inc-akd-1924.