Insurance Company of North America v. Kunin

121 N.W.2d 372, 175 Neb. 260, 1963 Neb. LEXIS 161
CourtNebraska Supreme Court
DecidedApril 26, 1963
Docket35385
StatusPublished
Cited by4 cases

This text of 121 N.W.2d 372 (Insurance Company of North America v. Kunin) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Insurance Company of North America v. Kunin, 121 N.W.2d 372, 175 Neb. 260, 1963 Neb. LEXIS 161 (Neb. 1963).

Opinion

Boslaugh, J.

On February 2, 1960, a department store operated by Herzberg’s, Inc., in Omaha, Nebraska, was damaged by fire. This action was brought by Insurance Company of North America against Maxim’s of Nebraska, Inc., a corporation, to recover the amount which the plaintiff alleged that it had paid to Herzberg’s, Inc., under an insurance policy as a result of the fire. The petition alleged that the fire was caused by the negligence of the defendant and its employees.

The plaintiff also commenced garnishment proceed *262 ings against another insurance company in an effort to reach funds which the plaintiff alleged were due the defendant from the garnishee. The garnishee answered that the funds due the defendant had been assigned by the defendant to Maxim’s of Oregon, Inc., and that there were no funds due the defendant from the garnishee which were payable in Nebraska.

The plaintiff then filed an amended petition naming Maxim Kunin, Jeannette Kunin, Maxim’s of Iowa, Inc., and Maxim’s of Oregon, Inc., as additional defendants. The plaintiff alleged that Maxim Kunin and Jeannette Kunin were residents of Minneapolis, Minnesota, and that Maxim’s of Oregon, Inc., was a foreign corporation. The plaintiff attempted to obtain jurisdiction over the property of these defendants by proceeding under subdivision (3) of section 25-517, R. R. S. 1943. This subdivision of the statute authorizes service by publication in actions against nonresidents or foreign corporations having property in this state which is sought to be taken by any of the provisional remedies.

In lieu of service by publication, a summons was served upon Maxim Kunin,'Jeannette Kunin, and Maxim’s of Oregon, Inc., at Minneapolis, Minnesota. The plaintiff also filed the affidavit of one of its attorneys which alleged that the affiant believed that Herzberg’s, Inc., had in its possession property of the defendant Maxim Kunin which was held under the name of Maxim’s of Iowa, Inc., and which could not be levied upon by attachment. A summons in garnishment was served upon Herzberg’s, Inc., as garnishee. The garnishee answered that it held $643.78 for the account of Maxim’s of Iowa, Inc., which included $347.63 due the United States of America.

Maxim Kunin, Jeannette Kunin, Maxim’s of Iowa, Inc., and Maxim’s of Oregon, Inc., filed separate special appearances. Later, Maxim Kunin, Jeannette Kunin, and Maxim’s of Oregon, Inc., filed separate amended special appearances which were sustained and the action *263 was dismissed as to these defendants. The plaintiff’s motion for new trial was overruled and it has appealed.

The plaintiff contends that the amended special appearances of Maxim Kunin, Jeannette Kunin, and Maxim’s of Oregon, Inc., should have been overruled because they amounted to a general appearance in the district court. The only question which must be determined by this court is whether these defendants made a general appearance in the district court.

The separate amended special appearances alleged that the defendants Maxim Kunin, Jeannette Kunin, and Maxim’s of Oregon, Inc., did not have any property or any debts owing to them in the State of Nebraska at the time the summons issued or at any time since then; that the garnishment proceedings were void because the affidavit had been sworn to before an attorney for the plaintiff as notary public; and, that the demand was not founded on contract and there was no allowance on the petition of the amount in value of the property that might be attached as required by section 25-1001, R. R. S. 1943. Affidavits were filed in support of the special appearances which alleged that the defendants did not have any property or debts owing to them in the State of Nebraska at the time the summons was issued or at any time since then. These affidavits were received in evidence. The plaintiff introduced no evidence except the defendants’ brief.

As a preliminary matter, the plaintiff contends that the filing of the amended special appearances without leave of court was a general appearance because the defendants had no right to file such amended pleadings without leave of court.

The record fails to show any objection by plaintiff to the filing of the amended pleadings and no question was raised in the trial court concerning the right of the defendants to be heard upon the amended special appearances. The plaintiff has waived any right to object to the filing of the amended pleadings. Grotte v. Nagle, *264 50 Neb. 363, 69 N. W. 973. See, also, Behr v. Duling, 128 Neb. 860, 260 N. W. 281, in which the defendant was granted leave in open court to amend his answer but was held not to have made a general appearance.

The principal contention of the plaintiff is that a nonresident defendant, or a foreign corporation, who attempts to appear specially and object to the jurisdiction of the court over his person upon the ground that he has no interest in the property which the plaintiff has levied upon by attachment or garnishment, makes a general appearance in the action.

In Welch v. Ayres, 43 Neb. 326, 61 N. W. 635, the court discussed the right of a nonresident defendant to deny ownership of any property in the state as a ground for a special appearance. The court pointed out that jurisdiction under subdivision (3) of section 77 of the Code of Civil Procedure, now section 25-517, R. R. S. 1943, was dependent upon the defendant being a nonresident of the state or a foreign corporation, the owner of property or of debts owing to him within the state, and that such property or debts are sought to be taken by a provisional remedy or to be appropriated by judicial proceedings; and that if any of these conditions do not exist, jurisdiction of the defendant is not acquired by service by publication. The court concluded that such a defendant is entitled to show the nonexistence of any fact essential to confer jurisdiction, such as the fact that the defendant owns no property situated within the state and that a motion to quash the service should be sustained under such circumstances.

In Kneeland v. Weigley, 76 Neb. 276, 107 N. W. 574, the defendant was a nonresident who was served by publication. The defendant alleged by special appearance, and later by answer, that he had no interest in the property which had been attached and had no interest in any property, or debts owing to him, in the state. The special appearance was overruled and a demurrer to the answer was sustained. This court held *265 that the judgment of the district court should be affirmed because the defendant was not entitled to attack the jurisdiction of the court upon the ground that he did not own the property which had been attached. The court noted that a defendant is not entitled to have an attachment quashed upon the ground that he is not the owner of the property; that the defendant cannot be injured by an attachment if he does not own the property; that if a nonresident defendant does not own the property which has been attached, the entire proceeding is void; and that the opinion in Welch v. Ayres, supra, should be modified accordingly.

In Barkhurst v. Nevins, 106 Neb. 33, 182 N. W.

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Bluebook (online)
121 N.W.2d 372, 175 Neb. 260, 1963 Neb. LEXIS 161, Counsel Stack Legal Research, https://law.counselstack.com/opinion/insurance-company-of-north-america-v-kunin-neb-1963.