Ivey v. Daus

17 F.R.D. 319, 1955 U.S. Dist. LEXIS 4118
CourtDistrict Court, S.D. New York
DecidedFebruary 7, 1955
StatusPublished
Cited by11 cases

This text of 17 F.R.D. 319 (Ivey v. Daus) is published on Counsel Stack Legal Research, covering District Court, S.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ivey v. Daus, 17 F.R.D. 319, 1955 U.S. Dist. LEXIS 4118 (S.D.N.Y. 1955).

Opinion

DIMOCK, District Judge.

Plaintiff, Arthur Rogers Ivey, as Executor of the Estate of Harry E. Berger, deceased, filed his complaint on December 15, 1953 claiming $10,000 plus interest, alleged to be due and payable on a loan from plaintiff’s testator to defendant.

After the expiration of an extension of the time in which to answer, defendant had still not filed her answer and plain[321]*321tiff moved for default judgment, fendant cross moved for leave to counterclaim against plaintiff. Decision was held in abeyance by the court pending the taking and submission of depositions of the parties. Plaintiff took the depositions of defendant and her son, Osman Bayazid, and filed them on September 30, 1954. On October 25, 1954 Judge Dawson rendered his decision on the above-mentioned motions; he denied plaintiff’s application for entry of a default judgment against defendant and granted defendant’s motion for leave to file the counterclaim. Judge Dawson expressed misgivings, based on defendant’s actions and the testimony on the depositions, as to whether there was any reason, other than that of delaying plaintiff’s conclusion of the administration of the estate, for defendant’s desire to open the default and interpose the counterclaim. De-

On November 1, 1954 defendant served her answer and counterclaim. In her counterclaim she alleged that plaintiff had converted certain furniture of hers and she claimed damages in the amount of $75,000.

Plaintiff’s reply to defendant’s counterclaim sets up two further claims against defendant, designating them counterclaims to defendant’s counterclaim.

The first of these claims alleges that plaintiff’s testator acquired from defendant a leasehold of certain premises with a covenant of quiet enjoyment; that he paid defendant the total rental for this leasehold, $21,000, in advance and prior to September 12, 1953; that he assumed possession of the premises; that the leasehold was for seven years, expiring on or about March 7, 1958; that because defendant allowed the premises to be sold at a mortgage foreclosure sale, plaintiff was forced to yield possession of the premises on September 12, 1953 and that, as a result, plaintiff has been damaged in the amount of $13,800 unearned advance rental payments, and $3,-000 out-of-pocket expenses incurred by plaintiff in connection with his dispossession.

The second of these claims alleges that defendant’s counterclaim is being prosecuted without probable cause and with malicious intent; that plaintiff will be forced to expend sums of money in his defense to the counterclaim and will be delayed in closing the estate of Harry E. Berger and, as a result, that he has been damaged in the amount of $5,000.

Now defendant moves for an order striking out plaintiff’s counterclaim based on defendant’s alleged breach of her covenant of quiet enjoyment upon the ground that counterclaims are not a proper subject of a reply, and striking out and dismissing plaintiff’s counterclaim based upon defendant’s alleged malicious prosecution of plaintiff upon the grounds that counterclaims are not a proper subject of a reply and that this claim fails to allege facts “sufficient to constitute a cause of action”.

Plaintiff, in addition to opposing defendant’s motion, cross moves for an order directing defendant to furnish security for costs, for leave to amend his complaint so as to incorporate in it the allegations of his counterclaims to defendant’s counterclaim and for leave to serve a third party complaint upon defendant’s son Osman Bayazid.

Counterclaims are perfectly proper subjects of a reply. Maison de Marchands, etc., v. New York Silicate B. S. Co., D.C.S.D.N.Y., 13 F.R.D. 15. While I granted plaintiff leave on the oral argument to incorporate in his complaint the claims based on the covenant of quiet enjoyment it is unnecessary that he take advantage of that leave. Defendant’s motion, insofar as it seeks to strike plaintiff’s counterclaims because they are contained in the reply, is denied. It is thus unnecessary to consider plaintiff’s cross motion insofar as it seeks leave to amend the complaint so as to include therein the allegations of plaintiff’s counterclaims.

[322]*322I must now consider whether the allegations of plaintiff’s claim for malicious prosecution fail to constitute a cause of action, or in the language of Rule 12(b), Fed.Rules Civ.Proc. 28 U.S. C.A. fail “to state a claim upon which relief can be granted.” This counterclaim alleges that defendant’s counterclaim, contained in her answer, is prosecuted maliciously and without probable cause and that defense to her counterclaim will be costly and will prevent the conclusion, by plaintiff, of administration of the estate of which he is executor, to his damage in the sum of $5,000.

Defendant argues, in substance, that even assuming that her counterclaim is brought maliciously and without probable cause it cannot give rise to an action for malicious prosecution.

An ordinary civil action where the person or property of a defendant is not interfered with, as by injunction, attachment, arrest or some other provisional remedy, cannot give rise to a right of recovery for malicious prosecution notwithstanding such action may have been brought by the plaintiff maliciously and without probable cause, and may have resulted in damage to the defendant in excess of costs recoverable by the defendant. Paul v. Fargo, 84 App.Div. 9, 82 N.Y.S. 369. It has been held that the institution of involuntary proceedings in bankruptcy is an interference with the property of the alleged bankrupt that may give rise to an action for malicious prosecution. Sachs v. Weinstein, 208 App.Div. 360, 203 N.Y.S. 449. Plaintiff argues, by analogy with the Sachs case, that the institution of any civil action against the executor of a will, as executor, is such an interference with the property of the estate with whose administration he is charged that it may give rise to an action for malicious prosecution. Plaintiff’s idea is that the pendency of litigation against the estate “ties up the property of the estate” by delaying distribution.

Plaintiff does not contend that defendant’s counterclaim could give rise to an action for malicious prosecution if brought against an individual and, indeed, upon the authority of Paul v. Fargo, supra, it could not. I cannot agree that the mere fact that the counterclaim is brought against plaintiff as executor of a will warrants any different result. The institution of an ordinary civil action against an executor does not work any such injury as the institution of an involuntary proceeding in bankruptcy. While the institution of an involuntary bankruptcy proceeding has the same effect upon the property of the alleged bankrupt as an attachment or injunction would have, see, Mueller v. Nugent, 184 U.S. 1, 14, 22 S.Ct. 269, 46 L.Ed. 405, the institution of an ordinary civil action against an executor merely delays distribution of the estate. The estate is as' free to go about its business as is any individual who is the defendant in an ordinary civil action.

Of course failure to recognize that delay in distribution caused by litigation against an estate constitutes substantial prejudice would be naive, yet the root of that prejudice lies in the delay in concluding the litigation. There would be no basis for the claim of malicious prosecution here if justice were instantaneous. Mankind has been engaged in a struggle to attain that ideal from the beginning of organized society.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Feed Management Systems, Inc. v. Brill
518 F. Supp. 2d 1094 (D. Minnesota, 2007)
De La Cruz v. Du Fresne
512 F. Supp. 1204 (D. Nevada, 1981)
United States v. Levering
446 F. Supp. 977 (D. Delaware, 1978)
Southeastern Industrial Tire Co. v. Duraprene Corp.
70 F.R.D. 585 (E.D. Pennsylvania, 1976)
Weber v. Johnston Fuel Liners, Inc.
540 P.2d 535 (Wyoming Supreme Court, 1975)
Babb v. Superior Court
479 P.2d 379 (California Supreme Court, 1971)
Ioannou v. Ivy Hill Pk. Section Four, Inc.
270 A.2d 295 (New Jersey Superior Court App Division, 1970)
Dixon v. Franklin Investment Co.
243 A.2d 689 (District of Columbia Court of Appeals, 1968)
Rubewa Products Co. v. Watson's Quality Turkey Products, Inc.
242 A.2d 609 (District of Columbia Court of Appeals, 1968)
T. L. Smith Co. v. District Court
431 P.2d 454 (Supreme Court of Colorado, 1967)
Slaff v. Slaff
151 F. Supp. 124 (S.D. New York, 1957)

Cite This Page — Counsel Stack

Bluebook (online)
17 F.R.D. 319, 1955 U.S. Dist. LEXIS 4118, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ivey-v-daus-nysd-1955.