Jackson v. Kirschman

175 So. 105, 1937 La. App. LEXIS 269
Louisiana Court of Appeal·Decided June 14, 1937·No. No. 16594.·Published·Cited by 1 cases

Opinion

McCALEB, Judge.

A rehearing was granted to the defendant in this matter because we entertained some doubt as to the correctness of our holding that a seizure of property for a larger amount than that actually due under a judgment is wrongful, and that, as a consequence, the seizing creditor is liable in damages to the judgment debtor. We also granted a rehearing to the plaintiffs with respect to their claim that our allowance of $100 damages was inadequate.

We have carefully re-examined the record in the case and believe it to be apt to restate the facts, which we find to be as follows:

On February 3, 1934, the plaintiffs purchased from the defendant a radio for the sum of $53.90 and executed their promissory note, which was identified with an act of sale and chattel mortgage on the radio, for the purchase price. The note was payable in installments of $1 per week and bore interest at the rate of 8 per cent, per annum from maturity and provided for attorney fees in the event it should become necessary to place it in the hands of a lawyer for collection. <

Payments on account were made, fairly regularly until the middle of June, 1934, at which time the plaintiff, Sam Jackson, lost his job with the Public Works Administration of the Federal Government. Nevertheless, on July 5, 1934, the sum of $1 was paid, and again on August 16, 1934, the sum of $2 was paid. These payments, together with the previous payments made by the *106 plaintiffs, amounted to a total of $20 and there was a balance due, as of August 16, 1934, of $33.90. Notwithstanding this, the defendant, acting through its alter ego, the Commercial Discount Company, Inc., a corporation designed for the purpose of collecting his delinquent accounts, brought suit in the First city court of New Orleans against the plaintiffs on the note, claiming a balance due of $35.90. The plaintiffs were duly served with citation and one of them, Sarah Griffin, immediately communicated with the defendant, through his agent, and inquired as to the reason why the suit was brought. She testifies that she was informed that the suit was a mistake and that she should continue the weekly payments provided for in the contract. On the other hand, the defendant’s agent, Winn, states that he told Sarah Griffin that, while the defendant would accept payments on account of the purchase price of the radio, there was to be included in those payments the costs of court incurred by the Commercial Discount Company, Inc., and its attorney fees.

Plaintiffs failed to answer the suit of the Commercial Discount Company, Inc., and on August 27, 1934, judgment was taken against them by default for the sum of $35.90 with 8 per cent, per annum interest from June 8, 1934, until paid, plus $4.10 attorney fees and for all costs of the suit. On August 30, 1934, three days after the rendition of the judgment, the plaintiffs made- a payment of $1, which was credited by defendant on account of the purchase price of the radio. This fact is revealed by a receipt book produced by plaintiffs at the trial below which shows that, on that date, the plaintiffs owed a balance of $32.90 on the account. The receipt card also exhibits that, from August 30, 1934, through January 26, 1935, the plaintiffs made payments on account amounting to $18, and that on January 26, 1935, there was a balance due of $14.90. In addition to this, the plaintiffs produced receipts issued by the defendant showing payments made from February 16, 1935, through September 14, 1935, amounting in total to $18.90. It therefore appears that the plaintiffs have paid over and above the purchase price of the radio, the sum of $4.

In the absence of a stipulation to the ■contrary, the payments made by the plaintiffs on account of the judgment would ordinarily be imputed, under R.C.C. art. 2164, to the interest on that obligation unless the creditor (defendant^ consented that the instalments be applied to the reduction of the principal. It is unnecessary for us to determine whether the defendant, by crediting the partial payments against the principal, relinquished, by waiver, the interest decreed in his favor under the judgment because, irrespective of the manner in which the payments were imputed, it is obvious, from the facts of the case, that any balance due by the plaintiffs on the judgment was negligible.

Notwithstanding the fact that the principal amount of the judgment had been overpaid, the defendant caused, during the month of October, 1935, the issuance of a writ of a fieri facias, and seized the household furniture of the plaintiffs. This seizure was released and nothing more was done until February 13, 1936, when the defendant again seized the plaintiffs’ furniture. The writs in both instances (in October, 1935, and in February, 1936) were issued for the sum of $35.90 plus interest and costs, yet the defendant knew, at that time, that this amount was not due and payable. When plaintiffs’ property was seized on the second occasion, it was taken from their premises and hauled to the constable’s warehouse.

Defendant concedes that the seizure was levied for an excessive amount. Nevertheless, he maintains that it was lawful because, according to his contention, there was $11.36 still due and payable under the judgment. His witnesses, Miller and Winn, both admit that, at the time execution issued on the judgment, there was only $11.36 due' and that the writ was issued for the full amount of'the judgment. Miller says that he ordered the clerk to issue the writ for $35.90. He later changes his testimony and says that he instructed the constable to accept the sum of $11.36 as payment in full. However, the plaintiffs produced the deputy constable who made the seizure and he testified as follows:

“Q. Did you tell Sarah Griffin that the amount due was $11.00? A. I didn’t tell her nothing. I told her that I had instructions to place the seizure on it.”

Under the circumstances of this case, we are of the opinion that the seizure of the plaintiffs’ property was- at least partially illegal, if not altogether null, and that the conduct of the defendant was wrongful and unjustified.

Counsel for the defendant rely upon the case of Hamilton v. Antoine, 157 So. 795, 797, decided by our brethren of the First *107 circui.t. The seizure in that case was found to be for an excessive amount and the court refused to award the plaintiff damages, principally upon the ground that the defendant was not actuated by any vindictive or spiteful motive in the execution of the judgment. The court, nevertheless, sustained in part the injunction brought by the judgment debtor as to that portion of the seizure which was excessive in amount. It is evident, from the court’s opinion, that the reason why it declined to assess damages was because the defendant was without knowledge of the amount for which execution issued and relied entirely upon the advice of her counsel in the matter; for, in rejecting the plaintiff’s claim for damages, it observed:

“She acted on the advice of her counsel, who, as we have stated, seemed to have been honest in his belief that his client was entitled to recover all that he claimed for her under the judgment.”

But, in the case at bar, the defendant did not consult with his counsel as to the amount which should have been demanded under the writ of fieri facias.

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

Jackson v. Kirschman, 175 So. 105, 1937 La. App. LEXIS 269 (La. Ct. App. 1937).

175 So. 105 (Jackson v. Kirschman) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Moses v. American Security Bank of Ville Platte
222 So. 2d 899 (Louisiana Court of Appeal, 1969)