Jacobsen v. Overseas Tankship Corp.

11 F.R.D. 97, 1950 U.S. Dist. LEXIS 3560
CourtDistrict Court, E.D. New York
DecidedNovember 24, 1950
DocketCiv. No. 10717
StatusPublished
Cited by1 cases

This text of 11 F.R.D. 97 (Jacobsen v. Overseas Tankship Corp.) is published on Counsel Stack Legal Research, covering District Court, E.D. New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Jacobsen v. Overseas Tankship Corp., 11 F.R.D. 97, 1950 U.S. Dist. LEXIS 3560 (E.D.N.Y. 1950).

Opinion

GALSTON, District Judge.

Herman Greenberg, a third-party defendant, pursuant to the provisions of Rule 12(b) of-the Federal Rules of Civil Procedure, 28 U.S.C.A., moves for an order dismissing the amended complaint of the third-party plaintiff as against him.

It is necessary briefly to review the facts as presented by the pleadings and motion papers. The plaintiff is the admin-istratrix of Olaf John Jacobsen. Jacobsen was a seaman on a vessel chartered by the Overseas Tankship Corporation, the third-party plaintiff. After the vessel arrived in China, Overseas undertook to transport Jacobsen back to the United States on a plane operated by Northwest Airlines, Inc., the third-party defendant. On or about March 12, 1948 the plane, while en route to the United States, crashed in Alaska, and Jacobsen was killed in the accident.

The administratrix instituted an action in the Supreme Court of the State of New York, County of Kings, against Northwest Airlines, Inc., alleging negligence which resulted in the death of Jacobsen. In that action Greenberg was her attorney. During the pendency of the action, the ad-ministratrix filed a petition in the Surrogate’s Court of Kings County for leave to settle that action against the Northwest Airlines, Inc. In that petition she stated: “Eighteenth. That at the time of the accident, deceased was in the employ of Overseas Tankship Corporation. The defendant, by its attorneys, has requested as consideration of the settlement herein that the release to be executed and delivered herein release both the defendant and the said Overseas Tankship Corporation. Your deponent has agreed to do this.”

The petition was granted and an order of the Surrogate’s Court, dated November 22, 1948, provided that both the Overseas Tankship Corporation, as well as the Northwest Airlines, Inc., be released by the payment of $6,000 to the plaintiff by Northwest Airlines, Inc. A general release, covering both Overseas Tankship and Northwest Airlines was executed by the plaintiff and delivered by Greenberg as her attorney to attorneys for Northwest Airlines.

On March 21, 1950 the plaintiff commenced this action under the Jones Act, 46 U.S.C.A. § 688, against Overseas Tankship Corporation, alleging negligence which resulted in the death of plaintiff’s intestate. Overseas then moved to dismiss the action on the ground that the release which had been executed in its favor by the plaintiff was a complete bar to the maintenance of the action. The affidavits filed with that motion discuss matters outside the pleadings, and consequently the motion was treated as one for summary judgment under Rule 56, as provided for in Rule 12(c) of the Federal Rules of Civil Procedure. The motion was denied on the ground that a question of fact was presented which would have to be determined at the trial.

• Overseas then obtained leave to serve a summons and complaint on Northwest Airlines and Herman Greenberg as third-party defendants. In the defendant third-party complaint it is alleged: “16. Prior to the institution of this action the third-party defendant, Herman Greenberg, acting as attorney for, and on behalf of, the plaintiff herein, and for a valuable consideration furnished to and delivered to the defendant third-party plaintiff, Overseas Tankship Corporation, a release, executed by the plaintiff herein, which purported to, and which said third-party defendant, Plerman Greenberg, represented and warranted did release defendant third-party plaintiff, Overseas Tankship Corporation, from any and every claim and liability which it had, or might ever have, arising out of the death of said deceased, to plaintiff and said deceased’s representatives, estate and dependents. The third-party defendant, Herman Greenberg, delivered said release to the third-party plaintiff, Overseas Tankship Corporation, [100]*100by delivering said release to Mendes & Mount, attorneys, who had undertaken to procure, and w1k> did procure, said release for the third-party defendant, Overseas Tankship Corporation.”

It is to be observed from the foregoing allegations that there is no allegation that Greenberg represented and warranted anything to the Overseas Tankship Corpora-’ tion. Delivering the release to the attor- ■ neys for Overseas was the act of an at-, torney whp ostensibly acted within the scope of his authority as an attorney, i. e. agent, for his client. Curiously enough, in the affidavit of John L. Quinlan, in support of the motion for an order to make Northwest and Greenberg parties, the language used in respect to Green-berg’s acts .differs from that set forth in the aforesaid paragraph of the defendant third-party complaint. Quinlan says: “ * * * Herman Greenberg, as attorney for the plaintiff herein, represented and warranted to defendant that plaintiff had procured authority from the Surrogate’s Court * * * to release defendant from' all liability it, might ever have to plaintiff arising out of the death of deceased; that he furnished ..defendant a release executed by plaintiff, purporting to so release defendant; and that plaintiff was thereupon paid a valuable consideration therefor.”

It is to be noted that there the representation was, as thus alleged by Mr. Quinlan, that the executrix had procured authority from the Surrogate’s 'Court to release defendant from all liability—as indeed she had.

The defendant third-party complaint though alleges also that the plaintiff asserts that the release is “ineffective, a nullity, without consideration and otherwise not' binding on her (or decedent’s estate)”; and that “by reason of the foregoing, Overseas Tankship is entitled to recover from Greenberg any sum for which it is held liable in this action.”

Overseas, in its opposing affidavit, admits that Greenberg had no personal contacts with either Northwest or Overseas. Thus- there remains for consideration only such representation or warranty, if any, arising out of the release itself. The .release.-is signed by the plaintiff, and not by Greenberg. Likewise the petition to the Surrogate to permit her to execute the joint release is executed by the plain-' tiff and not by Greenberg. That Green-berg represented the plaintiff in the negotiations which resulted in the settlement and the order approving the same, and in the release authorized by the Surrogate, does not make Greenberg a party to the contract or liable thereunder. He acted for a disclosed principal and, of course, did not become liable as a party. Shilman v. United States of America, 2 Cir., 1947, 164 F.2d 649, 652-653, certiorari denied, 333 U.S. 837, 68 S.Ct. 608, 92 L.Ed. 1122. Overseas though contends that there is liability arising out of a limited warranty, i. e. an implied warranty of authority to act on plaintiff’s behalf. However, here the third-party plaintiff is met with the well settled rule stated in Ricketts v. Pennsylvania Railroad Co., 2 Cir., 1946, 153 F.2d 757, 759-760, 164 A.L.R. 387, where it is said: “ * * * it is well' settled in this .country that an .attorney has no implied authority to compromise a. claim.”'

In the Ricketts case,. the implied authority was- set up in an attempt to bind the client, t whereas here liability is directed against ’the 'attorney rather than his client.

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Bluebook (online)
11 F.R.D. 97, 1950 U.S. Dist. LEXIS 3560, Counsel Stack Legal Research, https://law.counselstack.com/opinion/jacobsen-v-overseas-tankship-corp-nyed-1950.