James McCreery Realty Corp. v. Equitable National Bank

54 Misc. 508, 104 N.Y.S. 959
CourtAppellate Terms of the Supreme Court of New York
DecidedMay 15, 1907
StatusPublished
Cited by7 cases

This text of 54 Misc. 508 (James McCreery Realty Corp. v. Equitable National Bank) is published on Counsel Stack Legal Research, covering Appellate Terms of the Supreme Court of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James McCreery Realty Corp. v. Equitable National Bank, 54 Misc. 508, 104 N.Y.S. 959 (N.Y. Ct. App. 1907).

Opinions

Giegerich, J.

The action was brought to recover an installment of rent claimed to be due for the month of January, 1905, under a lease by which the plaintiff let to the defendant the premises He. 803 Broadway, in the borough of Manhattan, in which the latter carried on its banking business. The term of the lease was live years from May 1, 1902, and the yearly rental was $9,000, payable in monthly installments of $750.

The respondent calls attention to the fact that it is not alone the amount'of $750 sued for that is involved, but also the right to collect the subsequently accruing rent for the balance of the term, amounting to over $20,000.

A few 'days before the action was tried an amended answer was served which for the first time set up the defense that the defendant was not authorized by the comptroller of the currency to commence the business of banking until the 2d day of June, 1902, and that the lease set forth in the complaint was made and executed by the plaintiff with certain persons purporting to act on behalf of the defendant [510]*510before the date of the latter’s organization, and before it had any corporate existence, and_ before it had any right to commence the business of banking, and that such lease was consequently void.

Upon becoming apprised of this defense the plaintiff’s attorney made inquiry to ascertain when the lease was executed and delivered, and was informed that it was delivered on the 19th day of June, 1902, as appeared by the plaintiff’s records.

Upon tire trial the defendant’s attorney testified that the ' lease was signed on May twenty-seventh, and on the same date was handed to John W. Wooten to be delivered to the plaintiff. Wooten testified that he was at the time of the transaction the attorney for the defendant and that he delivered the lease to one Easter, who represented the plaintiff company. Wooten did not profess to recollect the date when the lease was executed or when he delivered it, but it was fairly to be inferred from his testimony that such date was May 27, 1902. That the bank was not authorized to commence the regular transaction of business until June 2, 1902, is undisputed.

At the close of the case each side moved for the direction of a verdict, whereupon the court, by consent' of both parties, discharged the jury and reserved its decision on the motions and subsequently rendered a decision in the form of findings of fact and conclusions of law in favor of the defendant, finding, among other things, that the lease in question was entered into between the plaintiff and the defendant on the 27th day of May, 1902, and was delivered to and accepted and retained by the plaintiff on that date, and also finding that the defendant was not authorized to commence business until the 2d day of June, 1902. Judgment was accordingly directed and entered in favor of the defendant. • An appeal was taken to this court, where the judgment was affirmed by an order dated May 26, 1905. On July 19, 1905, the case was carried by a writ of error to the Supreme Court of the United States, where it* was pending at the time this motion for a new trial was made in the City Court on the 23d day of October, 1906.

[511]*511From the moving papers it appeared that in September, 1906, the plaintiff’s attorney for the first time" learned of certain additional evidence that the lease was not signed by the defendant, nor delivered to the plaintiff, prior to June 2, 1902, hut subsequent to .that date. This information he first obtained from one Gandy, who stated to him that one Carraway, formerly cashier of the defendant, but now residing in the State of Mississippi, had informed him (Gandy) that the lease had been signed and delivered after June 2, 1902, and not before.

The plaintiff’s attorney endeavored to obtain an affidavit from Carraway and communicated with him by telegraph, but Carraway refused to voluntarily make an affidavit.

After receiving the above information the plaintiff’s attorney also caused inquiry 'to be made of John W. Wooten, who made an affidavit that, after careful consideration of the facts, he now recalls that it was after June second that he handed the lease to Mr. Easter, the plaintiff’s employee, and not before that date, as might be inferred from his testimony given at the trial.

In Gandy’s affidavit he states that Carraway told him •that he (Carraway) was positive that the lease .was not signed by him until after June 2, 1902, and that he is positive of the fact because he was well acquainted with the provision of law forbidding national banks to commence business until authorized by the comptroller, of the currency to do so,, and further he remembered delaying the execution of the lease because he desired to obtain the account of the plaintiff and delayed signing the lease for that reason also. ■

The testimony above outlined is manifestly of such a character that it would, in all probability, turn the scale in the plaintiff’s favor in the event of a second trial; because it must be borne in mind that the only evidence as to the time when the lease was delivered was that of the witness Wooten, who testified, not to a positive date? but to an event, the date of which was fixed by other witnesses, and who, furthermore, now claims to recall the fact that such delivery was made by him after June 2, 1902. The fact that the affidavit of the proposed witness Carraway is not presented is not, as [512]*512the appellant argues, fatal to this application. It appears that, although Carraway was willing to tell Gandy the facts, he was,*nevertheless, unwilling to furnish an affidavit for use upon the motion. This unwillingness of the witness to make an affidavit, and the fact that he is out of the jurisdiction of the court, constituted a sufficient excuse for the failure to produce his affidavit upon the motion. The rule is not an absolute one that the affidavit of the proposed witness must be furnished upon a motion for a new trial. It is enough if it is shown that such affidavit cannot be obtained. Cheever v. British American Ins. Co., 86 App. Div. 331, affd. in 180 N. Y. 551"; Matter of Cohen, 84 Hun, 586, and authorities there cited,

Some of the inferences sought to be drawn against the plaintiff’s case are rebutted by other facts which should be taken in connection therewith.

The proposed witness Easter was in court at the trial, it is true, and he was connected with the plaintiff and was not called as a witness. But the usual inference that his testimony would have been adverse to the plaintiff cannot obtain, because it is shown that upon the trial, and immediately after the defendant’s evidence was put in, he was asked by the plaintiff’s attorney what he knew as to the date of the delivery of the lease, and replied that he could give ho information and had "no recollection. In. his affidavit on this motion he states that recently, after conversing with O’Neale about his efforts to get the lease in June, his memory was refreshed and he was able to state positively that the lease was not handed.to him prior to June second, and that he will so testify at the trial.

So, too, with reference to the memorandum book, mentioned by the plaintiff’s witness McOreery, but not produced. No inference unfavorable to the plaintiff should be drawn from the fact of such nonproduction. The witness stated on the trial that he had not brought the book because he supposed his own testimony was to be taken on the point.

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James McCreery Realty Corp. v. Equitable National Bank
123 A.D. 358 (Appellate Division of the Supreme Court of New York, 1908)

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Bluebook (online)
54 Misc. 508, 104 N.Y.S. 959, Counsel Stack Legal Research, https://law.counselstack.com/opinion/james-mccreery-realty-corp-v-equitable-national-bank-nyappterm-1907.