Johnson Iron Works v. Moock

5 Teiss. 316, 1908 La. App. LEXIS 85
CourtLouisiana Court of Appeal
DecidedJune 22, 1908
DocketNo. 4378
StatusPublished

This text of 5 Teiss. 316 (Johnson Iron Works v. Moock) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Johnson Iron Works v. Moock, 5 Teiss. 316, 1908 La. App. LEXIS 85 (La. Ct. App. 1908).

Opinion

ESTOPINAL, J.

The Johnson Iron Works sued the defendant, Jacob Moock, for Eighty-five Dollars and Twenty-five Cents ($85.25), averring that Jacob Moock and-one George H. Spencer were joint owners of the boat “Columbia,” upon which the plaintiff made repairs and furnished materials at the request of and for account of said owners; that said George H. Spencer was adjudicated a bankrupt and surrendered in his bankruptcy proceedings his one-half interest in the said boat, which was sold by the Trustees by order of Court, and adjudicated to Jacob Moock for the price and sum of Five Hundred and Twenty-five Dollars ($525.00) ; that said Moock paid only Two Hundred and Fifty Dollars ($250.00) of the said price of adjudication, retaining Two Hundred and .Seventy-five Dollars ($275.00), which plaintiff avers is liable for the debts of George H. Spencer.

Plaintiff avers that he has a lien and privilege upon said boat, which primes all other privileges, and that this privilege attaches to the proceeds in the .hands of said Moock, who is liable not only as adjudicatee, but as part owner of said boat as well.

Defendant interposed the plea of prescription, as well as an exception of no cause of action and one of vagueness, and in the alternative tendered the general issue.

The plea of prescription was sustained by the lower court, and plaintiff’s demand was dismissed.

The statement of facts agreed to in this Court is as follows :■

The Johnson Iron Works, on a date after April 1st, 1906, [317]*317and before April 13th, 1906, made certain repairs to the steamboat “Columbia.” The owner of the boat at that time was George H. Spencer. On April 24th, 1906, Spencer sold a half interest in'the boat to Jacob Moock, defendant herein. On August 9th, 1906, George H. Spencer was adjudicated a bankrupt by decree of the United States District Court for'the Eastern District of Louisiana.

The inventory of this estate shows a half interest in the steamboat “Columbia.” On October 17th, 1906, the Johnson Iron Works filed in bankruptcy proceedings its proof of claim, claiming a lien and privilege. On January 31st, 1907, the bankrupt’s undivided interest in the boat was sold at public sale, and adjudicated to Jacob Moock, defendant herein, at the price and sum of Five Hundred and Twenty-five Dollars ($525.00). The said Moock declined to pay the price of adjudication on the ground that he held a vendor’s lien mortgage upon the bankrupt’s interest in the vessel, amounting to One Thousand Dollars ($1000.00), and a mortgage of Four Hundred and Fifty Dollars ($450.00), claiming that he was entitled to retain the amount of the adjudication price in his hands and apply the same to the satisfaction of his mortgage debts. T,he Trustee thereupon took a rule on said Moock to show cause why he should not be compelled to pay the price of adjudication.

After hearing on the rule, the Referee ordered Moock, without prejudice to any of his rights in the premises, to deposit with the Trustee the sum of One Hundred and Fifty Dollars ($150.00), to cover any and all costs which outrank his (Moock’s) claim, imposing the condition that should this amount be sufficient to cover said costs and expenses, then Moock to make further deposits to meet such excess.

On July 29th, 1907, the Trustee having filed a final account, showing that the assets of the bankrupt had been consumed in expenses of administration and in the payment of privileges on particular articles, the bankruptcy proceedings were terminated by the discharge of the Trustee. On July 29th, 1907» the Johnson Iron Works instituted the present suit against Jacob Moock to compel him to pay its claim out of the proceeds of the price of adjudication retained by him and yet in his hands.

The claim of the Johnson Iron Works amounted to Eighty-Five Dollars and Twenty-five Cents ($85.25). This claim was not recorded either in the Parish Mortgage Office or in the Office [318]*318of the Collector of Customs. The Referee never passed upon the claim, and no payment on account from any source has been received by the Johnson Iron Works. No notice of the trial of the rule on Moock was ever served on the Iron Works, and it was not represented at such suit.

The facts in this case are not controverted, and questions of law only are submitted for our determination.

Defendant endeavors to defeat plaintiff’s claim:

First — On the ground that plaintiff’s privilege should have been recorded, and

Second — Th<at the action, being prescribed by six months, plaintiff, w,ho instituted this suit on January 29th, 1907, has no standing in Court, the services upon which the claim is based having been performed in April, 1906.

The question of recordation of the privilege against the boat necessarily involves the question as to whether a ship is a movable or an immovable.

We have examined with care the authorities submitted, and these unquestionably place ships in the category of movables, a'nd they are so treated. 7 La. 485; 7 La. 488; 17 La. 158; Hill vs. Phoenix Boat Co., 2 Rob. 35; 16 La. 463.

It was not necessary, therefore, that plaintiff’s privilege be recorded, and the purchaser of the vessel took it subject to privileges against it.

The contention by defendant that the claim should have been recorded under the provision of Article 2777 of the Civil Code is without merit, since it is evident that plaintiff’s claim is predicated on Article 3237, and under this article recordation of the privilege is not required.

Passing to the question of prescription, we find that plaintiff, it is true, did not file this proceeding until more than a year .had elapsed from the completion of the work, but we do find, and it is not disputed, that four months after the work was done, and before prescription had accrued, Spencer went into bankruptcy, and among other assets surrendered his one-half interest in the boat “Columbia.” Johnson at once presented his claim to the Referee.

It does not appear that the Referee passed upon the claim, but this fact cannot prejudice plaintiff.

Spencer was adjudicated a bankrupt on the 9th of August, 1906, and the Trustee was discharged on July 29th, 1907. Immediately plaintiff filed the present suit against Moock, the ad-[319]*319judicatee a't the sale, who retained in his hands part of the purchase price, claiming that he held a mortgage on the vessel.

It is contended by plaintiff that the time during which the bankruptcy proceedings were pending should be excluded in computing the prescriptive period.

We have examined the authorities submitted by counsel' and they leave no doubt in our minds as to its soundness.

We can do no better than to quote from the plaintiff’s brief the extracts of authorities found therein, as follows: .

In Wilcox vs. His Creditors, 11 Rob. 346, the Court said (p. 348) : “The plea of prescription cannot avail, as the insolvent made a surrender of his property within a year or two after any part of it was demanded.”

-And the head note states the proposition of law strongly:

“Prescription was interrupted by a cessio bonorum made by the debtor.”

In West vs. His Creditors, 1 A. 365, the Court said (at p. 356, paragraph 3) :

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Bluebook (online)
5 Teiss. 316, 1908 La. App. LEXIS 85, Counsel Stack Legal Research, https://law.counselstack.com/opinion/johnson-iron-works-v-moock-lactapp-1908.