Kahn v. Joseph Becnel & Co.

108 La. 296
CourtSupreme Court of Louisiana
DecidedJuly 1, 1902
DocketNo. 14,039
StatusPublished
Cited by2 cases

This text of 108 La. 296 (Kahn v. Joseph Becnel & Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kahn v. Joseph Becnel & Co., 108 La. 296 (La. 1902).

Opinion

The opinion of the court was deliverd by

Breaux, J.

Plaintiff brought this suit to recover a balance of twenty thousand six hundred and thirty-eight and 12-100 dollars, with interest and attorney’s fee.

In her petition she sets forth that this amount is due her by the planting partnership of Joseph Becnel & Go., composed of Joseph Becnel, who died in 1897, whose estate is represented ¡by his widow, cf Numa Becnel, Bazil Becnel, Damas Weber, Omer Weber, and oif Victor Bourgeois.

The husband of the plaintiff, Morris Eeitel, was the commission merchant of defendants from about the year 1893, until his death, on the 17th day of April, 1895, and during that time they became indebted [297]*297to Mm in a considerable sum. Immediately after her husband’s death Mrs. Eeitel took charge of her husband’s commission business and conducted it in her own name. She, as a commission merchant, advanced merchandise and cash to defendants.

The defendants came into court, after they had been sued, and asked for oyer of the notes referred to in plaintiff's petition, and also for oyer of her accounts which had not been filed with the petition.

Plaintiff, in accordance with this order, filed her notes and accounts and included in her return to the order .accounts showing the balance due by defendants to Morris Eeitel, the husband of plaintiff.

Defendants, after plaintiff had thus filed the account and papers, filed a written objection in wMch they averred that plaintiff had not complied with the order of court, because some of the accounts which she had filed purported to be accounts ¡between M. Eeitel and Joseph Becnel & Co., and not between the plaintiff and Joseph Becnel & Co., and that in consequence the accounts claimed by plaintiff did not show a balance in her favor; that there was nothing in plaintiff’s petition lo connect the defendants with M. Eeitel. This was overruled and subsequently defendants filed their answer.

They in this answer denied that plaintiff had a mortgage to secure the payment of the notes, amounting to fifteen thousand dollars ($15,-000) mentioned in plaintiffs’ petition. They denied all indebtedness, and averred that no settlement of accounts had ever been made, and averred further that a correct account would show an indebtedness from the plaintiff .to the defendants, instead of a debt against them.

The testimony shows that during all the years that plaintiff or her predecessor was the commission merchant of the defendants, monthly settlements were made showing exactly the debits and credits between, them. A copy was forwarded to the managing partner of the firm. Not long prior to the death of this partner the accounts in the possession of. plaintiff and those which had been carried on the partnership books of the defendants were carefully examined and were found correct. These accounts, as alleged by defendants, included the accounts of amounts due to the late Morris Eeitel not covered by the allegations of the plaintiff’s petition.

The indebtedness of the defendants to Morris Eeitel, amounting to seven thousand eight hundred and thirty-six and 80-100 dollars ($7,836.80), was included in plaintiff’s account, and from the date of [298]*298her husband’s death she treated this claim as absolutely her ¡own. The allegations of her petition originally were directed exclusively to the recovery of an amount which she claims is due, and as having been advanced since her husband’s death.

The mortgages were executed to cover the amounts due her for advances, but they also included amounts due her late husband.

Defendants assail the validity of these mortgages on the ground that they are not binding.

The facts are, as relates to these mortgages, that the property mortgaged did not belong to the surviving partners at the date that they were executed. It was all in the name of Joseph Becnel individually until 1891,but he really owned only one-sixth of the property, and the remaining five-sixths belonged to his co-defendants. He signed the acts of mortgage each year, for several years, in the name of the partnership and not in his own name. He had no power of agency from his co-partners. He, in" 1891, executed a deed of sale to his co-portners for five-sixths of the property. It was not recorded until April, 1894, and after that date each year a mortgage was executed by Joseph Becnel individually in favor of Moses Eeitel and after his death in ifavor of the plaintiff, by Joseph Becnel, for advances in the name of the partnership only.

The judgment of the District Court deducted the claim of the late Morris Eeitel from the plaintiff’s claim and gave judgment for the balance and interest and fee of attorney, less $1,383.33 charged by plaintiff as discount. It dismissed the demand for recognition of mortgage. Both plaintiff and defendants appeal.

We deem the foregoing a sufficient statement for the time being. We will state other facts as they come to our attention while passing upon the case.

We take up, in the first place, ¡for decision the question of the amounts as set up in plaintiff’s account. We will state in addition to the facts already stated regarding plaintiff’s claim that plaintiff’s bookkeeper testified as to the correctness of her accounts. The managing partner had the authority to acknowledge the correctness of accounts.

This partner found no objection to tire items carried in the account, but did not understand how it was possible to hold his firm bound for the payment of the promissory notes secured by mortgage which had been executed as security for advances. These notes had [299]*299been carried on the account. As usual with commission merchants, entry was made that they had been discounted. The amount of the discount was placed to his credit, less the commission which is usually deducted and to which the merchant is entitled, when in reality the note is discounted; but not when, as in this case, it remains in the hands of the merchant and he advances the money. The plaintiff not having thus discounted this note, she had no right to discount it herself and charge a commission. Delogny vs. Creditors, 48th Ann. 488.

Defendants, as relates to the amount of plaintiff’s claim, urge that the sums due to the late Morris Feitel, her husband, should be deducted. They allege in this connection that, although plaintiff claims to have complied with the order in matter of oyer directing her to file notes and accounts, she has not complied with the order, for some of the accounts which she has filed were .accounts between M. Feitel and Joseph Becnel & Co., and not accounts between plaintiff and Joseph Becnel & Co.

In passing upon the question whether this amount should be deducted, as claimed by defendants, we will have to return for a moment to the ruling of the District Court regarding oyer. The facts are, as relates to this .order, that the term of the district judge expired a short time after he had decided that the court’s order, as relates to oyer, had been complied with and all needful papers had been filed. His successor who took up the case after this ruling held: “Nothing was said

or intimated in the petition about an account of M. Feitel. Under these circumstances, had plaintiff the right to file it in answer to the prayer for oyer of account of Mrs.

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Bluebook (online)
108 La. 296, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kahn-v-joseph-becnel-co-la-1902.