Kamerick v. Castleman

23 Mo. App. 481, 1886 Mo. App. LEXIS 89
Missouri Court of Appeals·Decided December 6, 1886·Published·Cited by 16 cases

Opinion

Philips, P. J.

I. The first question, in order of proceeding in the trial court, for determination is, the correctness of the action of the court in striking out the counter-claim. The contention of respondent is that the action is not founded on the contract of rent, but is in tort, for the wrongful entry and appropriation of plaintiff’s corn ; and that where the action is purely in tort a counter-claim predicated on contract between plaintiff and defendant is not permissible. As an abstract proposition this may be true, but the tort may be ■so connected with and dependent upon the existence •of the contract as to connect the counter-claim suffi•ciently with the subject of the action as to admit it.

The case of People v. Dennison (84 N. Y. 272),' cited by respondent, was an action of fraud. The defendant contracted with the state of New York for doing certain work in the construction of a canal. The •defendant procured, by false representations from his engineers, false and fraudulent certificates and vouchers [486] as to the work, whereby he defrauded the state out of large sums of money. The action by the people was-based solely on the fraud, to recover back money thus-, obtained from the people, independent and outside of the' contract. The defendant set up as a counter-claim a sum. due him on his contract with the people. It was disallowed, on the ground that the action was on the fraud wholly disconnected from the contract.

The case of Barnes v. McMullin (78 Mo. 260), holds, that a counter-claim based on the fraud and deceit practiced by plaintiff in procuring a contract of sale, and not for a breach of the contract, could not be entertained where the plaintiff’s action was based upon a promissory note having no connection with the contract of sale. But the learned commissioner, who wrote the-opinion, also held, that all independent express contracts, whether liquidated or unliquidated, are the subjects of counter-claim, and that in all that class of cases in which a tort has been suffered, and the law permits the sufferer to waive the tort and sue in assumpsit, and he prefers the latter, then a counter-claim may be made arising under the same contract.

The converse of this proposition must be equally correct, that where the actor elects to sue in tort, springing out of a contract, pleaded as inducement, the-defendant should be allowed a counter-claim growing out of plaintiff’s breach of that contract.

Our practice act provides that the defendant may plead as a counter-claim í£ a cause of action arising out of the contract or transaction, set forth in the petition as the foundation of the plaintiff’s claim, or connected with the subject of the action.”

In Empire Transportation Company v. Boggiano et al. (52 Mo. 294), the company sued defendant to recover a charge for the transportation of certain goods over its line. The answer set up as a counter-claim damages resulting from plaintiff’s negligence as a common carrier in transporting certain fruit for defendant. [487] It was urged against the counter-claim that the negligence of a common carrier, being a common law liability, and the subject of an action in tort, could not be pleaded as a counter-claim. The court say: “Although the plaintiff’s liability in this case is for a tort growing out of the negligence and delay as a common carrier in the transportation of the defendant’s goods, the cause of action, so far as the defendant is concerned, arises out of the contract of affreightment, and hence in declaring at common law1 for the tort, the contract was always alleged in the declaration by way of inducement, So under our statute the contract must be alleged as the inducement to the cause of action, and as showing the parties, connection with the case. In this light the contract is looked to as the origin of the cause of action. The statute contemplated that where a suit is founded on a cause of action connected, in any manner, with a contract, a counter-claim arising out of any other contract between the same parties may be set up. * * * It is sufficient if the defendant’s right to the damages relied on as a counter-claim grows out of a contract between him and plaintiff.”

In McAdow v. Ross et al. (53 Mo. 199), one Small-wood, as the owner of the property, contracted with one Ross to make certain building improvements thereon. McAdow furnished certain materials which were used therein by Ross. In an action by McAdow to enforce a mechanic’s lien on this property for said materials, Small-wood answered that plaintiff became surety on the contract between him and Ross, whereby he guaranteed the faithful execution of the work by Ross, and pleaded as a counter-claim damages resulting from Ross’ failure to keep and perform his contract. It was held to be admissible, as being “connected with the subject matter of the action.” The court say: “If the claim be for a' debt, or damages growing out of the subject of the action, or arise out of the transaction set forth in the petition as a ground of action, it is enough.” In support [488] of the rule the case of Curtis v. Barnes (30 Barb. 225), is cited. There the parties submitted a matter in controversy to arbitration, but before the hearing was completed the plaintiff withdrew therefrom, and brought suit on his claim. The defendant was allowed to plead as a counter-claim damages consequent upon plaintiff’s abandonment of the submission to arbitration. While the action of McAdow cannot be said to have grown out of any contract between him and Smallwood, but is rather a statutory remedy enforceable' against the property of the owner, the counter-claim obtained as growing out of the breach of the contract between Ross and Smallwood, for which McAdow vouched, and as being connected with the subject of the action, as its initial ground.

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Kamerick v. Castleman, 23 Mo. App. 481, 1886 Mo. App. LEXIS 89 (Mo. Ct. App. 1886).

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