Kessler v. Peck

98 So. 2d 606, 266 Ala. 669, 1957 Ala. LEXIS 609
CourtSupreme Court of Alabama
DecidedMay 9, 1957
Docket6 Div. 15
StatusPublished
Cited by8 cases

This text of 98 So. 2d 606 (Kessler v. Peck) is published on Counsel Stack Legal Research, covering Supreme Court of Alabama primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Kessler v. Peck, 98 So. 2d 606, 266 Ala. 669, 1957 Ala. LEXIS 609 (Ala. 1957).

Opinion

[On Rehearing]

STAKELY, Justice.

On application for rehearing we have concluded that the original opinion should be withdrawn and the present opinion substituted in lieu thereof. While we feel that the opinion should be rewritten, the result under the facts in the case at bar will not be different.

This case comes to this court on an appeal by Phillip W. Kessler (appellant), who was defendant in the court below, from a judgment in favor of Antonia K. Peck (appellee), rendered in the amount of $20,918 for deceit, growing out of a building deal. The case, which was filed February 7, 1951, was tried before the court without the intervention of a jury. After the foregoing judgment was rendered, there was a motion for a new trial made by the appellant, which was overruled and thereafter this appeal followed.

The defendant, Phillip W. Kessler, who was in the construction business and also engaged in his profession as an architect, entered into a written contract with the plaintiff on August 13, 1948, which was comprised of two separate instruments, one of which was for architectural services and the other of which was for the construction of an apartment building in Cincinnati, Ohio. The defendant represented at this time to the plaintiff that he was solvent and able to pay his obligations and was in a sound financial condition. He further suggested to the plaintiff, an elderly lady, that she did not need a lawyer since his lawyer, already retained, could act for both. On this date the initial payment of $13,500 was made to the defendant. The construction of the building began and within the next four or five months additional payments were made by the plaintiff to the defendant, totaling $7,418. While the work was in progress an effort was made to secure a permanent loan on the property and at one of the meetings at the office of the loan company, the defendant was requested to show evidence of payment for materials and labor used in the construction to date. He did not at this time produce such evidence or make any satisfactory explanation for his failure to do so. On all occasions subsequent to the date the original contract was signed, defendant informed plaintiff *672 that he had paid all bills for labor and materials. Following the conference at the loan company office, the defendant was not seen again by the plaintiff or her daughter and the record appears to be silent as to his whereabouts at that time. However, a suit was filed in Hamilton County, Ohio, and in 1950 it was contended by defendant’s counsel that the defendant was a nonresident of Ohio and a resident of Alabama.

The plaintiff made an effort to dispose of the property and finally accepted an offer of $10,000, which was the best offer she got. This transaction was completed on December 21, 1949. The $10,000 received was the exact amount that the plaintiff paid for her lot, hence she was still out the sum of $20,918.

During the trial of the instant case the defendant took the stand and was cross examined. The plaintiff had a stroke after her dealings with the appellant, became ill and was “in no shape to testify.”

Subsequent to the disappearance of the appellant before completing the building, the appellee filed a suit against the appellant in an Ohio State Court. In this suit he successfully quashed service as a nonresident of Ohio. Thereafter the appellee sued appellant in the Federal Court in Birmingham, Alabama, and in that case Phillip W. Kessler claimed to be a citizen of Ohio and showed that he knew that the Ohio State case had been filed against him. He testified in his own defense in the federal court case and in the instant case made various statements relative to his statements in the federal court case as to his home. The case in the Federal Court in Birmingham was dismissed by the Court on January 12, 1951, on motion of the defendant for failure of proof of diversity of citizenship, which means, in effect, that the court found that appellant was a resident of Ohio.

Phillip W. Kessler testifying in his own behalf, made various admissions relative to letters, etc., received by appellee and in particular that the initial payment of $13,-500 was deposited to the credit of the firm of which he was the sole owner. The same admission was made with reference to other payments made to the appellant. He also admitted dictating and even signing the letter addressed, “To Whom it May Concern,” to which we shall later refer.

I. It is argued that the court was in error in overruling the demurrer to Count One of the complaint. We see no point in discussing the ruling of the court on the demurrer to Count One since the judgment of the court did not specify on which count the judgment was rendered. The judgment will be referred to the good count if there is evidence to sustain it; furthermore, the judgment will not be reversed because of the trial court’s erroneous ruling on the demurrer to the defective count. Trammell v. Robinson, 34 Ala.App. 91, 98, 37 So.2d 142. It is our belief that Count Three, as amended, states a cause of action and that there is sufficient evidence to permit recovery by the plaintiff on this count.

The grounds of the demurrer for the most part specify and limit their application to Counts One and Two. When Count Three, as amended, was filed, the demurrer, as filed, was simply refiled to the complaint, as amended. It seems to be argued that the demurrer should have been sustained to Count Three, as amended, because the count undertakes to set up three separate and distinct tort actions. We find no apt ground of demurrer raising this question as to Count Three. Campbell v. Jackson, 257 Ala. 618, 60 So.2d 252.

In addition thereto it is our judgment that Count Three, as amended, does not set up three separate and distinct tort actions. On the contrary, it seeks recovery of payments made under a contract which was fraudulently induced by the defendant. Count Three, as amended, is a count claiming $30,000 as damages in connection with a contract that provided for the construction of a building. It is alleged that the plaintiff has duly performed all of the con *673 ditions required by the contract to be performed on her part. It is further alleged that the plaintiff paid to the defendant under said contract the following amounts on the following dates: August 13, 1948, the sum of $13,500; January 17, 1949, the sum of $1,358; on January 17, 1949, the sum of $1,880 and on March 22, 1949, the sum of $4,000. It is further alleged that at or immediately prior to the time said sums were paid by the plaintiff to the defendant, the defendant stated to the plaintiff that he was in sound financial condition, had paid all the laborers and materialmen who had done work or supplied material which went into the construction of the building provided for in the contract. It is further alleged that the plaintiff relied on said representations and paid said sums of money to the defendant in reliance thereon. It is further alleged that such representations were false in that the defendant was not in a solvent financial condition and was actually insolvent at the time said representations were made and that many of the laborers and materialmen had not been paid for their labor and materials which went into the construction of the building being constructed under said contract.

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Cite This Page — Counsel Stack

Bluebook (online)
98 So. 2d 606, 266 Ala. 669, 1957 Ala. LEXIS 609, Counsel Stack Legal Research, https://law.counselstack.com/opinion/kessler-v-peck-ala-1957.