Knapp v. B. Nicoll & Co.

296 P. 655, 112 Cal. App. 187, 1931 Cal. App. LEXIS 995
CourtCalifornia Court of Appeal
DecidedFebruary 25, 1931
DocketDocket No. 6163.
StatusPublished
Cited by2 cases

This text of 296 P. 655 (Knapp v. B. Nicoll & Co.) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Knapp v. B. Nicoll & Co., 296 P. 655, 112 Cal. App. 187, 1931 Cal. App. LEXIS 995 (Cal. Ct. App. 1931).

Opinion

*189 THOMPSON (IRA F.), J.

It seems proper to direct attention at the outset to the incorrectness of the title of this appeal in order that our opinion may not be misread and misapplied. The plaintiff commenced an action against the defendants named in the caption, alleging that the corporate defendant B. Nicoll & Co. had become indebted to her in the sum of $1338.80 for general hauling, which sum it had not paid either in whole or in part; that the other defendants, without right, claimed some interest in the account, and prayed judgment accordingly. The defendant corporation, B. Nicoll & Co., answered admitting that it became indebted to Western States Transport Company in the sum of $1282.43, and alleging that a controversy had arisen concerning the one to whom payment of that amount should be made; that it was not interested in that question; and that all of the parties had stipulated that the fund might be deposited in court and the answering defendant dismissed from the action. The stipulation was filed and the money deposited pending the outcome of the action. The defendant Epperson answered denying that the defendant B. Nicoll & Co. had become indebted to plaintiff and alleging that said claimed sum was the property of the Western States Transport Co.; that he had recovered a judgment against the Western States Transport Co. in the sum of $1379.76 including costs; and that prior to the rendition of the judgment all moneys in the hands of B. Nicoll & Co. and due the Western States Transport Co. had been garnisheed by him. The defendant Epperson also filed a cross-complaint in which he set up the same claim to the fund arising by reason of the garnishment and judgment and also alleging that if the account was assigned to plaintiff by the Western States Transport Co. it was without consideration and was made for the purpose of defrauding creditors and in particular of defeating cross-complainant’s judgment lien. The defendant Guaranty Liquidation Company also filed an answer substantially the same as that of defendant Epperson and setting up a garnishment of the fund and a judgment in the sum of $689.77 and by way of an affirmative defense again set forth its claim to the money, alleging that the assignment to plaintiff, if one was made, was an attempt to hinder, delay and defraud creditors; and asked *190 that its. judgment be satisfied out of the fund. Prior to the introduction of any testimony it was stipulated by all the parties that the cross-complainant had levied a garnishment upon B. Nicoll & Co. for all moneys due the Western States Transport Co. on February 9, 1928; and that thereafter and on February 20, 1928, in the identical action, had recovered a judgment against Western States Transport Co. in the sum of $1379.76, no part of which had been paid. It was likewise stipulated that the Guaranty Liquidation Co. had garnisheed all moneys due or owing from B. Nicoll & Go. to the Western States Transport Company on February 10, 1928, in an action which had subsequently gone to judgment in the sum of $689.77. The bill of exceptions shows that plaintiff attempted to introduce some evidence, the materiality of which the trial court could not see (nor can we) and then asked leave to amend her complaint alleging an assignment of a contract between the Western States Transport Co. and B. Nicoll & Co. to the plaintiff on November 1, 1927, which request the court below denied. Thereupon the defendants moved for a nonsuit which was granted and also asked for judgment upon the cross-complaint of cross-complainant Epperson and the affirmative defense of defendant Guaranty Liquidation Co., which was also granted, the court apportioning the fund to these two upon their judgments. The appeal is from the judgment so rendered.

It is the contention of appellant that the court was without right to enter a judgment in favor of cross-complainant Epperson and defendant Guaranty Liquidation Co. after motion for nonsuit as to plaintiff’s complaint was granted. She bases her assertion in this particular upon the authority of San Francisco v. Brown, 153 Cal. 644 [96 Pac. 281, 282], That case was one in ejectment, to the complaint in which the defendants responded by an answer alleging “the statute of limitations and adverse possession for the requisite statutory period”. After plaintiff rested its case the defendants moved for a nonsuit which was granted. Some time thereafter, the clerk, without any instructions from the judge, entered a judgment, pursuant to the instruction of defendant’s counsel decreeing the defendant Brown to be the owner and entitled to possession of the property. The Supreme Court said: “ ... [I]t is apparent that the judgment which was entered was not the *191 judgment rendered by the court. The judgment is rendered was one of nonsuit only, the effect of which was simply to declare that the plaintiff had failed to make proof of material allegations necessary to sustain his cause of action. It decided nothing on the merits of the controversy, and necessarily could not, as its effect was to virtually put the plaintiff out of court. It operated simply as a dismissal of the case. (Wood v. Ramond, 42 Cal. 643.)” Here, however, we are confronted with an entirely different situation. Epperson had filed a cross-complaint in reply to which an answer had been filed by the plaintiff. Cross-complainant was clearly entitled to have the issues thus raised tried and determined. (Warner v. Darrow, 91 Cal. 309 [27 Pac. 737].) All of the parties had stipulated, on account of the allegations of the various pleadings concerning the claims of plaintiff and defendants to a particular fund, that the ■amount of $1282.43 should be deposited with the clerk pending the outcome of the action. Claim was also made to the fund by the affirmative defense of the respondent Guaranty Liquidation Co. The stipulation also dismissed the defendant B. Nicoll & Co. from the action. After the filing of this stipulation the action took on the complexion of one in interpleader. (14 Cal. Jur. 701.) In actions of this character the answer is “in the nature of a cross-complaint and should be served upon each defendant, who may answer the same”. San Francisco Sav. Union v. Long, 123 Cal. 107 [55 Pac. 708, 709], See, also, Interlocking Stone Co. v. Scribner, 19 Cal. App. 344 [126 Pac. 178], It should be borne in mind that plaintiff haled the respondents into court by an allegation that they claimed some interest in the account which claims she denied. She had no other reason for making them parties defendant. Under these circumstances the reasoning of the following language in San Francisco Sav. Union v. Long, supra, is pertinent: “But when, as here, all parties come in, and, without objection, make up their pleadings and litigate their claims, we feel warranted in holding that all consent to the remedy sought, and to the payment into court and consequent dismissal as to plaintiff.” This further feature of the case should be noted. The court was, under the special circumstances of this case, bound to try and determine the issues tendered by the cross-complaint of the respondent Epperson and the *192 affirmative answer, which was but a cross-complaint, of the respondent Guaranty Liquidation Co.

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Bluebook (online)
296 P. 655, 112 Cal. App. 187, 1931 Cal. App. LEXIS 995, Counsel Stack Legal Research, https://law.counselstack.com/opinion/knapp-v-b-nicoll-co-calctapp-1931.