Lambeth v. Vawter

6 Rob. 127
CourtSupreme Court of Louisiana
DecidedOctober 15, 1843
StatusPublished
Cited by5 cases

This text of 6 Rob. 127 (Lambeth v. Vawter) 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
Lambeth v. Vawter, 6 Rob. 127 (La. 1843).

Opinion

Garland, J.

In the month of October, in the year 1834, a number of individuals in the Parish of Natchitoches, agreed “to constitute themselves into a joint stock company, for the purpose of purchasing and running two steamboats, in the trade,” from that place to New Orleans; and they agreed to pay the sums annexed to their names, for the aforesaid purpose. It was further agreed, that the management of the funds and boats should be confided to a president and four directors, to be elected by the votes of the stockholders, each share to be entitled to one vote, and the money subscribed, to be paid in various instalments from the time of the purchase of the boats. The defendants became subscribers to this company or association, and affixed to their respective names the sums for which they desired to become interested. Vawter subscribed for $6000 ; Lecompte for $500 ; Prudhomme for $100 ; Buard for $200 ; and others for Various sums. An .election for president and directors was held, when Airey was chosen president, and Hopkins, Bossier, Cortes, and Vail, directors. These individuals signed a document, or power of attorney, in which they state, that an association had been formed by various merchants and planters, who had organized themselves under the style of the Natchitoches Steamboat Company, “for the purpose of convenience and facility in navigation.” They state that stock, to the amount of $24,000, has already been subscribed, to be applied to the purchase of one or two substan[129]*129tial and suitable boats for the trade. They then recite, that they have been elected President and Directors of the Company, and that they “duly authorize and Cmpower, Captain David Vawter to proceed to New Orleans, for the purpose of selecting, purchasing, and negotiating the payments for such steamboats as he may approve. We also, in behalf of the stockholders, obligate to fulfil and fully guarantee contracts made by Captain David Vawter, in the purchase of said boat or boats.” With this authorization, a copy of the agreement of the stockholders, with their names, and the sums affixed to each, and letters to various commercial houses, Vawter proceeded to New Orleans, where he entered into the following agreement with the plaintiffs. “ Under a power of attorney from the President and Directors of the Natchitoches Steamboat Company, and acting in virtue of said instrument, I hereby bind said Company to Messrs. Lambeth & Thompson, a commission of two and a half per cent., on their acceptance of the drafts drawn by the said Company on them, by me, as their constituted agent, at four, eight, and twelve months, viz : New Orleans, 24th November, 1834, at 4 months, favor C. S. Crane $5356 93 ; do., 8 months, C. S. Crane $5557 87 ; do., 12 do., $5775 84— $16,690 64, making sixteen thousand, six hundred and ninety dollars sixty-four cents, which payments the said Company are bound to meet at maturity, or before. Should the said Lambeth & Thompson have to come under a cash advance for said Company, in taking up said paper, they will be entitled to a further commission of two and a half per cent on the amount so advanced by them. Hereby agreeing to pay them the usual commission as agents of boat or boats while running. New Orleans, Dec. 2d, 1834. David Vawter, agent for Natchitoches Steamboat Company.” The drafts mentioned in the foregoing agreement, were applied to the purchase of a steamboat called the Ouachita. In the month of January following, Vawter purchased another steamboat called the Romeo, to pay for which he drew drafts to the amount of $8000, on the plaintiffs, which he signed as the agent of the Company, which were accepted. He also continued to draw drafts for large amounts, as the agent of the Company, on the plaintiffs, up to the month of August, 1835, without having [130]*130any written authority other than what has beeen stated, nor any verbal power, so far as the record presents the case to us.

This suit is brought to recover the balance of an account for $6860 96, the items of which consist of the bills or drafts mentioned in the agreement, and others drawn since; of charges for commissions, for acceptances, and advances ; of cash paid, of interest at the rate of ten per cent on the various sums, and of other charges, to a very large amount. The credit side of the account shows large payments, amounting to much more than the drafts given in payment for the steamboats Ouachita and Romeo, and the only one drawn by the President of the Company.

The defendants pleaded the general issue. They denied the authority of Vawter to draw the drafts, or to incur the expenses charged against them, also the right of the President and Directors to delegate any such authority to Vawter. They allege further, that they are not bound beyond the amount of their respective subscriptions ; and, finally, plead the prescription of one, three, and five years.

The inferior court, after hearing the parties, was of opinion that the plaintiffs had satisfactorily established their account, but held that the defendants were not responsible as commercial partners, but as joint obligors, or to use the language of the Judge, that “ they are only bound to the plaintiffs in the proportion for which they subscribed, and as the whole stock of $24,000 is to the debt of the plaintiffs, so is the responsibility of each subscriber for the sum annexed to his name and he gave a judgment accordingly, from which the plaintiffs have appealed.

In this court, the defendants Vawter and Cortes pray, that the appeal as to them may be dismissed, on the ground, that they have not been cited ; and the defendants Prudhomme, Lecompte, Buard and Vail, also move to dismiss it, on the ground, that the appellants have not brought into this court all the defendants against whom they obtained judgments.

As to the motion of "Vawter and Cortes, it cannot prevail. They were made appellees in the petition of appeal, which petition was filed with the Clerk, whose duty it was, under art. 581 of the Code of Practice, to deliver a copy thereof, with a citation to the Sheriff of the parish, to be served on the appellees. It is not shown that [131]*131the appellants prevented the Clerk from doing his duty. The appeal has been recently taken, and we think as to these appellees, further time ought to be allowed to have them cited. If the appellees were residents of a parish different from that in which the suit was pending, it might probably be the duty of the appellants to furnish the Clerk the necessary means to forward the petition and citation, but it is not necessary to decide that at present.

The ground of dismissal urged by Prudhomme and others, involves the question in what way the partners are bound, whether, in solido, or as joint obligors. If the subscribers to the Natchitoches Steamboat Company are only bound for the sums respectively subscribed, they are joint obligors, or .partners, in commendam; if they are responsible as commercial partners, they are bound, in solido ; and any, or all of them, may be sued for the debts of the firm, and it is no more necessary to make them all parties to the appeal, than to the original suit, it being shown that the partnership is dissolved.

The Civil Code, art. 2796, says, that commercial partnerships are such as are formed, among other purposes, “ for carrying personal property for hire, in ships, or other vessels.” By reference to the agreement subscribed by the parties, this appears to have been the sole object of their association. In 17 La.

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Cite This Page — Counsel Stack

Bluebook (online)
6 Rob. 127, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lambeth-v-vawter-la-1843.