Leeseberg v. Builders Plumbing Supply Co.

149 N.W.2d 263, 6 Mich. App. 321, 1967 Mich. App. LEXIS 682
CourtMichigan Court of Appeals
DecidedMarch 28, 1967
DocketDocket 1,545
StatusPublished
Cited by14 cases

This text of 149 N.W.2d 263 (Leeseberg v. Builders Plumbing Supply Co.) is published on Counsel Stack Legal Research, covering Michigan Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Leeseberg v. Builders Plumbing Supply Co., 149 N.W.2d 263, 6 Mich. App. 321, 1967 Mich. App. LEXIS 682 (Mich. Ct. App. 1967).

Opinion

Hoeeius, J.

Plaintiff acted as a wholesale jobber for defendant, Builders Plumbing Supply Company, from 1958 until 1962. Defendant extended credit to plaintiff on an open account basis, and payments were made on a fairly regular basis, with the account ranging from $16,000 to $21,000 during this period,

*324 Early in 1962 plaintiff went out of the wholesale jobber business and sold directly on a commission basis for the defendant. It was agreed that plaintiff would endeavor to sell his inventory and apply part of the proceeds as well as a part of his commission on the unpaid balance due to defendant. Trouble thereafter developed between the parties; plaintiff claimed that defendant was not making timely deliveries and was stealing his customers.

In June, 1962, this commission-selling arrangement was discontinued. Thereafter defendant sought to collect the balance which was due from the plaintiff.

Plaintiff claimed that defendant had threatened to put him out of business if he continued to do ‘business with a certain Saginaw plumbing and heating supplier.

In July, 1962, the vice-president of defendant corporation visited the plaintiff in an attempt to settle the account. He testified he informed the plaintiff that if the account was not paid, he could get a judgment and would have to satisfy the judgment out of plaintiff’s inventory. He further claimed that plaintiff threatened to take his “merchandise out of here before you get here.” Plaintiff denied there was ever any conversation about moving inventory or starting a lawsuit. Later, plaintiff’s son was in contact with defendant’s vice-president who said that he told the son if payment were not made on this account, suit would be started. The vice-president testified that plaintiff’s son replied that the merchandise would never be found after judgment was obtained. Plaintiff’s son denied making such a statement.

On August 6, 8, and 9, 1962, payments of $300 each were made. During negotiations to collect the account there was discussion between the par *325 ties relative to certain credits that plaintiff claimed and defendant refused to allow.

On August 29, 1962, defendant turned plaintiff’s account over to a Grand Rapids collection agency. A representative of this agency contacted plaintiff at about midnight of the day when the matter was referred to him. Both the agent and plaintiff made threats, and the agent returned to Grand Rapids after claiming that plaintiff had failed to show up at an agreed meeting.

The matter was then referred to defendant’s attorney who started a civil action and obtained a writ of attachment before judgment. The suit was filed September 7,1962, and the attorney for defendant filed an affidavit which, in part, reads as follows:

“This deponent further says that he believes, and has good reason to believe, that said above named defendant, Everett Leeseberg, d/b/a Manufacturers Distributors, has disposed of some portion of his property with the intent to defraud his creditors, and further, that said defendant, Everett Leeseberg, d/b/a Manufacturers Distributors, is about to dispose of some further portion of his property with the intent to defraud his creditors.”

On September 20, 1962, the attachment papers were served, and the officer locked plaintiff’s warehouse. Plaintiff consulted his attorney, and on October 3, 1962, an order dissolving the attachment was entered, and the warehouse was opened.

At the time of filing the suit, defendant’s books showed plaintiff owed $8,956.97. When the suit was ultimately tried, it resulted in judgment of $4,752.65 in defendant’s favor. The difference between the amount claimed and the final judgment represented credits and carrying charges which the court deducted from the amount claimed.

*326 . Plaintiff commenced this suit claiming that defendant maliciously, and without probable cause, obtained the writ of attachment which resulted in . the padlocking of the warehouse. The jury returned á general verdict for the plaintiff in the amount of $10,000.

Defendant contends that the court should have determined, as a matter of law, that there was probable cause to take out the writ of attachment. Defendant therefore urges that the trial court erred in submitting this to the jury as a question of fact.

When there is no dispute as to the facts in defendant’s knowledge upon which he relied when the writ was issued, the question of probable cause becomes a matter of law for the court to determine. Gooch v. Wachowiak (1958), 352 Mich 347.

In Le Clear v. Perkins (1894), 103 Mich 131 (26 LRA 627), the Court said on page 141:

- “Where the facts are undisputed, probable cause is a question of law, to be determined by the court upon the facts of the ease. * * * But if the facts are in dispute, so that the question of probable cause becomes a mixed one of law and fact, it must be given to the jury to determine, upon proper instruction from the court.”

Also see Obeginski v. James (1966), 4 Mich App 90.

In this case, it is clear that there was a dispute as to the statements made by the plaintiff and the plaintiff’s son regarding their alleged threat to remove the inventory which was subsequently attached.

The court instructed the jury as follows relative to probable cause:

“I talked about an honest. belief for probable cause. I should define that possibly before going on farther. If the Builders Plumbing Supply Company honestly believed that it had probable cause *327 to obtain tbe writ of attachment, the mere fact that it was mistaken and it later developed that there was no probable cause would not mean that it would be liable to Everett Leeseberg for malicious attachment.
“Whether such defendant, Builders Plumbing Supply, had such an honest belief is to be determined by you from all of the circumstances based upon what you feel a careful and prudent businessman would do under the same or similar circumstances. In other words, you are to determine what were the facts that Builders knew. Then you are going to say: On those facts, were they entitled to sign this affidavit? * * *
“In relating the matter of probable cause to this particular case, the burden is upon the plaintiff, Everett Leeseberg, to show that at the time the affidavit for writ of attachment was made, that is, September 7, 1962, Builders Plumbing Supply Company did not have probable cause to believe the facts stated in this affidavit.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Pauley v. Hall
335 N.W.2d 197 (Michigan Court of Appeals, 1983)
Sage International, Ltd. v. Cadillac Gage Co.
556 F. Supp. 381 (E.D. Michigan, 1982)
Chrysler Corp. v. Fedders Corp.
540 F. Supp. 706 (S.D. New York, 1982)
Friedman v. Dozorc
312 N.W.2d 585 (Michigan Supreme Court, 1981)
Drouillard v. Metropolitan Life Insurance
310 N.W.2d 15 (Michigan Court of Appeals, 1981)
Rowbotham v. Detroit Automobile Inter-Insurance Exchange
244 N.W.2d 389 (Michigan Court of Appeals, 1976)
Peisner v. Detroit Free Press, Inc.
242 N.W.2d 775 (Michigan Court of Appeals, 1976)
Taft v. J L Hudson Co.
195 N.W.2d 296 (Michigan Court of Appeals, 1972)
LaLone v. Rashid
191 N.W.2d 98 (Michigan Court of Appeals, 1971)
Sottile v. DeNike
174 N.W.2d 148 (Michigan Court of Appeals, 1969)
Thompson v. City of Ecorse
152 N.W.2d 51 (Michigan Court of Appeals, 1967)

Cite This Page — Counsel Stack

Bluebook (online)
149 N.W.2d 263, 6 Mich. App. 321, 1967 Mich. App. LEXIS 682, Counsel Stack Legal Research, https://law.counselstack.com/opinion/leeseberg-v-builders-plumbing-supply-co-michctapp-1967.