Letson v. Hall

55 So. 944, 1 Ala. App. 619, 1911 Ala. App. LEXIS 311
CourtAlabama Court of Appeals
DecidedMay 17, 1911
StatusPublished
Cited by4 cases

This text of 55 So. 944 (Letson v. Hall) is published on Counsel Stack Legal Research, covering Alabama Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Letson v. Hall, 55 So. 944, 1 Ala. App. 619, 1911 Ala. App. LEXIS 311 (Ala. Ct. App. 1911).

Opinion

DB GRAFFENRIED, J.

1. The burden of proving a partnership rests on the plaintiff, who sues the defendants as partners, but he is only required to make out a prima facie case. If the plaintiff, in such case, offers sufficient proof to make out, prima facie, the evistence of the partnership, the burden is then shifted to the defendants to prove that they were not in fact partners.—Clark v. Jones, 87 Ala. 474, 6 South. 362.

The existence of a partnership may be shown by oral evidence. It may be shown, just as the existence of any other questioned fact may be shown, by circumstantial evidence. In McGrew v. Walker, 17 Ala. 824, the Supreme Court say that the intimacy of the defendants with each other may be shown, along with other evidence, as tending to establish a partnership. The business intimacy between persons and their conduct with regard to a particular enterprise may be admissible as tending to prove a partnership between them, although each item of such evidence may have but slight weight, when separately considered.—30 Cyc. 404. In the case of Haug v. Haug, 90 Ill. App. 604, the court held that, Avhere the firm stye was “A. Haug & Son,” and ther,e Avas evidence that both father and son gave personal attention to the business, there was a strong presumption of the existence of a partnership. In the case of McDonald v. Gilbert, 16 Can. Sup. Ct. 700, the court held that, where plaintiff had received letters Avritten by one of the alleged partners on paper, on which the names of both were printed as constituting the firm, a prima facie case of partnership was made out. While we think that, in the latter case, the court went too far in holding that the letter heads on Avhich the letters were written made out a prima facie case of a partner,ship between the parties, we do think that such letter heads Avould be a matter of material consideration, [623]*623along with other evidence, tending to show a partnership.—See, further, 30 Cyc. 402, 403.

When the question vel non of a partnership arises between partners and third persons, the law does not require so strict a degree of proof as is required when the question arises in a case in which one alleges the existence of a partnership between himself and others. Evidence that one permitted himself to be held out as a partner by another is evidence tending to establish a partnership; and as to thir¡d persons one who, by his acts or conduct, authorizes a stranger to believe that he is a partner is, as to such stranger, a partner.—4 Mayfield’s Dig. p. 387, § 75.

Proof of facts tending to show a partnership at a certain date is admissible to show a partnership at a later date, as a partnership once shown to exist will be presumed to have continued, until something to the contrary appears.—Jones et al. v. Sims & Scot, 6 Port. 138; 22 Am. & Eng. Ency. Law (2d Ed.) p. 49.

2. This suit was brought by the plaintiff against the defendant as surviving partner of Sanders & Hall, which the complaint alleges was a partnership composed of the defendant and one D. M. Sanders, on several promissory notes, dated November, 1904, which were executed by the partnership, and, by successive assignments for value, became the property of the plaintiff. The complaint further alleges the death of D. M. Sanders, and that defendant is the surviving member of said partnership.

Applying the principles of law above announced to the evidence in the case, it is manifest that a partnership, not only as to strangers, but inter sese, is shown to have existed between the defendant and D. M. San[624]*624ders from September, 1904, until the death of Sanders, which occurred some time after the execution of the notes sued on.

The plaintiff, Letson, testifies that in September, 1904, he sold Sanders & Hall a sawmill on Shade’s creek, known as Letson’s Mill, and that when he sold them the mill they both told him that they were partners, and he further testifies that, of his own knowledge, they were partners, and that the partnership was engaged in the sawmill business from the time he sold them the mill until Sanders died; that Sanders was a son-in-law of Hall, and that both of them looked after the sawmill; that when he sold them the mill the contract was reduced to writing (a copy of it was introduced), and in this contract it is stated that “Hall & Sanders” agree to saw .all timber, placed at the mill by plaintiff at the uniform rate of $2 per 1,000; that shortly after Hall and Sanders bought his mill it was burned, and they.then bought another mill, for the purchase money of Avhich the notes sued on in this suit were given, and installed that mill on the site of the mill Avhich they had bought from plaintiff, attaching it to the parts of the old mill that were left serviceable after the fire, and continued the sawmill business; that after the death of Sanders defendant assumed control of the property and business, took in with him. a man by the name of Harris, and continued it under the name of Hall & Harris; that after the death of Sanders plaintiff saw defendant about the notes sued on, that he did not, at first, dispute his liability ther,eon, but tried to settle them for a small amount, and did not deny his liability until shortly before the bringing of the suit.

One Edwards testified that after the death of Sanders the sawmill business was changed from the name of Sanders & Hall to that of Hall & Harris, and that [625]*625Hall & Harris continued the business in the same way as it had previously been conducted; that the new firm used the sawmill, teams, and outfit of the old firm; that be dealt with the new firm just as be bad done with the old fir,in; that defendant, after the death of Sanders, paid him the balance due on an account of Sanders & Hall.

E. G. Betts testified that he sold to Sanders the sawmill outfit which is above referred to, and that be did not know Hall in the transaction until the papers were signed, when Sanders told him that Hall was helping him out, and signed Sanders & Hall, at which time Sanders told the witness that Hall was interested in the business. The evidence further showed that from September, 1904, up to Sanders’ death, the bill heads and dray tickets of the business were in the name of Sanders & Hall, and that their checks were made in that way. After Sanders’ death, the defendant, as above stated, took possession of the milling business, and certainly a part of the property so taken possession of by him was the property for which the notes sued on in this case were given, and With that mill Hall continued the business under the name of Hall & Harris.

The evidence further showed that the notes sued on were, by proper and legal assignment, the property of the plaintiff; that they Were secured by a mortgage on the property for the purchase money of which they were given; that the mortgage was recorded in Jefferson county, Where the property Was situated, on or about the date of its execution; and that the mortgage was tbe property of the plaintiff.

The fact that the notes contained clauses Avaiving exemptions as to personalty did not affect their legality. Sanders signed the name of Sanders & Hall to the notes, and then signed his Own name to them. H'e did [626]*626not sign the name of the defendant to them.

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Cite This Page — Counsel Stack

Bluebook (online)
55 So. 944, 1 Ala. App. 619, 1911 Ala. App. LEXIS 311, Counsel Stack Legal Research, https://law.counselstack.com/opinion/letson-v-hall-alactapp-1911.