Maine Northwestern Development Co. v. Northwestern Commercial Co.

240 F. 583, 153 C.C.A. 387, 1917 U.S. App. LEXIS 2394
CourtCourt of Appeals for the Ninth Circuit
DecidedFebruary 5, 1917
DocketNo. 2773
StatusPublished
Cited by2 cases

This text of 240 F. 583 (Maine Northwestern Development Co. v. Northwestern Commercial Co.) is published on Counsel Stack Legal Research, covering Court of Appeals for the Ninth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Maine Northwestern Development Co. v. Northwestern Commercial Co., 240 F. 583, 153 C.C.A. 387, 1917 U.S. App. LEXIS 2394 (9th Cir. 1917).

Opinion

ROSS, Circuit Judge

(after stating the facts as above). [1] The appellee has interposed a motion to dismiss the appeal on the ground that the appellant has mistaken its remedy, and that this court is without power to review the case upon appeal. In view of the provisions of the act of Congress approved March 3, 1915 (38 Stat. 956, c. 90), adding to the Judicial Code, among others, section 274b, we do not regard it as important whether the matters set up in the affirmative defense referred to in the statement constitute an equitable defense, or were properly tided and disposed of at law. That section is as follows:

[587]*587“Sec. 274b. That in all actions at law equitable defenses may be interposed by answer, plea, or replication without the necessity of filing a bill on the equity side of the court. The defendant shall have the same rights in such case as if he had filed a bill embodying the defense of [or] seeking the relief prayed for in such answer or plea. Equitable relief respecting the subject-matter of the suit may thus be obtained by answer or plea. In case affirma,-tive relief is prayed in such answer or plea, the plaintiff shall file a replication. Review of the judgment or decree entered in such case shall be regulated by rule of court. Whether such review be sought by writ of error or by appeal the appellate court shall have full power to render such judgment upon the records as law and justice shall require.”

In the absence of a rule of court regulating the method of procedure, the court is thus given “full power to render such judgment upon the record as law and justice shall require.” There being no such rule to the contrary, we do not think we would be justified in dismissing the appeal. The motion is denied.

On the trial no request was made on behalf of the plaintiff for a directed verdict, but upon the conclusion of all of the evidence the case was submitted to the jury upon the merits and under full instructions from the court, to which no exception was taken on behalf of the plaintiff, although the record shows that upon the conclusion of the court’s instructions the plaintiff asked that instruction numbered 16 as filed by it be given, in response to which request the record shows the following proceedings, and those only: ¡

“The Court: The plaintiff requests me to give this instruction. This is in substance what I have stated to you, but I will read it: The plaintiff had a legal right to issue all of its common stock to John Rosene in part consideration of the conveyance by Rosene to it of certain mining properties and water rights, provided that all of its then stock subscribers concurred therein. And if you find that all of plaintiff’s common stock was issued to John Rosene for such properties, with the concurrence of all its then stock subscribers, and all of the holders of its capital stock then outstanding — I will just modify that — provided they acted in good faith in the matter, and were not guilty of actual fraud in the transactions, as I have already instructed you, then such issue was legal.
“Mr. Gorham: We desire now to note an exception, if the court please, for the failure to give particularly instruction No. 16 as among the requests of the plaintiff.”

The agreed and certified statement of the case not containing such requested instruction, it is manifestly impossible for us to determine or consider whether or not the request should have been granted, though it is obvious from the proceedings set out that the instruction was to some extent modified by the court, and in part at least given.

Of the 17 assignments of error, the first relates to a ruling of the court not excepted to, the third to the introduction in evidence of certain minutes of the proceedings of 'a corporation which are not disclosed by the agreed and certified statement of the case, and the fourth assignment relates to the alleged ruling of the court .upon an objection to a question which the record fails to show was even asked, much less objected to.

Complaint is made by the second assignment of error of the refusal of the court to admit in evidence a written stipulation signed by the attorneys of the respective parties, the first, second, and fourth sub[588]*588divisions of which only are claimed to have been pertinent to the cause. The stipulation is as follows:

“It is hereby stipulated by and between the parties hereto:
“(1) That the plaintiff’s complaint in the above-entitled cause may be amended by adding to paragraph X of the original thereof on file in the above-entitled cause, as follows: ‘That between the 4th day of April, 1906, and the 9th day of November, 1906, upon payment by defendant to plaintiff of said $125,000 as aforesaid, plaintiff issued to defendant and defendant accepted therefor 25,000 shares of said preferred stock.’
“(2) That defendant’s second amended answer heretofore served and filed in said cause may be amended by adding to paragraph numbered I of the said second amended answer the following: ‘Except that defendant admits that between April 4, 1906, and November 9, 1906, plaintiff issued to and defendant accepted 25,000 shares of the preferred capital stock of plaintiff for the $125,000 which said John Rosene had paid out of the funds of this defendant; and defendant denies that any of said preferred stock was issued to or accepted by defendant otherwise than as hereinabove expressly admitted.’ * * *
“(4) That said second amended answer as thus amended shall be considered and stand.as defendant’s answer to said complaint as so amended.
“Dated Seattle, Wash., May 11, 1914.”

The evidence shows that the 25,000 shares of the preferred stock of the plaintiff (accepted by the defendant under subscription made by virtue of a resolution of its board1 of directors adopted September 6, 1906, and hereinafter referred to) were theretofore issued to A. A. Housman & Co.,- and by them assigned to the defendant September 24, 1907. But the contention of plaintiff’s counsel was and is that the fact is overcome and the defendant bound by that stipulation of its attorneys respecting amendments to then existing pleadings, subsequently superseded by pleadings upon which the case was tried.

[2] While a bill or answer in equity, or a pleading in an action at law, sworn to by a party, is competent evidence against him in another suit as a solemn admission by him of the truth of the facts stated (Pope v. Allis, 115 U. S. 363, 370, 6 Sup. Ct. 69, 29 L. Ed. 393), it is clear that such a pleading, not under oath, nor signed by the party, is not evidence of any fact material to the party’s cause (Delaware Co. v. Diebold Safe Co., 133 U. S. 473, 487, 10 Sup. Ct. 399, 33 L. Ed. 674);. a fortiori is a stipulation of his attorneys regarding amendments to pleadings, subsequently superseded by other and further amendments, not evidence against the party respecting any material fact. There was, therefore, no error in the ruling rejecting the stipulation offered.

The action, as has been seen, was based on a subscription alleged to have been made by the defendant on the 4th day of April, 1906, for preferred stock of the plaintiff, in the amount of $250,000.

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Bluebook (online)
240 F. 583, 153 C.C.A. 387, 1917 U.S. App. LEXIS 2394, Counsel Stack Legal Research, https://law.counselstack.com/opinion/maine-northwestern-development-co-v-northwestern-commercial-co-ca9-1917.