Marshall v. Russell R. Ewin, Inc.

282 N.E.2d 841, 152 Ind. App. 171, 1972 Ind. App. LEXIS 973
CourtIndiana Court of Appeals
DecidedMay 26, 1972
Docket1071A222
StatusPublished
Cited by25 cases

This text of 282 N.E.2d 841 (Marshall v. Russell R. Ewin, Inc.) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Marshall v. Russell R. Ewin, Inc., 282 N.E.2d 841, 152 Ind. App. 171, 1972 Ind. App. LEXIS 973 (Ind. Ct. App. 1972).

Opinion

Lowdermilk, J.

This is an action brought by the plaintiff-appellee in three Paragraphs of complaint, which alleged the defendant-appellants Marshall were indebted to the plaintiff-appellee under a note and mortgage,, which plaintiff *172 appellee was suing to foreclose and which was second and subsequent to a mortgage on the same real estate covered by a mortgage to the Holland National Bank. The defendant-appellant Huntingburg Production Credit Association is alalleged to have or claims to have an interest or claim in said premises, or a part thereof, as mortgagee, which interest or claim is subsequent to and subject to the lien of plaintiff’s mortgage.

The facts of the case are as follows:

Plaintiff-appellee was engaged in the earth moving business and worked with his machinery on an hourly basis only. Plaintiff-appellee entered into an agreement with the Marshalls to preliminarily survey and then move the earth in constructing a levee to impound water in the lake for a recreational site on defendant-appellants Marshalls’ farm in Warrick County, Indiana.

About a week to ten days after plaintiff-appellee and defendants Marshall had agreed that plaintiff-appellee was to do the work on an hourly basis the earth moving was begun. This was on October 4, 1968, and continued until December of 1968, when inclement weather forced stoppage of the work. Plaintiff-appellee did not again resume the work after being stopped in December of 1968 for the reason that the Marshalls wanted the slope changed and wanted to get an F.H.A. loan. Plaintiff-appellee received a copy of plans of the Soil Conservation Service (hereinafter referred to as S.C.S.).

It became necessary to employ an engineer and plaintiffappellee secured the services of the S.C.S. engineer and when their plans were furnished to him he resumed work on October 13, 1969. These plans were different under the S.C.S. requirements than those agreed upon between the plaintiff-appellee and defendants Marshall. The new plans provided for toe drainage behind the levee, a mechanical spillway, and an additional drainage tube. This also involved additional earth moving and putting in rip-rap. It was estimated the yardage was increased by 20%.

*173 Work was performed from October 13, 1969, through December 6, 1969, when the weather caught the contractor. Work was again resumed the latter part of February, 1970, at the request of appellants Marshall. At that time the lake had filled up with water, which was running over the center of the levee. Plaintiff-appellee was informed to cut a ditch in the south end to save the levee until Marshall could install a mechanical spillway, but Marshall wanted to bring the levee on up so it was done that way.

The S.C.S. stopped the work in that fashion and that was the last work done on the dam by the plaintiff-appellee.

Marshall paid appellee $7,491.87 for work on the project in December, 1968. There had been no further payment by them; they did execute a note and mortgage to plaintiffappellee, of which the promissory note showed a balance of approximately $8,400.00, which was the amount due at the execution of the note and mortgage. It was after the execution of the note and mortgage that plaintiff-appellee worked through December 6,1969.

The record shows the promissory note executed on the aforesaid date and duly signed by James H. Marshall and Patsy C. Marshall, with the due date being January 25, 1971, or sooner on certain contingencies hereinafter set out in this opinion. The mortgage securing said note was executed on the same day by James H. Marshall and Patsy C. Marshall and was second and subsequent to the lien of a mortgage by defendants Marshalls to the Holland National Bank in the principal sum of $9,000.00. The mortgage was duly acknowledged before a Notary Public.

Mr. Marshall was billed on March 16, 1970, for $16,503.82, which was for interest on the note plus additional work with the principal amount of the note deducted therefrom. Marshalls were not charged by plaintiff-appellee for work done in 1970.

The Indiana Department of Natural Resources had demanded that the lake be built to specifications and after which *174 plaintiff-appellee on his attorney’s advice, stopped work, and also talked to defendants’ attorney, who advised him to save the dam and also that plaintiff-appellee would be paid.

Appellant Marshall testified that his wife was present at attorney Hendrickson’s office when the note and mortgage were prepared.

Between the time the plaintiff-appellee was required to quit work by the S.C.S. and the time Mr. Olinger, a contractor, finished the work, Mr. Marshall withdrew his application for an F.H.A. Loan and went to the Huntingburg Production Credit Association, where he got sufficient funds to complete the dam. However, the money was not available unless the project was completed by Mr. Ewin, plaintiff-appellee. This prohibited appellants Marshalls from obtaining money to pay off their second mortgage until their differences with the plaintiff-appellee were resolved.

The first Paragraph of the complaint alleges the Marshalls, for value received, did, on the 25th day of October, 1969, execute and deliver to plaintiff-appellee a promissory note in the amount of $8,431.82 and that there is now due on said note the entire principal amount with interest thereon in the amount of $428.85, said interest being computed from October 25,1969.

Attorney fees were demanded in the amount of $1,470.76.

Paragraph II alleges that the Marshalls are indebted to the plaintiff-appellee in the amount of $7,868.00 for bulldozing and excavating work performed by plaintiff-appellee for defendants Marshalls at their special instance and request at divers times and dates prior to the commencement of the action.

That interest on said amount began to run on December 31, 1969, at the rate of 8% per annum and was in the amount of $209.81.

That attorney fees for plaintiff-appellee’s attorney was $1,353.33.

*175 The third Paragraph of complaint alleged that on October 25, 1969, the Marshalls made and delivered to the plaintiffappellee their promissory note of that date and on said date executed their mortgage on certain described real estate owned by the Marshalls in Warrick County, Indiana, to secure the payment of said note in payment of services rendered by the mortgagee, plaintiff-appellee, at the special instance and request of Marshalls. This was conditioned for the payment of $8,431.32, further indebtedness by reason of services rendered by the mortgagee, interest thereon at the rate of 8% and attorney fees.

That the defendant-appellant Huntingburg Production Credit Association claims an interest in said premises or some part thereof as mortgagee and which interest or claim is subsequent and subject to the lien of plaintiff-appellee’s mortgage.

That no part of the principal sum mentioned on said loan account and mortgage or interest thereon has been paid.

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Bluebook (online)
282 N.E.2d 841, 152 Ind. App. 171, 1972 Ind. App. LEXIS 973, Counsel Stack Legal Research, https://law.counselstack.com/opinion/marshall-v-russell-r-ewin-inc-indctapp-1972.