Miller v. Pierce

152 P.2d 24, 66 Cal. App. 2d 126, 1944 Cal. App. LEXIS 1164
CourtCalifornia Court of Appeal
DecidedOctober 3, 1944
DocketCiv. No. 14324
StatusPublished
Cited by2 cases

This text of 152 P.2d 24 (Miller v. Pierce) is published on Counsel Stack Legal Research, covering California Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Miller v. Pierce, 152 P.2d 24, 66 Cal. App. 2d 126, 1944 Cal. App. LEXIS 1164 (Cal. Ct. App. 1944).

Opinion

WOOD (Parker), J.

This is an action, upon an assigned claim, to recover compensation for legal services rendered by the law firm of McAdoo, Neblett & Warner and its successors. After successive assignments of the claim to various law firms which succeeded the firm of McAdoo, Neblett & Warner, the claim became vested in William H. Neblett. Mr. Neblett assigned the claim to the Bank of America absolutely, and the bank assigned it to plaintiff for purposes of 'collection. Judgment was for defendant.

The nine causes of action alleged in the second amended complaint, upon which the ease was tried, were based upon: (1) an oral agreement made on October 1, 1935, subsequently modified orally on May 25, 1940, to pay $15,000 for services rendered; (2) a written agreement to pay for services rendered; (3) an agreement in writing to pay $15,000 for services rendered; (4) an oral agreement made on October 1, 1935, to pay the reasonable value of services rendered, which value was alleged to be $15,000; (5) an oral agreement made on May 25, 1940, whereby defendant allegedly agreed to pay $15,000 for legal services rendered “out of all moneys ordered by the court to be paid in the estate of Charles A. Canfield,” and whereby defendant agreed to prosecute the litigation to a final termination in any courts necessary to secure the payment thereof, and upon the alleged breach of that oral agreement by defendant, in that she failed to so' prosecute the litigation and failed to pay the necessary costs, whereby Mr. Neblett was precluded from recovering the $15,000; (6) an open book account; (7) an account stated; (8) a balance due on an open and current ae[128]*128count; and (9) the reasonable value of the services rendered.

A testamentary trust, of the approximate value of $1,000,-000 created by Charles A. Canfield for the benefit of his son, Charles O. Canfield, and the two children of that son, became effective in 1914. One of the children is the defendant herein. The other child died in 1915. The trustee, a bank, was directed under the trust to pay $1,200 annually from the income to the son, and was given authority to pay in addition thereto such amounts as in its discretion were necessary for the maintenance of the son and the defendant according to their accustomed stations in life. The trust also provided that there should be no accumulation of the income, and that no part of the income should be distributed to any creditors of the son.

Over a period of five years preceding October 1, 1935, the time when defendant employed the firm of McAdoo, Neblett & Warner, the amount received by the son from the trustee averaged approximately $30,000 annually, and the amount received by the defendant during that time was $250 per month except on occasions when she received $500 per month. (Preceding those five years, from 1917 to 1931,, the son received various sums each year varying from approximately $47,000 in 1919, as a minimum, to approximately $101,000 in 1924, as a maximum.) When defendant employed the firm the trust estate was producing approximately $30,000 a year net.

Also preceding the date of said employment of counsel, three judgment creditors of the son were seeking to recover in actions then pending against the trustee about $165,000, in the aggregate, from the income of the trust. The legal theory of those actions was that the income from the trust fund over and above the amounts reasonably necessary to maintain the son and the defendant according to their accustomed stations in life should be applied in payment of those judgments.

Defendant was desirous of obtaining a larger allotment from the trust income. As above stated, the determination of the amount to be paid to her was within the discretion of the trustee. It was apparent that the prospect of obtaining an increase in her allotment would be more favorable if the creditors of the son could not satisfy their claims from the trust income.

[129]*129It is undisputed that on October 1, 1935, the defendant and the law firm of McAdoo, Neblett & Warner entered into a written agreement whereby defendant employed that firm to represent her in all matters relating to the trust estate of Charles A. Canfield. The agreement was not produced at the trial, the firm having lost the agreement and the defendant having lost her copy of it. Oral evidence as to the contents of the agreement was received at the trial. The court found that the agreement provided that defendant employed that firm to represent her in all matters arising out of the testamentary trust of Charles A. Canfield, including all litigation concerning her rights as such beneficiary, then pending or thereafter commenced; that such services were to continue until all litigation had been completed or until said employment should be terminated by defendant; that defendant should not personally be obligated for any attorneys’ fees and should not be obligated to advance any money for costs incurred in any litigation; that said firm would look solely to said trust estate for the “reasonable value of all fees” earned by it and for reimbursement for all costs advanced by it, which might be paid to the firm voluntarily by the trustee or which the trustee might be directed to pay the firm by court order. That finding was supported by the evidence. A part of the testimony which supported that finding was given by Mr. Arnold Odium, an attorney and former member or employee of the firm of McAdoo, Neblett & Warner, who was called as a witness by defendant. He testified that he prepared the agreement and signed it on behalf of that firm; that the agreement provided that the law firm would represent her in all matters of the trust estate of Charles A. Canfield, whether the matters were then pending or whethér they would arise later, and that the firm would make no charge against her for costs or fees or advancement and that it would look solely to the trustee for its remuneration and fee, either for such amount as the trustee would advance voluntarily or would be allowed upon order of court. He testified further that Mr. Neblett said he intended to secure the removal of the trustee and that he thought he would be able to represent a successor trustee and that he would look to the trustee for the fees and costs.

After the agreement was made the law firm represented defendant in various matters, and it may be stated generally [130]*130that such representation consisted of the following: filing answers (in intervention) for her in the three pending actions by judgment creditors, above referred to, and representing her at the trial wherein the three actions were consolidated for trial; commencing an action by her to remove the trustee and recover a larger allowance; filing an answer for her in the United States District Court in an action, United States of America v. Charles O. Canfield, wherein it was sought to recover income tax from the trust income, and representing her at the trial; filing an answer for her in an action, Spitzel v. Charles O. Canfield; filing a petition for determination of her right to an increased allowance; filing exceptions to the 15th, 18th, and 19th accounts of the trustee, and representing her at the hearings thereof; and having many conferences with defendant, the trustee, and the attorneys for the trustee. Some of said actions and proceedings will be discussed more in detail hereinafter.

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Related

Estate of Canfield
181 P.2d 732 (California Court of Appeal, 1947)
Title Insurance & Trust Co. v. Canfield
181 P.2d 732 (California Court of Appeal, 1947)

Cite This Page — Counsel Stack

Bluebook (online)
152 P.2d 24, 66 Cal. App. 2d 126, 1944 Cal. App. LEXIS 1164, Counsel Stack Legal Research, https://law.counselstack.com/opinion/miller-v-pierce-calctapp-1944.