Mitchell v. Waddell

6 Tenn. App. 589, 1926 Tenn. App. LEXIS 153
CourtCourt of Appeals of Tennessee
DecidedDecember 18, 1926
StatusPublished
Cited by2 cases

This text of 6 Tenn. App. 589 (Mitchell v. Waddell) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mitchell v. Waddell, 6 Tenn. App. 589, 1926 Tenn. App. LEXIS 153 (Tenn. Ct. App. 1926).

Opinion

SNODGRASS, J.

The original bill was filed to collect from defendants, Waddell and wife, a balance of a note, of fifteen hundred dollars alleged in the bill to' be the property of complainant, Bessie Mitchell, and to foreclose a lien to secure said balance of note on certain lands described in the bill. The note was dated Jan. 7, 1920, due Jan. 5, 1921, payable to the order of Bessie Mitchell, with interest after maturity, and providing for ten per cent additional as attorney’s fees if placed in the hands of an attorney at law for collection, which it was provided should be added to and become a part of the judg-< ment. This note was signed by the defendants, James A. Waddell and Florence Waddell. There was a credit of $875 paid on the note March 7, 192T, and it was the balance due on said note, alleged to be: approximately $786, with ten per cent attorney’s fee, that was alleged to be due.

The suit was somewhat complicated and became progressively so by reason of the efforts of certain of the defendants that had been made and were made to subject the proceeds of the note to the obligations of Mitchell, Renner and Bowers, a mercantile partnership composed of *590 H. C. Mitchell, the husband of complainant, and B. H. Renner and Eunice Bowers, as the judgments against them would seem to indicate. This partnership was made party to the bill, as well as the two defendant corporations who had obtained judgments against the partnership, and sought by gamishe'eing defendant James A. Waddell to subject the indebtedness due by the note to the satisfaction of their judgments. Executions had issued on these two judgments, and had been levied by summoning Waddell to answer what he owed on the note. The garnishee answered that he owed the complainant Bessie Mitchell the balance on the note, and then judgment was rendered against him for the balance admitted, notwithstanding he answered that he owed Bessie Mitchell the note, and notwithstanding the note, was negotiable, and was absent in other hands, possibly, and notwithstanding the complainant Bessie Mitchell had not been made party to either of the suits wherein judgments had been taken against the partnership. These judgments, of course, were void as against the complainant in this case, Bessie Mitchell, though the character of answer of the garnishee and his acquiescence in the judgments may have entailed a situation where he might have been compelled to pay the notes twice. However, the two other members of the partnership, as it appears from the proceedings, Renner and Bowers, having purchased, as they claimed, a two-thirds interest in the partnership from Mitchell and his wife, evidently fearing that the proceedings had not secured them, sued out attachments accompanied by civil warrants against the defendant Mitchell and his wife, the present complainant, under the claim of liability that Mitchell and his wife were pxdmarily liable for the debts to the two corporations, as well as other debts, having, it was claimed, incurred them before the organization of the firm under which these two partners had purchased a two-thirds interest, under the representations, it was claimed, of Mitchell and his wife that the firm at the time only owed about fifteen hundred dollars, whereas it was claimed the debts were twenty-five hundred dollars, and that having under these representations purchased the goods in bulk, without having observed the statutory provision in such cases, they had made themselves liable for a debt that should have been discharged by Mitchell and his wife, who it was claimed constituted the partnership at the time the debts to the defendant corporations were made. These two defendants, B. H. Renner and Eunice Bowers, sought in this premise of liability judgments against Mitchell and his wife, suing out the process above referred to. The officer seems not to have executed the attachment part of the process, but served the civil warrants on Mitchell and his wife, setting the trial before the justice on the 10th day of May, 1922. This trial was not attended by either of the defendants, but Mrs. Bessie Mitchell sought and thought she had obtained a continuance of these latter cases, the obligation having been *591 split up by Renner and Bowers, as it was thought, to give jurisdiction to the Justice of the Peace, to conform to the two former suits against them, so that on the day of trial, the 10th day of May, 1922, judgment was taken in favor of B. H. Renner and Eunice Bowers against Mitchell and his wife, in one of the cases for $355.12, and in the other for $226.22.

It seems that complainant made an examination of the justice’s records afterwards, and before filing the bill, and discovered the condition of the proceedings with reference to the judgments relating to the defendant corporations, and that the attachment in the Ren-ner and Bowers case had not been executed, and, not finding any further record of cases against her on the Justice of the Peace’s docket, concluded that that was all there was against her. It seems that the Renner and Bowers cases were not indexed nor docketed in such a way as to make them easily found, and was told by those having the docket in charge, as she insists, that that was all. It is proper to state that in the record of these two judgments there was also the record of an alleged garnishment of defendant Waddell and judgment against him as garnishee in the latter cases also.

Complainant filed her bill alleging that she was not and never had been a member of the mercantile partnership, had never within her knowledge been held out as such, and was not and never was responsible for any of its debts; that the note was her individual property. The bill alleged the void character of the proceedings that were attacked therein under which the debt evidenced by the note had been sought to be appropriated, asked for judgment on the note, that the lien be foreclosed as indicated, and prayed for general relief.

The defendants B. H. Renner and Eunice Bowers joined with them Ralph Renner, under a claim that he had’ an interest with B'. H. Ren-ner, and who it seems for the first time thus became a party, without formal application or objection, and the defendants Armitage Wholesale Grocery Company and the IT. T. Hackney Company filed their joint answer as a cross-bill, in which it was alleged that the firm of Mitchell, Renner & Bowers is composed of II. C. Mitchell, B. II. Renner, Ralph Renner and Eunice Bowers; that they are successors in the retail grocery business to the Mitchell Grocery Company; that the business of Mitchell, Renner & Bowers is owned, one-third by H. C. Mitchell, one-third’ by Eunice Bowers, and one-third by B. II. Renner and son, Ralph Renner. It "was alleged that they do not know whether the complainant is interested in the one-third interest in the present business or not, but that she was claiming a one-third interest therein. They deny that she had no interest in the old business of Mitchell Grocery Company, but aver that she did have an interest in said business and was a partner in that business; that her name appeared on the license, and also on the bond at the time the license was taken out; that she held herself out as a partner in the *592 business of the Mitchell Grocery Company; that she and her husband H. C.

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Cite This Page — Counsel Stack

Bluebook (online)
6 Tenn. App. 589, 1926 Tenn. App. LEXIS 153, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mitchell-v-waddell-tennctapp-1926.