Moreland v. Metz

24 W. Va. 119, 1884 W. Va. LEXIS 45
CourtWest Virginia Supreme Court
DecidedApril 19, 1884
StatusPublished
Cited by9 cases

This text of 24 W. Va. 119 (Moreland v. Metz) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Moreland v. Metz, 24 W. Va. 119, 1884 W. Va. LEXIS 45 (W. Va. 1884).

Opinion

Green, Judge:

The demurrer to the bill in this cause is based on two grounds. One ground is that one of the plaintiffs, the Mor-gantown Bank, is a defunct corporation and cannot therefore sue; and that the Second National Bank ot Morgan-town, another eo-plaintiff, being a National bank cannot succeed to those rights of the Morgantown Bank, which savor of or pertain to the matter;' and the rights set up in the plaintiffs’ bill, which are averred to have passed from the Morgantown Bank to the Second National Bank of Morgan-town, are not of the character of rights which can be succeeded to under the law. There is nothing in this demurrer. Chapter 53, sec. 59 of the Code of West Virginia, p. 403, expressly provides, that suits may be brought after the dissolution of a corporation or after its expiration, so far as shall be necessary for prosecuting and protecting its rights, just as such suit might bo brought before the dissolution or expiration of the corporation. The other ground of demurrer is .equally without foundation. What the bill alleged had passed from the Morgantown Bank to the Second National Bank of Morgantown was this debt due from the defendant, Minerva -T. Metz, secured by the vendor’s lion on the Marsh farm. Upon the re-organization of the Morgantown Bank whereby it became a National bank under the name of the Second National Bank of Morgantown, under sec. 5154, title 62 of Revised Statutes of the United States, 2d Ed., 1878, [130]*130the National Bank of Morgantown unquestionably became entitled to this debt. When a State bank is re-organized and becomes a National bank, its identity is not thereby destroyed. It remains substantially the same institution under another name. The transition does not disturb the relation of either the stockholders or officers of the corporation; nor does it enlarge or diminish the assets of the instition. These all remain the same under the National as they were under the State organization. The bank neither loses any of its assets nor escapes any of its liabilities by the change. The change is a transition and not a new creation. Coffee v. The National Bank of the State of Missouri, 46 Mo. R. (5 Post) 140; also Grocers National Bank v. Clark, 48 Barb. 26, and Thorpe v. Wegefarth, 56 Pa. St. 82.

The circuit court therefore properly overruled the demurrer to the bill of the plaintiffs by its decree of September 6, 1882. But it erred in this decree in referring the cause to a commissioner to ascertain the liens on this Marsh farm and their priorities after publication as provided by sec. 7 of ch. 126 of Acts of 1882, p. 369. This section appiles to a creditors’ bill brought by one or more judgment-creditors to enforce their liens against the debtor’s real estate. It has no application to a suit brought by a vendor against his vendee to enforce his vendor’s lien, which is still to be conducted as it always was, it being- unnecessary to make other lien-creditors parties to the suit either formally or informally, and of course unnecessary to have them convened before a commissioner, and their liens and priorities ascertained. Such proceeding is not only unnecessary, but improper. Cunningham v. Hedrick et al., 23 W. Va. 579. If such an order of reference or any other order of reference had been proper in this cause, it ought not to have been made in this decree of September 6, 1882, because by this decree the defendants demurrer to the plaintiffs’ bill had been overruled, and leave was given to the defendants to file their answer in thirty days: and till the expiration of this thirty days no decree of reference could properly be made. (Neely v. Jones, 16 W. Va. 626, point 7 of syl., also p. 649, and Peck v. Chambers, 8 W. Va. 210, 215.) But the appellants cannot complain in this Court [131]*131of this order of reference being improperly made. The commissioner reported that there were no liens on this Marsh farm except the plaintiffs’ vendor’s lien. The amount of it was undisputed, being admitted in the answer. So though this report was formally confirmed, it had no effect Avhatever in the cause. There was an unnecessary cost of a]few dollars incurred -by this reference to the commissioner but no delay, and from it no prejudice or benefit arose to either party. It must therefore be simply regarded as a useless proceeding.

In the decree of December 21, 1882, a credit was given by the court on this acknowledged vendor’s lien of eighty-two dollars and three cents, the amount of taxes for the year 1880 which had been paid by- the purchaser or for her on this Marsh farm and the rent of the farm from March, 1880, to March, 1881, when the vendee obtained possession. The amount of taxes for 1880 so paid were exactly ascertained by the tax receipts referred to in this decree to be .thirty-two dollars and three cents; and fifty dollars was therefore the credit given for the rent. There can be no question that the credit of thirty-two dollars and three cents for the taxes for the year 1880 was properly chargeable to the trustee of the bank and not to Minerva J. Metz, as the sale of this farm and deed to her was not made till March 26, 1880; and it is equally clear, that the defendant had no claim to be credited with the taxes on this farm for 1881 paid by her or for her, as it is obvious, that she was properly chargeable with these taxes for 1881, and the bank was under no obligation to pay them.

The only question of controversy is: Did the circuit court properly confirm the balance of the credit to the rent of the land for the year that Minerva J. Metz could not get possession of it after the deed was made, or should the court have gone further and allowed her the whole or any part of the damages beyond this rent, which she claimed to have suffered from her being unable to get possession ? As in the judgment oí some of the courts in the United States the decision of this question as to the true measure of damages in such a case would depend upon whether the veiidor had acted fraudulently in the sale and deceived and misled the [132]*132vendor, I propose before taking up and considering the proper measure of damages in this case to consider, whether it be true, as charged by the defendant, that the bank induced the appellants, the defendants below, to purchase this farm by false and fraudulent misrepresentations of facts which would naturally affect that estimation of its value and also by the false and fraudulent representation that they could get immediate possession as soon as the sale was completed, and that the purchase was made because of these false and fraudulent representations by the bank, they being relied upon by the appellants as true.

In the first place, there can be no question but that this contract for the sale of the Marsh farm was made by Emrod Tennant, a director of the bank, with Elias Metz, the husband of Minerva J. Metz, to whom the deed was made at the request of her husband. It is true that Elias Metz represents that the contract was made by him and the cashier of the bank; but this is denied both by the cashier of the bank and by Emrod Tennant. And that they state the truth in this respect is clearly shown by the statement of the transaction on the record-books of the director}’ made at the time, of which the following is a copy :

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Cite This Page — Counsel Stack

Bluebook (online)
24 W. Va. 119, 1884 W. Va. LEXIS 45, Counsel Stack Legal Research, https://law.counselstack.com/opinion/moreland-v-metz-wva-1884.