Morris v. Nelson

257 P. 729, 124 Kan. 127
CourtSupreme Court of Kansas
DecidedJuly 9, 1927
DocketNo. 27,496
StatusPublished
Cited by2 cases

This text of 257 P. 729 (Morris v. Nelson) is published on Counsel Stack Legal Research, covering Supreme Court of Kansas primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Morris v. Nelson, 257 P. 729, 124 Kan. 127 (kan 1927).

Opinion

The opinion of the court was delivered by

Dawson, J.:

This was an action to determine the priority of [128]*128certain .orders for the payment of money drawn by Warren Swartley, operator of a combined harvester-thresher, in favor of three creditors of Swartley and drawn upon and acknowledged by E. E. Nelson, a wheat grower, for whom Swartley had undertaken to cut and thresh 500 acres during the harvest season of 1926. For this service Nelson was to pay Swartley $3 per acre and 5 cents per bushel for the yield above 25 bushels per acre.

On June 1,1926, Swartley gave C. C. Shepherd an order on Nelson for $565.

On June 4,1926, Swartley gave the J. I. Case Threshing Machine Company an order on Nelson for $1.50 per acre for whatever acreage he should cut and thresh under his contract with Nelson.

On June Í4, 1926, Swartley gave this plaintiff, L. Z. Morris, an order on Nelson for $600.

All these orders were accepted by Nelson, that of plaintiff being accepted on June 14; that of Shepherd two days later, June 16; and that of the threshing machine company on June 26 or 27, some ten days later than that of Shepherd. The threshing machine company’s order was assigned to O. L. Siler.

The order in favor of the plaintiff Morris and Nelson’s agreement to pay it according to its terms read:

“Mr. E. E. Nelson-.
June 14, 1926.
“You will please pay to Mr. L. Z. Morris for account on oil and gas and other fuel bill, which I now owe and may further need in the harvesting of the wheat of said E. E. Nelson, up to the amount of $600. This said $600 is to be paid first out of cutting bill under the contract for cutting of the wheat by Warren Swartley for the said E. E. Nelson. Warren Swartley.
[Acknowledgment.]
“I, E. E. Nelson, herein agree to pay Mr. L. Z. Morris $600 out of the cutting bill, as per above assignment. E. E. Nelson.”
“[June 14, 1926.]”

The order in favor of Shepherd and the terms of its acknowledgment read:

“Mr. E. E.'Nelson:
June 1, 1926.
• “You will please pay to C. C. Shepherd, or order, the sum of $565 out of the moneys due me when I have completed harvesting your wheat crop this year- Warren Swartley.”
[129]*129[Acknowledgment.]
“Mr. C. C. Shepherd: “. . . June 16, ’26.
“I will acknowledge the above assignment in so far as possible for me to do so, and pay to you out of what cutting Warren Swartley does for me all that is not paid out of prior right or assignments ahead of yours.
“E. E. Nelson.”

The order in favor of the threshing machine company and the terms of its acceptance read:

“Garden City, June 4, 1926.
“For the purpose of obtaining an extension of credit with J. I. Case Threshing Machine Co. for a Case combine, it is understood that I am to do your harvesting-threshing for the season of 1926 at a price of $3 per acre and 5<f per bushel for all over 25 bushels per acre, in consideration of which you will please pay to J. I. Case Threshing Machine Co., or order, the amount of $1.50 per acre, as soon as the work is done. The work herein referred to is the harvesting and threshing of 500 acres of wheat on section-, township 23-31, county Finney, state Ks. Warren Swartley.”
“I accept the above order and agree to permit the above-named Warren Swartley to do the work herein referred to, and further agree to pay the amount due under this order as goon as the work is done.
[June 26 or 27, 1926.] “E. E. Nelson.”

At the trial no issue of fact was raised, and it was agreed that although Nelson did not acknowledge the orders of Shepherd and the threshing machine company until after he had acknowledged the order in favor of plaintiff, he did know that such orders had been issued to them before he acknowledged the order given by Swartley in favor of plaintiff. It was also agreed that in acknowledging the plaintiff’s order first Nelson had no intention to control the legal effect of the orders thus given; and that Nelson merely considered they did not amount to anything unless and until he did acknowledge them. It seems also to have been conceded that Morris knew of the outstanding but unacknowledged orders.in favor of Shepherd and the threshing machine company when it received the order given him by Swartley.

All these orders were issued by Swartley and acknowledged by Nelson before Swartley had cut and threshed any grain for Nelson. Swartley eventually cut about 246 acres, when the threshing machine company deprived him of the harvester-thresher, presumably for non-payment of the purchase price or other reason not here pertinent. Swartley’s services created an indebtedness on the part of [130]*130Nelson for the sum of $738, less $26 due himself, and he turned the net balance of $712 into court, for plaintiff, Shepherd and Siler to fight for.

The trial court gave judgment in favor of plaintiff for the full amount of his bill, $502.64; and directed that the balance, $209.36, be paid to Shepherd.

This disposition of the fund, of course, left nothing for Siler, assignee of the thresher company, and both Shepherd and Siler appeal. They contend that their orders entitled them to precedence over plaintiff under the rule of law that an unqualified-assignment vests in the assignee title to the same extent as the assignor had at the date of its execution, and that such assignment is effective from its delivery whether the debtor accepts such order or not, and that their orders were first in time and therefore first in right. There is respectable support for such contention (5 C. J. 958), but that rule is not applicable to cases like the present where the orders to the rival creditors are for parts of the fund in the debtor’s hands. (Burnett v. Crandall et al., 63 Mo. 410; Thiel v. John Week Lumber Co., 137 Wis. 272; 129 A. S. R. 1064; 5 C. J. 925; 2 R. C. L. 618, 619.) It is said, however, that the right to refuse to recognize partial assignments of a debt is personal to the debtor (2 R. C. L. 619) which is also a logical qualification of the doctrine that a debtor, having the right tó pa3^ his debts in solido, has also the right to decline to serve as pro rata disbursing functionary for his creditors. In Mandeville v. Welch, 18 U. S. 277, 5 L. Ed. 87, it was said:

“The reason of this principle is plain. A creditor shall not be permitted to split up a single cause of action into many actions, without the assent of his debtor, since it may subject him to many embarrassments and responsibilities not contemplated in his original contract. He has a right to stand upon the singleness of his original contract, and to decline any legal or equitable assignments by which it may be broken into fragments. When he undertakes to pay an integral sum to his creditor, it is no part of his contract that he shall be obliged to pay in fractions to any other persons.” (p. 286.)

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Bluebook (online)
257 P. 729, 124 Kan. 127, Counsel Stack Legal Research, https://law.counselstack.com/opinion/morris-v-nelson-kan-1927.