Mumford v. Hartford Accident & Indemnity Co.

228 P. 206, 64 Utah 24, 1924 Utah LEXIS 7
CourtUtah Supreme Court
DecidedJuly 18, 1924
DocketNo. 4115.
StatusPublished
Cited by1 cases

This text of 228 P. 206 (Mumford v. Hartford Accident & Indemnity Co.) is published on Counsel Stack Legal Research, covering Utah Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Mumford v. Hartford Accident & Indemnity Co., 228 P. 206, 64 Utah 24, 1924 Utah LEXIS 7 (Utah 1924).

Opinion

THURMAN, J.

Plaintiffs sued defendant for damages on an indemnity bond in which the Union Live Stock Commission Company of Ogden, Utah, was principal and the defendant herein was surety. The bond is attached to and made a part of the complaint, and contains the following provisions material to the issues involved:

“Whereas, the said principal having an office at the Ogden Live Stock Exchange, Ogden, Utah, is engaged in the Live Stock Commission business, buying and selling live stock for others on commission, according to the rules and regulations of the Ogden Live Stock Exchange.
“Now, therefore, the condition of this obligation is such that if the said principal shall faithfully account for all proceeds of sales made by him, and for all funds furnished him for purchases of live stock, and shall pay for all live stock purchased by him, according to the rules and regulations of the Ogden Live Stock Exchange, then this obligation to be and become null and void; otherwise to remain in full force and effect.
“It is expressly agreed as follows:
“1. The persons damaged by the breach of any conditions hereinbefore set out may maintain an action on this bond in their own name to recover damages, first obtaining written consent of the obligee to bring suit or the obligee first obtaining written- consent of such person may maintain the action in the obligee’s name, the recovery to be made for the use of the person damaged; that the obligors herein, both principal and surety, hereby waive every defense, if any there might be, based upon1 the fact that the persons damaged or in whose name the suit shall be brought are not party or privy to this bond.
*27 “2. The term ‘persons’ as used in this instrument shall be construed to mean and include both singular and plural and corporations, copartnerships, individuals, and the successors of corporations, and the heirs, executors, administrators and assigns of individuals.
“3. The acts of authorized agents- or representatives of said principal, or persons whom said principal shall knowingly permit to represent themselves as acting for said principal shall be taken and construed to be the acts of the said principal and to be within the protection of this bond to the same extent and in the same manner as if they were the personal acts of said principal.”

The amended complaint, in substance, alleges the partnership of plaintiffs, the corporate capacity of defendant and the Union Live Stock Commission Company, hereinafter called commission, and that the bond was executed by defendant February 14, 1921. The complaint then alleges that on February 9, 1923, at Paris, Idaho, and Border, Wyo., the plaintiff sold and delivered to the commission 56 head of cattle of the reasonable value of $3,308, and that the commission promised to pay said sum, and, in pursuance thereof, by and through its authorized agents, on said date, made and delivered to plaintiffs a certain sight draft and bill of exchange in words and figures as follows:

“The Commercial National Bank.
“Ogden, Utah, Feb. 9, 1923.
“At sight pay to the order of Mumford Bros. $3,308.00 (thirty-three hunted eight and no/100 dollars) with exchange value received and charge to the account of
“Beckstead & Hillman,
“By Percy.
“To Union Live Stock Com. Co., 56 Cattle, Ogden, Utah.”

It is further alleged in the complaint that on February 14, 1923, the draft was duly presented to the commission for acceptance; that payment thereof was refused; and that no part of said sum has been paid. The complaint then alleges the giving of notice of the damage claimed, as required by the terms of the bond.

For a second cause of action plaintiffs allege, in the same form, a sale and delivery made to the commission, on the same date, by one G. H. Hall, of 28 head of cattle, of the reasonable value of $1,517.50, and the promise of the com *28 mission by and through, its agents to pay for the same, and the issuance and delivery to Hall of a draft for said sum in the same form as the draft to Mumford Bros., except that the name of Hall appears at the bottom of the draft. . Presentation of said draft to the commission on the 23d day of February, 1923, by Hall, and the refusal to pay the same, were duly alleged, and notice of claim for damages, as required by the bond. The claim of Hall was duly assigned to plaintiffs.

A third cause of action was also alleged, but it is not involved in this appeal in view of the findings and judgment of the court.

Plaintiffs pray judgment for the aggregate amount of the two drafts and for attorney’s fees in the sum of $750, and costs.

The defendant answering the complaint denied that plaintiffs sold the cattle to the commission through or by its agents or otherwise.

The ease was tried to the court without a jury. A memorandum decision was rendered by the court in which it directed findings and judgment in favor of plaintiffs.

The court, instead of finding that Beckstead & Hillman were agents of the commission in the purchase of the cattle, found that the transaction was in accordance with the customary course of trade between Beckstead & Hillman and the commission and that the drafts in question were issued and delivered by Beckstead & Hillman with the commission’s knowledge and consent.

The plaintiffs, by leave of court, filed an amended complaint to conform to the proof as found by the court. A copy of the complaint, as amended wasi served upon defendant’s counsel who filed and served answer thereto in which the material allegations of the complaint were denied.

The court entered findings in accordance with its memorandum decision among which findings are the following which are material in view of the issues presented:

“3. That from and after about December 10, 1922, and at all times hereinafter mentioned, Percy Beckstead and J. W. Hillman *29

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Related

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253 P. 676 (Utah Supreme Court, 1927)

Cite This Page — Counsel Stack

Bluebook (online)
228 P. 206, 64 Utah 24, 1924 Utah LEXIS 7, Counsel Stack Legal Research, https://law.counselstack.com/opinion/mumford-v-hartford-accident-indemnity-co-utah-1924.