National Life Insurance Co. of the United States v. Myers

140 Ill. App. 392, 1908 Ill. App. LEXIS 869
CourtAppellate Court of Illinois
DecidedApril 3, 1908
DocketGen. No. 14,356
StatusPublished
Cited by6 cases

This text of 140 Ill. App. 392 (National Life Insurance Co. of the United States v. Myers) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Life Insurance Co. of the United States v. Myers, 140 Ill. App. 392, 1908 Ill. App. LEXIS 869 (Ill. Ct. App. 1908).

Opinion

Mr. Justice Freeman

delivered the opinion of the court.

It is contended in behalf of appellant that the agreement set up in the bill wherein appellant, in consideration of the withdrawal of an injunction and dismissal by appellee of a bill of complaint then pending, is said to have agreed not to publish an alleged libel, is void; that “the bill does not properly set up a conspiracy”; that the injunction order is void for uncertainty; and that equity has no jurisdiction to enjoin a libel.

So far as they are well pleaded the averments of the bill, for the purposes of this interlocutory appeal, must be taken as admitted. It is urged, however, by appellant’s counsel that the correctness of some of the statements made in the publications referred to in the bill, and attached to and made a part thereof, are “nowhere denied. ’ ’ The bill alleges in the most emphatic manner that these publications contain false, scandalous and malicious statements and that they were prepared and circulated with the intent “to destroy the good name, reputation, property and business” of appellee; “for the purpose of attempting to levy blackmail,” and for the purpose of “defrauding and injuring” appellee; that the publications contain “divers false, scandalous, malicious and libelous statements concerning your orator, its business, its property and its officers.” A number of paragraphs from said publications are set forth in the bill, the statements of which are specifically charged to be false and to have been published with the intent and for the purpose of injuring appellee in its business. It is averred that by said publications it was intended to create a false impression that appellee’s affairs were under investigation by policy holders and others, that appellee had been guilty of crime and violated the penal laws in the management of its business and assets, that its officers are dishonest, have sworn falsely and have handled appellee’s assets with intent to convert the same to their own use, that appellee is insolvent and has reported fictitious assets, that in four years $1,600,000 of appellee’s assets have been converted to the personal use of officers and directors of appellee, all of which, as well as other like statements, the bill charges, are false and made for the purpose of destroying its business. It is charged that irreparable injury has been done and is being done by these publications for which no adequate remedy exists at law. In view, therefore, of the whole tenor of the averments of the bill, it is difficult to see what bearing the alleged failure to deny a specific statement in somé of these publications has upon the ques-' tion now before us as to the propriety of the interlocutory injunction of which appellant complains.

It is urged that the agreement was void which the bill states appellant entered into, not to publish or circulate thereafter “any false or defamatory written statements or reports about the good name, business, property or stability of” appellee,-in consideration of the delivery by appellee to appellant of certain papers in its possession, the dissolution of an injunction against appellant and the dismissal of the bill of complaint upon which such injunction had issued. The contention seems to be that the consideration of this agreement was to the effect that appellant would “not publish or divulge matters in which the public had an interest,” and that such agreement is void as against public policy; that “a promise not to do what the law prohibits” is an inadequate consideration for such agreement. We are not aware of any rightful or lawful interest the public can have in false or defamatory publications made with intent wrongfully to injure the property and business of anyone. Appellant’s contention seems to be to the effect that the contract referred to, which appellant is charged with having violated, was not and is not a valid subsisting contract, for want of a legal consideration, and therefore a court of equity will not and cannot interfere to restrain its breach. There was, however, other consideration than the agreement by appellant not to publish. Certain papers which appellant evidently deemed of some value were delivered to him as a part of the consideration for the promise. The promise not to publish, apparently therefore, was based on a valuable consideration to appellant. Whether or not, when the evidence is presented, the contract will be deemed one the violation of which should be restrained, is not now the question. We have here a promise based on an apparently valuable consideration. It is said in Pomeroy’s Equitable .Remedies, vol. 1, sec. 270: “Where an agreement stipulates that certain acts shall not be done, an injunction ^preventing the commission of those acts is evidently the only mode of enforcement.” (See also Idem, sec. 292.) The question as to whether the injunction should be “made permanent on that ground alone is not before us.

There are, however, other and unquestionable grounds for the relief prayed for, which are set forth in the bill. Appellant claims that the bill does not properly set up a conspiracy. The argument is that the charge of conspiracy between the two defendants named in the bill is not based upon facts alleged; that, as in cases of fraud, it is not sufficient to charge a conspiracy, but that the acts constituting it must be alleged. No authorities are referred to in support of this contention. A conspiracy may exist before it is carried into execution by the commission of acts in pursuance of the conspiracy. In the present case, however, the bill not only charges a conspiracy, but points out repeated and numerous acts alleged to have been done in pursuance of the conspiracy “to wrongfully, fraudulently and maliciously injure and destroy the good name, reputation, property and business of appellee.”

It is further argued that the injunction order is void for uncertainty, but it suffices to say that appellant’s counsel fails to substantiate the contention, or point out wherein such alleged uncertainty exists. See Hey v. Wilson, 128 Ill. App. 227-229.

It is further argued that equity has no jurisdiction to enjoin a libel and that the real scope of the bill is “to enjoin the publication and circulation of what is claimed to be a libel.” Much space is given by appellant’s counsel to discussion of the liberty of the press and to decisions in various jurisdictions to the effect that a “court of chancery will not restrain the publication of a libel because it is a libel.” Prudential Life Ins. Co. v. Knott, 10 L. R. Ch. App. 142. In the present case it is claimed in behalf of appellee that the injunction in this case does not merely restrain the publication of a libel, as to which there is an adequate remedy at law, but that the fact that the publications complained of are alleged to be libelous is but an incident; that the jurisdiction of equity invoked in the case rests upon other and unquestioned grounds.

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Bluebook (online)
140 Ill. App. 392, 1908 Ill. App. LEXIS 869, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-life-insurance-co-of-the-united-states-v-myers-illappct-1908.