National Surety Co. v. Bell

1926 OK 171, 247 P. 343, 121 Okla. 48, 1926 Okla. LEXIS 49
CourtSupreme Court of Oklahoma
DecidedFebruary 23, 1926
Docket17077
StatusPublished
Cited by4 cases

This text of 1926 OK 171 (National Surety Co. v. Bell) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
National Surety Co. v. Bell, 1926 OK 171, 247 P. 343, 121 Okla. 48, 1926 Okla. LEXIS 49 (Okla. 1926).

Opinion

LESTER, J.

The parties will ha referred to as they appeared in the court below.

This is a suit by the plaintiffs, Janies Bell and numerous other parties named in the petition filed in the court below, to recover from W. H. Wigton, and from National Surety Company as surety upon a bond given for tha benefit of the employees of W. H. Wigton, in the sum of $15,000 for wages alleged to have been earned by the plaintiffs as coal miners in the employment of said W. H. Wig-ton. It was alleged in plaintiffs’ petition that the National Surety Company executed for the said W. II. Wigton a bond in the penal sum of $15,000, conditioned that in the event of default in payment of wages earned by' any of the employees of the said W. H. Wigton he would, and his surety, National Surety Company, should, pay all obligations incurred by him for labor in the operation of a certain lease made to him by W. T. Bowling and Harland Reed, as receivers appointed to hold and manage a lease owned by the Southwestern Coal & Oil Company.

The suit was instituted on the 14th day of February, 1925, by the filing of a petition in the superior court of Okmulgee county, and a summons to the defendants Wigton and Surety Company delivered to the sheriff of Okmulgee county, who made a return that these two defendants were not found. Thereafter, on the 25th day of February, 1925, an alias summons, directed to the sheriff of Oklahoma county, was issued, to be served upon the plaintiff in error, National Surety Company, by serving upon the Insurance Commissioner < f the state of Oklahoma the summons therein. This summons was returned showing that it had been served by delivering a copy *49 to J. G. Read, Insurance Commissioner for tlie state of Oklahoma, in person on February 28, 1925. The summons so received by the Insurance Commissioner was copied by him and forwarded by him to the plaintiff in error, National Surety Company, at its offices in New York. The original summons as issued contained an indorsement that, “if defendant fail to answer, judgment wil'l be taken for the sum of $15,000, with interest at the rate of six per cent, per annum from the 31st day of January, 1925, and cost of suit.” The copy of the summons made under the .provision of law by the Insurance Commissioner and forwarded by bim to the plaintiff in error, was not so indorsed, but contained upon it the following indorsement : “If the defendant fail to answer judgment will be taken for the sum of $1,500, with interest at the rate of six per cent, per an-num from the 31st day of January, 1925, and cost of suit.”

Thereafter the defendant, National Surety Company, failed to appear, and judgment by default was entered by the trial court on the 9 th day of May, 1925, for the sum of $15,000.

Subsequent to the entry of the said judgment, the defendant, apparently without knowledge of the fact that the same had been entered, filed its answer to petition of plaintiffs. Thereafterwards, on the 14th day of May, 1925, it filed its motion, to set aside the default judgment so rendered against it. and for a new trial in which it set up an unavoidable casualty by wbich, it was alleged, it was prevented from answering within the time named in the summons, and also that the said defendant had a good defense against the said cause; and thereafter on the 2nd day of June, 1925, the defendant filed a supplemental! motion to vacate said judgment, in which, its alleged as additional ground for a new trial and for the vacation of the said judgment “except a sum not in excess of $1,500.” The court denied the motion of the defendant to set aside the said judgment, and the defendant prosecutes this appeal to reverse the action of the court in refusing to set aside its judgment rendered against the defendant on the 9th day of May., 1925. The defendant makes the following assignments of error :

“1. The superior court of Okmulgee county erred in overruling the motion and supplemental motion of the plaintiff in error. National Surety Company, to vacate the judgment rendered against it and to grant it a new trial.
“2. The superior court of Okmulgee county erred in overruling that portion of the supplemental motion of the plaintiff in error, National Surety Company, to declare void and to vacate all that portion of the judgment rendered against it in excess of the sum of $1,500, interest and costs.”

'The defendant in its argument states:

“There is substantially no controversy of fact in this cause, and therefore we deem it unnecessary to burden the court with an abstract of the testimony, as the matter raised by our specifications of error appears upon the face of the pleadings, process, and judgment referred to above and appearing plainly in the case-made, and the decision in this matter tarns entirely upon the question as to whether or not there has been a proper and valid service upon the plaintiff in error, National Surety Company, by which any demand in excess of $1,500 may be asserted or maintained against it, and whether or not the act of the trial court in entering judgment for the sum of $15,000, interest and costs, was void or voidable, so as to be successfully attacked in this’proceeding.”

The defendant devotes its entire brief to the proposition that the judgment of the court was void or voidable, and insists that, on account of the defect therein, in the copy of the summons sent to it by the Insurance Commissioner of Oklahoma, the judgment should be set aside.

Section 6683, C. O. S. 1921, provides in part:

“No foreign insurance company shall be admitted and authorized to do business in this state until. * * *” .

Paragraph 4 of the said section reads as follows:

“It shall, by duly executed instrument filed in his office, constitute and appoint the Insurance Commissioner, or his successor, its true and lawful attorney, upon whom al'l lawful processes in any action or legal proceeding against it may be served, and therein shall agree that any lawful process against it, which may be served upon its said attorney, shall be of the same force and validity as if served upon the company, and that the authority thereof shall continue in force, irrevocable, as long as any liability of the company remains outstanding in this state. Any process issued by any court of record in this state, and served upon such commissioner by the proper officer of the county in which said commissioner may have his office, shall be deemed a sufficient process on said company, and it is hereby made the duty of the Insurance Commissioner to promptly, after such service of process, forward by registered mail, an exact copy of such notice to the company; or, in case the company is of a foreign country, to the resident manager in this country; and also shall forward a copy thereof to the general *50 agent of said company in this state. For power of attorney, each company shall pay a fee of $3, and for each copy of process the Insurance Commissioner shall collect the sam of $3, which shall be paid by the plaintiff at the time of such service, the same to be recovered by him as a part of the taxable cost, if he prevails in his suit.”

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Cite This Page — Counsel Stack

Bluebook (online)
1926 OK 171, 247 P. 343, 121 Okla. 48, 1926 Okla. LEXIS 49, Counsel Stack Legal Research, https://law.counselstack.com/opinion/national-surety-co-v-bell-okla-1926.