New Orleans v. Gaines's Administrator

138 U.S. 595, 11 S. Ct. 428, 34 L. Ed. 1102, 1891 U.S. LEXIS 2351
CourtSupreme Court of the United States
DecidedMarch 2, 1891
Docket1293, 1320
StatusPublished
Cited by73 cases

This text of 138 U.S. 595 (New Orleans v. Gaines's Administrator) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
New Orleans v. Gaines's Administrator, 138 U.S. 595, 11 S. Ct. 428, 34 L. Ed. 1102, 1891 U.S. LEXIS 2351 (1891).

Opinion

Mr. Justice Bradley

delivered the opinion of the court.

This is the cáse which was before us in October 'term, 1888, and the decision in which will be found reported in 131 U. S. 191, under the name of New Orleans v. Gaines's Administrator. The suit \yas commenced in August, 1879, and was' brought against the city of New Orleans to recover the rents, fruits, revenues and profits of 135 arpents of land,’situated,in the city, from the year 1837 to the time of the accounting sought. This land had been purchased by the city from one Evariste Blanc in 1831, and afterwards disposed of to various parties, except four or five blocks reserved for city purposes, which are not now in question. The city, however, is sought to be charged with- all the rents, fruits and revenues of the land, whether in its own possession or in the possession of its grantees. In two previous suits brought by Mrs. Gaines against the parties in possession, one against P. H. Monsseaux and *598 others, and the other against P. F. Agnelly and others, (said suits being in the nature of ejectments,) decrees were obtained for the recovery of the lands held by the defendants respectively, and references were made to a master to ascertain the amounts of rents and revenues due. The total of these rents and revenues found and reported by the master in the two suits was $517,049.34, which, with interest, calculated up to January 10, 1881, amounted to the sum of $570,707.92. The bill in this case sought a recovery from the city of New. Orléans not only of the said last-mentioned sum, but also' .of a large amount, exceeding $1,300,000, for .the rents and revenues of unimproved property whilst in the possession and ownership of the city. A decree was rendered in the court below for both of these amounts, but for the reasons expressed in the opinion of this court, reported in 131 IT. S., the latter amount was disallowed, and the decree was reversed. We held that the city was concluded by the proceedings against the tenants in possession in the two. former suits referred to, and must respond for the amounts decreed against the tenants in those suits, subject to a reduction, however, in any of the individual cases in which compromises had been effected for a less amount than .the sum adjudged. Tt was contended, indeed, by the complainant, that the city, by virtue of claiming title to the property, and conveying it to purchasers with a guarantee, was primarily liable for all rents and revenues to Mrs. Gaines and her representatives (the real owners of the property) without reference to the grantees, and that no settlement with the latter could affect such primary liability. We did not concur in that view, however, as will be seen by reference to the opinion before referred to. We held that the city was only liable to Mrs. Gaines, the true owner, in consequence of its engagements as vendor and warrantor to the persons to whom it had sold the property, through the equity which those persons and their grantees had to be protected from loss and damage by reason of defective title; and that Mrs. Gaines and her representatives could not hold the city liable beyond that. We held further that as between the citxj and its gi'antees, the city was the principal debtor, and was bound to protect them.

*599 The primary obligations of the parties are based upon two articles of the Civil Code of Louisiana:

“ Art. 502. The products .of the thing do not belong to the simple possessor, and must be returned with the thing to the owner who claims the same, unless the possessor held it lon'a

It having been decided that the hok.ers of Mrs. Gaines’s property under the sales of Keif and Chew (which is the case here) are possessors in bad faith, the- above article makes themi responsible to her for the products, or, in other words, the fruits or revenues.

Art. 2506. When there is a promise of warranty, or when no stipulation was made on-that subject, if the buyer be evicted, he has a right to claim against the seller :

“1. The restitution of the price.

“2. That of the fruits or revenues, when he is obliged to return them to the owner who evicts him.

“ 3. All the costs occasioned, either by the suit in warranty on the part of the buyer, or by that brought by the original - plaintiff.

“ 4. The damages, when he hás suffered any, besides the price that he has paid.”

Our views with'regard to the obligations of the city enforceable in the present suit were expressed in the former case in the following terms:

“ As between the city and its grantee, the former, by reason of its guaranty of title, is really the principal debtor, and bound to protect the grantee as a principal is bound to protect his surety. Therefore the grantee is entitled to such remedies as a surety hath; and when fixed by judgment, if not before, may file a bill against his guarantor to protect, him. Lord Kedesdale says: ‘A court of equity will also prevent injury in some cases by interposing before any actual injury nas been suffered, by a bill which has been sometimes called a bill quia timet, in analogy to proceedings at the common law, where in some cases a writ may be maintained before any molestation, distress or impleading. Thus a surety may file a' bill to compel the debtor'on a bond in which he has joined tó *600 Pay the debt when due, whether the surety has been actually sued for it or not; and upon a covenant to save harmless, a bill may be filed to relieve the covenantee under similar circumstances.’ [Cases cited.] In Lee v. Rook, [Mosely, 318,] the Master of- the Nolls' said: ‘ If I borrow money on a mortgage of my estate for another, I .may come into equity (as every surety may against his principal) to have my estate disencumbered by him.’
“ Then, if the grantees, who have been ousted, and who are condemned in judgment to pay to Mrs. Gaines the rents and revenues due to her, might have maintained a suit in equity against the city to compel it to indemnify them, why may not Mrs. Gaines be subrogated to the grantees’ right and equally maintain 'a suit against the city ? The claim is an equitable one. It is in proof that all the acts of sale of the city contained express agreements of guaranty, with right of subrogation; and an act of sale in Louisiana imports a guaranty whether it is expressed or not.
“ But if the suit could not be maintained on purely equitable grounds alone, there is a principle of the civil law obtaining in Louisiana, by the aid of which there can be no doubt of its being maintainable. The Code Napoleon had an article (Art. 1166) expressly declaring that creditors may exercise all the rights and actions of their debtor, with the exception of those that are exclusively attached to the person. It is true that the Louisiana Code has no such article; but it is laid down by writers of authority that- this principle prevails in French jurisprudence without the aid of any positive law. (43 Dalloz, 239, etc., title Vente, Arts.

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Bluebook (online)
138 U.S. 595, 11 S. Ct. 428, 34 L. Ed. 1102, 1891 U.S. LEXIS 2351, Counsel Stack Legal Research, https://law.counselstack.com/opinion/new-orleans-v-gainess-administrator-scotus-1891.