Northern Railway Co. of France v. Carpentier

4 Abb. Pr. 47
New York Supreme Court·Decided December 15, 1856·Published·Cited by 1 cases

Opinion

Davies, J.

—The motion in this case has been most elaborately and ably argued, and the magnitude of the amount involved, and the very general attention which the case has attracted, have led me to a more careful consideration of the case, and a more critical examination of the numerous authorities cited, than is usual in motions of this character.

A motion has heretofore been made in this cause for the discharge of the defendant Felicité Dubud, on the ground that she being a female, could not be arrested for the matters complained of. This court held on argument that the facts showed that the acts complained of were a wilful injury to property, and such as authorized the arrest of a female under subdivision 5 of section 179 of the Code.

It is now contended, on the behalf of the defendants making this motion, that the plaintiffs have sustained no damage by their acts, and .that, therefore, no cause of action exists against them. This argument concedes the truth of the allegations of the complaint.

Subdivision 1 of section 179 of the Code, declares that the defendant may be arrested in an action for the recovery of damages for wrongfully taking, detaining, or converting property. Subdivision 2 of the same section authorizes the arrest of a party in an action for property embezzled or fraudulently misapplied by any officer or agent of a corporation, in the course of his employment as such, or by any agent or other person acting in a fiduciary capacity.

By their argument the defendants admit the taking, detention, and conversion, as alleged in the complaint; and the defendant, Louis Grelet, admits that while acting in this fiduciary capacity, he took and converted to his own use the shares of the stock of the plaintiffs, with the coupons attached, and sold and disposed of the same, and received the proceeds thereof. The plaintiffs allege that these shares of stock thus taken belonged to them, or were deposited with them for safe keeping. If the shares belonged to the plaintiffs—if they were the plaintiffs’ property, as they allege—I am unable to see why the taking, detention, and conversion, and the embezzlement and sale thereof, are not an injury to the plaintiffs. Certainly, it seems to me. that the unfaithful agent cannot be permitted to say, after he has realized the fruits of his delinquency—“It is true, I have taken and [51]*51disposed of the shares of stock of the plaintiffs, and have realized the proceeds thereof, hut I did it under such circumstances, that no legal liability can be created or claim made against me for the property thus taken.” I cannot recognize such a position as sound in morals, or as sustained by any principle of law. The plaintiffs have been deprived, by the fraudulent act of the defendants, of what they claim to be their property, and the defendants cannot be excused, on the ground that their fraudulent acts have conferred no title upon the present owners and holders of these shares, and that, therefore, the plaintiffs are not damnified.

The plaintiffs further say, that these shares were owned by them, or were deposited with them for safe keeping. Does it follow, because thus deposited, that the plaintiffs have sustained no injury by the abstraction and embezzlement of them by the defendants ? The plaintiffs allege that they have sustained such injury, and no fact is shown by the defendants which controverts this position. I am, therefore, justified in the conclusion in reference to this branch of the subject, that, as to such shares of stock as were deposited with the plaintiffs, and taken and disposed of by the defendants, they were deposited with the plaintiffs on such terms and conditions as would make them responsible to the owners thereof for the value of the same, especially when such loss had been occasioned by the acts of the employees of the plaintiffs. It is sufficient, for the purpose of this motion, to say that the plaintiffs have made all the shares and coupons taken and converted, their property, and claim the same as such; and it is not competent for the defendants, in my judgment, as already intimated, to exculpate themselves, by assuming the ground that their acts are of so grave a character that the title to these shares has never been changed.

The second cause of action is that authorized by section 206 of the Code, being an action to recover the possession of personal property. There is no doubt that this is a substitute for the relief heretofore obtained in an action of replevin. (Roberts v. Randal, 3 Sandf., 707; Chappel v. Skinner, 6 How. Pr. R., 339.) In such an action the defendant may be arrested when he has been guilty of a fraud in concealing or disposing of the property, for the taking, detention, or conversion of which the action is brought. (Code, § 179, subd. 4.) To maintain this ac[52]*52tion, it is not essential that the plaintiffs should he the owners of the property taken, detained and converted. A bailee, trustee, or any other person who is responsible to his principal, may maintain the action, and the lawful possession of the goods is prima fade ^evidence of property. (Edwards on Bailments, 56 ; Fantherce v. Brown, 13 Wend., 63; 2 Burr. Pr., 2; 3 Hill, 348.) The plaintiffs, therefore, being in possession of these shares, whether as owners or as bailees, can maintain this action to recover the property taken, detained, and converted, and, so far as the defendants are concerned, are to be treated as owners thereof.

Are the facts, upon which the order of arrest was issued, sufficiently established to authorize its detention ? In my judgment they are in reference to all of the defendants but Eugene Grelet and Felicité Dubud.

[The Court here proceeded to discuss, at length, the evidence adduced in the case against the several defendants, and to show that there was not sufficient against Eugene Grelet and Dubud, while there was against the others. We omit this portion of the opinion.]

The motion, therefore, to discharge the defendants Eugene Grelet and Felicité Dubud from arrest in this cause is granted, on their stipulating not to commence any action for unlawful imprisonment; and the motion as to the other defendants is denied.

Dpon the settlement of the order, a further question was raised as to the propriety of the condition imposed upon the discharge granted; upon which question a further argument was heard.

John Townshend, for the defendants discharged, contended that the application to vacate the order, was ex débito justifies, and the condition suggested could not, therefore, be imposed. He cited Cash a. Walls, 1 Barnw. & Ad., 375; Abbott v. Greenwood, 7 Dowl. Pr. C., 534; Adlam v. Noble, 9 Ib., 322; Pearce v. Chaflin, 9 Q. B. R., 802; Giraud v. Austin, 1 Dowl., N. S., 703; Bank of U. S. v. Jenkins, 18 Johns., 309.

—The attention of the Court having been called to the condition upon which the order to discharge the defendants [53]*53Eugene Grelet and Felicité Dubud was granted, I have looked again into the practice in similar cases.

The rule, governing the courts in England, is thus laid down. (1 Arch. Pr., by

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Northern Railway Co. of France v. Carpentier, 4 Abb. Pr. 47 (N.Y. Super. Ct. 1856).

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