Nye v. Johnson

4 N.W.2d 819, 72 N.D. 95, 1942 N.D. LEXIS 116
CourtNorth Dakota Supreme Court
DecidedJuly 1, 1942
DocketFile No. 6844.
StatusPublished
Cited by8 cases

This text of 4 N.W.2d 819 (Nye v. Johnson) is published on Counsel Stack Legal Research, covering North Dakota Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Nye v. Johnson, 4 N.W.2d 819, 72 N.D. 95, 1942 N.D. LEXIS 116 (N.D. 1942).

Opinion

Burr, Cb. J.

The record shows plaintiff was the owner of some old machinery, and he alleges both defendants converted this property to *96 their own use. Johnson admitted taking possession of machinery, which he claims to have purchased from the codefendant as scrap iron under the belief the bank had the right to sell it, and alleged further that he did not have sufficient information to know whether the property described in the complaint was the property which he took. The defendant bank denied that it was in any way indebted to the plaintiff because of this machinery. The jury found for the plaintiff against both defendants, and the defendant bank appeals.

The property lay for years in a field some four miles from Fargo. The record shows the defendant Johnson had opened negotiations with FI. D. Crosby, vice president of defendant bank, for the purchase of what he termed “scrap iron” in the form of old machinery, which he stated he understood was the property of the estate of one Twichell, deceased, and that the bank had the right to sell it. He was informed the bank knew nothing of any Twichell property being in that neighborhood, but if there was any, the bank had the right to sell it, and would sell whatever Twichell property there was in that field to defendant Johnson upon his payment of $20, title to' the property to be transferred upon payment in full.

Johnson made a down payment of $5, but instead of paying the remainder, he began removing plaintiff’s machinery, claiming this as Twichell’s property. On three occasions plaintiff notified him that the property he was taking never belonged to Twichell. The matter was brought to the attention of the bank, and Crosby stated to both plaintiff and Johnson that the bank was not selling any property except such as belonged to Twichell; that Johnson was not to take any other property; and that unless it belonged to Twichell, Johnson was to leave it alone. Mr. Crosby further said, according to the plaintiff, “he didn’t sell it. That he left it to him.” This clearly implied that Crosby had no intent to sell Nye property and left it to Johnson to discover whatever Twichell property there was. The record is quite clear there was no Twichell property there.

The plaintiff had a deputy sheriff go to the field to prevent Johnson’s taking the property, and latei* the plaintiff and the deputy sheriff had a conference with Mr. Crosby, in which Crosby told them that any property he had sold was property supposed to belong to Twichell.

*97 The only direct testimony we have in regard to the deal between Crosby and Johnson is given by the witness Crosby. Johnson was not a witness. Crosby testified that when Johnson approached him about the purchase of the property, he told him that so far as he knew, the bank did not have any property out there in which it had any interest; but when told by Johnson that he had understood there was some Twichell property there, he told him, “If there is any Twichell scrap iron out there we are willing to sell it, providing you will pay for it. But . . . You want to be absolutely sure it is Twichell scrap iron before you touch it or do anything with it, and you also want to pay the purchase price before you touch it or do anything with it.”

He further testified that he told Johnson not to touch the stuff “until he knew for sure that it was Twichell scrap. And if it wasn’t Twichell scrap to leave it alone because he wouldn’t have any right to sell it.” There is no real dispute in regard to this feature, though much' stress is laid on incidental and isolated statements alleged to have been made by Crosby to various witnesses for the plaintiff.

Plaintiff urges the record shows the interest which the bank had in any Twichell property was an interest which arose on account of chattel mortgages and trust agreements made between Twichell and the bank to secure indebtedness to the bank; that the bank had the opportunity of determining what Twichell property it had an interest in; and because the officials had not examined the mortgages and trust agreements in order to ascertain the identity of the property, and had sold alleged Twichell property to Johnson, the bank had in effect made Johnson its agent and so was liable for any of the acts of Johnson in taking possession of the plaintiff’s property, and, therefore, was guilty of conversion, being connected with Johnson’s unlawful act, citing Indiana Harbor Belt R. Co. v. Alpirn, 139 Neb 14, 296 NW 158. But this is a case where a public carrier intentionally sold a shipper’s property without his consent. On this point plaintiff cites Talich v. Marvel, 115 Neb 255, 212 NW 540, holding that “in wrongful conversion, each-'and all knowingly participating therein, or who, with knowledge, benefit by its proceeds in whole or in part, are principals.”

The trouble with that citation is that it is not applicable to the case *98 at bar. The bank did not participate in the conversion, or benefit by its proceeds. Whatever money the bank got from Johnson for Twichell scrap iron it obtained before Johnson interfered with plaintiff’s dominion over the property.

Plaintiff also cites the case of Skinner v. First Nat. Bank & T. Co. 61 SD 481, 249 NW 821, to the effect that any person aiding in conversion of property is responsible to the owner. However, this leaves for determination of fact whether the bank aided in the conversion.

It is clear the bank at no time ever made any pretense of ownership or possession of plaintiff’s property, nor did the bank at any time ever exercise any dominion over the property which Johnson took. The record shows the bank had a right to dispose of Twichell property, and whatever deal was made between the bank and Johnson was for the sale of Twichell property. That Johnson was mistaken in assuming the property he had in mind was Twichell property does not relieve him from liability for conversion, for he took the plaintiff’s property, but this cannot be charged against the bank. There is an entire absence of any evidence showing the bank by word or act said to Johnson that this specific property which Johnson afterwards took “belongs to Twichell and we have the right to sell it.” Being told by Johnson that there was Twichell property there, the bank told him, “Whatever Twichell property there is, we will sell to you.” This did not make 'the bank liable for any act of Johnson in taking property that did not belong to the Twichell estate.

To support trover action, there must have been wrongful taking or detention, illegal assumption of ownership, illegal user or misuser of plaintiff’s property, an attempt to deprive the owner of his general right and dominion over his chattel (Wolff v. Zurga, 227 Ala 370, 150 So 144; Genuine Panama Hat Works v. Paragon Hat Co. 245 Ill App 531; McGreevey v. New York C. R. Co. 143 Misc 519, 256 NYS 211; Lee Tung v. Burkhart, 59 Or 194, 116 P 1066); and where there'is no denial of plaintiff’s property, and'no claim of property in the defendant, there "can be no conversion. Salt Springs Nat. Bank v. Wheeler, 48 NY 492, 497, 8 Am Rep 564, 567.

A • nonfeasance .or neglect-of-legal duty-by which property is lost to *99 an owner will not support an action for conversion (Cotton v. Harris Transfer & Warehouse Co.

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Bluebook (online)
4 N.W.2d 819, 72 N.D. 95, 1942 N.D. LEXIS 116, Counsel Stack Legal Research, https://law.counselstack.com/opinion/nye-v-johnson-nd-1942.