Ohio Bureau of Credits, Inc. v. Steinberg

199 So. 246, 29 Ala. App. 515, 1940 Ala. App. LEXIS 72
CourtAlabama Court of Appeals
DecidedAugust 6, 1940
Docket3 Div. 830.
StatusPublished
Cited by4 cases

This text of 199 So. 246 (Ohio Bureau of Credits, Inc. v. Steinberg) is published on Counsel Stack Legal Research, covering Alabama Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Ohio Bureau of Credits, Inc. v. Steinberg, 199 So. 246, 29 Ala. App. 515, 1940 Ala. App. LEXIS 72 (Ala. Ct. App. 1940).

Opinion

BRICKEN, Presiding Judge.

It appears from the record in this case that Ohio Bureau of Credits, Inc., a corporation, the assignee of a negotiable promissory note, made by A. D. Steinberg, at Millersburg, Ohio, to The Farmers & Merchants Bank Co. of Millersburg, Ohio, on May 11, 1931, and payable on demand, brought suit on said note in the Municipal Court of Columbus, Franklin County, Ohio, a court of record and of general jurisdiction, on July 20, 1939, against A. D. Steinberg, the maker of said note.

*519 The note in question contained a warrant of attorney under the provisions of which any attorney of any court of record in the State of Ohio was authorized to appear in any court of record of that State, with or without process, at the suit of The Farmers & Merchants Bank Co., or the legal holder of said note, at any time after the same became due, and waive the issuance and service of process and confess judgment on said note, in favor of the legal holder thereof for the amount due thereon, and costs of suit, and waive previous notice to the maker of said note, etc.

On July 20, 1939, Jeannette Critchlow, an attorney at law, practicing law before the Municipal Court of Columbus, Franklin County, Ohio, appeared as attorney for A. D. Steinberg, the defendant in said court, under said warrant of attorney, which was authorized and legal under the laws of the State of Ohio, and confessed judgment in said suit on said note in favor of Ohio Bureau of Credits, Inc., the plaintiff, and against A. D. Steinberg, the defendant, for the sum of $561.10, the amount of principal and interest due on said note, and for costs, etc., and upon which said confession, under said warrant of attorney, the final judgment of the Municipal Court of Columbus, Franklin County, Ohio, was pronounced and entered in favor of said Ohio Bureau of Credits, Inc., a corporation and against said A. D. Steinberg for the sum of $561.10, and costs of court.

On August 22, 1939, said Ohio Bureau of Credits, Inc., a corporation, brought its suit in the Circuit Court of Montgomery County, Alabama, against the said A. D. Steinberg, then a resident of Montgomery County, Alabama, on the above mentioned judgment of the Municipal Court of Columbus, Franklin County, Ohio, for said sum of $561.10 (plaintiff’s complaint appears in the report of this case).

The trial court sustained defendant’s demurrer to plaintiff’s complaint, and thereupon the plaintiff took a non-suit, but reserving the right to have this court review the judgment of the trial court upon the pleadings in the case, and accordingly said Ohio Bureau of Credits, Inc., a corporation, as appellant brings its appeal to this court, and assigns as error the judgment of the trial court sustaining defendant’s demurrer to plaintiff’s complaint, and also the action of the trial court in rendering judgment in favor of the defendant and in holding that the judgment sued upon was not enforceable in the courts of Alabama.

It is the insistence of appellant that the. trial court, by its rulings, has violated the full faith and credit clause of the Constitution of the United States, to the prejudice of the appellant, in sustaining defendant’s demurrer to plaintiff’s complaint and in rendering judgment for the defendant. It is the insistence of the appellee that the trial court did not err in sustaining the demurrer to the complaint, and did not err in rendering a judgment in favor of the defendant, but was fully justified in each instance under the authority of Monarch Refrigerating Co. v. Faulk, 228 Ala. 554, 155 So. 74, and appellee insists that the sole question involved upon this appeal is, “Will this court overrule said case.”

This court is cognizant of the provisions of Section 7318 of the Code 1923, to the effect that the deeisions of the Supreme Court shall govern the holdings and decisions of the Court of Appeals, but it is the opinion and judgment of this court that the question presented by the appeal in the case at bar is to be differentiated from the question decided and determined by the Supreme Court in Monarch Refrigerating Co. v. Faulk, supra, for reasons which are hereinafter expressed.

The question for decision by this court upon this appeal is whether the Circuit Court of Montgomery County, Alabama, by sustaining the defendant’s demurrer to plaintiff’s complaint, and by denying to plaintiff a recovery upon its judgment obtained in the Municipal Court of Columbus, Franklin County, of the State of Ohio,' has failed to accord to the Ohio judgment the full faith and credit which Art. IV, Sec. 1, of the Constitution of the United States, commands.

Under the provisions of Revised Statutes of the United States, Section 905, 28 U.S.C. A. § 687, enacted under the full faith and credit clause, Art. IV, Section 1, of the Constitution of the United States, the duly attested record of the judgment of a State court is entitled to such faith and credit in every court within the United States as by law or usage it had in the State from which it is taken. Said constitutional provision was declared by the Supreme Court of the United States in the case of Hampton v. McConnel, 3 Wheat. 234, 4 L.Ed. 378 (opinion by Chief Justice Marshall) to mean — “that the judgment of a state court should have the same credit, validity and effect, in every other court in the United States, which it had in’ the state where^ it *520 was pronounced, and that whatever pleas would be good to a suit thereon in such state, and none others, could be pleaded in any other court in the United States.” This construction of said constitutional provision has never in reality been departed from by the Supreme Court of the United States although there are expressions by way of dictum in some of the cases from that high court which might indicate the contrary, as is pointed out in the case of Fauntleroy v. Lum, 210 U.S. 230, 28 S.Ct. 641, 52 L.Ed. 1039, which case it is declared in the minority opinion had the effect of overruling the cases of Wisconsin v. Pelican Ins. Co., 127 U.S. 265, 8 S.Ct 1370, 32 L.Ed. 239; Anglo-American Prov. Co. v. Davis Prov. Co., 191 U.S. 373, 24 S.Ct. 92, 48 L.Ed. 225, which are cited and quoted in the case of Monarch Refrigerating Co. v. Faulk, supra. However this may be, the Supreme Court of the United States in the late case of Titus v. Wallick, 306 U.S. 282, 59 S.Ct. 557, 562, 83 L.Ed. 653, where attack was made upon a court judgment from the State of New York in a State court of the State of Ohio upon the ground of fraud, the doctrine declared by Chief Justice Marshall .in the case of Hampton v. McConnel, supra, was again followed with approval, as shown by the following quoted excerpt from said opinion:

“It is the judgment and not the cause of action' which gave rise to it for which credit is claimed, and the constitutional mandate requires credit to be given to a money judgment rendered on a civil cause of action in another state, even though the forum would have been under no duty to entertain the suit on which the judgment was founded. Christmas v. Russell, 5 Wall. 290, 18 L.Ed. 475; Fauntleroy v.

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Bluebook (online)
199 So. 246, 29 Ala. App. 515, 1940 Ala. App. LEXIS 72, Counsel Stack Legal Research, https://law.counselstack.com/opinion/ohio-bureau-of-credits-inc-v-steinberg-alactapp-1940.