Orange Nat. Bank v. Goodman & Beer Co.

150 So. 676
CourtLouisiana Court of Appeal
DecidedNovember 13, 1933
DocketNo. 14507.
StatusPublished
Cited by1 cases

This text of 150 So. 676 (Orange Nat. Bank v. Goodman & Beer Co.) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Orange Nat. Bank v. Goodman & Beer Co., 150 So. 676 (La. Ct. App. 1933).

Opinion

JANVIER, Judge.

Plaintiff seeks to recover attorney’s fees and other amounts which it alleges it was compelled to pay as the result of the illegal issuance of a writ of sequestration obtained at the instance of defendant and under which certain property of plaintiff was seized.

The Rogers Milk Products Company, Inc.; a corporation in New Jersey, shipped to New Orleans a carload of milk.

The milk was intended for defendant Goodman & Beer Company, Inc., in New Orleans, and the bill of lading was what is commonly known as a “shipper’s order notify” bill; the carrier being given instructions to notify the Goodman & Beer Company, Inc., upon arrival of the shipment in New Orleans. When the milk arrived, the Goodman & Beer Company was duly notified. It appears that the Rogers Company was indebted unto the Goodman & Beer Company in a sum greater than the value of the milk, and the latter company understood that the shipment had been made as a credit against the said amount which was due it. Therefore, when the bill of lading appeared in a New Orleans bank, attached to a draft against the Goodman & Beer Company, that company, believing that the milk belonged to it, caused to be issued a writ of sequestration, and under it the civil sheriff seized and took into his possession the said bill of lading.

Thereupon the present plaintiff, Orange National Bank of Orange, N. J., filed with the civil sheriff an affidavit in which it was stated that the bill of lading was the property of the said bank and not of the Rogers Com7 pany. Upon presentation of the said affidavit, the bank, through its representative, demanded the release to it of the said bill of lading.

The Goodman & Beer Company then, filed with the civil sheriff what is known as a forthcoming bond, and accordingly the sheriff refused to surrender the bill of lading to the representatives of the bank.

The bank then intervened in the sequestration suit, and, claiming ownership of the said bill of lading, sought possession thereof and prayed for dissolution of the writ of sequestration.

In that suit, which was No. 146332 of the docket of the civil district court, there was judgment in favor of the bank maintaining its right to the said document and dissolving the said writ.

However, when the bank obtained the bill of lading and demanded of the delivering carrier the property described, it developed that the said carrier had already, without requiring the production of the bill of lading, delivered the shipment of milk to the Goodman & Beer Company.

This was done under an agreement between *677 the delivering carrier and the Goodman & Beer Company, which is said to be customarily in effect between carriers and responsible consignees, and under which the said consignees furnish in favor of the carriers surety bonds to indemnify the carriers against loss resulting from making deliveries prior to arrival of the hills of lading.

It often happens that shipments arrive before the shipping documents, and, where perishable goods ax-e involved, it is highly desirable that they be unloaded and disposed of as soon as possible. Therefore the railroads have permitted the establishment of the custom of allowing delivery to be made to the apparent consignee upon the furnishing of such surety bond.

The delivering carrier in this instance had made delivery under such a bond, and consequently could not deliver the shipment to the repi'esentatives of the bank when the bill of lading was presented. Thereupon the bank, in a separate suit, claimed of the carrier the value of the said shipment, and ultimately obtained judgment, which has been paid.

The present suit has as its object the recovery of four items of alleged damage which are claimed to have been sustained by the bank. The defendants are the Goodman & Beer Company, Inc., at whose instance the writ of sequestration was issued, and the Union Indemnity Company, surety on the forthcoming bond which was furnished to the sheriff by the Goodman & Beer Company. The items of damage claimed are as follows: (1) $375 attorney’s fees alleged to have been paid to the attorneys’ who were successful in dissolving the writ of sequestration; (2) $450 attorney’s fees alleged to have been paid to the attorneys who successfully prosecuted the suit against the delivering carrier; (3) $26.-25 alleged to have been paid for the printing of a brief which was filed in the suit against the delivering carrier; and (4) $124.77, which is said to represent the difference in interest between the legal rate allowed in New Jersey, 6 per cent., and the legal rate in Louisiana, 5 per cent.

In the district court the claim for additional interest, the claim for costs of printing briefs, and the claim for attorney’s fees for prosecuting the suit against the delivering carrier were rejected, and judgment was rendered for plaintiff fon $300; that being the amount shown to have been paid by the bank to the attorneys who were successful in dissolving the writ of sequestration. When evidence was tendered in support of the claim for the attorney’s fees paid for prosecuting the suit against the delivering carrier, that evidence was rejected by the* district court on the ground that that item of damage could not be presented as a elaixn against the present defendant, since it was too remote from the original alleged cause of the said damage, to wit, the issuance of the writ of sequestration.

From the judgment rendered below, the Goodman & Beer Company has appealed, and the Orange National Bank has answered the appeal, but has apparently abandoned its claim for costs of printing briefs and for additional interest and for the additional $75 claimed as attorney’s fees in the sequestration suit, and has limited the claim made in the said answer to the appeal to the $450 fee alleged to have been paid to the attorneys who prosecuted the suit against the carrier.

Appellant maintains that even the fee of $300 should not have been allowed because of the fact that, in provoking the issuance of the writ of sequestration, it acted in good faith and in the firm belief that it was in reality entitled to the bill of lading, and appellant declares that not in every case is one who is successful in dissolving a writ of sequestration entitled to be reimbursed attorney’s fees and other damages,, but that such is to be permitted only where the writ is sued out recklessly and without probable cause.

Appellant further asserts that, even if a fee is chargeable against it, the amount awarded is excessive and should be substantially reduced, and that, in fixing such fee, a court should be guided, not by the charge made by the particular attorneys in the particular ease, but should limit its consideration to the question of what would be a fair and reasonable fee, taking into account the amount involved, the labor expended, and the ability and experience of the attorneys.

That an attorney’s fee was necessarily incui-red for the dissolution of the writ of sequestration and that such fee is an element of damage is, we believe, well settled. In 17 Corpus Juris, p.

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Bluebook (online)
150 So. 676, Counsel Stack Legal Research, https://law.counselstack.com/opinion/orange-nat-bank-v-goodman-beer-co-lactapp-1933.