Osborne v. Parker

66 A.D. 277, 72 N.Y.S. 894
CourtAppellate Division of the Supreme Court of the State of New York
DecidedNovember 15, 1901
StatusPublished
Cited by3 cases

This text of 66 A.D. 277 (Osborne v. Parker) is published on Counsel Stack Legal Research, covering Appellate Division of the Supreme Court of the State of New York primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Osborne v. Parker, 66 A.D. 277, 72 N.Y.S. 894 (N.Y. Ct. App. 1901).

Opinion

Spring, J.:

.'The amendment to section 2863 of the Code of Civil Procedure,, giving a justice of the -.peace jurisdiction of a demand against an executor or administrator, was added by chapter 527 of the Laws of 1895, and vests that official with authority “ where the amount of, the claim is less than the sum of fifty dollars, and the claim has-been duly presented to the executor or administrator and rejected - by him.” . ;

Is the claim in the present case the one presented and rejected, or the amount of that claim, less the counterclaim allowed by the-referee ?

The counterclaim was for borrowed money, was entirely independent of the claim presented, and existed against the plaintiff; and one Osborne. .It was optional with, the defendant whether this was offered as a counterclaim. The defendant might elect to sue the two makers of the note in a separate action, preferring to-, recover judgment against both of them -than risk the hazard of collecting against the plaintiff. The defendant had disputed- the-claim presented, and the controversy upon the trial was wholly over that demand. If the defendant succeeded in defeating that demand-she probably could not recover any affirmative judgment against the plaintiff. (Mowry v. Peet, 88 N. Y. 453 ; Eldred v. Eames, [280]*280115 id. 401.) And even if that were possible she might hot desire it. The plaintiff by admitting the validity of the note- could not confer'jurisdiction upon the justice. The defendant had control of the counterclaim, not the plaintiff or the justice: If the counter-, claim had exceeded the claim presented -by forty dollars, and Osborne, the other maker of the note* had resided in Suffolk county,, and all the note except the -forty dollars had been allowed as a counterclaim against the protest of the defendant and applied in. extinguishment of the plaintiff’s claim,-if the plaintiff were irresponsible, that determination ’would leave the 'defendant to recover the balance due upon the note in a suit in a Justice’s Court againsOsborne in the county of Suffolk. The court would have no' right to put the defendant to that extremity against her will. The point is that where the person sued upon a demand has a claim not arising out of the transaction which gave birth to the cause of action sued upon, there is no obligation that the defendant must have his claim determined in the forum chosen by the plaintiff. Jurisdiction cannot be bestowed upon a court of limited power todétermine a demand' where that' jurisdiction depends upon an' admission of a claim of this kind. The defendant has the sole dominion over his claim, and it rests with him to present it or not as he likes. It does not become a counterclaim until he consents te make it so. If the plaintiff in this case had brought her action in a Justice’s Court, and proved her claim and rested, a dismissal of her cause of action would have followed, because not within the jurisdiction of the justice. If she had admitted the claim and sued for the balance, the defendant could still have refused to submit the validity of her claim' to be determined. She might not wish to-have complicated it with the one she was contesting, and it could not be dragged in without her consent.

The' soundness of this conclusion is well illustrated by another subdivision of this same Code section. A justice of the peace has no jurisdiction where the sum total of the accounts of both parties proved to the satisfaction of the justice exceeds four hundred dollars.” (Code Civ. Proc. § 2863, subd. 4.) In construing this provision, or rather a like provision in the Revised Statutes, the courts have repeatedly held jurisdiction was not conferred by the plaintiff admitting the demands of the defendant as a set-off or counterclaim [281]*281where the two claims exceeded $400. In Lund v. Broadhead (41 How. Pr. 146) the plaintiff sued in the Supreme Court on a claim of $450 and admitted that the defendant had a counterclaim or set-off to the plaintiff’s account amounting to $409.13. On the trial he recovered $40.87, and costs were taxed in his favor. On the motion for their readjustment on the ground that the justice of the peace had jurisdiction, Judge Marvin, in a well-considered opinion, held that the admission of the counterclaim did not bring the action within the compass of a justice of the peace; that only by payments or where it appeared by the complaint “ that the parties had settled the accounts and struck a balance” could the action be maintained in a Justice’s Court. The learned judge says (at p. 150): “ The admission is that the defendants have a counterclaim or set-off and the plaintiff asked judgment for the balance. Suppose the defendants had denied the complaint and had not plead a counterclaim or set-off, what would have been the condition of the plaintiff ? If the demands of the defendants were counterclaim or set-off, tlie plaintiff had no power to apply them in the reduction of his • account. If the defendants refused to plead and prove their counterclaim or set-off, they could have sued and recovered the whole amount, and if the plaintiff had contented himself with a judgment for the balance, he might be subjected to great loss.” (See, also, Griffen v. Brown, 35 How. Pr. 372; Sherry v. Cary, 111 N. Y. 514, 517 ; Lablache v. Kirkpatrick, 8 Civ. Proc. Rep. 340; Hayes v. O' Reilly, published in connection with case last cited at page 347.)

It is contended that inasmuch as the Code of Civil Procedure, section 2718, provides that the executor or administrator may require the claimant to support his claim by his affidavit, “ that no payments have been made thereon and that there are no offsets against the same to the knowledge of the claimant,” that the real claim is the sum unpaid after deducting whatever offsets or counterclaims may exist. This provision was operative long before the amendment of the Code of Civil Procedure mentioned giving courts of the justice of the peace jurisdiction in entertaining claims under fifty dollars against an executor or administrator. (See 2 R. S. [4th ed. 1852], pt. 2, chap. 6, tit. 3, § 40 [35] p. 274.) The object of this requirement is to prevent imposition upon estates of [282]*282decedents^ not to confer jurisdiction upon a court. To quote from Dayton on Surrogates (at p. 851): “ The object of requiring the affidavit of the creditor is not. to prove the existence of the debt, as it is not evidence for that purpose. But it is to prevent the exhibition of fictitious claims against the estate of the decedent .which have been discharged by him in his lifetime; and also to prevent the allowance of claims against which there existed a legal off-set, known only to the party presenting such claim, and which those who aré interested in the estate of the decedent may be unable to establish by legal proof.”

If the plaintiff had sued her claim before a justice of the peace admitting in her complaint the validity of the counterclaim, and the defendant had answered by a general denial, the latter could have sued the admitted counterclaim, recovered a judgment thereon, and collected it, perhaps, during the pendency of the action in the Justice’s Court. In that event it would not be contended that the justice had jurisdiction unless the plaintiff was willing to relinquish the major part of her demand. During the pendency of .this action before the justice of the peace she might have sold the note, vesting a good title in the purchaser.

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Bluebook (online)
66 A.D. 277, 72 N.Y.S. 894, Counsel Stack Legal Research, https://law.counselstack.com/opinion/osborne-v-parker-nyappdiv-1901.