People ex rel. Nelson v. Marsh

82 A.D. 571
Appellate Division of the Supreme Court of the State of New York·Decided July 1, 1903·Published·Cited by 2 cases

Opinion

Goodrich, P. J.:

■ In June, 1898, the relator obtained an order directing the issuance of an alternative writ of mandamus commanding the individual defendants who had been appointed commissioners under chapter 888 of the Laws of 1869 (amdg. R. S. pt. 3, chap. 8, tit. 16), commonly known as the Drainage Act, and also the city of New York, as' successor of the town of Southfield, Richmond county, and the supervisors of said county, to levy the assessment provided for in said act and the acts amendatory thereof, and to proceed to collect so much of such assessment as should be necessary to pay certain certificates or evidences of indebtedness and interest thereon, the principal being $4,000 and the interest $8,106, such certificates having been issued by the said commissioners under the order of the County Court of Richmond county, in July, 1872, for money borrowed by them to carry on certain drainage improvements in the town of Southfield, ■ and requiring the commissioners, if any preliminary acts or proceedings were necessary toward the payment of said certificates, to take such acts.

[573] The city and the commissioners filed separate returns to the writ, in which, among other defenses, they set up the following: “ That the alleged cause of action of the relator, plaintiff herein, and of his vendors and prior owners and holders of the said bonds, set forth in said alternative writ, and their right to the relief herein demanded and to enforce the remedy herein sought by the said writ of alternative mandamus, accrued more than six years, more than ten years and more than twenty years before the commencement of this proceeding. That during all that time they have taken no steps or proceedings to prosecute or enforce their said rights or remedies, but have been guilty of gross negligence and laches in the same, and are now barred therefrom under the Statute of Limitations and by equitable rules applicable to the same.”

The issues came on to be tried at Richmond Trial Term, Mr. Justice Keogh presiding. At the close of the relator’s evidence the defendants moved for the direction of a verdict in their favor. The relator moved for permission to go to the jury on various questions of fact, but the court denied the motion and directed a verdict for the defendants and the relator excepted. The verdict was entered and the relator moved for a new trial on the minutes and to set aside the verdict. This motion was denied and the relator excepted. From the judgment and orders appeal comes to this court.

While the record is voluminous and the briefs elaborate, the facts may be stated very concisely. In August, 1869, certain residents of Richmond county presented to the county judge of that county a petition for the appointment of commissioners under the Drainage Act, and the county judge appointed Messrs. Barton, Root and McLean as commissioners to determine whether, in order to drain certain land, described in the petition, it was necessary that a ditch or drain for the passage of water should be opened through adjacent lands and whether it was necessary for the public health that the land named in the petition should be drained. The commissioners met and after viewing the lands reported in favor of draining the same and of the necessity of opening ditches on adjacent lands. This report was dated and filed in June, 1870. In May, 1871, the commissioners resolved that additional lands ought to be included in the drainage district, and in September, 1871, [574] application was made to the County Court for such inclusion, and the court appointed the same commissioners as before.

Meantime, in July, 1871, the commissioners applied to the County Court for permission, and were authorized, to borrow $20,000 to carry on the work and to issue certificates or evidence of indebtedness ” in a form set out in the order, in which the precise date of maturity was left blank. The certificates, however, which were dated June 29, 1872, contained a clause making them payable July 1, 1875, or sooner upon the completion and collection of the assessment as provided in the Drainage Act (See §§ 10, 11, as amd.). Four of these certificates, each for $1,000, which were in manuscript, were issued and came into the hands of the relator, for value. They were afterward exchanged for bonds which were issued in pursuance of an order of the county- judge, made in June, 1872, authorizing the commissioners to borrow $40,000 and issue bonds therefor. It may also be noticed that under several orders made by the county judge the commissioners were authorized to borrow in all about $165,000, so that the amount involved in this litigation amounts with interest to about half a million of dollars. T.he bonds were by their terms payable on July 1, 1878, “or sooner upon the completion of the assessment for the drainage aforesaid and the collection thereof with interest on said sum" at-the rate of seven per cent.” Since that time the defendants Marsh and Christopher have been appointed commissioners in place of Barton and McLean. In June, 1872, the two proceedings were consolidated by order of the County Court.

At the threshold of our examination we are confronted with two questions, laches and limitations. As to laches it appears, and the relator’s -counsel says in his brief, that the work of drainage was “ practically accomplished ” before the commencement of the proceeding in Matter of Marsh (71 N. Y. 315), which was begun on June 10, 1875. (See Matter of Marsh, 10 Hun, 50.) Defendants’ counsel says in his brief that the commissioners stopped work in 1873, and such is the evidence also. The Court of Appeals decided the Marsh Case (supra) in November, 1877. After 1873 nothing appears to have been done in regard to making the drains or taking proceedings for the levying of any assessment to pay the bonds, and the commissioners^ on May 23, 1878, passed a resolution [575] instructing counsel to take proceedings for “ dissolving this commission.” Meanwhile the drains were falling into decay and, being stopped up, were flooding the lands in various places.

The validity of the bonds and the legality of their issue had been already determined in a proceeding for, and the granting of, an alternative writ of mandamus issued out of the Supreme Court, in March, 1873, by which the commissioners were ordered to issue the bonds or show cause to the contrary. In April the court issued a peremptory writ ordering the commissioners to issue the bonds, and they filed their return to the writ, showing that in compliance with the writ they had issued them. Meanwhile the ownership of some of the lands has changed. The United States government has acquired title to other parts of them, and the situation of parties interested has thus materially altered, yet during the twenty-three years which followed the abandonment of the enterprise the relator has slept upon his rights and only begun this proceeding on June 28, 1898, Even if he was lulled into inaction by the proceedings under review in Matter of Ma/rsh (supra), that proceeding was terminated in November, 1877. A more palpable ease of laches can hardly be stated, and the court would have been justified in dismissing the writ as matter of discretion. It appears, however, that the court directed the judgment on the merits, so that it becomes unnecessary to consider whether or not there was a fair exercise of discretion.

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People ex rel. Nelson v. Marsh, 82 A.D. 571 (N.Y. Ct. App. 1903).

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