People v. United Theatres, Inc.

76 P.R. 397
CourtSupreme Court of Puerto Rico
DecidedApril 29, 1954
DocketNo. 10942
StatusPublished

This text of 76 P.R. 397 (People v. United Theatres, Inc.) is published on Counsel Stack Legal Research, covering Supreme Court of Puerto Rico primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
People v. United Theatres, Inc., 76 P.R. 397 (prsupreme 1954).

Opinion

Mr. Justice Marrero

delivered the opinion of the Court.

On August 29, 1949, the People of Puerto Rico, represented by its Treasurer, filed a petition in the former Tax Court of Puerto Rico substantially alleging: (1) that it expects to be a party to an action cognizable in that court, but is presently unable to bring it and in order to do so it has to perpetuate the testimony which it prays for; (2) it concerns a tax claim for the amount of $4,593.77 already levied on and owed by the United Theatres, Inc., a corporation organized under our laws and dissolved on or about April 7, 1942; (3) the facts which it desires to establish by the proposed testimony are the following: (a) who were the shareholders and directors of the corporation at the date of its dissolution, and the number of shares and value thereof belonging on said date to each stockholder or director; (6) directors who had charge of the liquidation when the corporation was dissolved and the total value of the property owned by the corporation which passed to the hands of the liquidators; (c) date of the liquidation, if terminated, and amount received or benefit corresponding to each stockholder or liquidator director; {d) debts paid by the corporation in liquidation; (e) if the corporation is still under liquidation, property of the corporation in possession of the liquidators; and that at present and because of the aforesaid liquidation, petitioner is unable to determine the facts enumerated above, and which are essential to the cause of action; (4) that petitioner expects as adverse parties the United Theatres Inc. in liquidation, Rafael Ramos Cobián, as its president, Eduardo G. González, as Vice-president, Julio R. Bruno, as secretary, and Américo Miranda as alternate member without including the treasurer, C. Steward [399]*399Graham, who died, in addition to other stockholders whom petitioner does not know; (5) the persons to be examined on the aforestated particulars are Rafael Ramos Cobián, Eduardo G. González, Julio R. Bruno, and Américo Miranda, whose addresses are specified and all of whom are of age and are not incapacitated. Upon service of this petition, the United Theatres Inc. as well as the persons whose depositions were desired, appeared of record, the former Tax Court of Puerto Rico rendering on April 30, 1951 a reasoned opinion authorizing the taking of the depositions prayed for. Reconsideration was timely sought and it was denied by order of February 24, 1953 of the Superior Court of Puerto Rico, San Juan Part.1 The parties opposed took an appeal. They assign as sole error that the trial court erred “in ordering that depositions be taken in the case herein, in order to .perpetuate testimony under Rule 27 of the Rules of Civil Procedure in view of the fact that according to the aver-ments of the petitioner, his sole purpose is to obtain a discovery of evidence before commencing his action on facts which he does not know and which he desires to clarify in order to be in a position to file a complaint.” They are correct.

Rule 27 of the Rules of Civil Procedure for the courts of Puerto Rico provides, in its paragraph (a) (1) the following:

“(a) Before Action.
“(1) Petition. — A person who desires to perpetuate his own testimony or that of another person regarding any matter that may be cognizable in any court of Puerto Rico may file a verified petition in the district court of the district of the residence of any expected adverse party. The petition shall be entitled in the name of the petitioner and shall show: 1, that the petitioner expects to be a party to an action cognizable in 'a court of Puerto Rico but is presently unable to bring it or cause it to be brought, 2, the subject matter of the expected [400]*400action and his interest therein, 3, the facts which he desires to establish by the proposed testimony and his reasons for desiring to perpetuate it, 4, the names or a description of the persons he expects will be adverse parties and their addresses so far as known, and 5, the names and addresses of the persons to be examined, stating whether any of them is a minor or incompetent, and the substance of the testimony which he expects to elicit from each, and shall ask for an order authorizing the petitioner to take the depositions of the persons to be examined named in the petition, for the purpose of perpetuating their testimony.”

There is wide-spread controversy as to the scope and interpretation of the afore-copied paragraph of Rule 27. However, almost all the authorities and commentaries submitted to us, or which we have been able to find on that subject, are to the effect that “depositions before action” authorized by the Rule only issue to perpetuate testimony which is within the knowledge of the party who desires its perpetuation, but as to which there exists the danger of loss or disappearance, as well as that the Rule may not be employed before a complaint or proceeding is commenced, for the sole and exclusive purpose of discovering evidence in order to frame a complaint. This is so notwithstanding the fact that so-called fishing expeditions are permitted under the Rules of Civil Procedure. Water Resources Authority v. District Court, 66 P.R.R. 796; Rickman v. Taylor, 329 U. S. 495, 507; Bergstrom v. Continental Ins. Co., 7 F.R.D. 548. But this is not the case of a mere fishing expedition. It goes still further.

Let us examine the case law and textwriters regarding the question at issue. Judge Mandelbaum of the District Court of New York, Southern District, In The Matter Of The Petition of Exstein, 7 Fed. Rules Serv. 536, tells us that Rule 27 provides two alternate methods to perpetuate testimony: “the old method — by action to perpetuate testimony under Section 644 of Title 28 U.S.C. (Rule 27 c) — and the new simple method under Rule 27(a)”, that under the old [401]*401method, the purpose of such suit was to preserve known testimony against danger of loss, that it could not be employed to obtain information in order to frame a complaint and that Rule 27 did not enlarge the scope of the old practice. He further states, “I find nothing in the language of the rule itself or in the proceeding before the Advisory Committee appointed to draft the new federal rules to indicate that the rule may be used for purposes other than that permitted under the old practice. On the contrary, I find expression that Rule 27 toas not intended to permit discovery in order to frame the complaint.” (Italics ours.)

Judge Caffey, also of the District Court, Southern District of New York, in the proceeding entitled “Petition of Ferkauf” 7 Fed. Rules Serv. 537, 3 F.R.D. 89, makes the most elaborate study that we have found on a question similar to the one involved herein. He states:

“Although the rule does not in express terms state that it may not be availed of for the sole purpose of framing a complaint, from reading it, together with the other rules dealing with the taking of depositions, rules 26, 28 to 33, it is apparent that it toas not intended to be used for such purpose.

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Related

Arizona v. California
292 U.S. 341 (Supreme Court, 1934)
Hickman v. Taylor
329 U.S. 495 (Supreme Court, 1947)
Hall v. Stout
4 Del. Ch. 269 (Court of Chancery of Delaware, 1871)
In re Ferkauf
3 F.R.D. 89 (S.D. New York, 1943)
In re Johanson Glove Co.
7 F.R.D. 156 (E.D. New York, 1945)

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Bluebook (online)
76 P.R. 397, Counsel Stack Legal Research, https://law.counselstack.com/opinion/people-v-united-theatres-inc-prsupreme-1954.