Perkins v. Benguet Consolidated Mining Co.

95 N.E.2d 5, 88 Ohio App. 118, 57 Ohio Law. Abs. 533
CourtOhio Court of Appeals
DecidedJanuary 27, 1950
DocketNos. 181 and 182
StatusPublished
Cited by5 cases

This text of 95 N.E.2d 5 (Perkins v. Benguet Consolidated Mining Co.) is published on Counsel Stack Legal Research, covering Ohio Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Perkins v. Benguet Consolidated Mining Co., 95 N.E.2d 5, 88 Ohio App. 118, 57 Ohio Law. Abs. 533 (Ohio Ct. App. 1950).

Opinion

OPINION

Per CURIAM:

Two actions were commenced in the Court of Common Pleas of Clermont County. Service of summons was made in each ease upon the defendant, by delivering to John W. Haussermann a copy of such summons. He was so served as “Parent, President, and General Manager, Controlling Member, and the duly authorized representative in the United States” of the defendant.

Motion i to quash, with proper reservation as to appearance, were filed and sustained by the trial court. From such ruling of the trial court, appeals on questions of law have been taken by the plaintiff and are now herein considered.

Essentially, two main issues are presented to this court.

(a) Is the defendant a foreign corporation within the purview of the law of Ohio?

(b) If so, was the defendant doing business in Clermont County at the time summons was made upon Haussermann?

No difficulty is encountered in returning an affirmative answer to the first query. It appears to be clearly demonstrated by the record that the defendant is a corporation organized and existing under the laws of the Phillipines, and, therefore comes within the provisions of §8625-2 GC, defining the terms “Foreign Corporation” and “State.”

The articles of incorporation and the applicable Phillipine law sustain this conclusion.

The second query is not so easily disposed of and involved consideration of many authorities, which, at least, seem to be conflicting.

The facts upon which plaintiff predicates her claim that the defendant was in this State and doing business in Clermont County are as follows:—

(1) The defendant “opened accounts in The First National *535 Bank of Cincinnati and the New Richmond National Bank of New Richmond, Ohio (Clermont County) in January and April of 1942, respectively, in the name of its President John W. Haussermann.”

(2) “The accounts remained open for five years until April, 1947.” “Considerable activity was revealed throughout the entire period of their existence, but particularly in the last eighteen months.”

(3) “No one but John W. Haussermann ever possessed the authority to draw on these accounts.”

(4) Neither Bank has in its possession any authority, either by way of corporate resolution or otherwise, for the establishment of these accounts.”

(5) “A directors’ meeting of the Benguet Consolidated Mining Company was held at Pond Run Farm, the New Richmond home of Haussermann on January 23, 1946, at which meeting authority was given to the First National Bank to act as transfer agent for the transfer of shares of the Benguet Company stock.”

(6) “The First National Bank so acted as transfer agent from that date on.”

(7) “The Bank is a true transfer agent to the extent that no separate authority nor individual correspondence is required from the principal office of the Company in Manila to effect the transfer of shares of stock.”

(8) An office was maintained in a New Richmond Bank Building — claimed not used for any purpose in connection with the bank.

(9) Two secretaries employed by Haussermann in such, office.

(10) Haussermann seen daily at such office.

(11) Haussermann admits possession of the Perkins’ stock— now in dispute in these actions.

(12) Deposits of defendant’s funds were made from Haussermann’s office in local banks.

(13) Defendant “had applied for and secured a Foreign Funds’ Control Commission license for the expenditure of Twenty-two Thousand ($22,000.00) Dollars for office rent and salaries in the United States.”

(14) Correspondence by Haussermann with local banks— pertaining to “handling and payment of the various funds and credits on deposit * ? * directing of forwarding drafts on New Richmond Bank to various individuals and companies throughout Ohio and the United States.”

(15) Haussermann signed “purchase orders for various supplies and machinery which were to be shipped to the Company’s mines in the Phillipines.”

*536 (16) Haussermann signed checks for obligations of the company thus incurred.

(17) “In the registration statements filed with the Securities Exchange Commission, he styles himself the President, General Manager, and the duly authorized representative of the Benguet Consolidated Mining Co. in the United States.”

(18) At a directors’ meeting held as late as January 28, 1946, at Haussermann’s house, The First National Bank of Cincinnati was designated as transfer agent for Benguet and no separate authority from Manila or elsewhere is necessary to effect a transfer of shares.”

(19) “Haussermann maintains an office in the New Richmond Bank Building.”

(20) “He employs two secretaries in that office.”

(21) “Considerable correspondence about Benguet was carried on from this office concerning Foreign Funds Control Commission license, handling and payments of funds, forwarding drafts and the like.”

(22) “Here in New Richmond, Haussermann admitted he signed purchase orders for supplies and machinery and signed checks for the payment of them.”

(23) “Haussermann received as a salary as President and General Manager of the Company in 1945 the sum of $12,000.00, and $12,000.00 as President and General Manager of Balatoc.”

24) “Albert, Assistant Secretary, Jean M. Gorrdon, Assistant to the President, who was in New Richmond, and Francis O. Haussermann all were paid salaries in 1946.”

(25) “Officer’s salary, office rent, secretarial help and the like were all paid for by the activities Haussermann carried on in New Richmond.”

On the other hands, the defendant points to the following evidence, claimed to sustain the conclusion that the defendant was not in Clermont County — and did not “do business” therein:

(1) The defendant is a corporation created and existing under the laws of the Phillipines and engaged in the business of mining gold and silver in the Phillipine Islands.

(2) The corporation, as such, has never maintained am office in the State of Ohio.

(3) It has never sold any gold or silver in Ohio.

(4) “No production of gold or silver having taken place because of the War since December, 1941 to the date of these suits.”

(5) John Haussermann lived in the Phillipines since 1898.

*537 (6) He is the Company’s president and general manager, and has been such for many years.

(7) He organized the Company in 1903.

(8) “He came to Ohio in May, 1941, to attend to personal family matters with reservations to return to the Phillipines in September, 1941.”

(9) He was prevented from so returning to the Phillipines by War restrictions which cancelled his reservations of September, October, and November, 1941.

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Bluebook (online)
95 N.E.2d 5, 88 Ohio App. 118, 57 Ohio Law. Abs. 533, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perkins-v-benguet-consolidated-mining-co-ohioctapp-1950.