Perry v. Pye

102 N.E. 653, 215 Mass. 403, 1913 Mass. LEXIS 1416
CourtMassachusetts Supreme Judicial Court
DecidedJune 17, 1913
StatusPublished
Cited by36 cases

This text of 102 N.E. 653 (Perry v. Pye) is published on Counsel Stack Legal Research, covering Massachusetts Supreme Judicial Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Perry v. Pye, 102 N.E. 653, 215 Mass. 403, 1913 Mass. LEXIS 1416 (Mass. 1913).

Opinion

Braley, J.

The original bill and the bill as amended are framed with a double aspect. If the plaintiff’s debt is established he asks in the second paragraph that an equitable set-off be made of any judgment which the defendant Pye may recover against him in a pending action at law; while in the third, fourth and fifth paragraphs he seeks to reach and apply in payment the amount of a judgment recovered by this defendant against the steamship company. The defendant Daggett did not become a party until the master to whom the case was referred had prepared his draft report, and the plaintiff thereupon had amended the bill by joining as defendants all parties interested in an assignment of the claim against the company, given by Pye to the defendant Young. It is true as to the defendant Daggett that by the allegations he is connected only with the claim set forth in the third paragraph. But his demurrer is not on the ground that the bill is multifarious. If he did not care to raise this question, he cannot avail himself of possible objections to the misjoinder of causes and the prayers for relief which do not concern him, but affect only the defendant Pye, who has answered generally. Davis v. Peabody, 170 Mass. 397. The demurrer was rightly overruled.

The master’s report having come in, it was disclosed that the defendant Daggett held an assignment from Pye of-the claim against the plaintiff described in the second paragraph, and that he also was interested and protected as a creditor of Pye under the assignment to the defendant Young. It further appears that before he became a party he had appeared before the master, both as coun[410]*410sel and as an important witness in support of his alleged rights, where the case was fully tried upon the merits, and that he has no interest in the litigation except as an assignee. The order under these circumstances denying his motion to have issues framed for a jury having been within the discretion of the single justice, it should be affirmed, even if it is reviewable on appeal. Jones v. Keen, 115 Mass. 170, 180. Ginn v. Almy, 212 Mass. 486, 494.

We pass to the exceptions to the master’s report. It contains copious recitals of the evidence, with a full statement of the respective claims of the parties, which are shown to have been exhaustively contested. A careful perusal, however, is insufficient to show plainly that the master’s findings of fact, based upon irreconcilable testimony, are erroneous, and all of the exceptions which depend upon a reversal of his conclusions must be overruled. Ginn v. Almy, 212 Mass. 486.

The exceptions to the master’s rulings and the nature of the decrees to be entered upon the report, are left for decision.

The plaintiff acquired the promissory note in suit by the indorsement of one Farquhar, the payee, and, having been vested with the legal title, he can sue in our courts in his own name, although as between himself and the indorser he may be bound to account partially for the proceeds. R. L. c. 73, § 16. Jump v. Leon, 192 Mass. 511, 513, 514. But, the note having been indorsed after maturity, it is contended that the defendant Pye, who is the maker, never became bound, as the delivery of the instrument to the payee was unauthorized. The master’s finding, that one Boak, with whom this defendant had left the note signed in blank, had been clothed with authority to fill in the amount with the date and to deliver the completed instrument to the payee in renewal of a former note, is conclusive, even if, as the defendant urges, the payee knew that Boak was an agent, and more than one inference could have been drawn from the evidence.

The transaction took place in Canada and is governed by the foreign law, put in evidence. Glidden v. Chamberlin, 167 Mass. 486. American Malting Co. v. Souther Brewing Co. 194 Mass. 89. The Canada bills of exchange act, St. of Canada, 53 Vict. 1890, c.33, §20,provides that “where a simple signature on a blank.paper is delivered by the signer in order that it may. be converted into a bill, it operates as a prima facie authority to fill it up as a com[411]*411píete bill for any amount, using the signature for that of the drawer, or the acceptor, ór an indorser; and, in like manner, when a bill is wanting in any material particular, the person in possession of it has a prima facie authority to fill up the omission in any way he thinks fit. In order that any such instrument when completed may be enforceable against any person who became a party thereto prior to its completion, it must be filled up within a reasonable time, and strictly in accordance with the authority given; reasonable time for this purpose is a question of fact.” The inferences to be drawn from the evidence were questions of fact, and the findings that under all the circumstances the defendant’s agent had acted within a reasonable time, in good faith, and had not exceeded his authority, even if the face of the note was slightly less than the amount actually due, left the note a valid undischarged obligation of the defendant. See Ives v. Farmers' Bank, 2 Allen, 236; Boston Steel & Iron Co. v. Steuer, 183 Mass. 140, 146; Lloyd’s Bank, Limited, v. Cooke, [1907] 1 K. B. 794.

In this connection the admission in evidence of the carbon copy of a letter to the payee from his son, to whom, while abroad, he apparently had entrusted the procurement of the note, is to be noticed. The letter stated that the son had received the note from Boak, filled in as the payee desired. The original had been lost or destroyed and could not be produced. Of itself the copy would have been in the. nature of self-serving declarations and inadmissible. But the defendants insisted that the note in suit was a “recent contrivance” to avoid the statute of limitations, because the letters of Boak to the defendant Young substantially stated that the debt had become outlawed before the note was delivered. To meet this specific defense, to which it is strictly limited by the master, the evidence was competent.

It is difficult to see upon what ground the further defense of failure of consideration rests. No contention is made that any part of the original loan had been repaid to Farquhar, and the subsequent bill in equity to collect the note, having been discontinued without prejudice, could not operate either as payment or satisfaction. The master upon his findings correctly ruled that there had been no failure of consideration.

The assignment to Young having been found valid, the proceeds of the judgment" against the steamship company would be ex[412]*412hausted upon distribution among the creditors for whose benefit it had been given, and the bill fails in so far as it seeks to reach and apply any part of this fund in payment of the plaintiff’s debt. Hoshor-Platt Co. v. Miller, 190 Mass. 285, 287. It also results that the claims of the creditors who have been made parties defendant, including the defendant Hall, whose right to participate was heard and allowed by a single justice, and the proportionate part which each should receive, cannot be determined in this suit. Union Trust Co. v. Reed, 213 Mass. 199, 202.

.Nothing is now left but the controversy over the right to set off the plaintiff’s debt, under paragraph two, which has been established by the master.

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Cite This Page — Counsel Stack

Bluebook (online)
102 N.E. 653, 215 Mass. 403, 1913 Mass. LEXIS 1416, Counsel Stack Legal Research, https://law.counselstack.com/opinion/perry-v-pye-mass-1913.