Potts v. Longest & Tessier Co.

103 S.E. 279, 86 W. Va. 157, 1920 W. Va. LEXIS 89
CourtWest Virginia Supreme Court
DecidedApril 13, 1920
StatusPublished
Cited by2 cases

This text of 103 S.E. 279 (Potts v. Longest & Tessier Co.) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Potts v. Longest & Tessier Co., 103 S.E. 279, 86 W. Va. 157, 1920 W. Va. LEXIS 89 (W. Va. 1920).

Opinion

Ritz, Judge:

The Fifth Avenue Baptist Church of Huntington, West Virginia, desiring to construct a new church building, on the 27th of Hovember, 1916, through a building committee, entered into • a contract with' the defendant Longest & Tessier Company, a corporation, for the construction of such church edifice, for the sum of $92,573.09. The contract was signed by “Fifth Avenue Baptist Church,” as well as by the individual members of the building committee, and by the Longest & Tessier Company. By the terms of this contract the contractor agreed to give bond conditioned for the performance of the contract upon its part, and the defendant United States Fidelity & Guaranty Company became surety upon this bond in the penalty of $46,286.54. The bond is payable to “Fifth Avenue Baptist Church of Huntington, West Virginia, represented by the, following duly authorized building committee appointed by the congregation of said church, J. L. Hawkins, Chairman, B. L. Hutchinson, W. L. Rece, W. L. Robinson and J. R. Marcum.” The contractor entered upon the work, but before its completion failed financially and went into bankruptcy. The bankrupt court, deeming the contract an unprofitable one, declined to direct the trustee to [159]*159complete) it. Tie Guaranty Company was then called upon by the church to complete the building, there being a condition in the bond that in case the contractor failed the Guaranty Company, if it desired to do so, should have the right to complete the contract. The Guaranty Company declined to complete the building under the contract, and the same was prosecuted to completion by the, church authorities for a sum considerably in excess of the contract price, and this suit was brought to recover upon the bond the difference between the contract price and the, amount spent by the church in the construction of the building. The suit was instituted by J. LT. Potts, J.. H. Cam-mack, Homer Bell and B,. L. Hutchinson, Trustees of the Fifth Avenue Baptist Church of Huntington, West Virginia, and a declaration was filed in their names assigning the breaches of the conditions of the bond, as above stated, and claiming damages to the amount of the penalty „ thereof. The, defendant Guaranty Company demurred to the declaration upon the ground that the trustees of the church could not maintain the suit for the, reason that their powers are prescribed by chapter 57 of the Code, and that among the powers conferred upon them is not the right to prosecute such a suit as. this, and for the further reason that the obligee in the, bond is the Fifth Avenue Baptist Church of Huntington, West Virginia, represented by the building committee named, and not the trustees, and further because the contract set up and relied upon, to secure the performance of which the bond was give,n, and also the bond, are invalid and not enforceable in a court of law. This demurrer was overruled, and the plaintiffs thereupon, asked leave to file an amended declaration, which leave the co.urlj granted over the objection of the, defendant Guaranty Company. The only difference in the two declarations 'is that in the amended declaration, in addition to the allegations contained in the original one, is the further charge that the suit is brought by the plaintiffs for and on behalf of all of the members of said church, and further that the plaintiffs are members of said church, and are the duly authorized trustees thereof, and have been regularly authorized by the congregation which consists of more than twelve hundred members to prosecute the suit. A demurrer was likewise filed to this amended declaration, the grounds thereof being prac[160]*160tically the same as the grounds for the demurrer to the original declaration, except the additional ground is assigned that by the amended declaration a new cause of action is set up, that it virtually presents a different suit from that set up in the original declaration. This demurrer was likewise overruled, and thq questions arising upon said demurrers certified to this Court for decision.

It is earnestly insisted that the amended declaration presents ' a cause of action different from that presented by the original declaration, and for that reason it is urged that it should not have been allowed to be filed, the argument being that the first . declaration is filed by the trustees of the church, and the claim asserted by them* while the amended declaration seeks to assert a claim by the same parties, but in their names as members of the congregation, and on behalf of the whole congregation, and not in their character as-trustees.. It is true the amended declaration does charge that the plaintiff’s trustees are members of the congregation of the Pifth Avenue Baptist Church, and that the congregation of said church is composed of more than twelve hundred members, and that the suit is brought on behalf of themselves and all other members of the church. This does not ,make any different cause of action or seek to introduce any new plaintiffs in the suit. It is simply a more explicit statement of the representative capacity in which the plaintiffs sue, and is intended to make it perfectly plain that the language, “Trustees of the Pifth Avenue Baptist Church” is not descriptive of their persons, hut that the suit is for the benefit of the congregation of that church, and that the, plaintiffs have no interest in the cause of action other than as members of that congregation. It may be that the original declaration sufficiently showed the representative capacity in which plaintiffs were suing, but whether it did or not there could be no objection to this matter being more explicitly and plainly declared.

It is urged that inasmuch as this bond is not payable to plaintiffs as trustees, but is payable- to the Pifth Avenue Baptist Church, represented by a certain named building committee, the trustees cannot maintain the action; that it could only he maintained in the name of the building committee named therein. The bond on its face shows that the members of the building [161]*161committee are not the obligees. They are, simply represented to be the agents of the church for the purpose of carrying on its building operations. The real obligee named in the bond is the Fifth Avenue Baptist Church of Huntington, West Virginia. Of course it is well known that this organization is a voluntary association for religious purposes. It cannot under our law be a corporation, and if the strict rules of the common law still prevailed the suit would have to be brought in the names of all of the members, of the congregation constituting the voluntary religious association of the Fifth Avenue Baptist Church of Huntington, West Virginia. There would be no different situation than if the bond were payable to a partnership by its firm name. 'Suit would have to be brought thereon by the individual partners trading by the designated partnership name. And the fact that it appears from the obligation that the obligee, was represented by certain agents does not constitute those agents obligees in the bond any more than would be the, case if the bond were payable to a certain business partnership represented by a certain agent duly authorized thereto. No one would evex "think of bringing suit upon such a bond in the name of the agent. So ■ in this case whatever suit may be maintained upon this bond" must be maintained bv the Fifth Avenue Baptist Church of Huntington, West Virginia, the obligee therein.

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Bluebook (online)
103 S.E. 279, 86 W. Va. 157, 1920 W. Va. LEXIS 89, Counsel Stack Legal Research, https://law.counselstack.com/opinion/potts-v-longest-tessier-co-wva-1920.