Radford v. First Nat. Bank

142 P. 362, 71 Or. 84, 1914 Ore. LEXIS 157
CourtOregon Supreme Court
DecidedJune 2, 1914
StatusPublished
Cited by3 cases

This text of 142 P. 362 (Radford v. First Nat. Bank) is published on Counsel Stack Legal Research, covering Oregon Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Radford v. First Nat. Bank, 142 P. 362, 71 Or. 84, 1914 Ore. LEXIS 157 (Or. 1914).

Opinion

Mr. Justice Ramsey

delivered the opinion of the court.

The plaintiffs are a partnership having their principal office at North Powder, Union County. The defendants are banking corporations, one doing business at Union and the other at North Powder.

On or about November 1,1910, the plaintiffs entered into a contract with C. H. Hall, who was engaged in the manufacture and sale of lumber at Telocaset, in Union County, by the terms of which contract said Hall agreed to sell to the plaintiffs all lumber to be cut from certain lands described in said contract, and he agreed to continue the business until all the timber on said lands should be manufactured into lumber and the lumber delivered to the plaintiffs in accordance with said contract. What Hall was to do and the prices to be paid him are set out in the contract.

Hall was to pay J. L. Caviness, the owner of the timber, $2 per thousand feet stumpage for all said timber so to be- manufactured into lumber. Hall had cut considerable of said timber into logs, and some of it was manufactured -into lumber, and some of the lumber was by him delivered to the plaintiffs on the cars as provided by the contract.

■ In May, 1911, Hall absconded, leaving his contract unperformed and some unpaid debts. He owed the •defendants the First National Bank of Union one note for $800, and interest thereon from April 7, 1911, at [86]*86the rate of 10 per cent per annum, and another note for $823, and interest thereon from May 1, 1911, at the rate of 10 per cent per annum. When Hall absconded, he owed also the defendant the Powder .Valley State Bank a promissory note for $880, dated May 1, 1911, and to be due in 30 days from its date, and bearing interest from that date at the rate of 10 per cent per annum.

The Powder Valley State Bank had a claim also against Hall for $400, for and on account of a check for $400, which said Hall drew upon the United States National Bank of La G-rande, and which the Powder Valley State Bank cashed for him. Said check was presented to the United States National Bank of La Grande for payment, and payment thereof was refused, etc.

The Powder Valley State Bank brought an action against Hall to recover said sum of $400, for the money paid him on cashing said check, and, in said action, attached in the hands of the plaintiffs all funds of every kind and character in the possession of the plaintiffs herein and owing or belonging to said Hall.

On May 1, 1911, when said Hall made said promissory note to the Powder Valley State Bank, as stated, supra, for said sum of $880, for the purpose of securing the payment of said promissory note, he assigned to said bank all his right, title, and interest in the sums due from the plaintiffs on estimates Nos. 1 and 2, said estimates aggregating 204,356 feet of lumber, on which there was said to be a balance due of $4 per thousand feet from the plaintiffs to said Hall, etc.

The fourth, fifth, sixth, seventh, and eighth paragraphs of tlie complaint are as follows:

IV. ‘ ‘ That, under and in pursuance of said contract and agreement between the plaintiffs and the said O. [87]*87H. Hall, the latter delivered to the plaintiffs on the 6th day of April, 1911, upon said mill yard at Telocaset, 169,075 feet of lumber at the agreed price of $8.50 per M., and an estimate was rendered thereon to the said C. H. Hall by plaintiffs showing a balance due him of $929.92; on April 29, 1911, the said C. H. Hall sold and delivered to the plaintiffs at said mill yard 28,970 feet of lumber at $10.00 per M., and 137,200 feet of lumber at the agreed price of $8.50 per M., and estimates were rendered thereon by plaintiffs to said C. H. Hall showing a balance due him of $202.79 and $754.60 (not $754.50), all of said estimates aggregating the sum of $1,887.31.”

Y. “That the said C. H. Hall, on the 26th day of November, 1910, gave plaintiffs a written order to forward all money due him on said estimates that should thereafter he made in his favor to the First National Bank of Union, to be placed to his credit, which order was duly accepted by plaintiffs; that plaintiffs are informed and verily believe, and therefore allege, that said estimates, after they were delivered to the said C. H. Hall in settlement aforesaid, were, on or about the dates of their delivery to said C. H. Hall, sold and transferred or delivered to the First National Bank of Union, one of the defendants herein, as collateral to secure loans of 85 per centum of their face value, or estimate, and that said bank is now the holder thereof; that said order of C. H. Hall to pay said estimates to said First National Bank of Union has never been revoked hv him, and said bank has demanded payment of the whole amount due on said estimates from payments.”

VI. ‘ ‘ That on the 10th day of May, 1912, and before the plaintiffs had made settlement or payment with the said C. H. Hall, or his assigns, all moneys due the said C. H. Hall, or his assigns by the plaintiffs, and especially the sum designated in said estimates, were attached and garnished by the Powder Valley State Bank, one of the defendants herein, in an action prosecuted by said hank against the said C. H. Hall, in the Circuit Court of the State of Oregon, for Union [88]*88County; that said attachment and garnishment has not been released, and said cause is still pending.”

VII. “That the defendant the First National Bank of Union has instituted an action at law against the plaintiffs in the Circuit Court of the State of Oregon, for Union County, to recover the sum of $1,897.31 alleged to be due said defendant from these plaintiffs by virtue of an assignment to said First National Bank of Union, of said estimates as collateral for advancements made, together with the interest on said estimates from May 9, 1911, and said defendant in said action has attached certain lumber of plaintiffs at North Powder, Union County, Oregon; that service of summons is now being published in the Union Scout, but is not yet complete.”

VIII. “That, since the making of said estimates and balance due from the plaintiffs to the said C. H. Hall, plaintiffs incurred necessary expenses in the settlement of the business affairs between them under said contract and agreement, amounting to the sum of $137.04, which said sum is now due from said C. H. Hall to plaintiffs. ’ ’

The defendants answered, denying parts of the complaint and setting up their respective claims. The reply denied most of the new matter in the answer. At the beginning of the trial, the parties entered into the following stipulation in open court:

“It is hereby agreed by and between the parties to this suit and their respective counsel that each of the parties waives all questions as to the sufficiency of the pleadings herein, and that they expressly consent that the court sit as a court of equity, in this suit in intervention, and try out and determine all of the issues between the parties hereto and enter such judgment and decree as it deems proper in the case; each party reserving the right, however, to appeal the case to the Supreme Court, if, on the merits, he considers his client wronged or injured in any manner by decree of this court.”

[89]*89The Powder Valley State Bank by its said answer alleged that the amount of money in the hands of the plaintiffs belonging to C. H. Hall was $2,952.21 instead of $1,887.87, as alleged in the complaint.

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Bluebook (online)
142 P. 362, 71 Or. 84, 1914 Ore. LEXIS 157, Counsel Stack Legal Research, https://law.counselstack.com/opinion/radford-v-first-nat-bank-or-1914.