Reece v. Rhoades

165 P. 449, 25 Wyo. 91, 1917 Wyo. LEXIS 10
CourtWyoming Supreme Court
DecidedJune 11, 1917
DocketNo. 870
StatusPublished
Cited by12 cases

This text of 165 P. 449 (Reece v. Rhoades) is published on Counsel Stack Legal Research, covering Wyoming Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reece v. Rhoades, 165 P. 449, 25 Wyo. 91, 1917 Wyo. LEXIS 10 (Wyo. 1917).

Opinion

Potter, Chiee Justice.

This action was brought in the District Court by the defendants in error, C. J. Rhoades and B. A. Rhoades, seeking equitable relief, including an accounting, the appointment of a receiver, and a judgment for the amount found to be due the plaintiffs to be paid out of certain property referred to in the petition as partnership property. There was a general denial of the material averments of the petition, and a trial by the court resulted in granting some of the relief prayed for. The case is here on error, but without the evidence, the errors assigned relating to the sufficiency of the petition and findings of fact to sustain the conclusions of law and judgment or authorize the relief demanded or granted.

The petition alleges and the court found that on the date thereof the plaintiffs and defendants entered into the following written agreement:

“LivingstoN, Mont., April 25, 1912.
“This an article of agreement for and between Arthur. Reece and Alice Reece, his wife, parties of the first part, and C. J. Rhoades and B.. A. Rhoades, his wife, parties of the second part, wherein the parties of the first part.are owners or controllers of a body of land held under different grants, namely, homestead desert claims and leases, etc., controlling mountain range and whter filings and rights (as per description attached), do hereby 'bargain and agree to become and [96]*96entertain parties of the second part as full and one-half interest co-partners in all lands, grants, leases and holdings, real estate and personal property for a consideration of six thousand dollars ($6,000.00) to be paid by parties of the second part, in installments best suited to all parties on or before October 1, 1915. One thousand dollars ($1,000.00) of this amount to be paid on or before June 1, 1912, of which shall be used to pay all outstanding acts and debts of first parties. The remaining $5,000.00 to be invested on the ranch or in live stock and improvements and shall become a part of this said whole property, as controlled by this agreement under the same agreement (co-partnership) as hereinafore mentioned. Parties of the second part further agree to share equally in expenses or all moneys actually expended for ranch improvements and stock purchased.”

After setting forth this agreement, the petition refers to it as a partnership agreement and alleges due performance by the plaintiffs of everything required of them thereby, that they had paid to defendants thereunder various sums of money and turned over to them cattle of t'he value of $1,700, and contributed under the agreement, with the knowledge and consent of defendants, in money and cattle an amount in excess of $6,000. That the defendants had failed and refused and were unable to perform the same and had made default therein, except that they had delivered to the plaintiffs a relinquishment of a certain land entry made under the laws of the United States. That on or about October 15,-1915, in disregard of the agreement, the defendants took exclusive possession and control of the real and personal property “of said co-partnership,” and ever since have claimed sole ownership thereof, and the right to sell, dispose of and encumber the same, and divert the money so acquired to their own use.- That they have failed and refused to account to the plaintiffs “for any part of the partnership” property or effects or for moneys furnished them by the plaintiffs and expended by the defendants or -converted to their own use, and have converted to their own use moneys furnished by the plaintiffs for carrying out the objects mentioned in [97]*97the agreement. That the defendants threaten and are about to sell the cattle aforesaid and appropriate the proceeds thereof to their own use, in disregard of the rights of the plaintiffs. That defendants have failed and neglected to expend any money in the improvement of the ranch, except a small amount furnished by plaintiffs, or to expend for stock any of the money furnished by the plaintiffs. That the cattle aforesaid were purchased by the plaintiffs and turned over .to the defendants “under said co-partnership agreement.” That by reason of said acts and omissions of the defendants the plaintiffs have and are greatly and irreparably damaged; that defendants and each of them are insolvent, and the plaintiffs have no plain, speedy or adequate remedy at law.

Relief is prayed substantially as follows: That the partnership be dissolved, and a receiver appointed of all the personal property of the partnership; that the defendants be required to deliver to such receiver all books of account, checks and memoranda in their possession relating to the business, dealings or transactions of the partnership; that an account be taken of all the partnership business, dealings and transactions, and of the moneys paid by the plaintiffs in relation thereto; that the live stock be decreed to the plaintiffs; that the defendants be enjoined from interfering with the partnership property and effects; that upon an accounting the amount due the plaintiffs be found and the same paid out of the partnership property, and the remainder of such property, if any, be apportioned between the parties according to their respective interests as may be found by the court, and such other relief as .may be just and equitable in the premises.

It appears that on the same day the petition was filed, January 8, 1916, a receiver was appointed and he was directed to take possession of all property belonging to the parties to the action, including all books of account and papers bearing upon the partnership transactions of the parties, and the parties were ordered to deliver to the receiver all of the property of the partnership or claimed by either party as part[98]*98nership property. There is no report of.- the receiver in this record, but it appears from the findings that he had taken possession of certain personal property, and directions are given thereby and by the judgment for disposing of the same.

As above stated, the evidence is not before us, but the court stated in w'riting its findings of fact and conclusions of law, pursuant to a request therefor. Owing to the length and narrative form of such findings and conclusions, a recital of the facts as found will be confined to the essential or more prominent facts, but deemed sufficient to show generally the relation and conduct of these parties, omitting several merely incidental matters important only as part of the history of the business relations of the parties.following the making of the agreement aforesaid, and as tending to explain the continuance thereof without a more definite understanding.

It is recited in the findings as a preliminary statement that it is conceded by counsel that the case “is a remarkable one in many respects, particularly in regard to the very crude methods of doing business exhibited by the parties.” The case is a remarkable one.

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Cite This Page — Counsel Stack

Bluebook (online)
165 P. 449, 25 Wyo. 91, 1917 Wyo. LEXIS 10, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reece-v-rhoades-wyo-1917.