Richardson v. Richardson

59 N.W. 178, 100 Mich. 364, 1894 Mich. LEXIS 819
CourtMichigan Supreme Court
DecidedMay 22, 1894
StatusPublished
Cited by5 cases

This text of 59 N.W. 178 (Richardson v. Richardson) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Richardson v. Richardson, 59 N.W. 178, 100 Mich. 364, 1894 Mich. LEXIS 819 (Mich. 1894).

Opinion

Montgomery, J.

This case was before the Court at the October term, 1890, and is reported in 83 Mich., at page 653. It is unnecessary to restate the facts or pleadings, except so far as is necessary to a determination of additional questions presented by the present appeal. Since the former hearing, the bill has been amended by making the representatives of George Bichardson, deceased, parties, and a decree rendered at the circuit for the sum of 130,000, and interest since September 1, 1886, against George William Moore, Charles W. Bichardson, Elizabeth Bichardson, and Bobert J. Kelley; and in the sum of $10,000, and interest since January 1, 188?, against Chaides B. Greeley and Donald McBae, who were executors of the will of George Bichardson; and in the sum of $2,000 each, with interest, against Jane' Nye and Benjamin F. Starbird, legatees named in the will of George Bichardson, — the decree containing a provision, however, that any sums collected of Greeley and McBae, or of Jane Nye or Benjamin F. Starbird, shall be credited on the decree of $30,000 against the Bichardsons, Moore, and Kelley, the theory upon which the decree proceeds being that the complainants, are entitled to, and should, follow the trust fund so far as practicable, but that, failing in realizing the full sum diverted, the complainants are [367]*367entitled to judgment against all who participated in the diversion of the fund.

.The complainants appeal from t'he decree, claiming— First, that the court erred in not charging against the defendants Moore the portion of the fee paid to them out •of that portion of the estate belonging to complainants; And, second, that the decree should have run. as well against George Whitney Moore as against the other defendAnts. The defendants George William Moore and Greeley and McRae also appeal. Their several contentions will be noted later.

George Whitney Moore would, of course, be liable for the conduct of his partner in the business for which the partnership of- Moore & Moore was employed, viz., the settlement of the claim of the heirs against the estate of ■Charles W. Richardson, deceased. This settlement was Accomplished, and the fee agreed to be paid to Moore & Moore was actually paid, before any steps were taken* which resulted in the fraudulent settlement with the heirs. The relation of Moore & Moore to this estate thereupon •ceased. It does not appear that George William Moore, from that time on, was acting in behalf of his firm. There was no contract relation between the firm and George Richardson, who had the power of attorney from his brothers and sisters. According to the testimony of George William Moore, he was acting in the capacity of a friend of George Richardson, rather than that of an employed attorney. There is nothing in the case to show that George Whitney Moore knew of the transaction at the time, or that he ratified it or received any benefit from it. Under these circumstances we think it should be held that George William Moore was acting in his individual capacity, and not as a representative of his firm.

Nor do we think the complainants are entitled to recover of Moore & Moore the amount paid them as feSs. [368]*368It appears very satisfactorily that, up to tbe time these fees were paid, George William Moore had in good faith acted for all the parties concerned in the contest, including the complainants. The proceeds of the settlement came into the hands of George Richardson as attorney in fact for the complainants, and the percentage which passed into the hands of George William Moore had been earned. He could properly have ended his connection with the case there, and, had he done so, would not have been chargeable with any wrong against the complainants, and there could be no reasonable ground for urging that he had not faithfully served their interests and earned the compensation paid him. To hold that by reason of any subsequent misconduct, growing out of a misapprehension of his duties to his client, or for whatever cause, he became chargeable with this sum, would be to enforce a forfeiture of property already acquired, and in the nature of a penalty for subsequent alleged misconduct. We think the complainants are not entitled to complain of the decree in this respect.

We proceed to a consideration of the questions raised by the appeals of the defendants. It is urged that by reason of the conveyance of a one-half interest in their claim by each of the complainants Albert Richardson and Joseph Richardson, which conveyances were held valid by the former opinion, these complainants are .not entitled to the same relief as their co-complainants. This is undoubtedly true. In the distribution of the fund realized, they would only be entitled to share to the extent of their remaining interest as heirs. This is a matter which, however, concerns the complainants aloné, and can be provided for by the decree.

It is objected that the bill is multifarious. But if multifarious now, for the reasons urged, it was open to the same objection at the former hearing. It may be further [369]*369said that the better practice would have been to raise the question by demurrer to the bill, and have brought it up for consideration by the court below before the testimony had been taken. The objection cannot now avail. See Payne v. Avery, 21 Mich. 538; Wales v. Newbould, 9 Id. 81; Snook v. Pearsall, 95 Id. 534; and Burnham v. Dillon, ante, 352.

This brings us to a consideration of the question of whether the acts of George William Moore are such as render him liable, jointly with George Richardson’s representatives, for a diversion of the fund. From the testimony in the record it appears that the circuit judge, who saw the witnesses, must have found substantially the following state of facts: After George Richardson had received the sum of $120,000 from Diana Richardson, one-half of which he received as the representative of the complainants, and had signed releases in behalf of, and as attornej" in fact for, complainants, and after he had jiaid Mr. Moore his agreed compensation, leaving in Mr. Richardson’s hands $45,000 belonging to the complainants and to Charles W. Richardson, who had purchased the equivalent of a one-sixth interest of Albert Richardson and Joseph Richardson,' Mr. Moore accompanied R. J. Kelley, and releases were obtained from all the heirs of the half-blood living in the vicinity of Alpena. These releases were made by complainants, and the settlements effected, each of the complainants supposing that the negotiations were between themselves and Diana Richardson, and none of them having knowledge, or being informed by Moore, that their agent, George Richardson, had already effected a settlement in their behalf; and this, notwithstanding the fact that Mr. Moore knew that George Richardson held powers of attorney from all but one of the heirs, and was acting for them, and had no agreement entitling him (George [370]*370Bichardson) to any more than his proportionate share of the proceeds. The circuit judge must also have found that in the adjustment with Eben Bichardson at Worcester, Mass., the defendant Moore plainly left Mr. Bichardson to understand that no settlement had yet been effected, and that the sum of $1,500 was all that Diana Bichardson was willing to pay to him in compromise of the contest. There is an abundance of testimony in the record to establish this state of facts. Indeed, it is so strongly supported that it would be an arbitrary exercise of power to override the decision of the trial judge on the facts. This being so, it is too clear for argument that Mr.

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Bluebook (online)
59 N.W. 178, 100 Mich. 364, 1894 Mich. LEXIS 819, Counsel Stack Legal Research, https://law.counselstack.com/opinion/richardson-v-richardson-mich-1894.