Robertson v. Mechanics Trust & Savings Bank

211 S.W. 858, 184 Ky. 287, 1919 Ky. LEXIS 68
CourtCourt of Appeals of Kentucky
DecidedMay 16, 1919
StatusPublished
Cited by3 cases

This text of 211 S.W. 858 (Robertson v. Mechanics Trust & Savings Bank) is published on Counsel Stack Legal Research, covering Court of Appeals of Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robertson v. Mechanics Trust & Savings Bank, 211 S.W. 858, 184 Ky. 287, 1919 Ky. LEXIS 68 (Ky. Ct. App. 1919).

Opinion

Opinion op the Court by

Judge Quin

Affirming.

G. W. Robertson and his son, G. H. Robertson, as co-partners, were engaged in the business of manufacturing [288]*288and selling ice in file city of Paducah, under the firm name of the “G. W. Robertson Ice Company.” The co-partnership was formed in 1910; the elder Robertson died testate in January, 1915. His estate was left to his wife for life and at her death to be equally divided among his six children.

The will directed that G. H. Robertson (hereinafter for ^brevity referred to as George) should pay A. M. Robertson, his mother, fifty dollars per month, as rental for her part in the ice company during her life, George to have the remaining earnings for his services.

Mrs. A. M. Robertson, named as executrix of the foregoing will, died December 20, 1915, and on January 7, 1916, the Mechanics Trust & Savings Bank qualified as the administrator with the will annexed of G. W. Robertson.

Thereafter said administrator ■ brought this suit against George seeking a settlement of the affairs of the copartnership and asking that a receiver be appointed to take charge of the ice company. George filed an answer in which he alleged that he had entire control of the ice business, and it was the understanding he was to be paid a reasonable salary for his services, though no agreement was ever reached as to the amount of salary he should receive; that no salary was ever paid him, but his services for the six years were worth $15,000.00, and during the time he (George) was connected with said company it made and there was deposited to its credit in the bank the sum of $11,155.37, which was divisible one-half to the father’s estate, balance to George. He alleged the payment of fifty dollars per month to his mother during her lifetime, as provided in the will, and that he was entitled to the balance of the earnings from the ice business, and his father’s estate had no interest in the proceeds of the ice company for the year 1915. The answer further alleged that pursuant to a request made by his mother, in her will, his three sisters, on January 3, 1916, conveyed to him by a written instrument all of their interest in the ice company, including the teams, wagons and all other appliances. He denied that the heirs of his father, other than Charles L. Robertson, a brother, had any interest in the ice plant. Another brother, J. D. Robertson, died before the death of the 'father, thus leaving five children; hence George claimed to be the owner of nine-tenths of the ice business, one-[289]*289half as a copartner, one-tenth being his share as an heir and three-tenths conveyed to him by- his sisters.

In addition to his claim of salary, one-half or $7,500.00, which he claimed was dne him from the estate and one-half of the $11,155.37 deposit in bank, or $5,577.68, a total of $13,077.68, he sought judgment in the sum of $2,402.75 on a note dated December 2, 1914, due him from his father for money placed in the box of his father by him (George) for safe-keeping.

Mrs. Ida Aycock, one of the sisters, filed an intervening petition in this suit which Avas made a cross-petition against George, and taken as a reply to his answer. After denying the material allegations in the answer, intervener alleged that she signed the paper hereinabove referred to, believing at the time that the mules. Avagons and harness constituted all the property to which George made claim, and had she known her brother George was claiming any part of the money held in her mother’s name she would not have signed said paper; that the paper Avas signed pursuant to the request made by her mother, as evidenced by the following language in her will: “I also express the wish and desire that my three daughters, Ida Aycock, Lou McNish and Mit Dodds, give to my son George H. Robertson, all of the ice wagons, mules and harness now belonging to and being used by the ice company in connection with its plant in Paducah, Kentucky. ’ ’

She alleged that the $11,155.37 deposited in bank at the time said paper AAras signed, had been transferred to her mother and Avas held and claimed by the latter as her property, and intervener Avas not advised that George claimed an interest in any part of it, and her signature to said paper she says was obtained by fraud and misrepresentation of the facts.

George having purchased the interest of C.- L. Robertson an order was entered taking for confessed the allegations of his answer, except as to Ida Aycock, and the funds in controversy turned over to him, with the exception of the one-tentli claimed by his sister Ida. The other tAvo sisters filed an intervening petition approving said order and asking that their one-tenth interest be paid to George in accordance with the Avriting of January 3,1916.

Upon final submission the court denied George’s claim for salary, directed the payment of $2,000.00 to him [290]*290from the sum of $11,155.37, this to cancel the note signed by the father; the residue of $9,155.37 the court adjudged belonged one-half to the estate of G. W. Robertson and one-half to George. Ida Aycock having died, her interest of one-tenth was ordered paid her surviving husband, Rupert Aycock, as per the terms of her will.

Two questions are thus presented for decision: (1) is the appellant, G. W. Robertson, entitled to any salary for his management of the ice company, and (2) is the appellant entitled to the one-tenth interest of his sister, Mrs. Aycock, under the agreement signed by her?

Appellant’s claim for salary cannot be allowed. To entitle one partner to a salary or compensation the proof of a contract to that effect must be clear and convincing. That the one so claiming may have had absolute management and control of the business, or performed all or a major portion of the clerical or other work of the partnership is not sufficient. The proof here does not show an express agreement as to salary, nor do the facts and circumstances raise the implication that any understanding to this effect existed between father and son. See Whitney v. Whitney, 27 R. 1197, 88 S. W. 311; Caldwell v. Lang, 31 R. 237, 101 S. W. 972; Blair v. Fraley, 172 Ky. 570. Appellant testifies that both he and his fathér lived out of the proceeds of the business. If there had been an intention to fix and pay a salary to appellant it seems this would have been done during the father’s lifetime, and while the firm was accumulating a surplus over and above the operating and living expenses.

As to Mrs. Aycock’s claim. On June 2, 1915, a certificate of deposit covering $9,355.37 of the ice company’s fund was issued to Mrs. A. M. Robertson at the instance of George; this amount included accrued interest on the two certificates of deposit converted into this one. His reason for making this transfer was due to the fact that he was going hunting and did not know what might happen, and placed it to his mother’s credit for safe-keeping. The ice company’s books disappeared while appellant was on the hunt. While the answer alleged that the amount deposited to the credit of the company was $11,155.37, it appears that all the parties, including the court and appellant, treat this as two separate items, viz.: $2,000-00 belonging to appellant and $9,355.37 to the firm.

[291]*291Counsel complains that the lower court had' no conception of the real proposition involved when it decreed one-half or $4,577.68 as the share due the estate.

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Bluebook (online)
211 S.W. 858, 184 Ky. 287, 1919 Ky. LEXIS 68, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robertson-v-mechanics-trust-savings-bank-kyctapp-1919.