Robinson v. Springfield Co.

21 Fla. 203
CourtSupreme Court of Florida
DecidedJanuary 15, 1885
StatusPublished
Cited by53 cases

This text of 21 Fla. 203 (Robinson v. Springfield Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Florida primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Robinson v. Springfield Co., 21 Fla. 203 (Fla. 1885).

Opinion

Mr. Justice Raney

delivered the opinion of the court:

I. The first point made by appellants is that the appellee cannot maintain this bill in its own name. In 1st Daniel’s . C. P. & P., 198, it is said : “ Where the subject matter in litigation is a legal chose in action which has been the subject of assignment, the assignor, or if dead his personal representative, should be a party ; for, as an assignment of a chose in action is not recognized in a court of law, and is only considered good in equity, the recovery in equity by ,the assignee would be no answer to an action at law by the assignor in whom the legal right to sue still remains, and who might exercise it to the prejudice of the party liable [217]*217who would have to resort to a bill in equity to restrain such assignor’s proceedings.” Upon this ground “ where a bill was filed by the assignees of a judgment it was held that the plaintiffs could not go on with that part of their case which sought payment of the debt.” In England, Virginia, Kentucky, North Carolina and Indiana the assignors were held to be necessary parties in the following cases : Cathcart vs. Lewis, 1 Vesey, Jr., 463; Corbin vs. Emerson, 10 Leigh, 697; Allen and Wife vs. Crockett, 4 Bibb, 240 ; Carter vs. Jones, 5 Iredell, 196 ; Elderkin vs. Shultz, 2 Blackf., 345.

. The true principle, according to Judge Story, is that where the assignment is absolute and unconditional, leaving noequitable interest whatever in the assignor,and the extent and validity of the assignment is not doubted or denied, and there is no remaining liability in the assignor to be affected by the decree, it is not necessary to make the latter a party; and at most, in such a case he is a mere nominal •or formal party. Story’s Eq. PL, §153. Where the assignment is not absolute, and the assignor retains an interest in the security assigned, he is a necessary party “ because he is interested, and particularly.in taking an account of what is due” on it. Miller vs. Henderson, 2 Stock., 320. In Bruen vs. Crane, 2 N. J. Eq., 347, which was a bill to foreclose a mortgage, Chancellor Pennington, in overruling the demurrer for want of the assignor as a party defendant, the .assignee thereof being a party, said: “ I can see no stronger reason for making the assignor of a judgment a party than the mortgagor, who has parted with all his interest in the lands. The multiplication of parties should be avoided whenever they have no interest at stake in the cause; it •can only tend to create expense and embarrassment.” Mi. Jones, in his work on mortgages, (§1373) says that the assignor is not a proper party where the assignment is abso[218]*218lute and the mortgagor retains no further interest. In Walker vs. Bank, 6 Ala., 452; Garrett vs. Pickett, 15 Ind., 485 ; McGuffey vs. Finley, 20 Ohio, 474, the assignor is held not to be a necessary party; and in Newman vs. Chapman, 2 Randolph, 93, the Virginia Court of Appeals-held that “ the assignee of a mortgage may maintain a suit to foreclose without making his assignor a party, if the legal title has been conveyed to him.” In Morey vs. Forsyth et al., Walker’s C. R.,465, it was held that an assignor of a judgment, or chose in action on which a judgment has been obtained in the name of the assignor, is nota necessary party to a judgment creditor’s bill filed by the assignee. “ If,” says the Chancellor, “ there be a controversy between the assignor and assignee touching the assignment, the court will direct the assignor to be made a party for the protection of all; otherwise he need not be a party.” In Ward vs. Van Bokkelin, 2 Paige, 289, a suit by an assignee of a judgment to set aside a fraudulent conveyance, where the same doctrine is maintained, it is held as in Morey vs. Forsyth et al., that an assignee of a chose in action is now considered the real party as well in law as in equity, and the defendant may plead and give in evideuce any matter of defence which exists in his favor, against the assignee. In Kendig vs. Giles, 9 Fla., 278, it is held that where one sues for the use of another, the .former is the nominal, and the latter the real plaintiff. The doctrine that the assignor is not a necessary party is held in Illinois, Maine, Ohio and Vermont; and we understand the cases of Ensign vs. Kellog, 4 Pick., 1, and Montague vs. Lobdell, 11 Cush., 111, as supporting the same rule. 32 Me., 343 ; 21 Ill., 208 ; 19 Vt., 496 ; 20 Ohio, 474; 3 Paige, 466. We see nothing in Carrier vs. Howard, 14 Gray, in conflict with it. In Polk vs. Gallant, 2 Dev. & Battle’s Eq., 395, (A. D. 1839,) an assignor was held not to he. a necessary party to a bill [219]*219against an assignee where it appears from both the bill and! answer that all the interest of* the assignor had been transferred ; this, however, we perhaps should add is stated in a note to this case, citing 5 Iredell, 196, and Busbee Eq., 196, to be an exception to the general rule in North Carolina. In Kentucky, (Cobb vs. Thompson, 1 A. K. Marshall, 378, 508,) an assignee of a judgement was permitted to sue in equity in his own name, there being no administration on the assignor’s estate.

We consider the rule dispensing with the assignor as a necessary party where the assignment is absolute, and no. interest remains in him, as appears to be the case at bar, to. be the better one, and adopt it. Such we understand to. have been the view of this court in Betton vs. Williams, 4 Fla., 11. Moreover, since the passage of chapter 3241, Laws of Florida, authorizing civil actions at law to be-maintained in the name of the real party in interest, we do-not think it can be held in this State that “ an assignment of a chose in action is not recognized in a court of law.”'

The reason urged that this suit should be in the name of the assignor because if assignees get a decree in their name-a satisfaction of record of this decree will not appear of record to be any satisfaction of the Bostwick decree—does: not strike us with much force. Moreover a decree in this, cause subjecting to the payment of the Bostwick decree lands standing in the name of any of the defendants, would, we think, mention that decree, or provide in effect at least that the lands should be sold under that decree, or that moneys arising from the sale of such lands should be applied to the payment thereof, and on such application being made-that decree should be satisfied on the record.

II. The second point urged by appellants is: “It appears-from the record that at the time the conveyances complained of as fraudulent were made, Bostwick and wife, the-[220]*220assignors, held a mortgage on the land conveyed by them 'to Robinson and Mitchell, trustees, and mortgaged back to 'them by such trustees, for the credit installments of the pur'diase money, of which credit installments the decree which 'the complainant is now seeking payment of constitutes a part.” They contend that the Statute of Frauds is only for "the protection of unsecured creditors, and that “ a voluntary- conveyance ” could not be considered as in fraud of a ■creditor for a balance of purchase money secured by a mort•gage, “ because he has got his security of his own choosing ■ample and full to protect him.” “A mortgagee,” they say, “is not in the meaning of the Statute of Frauds,” and ■“ there can be no intent to defraud him of his debt which is already secured.”

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Bluebook (online)
21 Fla. 203, Counsel Stack Legal Research, https://law.counselstack.com/opinion/robinson-v-springfield-co-fla-1885.