Rudin v. King-Richardson Co.

276 Ill. App. 46, 1934 Ill. App. LEXIS 258
CourtAppellate Court of Illinois
DecidedJune 20, 1934
DocketGen. No. 36,802
StatusPublished
Cited by2 cases

This text of 276 Ill. App. 46 (Rudin v. King-Richardson Co.) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Rudin v. King-Richardson Co., 276 Ill. App. 46, 1934 Ill. App. LEXIS 258 (Ill. Ct. App. 1934).

Opinion

Mr. Justice Wilson

delivered the opinion of the court.

On February 20, 1923, the plaintiff, John Rudin, instituted an action in replevin in the circuit court of Cook county, for the recovery of a carload of books consisting of 3,225 sets, known as “The Bible Story.” The defendants were the King-Bichardson Company, a corporation, William H. Kevins, doing business as Springfield Printing and Binding Company, Kew York Central Bailroad Company, a corporation, and John Doe. The books were taken under the replevin writ of the sheriff of Cook county from the warehouse of the defendant railroad company and turned over to the plaintiff. A trial was had before the court without a jury and the issues were against the plaintiff and the right to possession of the books adjudged to be in William H. Kevins, doing business as the Springfield Printing and Binding Company. A writ of retorno habendo was ordered to issue and the defendants were awarded their costs. From this judgment plaintiff appealed direct to the Supreme Court of Illinois on the ground that the constitutionality of the Illinois statute regulating the business of storing personal property for hire (Cahill’s Ill. Rev. St. 1921, ch. Illa, Tf111 et seq.) was involved. The Supreme Court on appeal reversed the judgment of the circuit court, and remanded the cause. The opinion of the Supreme Court is found in the case reported as Rudin v. King-Richardson Co., 311 Ill. 513. The cause after remandment was again tried in the circuit court, by the court without a jury, resulting in another judgment against the plaintiff and finding the right to possession of the property in the King-Bichardson Company, a corporation. From this latter judgment an appeal has been prayed and allowed to this court, and it comes before us for the first time. In the original proceeding in the Supreme Court of this State no mention was made of the constitutional question involved, but the court proceeded to consider the case upon the facts without first transferring it to this court for consideration.

January 2, 1924, after the judgment of the circuit court and before the opinion of the Supreme Court of this State was rendered, Budin and others filed their bill against the King-Bichardson Company and Kevins in the United States District Court of Massachusetts, seeking certain rights as minority stockholders. The court in that case, Johnson v. King-Richardson Co., 28 F. (2d) 192, found against the complainant Budin and others and dismissed the bill. In its opinion the court found as facts that the bill was brought at the instigation of Budin who had agreed to bear all of the expenses of the litigation; further, that Budin for a number of years had been the exclusive agent for the sale of defendant’s books in the Chicago territory; that he operated under a written contract and that when the King-Bichardson Company proposed to increase the price of these books to Budin, he objected strenuously and threatened Kevins with legal proceedings; that early in 1922, Budin conceived the idea of getting up a set of books along the same lines as the King-Bichardson Company and of putting them upon the market in place of said company’s product; that pursuant to this plan he called for large deliveries of the books from the defendant company in 1922, in an amount more than could be sold, for the purpose of having these on hand to keep the business running until his own books were ready for sale; that Budin then formulated a systematic plan to ruin the King-Bichardson Company in order to prevent it from competing with his new book and employed the authors of the defendant’s book to prepare his competing work.

A number of communications from Budin to others employed by the King-Bichardson Company are set forth in the opinion, from which it appears that while Budin was ostensibly acting as agent for and on behalf of the King-Bichardson Company, -he was in fact attempting to build an organization for himself. The court in its opinion said:

“Rudin in this case is not even acting for a rival company. He is himself the rival, and is using his position as stockholder to further his own personal business at the expense of the King-Richardson Company. Johnson is a mere stool pigeon of Rudin, having lent himself in his character as stockholder to Rudin. ’ ’ The court also in its opinion held that from the letters of Rudin it is apparent that his purpose in bringing the suit was not to protect the interests of the minority stockholders, but to cause the stock of the King-Richardson Company to become valueless and to put that company out of business.

March 7, 1923, the King-Richardson Company filed its bill of complaint in the United States District Court for the Northern District of Illinois, charging that on January 1, 1914, complainant and the defendant entered into a written contract under which Rudin, the defendant in that case, undertook to manage and conduct plaintiff’s business in Chicago, which contract was subsequently modified but otherwise continued in full force and effect. The bill alleges that the terms of the contract have been violated by the defendant and prays for an accounting, injunction and the appointment of a receiver. To this bill the defendant filed his answer and asserted his counterclaim to the effect that there was due him an amount over and above that admitted to be due the complainant because of complainant’s failure to carry out the terms of the agreement. The master found in favor of the King-Richardson Company and against the defendant Rudin on his counterclaim and the report was affirmed by the United States District Court. An appeal, was taken to the United States Court of Appeals for the Northern District of Illinois, opinion found under the title, Rudin v. King-Richardson Co., 37 F.

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Cite This Page — Counsel Stack

Bluebook (online)
276 Ill. App. 46, 1934 Ill. App. LEXIS 258, Counsel Stack Legal Research, https://law.counselstack.com/opinion/rudin-v-king-richardson-co-illappct-1934.