Saint v. Martel

47 So. 413, 122 La. 93, 1908 La. LEXIS 412
Supreme Court of Louisiana·Decided June 22, 1908·No. No. 16,974·Published·Cited by 13 cases

Opinion

LAND, J.

This is a suit brought by the plaintiff, as the assignee of J. B. Brown, to recover one-tenth of the defendant’s one-tenth interest in the Jennings oil field, and for an accounting.

Defendant excepted that plaintiff, an attorney at law, had acquired from Brown a litigious right, and that, the purchase thereof being prohibited by law, plaintiff had no standing in court. This exception was referred to the merits, and after trial on the merits was sustained by the trial judge, and the suit was dismissed. Plaintiff has. appealed.

In November, 1901, Laurent Arnaudet, Arthur Latreille, and Eugene Houssiere, respectively, conveyed to J. Sully Martel and D. Caffery & Son, attorneys at law, one undivided fifth interest in three certain tracts of land, in the parish of Acadia, in consideration of professional services rendered and to be rendered to them in legal matters, and especially in the pending suit in the district court of said parish, entitled “Corkran Oil & Development Co. v. Laurent Arnaudet et al.” This suit was decided in favor of the defendants in the lower court, and the judgment was affirmed by the Supreme Court in November, 1903. 111 La. 563, 35 South. 747.

On October 26, 1903, J. Sully Martel sold for a valuable consideration to James B. Brown one-tenth of whatever hope, right, title, or interest he had or might have in the Corkran suit and other named suits, being further described as his interest in the Jennings oil field, in the parish of Acadia, in-[95] eluded in sections 47, 46, 41, 38, and 52; also 2,500 shares in the Evangeline Oil Company, organized to operate in said oil field. Brown agreed, “without personal obligation,” to aid Martel and Cattery & Son in bringing about the very best results to all concerned in the suits and matters referred to in the agreement. Subsequently a litigation arose between Martel and the Cafferys on one side and the Jennings-Heywood Syndicate on the other over the Arnaudet tract of land. This litigation terminated in March, 1905, in a final judgment in favor of the former, recognizing them as the owners of an undivided fifth interest in said tract and in all the oil produced therefrom. The case was remanded for the purposes of an accounting. See Martel v. Jennings-Heywood Oil Syndicate, 114 La. 351-360, 38 South. 253.

Houssiere, Latreille, Martel, and the Caf-ferys organized the Houssiere-Latreille Oil Company, which soon was involved in a series of suits with the Jennings-Heywood Oil Syndicate. The main suit was decided in favor of the Houssiere-Latreille Oil Company on June 28, 1907. See 119 La. 793, 44 South. 481.

On the 14th day of March, 1907, James B. Brown sold to Percy Saint for the price of 88,000 all the rights he had acquired from J. Sully Martel by virtue of the sale of date October 26, 1903. The deed further recites as follows:

“Said J. Sully Martel having already reduced to possession his one-tenth interest in and to said section 47, and there is hereby sold to Percy Saint an -undivided one-hundredth part of section 47, township 9 S., range 2 W., with full and general warranty of title.”

At the time of this purchase by the plaintiff herein the suit of Martel v. Syndicate, supra, was pending for the purposes of an accounting, and the suit of the oil company against the oil syndicate was pending on appeal in the Supreme Court, 119 La. 864, 44 South. 510.

In Martel v. Syndicate the title of the plaintiffs therein to the Arnaudet tract had been irrevocably fixed as to the land and the oil, and the only question remaining was as to the cost of producing and storing the oil under seizure. Hence, at the date of plaintiff’s purchase from Brown, the right of Martel to the land and oil was not in litigation. As to the Houssiere-Latreille lands, the interest of Martel therein had been converted into shares of stock. It is admitted that Martel transferred to Brown $10,000 worth of this stock, and that Brown transferred the certificate to the plaintiff herein. This stock was not in litigation. The lawsuit was over the company’s interest in the Latreille tract. The syndicate conceded that the company was entitled to one-eighth of the oil. There does not seem to have been any litigation over the Houssiere tract. Martel, having received stock for his interest, ceased to be the owner of any mineral rights in the soil. Martel was no party to the litigation with the syndicate. There was no litigation between Martel and Brown.

A right is said to be litigious when there exists a suit and contestation on .the same. Civ. Code, art. 2653. He against whom a litigious right has been transferred may get himself released by paying the transferee the real price of the transfer, together with the interest from its date. Civ. Code, art. 2652. This right, too, can only be exercised pendente lite. Marshall v. McCrea, 2 La. Ann. 80; McMicken v. Perin, 18 How. 510, 15 L. Ed. 504; Cucullu v. Hernandez, 103 U. S. 105, 26 L. Ed. 322. The only penalty denounced against the sale of a litigious right is that prescribed by article 2652, supra. It follows that the vendor of a litigious right has no standing to complain of the transfer. Hence the sale from Martel to Brown cannot now be assailed by any one on ground that it was a transfer of a litigious right.

Article 2447 of the Civil Code forbids the [97] purchase of litigious rights by attorneys when they fall under the jurisdiction, of the tribunal in which they exercise their functions, under the penalty of nullity. A right is not litigious unless there exists a suit and contestation over the same. Sanders v. Ditch, 110 La. 884, 34 South. 860. There was no suit pending between Martel and Brown. The most that can be said is that both of them had a common interest in the successful termination of the suit of Houssiere-Latreille Oil Company v. Jennings-Heywood Oil Syndicate, and in the result of the accounting ordered in the suit of Martel et al. v. Same Syndicate. Martel was no party to the first suit, and had no litigious right therein to transfer to any one. The second suit had terminated on the question of title to the land and oil, and the only remaining issue was a counterclaim for costs and expenses urged by the defendants. It has been held in several cases that the nullity denounced in article 2447 is a relative nullity in the interest of those whose rights are violated. Lane v. Cameron & McNeely, 36 La. Ann. 778; Kuck v. Johnson, 114 La. 783, 38 South. 559.

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Saint v. Martel, 47 So. 413, 122 La. 93, 1908 La. LEXIS 412 (La. 1908).

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