Smith v. Faulkner

78 Mass. 251
CourtMassachusetts Supreme Judicial Court
DecidedNovember 15, 1858
StatusPublished
Cited by2 cases

This text of 78 Mass. 251 (Smith v. Faulkner) is published on Counsel Stack Legal Research, covering Massachusetts Supreme Judicial Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. Faulkner, 78 Mass. 251 (Mass. 1858).

Opinion

Thomas, J.

This is an action of contract, brought to recovei the proceeds of sale of certain flannels, consigned to the defendants as commission merchants in Boston, in behalf of the estate of Adam Hobart, Jr., late of Randolph, Vermont, deceased, and damages for not rendering accounts and paying over money alleged to be due. Hobart died on the 16th of July 1852. At the time of his decease he was engaged in running a mill at Northfield, Vermont, for the manufacture of flannels; the plaintiff, Smith, was his agent, and there was then on hand wool in process of manufacture, in all its stages. Smith went on and finished the work, and this, it was admitted, was a prudent act on his part. After the decease of Hobart, and before the appointment of an administrator of his estate, the plaintiff sent to the defendants eleven of the bales of flannel in question, which were substantially finished, though not all made into bales, at the time of Hobart’s decease. The remainder of the flannels was sent to the defendants after the appointment of the plaintiff and Lorin Griswold as administrators of [252]*252Hobart’s. estate, and while they were both acting in that capacity. Griswold afterwards, on the 10th March 1853, resigned his office.

The defendants had received goods of the like kind from Hobart during his life, and had made certain advances thereon to him by the acceptance of his drafts upon them; so that at the time of his decease it appeared that there was due to the defendants, in their general account with him, about $2500. The defendants claimed that they had a right, under an alleged agreement with the plaintiff, (in proof of which they introduced certain correspondence between them and the plaintiff,) to apply the net proceeds of the sale of said eleven bales, (about $1200,) and sufficient of the proceeds of sale of the other flannels subsequently consigned to them by the plaintiff, to pay the balance due them in their said general account with Hobart, admitting that after such application there would still be due to the plaintiff a balance of about $3000, for which they were liable to him.

The estate of Hobart proved to be deeply insolvent. In the spring of 1855, after all the goods had been sold and converted into money, the defendants, through their authorized agent, presented against the estate, to commissioners who had been appointed under the laws of the State of Vermont on.the 21st of July 1852, an account for their balance due at the death of Hobart, deducting the proceeds of the sales of the eleven bales sent before the appointment of an administrator. The plaintiff, at the hearing before the commissioners, assented to the correctness of the defendants’ claim, with the exception of the proceeds of said eleven bales, which he claimed should go into the new account with the others sent after Hobart’s decease. The commissioners, after hearing the parties thereon, so decided; and struck out the credit of the eleven bales, and added so much more to the debit side of the account, allowing the whole. Their report thus made was accepted by the probate court, and ordered to be recorded, and a dividend of fifteen per cent, was ordered thereon, with the claims of the other creditors. No appeal was taken by the defendants from or upon any of these proceedings. The plaintiff put in evidence the statutes and decisions of the supreme [253]*253court of the State of Vermont, as to the law relating to those proceedings. The plaintiff was appointed administrator in Massachusetts in July 1855.

The plaintiff claimed as matter of law and asked the court to rule, “ 1st. That the letters and correspondence put in evidence by the defendants were insufficient to prove such a promise and agreement by the plaintiff as they had set up and alleged in their answer, and that the construction and meaning of those letters was to be determined by the court: “ 2dly. That if there ever was any such promise made by the plaintiff to the defendants, it was unlawful, because he had no right, or legal authority, as administrator of the estate of Hobart, to make any such promise, or to pay any debt due from Hobart, which was not allowed by said commissioners; that the defendants had no right to accept such payment, it being to the prejudice of other creditors ; that the appropriation contended for would be a violation of trust, and a misapplication of funds; that such especially was the law of Vermont, which should govern this contract.” The plaintiff offered other evidence and prayed for other instructions, to which it is not necessary to advert.

The court declined so to instruct the jury; but instead thereof submitted the case to the jury, upon the single question whether the plaintiff agreed with the defendants that he would continue to run the mill, and send the goods manufactured to them to be sold, and that they should have a lien on them, and might apply the proceeds of sale to the payment of the debt of Hobart; with instructions, that it was for the jury, and not for the court, to construe the letters and ascertain therefrom the meaning of the parties as therein expressed; that the jury might consider the contents of the letters just as if the same expressions had been used by the writers respectively in a personal conversation with each other; that the first four letters constituted the portion of the correspondence chiefly relied upon by the defendants to show the agreement set up by them, and were all that appeared to be very material to the determination of said question, and that the residue of the letters did not seem to be, in reference to that question, of an) great importance ; but that the whole cor[254]*254respondence, and all of the aforesaid acts and conduct of the parties in relation thereto, as far as they were of any importance, were to be taken into consideration by the jury in determining the question aforesaid submitted to them.

The jury returned a verdict for the plaintiff for the amount admitted by the defendants to be due with interest, and the plaintiff alleged exceptions.

The question as to the rejection of evidence offered by the plaintiff we have not found it necessary to consider; nor how far the defendants were estopped to set up this defence by their proceedings before the commissioners in Vermont. There are questions that preceded these, and upon which, it is plain, the case must always hinge.

The plaintiff sues as administrator of the estate of Hobart in this commonwealth for the proceeds of sales, effected by the defendants, of goods which were of the assets of that estate, which constituted the fund which the law appropriates to the payment of the debts of the deceased.

The defendants’ answer to this suit is this: Admitting that they made the sales and received the proceeds, they say that the plaintiff, as administrator of the estate of Hobart, made an agreement with them that they might apply the proceeds of the sales of the goods sent to them by him since the death of his intestate to the payment of the balance due from the intestate to him at the time of his decease. They aver that such contract is contained in certain letters between the plaintiff and them, which make part of the report.

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Bluebook (online)
78 Mass. 251, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-faulkner-mass-1858.