Smith v. First National Bank

103 Misc. 274
CourtNew York Supreme Court
DecidedApril 15, 1918
StatusPublished
Cited by5 cases

This text of 103 Misc. 274 (Smith v. First National Bank) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Smith v. First National Bank, 103 Misc. 274 (N.Y. Super. Ct. 1918).

Opinion

Nichols, J.

This is a petition by Richard J. Donovan, an attorney and counselor at law, to establish and enforce an attorney’s lien upon a judgment entered in the Supreme Court, July 22, 1913, against the defendant the First National Bank of Albany, N. Y., for the sum of $22,683.87 damages, and $469.40 costs against the First National Bank of Albany, N. Y., and Henry Patton. This judgment was appealed to the Appellate Division of the third department and there affirmed with costs. An appeal was taken to the Court of Appeals and the judgment was again affirmed with costs. On July 6,1917, there were due and owing the plaintiff on said judgment, $28,-067.49 principal, and $849.04 costs. For the principal the plaintiff could have execution against the defendant bank and for the costs against the defendant bank and the defendant Henry Patton. The action was one in accounting and it was determined therein by the judgment that the sum of $22,683.87 was the plaintiff’s share of the proceeds of certain property called the Gasperaux property and that the defendant Patton’s share therein was $36,041.70.

At the time of the institution of the said action, the plaintiff made an agreement with the petitioner whereby he agreed to pay the petitioner for his services in said cause one-half of the amount recovered by [277]*277the plaintiff and the costs. The summons was dated May 31, 1910, and at or about that time the action was commenced. On the first trial the defendants had a judgment; the plaintiff appealed to the Appellate. Division and secured a reversal. 151 App. Div. 317. Upon a retrial the plaintiff recovered a judgment as aforesaid which has been affirmed by the Appellate Division and the Court of Appeals. A motion was also made in the Court of Appeals to dismiss the appeal for want of jurisdiction which was denied. Afterwards, the defendant in the first action, Henry Patton, brought an action in the Supreme Court against the plaintiff in said action, Frank Gr. Smith, wherein the complaint was verified May 29, 1916, which action is still pending and undetermined; and in said action procured an injunction order bearing date April 28, 1917, restraining the collection of $25,000 of the judgment in the above entitled action of Smith v. First National Bank of Albany, N. Y., pending the result of said action of Patton against Smith, on the grounds that the defendant Smith’s place of residence and his financial responsibility are uncertain and that the plaintiff may be unable to realize upon any judgment which he may recover therein if the defendant' is permitted to withdraw said funds on deposit in the First National Bank of Albany, N. Y., upon condition that the defendant in that action file an undertaking to the effect that he will pay the defendant Frank. G-. Smith all damages and costs which he may sustain, not exceeding the sum of $20,000, if it is finally decided that the plaintiff is not entitled thereto.

On July 6, 1917, defendant First National Bank of Albany, N. Y., paid the petitioner the said costs amounting to $849.04 and $3,067.49 on account of principal and interest, leaving a balance of $25,000. This is the only payment that has been received by the [278]*278petitioner for Ms services and expenditures in the trials and appeals in said action. On July 6, 1917/ aside from said costs, the amount of the petitioner’s fees under the aforesaid agreement was $14,033.74; deducting $3,067.49 applied thereon by the petitioner leaves a balance of $10,966.25 which the petitioner claims as a lien on the aforesaid judgment entered herein, with interest from July 6, 1917. Petitioner asks leave to issue execution against the First National Bank of Albany, N. Y., for the amount of his said lien and that the defendant Frank G. Smith be ordered to assign to the petitioner the said sum of $10,966.25 out of the amount now due on the judgment and that the injunction in the action of Patton against Smith be modified so as not to affect the petitioner’s lien. In the action in which the injunction was granted, the petitioner was not made a party. In the pending proceeding to establish the attorney’s lien, the petitioner makes the plaintiff, Frank Gr. Smith, a party, the First National Bank of Albany, N. Y., a party, Henry Patton a party, Henry Patton, as administrator of Mary S. Patton, deceased, a party, Tracy, Cooper & Townsend, attorneys for the defendant bank, a party, and George Lawyer, attorney for Henry Patton, individually and as administrator, etc., a party. Service herein was not made on Henry Patton individually or as administrator, etc. On the argument of the application, George Lawyer who had been the attorney of record for Henry Patton individually and as administrator, etc., appeared and filed an affidavit in which he avers that he is the attorney for the defendants Patton in the above entitled action, then avers other facts relative to the said injunction order and in opposition to the petition on the merits thereof, and then avers further that service of this application has not been made on the respondent Henry Pat[279]*279ton, either individually or as administrator of Mary S. Patton, deceased. He further files a memorandum which is subscribed George Lawyer, Attorney for the defendant, Henry Patton, office and post-office address, 79 Chapel Street, Albany, N. Y.” In said memorandum he asks that the petitioner’s proceeding be dismissed on the grounds that the defendant Henry Patton, individually and as administrator, etc., has not been served, as a jurisdictional defect, and in the same memorandum he defends the proceeding on the merits. In the motion for the injunction an affidavit was filed by Frank G. Smith’s attorney verified by Richard J. Donovan in which he averred and claimed a lien on the judgment for one-half thereof. At the time of the argument of this application, an appeal from the order granting said injunction order was pending in the Appellate Division of the third department and since which time and before the decision of this application said order appealed from has been affirmed.

This is a special proceeding and cannot be regarded in any proper sense as a motion in the action. Peri v. New York C. & H. R. R. R. Co., 152 N. Y. 526.

In order to give the court jurisdiction in a special proceeding, service must be made upon the party proceeded against in the same manner as is provided for the service of a summons. Code Civ. Pro. § 433.

The defendant Henry Patton as administrator, etc., was in no manner served in this proceeding. He was, as such administrator, in nowise a necessary party to said proceeding. The judgment in the Supreme Court had fixed his rights as such administrator which were nothing; and his attorney, George Lawyer, by appearing and filing an affidavit which contested not alone the jurisdiction of the court over the person, but also the merits of the proceeding, appeared in the action for the said Patton if the said administrator [280]*280was a necessary party thereto. See authorities below cited.

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Bluebook (online)
103 Misc. 274, Counsel Stack Legal Research, https://law.counselstack.com/opinion/smith-v-first-national-bank-nysupct-1918.