Staples v. Rush

99 So. 2d 502, 1957 La. App. LEXIS 989
CourtLouisiana Court of Appeal
DecidedDecember 19, 1957
DocketNo. 8721
StatusPublished
Cited by3 cases

This text of 99 So. 2d 502 (Staples v. Rush) is published on Counsel Stack Legal Research, covering Louisiana Court of Appeal primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Staples v. Rush, 99 So. 2d 502, 1957 La. App. LEXIS 989 (La. Ct. App. 1957).

Opinions

AYRES, Judge.

This is an action upon an assignment of a claim for attorney’s fees. The facts material to the claim may be briefly stated. Plaintiff’s assignors, Lucy I. Thorsell, Esther T. Wakeman and Sarah R. Keller, who, together with James W. “Jbnmie” Thompson and Clara B. O’Pry Trust Estate as owners of certain commercial property in Alexandria, Louisiana, executed a lease thereon June 16, 1954, to John P. Rush for a period of two years for a stipulated monthly rental of $500 payable monthly in advance. Plaintiff’s assignors and Thompson subsequently acquired the interest of the Trust Estate in the premises, which was then owned by them in the proportion of an undivided one-fourth interest each.

The lease contained an acceleration clause. Thus, it was stipulated that on lessee’s failure to pay two consecutive installments of rent, the lessors had the option of canceling the lease entirely or of accelerating or maturing all future installments of rent. The two installments for the months of September and October, 1955, being past due, plaintiff was employed to enforce collection. Pursuant to his employment, he gave written notice to lessee October 3, 1955, of his delinquency in payments, as well as notice of lessors’ election to accelerate and mature all monthly installments of rent, coupled with a demand for payment. The lease stipulated an attorney’s fee of 15 percent of the amount due in the event it became necessary to employ an attorney to enforce any of the terms of the lease.

Following the aforesaid demand for payment, a verbal agreement is recited to have been entered into between lessors and lessee whereby lessee would pay the attorney’s fee and the rent for the aforesaid months of September and October; that the maturity of all future installments of rent would be recognized and continued in full force and effect, and that lessee would make payments thereon until the whole was paid. Pending the making of these payments, plaintiff was assigned on February 8, 1956, by the aforesaid assignors, their three-fourths interest in and to the attorney’s fee, which amounted to $562.50. This [504]*504he seeks to recover in this suit. Thompson joined plaintiff in his petition and disclaimed on his own behalf any claim for attorney’s fee. Subsequent to the assignment, the remainder of the rent was paid and the indebtedness entirely extinguished except as to the attorney’s fee, which was alleged to be due plaintiff by virtue of his aforesaid employment.

The trial court held that the attorney’s fee sued upon, when assigned, was a part of an indivisible obligation, and, notwithstanding that prior to the institution of this action, the whole of the obligation had been paid, other than the attorney’s fee, the effect of the assignment of such fee was an attempted prohibited division of an indivisible obligation to which the debtor had not consented. Accordingly, defendant’s exception of no cause and of no right of action was sustained.

From the judgment thus rendered and signed dismissing plaintiff’s demands, plaintiff appealed.

Plaintiff’s original and amended petitions disclose these facts: (1) That on February 8, 1956, the lessee owed lessors the covenanted attorney’s fee, as well as rent, and that, as of that time, the assignment was for a part of the debt, but (2) that, as of the time of the institution of this action, the only remaining obligation of the lessee under the aforesaid lease, or the alleged agreement subsequently entered into, was the attorney’s fee, which, although originally constituting only a part of' lessee’s obligation, had become at the time the entire unpaid portion thereof.

Decisive of the issues presented for determination is the question whether a partial assignment, or subrogation, of an indivisible obligation, executed without the express consent of the debtor, is null and void ab initio, or valid, as between the assignor and assignee, but merely unenforcible so long as the assignment represents a portion of the obligation or until it represents the entire and sole remaining obligation.

Defendant contends that the effect of the prohibition of a partial assignment of an indivisible obligation, without the debtor’s express consent, extends as well to the assignor and assignee, and renders invalid and ineffective, even as between them, any partial assignment. In support of this contention, LSA-C.C. Arts. 2109, 2111 and 2153 are relied upon. The first of these provides that an obligation is indivisible, even though the thing or fact which is the object of it may be by its nature divisible, if the light in which it is considered does not admit of its being partially executed; the second of these articles provides that an obligation susceptible of division must be executed between the creditor and the debtor as though it were indivisible, and the third provides that the creditor cannot be obliged by the debtor to receive in part the payment of a debt, even if it is a divisible obligation.

The jurisprudence has followed these Codal provisions, and, hence, a general rule of law has been established that a debt cannot be divided by the creditor and partially assigned without the debtor’s consent so as to subject the debtor to separate actions. The debtor is entitled to discharge his obligation as an entirety and according to his agreement. No debtor is, therefore, bound to pay a debt by portions, and it follows as a corollary that no partial transfer can be made by a creditor so as to be binding upon the debtor without the debtor’s express consent. Miller v. Brigot, 8 La. 533.

In Cantrelle v. Le Goaster, 3 Rob. 432, it was clearly stated:

“The question presented for our decision, can hardly be considered as an open one in this court. In accordance with the soundest principles of law, as well as of reason and equity, we have always held that a debt, as between creditor and debtor, is indivisible without the consent of both; and that, consequently, a debtor cannot be compelled to pay his debt to a number of transferrees, among whom it may [505]*505have suited the interest or convenience of his creditor to divide it. If he have any legal or equitable defence to set up against the claim, he is not to be subjected to the trouble and expense of litigating his rights with a number of persons, and in different courts. The provisions of the Code relied on by appellee’s counsel, and to be found in the chapter which treats of the assignment and transfer of debts, must be understood as applying only to entire debts rights, and claims; and cannot be made to interfere with another express enactment in the same work, which declares that an obligation, susceptible of division, must be executed between the creditor and the debtor, as though it were indivisible. If a creditor cannot claim the payment of a debt by portions, it is clear that transferrees, claiming under him, cannot exercise such a right.” (Emphasis supplied.)

To the same effect are the later decisions of Salter v. Walsworth, La.App., 167 So. 494; Thompson v. Kivett & Reel, Inc., La. App., 25 So.2d 124; Stein v. Williams Lumber Co., La.App., 36 So.2d 62; Marmol v. Wright, La.App., 62 So.2d 528.

The reason or basis of this principle as to partial assignment of an obligation is that a debtor has a right to stand upon the contract with his creditor as originally made and to pay the debt as a whole.

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Bluebook (online)
99 So. 2d 502, 1957 La. App. LEXIS 989, Counsel Stack Legal Research, https://law.counselstack.com/opinion/staples-v-rush-lactapp-1957.