State Ex Rel. Bottomly v. Johnson

154 P.2d 262, 116 Mont. 483, 1944 Mont. LEXIS 50
CourtMontana Supreme Court
DecidedDecember 29, 1944
DocketNo. 8507.
StatusPublished
Cited by5 cases

This text of 154 P.2d 262 (State Ex Rel. Bottomly v. Johnson) is published on Counsel Stack Legal Research, covering Montana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State Ex Rel. Bottomly v. Johnson, 154 P.2d 262, 116 Mont. 483, 1944 Mont. LEXIS 50 (Mo. 1944).

Opinion

MR. CHIEF JUSTICE JOHNSON

delivered the opinion of the court.

Defendants Henry Johnson and Mamie Johnson, owners, and the Brotherhood of Taxicab Owners and Drivers, a corporation, the lessee, appeal from a decree abating as a nuisance certain store building premises in the city of Great Falls. The chief specifications of error are that the complaint does not state a *485 cause of action, and that the evidence is not sufficient to support the findings of fact, conclusions of law and judgment.

Appellant’s brief does not argue the sufficiency of the complaint, but accepts the fact that the complaint was held sufficient by this court in State ex rel. Bottomly Attorney General v. District Court, 115 Mont. 400, 143 Pac. (2d) 559, 560, in which proceeding the respondent was represented by defendants’ counsel. We there held that although bona fide fraternal corporations, organized as was the defendant corporation, had been exempted from the operation of the anti-gambling laws in certain respects (Ch. 153, Laws 1937), yet the complaint stated a cause of action for the abatement, as a nuisance, of the conduct, maintenance and permission of gambling contrary to law, (see. 11124, Rev. Codes), and that the complaint did not constitute an attaek against the legal status of the corporation, which could only be attacked by quo warranto proceeding.

Defendants contended at the trial that since the corporation was organized as a fraternal organization, and since the validity of its status as a corporation could be attacked only in quo wrranto, any inquiry into the corporation’s method of conducting its gambling activities constituted a wrongful interference with its corporate affairs. However, that objection also was disposed of in State ex rel. Bottomly v. District Court, supra, in which this court said: “The question to be determined in this proceeding is, not whether the certificate of incorporation issued to the Brotherhood was obtained through bad faith or not, but whether the duly organized fraternal organization is permitting practices in its club rooms that are in violation of the gambling laws of this state. We think the Attorney General is entitled to present evidence as to such alleged violation.”

The main question raised on this appeal is the sufficiency of the evidence. The record shows that while both the front and alley doors of the premises were kept locked and a man or woman guard was maintained at the front door, access was had through the alley door, which was opened from the inside by anyone nearby; that while in general only members were ad *486 mitted some persons had been allowed to enter and to engage in gambling without becoming members, and others who did not belong to the organization upon their entry were readily made “members”.by the issuance to each of a membership card upon the payment of twenty-five cents. One member testified that she had had several parties there for out-of-town guests; that “they were made members before they were entertained there.” Another witness testified: “The 23rd day of August [1943] I received a membership card there for the sum of twenty-five cents. ’ ’ He testified also that on September 5, 1943, another of the days on which it is alleged that gambling was illegally conducted on the premises, he went to the place with three others; that “I got passes for .the three boys, paid for them myself. * * * I just entered and said I would like to take these boys in with me and they said they will have to have a card, or a membership card, and at a quarter apiece they signed them up ”; that the cards bore the signature or rubber-stamped facsimile signature of Busby, the president, but “anybody seems to issue cards * * *; they are already signed”; that the guard at the door had the cards and immediately issued them to applicants on payment of twenty-five cents apiece; that “you enter and there is a small table right at the door where this girl stands, or man, who issues the passes and then takes the quarter for the pass.” Asked whether “the minute a member accepts a card from a director or whoever might have it, and pays this twenty-five cents, he is a member and entitled to all the privileges of the club * * the president replied, “if the board of directors or membership committee doesn’t reject him for special reasons. * * * Yes, if he is not rejected he stands as confirmed.” At the times in question no written application for membership was required, according to the president.

An eighteen-year-old girl, and on another occasion an eighteen-year old boy, were allowed to play the slot machines but were required to buy cards, although according to the by-laws persons under twenty-one could not be admitted to membership. Numerous persons were shown to have received cards immediately *487 upon request without any preliminary other than the payment of twenty-five cents.

The evidence shows that certain gambling games, such as poker, pangeni, and “ 21 ’ ’ or black jack were run on concessions, the members not being allowed to play except in games conducted by experienced gamblers who were selected by the officers. The coneessionnaires supplied “bank-roll,” chips and paraphernalia, including, in the case of the “21” dealer, the table used. The official dealer or “dummy,” who usually did not actually deal or play, sold chips to the players, redeemed them, and took from each pot a “rake-off” determined at the discretion of the dealer without any definite rules, but varying according to the size of the pot or the bets. At first the dealer or “dummy” in poker or pangeni received one-half of the proceeds of each game, and the other one-half went to the corporation. At another time, the one-half not taken by the corporation was divided “three ways,” to pay the dealer, to apply upon the secretary’s salary, and to apply on the principal and interest of a loan of some $2700, apparently made by one Gettel to the corporation. Later the dealer was reduced to compensation at the rate of $1 per hour. Relief dealers were provided by the management and received $1 per hour. The “21” or black jack operator, who provided his own table, received 75% of the earnings, the other 25 % going to the corporation. There were some slot machines which belonged, not to the coloration,’ but to individual members. The proceeds of each machine were divided equally between the corporation and the owner.

The minutes of a directors’ meeting held on August 6, 1943, shortly before operations were commenced, show action as follows:

“Motion was made, seconded and carried that if the Sheriff of Cascade County, Montana, enters the premises with a search warrant he must be warned not to molest any property and that he can legally enter only in daylight and by due process of law, and that officers of the corporation and floor attendants at the Club Rooms should be informed that a search and seizure *488 warrant may be served at any hour during the twenty-four, but that the nature of the warrant must be specified therein.”

At the close of the trial the judge announced, without objection from either party, that he saw no need for specific findings of fact and conclusions of law.

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Bluebook (online)
154 P.2d 262, 116 Mont. 483, 1944 Mont. LEXIS 50, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-bottomly-v-johnson-mont-1944.