State Ex Rel. Calumet National Bank v. McCord

189 N.E.2d 583, 243 Ind. 626, 1963 Ind. LEXIS 144
CourtIndiana Supreme Court
DecidedApril 18, 1963
Docket30,272
StatusPublished
Cited by33 cases

This text of 189 N.E.2d 583 (State Ex Rel. Calumet National Bank v. McCord) is published on Counsel Stack Legal Research, covering Indiana 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. Calumet National Bank v. McCord, 189 N.E.2d 583, 243 Ind. 626, 1963 Ind. LEXIS 144 (Ind. 1963).

Opinion

Arterburn, J.

— This is an appeal from the dismissal of an action of mandate brought by the Calumet National Bank of Hammond to compel The Department of Financial Institutions to revoke a permit granted to the Bank of Whiting, (a state institution) to establish a branch bank in the Town of Highland, Indiana. The appellant national bank contends the department wrongfully granted the application because it already had a branch in the Town of Highland and ..that the granting of such permit, therefore, adversely affected the appellant. The trial court granted the appellee’s motion to dismiss, apparently on the ground that the remedy, if any, which the Calumet National Bank has is through the procedure outlined by • the Administrative Adjudication Act (Burns’ §63-3001, et seq.), and not by mandate as attempted herein. Such was the ground urged in the memorandum to the motion to dismiss.

A part of the argument revolves around the question of whether or not the appellant’s proper remedy was an action for an injunction rather than one of mandate against The Department of Financial Institutions for a review, if the Administrative Adjudication Act were not applicable.

*629 *628 At the'outset, we observe that a motion to dismiss is not normally the proper procedural method of test *629 ing the sufficiency of a complaint, nor for considering whether or not the plaintiff has stated a good cause of action. A demurrer is the method by which such legal questions are raised. A motion to dismiss should not be perverted for that purpose. The sustaining of a demurrer gives the plaintiff an opportunity to amend, while the sustaining of a motion to dismiss cuts off such rights which the statute would normally give a plaintiff. State ex rel. Terminix Co. of Ind. v. Fulton C.C., (1956), 235 Ind. 218, 132 N. E. 2d 707; Michener et al. v. The Springfield Engine and Thresher Co. et al. (1895), 142 Ind. 130, 40 N. E. 679; Kaplan v. State ex rel. Meyer’s Plumbing, Inc. (1960), 241 Ind. 147, 164 N. E. 2d 645; Yelton v. Plantz (1948), 226 Ind. 155, 77 N. E. 2d 895; State ex rel. Hurd v. Davis (1949), 227 Ind. 93, 84 N. E. 2d 181.

It is stated in all the cases above that a court may not enter an order of involuntary non-suit or dismissal against a plaintiff except where there be a statutory ground or a total lack of jurisdiction.

In the Terminix case, supra, this court reviewed the proper procedural use of a motion to dismiss as well as the operation of Bums’ §2-901, which specifies the statutory grounds. The exception there stated is the “inherent power of dismissal” because the court has no jurisdiction. This same proposition was repeated in State ex rel. Hurd v. Davis, supra. Needless to say, Bums’ §2-901 offers no basis for the sustaining of the motion to dismiss in this case.

*630 *629 However, even though the motion to.. dismiss is improper procedurally, this court has held that such *630 a motion will be treated in unusual instances as a demurrer if the complaint or petition could not possibly be amended to state a good cause of action in connection with the controversy. In other words, if the facts pleaded are so palpably defective or irrelevant that they show the plaintiff has no cause of action whatever under any theory, this court will not do the useless or futile act of sending the case back merely for procedural consistency when it can be expeditiously disposed of here. Lambert v. Smith, State Fire Marshal (1939), 216 Ind. 226, 23 N. E. 2d 430; Yelton v. Plantz (1948), 226 Ind. 155, 77 N. E. 2d 895.

Such a rule treating a motion to dismiss as a demurrer can be supported only as one of sensible expediency. It must be applied with the greatest of caution and only when it is clear that no amendment or alteration of the complaint could give the plaintiff a good cause of action. Those instances are rare, but we believe such is the situation at this time before us.

The legal issue is narrowly directed to the proposition of whether or not the Administrative Adjudication Act is the exclusive procedure by which the appellant may secure a review of the granting of a permit for a branch bank. If such is the case, then the appellant cannot, under any circumstances, have a cause of action which will question the right of The Department of Financial Institutions to issue the permit in this case, which permit the appellant seeks by its writ of mandate to have that department revoke and cancel. If the Administrative Adjudication Act is applicable, the appellant’s time within which to ask for a judicial review (15 days) has expired, and it has no remedy of any nature left to question the *631 issuance of the permit. Burns’ §63-3014 states in relevant part:

“Unless a proceeding for review is commenced by so filing such petition within fifteen [15] days any and all rights of judicial review and all rights of recourse to the courts shall terminate.”

The above provision supports us in the conclusion that the legal issue here may be considered under the motion to dismiss. White v. Bd. of Med. Regis, and Exam. (1956), 235 Ind. 572, 134 N. E. 2d 556.

It is the position of the appellant that the judicial review provided for is applicable only to “orders” or “determinations” by the agency under the wording of the Act (Burns’ §63-3014) and does not govern judicial review of proceedings involving the application for the issuance of permits and licenses.. Burns’ §63-3024 states:

“The provisions of this act ... shall not apply to the proceedings for the issuance of licenses or permits on application but the proceeding for such license or permit by such proceedings shall be under the provisions of the law relating to the particular agency. ...” (our italics)

On the other hand, the appellee contends that this section does not remove licensing from the Act, but that it only provides that the initial proceeding before the agency shall follow the law of the particular agency and that after the granting or denial of the license, the Administrative Adjudication Act becomes applicable for judicial- reviews.

It will be noted in this cáse, as in many other administrative matters, that the granting or denial of a license under the particular law of the agency follows certain notices and hearings peculiar to the *632 agency. In this case the banking act specifically provides for notice and a public hearing on a permit for the establishment of a branch bank. Certain criteria are set out in the statutes that must be met. Burns’ §18-1707.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Indiana Department of Highways v. Dixon
541 N.E.2d 877 (Indiana Supreme Court, 1989)
Shettle v. Meeks
465 N.E.2d 1136 (Indiana Court of Appeals, 1984)
Indiana Environmental Management Board v. Town of Bremen
458 N.E.2d 672 (Indiana Court of Appeals, 1984)
Drake v. Indiana Department of Natural Resources
453 N.E.2d 293 (Indiana Court of Appeals, 1983)
State Ex Rel. Basham v. Medical Licensing Board of Indiana
451 N.E.2d 691 (Indiana Court of Appeals, 1983)
State Ex Rel. Jemiolo v. LaPorte Circuit Court
442 N.E.2d 1060 (Indiana Supreme Court, 1982)
State Board of Beauty Culturist Examiners v. Nuzzo
435 N.E.2d 311 (Indiana Court of Appeals, 1982)
Warram v. Stanton
415 N.E.2d 114 (Indiana Court of Appeals, 1981)
Schenkel v. Allen County Plan Commission
407 N.E.2d 265 (Indiana Court of Appeals, 1980)
State ex rel. Ale House, Inc. v. Rueger
406 N.E.2d 292 (Indiana Court of Appeals, 1980)
Zehner v. INDIANA STATE ALCOHOLIC BEV. COM'N
364 N.E.2d 1037 (Indiana Court of Appeals, 1977)
Zehner v. Indiana State Alcoholic Beverage Commission
364 N.E.2d 1037 (Indiana Court of Appeals, 1977)
Indiana Alcoholic Beverage Commission v. State Ex Rel. Harmon
355 N.E.2d 450 (Indiana Court of Appeals, 1976)
Indiana Alcoholic Beverage Commission v. McShane
354 N.E.2d 259 (Indiana Court of Appeals, 1976)
Sekerez v. Youngstown Sheet and Tube Company
337 N.E.2d 521 (Indiana Court of Appeals, 1975)
Lipinski v. Town of Chesterton
278 N.E.2d 302 (Indiana Court of Appeals, 1972)

Cite This Page — Counsel Stack

Bluebook (online)
189 N.E.2d 583, 243 Ind. 626, 1963 Ind. LEXIS 144, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-ex-rel-calumet-national-bank-v-mccord-ind-1963.