State Ex Rel. Coan v. Plaza Equity Elevator Co.

249 N.W. 108, 63 N.D. 557, 1933 N.D. LEXIS 206
North Dakota Supreme Court·Decided May 13, 1933·No. File No. 6125.·Published·Cited by 2 cases

Opinion

*561 Birdzell, J.

Tbe Hartford Accident and Indemnity Company appeals from a judgment entered against it and tbe Plaza Equity Elevator Company. Tbe judgment was entered upon tbe verdict of tbe jury rendered in this and another action brought by Erank Coan, as plaintiff, against tbe Plaza Equity Elevator Company. Tbe two actions were consolidated upon plaintiff’s motion, notwithstanding tbe resistance of the appellant. See Coan v. Plaza Equity Elevator Co. ante, 426, 249 N. W. 104.

The first issue presented on tbe appeal is whether or not the court erred to the prejudice of the appellant in ordering tbe instant suit to be consolidated with tbe action of Coan against the elevator company. In order to determine that issue, it is necessary to state some of the procedural facts appearing in the record.

In tbe fall of 1924 tbe Plaza Equity Elevator Company operated a warehouse for the storage of grain in Plaza, North Dakota. In 1926 it bad executed and filed a warehouseman’s bond, upon which tbe appellant was surety, which was stipulated to terminate on the 31st day of July, 1925. During tbe fall of 1924 Erank Coan stored certain grain in tbe warehouse of tbe Plaza Equity Elevator Company, which grain was later sold at tbe direction of one Stevenson, president of tbe State Bank of Berthold, and the proceeds of tbe sale were paid over to Stevenson in December of that year. About tbe 1st of December, 1921, Coan commenced an action against the elevator company to recover damages on account of tbe alleged unauthorized sale of tbe grain so stored and of tbe neglect and refusal of tbe defendant to honor a later demand for tbe delivery of tbe grain. Eor the history of that action, see Coan v. Plaza Equity Elevator Co. 60 N. D. 51, 232 N. W. 298, id. 61 N. D. 627, 239 N. W. 620, id. ante, 426, 249 N. W. 104.

In December, 1930, tbe instant action was commenced upon tbe warehouseman’s bond. In tbe complaint tbe execution of tbe bond is alleged and the delivery of tbe grain thereafter, together with the failure and refusal of tbe “defendant” to comply with the demands of the “plaintiff” for said grain. Tbe complaint further alleges tbe pendency of tbe action against tbe Plaza Equity Elevator Company and tenders *562 to the defendant surety an opportunity to participate in the trial of tbe action on its merits. There are further allegations as to the elevator ■company engaging generally in the business of storing grain, a lack of information as to liability on the warehouseman’s bond to others than the use plaintiff, Frank Coan, and the consequent bringing of this action “in equity” for the use and benefit of all persons to whom the “defendants” may be liable on the bond. There is a declaration as follows: “the action last above referred to will be pushed to judgment, and when and if a judgment is entered in favor of the said Frank Coan and against the Plaza Equity Elevator Company, a corporation, such judgment will be used as determining the liability of the defendants to the said Frank Coan, and as representing his share, and to be used in determining the division of any liability of the defendants in dividing it among the said Coan and others similarly situated.” The prayer is for a judgment in favor of the use plaintiff for any sum which may be obtained by judgment against the elevator company in the action pending against it and for judgment in favor of the plaintiff' for any .sum that may be shown to be due others situated similarly to the use plaintiff and for costs. The answer was, in substance, a general denial.

On the 17th of October, 1931, the plaintiff’s attorney served upon the attorneys for the surety a notice of motion that the plaintiff be allowed to file a supplemental complaint, which proposed supplemental complaint embodied allegations with reference to the proceedings in the .action against the warehouseman. An order permitting the filing of the supplemental complaint was made on October 26, 1931. Two days later the plaintiff’s attorney admitted service of a demurrer to the complaint “as the same stands now of record and as supplemented and aided by the supplemental complaint filed herein under order of court entered October 26th, 1931,” upon the ground that sufficient facts are not stated to constitute a cause of action against the demurring defendant, the appellant. Previous to this, in July, 1931, the attorneys for the surety defendant had served notice that they would move to withdraw the answer and file a demurrer. The record shows no disposition of this motion, if in fact it was made.

On the 21st of January, 1932, the attorney for the plaintiff in both actions gave notice of hearing of a motion to consolidate the two actions for trial as one. At the opening of the trial on February 26, *563 1932, plaintiff’s attorney announced the withdrawal of the supplemental complaint on account of certain changes in the factual situation concerning the pendency of the action against the warehouseman, and stated the action would go to trial on. the original complaint, whereupon the attorney for the surety defendant asked for disposition of the issue of law raised by its demurrer to the original complaint. The court heard the demurrer, overruled it, and then granted the motion for consolidation.

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State Ex Rel. Coan v. Plaza Equity Elevator Co., 249 N.W. 108, 63 N.D. 557, 1933 N.D. LEXIS 206 (N.D. 1933).

249 N.W. 108 (State Ex Rel. Coan v. Plaza Equity Elevator Co.) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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290 N.W. 241 (North Dakota Supreme Court, 1940)
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261 N.W. 46 (North Dakota Supreme Court, 1935)