State v. Rathbone

81 So. 334, 144 La. 835, 1919 La. LEXIS 1636
CourtSupreme Court of Louisiana
DecidedMarch 3, 1919
DocketNo. 23134
StatusPublished
Cited by5 cases

This text of 81 So. 334 (State v. Rathbone) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
State v. Rathbone, 81 So. 334, 144 La. 835, 1919 La. LEXIS 1636 (La. 1919).

Opinion

O’NIELL, J.

This suit was brought to recover from the Louisiana Cypress Lumber Company and its president, as debtors in solido, $315,000, alleged to be the value of cypress timber taken from a sixteenth section. The suit against the president was dismissed; the evidence being that he had acted only as president of the lumber company in the transactions complained of. Judgment was rendered against the lumber company for $11,248.52; and, as the plaintiff alone has appealed, the only question for decision is whether the judgment should be in[837]*837creased in amount, and, if so, to what amount.

Appellant complains that the district judge erred in ruling that the defendant’s liability was governed by the doctrine of the case of the State v. E. B. Williams Cypress Co., 131 La. 62, 58 South. 1033, where it was held that the defendant, who, under an unauthorized and invalid contract with the school board, had cut and taken the forest timber from a school section and converted it into lumber and cross-ties, was legally — though not morally — in bad faith, and was therefore liable for the manufactured product of the timber, less the cost of logging and manufacturing it. Appellant contends that the defendant in this case should be condemned to pay the value of the lumber into which the timber was converted, without deduction for cost of logging or manufacturing.

In this case, as in the case of the Williams Company, the defendant bought the timber, or acquired what defendant believed was the right to cut and remove it, from the school board of the parish in which the school section was situated. The school board, in this instance as in the Williams Company’s Case, had no authority in law to make the contract. It is not contended, however, that the defendant, or the school board, was guilty of dishonesty or fraud in the transaction. There is not an allegation in the petition that could be construed as a charge that defendant was guilty of collusion with the school board, or fraud, dishonesty, or imposition in the manner of acquiring the timber. The charge is merely that a certain contract previously entered into between the school board and a third party, from whom defendant acquired it, and a renewal of the contract, given afterwards by the school board to defendant for a cash consideration, were “illegal, null, and void, and should be so decreed, for the following reasons, to wit.” The reasons, stated broadly, are: (1) That the board did not submit the proposition to a vote of the residents of the township; (2) that the board did not give notice of the time when or place where the property would be sold; (3) that the contract, purporting to be a lease, but purporting also to give the right to take away the standing timber, was not awarded to the highest bidder or offered at public auction; (4) that the contract did not have for its object the conservation of the property, but purported to give the right to take away the timber, which was.the only value of the property, and that it was therefore prima facie illegal; (5) that the price paid was inadequate; (6) that the contract was not authorized by any act of Congress or statute of the state, and could not have been valid without such authority. The prayer of the petition was that the contract be decreed illegal, null, void, and of no effect, that the defendants 'be decreed to have been possessors in bad faith, and be ordered to return the lumber into which the timber had been manufactured, amounting to 9,000,000 feet board measure, or, in the alternative, be condemned, in solido, to pay the value thereof, $315,-000, with legal interest from judicial demand. The suit, therefore, is not an action for trespass, but an action for nullity of a contract and for restoration of what was received by the defendant in virtue of the contract.

[1, 2] It is true, plaintiff made the allegation — which we regard as a conclusion of law from the facts alleged — that defendant was a possessor in bad faith. But the bad faith that is attributable to the defendant, in a case such as the plaintiff has set forth and proven, has been adjudged legal bad faith— the bad faith that is imputable to one whose ignorance of the truth is due to his fault or negligence — not fraud or dishonesty. The measure of liability in such case is the rule laid down in the Williams Company’s Case [839]*839and adopted by the' district judge in this case; that is, the value of the manufactured product, less the cost of logging and manufacturing.

Our opinion is that the district judge was correct in his ruling that the basis for the calculation should be the value which the manufactured product had at the time the timber was taken and .converted into lumber. To take the value at the time the suit was filed would be a matter of speculation. The plaintiff has no more right to the advantage resulting from an increase in value than the defendant would have to the advantage if the value had decreased. We cannot assume that the timber would have remained unsold and uninjured when this suit was filed, 17 years after the trees had been cut and taken away, if the defendant had not made the contract with the school board. As a matter of fact, the school board had made the contract with another party, from whom defendant acquired it after a part of the timber had been felled and taken away. Hence the loss that the plaintiff sustained on account of the defendant’s dealings, in this case, must be determined by the value the lumber had at the time of the operations complained of.

[3, 4] We find no difficulty in approximating the quantity of timber taken by the defendant. Plaintiff employed three expert estimators, and defendant two, who went into the swamp and counted the trees and measured or estimated their size from the remaining stumps and tops, and testified in the case. Defendant also produced as a witness the woods foreman who had superintended the logging operations and measured or estimated the size of each log that was hauled out by the pull boat, and who produced his book containing the log scale made at the time. One of the estimators employed by plaintiff testified that, according to his estimate, the quantity of timber taken by defendant was 6,081,208 feet and that the trees deadened and left standing amounted to 349,-050 feet. Another estimator employed by plaintiff testified that the quantity of timber removed by defendant was, according to his estimate, 6,962,S56 feet and that the amount deadened and left standing was 731,-448 feet. And the figures given by the third estimator for plaintiff were: Timber removed 5,343,750 feet; timber deadened and left standing 971,250 feet. One of the estimators employed by defendant testified that, according to his measurements or estimates, 4,932,-000 feet of timber had been removed and 971,250 feet deadened and left standing; and the other testified that his measurements or estimates showed that only 3,703,000 feet of timber had been removed by defendant, and that 411,125 feet had been deadened and left standing. The log scale produced and verified by the witness who had served as woods foreman showed that 4,480,000 feet of timber had been pulled. The district judge, giving equal credit to each of the five estimators and the same credit to the log scale, adopted the general average. But the accuracy of the log scale, made from actual measurements taken when the timber was pulled, is so satisfactorily verified, as to the number and size of the logs, that we see no reason for rejecting it and adopting the varying estimates of the witnesses.

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Cite This Page — Counsel Stack

Bluebook (online)
81 So. 334, 144 La. 835, 1919 La. LEXIS 1636, Counsel Stack Legal Research, https://law.counselstack.com/opinion/state-v-rathbone-la-1919.