Stuyvesant Ins. v. Jacksonville Oil Mill

22 F.2d 515, 1927 U.S. App. LEXIS 3366
CourtCourt of Appeals for the Sixth Circuit
DecidedNovember 16, 1927
DocketNos. 4847, 4848
StatusPublished
Cited by3 cases

This text of 22 F.2d 515 (Stuyvesant Ins. v. Jacksonville Oil Mill) is published on Counsel Stack Legal Research, covering Court of Appeals for the Sixth Circuit primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stuyvesant Ins. v. Jacksonville Oil Mill, 22 F.2d 515, 1927 U.S. App. LEXIS 3366 (6th Cir. 1927).

Opinion

KNAPPEN, Circuit Judge.

Defendant in error, engaged at Jacksonville, Tex., in the manufacture of cotton oil and by-products (cake, meal, and linters), was insured by the respective plaintiffs in error against loss by fire as respects use and occupancy of buildings and machinery, in the aggregate sum of $23,400 ($10,000 in the Stuyvesant, and $13,-400 in the Globe & Rutgers), for a term of one year ending August 15, 1923. On October 16, 1922, the buildings and machinery were so largely destroyed by fire as to entirely prevent operation from the last-named date until the end of the then current season, viz. March 31, 1923. By the terms of [516]*516the policies the insurers were liable “for not exceeding one hundred fifty ($150.00) dollars for each and every working’day” between the date of the fire and March 31st following (in this case, 143 working days), it appearing that before that date the buildings and/or machinery could not with reasonable diligence be repaired, rebuilt, or replaced as before the fire. For such loss each insurer was liable in the ratio which the amount of its insurance ($10,000 and $13,400, respectively) bore to the aggregate amount of $23,400.

Reviewing the first trial, this court held that the policies were “open,” as distinguished from “valued.” 10 F.(2d) 54. On the second trial (the cases were tried together) plaintiff recovered against the Stuyvesant Company $9,166.67, and against the Globe & Rutgers Company $12,283.32, plus interest at 6 per cent, from April 3, 1923. The aggregate principal of the. two judgments ($21,449.99) lacked 1 cent of representing recovery of $150 per day for the full 143 working days. This writ is to review those judgments.

In this court the alleged errors relied upon are:

(a) That there was 'no evidence to support a recovery of either $150 per day as earning capacity — the value of use and occupancy — or for the full period of 143 secular days, but that, as respects both of these features, the recovery was excessive. There is now no contention that the evidence would not sustain any recovery by plaintiff. Indeed, defendants would have no standing as to such claim, for the reason that motion to direct verdict for defendants, made at the close of plaintiff’s testimony, was not renewed at the close of all the testimony. Hansen v. Boyd, 161 U. S. 397, 16 S. Ct. 571, 40 L. Ed. 746.

(b) That error was committed with respect to the admission of testimony for plaintiff.

As to insufficiency of evidence: The scope of the enquiry is necessarily narrow. Defendants made no request for instructions to the jury. The court charged that the number of working days involved was 143, and that the maximum recovery permissible under the policies was $150 per day, and gave the maximum recovery upon the two policies in the same amounts as actually found by the jury. No exceptions were taken to the charge in any respect. If it is open to the defendants to raise here the question of the sufficiency of the evidence as to the value of use and occupancy, as respects either number of days or amount per day, it can only be because of the denial of motion for new trial, which contained, as one of its grounds, the allegation of lack of “evidence of any loss in or to the extent of the amount of the verdict, and the verdict in the amount in which it has been rendered is not supported by any evidence.” The general rule is that the oyerruling of a motion for new trial is an exercise of discretion, which will not be reviewed. Counsel cite Pugh v. Bluff City Excursion Co. (C. C. A. 6) 177 F. 399, and Glenwood Co. v. Vallery (C. C. A. 8) 248 F. 483, as holding that whether the evidence is susceptible of any interpretation justifying the verdict is properly reviewable in the appellate court. To say the least, it is open to serious doubt whether upon the record here either of those cases is in point.. Both those eases invoked the principle that the general rule relating to exercise of discretion does not apply where the verdict is inconsistent on its face1 or shows an abuse of power on the part of the jury, thus making the court’s obligation to grant a new trial a positive duty and not discretionary.

In the Pugh Case — an action for wrongfully causing the death of plaintiff’s son — the jury found for the plaintiff, but assessed damages at $1, in the face of not seriously disputed facts that the son, at the time of his- death, was 29 years old and in good health; that he was capable of earning, and at the time of his death had been earning, $20 per week; that plaintiff was almost entirely dependent upon her son and daughter, who contributed to her support. In the Glen-wood Case the jury, in violation of instructions, found for an amount less than that which the' uncontroverted evidence showed plaintiff was entitled to recover, if at all. The refusal of motion for new trial was such an abuse of discretion as to justify reversal of the judgment.

In the instant case there was explicit testimony submitted to the jury to the effect that plaintiff could have operated its mill for 143 days at a profit of $150 per day. Upon review of the denial of this motion for new trial, defendants are plainly not entitled to be heard upon criticisms that such conclusions or opinions of fact were based upon alleged fallacious assumptions and mistaken conceptions. Such considerations are addressed ultimately only to the weight or credibility of plaintiff’s evidence, or to questions of competency or of legal effect. To illustrate: Defendants contend that the [517]*517value of the use and occupancy is to be separately determined for each particular day, and that the profit for the day must bo determined solely with reference to the expense of the individual day’s operation, including the market price of seed as compared with the market price of the oil and by-products on the same day.

Wo think this proposition utterly devoid of merit. The argument is that to hold the product until later in the season, when a better price can be obtained, is a purely speculative operation. Naturally enough, no authorities are cited in support of this contention. True, some of the witnesses spoke of holding products for better prices as a speculation. Such holding may well go to that extent, but clearly such holding as was assumed by these witnesses was not necessarily speculative, as distinguished from a reasonably prudent management of the business. There was competent testimony tending to show that the practice in question accorded with reasonably prudent management. There was no testimony to the contrary. It also appeared that the season of 1922-1923 was an unusually profitable one; that the season of 1921-1922 had been a poor year for manufacturers, some of them being driven out of business, but that in the season of 1922-1923 there was an abundance of seed and little competition in manufacture, and that the prices both of seed and of the finished product during practically the entire season were rising. Plaintiff’s president testified:

“I %vas president of another mill, the Athens oil mill. I gave personal attention at both places. I lived at Athens. My principal office was there. Cotton seed was steadily advancing in price at the time of the fire. It continued steadily to advance until March, observing which I held back my sales — that is, a part of it — as much as I could for anticipated greater price. My judgment was good as to that. We frequently held the oil in the seed.

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Cite This Page — Counsel Stack

Bluebook (online)
22 F.2d 515, 1927 U.S. App. LEXIS 3366, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stuyvesant-ins-v-jacksonville-oil-mill-ca6-1927.