Succession of Hoss

33 La. Ann. 1256
CourtSupreme Court of Louisiana
DecidedOctober 15, 1881
DocketNo. 65
StatusPublished

This text of 33 La. Ann. 1256 (Succession of Hoss) 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
Succession of Hoss, 33 La. Ann. 1256 (La. 1881).

Opinion

The opinion of the Court was delivered by

Todd, J.

James Hoss died in September, 1873, in the city of Shreveport. At the time of his death he was a member of the commercial partnership of Hoss & Noel, doing a mercantile business in said city.

Soon after Hoss’ death, the surviving partner, Taylor Noel, applied for the appointment of liquidator of the partnership, but never thereafter qualified as such. He, however, by the consent of the administrator of Hoss’ (his deceased partner’s) succession, retained in his possession and under his control the effects of the partnership. These effects consisted of the stock of goods, notes, accounts, rights and credits belonging to the firm, and appraised at $13,309 35. Noel sold the stock of goods, and gave his attention to the collection of the debts due the firm* and to the payment of its liabilities; till the 5th of January, 1875, when the books, notes, accounts, etc., were turned over by him to Messrs. Egan & Wise, the attorneys of the administrator of James Hoss’ succession.

Jacob Hoss, the administrator of this succession, was appointed in December, 1873, and in the petition for his appointment he stated that it was the wish of Taylor Noel, surviving partner, and of the creditors of the firm, that he should take charge of and administer the effects of [1257]*1257the partnership. These éffects were included in the inventory of the succession, to the extent of the deceased’s interest therein, which was two-thirds; Noel’s interest embracing the other third.

Notwithstanding his appointment, and that his application included an administration of the partnership effects, Hoss still permitted Noel to remain the actual administrator of the partnership, as stated, down to the 5th of January, 1875.

On the 17th February, 1877, Hoss filed his first account of administration, which was homologated on the 26th May, 1877, not having been opposed.

On the 11th of June, 1878, the administrator filed his second account. This account was opposed by the largest creditors of the firm, and by Noel, the surviving partner. The former, however, subsequently withdrew their opposition, and the opposition of Noel alone remained. It was tried in the District Court, before a judge ad hoc, and dismissed, and the account homologated; and from this judgment he, Noel, has appealed.

The opposition alleges neglect and laches on the part of the administrator, through which, it is' charged, that the larger part of the notes and accounts and other assets of the firm were lost. The administrator’s accounts show only a small part of the debts due the firm, according to the inventory, to have been collected; and the sole question presented, is, whether the administrator is liable to the surviving partner of the firm for the amounts uncollected or any part thereof. It is mainly a question of fact. The counsel for the opponent have correctly laid down the abstract legal principles governing the duties and obligations of administrators and measuring their liability, and supported them by numerous and apposite authorities. They would prove conclusive in this case touching the liability of this administrator did the facts of the case justify their application.

What are the facts ?'

As previously stated, the entire assets of the partnership were retained for more than a year after its dissolution by the opponent, as surviving partner, with the permission of the administrator. This was an irregularity on the part of the administrator, and there is no doubt that, if any loss had occurred in that time, by reason of the neglect or want of diligence on the part of the person thus entrusted, without authority of law, with the collection of the debts, and the administration of the effects of the firm, the creditors of the firm, — and there were large claims outstanding against it, — would have had just cause of complaint; and the administrator would, in that event, be clearly responsible to them for such loss. Upon this point, however, we have in the record the testimony of Noel himself, who says

[1258]*1258“ James Hoss died in August or September, 1873, 'with yellow fever; as soon as the epidemic ceased, in the latter part of October, 1873, witness went to work to liquidate and settle the partnership, and gave his diligent labor to that end and purpose up to the 5th of January, 1875, when he turned over to Jacob Hoss, administrator.”

It Is evident to every one having experience in such matters, that the year following the dissolution of a partnership, particularly one dissolved by the death of a partner, is the most propitious time for collecting the debts due the dissolved firm. As a general rule, the main collections must be made within that time or never, and can be more successfully made by the surviving partner, from his intimate acquaintance with the business and his personal interest in the matter, than by any one else. If, as he says, he used- due diligence in their collection, it is reasonable to presume that all debts remaining uncollected after that period, were either bad debts or debts -whose collection would be attended with difficulty and delay. If the surviving partner did use every effort to collect them during that period and failed to do so, he certainly cannot charge such failure to the administrator, whatever the creditors of the partnership might do. On the contrary, however, had he failed to use the proper diligence, and the failure to collect during that time been attributable to his neglect, he would be justly responsible to the administrator of his deceased partner’s succession for his laches, instead of that administrator being responsible to him, as he claims in this case, for that would be to permit him to profit by his own wrong, and in the absence of complaining creditors he has no right to champion their claims and in their behalf seek to hold the administrator responsible for failures or delinquencies occurring at any period of the administration.

On the 5th of, January, 1875, Noel, having sold, as stated, the stock of goods and collected part of the debts, delivered the books and uncollected claims to Messrs. Egan & Wise, attorneys of the administrator, who receipted to him for them. Some of the larger notes had, however, been turned over to them by Noel for collection previously.

To ascertain what degree of diligence was used by this firm in the collection of these claims after they came into their hands, we must refer to the testimony in the record.

Mr. Wise, one of the firm, called as a witness, on this point, says:

“ A few months after the death of James Hoss, and after the yellow fever epidemic had subsided, Taylor Noel employed the firm of Egan & Wise to have him qualified as liquidating partner of the firm of Hoss & Noel. We made the application for his appointment, and he went into the possession of the assets and remained in possession until January, 1875. * * * The only claims or assets of the firm received [1259]*1259by Jacob Hoss or his attorneys, were such as those shown by the vouchers on file. After we got the books into our office, in 1875 or 1876, we got J. W. Tabor, a competent bookkeeper, to draw off a large number of accounts due by various persons and for various amounts. We presented these accounts to the various persons as soon as we could see them or communicate with them, and, in most instances, were shown the receipts of Taylor Noel for the amounts.”

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Bluebook (online)
33 La. Ann. 1256, Counsel Stack Legal Research, https://law.counselstack.com/opinion/succession-of-hoss-la-1881.