Sutherland v. Reeve

41 Ill. App. 295, 1890 Ill. App. LEXIS 658
CourtAppellate Court of Illinois
DecidedJuly 30, 1891
StatusPublished
Cited by1 cases

This text of 41 Ill. App. 295 (Sutherland v. Reeve) is published on Counsel Stack Legal Research, covering Appellate Court of Illinois primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Sutherland v. Reeve, 41 Ill. App. 295, 1890 Ill. App. LEXIS 658 (Ill. Ct. App. 1891).

Opinion

Per Curiam.

On the hearing of this case in the Circuit Court,the following opinion was rendered by Judge Tuley:

“The bill alleges that about February, 1874, he (Beeve) retained Sutherland as his solicitor, to attend to and collect the claim of Beeve against the Great Western Telegraph Company, for a reasonable compensation to be paid out of the proceeds of the claim when collected, and that up fo the filing of the petition in this ease, Sutherland continued to be his solicitor in said matter. That in 1876, David A. Gage, who it appears was a friend of Beeve’s and had been president of the telegraph company, came to Beeve and stated that there was a move to sell the Great Western Telegraph Company to the Western Union, and requested Beeve to assign his claim to him (Gage) so that he could show that he had a right to control the same, and thereby the sale of the lines of the Great Western Telegraph Company to the Western Union could be accomplished, in which event Beeve would get the money on his claim. If no sale -could be made, he (Gage) would return the assignment to him (said Beeve). That he (Beeve) thereupon made a written assignment to Gage of his said claim; that no sale was made to the Western Union, but Gage did not return the assignment to Beeve. That in 1879 Sutherland went to Denver, where Gage had heen living for a number of years, and obtained the assignment of the claim to himself, upon the representations that he was the attorney of Beeve, and upon the false representation that Beeve had authorized him to take and receive from Gage an assignment of the said claim. That thereupon, and on the 7th of August, 1879, Sutherland appeared in court in the Terwilliger case and moved the court that the accounting by and between Beeve and the Great Western Telegraph Company, then pending, be henceforth carried on and be prosecuted on the part of said Beeve for the use and benefit of himself (Sutherland); which motion was signed, ‘Thos. J. Sutherland, solicitor of record for Selah Beeve, and the owner of the claim of Selah Beeve against the Gt. West. Tel. Co.’ That the court thereupon entered an order to the effect that Sutherland was the owner of the claim, and that the same be prosecuted for his use and benefit. That no notice was given Beeve of the filing of the motion, the pendency thereof, or of the order therein. That on September 29, 1879, a decree was entered in the Terwilliger case on the report of the master to whom the case was referred, to take proof as to the claim of said Beeve, finding and decreeing a claim in favor of Beeve for §154,861.25.

The bill alleges that visible property of the company was sold by the order of this court in 1880, for the sum of §15,000, which petitioner supposed from information derived from Sutherland exhausted all property and assets of the corporation liable for the payment of its debts and the costs of ]the court proceeding. That there was in fact an unpaid stock liability to an amount more than sufficient to pay in full petitioner’s claim, which fact it is alleged Sutherland studiously concealed from Reeve. That Reeve did not learn of the action of the court in adjudicating the ownership of his claim to Sutherland, nor of the assignment by Gage to Sutherland of his claim, until February, 18S8.

The prayer of the bill is to impeach and to have set aside the order which finds Sutherland to be the owner of the Reeve claim, and that it be prosecuted for his benefit; and also, so much of the decree of September 29, 1879, as finds and decrees to the same effect, and that the proceeds of the claim be paid to Sutherland; also for general relief. An answer under oath is not waived.

The Answer.

An answer under oath was required, and was filed by Sutherland. It has been twice or more amended, and one of the amendments put in without being sworn to. It is a serious question whether that does not make the entire answer as of no more value than if it was not an answer under oath. In the view I take of this case it is unnecessary to decide that question. It is sufficient to say that the answer carefully denies all the allegations of fraud or misconduct.

The Defense set up hy the Answer.

It admits the employment as attorney and solicitor to collect the claim, but avers that it was agreed that he was to have one-half of the claim as compensation, which Reeve should shortly assign to him, which he never did.

Admits that he (Sutherland) acted as Reeve’s attorney from February, 1874, until May, 1875, and alleges that he has never since represented Reeve or claimed to represent him in said litigation, or about the prosecution of the claim.

Admits the motion and order therein that the claim of Reeve be prosecuted for his benefit, and that no notice thereof was given said Reeve, and alleges notice unnecessary, as Reeve then had no interest in claim, and he (Sutherland) was by purchase and assignment the owner thereof.

Alleges Beeve had personal knowledge and notice of the order, in the said month of August, 1879, and charges laches by acquiescence from then until he filed this petition in 1889; also, that Beeve, shortly after entry of final decree of September 29, 1879, knew of same.

Alleges that Beeve gave no attention to the claim from July, 1876, and was not represented by counsel, and had no need to be, as he had no ownership in claim.

That Beeve had no money and paid none to his attorney. That defendant was continuously occupied during the year 1874, before the master, in the prosecution of the claim. That it became necessary for Beeve to raise money, and in order to do so he entered into an agreement in writing, dated October 12, 1874, with the McMullen Bros., by which he sold them an undivided 52-J- per cent of said claim (and of any decree to be obtained thereon) after deducting all advances they might make Beeve. That they advanced said Beeve about §7,000.

That defendant did not know contents of the McMullen agreement until 1879. That the master in this cause about December, 1874, reported in favor of the Beeve claim to the amount of §54,000, objections were filed, and a few months thereafter Beeve, in fraud of defendant’s and of the McMullens’ rights, attempted to sell said claim; discovering which, defendant filed a bill in equity in this court to compel Beeve to assign him a portion of said claim, as provided by the retainer of said defendant. That Beeve became angry and thereafter refused to have any communication, oral or written, with the defendant, and immediately discharged defendant as his solicitor, and filed in the case a written discharge to that effect. That because of said discharge and the refusal of complainant to have any communication with defendant, he (defendant), from and after May, 1875, ceased to act as his solicitor, and has never since so acted or pretended so to act, or to represent said Beeve or his interest therein. That with but one exception Beeve has never since spoken to defendant and has never since been in his office, although said Beeve was in the city of Chicago constantly up to and during the year 1878. That since said month of May, 1875, Beeve neglected and abandoned said claim, and refused to prosecute the same because he believed there was no prospect of success, and gave no further attention to the same; and because he had sold and assigned the said claim on 28th July, 1876, for value, to David A.

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Cite This Page — Counsel Stack

Bluebook (online)
41 Ill. App. 295, 1890 Ill. App. LEXIS 658, Counsel Stack Legal Research, https://law.counselstack.com/opinion/sutherland-v-reeve-illappct-1891.