Terrell v. Terrell

155 S.E.2d 511, 271 N.C. 95, 1967 N.C. LEXIS 1161
CourtSupreme Court of North Carolina
DecidedJuly 24, 1967
StatusPublished

This text of 155 S.E.2d 511 (Terrell v. Terrell) is published on Counsel Stack Legal Research, covering Supreme Court of North Carolina primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Terrell v. Terrell, 155 S.E.2d 511, 271 N.C. 95, 1967 N.C. LEXIS 1161 (N.C. 1967).

Opinion

PARKER, C.J.

Plaintiff assigns as error that part of Judge Cowper’s judgment that the referee’s findings of fact Nos. 4, 7, and that part of 12 quoted below are found to be in error:

[102]*102“That portion of Referee’s findings of fact No. 12, reading: . that the plaintiff is entitled to one-half of this sum.’ (the fair rental value of the property at 101 West Durham Road)

Plaintiff contends in her brief as follows:

“Mrs. Terrell filed with the Court, without objection by the defendant, her affidavit stating that she knows of her own knowledge that each and every parcel of real estate now owned by the partners was purchased with partnership funds; that all mortgages placed on the land have been paid back out of partnership earnings. That a part of the land which they have owned at one time or another has been sold in the course of partnership business operations and that without exception all of the money received from the sale of any such land has been treated as partnership money and used as capital funds belonging to the partnership in the normal operation of its business (R. pp. 11 and 12); that she knows that the sole purpose of acquiring any of the land and sole purpose of retaining titles thereto has been to secure for the partnership a permanent place from which to carry on its operations.
“In her oral testimony before the Referee, Mrs. Terrell again testified that the land was bought as a part of the partnership business and for the benefit of the business. (R. pp. 27 and 28). That when land was sold the money was put back into the business, that the buildings were used for business purposes and that all money paid out or received on or from the land was treated as money of Terrell’s Grocery. (R. pp. 28, 30).
“In his oral testimony the defendant confined himself entirely to matters having absolutely nothing to do with the ownership of the land. He at no point raised the slightest contention that they owned this land in any right other than as tenants in partnership. (R. p. 32).
“In short, all the evidence before the Referee shows, therefore, that the real estate owned by the Terrells was bought by them as partners and for the use of their partnership. There is absolutely no evidence that it was bought for any other purpose. Furthermore, the evidence shows clearly that it was paid for with partnership money, and that the real estate has been used solely for the benefit of the partnership.”

The written agreement entered into by plaintiff and defendant on 18 March 1965 is attached to the complaint and made’ a part thereof. This agreement recites .that the parties hereto now and for [103]*103several years prior to signing this agreement have owned as partners that business in the town of Cary which is knowm as Terrell’s Grocery, and the parties hereto desire to enter into this written statement ratifying and confirming their respective owmership in said business. In this agreement the parties agreed with each other as follows: (1) That they own as partners that business in the town of Cary known as Terrell’s Grocery; and (2) that they each own one-half of the assets of said business and are each entitled to one-half of the income therefrom, and that each shall have equal rights as partners in the management and operation of the partnership business.

In the hearing before the referee, J. T. Terrell, the defendant, testified as follows:

“Dieect EXAMINATION by Mr. Sink:
I entered into a partnership agreement on the 18th day of March, 1965. There was no partnership prior to that time. There is no date for the beginning of the partnership because she is not a partner. I signed the agreement on the promise she was going to come back and live with me. That’s why I say she tricked me. I signed the agreement because she says we are going back to live together and she did not want to go back until she was satisfied I was going to sign that paper.
“Cross-ExamiNAtion by Mr. Langston:
Mrs. Terrell and I were living together up until maybe two years ago until about the 10th of December, 1963. She hasn’t been no partner all these years. She worked there for some of these years. She worked in the store some. After she quit her job she worked there regularly and cooked and kept house. I didn’t pay her anything for it and I ain’t been paid neither. Both of us worked for free.
“I signed it so I don’t see where there is any difference. It was my mistake. I have done and done it and there is nothing I can help about it. The 18th day of March, 1965, would be my date as to date at which a partnership began because the way she got it would tricking me and I had an honest opinion about it that we was going back and living together.”

In Davis v. Davis, 184 N.C. 108, 113 S.E. 613, the proper procedure when a judge reviews a referee’s report is as follows:

“When exceptions are taken to a referee’s findings of fact and law, it is the duty of the judge to consider the evidence and give his own opinion and conclusion, both upon the facts and the law. He is not permitted to do this in a perfunctory way, [104]*104but he must deliberate and decide as in other cases — use his own faculties in ascertaining the truth, and form his own judgment as to fact and law. This is required not only as a check upon the referee and a safeguard against any possible error on his part, but because he cannot review the referee’s findings in any other way.”

The report of the referee is under the control of the court, and the power of review is a broad one and the court may “set aside, modify, or confirm it in whole or in part.” G.S. 1-194.

It is manifest from the record that Judge Cowper believed the testimony of Joseph Theodore Terrell, the defendant, that there was no partnership agreement between plaintiff and himself and although it is stated in the agreement attached to the complaint and made a part thereof that the parties for several years prior to the signing of this agreement on 18 March 1965 were partners, plaintiff “tricked” him into signing this agreement upon her promise that she was going to come back and live with him, which in fact she did not do. In addition, the referee’s unchallenged finding of fact No. 5 “that no partnership tax returns were ever filed,” fortifies defendant’s testimony. It is equally manifest that Judge Cowper did not believe the testimony of plaintiff that there was any partnership before that date.

“It is fundamental, of course, that a referee’s finding of facts must be predicated on, and reasonably warranted by, the evidence before him and not be contradictory thereof; he cannot infer and find a material fact directly contrary to the evidence before him on a reference.” 45 Am. Jur., References, § 35.

Judge Cowper in the exercise of his duty to consider the evidence given, in the performance of the duty imposed upon him by virtue of the provisions of G.S. 1-194, held that the referee’s findings of fact Nos.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Porter v. CITIZENS BANK OF WARRENTON, INCORPORATED
111 S.E.2d 904 (Supreme Court of North Carolina, 1960)
Smith v. Smith
120 S.E.2d 575 (Supreme Court of North Carolina, 1961)
Smith v. Smith
107 S.E.2d 530 (Supreme Court of North Carolina, 1959)
Heaton v. . Kilpatrick
143 S.E. 644 (Supreme Court of North Carolina, 1928)
Threadgill v. . Faust
195 S.E. 798 (Supreme Court of North Carolina, 1938)
Flynt v. . Conrad
61 N.C. 190 (Supreme Court of North Carolina, 1867)
Lytton Manufacturing Co. v. House Manufacturing Co.
77 S.E. 233 (Supreme Court of North Carolina, 1913)
Walters v. . Walters
90 S.E. 304 (Supreme Court of North Carolina, 1916)
First National Bank v. Hall
161 S.E. 484 (Supreme Court of North Carolina, 1931)
Atkinson v. . Atkinson
33 S.E.2d 666 (Supreme Court of North Carolina, 1945)
Ramsey v. . Nebel
39 S.E.2d 616 (Supreme Court of North Carolina, 1946)
Williams v. Williams
56 S.E.2d 20 (Supreme Court of North Carolina, 1949)
Davis v. . Davis
113 S.E. 613 (Supreme Court of North Carolina, 1922)
Atkinson v. Atkinson
225 N.C. 120 (Supreme Court of North Carolina, 1945)

Cite This Page — Counsel Stack

Bluebook (online)
155 S.E.2d 511, 271 N.C. 95, 1967 N.C. LEXIS 1161, Counsel Stack Legal Research, https://law.counselstack.com/opinion/terrell-v-terrell-nc-1967.