Terry v. Stull

169 A. 739, 20 Del. Ch. 39, 1933 Del. Ch. LEXIS 65
Court of Chancery of Delaware·Decided December 9, 1933·Published·Cited by 12 cases

Opinion

The Chancellor :

The interrogatories were filed under Rule 34 of this court. That rule was patterned very largely after Rule 58 of the Federal Equity Rules (28 USCA § 723). Mackenzie Oil Co. v. Omar Oil & Gas Co., 13 Del. Ch. 307, 119 A. 124. The Federal Courts have held that the 5Sth Equity Rule was intended merely to change the procedure in reference to obtaining discovery and to extend the right to a defendant as well as to a complainant; it never was intended to disturb the principles prevailing in the old practice, both American and English, governing the subject matter and the extent to which discovery might be elicited. J. H. Day Co. v. Mountain City Mill Co., et al., (D. C.) 225 F. 622; F. Speidel Co. v. N. Barstow Co., (D. C.) 232 F. 617; Wolcott v. National Electric Signaling Co., (D. C.) 235 F. 224. Those principles remain equally undisturbed by Rule 34 of this court.

A complainant in a bill in equity is entitled to an answer from the defendant to supply proof in support of his case. Our Rule 38 requiring that a defendant shall “fully and responsively” answer all the well pleaded allegations and charges of the bill, with certain exception, is but the embodiment of the ancient principle governing the subject. But as there was always a risk that a complainant might be deprived of the full discovery to which he is entitled by the defendants’ answering according to the letter only, the practice grew up of adding interrogatories to the bill by which the defendant’s knowledge and information of the material facts charged in the bill might be probed through particular inquiries addressed to him in such a variety of ways as to make evasion more difficult. [42] The interrogatories constituted what was known as the interrogating part of the bill. Story’s Equity Pleading, (6th Ed.) § 35. Now, however, under our rules interrogatories are not confined in their availability to complainants alone, but may be resorted to by defendants, and, if the complainant desires .to make use of them, he may either append them to his bill or, on leave of the court, file them at a later time in the progress of the cause.

It was the old rule that every interrogatory should be founded upon statements in the bill. 1 Daniel’s Chancery Practice, (4th Ed.) 483. Such is the rule to-day as far as a complainant is concerned. It is embraced within Rule 34 of this court in the requirement that “all interrogatories shall be * * * manifestly and demonstrably founded upon the pleadings.” It is but a corollary to that rule for the courts to say, as they have said in the following cases, that the disclosure sought by interrogatories “must be of ultimate facts only, material to the support or defense of the cause, and not of mere evidence, or of facts tending to prove the nature of the case, or the facts upon which it is based.” Byron Weston Co. v. L. L. Brown Paper Co., (D. C.) 13 F. (2d) 412, 413; Wolcott v. National Electric Signaling Co., supra; J. H. Day Co. v. Mountain City Mill Co., et al., supra; Luten v. Camp, (D. C.) 221 F. 424; P. M. Co. v. Ajax Rail Anchor Co., (D. C.) 216 F. 634. Many of the interrogatories excepted to are open to objection as offending against that corollary to the rule. They are addressed to an inquiry upon matters that are merely evidentiary in character, , tending at the best to prove some collateral fact from which some argumentative inference may be drawn with respect to the ultimate facts that- need to be established. It was said by the court in Miller & Pardee, Inc., v. Lawrence A. Sweet Mfg. Co., (D. C.) 3 F: (2d) 198, 199, that “interrogatories should not go to the length of examination and cross-examination on evidentiary matter.” Many of the interrogatories excepted to go to that length: For illustration, Philip B. Stull is asked if he [43] did not receive certain shares of stock from his father, which shares, it is the theory of the complainant’s case, were received under circumstances which impress them in the hands of Philip B. Stull with a trust in his father’s favor. The framer of the interrogatories then proceeded apparently on the assumption that Philip B. Stull would admit owning the shares but would deny having received them from his father, and, so assuming, propounded numerous interrogatories by which he interrogated Philip B. Stull upon his earning power, his resources, etc. . Now, of course, it is apparent that the object of those interrogatories is to show, if possible, that Philip B. Stull had no money of his own with which to purchase the shares and, if so, that the inference is deducible that he must have gotten them without cost to him from someone else—from whom but his father! This sort of inquiry if it be pertinent appears to me to be of the essence of cross-examination. It does not go to a discovery of the ultimate facts in the case or of any facts or circumstances attendant upon those facts.

In Mackenzie Oil Co. v. Omar Oil & Gas Co., 13 Del. Ch. 307, 119 A. 124, it was decided that interrogatories must be confined in their use by a complainant to a support of his own cause, and that they could not be employed for the purpose of prying into the defendant’s case or to find out the evidence by which that case will be supported. When, therefore, the complainant here interrogated the defendants upon what, if any, property of John Walter Stull was received by them and inquired into the circumstances of its acquisition from him, he was within the limits of his interrogating rights. But when he goes farther and says—if you deny that you secured certain property from John Walter Stull, as I allege you did, then I call upon you to disclose from whom you plid receive it, how much you paid for it, where you got the money from with which to buy it, and how you paid for it, by cash or check, etc.—he goes beyond the proper limits, for in that case he is inquiring not only into the defendants’ case but as well [44] into the evidence by which he hopes to support it. Interrogatories of that type should not be answered.

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Terry v. Stull, 169 A. 739, 20 Del. Ch. 39, 1933 Del. Ch. LEXIS 65 (Del. Ct. App. 1933).

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