Thayer v. Duffy

63 N.W.2d 28, 240 Minn. 234, 1953 Minn. LEXIS 695
CourtSupreme Court of Minnesota
DecidedOctober 16, 1953
Docket35,934
StatusPublished
Cited by10 cases

This text of 63 N.W.2d 28 (Thayer v. Duffy) is published on Counsel Stack Legal Research, covering Supreme Court of Minnesota primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thayer v. Duffy, 63 N.W.2d 28, 240 Minn. 234, 1953 Minn. LEXIS 695 (Mich. 1953).

Opinions

Dell, Chief Justice.

Appeal from a judgment determining (1) the rights of General Woodworking, Inc., and its receiver, as plaintiff, under a contract for the purchase by plaintiff of a woodworking plant, including certain real and personal property, from George A. Mooreside, defendant, who died subsequent to the commencement of the proceedings ; (2) the rights of defendants Adolph Carlson and William Winsor in and to the property of the plant under an alleged partnership agreement made between them and George A. Mooreside prior to the latter’s contract with plaintiff; (3) the rights of defendants May Mooreside, as widow, and Helen Mooreside July an and Beagh Mooreside, as children, of George A. Mooreside, in and’ to his interest in the real and personal property comprising such plant; and (4) the rights of Harry S. Duffy, as administrator c. t. a. of the estate of George A. Mooreside, to such property and certain fees paid him pursuant to probate court order for his services as administrator of George A. Mooreside’s estate. This is also an appeal from findings and an order adjudging Duffy, administrator as aforesaid, in contempt for failing to turn over such fees to-Carlson and Winsor.

On April 21, 1947, the action was instituted by General Woodworking, Inc., against George A. Mooreside for specific performance of a contract for purchase dated June 17, 1946.

On May 10,1947, defendant George A. Mooreside died, and on that date John G. Erickson was appointed by the probate court of Anoka county as special administrator of his estate. On May 29, 1947, he was substituted as defendant in the action. On June 12, 1947, the will of George A. Mooreside was admitted to probate. On June 22, 1947, Erickson was discharged as special administrator, and on July 22 Duffy was appointed as administrator c. t. a. of [237]*237the estate. On September 29, 1947, Duffy, as administrator c. t. a., was substituted as defendant in the action. All real and personal property and all other assets of the woodworking plant were turned over to him as such administrator, and pursuant to directions of the probate court of Anoka county he continued operation of the plant for some time thereafter.

On May 3, 1948, Rustan O. Thayer was appointed receiver of plaintiff, and on July 8, 1948, substituted for plaintiff in the action.

On January 14, 1949, May Mooreside, widow, and Helen Moore-side Julyan and Reagh Mooreside, children, of George A. Moore-side, were made additional defendants in the action so their rights in the property might be determined.

On May 26, 1949, the action was combined for trial with another action then pending wherein Oarlson and Winsor, as plaintiffs, sought an adjudication against Duffy, as administrator aforesaid, to the effect that as co-partners under an agreement with George A. Mooreside they were each the owners of an undivided «ne-third of the real and personal property and other assets of the woodworking plant. Trial of the combined actions commenced September 12, 1949, and continued until October 31, 1949. A jury was waived.

On December 6, 1949, the trial court made findings, conclusions, and order for judgment wherein it determined in substance the following:

(1) That George A. Mooreside was the owner of the real estate upon which the woodworking plant was located and that at the time of his death it comprised his homestead.

(2) That the contract, for which specific performance was sought by plaintiff, was invalid but that, since plaintiff had applied thereon the sum of $25,000, the reasonable value of certain lumber furnished by it and used in conjunction with the operation of the plant, it should have judgment against Duffy, as administrator c. t. a., for the amount thereof with interest and costs.

(3) That no partnership ever existed between George A. Moore-side and Oarlson and Winsor.

[238]*238In a memorandum attached to and made a part of these findings, the trial court stated:

“* * * no written contract [of co-partnership between Carlson, Winsor, and Mooreside] has been produced. * * * plaintiffs [Carlson and Winsor] testified that, although one was drawn and signed, some time in the latter part of July, 1940, by all three parties involved, neither of these plaintiffs was given a copy of it and neither saw it after they claim it was signed. No such paper has been found after diligent search among the Mooreside records and papers.”

On December 22, 1949, on motion of Carlson and Winsor, the trial court vacated its original findings and order for judgment and made new ones wherein it determined:

(1) That in July 1940 Carlson, Winsor, and George A. Moore-side entered into a partnership agreement for the conduct and operation of the woodworking plant, whereunder each was to own an undivided one-third interest therein.

(2) That thereafter the co-partnership purchased with partnership funds the real and personal property used in conjunction with the plant, including a house and garage occupied by George A. Mooreside at the time of his death; that without the consent of his co-partners Mooreside caused title to all of the real property owned by the co-partnership to be placed in his name; that at the time of his death title thereto was thus held for the benefit of the partnership; and that his residential use of the premises was by permission of the partnership, and that no part thereof constituted his homestead.

(3) That possession of Duffy, as administrator, of the real and personal property and'other assets comprising the plant, and his operation thereof, was without the consent of Carlson and Winsor; that the co-partnership terminated upon the death of George A. Mooreside, and thereafter his surviving partners Carlson and Winsor were entitled to possession of all partnership property for the purpose of winding up its affairs; and that they were entitled to [239]*239an accounting from said Duffy as to his operation of the business subsequent to his appointment as administrator.

(4) That the contract, for which specific performance was sought in the action, was made without the knowledge and consent of Carlson and Winsor and had never been ratified by them and that it was invalid insofar as their interests in the assets of the plant were concerned.

(5) That under the invalid contract plaintiff had delivered to George A. Mooreside lumber of the reasonable value of $25,000, but that there was no evidence to establish that the partnership ever received the whole or any part of it, and that the estate of George A. Mooreside was unjustly enriched by virtue thereof.

(6) That Duffy, as administrator c. t. ahad notice of the existence of the claims of Carlson and Winsor subsequent to October 1947, the date they commenced their action.

Based thereon, the court ordered:

(1) That Duffy, as administrator, surrender and deliver to Carlson and Winsor possession and control of all property, books, and records of the plant which he then had in his possession.

(2) That Carlson and Winsor take full possession thereof for the purpose of winding up the affairs of the partnership.

(3) That Duffy, as administrator o. t. a>., render unto them a full and true account of his operations of the partnership.

(4) That plaintiff have judgment against Duffy, as administrator c. t. a.

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Thayer v. Duffy
63 N.W.2d 28 (Supreme Court of Minnesota, 1953)

Cite This Page — Counsel Stack

Bluebook (online)
63 N.W.2d 28, 240 Minn. 234, 1953 Minn. LEXIS 695, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thayer-v-duffy-minn-1953.