Title Guarantee & Trust Co. v. Trenton Potteries Co.

38 A. 422, 56 N.J. Eq. 441, 1897 N.J. LEXIS 113
CourtSupreme Court of New Jersey
DecidedSeptember 20, 1897
StatusPublished
Cited by7 cases

This text of 38 A. 422 (Title Guarantee & Trust Co. v. Trenton Potteries Co.) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Title Guarantee & Trust Co. v. Trenton Potteries Co., 38 A. 422, 56 N.J. Eq. 441, 1897 N.J. LEXIS 113 (N.J. 1897).

Opinion

[442]*442The opinion of the court was delivered by

Gummere, J.

The appellant, the Title Guarantee and Trust Company, is a corporation organized under the laws of the State of New York, and the respondent, the Trenton Potteries Company, is a corporation organized under the laws of the State of New Jersey.

On the 27th day of September, 1895, the potteries company commenced an action against the title company in the New York supreme court upon a policy of insurance issued to it by the latter company.

On October 16th, 1895, the title company, after having been served with process and a copy of the complaint in the New York suit, filed its bill in the court of chancery of this state, alleging a mistake in said policy, and praying that the same be rectified and reformed,- and that the potteries company might be restrained from further prosecuting the suit then pending in the New York supreme court,- on the ground that if it was permitted to proceed with said suit before the policy was so reformed as to set out the true agreement of the parties, a judgment would necessarily go against the appellant.

A preliminary injunction having been ordered, pursuant to the prayer of the bill, the potteries company filed its answer, setting up, among other things, that, under the law of the State of New York, the title company was entitled to all the relief and remedies as defendant in the action brought against it in the New York court that it sought to obtain by the bill filed by it in the court of chancery. This allegation in the answer was verified by the affidavit of a New York counsel, learned in the law of that state, who testified

“that the defendant in the New York action is entitled, under the New York law, to all the relief and remedies, as defendant in that action, that it could obtain or has prayed for as complainant in its New Jersey suit. The formal distinction between law and equity having been abolished in this state [New York], the defendant in an action at law here is entitled to plead as many defences as he may have, whether they are legal or equitable, whether he pleads simply a defence or bar without asking affirmative relief, or whether he pleads new matter constituting a counterclaim or equitable set-off, or [443]*443recoupment or matter in the nature of a cross-bill under the old system, and asks affirmative relief. These rights and remedies are given to defendant by express legislative enactment, and have for many years been repeatedly recognized and enforced by all the courts in this state.”

Upon the coming in of the answer and accompanying affidavits the preliminary injunction was dissolved, and from the order of dissolution this appeal is taken.

The respondent, .having selected a court of the domicile of the appellant as the forum in which to try the matters in issue between them involved in the suit brought by it, is entitled to have those matters finally determined in that, forum, provided the appellant can, in its defence in that suit, show the real agreement between the parties as fully as it would be permitted to do in its suit brought here for the reformation of the written contract. It was because of the allegation in its bill that it could not successfully defend in the New York court until there was an actual reformation of the policy of insurance, that the chancellor granted the injunction, and it was because of the denial of this allegation by the respondent, in its answer, supported by the affidavit of New York counsel, that the injunction was dissolved.

But it is said by the appellant that, admitting it to be true that the respondent is entitled to have the matters involved in the New York suit disposed of in the New York court, provided appellant can, in its defence in that suit, show the real agreement of the parties, there is nothing in the case as it stands before us to justify the conclusion that the statement of the answer in that regard is true. The argument in support of this contention is as follows: In the absence of proof to the contrary it will be presumed by the courts of this state that the common law is in force in the State of New York; that, by .the rules of the common law, the appellant could not, in an action at law brought against it for breach of a written contract, show that by mistake of the parties the writing did not set forth the real agreement between them, and that the presumption that the common law prevails in New York is not overcome by the affidavit of the New York counsel annexed to the answer, for the reason that it [444]*444attempts to show that the rule in question has been abrogated by statute, and that the only legal method of proving the existence of a statute of a foreign state is not by the testimony of counsel of that state, but by the production of a duly-authenticated copy of the instrument itself.

While it is entirely true that in the absence of proof to the contrary the courts of New Jersey will presume that the common law prevails in a sister state, I cannot agree to the proposition that the only method of rebutting this presumption is the production of a copy of the statute which abrogates the common-law rule, the existence of which is challenged. Mr. Taylor, in his work on evidence (volume 2, section 1423), in dealing with this question says:

In conformity with the general rule which admits in evidence the opinions of skilled witnesses on all subjects of science, the existence and meaning of the laws, as well written as unwritten, of foreign states may be proved by calling professional persons to give their opinions on the subject.”

That this is the correct rule seems to me to be plain, both on principle and on authority. In order to know what the law of a foreign state is on a given subject we need something more than the production of the statute, for that only gives the words in which the law is written. The question to be determined is not what the language of the law is, but what the law is altogether, as shown by exposition, interpretation and adjudication ; and this, I take it, can best be ascertained by the testimony of a professional witness, whose special knowledge enables him to speak to that fact.

Lord Langdale, in the well-considered case of Nelson v. Lord Bridport, 8 Beav. 535, uses the following language in discussing this subject: The foreign law and its application, like any other results of knowledge and experience in matters of which no knowledge is imputed to the judge, must be proved, as facts are proved by appropriate evidence — i. e., by properly qualified witnesses who can state from their own knowledge and experience, gained by study and practice, not only what are the words in which the law is expressed, but also what is the proper inter[445]*445pretation of those words, and the legal meaning and effect of them as applied to the case in question.”

Mr. Justice Coleridge, in Baron De Bode’s Case, 8 Q. B. 265, considering the same questions, says: What in truth is it that we ask the witness? Not to tell us what the written law states, but, generally, what the law is. The question is not as to the language of the written law, for when that language is before us we have no means by which to construe it. How many errors might result if a foreign court attempted to collect the law from the language of some of our statutes which declare instruments in particular cases to be

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

Related

State v. Grimes
561 A.2d 647 (New Jersey Superior Court App Division, 1989)
Farrell v. Employers Liability Assurance Corp.
190 A. 466 (Supreme Court of Rhode Island, 1937)
Prudential Ins. v. Merritt-Chapman Scott
163 A. 894 (New Jersey Court of Chancery, 1933)
Chesapeake & Ohio Northern Railway Co. v. Barger
10 Ohio App. 443 (Ohio Court of Appeals, 1919)
Guaranty Trust Co. of New York v. Hannay
210 F. 810 (Second Circuit, 1913)
Woods County Union Bank v. Shore
123 P. 880 (Supreme Court of Kansas, 1912)
Sullivan ex rel. Orton v. Kenney
148 Iowa 361 (Supreme Court of Iowa, 1910)

Cite This Page — Counsel Stack

Bluebook (online)
38 A. 422, 56 N.J. Eq. 441, 1897 N.J. LEXIS 113, Counsel Stack Legal Research, https://law.counselstack.com/opinion/title-guarantee-trust-co-v-trenton-potteries-co-nj-1897.