Watzman v. Unatin

131 S.E. 874, 101 W. Va. 41, 1926 W. Va. LEXIS 138
CourtWest Virginia Supreme Court
DecidedFebruary 23, 1926
Docket5427
StatusPublished
Cited by9 cases

This text of 131 S.E. 874 (Watzman v. Unatin) is published on Counsel Stack Legal Research, covering West Virginia Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Watzman v. Unatin, 131 S.E. 874, 101 W. Va. 41, 1926 W. Va. LEXIS 138 (W. Va. 1926).

Opinion

Woods, Judge:

The plaintiffs, Louis Watzman and William Watzman, are Russian Jews living in Pennsylvania, and the principal defendant, Harry L. Unatin, also a Russian Jew, is a citizen of Steubenville, Ohio.

Unatin was in the mercantile business at Weirton and Beech Bottom, in 1916. He sold the Weirton store in 1916, and the one at Beech Bottom in 1919. Louis Watzman with a man by the name of Morgan purchased the Beech Bottom store. This was the first time this particular Watzman and *43 Unatin bad met. As tbe latter two men were going down street one day in Wheeling, they met Harry L. Stein. Unatin had formerly known him and introduced him to Watzman. The result of this meeting was that a partnership was formed between these three and William Watzman to put upon the market 287 lots in Lorain, Ohio, which Stein had theretofore optioned to himself. $52,225.00 was subscribed to float this deal. Unatin claims to have contributed $12,556.25. This partnership was formed September 27, 1919. The company was to bear the name U. S. W. Realty Company. The record is indefinite as to the extent of the business transacted under this partnership. About November 21st, Stein having in the meantime in some way dropped out, the two Watzmans and Unatin formed another partnership for the purpose of purchasing lots at Weirton, West Virginia. The final memorandum was executed July 10, 1920. The Watzmans were to put in $75,000.00 and Unatin all he had. Unatin claims to have put in $8,000.00. This partnership was styled “Enterprise Land & Building Company”, and claims to have secured title to 333 acres adjacent to the city — including what was known as the “Tarr Estate.” The Watzmans became dissatisfied with the way Unatin was conducting the business from an office in Wheeling', involving both partnerships. Suits were brought against Unatin by the Watzmans both in Hancock "county, West Virginia, and Jefferson county, Ohio, charging him with misconduct and fraud and asking for an accounting. The Watzmans charged that neither Unatin nor Stein had in fact put any money in the Lorain partnership; that Baker, the owner of the Lorain lots, made two options to Stein — one for approximately $26,000.00 and the other for $52,000.00; that the Watzmans put in $26,000.00 cash in the belief that the partnership was paying $52,000.00 for the lots; that while Unatin and Stein made their checks for their respective shares on the latter basis, by an agreement with the owner of the lots, their checks were returned to them. In the instant suit it was developed that Stein and Baker testified that the Stein and Unatin checks were returned as aforesaid; however, Unatin enters a denial of such fraudulent action. Both suits were well under way — the Hancock county prop *44 erty being in the hands of a receiver — when, in order to speedily adjust matters, on August 30, 1921, papers agreeing to arbitrate matters were prepared and signed by the parties. Two arbitrators were to be selected by the Watzmans and two by Unatin, and the four were to select an umpire. The Watz-mans executed a bond and Unatin a deed of trust on his interest in the Weirton property to abide by the decision. But the arbitrators failed to agree upon the fifth person and the scheme of arbitration was abortive. The parties and their counsel met several times after the arbitration was abandoned, and finally the three agreements were entered into upon which the plaintiffs’ bill is here based, being designated “A,” “B” and “O’’ — the first two dated October 28, 1921, and the third, October 31, 1921. Agreement “A” recites the purpose in these words: “And whereas, said plaintiffs and defendant are desirous of effecting an immediate settlement between them of the two aforegoing law suits, now, therefore, in settlement of sáid causes the plaintiffs and defendants agree to the following terms. ’ ’ The terms agreed upon are:

‘ ‘ 1st. Said two causes are to be dismissed, each party to pay their or his own costs. But the costs in either ease shall not include depositions taken in said cause, but it is expressly agreed that the costs'of the depositions shall be borne by the party at whose request the depositions were taken.
“2nd. Said causes are to be marked ‘Settled, dismissed and costs paid.’
3rd. Said defendant is to make, execute and deliver to the plaintiffs a general warranty deed of the seventy-one (71) lots in Superior Sub-Division, Elyria Township, Lorain County, Ohio, and is to make a quit-claim deed of all his interest in said sub-division standing in his name and that of Louis Watzman. Said defendant’s wife, Rebecca Una-tin shall join in said deeds in order to release her dower interest therein.
“4th. Said defendant is to make, execute and deliver to the said plaintiffs, or to such person as plaintiffs designate, a warranty deed, with release of dower by Rebecca Unatin of all his interest in *45 tbe property in Weirton, West Virginia, which is made subject of the suit in Hancock County. Said conveyance shall also include all his interest in the accounts, office fixtures, furniture, supplies, steam shovel, automobile and all other chattels, property* or rights which have heretofore been the property of The Enterprise Land and Building Company or which may have been acquired by R. R. Hobbs, Receiver of said Company.
4 4 5th. The money in the hands of the Receiver is to be paid to the plaintiffs after deduction therefrom of all taxes due this year on said Weirton property, or interest due on the note secured by deed of trust thereon and the costs of the receiver ship (but this cost shall not include any of the costs of the suit).
4i6th. Said defendant shall give a promissory note to the said plaintiffs in the sum of Five Thousand Dollars ($5,000.00) bearing interest at the rate of five per cent (5%) and due on or before April 1st, 1922. This note shall be secured by a deed of trust on the defendant’s Beech Bottom property standing in the name of Rebecca L. Una-tin, which property is already covered by deed of trust by Rebecca and Harry L. Unatin to W. B. Taylor, Trustee. It shall be understood that this note is not subject to renewal but must be paid at maturity and that failure to pay said note shall give the Watzmans the authority to sell said property under said deed of trust in order to pay off said note. In the event that it shall be necessary to sell said property under the terms of said deed of trust and that less than Five Thousand Dollars ($5,000), in addition to costs, expenses and interest is received therefrom, then the plaintiffs have the right to cancel a certain contract which they by this agreement agree to and do enter into, unless defendant, within five days from said sale, pay the difference between what the property was sold at and the $5,000.00.
“7th. The said plaintiffs, Louis Watzman and William Watzman, in consideration of the settlement of these lawsuits and of the terms of settlement do hereby agree to enter into an agreement *46 to bargain and sell to said defendant, Harry L. Unatin, the property, known as the Tarr estate and located in Hancock County, at Weirton, West Virginia.

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Cite This Page — Counsel Stack

Bluebook (online)
131 S.E. 874, 101 W. Va. 41, 1926 W. Va. LEXIS 138, Counsel Stack Legal Research, https://law.counselstack.com/opinion/watzman-v-unatin-wva-1926.