Wood v. Hartford Fire Insurance Co.

13 Conn. 202
CourtSupreme Court of Connecticut
DecidedJuly 15, 1839
StatusPublished
Cited by9 cases

This text of 13 Conn. 202 (Wood v. Hartford Fire Insurance Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Connecticut primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Wood v. Hartford Fire Insurance Co., 13 Conn. 202 (Colo. 1839).

Opinion

Church, J.

Our statute regulating venue, except in cases where the title to lands is to be tried, and in actions of trespass quare clausum fregit, and cases where estate is attached, provides that all actions brought before the county and superior courts, shall be brought and tried in that county where the plaintiff or defendant dwells, if either of them are inhabitants of this state; but if neither the plaintiff nor defendant are inhabitants of this state, then the suit shall be brought and tried in the county where the defendant is, when the suit is commenced.” Stat. 41. tit. 2. s. 21.

1. The present plaintiffs are not inhabitants of this state ; and this makes it necessary to enquire whether the defendant was, or what is essentially the same thing, whether this corpora» tion, in its corporate character and capacity, dwelt in the county of New-Haven, or indeed in any other county, or was in any county in this state, when this suit was brought. This is an all-important enquiry ; because it is certain, that if this corporation defendant has no local existence in this state, the plaintiffs, being non-residents, can sustain no action here, for want of jurisdiction in our courts, however perfect their right of action may be; unless the stockholders of the company may be regarded as in truth the defendants.

An aggregate corporation has sometimes been considered [209]*209and treated as a local inhabitant, both in England and in some ot our sister states ; especially, within the equitable pro visions of certain statute laws regulating the levying and collection of taxes. 2 Mod. 185. 1 Vent. 311. Rex v. Gardner, Cowp. 79. The People v. Utica Ins. Co. 15 Johns. Rep. 358. Ontario Bank v. Bunnell, 10 Wend. 186. And that corporations may be considered as occupiers of land, so as to be taxed for it in particular places, in the same manner as natural persons may be taxed in respect of real estate owned by them, we are not disposed to deny. But this court, in a case in which this very corporation was a party, on a former occasion, has already settled the question of its inhabitancy, and has said, that it was not an inhabitant of the town of Hartford, even for the purposes of taxation. Hartford Fire Ins. Co. v. Town of Hartford, 3 Conn. Rep. 15.

A corporation is a mere ideal existence, subsisting only in contemplation of law ; an invisible being, which can have, in fact, no locality, and can occupy no space ; and therefore, cannot have a dwelling-place. This view of the nature of a corporation induced the supreme court of the United States to say, that under the national constitution regulating the jurisdiction of courts, a corporation cannot, in its corporate character, be considered as a citizen. Bank of the United States v. Deveaux, 5 Cranch 61. Hope Ins. Co. v. Boardman & al. Id. 57. Cooper’s lessee v. Galbraith, cited in Cox’s Digest 433.

But this court has very explicitly settled this point, in the case of Hartford Fire Ins. Co. v. Town of Hartford, before cited. In that case, the authorities of the town of Hartford had levied and collected a tax upon 30,000 dollars of the stock of the Hartford Bank, which was owned by the Hartford Fire Ins. Co. ; and the suit was brought to recover back the amount of the tax thus collected, on the ground that this corporation was not an inhabitant of the town of Hartford within the meaning of the statute then in force, requiring the inhabitants of the several towns to give in their lists of taxable estate to the listers, that the same might be taxed. And the Chief Justice, in giving the opinion of the court, saysj: “ The popular sense of the term is the same as resident, or one who lives in a place. An inhabitant necessarily implies an inhabitation. It requires no reflection to determine, that in this sense a cor[210]*210Pora^on resides nowhere.” We do not deny, that the power which can give existence and a name to a. corporation, can ° , _ also give to it a local habitation, by law, if not in fact. And 0U! legislature, perhaps, has done so, in all instances, where, in express terms, or in some other equivalent manner, it has located and established a corporation in a particular plaee; as in the cases of the East-Haddam Bank, Exchange Bank, Farmers and Mechanics Bank, Hartford Orphan Asylum, &c. But the legislature has not done this, in the case of this corporation. The Hartford Fire Insurance Company, by its charter, is required to keep an office in the city of Hartford ; but the artificial person, the corporation, is not located there: it may and does keep offices elsewhere ; and indeed, at the commencement of this suit, had one in the city of New-Haven, within the county where this action was brought. That this requirement of the charter did not give locality or a residence to the company in Harford, was one of the points made and decided in the aforesaid case of the Harford Fire Ins. Co. v. The Town of Harford, and the court say: This office need not be the property of the corporation, and its contracts are valid, if made in any other town: it is merely a place prescribed, to which persons desirous to obtain insurance may apply. Now, I am at a loss to conceive by what analogy or figure of speech, in the absence of all usage, an invisible, incorporeal entity may be said to reside in a place, on the slight ground contended for.” We cannot, therefore, in face of the principles adverted to, and especially in face of a decision of this court upon this very matter, now hold, that this company, in its corporate character, lived or resided in the county of Harford, or was there, when this suit was commenced.

2. Another question is necessarily suggested, by the forego-ingopinion ; and that is, whether for the purpose of sustaining jurisdiction, we may regard the stockholders in this institution as the real party defendants, and consider their places of residence as material, so that within the operation of our statute, we may say, where these stockholders are, there are the defendants ? If we cannot do this, we see not any remedy for the plaintiffs in the courts of this state. We believe we can sustain the jurisdiction of the court in this case, without any departure from principle, and in conformity with well estab[211]*211lished precedents. In saying this, we do not dispute the general principle, that the corporation, in its corporate capacity, the responsible and actual party, and so to be regarded and treated, in all cases where no actual necessity exists of looking beyond the form of its being ; and therefore, we admit, with the defendants, that a corporator cannot controul an action in which the corporation is the party ; that his confessions cannot affect the corporate interests; and indeed, that he may even prosecute an action against the corporation of which he is a member.

The courts of this state have, in several instances, regarded the individual members of a corporation as being essentially the parties. Our statute defining the disqualification of judges, provides, that whenever there shall be so near a relationship between any judge and any party in a civil action, as between father and son, &c. such judge shall be disqualified to act.

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Bluebook (online)
13 Conn. 202, Counsel Stack Legal Research, https://law.counselstack.com/opinion/wood-v-hartford-fire-insurance-co-conn-1839.