334 Pa. 33 | Pa. | 1939
Opinion by
The plaintiff, a member of the bars of the States of Pennsylvania and New York, brought an action in assumpsit against the Philadelphia Rapid Transit Company (hereafter called the P. R. T.) to recover $40,000 paid to that company by the International Railway Company of Buffalo, N. Y. (hereafter called the Buffalo Company). The action is not based on privity of contract, but is for money had and received by the P. R. T. by alleged fraud. The amended statement sets forth that the plaintiff had a contract of employment with the P. R. T. from 1919 to 1930, and that for the last four years of that period he was retained by the defendant as its general attorney “in charge of negligence and claims,” for which services he was paid by the defendant. He averred that by verbal arrangement with T. E. Mitten, President of the P. R. T. (who, it was averred, had the authority so to agree), he was free to serve other clients than the defendant and to be com
Plaintiff then sets forth as his cause of action what we have heretofore reviewed and summarized in Caskie, Aplnt., v. P. R. T., 321 Pa. 157, 159, 184 A. 17 (which arose from a judgment in favor of defendant on an affidavit of defense raising questions of law), as follows: “Defendant and International Railway Company with knowledge of those facts, fraudulently conspired (by representing that defendant and not plaintiff was entitled to the compensation payable for the services) to refuse to pay plaintiff’s claim, and, instead, to pay to defendant the sum of $40,000 as compensation for the
After trial, a verdict was rendered for the plaintiff in the sum of $58,333, but upon motion the court entered judgment for the defendant n. o. v. This appeal followed.
Plaintiff served the Buffalo Company seven years, during which period he received no compensation from it but did receive $25,000 annually from the P. R. T. He collected nothing from the Buffalo Company for his services. In the early days of his service to that company, the latter paid the P. R. T. $4,000 on account of Caskie’s services. Caskie testified: “When that was brought to my attention [in 1923], I told the Chief Clerk that my salary was not to be billed in that way. ... I told them I would speak to Mr. Mitten about it. . . . After I spoke to Mr. Mitten the billing was stopped and
In its opinion entering judgment for the defendant, the court below conceded that in view of the verdict of the jury, it was established that the plaintiff rendered valuable services to the Buffalo Company, for which it agreed to pay him, quantum valebant, and that while the contract “was not shown to have been made expressly . . . there was ample evidence of its ratification.” The court also said that it must accept “as fact” that the plaintiff was not a party to any arrangement between the two companies involved in the case as to any “lending agreement” between them in respect to their employees, and that if there was such an agreement, the plaintiff as an attorney-at-law was not intended to be included in it and was not included.
The court below found that “the question raised is very simple: Did the two companies fraudulently conspire, by representing that defendant, P. E. T. and not
In this there was no error. We find in this record no direct evidence supporting the serious allegations on which plaintiff’s claim against P. B. T. is based and no evidence from which proof supporting such allegations can be inferred. Only substantial proof can make out a case of tort as charged in plaintiff’s statement. Conjecture here as elsewhere in the administration of justice will not suffice. The averment is that defendant’s actions in entering into a purported lending contract with
In the opinion handed down when this case was last before us, the case of Angle v. C., St. P., etc., Ry. Co., 151 U. S. 1, 13, was cited in support of the proposition that for malicious interference in a contract an action lies against the wrongdoer. The report of that case shows that the interference was accomplished by false representations and bribery. The charge of malice was thus supported. In Temperton v. Russell, 1 Q. B. 715, also cited in the opinion filed heretofore in this case, the means used to induce persons to break their contracts consisted of threats to withhold workmen. It was said in that case by the court that “to maintain the cause of action sued on, there must be evidence that the defendant, with knowledge of the existence of a contract, had induced and succeeded in inducing one of the contracting parties to break his contract to the injury of the other contracting party, and there must be evidence that the intention of the inducer was by such breach to do harm to the other contracting party, or, to use Lord Hannen’s words in Mogul S. S. Co. v. MacGregor, Gow & Co. (1892), A. C. 25, at p. 60, that the ‘real object was to injure the individual.’ ” In Erdman v. Mitchell, 207 Pa. 79, this court held that an agreement by a number of persons that they will by threats and strikes deprive a mechanic of the right to work for others merely because he does not choose to join a particular union, is a conspiracy to commit an unlawful act. In Bausbach v. Reiff, 244 Pa. 559, we held that the combination to deprive a mechanic or workman of work by force, threats or intimidation of any kind, is a conspiracy.
Applying these principles to the case at bar, the plaintiff, in order to support his action against the defendant company, is obliged to prove malice. The Buffalo Company was primarily responsible tO' plaintiff and nothing that the P. R. T. did could, in any way, serve as a defense
In Bitterman v. Louisville & Nashville R. R., 207 U. S. 205, the United States Supreme Court, in discussing an actionable wrong by one who maliciously interferes in a contract between two parties and induces one of them to break it to the injury of the other, referred to the necessary ingredient of malice as “the wanton disregard of the rights” of the other party. In the case at bar, we cannot find support for the theory that when the P. R. T. persuaded the Buffalo Company to pay it a claim for services over seven years after plaintiff had performed some of these services and had made practically no effort to collect for them, that the P. R. T. was showing “a wanton disregard” of plaintiff’s rights. When anyone seeks to enforce what he regards as his own rights, he cannot be held guilty of a wanton disregard of the rights of others. It cannot be said in this case that the P. R. T., in making the claim it did against the Buffalo Company, was not acting under at least “the color of right.” Having paid the plaintiff annually $25,000 for his services, it might well have held the opinion that when plaintiff rendered certain services to the Buffalo Company, whose executive head was the identical individual who was the head of P. R. T., he rendered those services on P. R. T.’s time. We repeat that it is significant that while plaintiff collected his annual salary with commendable regularity from the P. R. T., he waited over seven years — and until after the death of the man who presumably knew most about it, T. E. Mitten — to make and press his claim, against the P. R. T.
While malice is a quality which must be proved by the circumstances attendant upon the act it motivates, the circumstances must be such as to make the presence of malice a natural and reasonable inference. In other classes of cases in which proof of malice is essential, this court has said that it “is implied from the outrageous circumstances of the act.” Malice has been judicially
After reading this record one reaches the conclusion that the plaintiff was employed in practical effect by T. E. Mitten, who was in actuality “Mitten Management, Inc.” Mr. Mitten evidently had great confidence in Mr. Caskie’s ability and efficiency and used him at will in the service of the Buffalo Company and the P. R. T., both of which were dominated by Mr. Mitten. For Caskie’s services, Mr. Mitten arranged that he should receive an annual salary of $25,000 from, the P. R. T. It had been increased from $9,000 a year, the salary paid Caskie when he was the head of P. R. T.’s claim department. Mr. Caskie had also been treated quite handsomely otherwise by Mr. Mitten. He had received from the P. R. T. a 10% wage dividend, $15,000 in special bonuses, and from Mr. Mitten directly, 600 shares of the stock of the Buffalo Company. He was a member of the P. R. T. Co-operative Association in 1919 and of the P. R. T. Wage Fund from its inception in 1922. Membership in these organizations was limited to employees “whose sole occupation has to do with company duties and whose entire working time and wages are subject exclusively to the call and demand of the company.” Plaintiff was entirely familiar with these organizations and testified that he assisted Mr. Mitten in their formation. He signed the application for membership as an employee and as head of the Claims Department he certified that he was eligible for membership. He remained
As long as Mr. Mitten lived Mr. Caskie apparently thought himself well provided for and made no real effort to collect anything from the Buffalo Company for his services. After Mr. Mitten’s death he apparently found the situation in which he was placed not so favorable to himself and he then, for the first time, made and pressed his claim against the Buffalo Company. A month later P. B. T. presented its bill to the Buffalo Company for the same services. That this latter bill was presented by P. B. T. and promptly paid to it, falls far short of sustaining the allegation that defendant maliciously and tortiously interfered with plaintiff’s “contract” with the Buffalo Company.
The judgment is affirmed.
In fact, plaintiff brought suit in New York State, in January, 1930, against the Buffalo Company. He recovered a judgment in the sum of $80,000, which the Appellate Division reduced to $55,000. The Court of Appeals reversed the judgment and granted a new trial on January 17, 1933 (Caskie v. International Ry. Co., 261 N. Y 47). The highest court in New York decided that T. E. Mitten had no authority to bind the Buffalo Company with the contract he is alleged to have made with the plaintiff involving compensation from that company. The new trial was granted to give plaintiff an opportunity to present evidence of ratification of the alleged contract between him and the Buffalo Company. There have been no further proceedings in this case in New York State.