Lead Opinion
delivered the opinion of the court.
This сase is the sequel to an action of assumpsit brought by the defendant in error, the Westinghouse Electric and Manufacturing Company against the plaintiff in error, the Washington and Old Dominion Railway, in the Circuit Court of Loudoun county. In that action the plaintiff recovered against the defendant a judgment for $81,652.19, with interest at the rate of five per centum per annum from May 1, 1913, till paid, subject to a credit of $791.13, as of the last-named date, and costs. To that judgment a writ of error and supersedeas was granted by this court upon condition that the defendant execute bond with approved security in the penalty of $100,000.00 with condition according to law. Whereupon, the defendant executed thе required bond, with the plaintiff in error, the National Surety Company, a corporation, as its surety.
On March 15, 1917, this court entered the following order : “This day came again the parties, by counsel, and the court having maturely considered the transcript of the rec
The plaintiff, within ninety days from the day on which the foregoing order was entered, to-wit, on May 9, 1917, availed itself of its right of election, as provided in the order, and on that day elected in writing to relinquish the stipulated interest, filing its remittitur in writing with the clerk of the circuit court, who filed the same with the papers in the cause..
The plaintiffs in error, the National Surety Company and Washington and Old Dominion Railway, denying liability on the supersedeas bond, this action of debt was instituted thereon against them by the defendant in error, the Commonwealth of Virginia, suing at the relation and for the benefit of the Westinghouse Electric, and Manufactur
The defendants interposed a demurrer to the declaration and pleas of ml debet and conditions performed; and neither party requiring a jury, and all matters of law and fact having been submitted to the court, the demurrer was overruled and the judgment under review pronounced in favor of the plaintiff against the defendants.
There is no ambiguity about the issue in this case. The order of this court of March 15, 1917, in the original case, was in terms set out in the declaration in this case, and the decision overruling the demurrer to the declarаtion is controlling. If the mandate of this court of March 15, 1917, affirmed the original judgment in behalf of the plaintiff against the defendant, the Washington and Old Dominion Railway, according to the true intent and meaning of the condition of the supersedeas bond, then the demurrer to the declaration was rightly overruled, and the defendants have not performed and satisfied the obligation of the bond-, and are liable. If, on the other hand, the order of this court in intendment and result amounts to a reversal of the original judgment, then, in that event, the bond has- been satisfied and the obligors therein are discharged. The condition of the bond is, “to perform and satisfy the judgment * * * in case the sаid judgment be affirmed, or * * * the writ of error, or supersedeas, be dismissed, and also to pay all damages, costs and fees which may be awarded against or incurred by * * * the petitioners, in the appellate court, and all actual damages incurred in consequence of the super-sedeas.”
Wе are persuaded that the procedure adopted by this court in the case of Washington and Old Dom. Ry. v. Westinghouse, supra, is so thoroughly established by direct and controlling decisions and has been so long acquiesced in and acted upon as to bring it within the influence of the maxim of stare decisis.
The case of Shepherd’s Adm’r v. Chapman’s Adm’r,
Viewing, then, the situation, not as at the date of this court’s оrder (which was dependent on certain doubtful contingencies), but as at the time action was-brought on the supersedeas bond, the judgment of the circuit court stood affirmed as a •(whole, albeit part of it had been released by the plaintiff’s own act.
Applying, then, the strictissimi juris doctrine to the liability of the surety, it seems clear that the condition of the supersedeas bond has been broken and the surety company is liable.
The second assignment of error complains of the disal-lowance of a set-off of a judgment for $417.32, costs recovered by the Washington and Old Dominion Railway against the plaintiff. That demand was not put in issue by the pleadings nor set out in the grounds of defense (Code, secs. 3249, 3298), and, therefore, was not within the cognizance of the court.
We think neither of the grounds of error assigned has been maintained, and are of opinion to affirm the judgment.
Affirmed.
Dissenting Opinion
dissenting:
The writ of suрersedeas, which was awarded by this court on granting the writ of error on the former appeal, stayed the proceedings on the judgment of the trial court.
The supersedeas bond in suit was executed under section 3470 of the Code of Virginia, as amended (Acts, 1914, p. 713), and the condition of it (which was in accordance with the terms of such statute) was, so far as material, “* * * to satisfy the judgment proceedings on which are stayed in case the said judgment be affirmed or the writ of error or supersedeas aforesaid be dismissed and also pay all damages, costs and fees which may be awarded against or incurred by the appellant or petitionеr, in the appellate court and all actual damages incurred in consequence of the supersedeas.”
Neither the writ of error nor supersedeas was dismissed, nor were any damages, costs or fees awarded against or incurred by the said appellant.
Nor does the declaration allege any “actual damages incurred in consequence of the supersedeas.” It does not appear from the record before us that the said appellant is
The case before us, therefore, being an action of debt on the supersedeas bond, involves the determination of the meaning and effect of that part only of the obligation of the surety, the National Surety Company, which is contained in the following language of the bond, namely, * * to satisfy the judgment proceedings on which are stayed in case the said judgment be affirmed. * * *”
It is held by all the аuthorities on the subject, and unquestioned by either side in argument before us, that “it is elementary that the obligation • of sureties upon bonds is strictissimi jurist, and not to be extended by implication or enlarged construction of the terms of the contract entered into.” Crane v. Buckley,
On applying this rule, we see that the judgment named in the terms of the bond is the original judgment of the trial court in case the said judgment be affirmed. That is to say, the terms of the bond contain two stipulations with respect to the judgment which must be fulfilled before the obligation to pay the judgment arises, namely: (a) it must be the original judgment aforesaid of which payment is asked, and (b) it must be that judgment “affirmed.”
These two stipulations will be considered separately.
(a) The original judgment was held to be erroneous in part and the whole judgment “reversed and amended” by the order of this court entered in disposing of the case on appeal; the verdict of the jury was set aside with costs to' the said appellant, and the cause was “remanded to the' said circuit court for a new trial.”
But the order of this court goes further, and provides, in substance, that the defendant might elect to remit that portion of the judgment which this court held on appeal to be erroneous, and in the event that such right of election was exercised within the stipulated period by writing filed as stipulated, “then said judgment shall stand affirmed.” That is to say, when purged of said erroneous part of it, the judgment should “stand affirmed.”
When, therefore, the right of election aforesaid was exercised and the original judgment was purged of its error, that portion of it which stood “affirmed” was not the orig-. inal judgment of the trial court, but, in truth, the judgment of the appellate court. The appellate court had the right to enter such judgment under section 3485 of the Code. That statute, so far as material, provides: “The appellate court shall affirm thе judgment * * * if there be no error therein, and reverse the same, in whole or in part, if erroneous, and enter such judgment * * * as the court whose error is sought to be corrected ought to have entered.” But since the appellate court did not “affirm the judgment,” but found error therein, when the judgment now in question came into being under the order of the appellate court, it was the judgment of the latter and not of the trial court; and, hence, such judgment is not that denominated in the terms of the bond aforesaid. To hold otherwise would be to extend the obligation of such bond “by implication or enlarged construction of the terms of the contract entered into,” which, as we have seen, cannot be done as against the surety on the bond. Hence, on this ground it is plain, I think, that the said obligation of the bond in suit cannot be held to require the surety to pay the judgment in question.
(b) And, as we havе seen, the original judgment of the trial court was not “affirmed” either by the first portion or by the last portion of the order of this (the appellate) court entered on the disposition of the case on appeal. The first portion of the order expressly reversed the original judgment. The last portion of the order expressly affirmed only a part of the original judgment.' Doubtless, under the -statute last cited above (sec. 3485 of the Code) that the common law rule on the subject is changed, and the appellate court may reverse a judgment at law “in part”; but even so, the most favorable construction to the contention of the dеfendant in the instant case which can be given to the order of this court aforesaid is, that it reversed the original judgment of the trial court “in part” and affirmed it “in part.” That action, “strictissimi juris,” was not to affirm the judgment named in the terms of the bond, but only to partly affirm it. Hence, since such terms are not to be “extended by implication or enlarged by construction” against a surety, on this ground also it is plain, I think, that the obligation of the bond m suit cannot bo held to require the surety to pay the judgmen; in question.
The obligation of such a bond is purely a matter of statutory requirement on the subject. Our statute on that subject is section 3470 of the Code, as amended. As held in Bemiss v. Commonwealth,
There are four cases which are relied on by the defendant in error, namely, Hopkins v. Orr,
A great number of cases are cited and relied on by the plaintiff in error to sustain the converse of the position of the defendant in error; but most of these cases are likewise influenced by peculiar statute law in force in those jurisdictions. All of these cases to which I have had access, like those relied on by the defendant in error, involve statutes which differ, it would seem, from the Virginia statute in the lack of the provision aforesaid, as to “all damages incurred in consequence of the supersedeas.” Such cases', with- notation as to the peculiar statutory or bond obligation features involved, are as follows: Seymour v. Gregory, Fed. Cas. No. 12,686, 10 Bliss 13 (to “prosecute writ of error to effect”) ; Crane v. Buckley,
In the following cases cited and relied on by the plaintiff in error there seems to have been nothing in the local statute law different from that of Virginia, except that it does not appear whether there was any provision as to the bond covering all actual damages incurred in consequence of the supersedeas.
In Kibble v. Butler,
In Lehman v. Amsterdam Coffee Co.,
Rothgerber v. Wonderly,
In Heinlen v. Beans,
!■ And in Galloway V. Yates, supra,
d And again, in Lang v. Pike,
For the foregoing reasons, I think the case should be reversed, and hence am constrained to dissent from the majority opinion.
