6 W. Va. 525 | W. Va. | 1873
The Plaintiff presented its bill of interpleader praying an injunction, and the appointment of a special receiver, to the Judge of the Circuit Court of the county of Ritchie, who refused to grant the injunction, and appoint a receiver. In a short time afterwards, the Plaintiff presented the bill to Edwin Maxwell, one of Judges of the Supreme Court of Appeals, and on the 25th day of May 1872, he granted the injunction prayed for, and Amos George, constable of Grant township, in Ritchie county, was directed by the order granting the injunction to release from levy, and restore to the Plain., tiff its property levied upon by virtue of the distress warrant in the bill mentioned. Judge Maxwell at the same time by his order appointed J. N. Camden special receiver of said Circuit Court; and directed that upon his going his bond with good security in the penalty of $20,000.00 conditioned to have the oil thereinafter mentioned, or the proceeds of the sale thereof, forthcoming to answer any order of said Court in relation thereto, he should take into his possession and control all the rent oil then due from the Plaintiff according to the terms of the lease in the bill mentioned, or that which should thereafter become due prior to the first day'of August next thereafter; and if in his opinion the same ought at any time to be done, to sell the oil at its highest market value, and hold the proceeds thereof subject to the order of the Court. On the 17th of May 1872, the bill with the orders of the Judge thereon was filed in the clerks office of the Circuit Court of Ritchie county. On the same day, the injunction bond required wms executed and filed in the said office, and the clerk issued a summons in the case against the Defendants in the bill, and endorsed thereon the order of injuction with the order of release of property, together with his certificate that the injunction bond had been given. On the 27th of May, the summons was executed on Amos George, and on the
Afterwards, on the 31st day of May 1872, the special receiver executed and filed in the clerk's office aforesaid the bond with security required by the order of Judge Maxwell. On the day last named, Mary Gale and E. L. Gale filed an undertaking with the clerk of the Circuit Court for an appeal “from the order of injunction granted in the cause, and on the 1st day of June thereafter', the Appellants caused a notice to be served on C. C. Cole, counsel for the Plaintiff, of their intention to appeal from the order of injunction granted in the cause, and desired stay of execution in the case, and that they had filed in the clerks office of the Circuit Court an undertaking with security in manner and form as required by law when stay of execution is desired. This notice was filed in said clerk’s office on the 3rd day of June 1872. The case-is now before us upon appeal from the order of injunction granted in the case. The bill alleges substantially that the Plaintiff is the lessee of defendants E..L. Gale and Mary Gale his wife of a tract of land containing 100 acres in the county of Ritchie, which is described in a deed dated the 27th of December 1864, and of record in said county, made by Gale and wife to John S. Carlile and others, an official copy of which is filed as an exhibit; that the grantees of the deed of lease transferred and assigned to Plaintiff all their interest under the deed; that the Plaintiff now is, and has for years been, in possession of the said 100 acres of land, under and by virtue of the deed of lease so transferred and assigned to it, and has been working, improving and developing the same by sinking a large number of oil wells thereon, and pumping therefrom large quantities of oil, of which, under the terms of the deed of lease, it (Plaintiff) is required to pay to the lessors the one-fourth part,.
Plaintiff farther alleges that neither E. L. Gale, Mary Gale or Cady contest or dispute the rights claimed by Plaintiff under the lease, except that Mary Gale pz’etends to be-entitled to recover the premises by reason of the non-payment of rent to her; that the Gales and Cady each recognize and admit the right of the Plaintiff to occupy and use the ICO acre tract for the purposes' mentioned in the lease during the full term thereof, the Plaintiff paying the rent oil as in the lease stipulated. Plaintiff also’ avers that it has no interest whatever in the litigation now going on between the Gales and Cady, in reference to the rent oil, and its rights under the lease cannot be effected by the .result of the litigation ; that Plaintiff has no interest whatever in the said fourth of oil produced on the 100 acre tract, except to deliver the same according to the terms, true intent and meaning of the lease to the person or persons legally entitled to receive the same, in such manner as to be protected from injury or damage by the conflicting claims of the said claimants; that the Plaintiff, its officers, agents or em
It is insisted by Defendants’ counsel that the bill is not a good bill of interpleader, upon its face, and that the injunction ought not to have been granted and the property restored to Plaintiff’.
2. The bill docs not show that the Defendants claim the same rent.
3. The bill does not show that the persons claiming the rent, claim in privity of estate, contract or tenure.
4. :The bill disputes the Plaintiff: ’s landlord’s title.
5. The claim of Cady to the rent is founded upon an act or contract of E. L. Gale, Plaintiff’s landlord, done or made prior to the commencement of Plaintiff’s tenancy, and E. L. Gale, as the Plaintiff’s landlord, cannot be compelled to interpicad with Cady.
6. The bill contains a prayer for general relief.
The Defendant, in support of the first objection stated, cites the provisions of the Code of 1868 on the subject of interpleading. These provisions of the Code do provide a complete remedy for relief in many cases of conflicting claims for the same debt, &c. It must be admitted that, if the Plaintiff has a complete and adequate remedy at law, he cannot be entertained in equity upon a bill of interpleader. But it is clear to my mind that taking the case stated in the bill as true, that the Plaintiff has not a complete and adequate remedy at law for his protection. “It is not necessary, to entitle the party to come into equity, that the titles of the claimants should be both purely legal. It is sufficient to found the jurisdiction, that one is legal and the other is equitable. Indeed, where one of the claims is purely equitable, it seems indispensable to come into equity; for in| such a case there can be no interpleader at law. Thus, for instance, if a debt or other claim has been assigned, and a controversy arises between the assignor and the assignee respecting the title, a bill oi interpleader may be brought by the debtor to have the point settled.” 2d’Vol. Story’s Eq. Juris., sec. 808. It is probable that in this State, where the Statute now authorizes the assignee of assign
It is not proper for this Court to determine, at the present stage of this case, which of the claimants have the better claim or right.
According to Judge Story, if one of the claims is legal and the other equitable, it is indispensable to come into equity. There may be a remedy at law, and that remedy may be inadequate in the given case to effectually protect the party. In section 807 of his work on Eq. Juris. Vol. 2, Judge Story says; “The true origin of the jurisdiction is that there either is no remedy at all at law, or the legal remedy is inadequate in the given case.” The Plaintiff has filed with his bill the deed of lease from Gale and wife to Carlile and others, therein mentioned, bjr which it appears that the consideration thereof was $20,000 in cash and one-fourth part of all the oil that may bo produced from the property leased; the oil to be delivered in the tank or tanks, or to be filled in barrels to be furnished by the lessors at the well or wells. The times of delivery of the oil are not specified in the lease, so the delivery may be due daily under lease. The Plaintiff had paid the rent promptly to E. L. Gale, with the knowledge and consent of Mrs. Gale, until the decree of the Supreme Court of Appeals, in the bill mentioned, was rendered; .and soon '
The second objection is clearly not well taken; for each of the claimants, according to the express showing of the bill, claim the same rent, to-wit; the rent oil in ar-rear and accruing under the deed of lease. It is true the bill states that Mrs. Gale uoav pretends to claim the 100 acre tract; but her only claim is predicated on the fact that Plaintiff fails or refuses to pay the rent oil specified in the lease, and is willing to take it; in fact claims it. The claim of forfeiture of the lease by reason of the nonpayment of the oil rent is, in point of law, no claim to the land; but it, in point of law, amounts only to a claim to the oil rent. George the constable who levied the distress, is not made a party that h<| may interplead; but simply to make the injunction and order of restoration effective. He was a proper party under the circumstances.
The third objection is clearly untenable. The character of the contract between Cady and E. L. Gale, whether a writing or not, is not stated in the bill, but I think it is a clear inference that Cady only acquired, under the contract an equitable right to the 100 acres during E. L. Gale’s life. The decree of the Supreme Court of Appeals judicially ascertained and established that right,
.The fourth objection is not well taken. In 2 Yol. of Story’s Eq. Juris, sec. 811, he says: “ So, where a tenant was liable to pay rent, but there were several persons claiming title to it in privity of contract or tenure, he was held entitled to file a bill of interpleader to compel them to ascertain to whom it was properly payable.”
The fifth objection, I think, cannot be sustained.’ Much that has been said with reference to the third and ( fourth objection applies here. Cady claims the rent under, and by virtue of, the decree of the Supreme Court of Appeals, which was rendered after the date of the lease, and by virtue of that decree he claims to be entitled to confirm the lease, and receive .the rents accruing thereunder. It is true, said decree^ may be and doubtless is based on the contract made before the lease. E. L. Gale failed to inform Plaintiff of the existence of the contract with Cady, as he ought to have done. The contract never acquiring real vitality and operative force as to the rent; until the right of Cady to the 100 acres of land was adjudicated by the said decree. The Plaintiff has thus become entangled since the date of the lease by the act of its landlord Gale, although the entanglement sprang from the act of Gale before the lease; but the said decree, made after the lease, is the immediate cause of the tenant’s entanglement. In such a case it seems to me that a bill of interpleader is eminently proper.
The sixth objection, I think, is also untenable. The bill contains substantially, if not literally, the usual and prescribed prayer of bills of interpleader in such cases. The short prayer in the bill at its close was not intended as a prayer of general relief, as ordinarily understood -when appended to bills. The whole frame and preceding prayer of the bill show this. It is true it ivas not
It is also objected that the Court erred in granting the injunction, because the bill is not sufficiently verified by affidavit. I have had much difficulty in bringing my mind to a satisfactory conclusion upon this question. The 3rd sec. of Chap. 133 of the Code of this State, provides that, “No injunction shall be awarded in vacation nor in court in a case not ready for hearing, unless the court or judge be satisfied by affidavit or otherwise of the plaintiff’s equity.”
High, in his work on Injunctions in sec. 984, says : “The proper verification of a bill is a matter of importance, since an injunction is seldom allowed upon other than a sworn bill. Nor will it suffice that the material facts constituting the equity on which the injunction is sought are verified by complainant upon information and belief, but they should be positively sworn to.” Ken. on Injunctions in Equity, 613. Mr. High, also says, in sec. 985, “When an injunction is sought in behalf of a corporation, the bill is usually verified by some officer of the corporation conversant with the facts. It may, however, be verified by an attorney or other agent, without the oath of any of the regular officers of the corporation, where such officers are less acquainted with the facts constituting the foundation for the injunction than the agent or attorney.” The Code of this State, Chap. 125, see. 42, provides that the verification of any pleading, and the certificate thereof, shall be in form or effect as follows:
State of West Virginia,-county, to-ivit:
A — B—the plaintiff, (or defendant, as the case maybe,) named in the foregoing bill, (or answer, replication or*543 plea, as tlie case maybe,) being duly sworn, says the facts and allegations therein contained, so far as they are stated on his own knowledge, are true, and that so far as they are stated upon information, he believes them to be true.
A — B—Plaintiff (or Deft.)
Taken, sworn to, and subscribed before me this-day of-;-.
The affidavit accompanying the bill in this case, is the same in form as that prescribed in the Code. The only difference is, it is made by C. C. Cole, whom the record shews was the attorney for Plaintiff, and not by the Plaintiff, an incorporated company. There are filed with the bill, as exhibits, official copies of the lease, the decree of the Supreme Court of Appeals, the decree of the Circuit Court of Wood county made in pursuance of, and in obedience to the decree of the Supreme Court of Appeals and the declaration in ejectment of Mary Gale vs. Plaintiff. The bill does not state any fact or make any allegation as being on or within the knowledge of the affiant, and no material allegation is stated in the bill as being upon information. The statements and allegations of the bill are altogether direct and positive, without avering expressly that they are known to the Plaintiff or any particular person or persons. The affidavit in this case is not sufficient in and of itself according to the elementary writers above cited, and the cases cited by them. But the previsions of the Code seem to be more liberal. The section quoted expressly directs that the verification of any pleading, and the certificate thereof shall be in form or effect as therein prescribed. The Legislature certainly meant that where any person made the affidavit in the form prescribed that it should be taken to mean, and amount to something when attached to a bill or other pleading by way of verifying the same. Still if the bill ivas verified alone by this
I have some doubts whether the appeal taken in this case reaches the order of the Judge appointing a special receiver. It is objected that the affidavits of non-collusion are insufficient, and that it’ was error for the Judge to appoint a special receiver without reasonable notice having been first given to the Defendants, or at least to E. L. Gale.
I think the affidavits as to non-collusion are sufficient. It is true as a general rule, though not universal, that notice is or should be required of the time and place of making the application for the appointment of a special receiver. The authorities cited in support of this general rule show that there are recognized exceptions. These exceptions are such cases as that immediate action is or may be necessary to prevent great injury, and especially, when it is not sought to dispossess a party of his own property. In this case I think, from the averments of the bill, and the nature of the property attached, and the relation of much of it to Plaintiffs business, and the kind and extent of its business, that the appointment of the special receiver temporarily, as was done, was not error. I don’t think the condition of the bond filed by the Plaintiff, on obtaining the order of injunction, is sufficiently comprehensive. It should have been, in addition to the costs, “and also such damages as shall be incurred in case the injunction is dissolved.” But this can be cured or supplied without injury to the Appellants in the Circuit Court. I think the order granting the injunction under the peculiar circumstances of the case, and its great importance, ought not to be reversed for this cause, but that the Appellants or any of
For these reasons, the order granting an injunction appealed from in this cause, is affirmed with costs here in favor of the Appellee — The Oil Run Petroleum Company — against the Appellants, and thejeause must be remanded to the Circuit Court of the county of Ritchie, for further proceedings therein to be had, according to the rules of courts of equity in such cases, with leave to fhe Appellants, or airy other party in interest, to move to dissolve the injunction granted in this cause after reasonable notice, unless additional bond and security, in such penalty as the Court or Judge may fix, be given by The Oil Run Petroleum Company, or some person for it, conditioned as prescribed by the 10th sec. of Chap. 133 of the Code in such cases.