J. H. Scruggs Const. Co. v. Coosa County
J. H. Scruggs Const. Co. v. Coosa County
Opinion of the Court
“and any just defense exists against the claim which they evidence, the county may maintain a bill in equity for their cancellation.” Com’rs’ Court v. Moore, 53 Ala. 25; Jeffersonian Pub. Co. v. Hilliard, 105 Ala. 576, 17 South. 112; Converse Bridge Co. v. Geneva County, 168 Ala. 432, 53 South. 196.
In those cases the bills were filed against the payees of the warrants, but the county may assert the same equitable right against an assignee. And so the right of cancellation may be directed against a part of the bonds, where the defense is partial, as well as against the whole issue. Jeffersonian Pub. Co. v. Hilliard, 105 Ala. 576, 581, 17 South. 112.
The jurisdiction of equity, in such cases is not rested upon the insolvency of the defendant and his inability to respond in damages ; hence the fact that the payee contractor gave a bbnd with sureties for the faithful performance of his contract, as required by the Act' of September 22, 1915 (Acts 1915, p. 575, § 8) — conceding, without 'deciding, that we must presume its existence, and judicially notice it — and that the county has a remedy at law on such bond, does not impair the independent jurisdiction of equity in the premises. The bill here exhibited contains equity, and is not subject to the general demurrer.
“When, in a court of equity, the cause or subject of controversy is a legal chose in action which has been assigned, the assignor, if the legal title remains in him, or if the assignment is not absolute and unconditional, or if its extent or validity is disputed, must be made a party, that he may be bound by the decree, and future litigation or a multiplicity of suits prevented.” Broughton v. Mitchell, 64 Ala. 210. Where none of those conditions exist, “he is a proper party, because of his connection with the subject-matter of suit and the privity of contract existing between him and the assignee, and the party bound by the ch'ose in action.” Id.
It appears that the assignment of these warrants by the J. H. Scruggs Construction Company was absolute and complete, and it must be concluded that that company is not a necessary party, since no relief is prayed against it, though it is unquestionably a proper party.
We therefpre hold that the demurrers to the bill were properly overruled, and the de- ¡ cree of the circuit court will be affirmed.
Affirmed.
Reference
- Full Case Name
- J. H. SCRUGGS CONST. CO. Et Al. v. COOSA COUNTY
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- 3 cases
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- Published