Garrard v. Milledgeville Banking Co.
Garrard v. Milledgeville Banking Co.
Opinion of the Court
Mrs. Harriet Garrard, as administratrix of the estate of her deceased husband, W. T. Garrard, as his sole heir at law, and as his widow to whom a year’s support had been set apart, filed a petition in Baldwin superior court against Milledgeville Banking Company, First National Bank and its officers, and P. R. Garrard, the surviving partner of her deceased husband, praying for injunction, accounting, and other equitable relief. The petition as amended alleged in substance the following: W. T. Garrard died intestate. Subject to liens outstanding on his property, appraisers set apart to plaintiff as a year’s support certain property of the decedent. The First National Bank was proceeding to sell an undivided half interest in a tract of land under a power of sale contained in a security deed given by plaintiff’s husband to the bank to secure a partnership and individual indebtedness; and although he was dead, the advertisement did not recite that fact, or that the property was to be sold as that of the decedent. Only a portion of the debt was that of the partnership, of which P. R. Garrard was the surviving partner. He and the First National Bank fraudulently and secretly entered into an agreement whereby the debt against the surviving partner would be released from the partnership debt upon the payment of a stated sum to the bank; and the legal payment of releasing and settling the joint partnership debt against the surviving partner was to release the indebtedness against the estate of the dead partner, and the threatened sale of the property was a fraud on the rights of plaintiff and of her intestate, unless a court of equity would give her the benefit of such agreement as released her intestate’s estate also. The land which the bank is proceeding to sell is that set apart to plaintiff as a year’s support. The bank held additional security that it should be compelled to exhaust before encroaching upon the land in which plaintiff had an interest and claim. An accounting was asked, and a tender was made of whatever might be due the bank by her intestate.
As against the Milledgeville Banking Company it was alleged that it had fraudulently exercised a power of sale, on the first Tuesday in April, 1939, of an undivided half interest in the same tract of land, under a security deed purporting to authorize the bank to sell it, and bought it in at the sale; that the security deed with power of sale, under which it purported to act, was executed
Petitioner prayed that a court of equity take charge of the property and enjoin a sale by the First National Bank and its officers; that the Milledgeville Bank be enjoined from selling the land or
The petition as amended set out a cause of action against both of the banks that were defendants to the suit, and the'court erred in sustaining the general demurrers. In so far as the judgment of the court below sustaining the general demurrer' of the First National Bank amounts to a refusal of an injunction, the judgment was correct, under the Federal statute contained in Rev. Stat. § 5242 (U. S. Comp. Stat. § 9834), wherein it is provided that “no attachment, injunction, or execution shall be issued against such association [a national banking association] or its property before final judgment in any suit, action, or proceeding, in any State, county, or municipal court.” National Bank of Savannah v. Craven, 147 Ga. 753 (95 S. E. 246); American National Bank v. Dure, 148 Ga. 498 (97 S. E. 70). But the entire Casé against the National Bank should not have been dismissed; for the want of jurisdiction of the State court to grant a part of the relief prayed is' not ground for dismissing the petition as to the bank.
While the suit is to be retained against the First National Bank, the court did not err in dismissing the case as to the officers of that bank, as they were not necessary parties. The other parties defendant were'properly joined in the action.
The grounds of special demurrer which were sustained, in so far as they related to misjoinder of parties and misjoinder of causes of action (except as just pointed out), and the relief sought
Judgment reversed in part and affirmed in part.
Dissenting Opinion
dissenting. Being of the opinion that no ease was stated against the Milledgeville Banking Company or the First National Bank of Milledgeville, the case should have been dismissed as to them. Under the allegations of the petition, the plaintiff was not entitled to have a sale of certain real estate, alleged to belong to plaintiff’s intestate, set aside on the ground of fraud alleged, or for any other reason set forth in the petition. Nor was the plaintiff entitled to an equitable accounting. If either of the two banks named as defendants have funds in their hands belonging to the plaintiff as administratrix, suit for that amount may be brought separately against the two banks. There is no joint cause of action shown against these banks, and it would necessarily follow that if the case should have been dismissed as to the banks, it should also have been dismissed as to the other defendants. So far as relates to the year’s support which the widow is seeking to have set apart to her, the questions raised by objections to her petition for a year’s support can be tried in the superior court where the case is pending on appeal. And this is true also as to suit for the amount of a check, the subject of litigation in a suit now pending in a court of law. I concur in the holding that no injunction should be granted against the First National Bank of Milledgeville. .
Reference
- Full Case Name
- GARRARD v. MILLEDGEVILLE BANKING COMPANY
- Cited By
- 1 case
- Status
- Published