Chandler v. Chandler
Chandler v. Chandler
Opinion of the Court
The opinion of the Court was read as drawn up by
The plea of the statute of limitations cannot avail, because until the dissolution of partnership there was no subsisting cause of action for the settlement of accounts between the partners. Clark Chandler died in 1824, within six years after the dissolution, and the bill was brought by his administrators within two years after his death, so that by St. 1793, c. 75, [see Revised Stat. c. 120, § 10,] the right of action remained.
The case presented by the bill seems clearly to come within the statute of 1823, c. 140, [see Revised Stat. c. 81, § 8,] committing to this Court equity jurisdiction in cases of partnership accounts, and it is very certain that a plain and adequate remedy could not be had at law. It is a known principle of the common law, that an action will not lie by one partner against another, except where there has been an adjustment of accounts and a balance struck,
The plea of Nathaniel Chandler sets forth nothing which shows that the bill ought not to be sustained; on the contrary, it affirms the allegations on which the bill is founded, to wit, that a partnership did exist, that the accounts have never been settled, and that they are of so complicated a nature that they cannot be settled even by the parties. It is very clear that the means usually employed by courts of chancery in like cases, such as compulsive discovery, production of books and papers, and an examination of accounts by some skilful person, under the control of the Court, are absolutely indispensable.
The several pleas therefore made by John Chandler and Nathaniel Chandler are overruled, and so much of them as does not relate to the statute of limitations may stand for answers, with liberty to make further answers, or if no further answer shall be made, to be open to exceptions.
With respect to the plea of Jones, it may finally be sufficient for his defence ; but as Clark Chandler and Nathaniel were by contract with John Chandler entitled to a proportion of the profits of that partnership between John Chandler and Jones, and therefore have an interest in that fund and a right to know the state of the accounts, Jones is still to be held as a party for the purpose of discovery through John Chandler, of the state of that concern.
See Wilby v. Phinney, 15 Mass. R. (Rand’s ed.) 121 and n. (a); Haskell v Adams, 7 Pick. 59.
See Story Comm. Eq. c. 15, tit. Partnership, p. 612, 614, 621, 622, 632, 633; Collyer on Partn. bk. 2, c. 3, sec. 4, § 3 to 12, p. 166 to 189; Miller v. Lord, 11 Pick. 25.
See Collyer on Partn bk. 2, c. 3, sec. 7, § 1, p. 200; Waggoner v. Gray, 2 Hen. & Munf. 603 Long v. Yonge, 2 Simons, 369.
Reference
- Full Case Name
- Nancy Chandler versus John Chandler
- Status
- Published