Holland v. Depriest
Holland v. Depriest
Opinion of the Court
— The plaintiffs claim to be the employees and creditors of the McCaskill Mercantile and Lumber Company, an insolvent corporation. They began this proceeding by motion in the circuit court to compel the defendant, as sheriff of Shannon county, to satisfy their alleged claims for labor out of moneys in his hands, arising from the sale of attached property belonging to the corporation. The plaintiffs averred in their motion that in April, 1891, the defendant had seized all of the property of the lumber company under several writs of attachment, and that, under the orders
The grounds of the motion are to be found in section 4911 of the Revised Statutes of 1889, which, under certain limitations and conditions, requires the claims of the employees of insolvents to be first paid. The section appeared for the first time in the revision of 1889 as an amendment to the execution law. It reads: “Hereafter when the property of any company, corporation, firm or persons shall be seized upon by any process of any court of this state, or when their business shall be suspended by the action of creditors, or be put into the hands of a receiver or trustee, then in all such cases the debts owing to laborers or servants which have accrued by reason of their labor or employment to an amount not exceeding $100 to each employee, for work or labor performed within sixmonths next preceding the seizure or transfer of such property shall be considered and treated as preferred debts, and such laborers or employees shall be preferred creditors and shall be first paid in full; and if there be not sufficient to pay them in full, then the same shall be paid to
The defendant denied the authority of the circuit court to entertain the motion and he set up the fact, that, the day before the attachment of the property, the lumber company had made a general asssignment ■of its property for the benefit of its creditors, and that the assignee had claimed the property on interplea, which had not been determined; that the plaintiffs had failed to have their claims allowed by the assignee, and that, if the defendant was then required to pay the plaintiff’s demands, he might be compelled to answer to the assignee for the entire amount of money in his hands.
Upon proof of the facts that the plaintiffs had com
It will be observed that section 4911 provides that, when the property of any insolvent is seized under any process of any court in this state, an unpaid employee-may avail himself of the extraordinary remedy afforded to him by this'section. The section expressly provides for the remedy in cases of seizure under writs of attachment.
Counsel for the defendant insist that, as the section is merely an amendment to the execution law, it is unconstitutional in so far as its terms apply to seizures under writs of attachment. • Constitution, art. 4, sect. 28. "Whether this question is fairly raised by the record we have some doubt; but, when we entertain such a doubt, it has been our practice to transfer the case to the supreme court rather than take the risk of assuming an unwarranted jurisdiction.
But, aside from the constitutional question presented, there are other considerations which induce us to transfer the case, in order that the section, which is. a new one, may receive an authoritative interpretation, and its validity be tested on other grounds. It seems to-us to be an extraordinary piece of legislation. It makes-it the duty of the sheriff or other person having in charge the property of an insolvent to pay the claims of employees upon their verified statements only, unless some interested party should file exceptions to the claims; but it does not make it the duty of any one to-give interested parties notice of the filing of the claims. The enforcement of the section according to its terms would result in taking the property of a person without noticé which would be without due process of law.
For the foregoing reasons, the cause will be transferred to the supreme court.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.