Wood v. Ethridge
Wood v. Ethridge
Opinion of the Court
Our statute provides that, if any mortgagee who has received satisfaction of the mortgage debt shall fail, within thirty days after request and tender of costs, to acknowledge satisfaction of the mortgage on the margin of the record, or deliver to the person making the satisfaction a sufficient deed of release, "he shall forfeit to the party aggrieved ten per cent, upon the amount of the mortgage or deed of trust money, absolutely, and any other damages he may be able to prove he has sustained, to be recovered in any court of competent jurisdiction. R. S., secs» .7094, 7095.
On the fifteenth day of March, 1893, the plaintiffs and the defendant entered into a copartnership agree
The answer of the defendant is a general denial, and it also sets forth other matter in the nature of a counterclaim, which the court disregarded, and which we need not further notice, since no point is made on the action of the court thereon.
The cause was submitted to the court sitting as a jury, which resulted in a finding and judgment for the
It is a matter of some difficulty to administer or apply the statute here invoked to the peculiar and unusual facts presented by this record. If the notes referred to were, as the defendant claims, merely given as evidence that the defendant had advanced more money for the firm than his just- proportion according to the partnership- agreement, then the indebtedness would be strictly a firm obligation, and, and as one partner can not owe his copartner in matters concerning the partnership during its existence (Ross v. Carson, 32 Mo. App. 148), it would be quite clear that the plaintiff’s claim for damages under the statute was without foundation. But this conclusion is not fairly deducible from the copartnership agreement. That seems to have contemplated and provided that an advancement of the defendant to the plaintiffs, in order to equalize their interest in the partnership effects, orto assist them in paying their just proportion on partnership purchases, should be treated as loans to them, upon which they were to pay interest, and which they were at liberty to repay at anytime within the existence of the partnership.
Whenever the owner of property discharges amortgage thereon, he is entitled to have the same discharged of record, for the reason that many persons are disinclined to purchase property the title to which is incumbered of record, however satisfactory the evidence may be that the debt has been satisfied. In this way the owner may miss an opportunity to sell. The view is a mistaken one, that the purpose of law is to furnish record evidence of the solvency of the mortgagor. The
Is it possible, under this interpretation, for the plaintiffs to maintain this action? On every principle of the law of partnership we say that it can not be done. The cloud is on the title of partnership property, and the damage, if any, is to the partnership. How, then, can the defendant be sued for damages suffered by the partnership of which he is a member? We apprehend that no case can be found which authorizes such a suit. Neither can the plaintiffs sue upon the theory that they own a certain interest in the property, and that their portion of the damage can thus be estimated, for the reason that it can not be said that they have any interest therein, so long as the partnership exists. Their interest in the partnership effects is only their undivided share in the surplus, if any, after the payment of partnership liabilities and the adjustment of the partnership accounts, and not in any specific property. Jones on Chattel Mortgages, section 45; Tarbel v. Bradley, 7 Abb. N. C. 273; Menagh v. Whitwell, 52 N. Y. 146. Hence, it is impossible to apply the statute to the case in hand, for, aside from all other objections, it is impossible to say that the plaintiffs have any interest in the mortgaged property whereby they were damaged.
the judgment of the circuit court will be reversed. It is so-ordered.
Case-law data current through December 31, 2025. Source: CourtListener bulk data.