White v. Brown
White v. Brown
Opinion of the Court
In January, 1847, the plaintiff recovered judgment in this court against William P. Robesons, John Moore White, and several others, in a plea of debt for $60,000.
In 1848, William P. Robeson paid Governor Vroom, the agent of plaintiff, $6000 on this judgment.
Mr. White now moves to have satisfaction entered, upon the allegation that the plaintiff received this $6000 in full.
It is not contended by Mr. White that any technical release was ever executed by the plaintiff. The papers between the parties are so neither in terms nor are they under seal. Rut it is contended that the plaintiff agreed to receive, and did receive, this $6000 as full payment of the judgment. Payment in full might have been made, either by the payment of the whole $60,000 in cash or by any lesser sum which the plaintiff might agree to so receive. If he agreed to receive five dollars in full satisfaction, and it was paid and received accordingly, it was as complete a payment and satisfaction of the judgment as if the whole $60,000 had been paid in cash.
The case presents for consideration two questions — 1st, did the plaintiff agree to receive, and did be in fact receive, this $6000 in full payment of the judgment; 2d, if he did, what are its legal effects.
First. Did the plaintiff agree to receive this $6000 in full as against Mr. Robeson ?
On the 1st day of April, Governor Vroom gave Mr. Robeson an additional writing, of which the following is a copy:
“ In addition and explanation of the written memorandum it is hereby agreed, that on I he payment of the $6000 within stipulated, according to agreement, the judgment within referred to shall either be released or assigned to such person or persons as the said William P. Robeson may choose, and the release or assignment to be at the option of the said William P. Robeson, to be expressed in writing, and if assigned, to be for the benefit of those who have paid up their just proportions of the money heretofore paid on the original mortgage, and expended on the property, and which may be paid under this agreement.”
Can any one doubt, upon the face of these papers, that, as
By the memorandum of the 1st September, 1848, the plaintiff gives the defendants the option of two things— they may redeem the mortgaged premises by paying the amount due, or, if the plaintiff retains the property under the master’s sale, upon receiving $6000 more, the other property of all of the defendants held under the judgment was to be released, showing that the plaintiff held the amount of the judgment equivalent to the property and $6000. If they redeemed the property, that would have been strict payment of the whole. The equivalent of that was the plaintiff holding the property and the $6000. The plaintiff evidently considered an agreement to release the property as of equal import with satisfying the judgment.
But if there could be any doubt about the meaning of the memorandum of 1st September, I apprehend there can be none about the one in addition and explanation of it, dated the 11th of April, 1849. This in terms provides that on the payment of the $6000 the judgment shall be either released or assigned to such person as the said
If the $6000 was to be received on account, and not in full satisfaction, the plaintiff or his assignee would hold the judgment for the unpaid balance; but this would be expressly defeated if Mr. Robeson chose to release, which he had a right to do, or if assigned, it would be held not only for what bad been paid by the defendants before the assignment, but also for the balance unpaid at the date of the assignment. Here the agreement to assign was avowedly not for any unpaid balance claimed by the plaintiff, but to enable one of the defendants to re-collect what had already been paid by him from another of the defendants — in other words, to enable one defendant to collect by the lien of the judgment from the other defendants what he has paid over bis share — the agreement by the plaintiff to assign the judgment for such a purpose, to enable him to collect, not what is unpaid on the judgment, but what has been already paid, is equivalent to saying that, as between the plaintiff and Mr. Robeson, the $6000 is in full. Now if the thing had rested here simply in agreement it might have been a question whether the agreement, being executory, was not void for want of consideration, and the plaintiff, or his assignee, at liberty to repudiate it. But here the agreement has been executed, the $6000 was actually paid, and the plaintiff, or his assignee, is no longer at liberty to dispute it.
On the 11th of October, 1849, Governor Vroom gave
But the very terms of this assignment to Mr. Robeson show that, as between the plaintiff and him, this $6000 must have been in full; this receipt says, the judgment
If the plaintiff agrees that, in consideration of $6000, the judgment is not to be used against Mr. Robeson, is not the $6000 a full satisfaction as against him? Do not the very terms of the agreement to assign show that, as between the plaintiff and Robeson, the $6000 was in full, the judgment and execution could not be put under the control of Mr. Robeson except for the purpose of entering satisfaction ? Where a defendant pays off a judgment, his rights, as against his co-defendants, are to collect from them, by action for money paid, their proportionate share of what he had overpaid, and not to use the lien of the judgment to collect from them the unpaid balance. All tlie papers show that in this ease the plaintiff never imagined for a moment that he was to place the control of the judgment in the hands of Mr. Robeson to collect the balance over the $6000, nor did Mr. Robeson so think, nor does any party now so claim; on the contrary, the agreement of the 0th of April expressly shows that it was to enable Mr. Robeson, if he could do so lawfully, to force the other defendants to pay up their proportion of what had already been paid. The plaintiff, therefore, could never have intended this $6000 merely on account, or to have collected more on it, either themselves, or to have enabled any assignee to do so.
It is perfectly manifest, from the papers, that the plaintiff agreed to take the $6000 in full, and to assign the judgment merely to enable Mr. Robeson, if he could do so lawfully, to collect from his co-defendants their proportion of the money he had advanced over his share. It is also manifest, from the papers, that the plaintiff received the $6000 in full, not only as against Mr. Robeson, but that it was all that they intended to collect from any of the defendants.
The language of the original memorandum of the 1st
Second. "What are the legal effects of such payment and receipt ?
It is a well-settled legal principle that payment by one of several co-defendants is payment by all, and it makes no difference in legal effect whether the plaintiff agreed to receive the $6000 in full as against Mr. Robeson or as against all the defendants; so that, as regards the other defendants, its payment by Mr. Robeson is the same as if paid by all — it equally extinguishes the judgment. None
The assignment to G. M. Robeson cannot alter the rights of tho parties. He can be in no better condition than his assignor. As regards the plaintiff in the judgment, it was paid off many years before the assignment to him, and no assignment by the plaintiff (¡an again, as against Mr. White, give it vitality.
But again, suppose the $6000 was not in full, it was satisfaction pro tanto, and by the very terms of the agreement the assignment for Mr. Robeson’s benefit was not to collect the unpaid balance, (the plaintiff expressly guarded himself and all the defendants against that eventuality,) but, 1st, to collect the money paid on the original mortgage; and 2d, the money spent on the property, which were matters foreign to the judgment; and in the 3d place, this very $6000 for which the judgment by its very payment was pro tanto satisfied, so that if the plaintiff retained the judgment it would certainly only be to collect the balance over the $6000, which they disavow all right or intention of doing; or if assigned for the benefit of Mr. Robeson, he could use it for no legal purpose, but, on the contrary, all the three purposes to which he is limited by the terms of the agreement to assign are equally illegitimate. He could, by the very terms of the assignment, not use the judgment to collect any balance over the $6000, but only the money paid on the mortgage before the decree, or for money expended on the property, or the $6000. As to (he two former they were matters
Suppose George M. Robeson should undertake to enforce the Hen of this judgment, could he enforce it against William P. Robeson ? If he did, would not this court instantly order satisfaction to be entered ? Could we enter it partially and say it was satisfied as against one defendant and not satisfied as against the others? The whole difficulty arises from one of several defendants having paid off the judgment, endeavoring to evade the technical rule of law, that payment by one is payment by all, and to substitute the short and certain process of the lien of the judgment for the action for money l»aid, laid out and expended.
Let satisfaction be entered on the judgment.
Reversed, 5 Dutch. 514.
Reference
- Full Case Name
- John Moore White ads. Abraham Brown, Trustee
- Status
- Published