Consaul v. Cummings
Consaul v. Cummings
Opinion of the Court
delivered the opinion of the Court:
On September 16,' 1899, Horace S. Cummings, as administrator of the estate of George B. Edmonds, deceased, filed a bill against Gilbert Moyers for an account and settlement of the affairs of a special partnership alleged to have been entered into between said Edmonds and said Moyers for the prosecution of certain claims against the Hnited States. The matter of the account was referred to the auditor, who filed his report August 20, 1902, stating a balance due Edmonds for his share of fees collected on said claims to that time of $10,601.04. Defendant’s-exceptions to the report, save as to the collection in the case of R. M. Johnson, administrator, were overruled, and decree was entered accordingly. Defendant Moyers having died after the entry of the decree, his administrators made themselves parties,, and prosecuted an appeal to this court.
In that appeal it was held that there was a special partnership agreement including the eases in the auditor’s report as confirmed; that the same had not been abandoned by Edmonds ; that Moyers was not entitled to claim any compensation
Jurisdiction of the cause having been retained in the court below in order to take a further account in relation to collections made in alleged partnership cases after the first reference, the auditor made a supplemental report on January 5, 1904, relating to some of these additional claims which he found to be embraced in said agreement, to which exceptions were filed by the defendants. On November 7, 1905, reference was again made to the auditor, directing him to take into account the credits for expenses and interest as stated in the former opinion of this court, and also to inquire into and report further as to-the claim of Johnson, administrator, being a partnership collection, and also as to credits claimed for fees paid local attorneys in two cases stated in the second report before referred to. The report of the auditor filed May 1, 1906, restated the account, charging Moyers with the amount stated in the first account, and crediting him with the expense and interest aforesaid. He restated also the second account reported January 5, 1904, making allowance of credit for parts of fees paid by Moyers out of collection in case of Thomas Kidd. The complainant and defendant excepted to certain items in this report. Other claims collected after the second reference were also-referred to the auditor for inquiry and report. The report on these was filed December 21, 1906, and shows their inclusion in the partnership agreement, and a balance on account of their collection, due the complainant. Another report was made January 4, 1907, relating to a claim of Thomas Kidd, in which one Barber, intervener, claimed a fee. Allowing this fee, the
One half of the last amount was stated in the account as due the plaintiff. It appears from the evidence that the recovery in this case was largely due to the services of Consaul and Moyers after the death of Gilbert Moyers, whose brief in the case was apparently insufficient. The question presented is whether, because they became the administrators of Gilbert Moyers, their services as attorneys were performed on his account.
The original contract was with Edmonds, who associated Gilbert Moyers with him. The client ratified this employment of Moyers on her account by acquiescence. And while, after the death of Edmonds, her executrix might have transferred the prosecution of the claim to another, as she did, Gilbert Moyers would have been entitled to claim compensation for services rendered to that date, one half of which would enure to the benefit of Edmond’s estate. Death finally ended Moyers’s connection with the case. By consent of the client, his administrators might have been permitted to carry the litigation to a termination. But it does not appear that they did undertake to carry it on as administrators. Being attorneys, they were retained by Haynes to prosecute the case, which they did with success. As such they were entitled to compensation as well as Haynes, whose fee has been recognized as allowable to him. We think that Consaul and Moyers must be regarded as having prosecuted the case to final determination, not as administrators of Gilbert Moyers, but as attorneys for the claimant. We are of the opinion, therefore, that the auditor should have allowed to complainant, not one half of the fee received by Consaul and Moyers, but only so much thereof as had been earned by Gilbert Moyers up to the time of his death. As Consaul and Moyers received more than Haynes, it is probable that this may have been taken into consideration in the division of the fees, in which they received $300 more than Haynes. Moreover, Consaul testified that the services rendered in the case after the
The two claims of Edge and Smith had been prosecuted by Gilbert Moyers alone before this agreement was made. It was attempted to be shown that Gilbert Moyers abandoned the cases in 1902 because of the interest claimed on behalf of Edmonds, and new contracts were secured with the parties by Consaul and Ida M. Moyers, — contract with Edge, August 25, 1902, and with Smith’s administratrix May 18, 1903. In the Edge case, it appears that Gilbert Moyers wrote to the administratrix, inclosing the power of attorney and fee agreement with Consaul and Moyers for signature. He did not inform the administratrix that he had abandoned the case. On the contrary, he said: “As I. M. Moyers and C. F. Consaul, who are associated with me, have filed the previous briefs in this case, are familiar with all the details of it, and will have immediate personal charge of the conduct of the case before the court, the inclosed power of attorney to them is all right.” Substantially the same course was pursued with the administratrix of Smith’s estate, on March 18, 1903. As these cases were pending when the agreement between the attorneys was made, they were governed thereby. Moyers had the right to make an agreement with his associates for a
The letter was admitted in evidence on the hearing of the additional claims. To the argument founded on its weight as regards the Caldwell, Edge and Smith claims, it is a sufficient reply that those claims were admitted by Moyers to have been among those turned over to him by Edmonds under their agreement.
The Kidd claim was one of those prosecuted under the terms of the special partnership, and at that time Montgomery had a contract for 10 per cent of the recovery for his services in taking depositions in support of it. In November, 1900, as shown by the testimony of Miss Ida M. Moyers, who was then in her father’s office, she sent a contract to be executed by the heirs of Kidd, giving Gilbert Moyers 50 per cent of the claim as a fee. This was done, as explained by her, because she had found no other fee contract. This contract was executed and returned, but before execution it was interlined so as to give 15 per cent of the recovery to said Montgomery. The entire fee collected in this case was $6,730, of which Montgomery received 30 per cent. The auditor reported that the amount received by Montgomery in excess of the 10 per cent, under his original contract, was chargeable to Moyers. We see no reason to doubt that the court was right in overruling the exception to the report. If Moyers saw proper to make the additional allowance to Montgomery, instead of holding him to his original contract, he had no right to pay any part of it out of the share coming to Edmonds. There was no new employment and contract in this case, as in that of Caldwell, before considered. The claim was prosecuted in the name of the executors of Kidd, and the parties signing the contract, as heirs of Kidd, had no right to control the case. Whatever interest they had as next of kin of the deceased claimant was subordinate to the right of her executors. The executors had acquiesced in the management of the case by Moyers, and their liability was under the original contract with Edmonds, with whom Moyers was associated.
(1) We see no reason to doubt the conclusion of the auditor that the Egner and Goddard claims were among those included in the partnership agreement between Edmonds and Moyers, and hence that the fees were divisible in accordance therewith. As this is the only exception to the report as to their claims, there was no error in overruling the same.
(2) The Johnson claim was one of those reported in the auditor’s statement of account herein filed August 22, 1902, but it is there stated as claim of E. M. Johnson, administrator of Samuel Heard. The fee collected was found to be $1052.50, half of which was allowed to complainant in the statement of the account. The court sustained an exception to this item, and the same was referred back to the auditor to report on the claim as that of Joel 0. Johnson, administrator of the estate of Eichard W. Johnson. In his report filed May 1, 1906, the auditor stated this claim, as above named, to be one of the partnership cases, and found the fee collected was $492, one half of which was allowed to complainant. It appears that in the first report the case of Johnson, administrator of Heard, was confounded with the case of Johnson, administrator of Johnson. There is no such mistake in the later report. This case is contained in the Edmonds list, and it appears that he had a contract for the fee therein, dated March 18, 1886, and authorizing him to prosecute the claim; also that he prepared and presented the petition to Congress for reference. The records show that Gilbert Moyers entered his appearance in the case
These relate to the allowance of credit to Moyers for expenses in the Edmonds cases, and for fees that have been paid to special counsel in several of said cases.
We think it unnecessary to discuss these in detail. Some of them have been mentioned in considering the exceptions of the adverse parties that have been disposed of. We find no sufficient ground for disturbing the report in these several particulars.
So much of the decree as has been appealed from by Cummings in case No. 1779 will be affirmed, with costs.
The costs incurred on appeal in No. 1778 will be taxed one half to each party respectively.
Modified and Affirmed.
Reference
- Full Case Name
- CONSAUL v. CUMMINGS CUMMINGS v. CONSAUL
- Status
- Published
- Syllabus
- Equity; Partnership; Accounting; Attorneys; Appears. 1. In a partnership accounting between the representatives of the estates of deceased attorneys, where the administrators of one of the attorneys after his death, through another attorney, procured a power of attorney to themselves and him from a former client of the partnership and a new contingent fee contract, and prosecuted the case, the partnership is entitled to only so much of the fee received as was earned by the partnership up to the time of the death of the partner last deceased. 2. Where an attorney prosecuting claims under a partnership agreement with another attorney, since deceased, who had the original powers of attorney from the claimants, procured new powers of attorney from the claimants in the names of his son-in-law and daughter, who were assisting him in the cases, and they prosecuted the cases in their names, and after his death collected the fees, the estate of the partner first deceased is entitled to one half of the fees so collected. .3. Ordinarily, it is within the discretion of the lower court to reopen a case and permit additional testimony to be taken; and error cannot be assigned on a refusal so to do, unless the circumstances indicate an abuse of that discretion. 4. Parties prosecuting an appeal to this court are concluded as to matters determined on such appeal; and on the case going back to the lower court that court cannot properly allow such matters to be reheard. .5. In a partnership accounting between the estate of a deceased partner and the surviving partner, involving fees collected in the prosecution of cases in the court of claims, the share of the estate of the deceased partner in a fee in one of the partnership cases cannot properly be reduced by an arrangement made by the surviving partner with a local attorney whereby the local attorney’s original share of the fee was increased from 10 to 15 per cent for procuring a new fee agreement, in the name of the surviving partner, with the heirs of the claimant. 7. An assignment of errors based upon an alleged excessive allowance to receivers will not be considered, where the record shows that the auditor reported on the account of the receivers and made them the allowance complained of, but does not contain the report, or anything by which this court can determine the nature and value of the services. 8. An assignment of error based upon the action of the auditor in allowing interest to one of the parties in a partnership accounting on moneys collected by the other party will not be considered where no exception was reserved to his report on account of the allowance of the interest. 9. A decree in an equity cause involving a partnership accounting, affirmed in all respects, except as to certain items, and reversed as to those items, and the cause remanded, with direction to restate the account to the date of the decree; one half of the costs of appeal to be paid by each party.