Litigation Commons^™

Appeal And Error-Union Of Law And Equity-Appealability Of Order Denying Demand For Jury Trial, Earl R. Boonstra S. Ed.

Michigan Law Review

Defendant held an insurance policy written by plaintiff which by its terms covered a hangar against loss by fire. After the hangar had been destroyed by fire, plaintiff instituted this suit for reformation on the ground that the contract had been written as a fire policy through mutual mistake. Defendant denied the mistake, filed a counterclaim to recover on the policy as written, and demanded a jury trial. Plaintiff moved to strike the demand, and the motion was granted. The court of appeals dismissed the defendant's appeal. On certiorari, held, affirmed. Not being a final decision, the order denying …

Discovery-Attorney-Client Privilege-Statements By Client To Insurer Before Attorney Employed, Colvin A. Peterson, Jr. S. Ed.

Michigan Law Review

Plaintiff, suing for personal injuries suffered in an automobile collision, sought discovery of statements made by defendant to his insurer, both before and after an attorney had been employed by the insurer pursuant to its contract with defendant. Defendant contended that such statements were within the attorney-client privilege. On appeal from an order denying discovery, held, affirmed. The statements were intended as a communication by defendant to the attorney ultimately to be retained for him by his insurer, and the insurer was the agent of defendant to transmit the statements to the attorney when selected. Hollien v. Kaye, …

Torts-Family Relationship-Child's Right To Recover For Enticement Of Parent From Home, William H. Lowery

Michigan Law Review

Plaintiff, a six year old girl, sued to recover damages alleged to have been sustained as a result of defendant's enticing her mother from the family home. Plaintiff contended that as a child and member of the family she had a legally protected right to maintenance of the family relationship. Defendant answered that no tort had been committed, since no right in the plaintiff was recognized at common law and that to recognize such a right would amount to judicial legislation. From a judgment in favor of plaintiff, defendant appealed. Held, affirmed. Allowing a child a right of action …

Torts-Assumption Of Risk-Flying Pucks And The Ice Hockey Spectator, James F. Gordy S.Ed.

Michigan Law Review

Plaintiff and her husband attended an ice hockey game being sponsored by the defendant. Both testified that they knew nothing about the game. They asked for the ''best seats in the house" and were seated in the front row of an unprotected section, immediately adjacent to the ice and behind a low wooden wall. During the progress of the game, plaintiff was struck and injured by a puck driven from the ice. Defendant had furnished screened areas, which were unfilled at the time; he had prominently displayed many large placards warning of the danger of flying pucks and advising of …

Municipal Tort Liability, Allan F. Smith

Michigan Law Review

Municipal government in the United States is big business. In 1946, the 397 cities having a population of 25,000 or more spent a total of nearly 3 billion dollars for general governmental expenditures. In 1947 the total increased by 17 per cent to $3,477,000,000. Of that amount, 2½ billion were actual operational expenses for such activities as public safety, public health, sanitation, hospitals, local street and highway maintenance, and schools. Since the figures do not include the amounts expended in connection with municipal water works or municipal street railways, they lend weight to the assertion that our municipal governments are …

Corporations-Shareholders' Derivative Suits-When Demand On Shareholders Is A Prerequisite To Maintenance Of Suit, Thomas L. Waterbury S.Ed.

Michigan Law Review

A shareholder's derivative suit is an equity proceeding instituted by a shareholder on behalf of himself and all other shareholders to assert corporate rights. Both the corporation and the parties allegedly liable to the corporation are necessary parties. The question to be considered in this comment is, when must the plaintiff shareholder show that he sought redress for the corporation through collective action of the shareholders and failed to secure it? As a preliminary matter, we may ask what sort of collective action the shareholders are expected to take. A few authorities suggest that the shareholders, as a body, bring …

Agency-Liability Of Employer For Employee's Intentional Torts, L. W. Larson, Jr.

Michigan Law Review

Plaintiff, a spectator occupying a front seat at a hockey game, was struck and injured by one of the players who was attempting to strike an opponent. Beyond the fact that a hockey game was in progress, there was nothing to indicate the player's motive. Plaintiff recovered judgment against appellant, the corporation that employed the player who had struck her. The lower court instructed the jury that the player who had struck the plaintiff was as a matter of law acting as a servant, agent, or employee and within the scope of his employment at the time the plaintiff was …

Corporations-Officers And Directors-Stock Option Incentive Employment Contracts For Corporation Executives, A. B. Perlin, Jr. S.Ed.

Michigan Law Review

In the past few decades considerable attention has been directed toward "piecework payment" for corporate executives; that is, compensation based largely upon results rather than upon past or expected performance. The stock option incentive employment contract' is one of the means utilized to achieve that desired objective.

Equity-Divorce And Separation-Wife's Agreement Not To Claim Alimony As Defense To Later Action For Arrears, Melvin J. Spencer

Michigan Law Review

In a prior action against H for separate maintenance, W was awarded custody of their children and monthly maintenance of $50. She later lived openly with X, adopted his name, and had a child by him. Some of the children left W during their minority and lived with H. The maintenance payments were discontinued when W told H that she would no longer receive them. Four years after payments ceased, W unsuccessfully moved the federal district court to adjudge H guilty of contempt and to award her a money judgment for the past-due installments. Held, judgment for …

Res Judicata-Use Defensively Of Former Judgment By One Not A Party Or In Privity With A Party To Former Action, Richard H. Conn

Michigan Law Review

Plaintiff sued defendant in a federal district court to foreclose a mortgage lien alleged to exist on defendant's land in consequence of a loan by plaintiff to defendant's predecessor in title. Defendant's land was but a part of the tract originally encumbered. In a prior action in the state court, plaintiff had sought foreclosure of the same mortgage against the holder of another parcel of the mortgaged land on the precise grounds now asserted against defendant. In that action it was held that the entire mortgage had already been discharged. Defendant moved for summary judgment, contending that the former decision …

Contracts-Duty To Mitigate Damages Upon Anticipatory Breach Of Forward Contract Of Sale, William F. Snyder

Michigan Law Review

The theory of our law in regard to damages for breach of contract has been to give the innocent party as nearly as possible what he would have received had the contract been performed. To this end, our courts have worked out a rough formula which has been described by Professor Grismore as follows:

" ... The promisee is, in general, entitled to recover the economic equivalent of the performance promised, at the time and place fixed in the contract, plus any losses incurred or gains prevented through not receiving it, less any savings that have resulted to the promisee …

Bills And Notes-Personal Liability Of Agent Who Signs Note Which Principal Has No Legal Power To Execute, N. S. Peterman S.Ed.

Michigan Law Review

Defendant gave a note, signed by him in his representative capacity as village president, to plaintiff in payment for services rendered to the village. Defendant signed after he was authorized to do so by a resolution of the village board of trustees. The facts showed that the parties understood the village to be the primary obligor on the note. Actually, the village had no legal power to make such notes and could not have been indebted by them. Plaintiff sued defendant as an individual and won a verdict in the trial court. On appeal, held, reversed. Defendant having signed …

Tort Liability Of The State: The Federal Tort Claims Act And The Crown Proceedings Act, Harry Street

Michigan Law Review

Anglo-American legal systems have for so long lingered behind the Continent of Europe in developing a satisfactory basis of governmental civil liability that the enactment of the Federal Tort Claims Act of 1946 in the United States, and the Crown Proceedings Act of 1947 in Great Britain are events justifying a comparison and evaluation of these belated attempts to provide the citizens with an adequate remedy against the State.

Courts--Process--Nonresident Motorist Service Statute--Service On "Driver" As Within Provision Permitting Service On "Owner", C. C. Grunewald S.Ed.

Michigan Law Review

While in Arkansas, appellee, an Illinois resident, drove a third party's automobile and was involved in a collision in which plaintiff's intestate was killed. Plaintiff instituted a negligence action in an Arkansas court against appellee, who had previously returned to Chicago, by service and notification pursuant to the Arkansas nonresident motorist service statute. Appellee appeared specially and moved to quash the service as ineffective under the statute. On appeal from the lower court's decision sustaining the motion, held, affirmed. The statutory language which permitted service on a nonresident "owner" did not allow service on a nonresident "driver." Kerr v. …

Libel-Limitation Of Actions-"Single Publication Rule" Extended To Include Books, W. M. Myers

Michigan Law Review

In November, 1941, defendant book publishers commenced distribution of a book containing allegedly libelous statements concerning plaintiff. Thereafter, there were seven additional printings, the last in December, 1943, distribution of which began in March, 1944. Although more than 12,000 copies of the book were sold prior to this reprinting, only 60 copies were sold from stock during the year immediately preceding July 2, I 946, the date plaintiff instituted his action. To determine whether the action was barred by the statute of limitations, the following question was certified to the New York Court of Appeals: "Do sales from stock by …

Evidence - Office Custom To Prove Fact Of Mailing, R. J. Nordstrom S.Ed.

Michigan Law Review

Plaintiff agreed to purchase land from defendant by a contract in which it was stipulated that the performance of the mechanics of purchase would be completed through a third party, Webster. Plaintiff deposited the purchase money with Webster with instructions to deliver it to defendant only after he (Webster) had, inter alia, procured a policy of title insurance. Webster absconded with the funds. In a suit to determine the incidence of loss, plaintiff sought to prove that Webster had procured the policy before he absconded and therefore held the purchase money as agent for defendant. The proof that plaintiff …

Torts - Liability For Intentionally Inflicted Emotional Disturbance, Donald D. Davis

Michigan Law Review

Plaintiff alleged that defendant used vile and abusive language toward her on a public street; that defendant knew she was advanced in pregnancy, highly nervous and sensitive; and that by reason of defendant's language she suffered an emotional disturbance resulting in impairment of health. The trial court rendered judgment in favor of the defendant after the opening statement of plaintiff's counsel. The court of appeals reversed the judgment of the trial court and held that plaintiff was entitled to submit her evidence to the jury. On appeal, held, reversed. Plaintiff did not allege that she was put in fear …

Venue-Forum Non Conveniens-Transfer Of Venue In Federal Employers' Liability Cases Under The New Judicial Code, Donald D. Davis

Michigan Law Review

Plaintiff, a resident of Texas, brought action in a United States district court in Minnesota to recover damages under the Federal Employers' Liability Act for injuries received in an accident in Texas. Defendant, in accordance with section 1404(a) of the United States Judicial Code, moved for a change of venue to Texas for the convenience of parties and witnesses and in the interest of justice. Plaintiff resisted the transfer solely on the ground that the section did not apply where venue was granted under the F.E.L.A. Held, by a two judge district court, motion granted. Hayes v. Chicago, R.I. …

Corporations - Liability Of Directors For Failure To Enforce Corporate Right By Section 16b Of Securities Exchange Act, Bernard Goldstone

Michigan Law Review

Plaintiff brought a stockholder's derivative suit against the directors of X corporation, alleging that they wilfully failed to demand short term profits made in the sale of the corporation's securities by an officer of the corporation. These profits were recoverable by the corporation pursuant to section 16B of the Securities Exchange Act of 1934. Plaintiff further alleged that as a result of the directors' failure to sue, the statute of limitations barred recovery of these profits, giving rise to a common law action against the directors for waste. Defendants moved to dismiss. Held, motion granted. Directors were not liable …

Bailments-Delivery Of Possession-Liability Of Shopkeeper For Loss Of Article Left In Reception Room, Myron J. Nadler

Michigan Law Review

Without the knowledge of defendants, plaintiff hung her coat on a hook provided for wraps in the unattended reception room of defendants' beauty shop. Upon leaving, plaintiff returned to the reception room but was unable to find her coat. Judgment for its value was recovered in the lower court upon the theory that defendants were bailees of the coat and had been negligent in caring for it. Held, reversed. No bailment existed because there was no change of possession of the coat sufficient to constitute a delivery. Theobald v. Satterthwaite, (Wash.1948) 190P. (2d) 714.

Federal Courts-Venue-Construction Of Sections 51 And 52 Of Judicial Code, Daniel W. Reddin Iii S.Ed.

Michigan Law Review

Petitioner, a resident and citizen of Mississippi, brought a negligence action based upon diversity of citizenship in the Federal District Court for the Eastern District of Louisiana, joining as defendants Highways Insurance Underwriters, a Texas corporation qualified to do business in Louisiana, and respondents, Reich Brothers Construction Co., a partnership, and its individual members, residents of the Western District of Louisiana. Respondent, Reich Brothers, moved to dismiss on the ground of improper venue under sections 51 and 52 of the Judicial Code which in effect provide that in diversity cases, suit shall be brought only in the district where either …

Evidence-Hearsay-Admissibility Of History Statements In Hospital Record Under Business Entries Statute, Ralph E. Hunt

Michigan Law Review

Plaintiff sued for injuries allegedly resulting when the door of defendant's bus closed on plaintiff's ankle as he was attempting to board the bus, throwing him to the ground. Defendant offered in evidence, under the Uniform Business Records as Evidence Act, in effect in Delaware, hospital records containing the entry: "Patient states he twisted ankle while walking along the street." The interne who treated plaintiff and qualified the records had no independent recollection of the statement. On appeal from judgment for defendant, held, the record was properly admitted, although no witness could testify of his own memory that he …

Appeal And Error-Right Of Defendant To New Trial Where Plaintiff Is Entitled To All Or None And Verdict Is Intermediate, Bruce L. Moore S.Ed.

Michigan Law Review

In an action on an express contrast, plaintiff sued for $1750, representing the agreed 5 per cent commission on the sale of real estate. Defendant denied the validity of the contract, and there was no issue as to the amount of liability if liability existed. The instruction to the jury was that plaintiff was entitled to 5 per cent commission if entitled to recover. The jury returned a verdict for $875, half the amount claimed. Defendant's motion for a new trial was denied. Held, although the verdict was unauthorized as to plaintiff, there was no error as to defendant …

Some Problems In Special Assessment District Obligations, Irvin Long

Michigan Law Review

The question of the jurisdiction of a board or officer authorized to construct a local improvement and levy special assessments therefor has always been troublesome, and is particularly so when bonds or other obligations are issued in anticipation of the collection of such assessments. A vast amount of litigation has occurred in Michigan in recent years over drain district assessments, and bonds which such districts have issued. While this is of primary interest to Michigan lawyers and investors in public securities, many of the questions involved seem to be of such a general nature, so far as special assessment procedure …

Nuisance-Liability For Injury Caused By Encroaching Tree Roots, L. B. Lea

Michigan Law Review

Plaintiff and defendant were ad joining landowners. Roots of poplar trees on defendant's land extended onto plaintiff's premises, clogging the sewage system and extracting such nutritional value from the land as to injure her lawn and flower garden. Plaintiff brought an action for damages and equitable relief. Judgment was rendered for defendant on demurrer. On appeal, held, reversed. The encroaching roots constituted an actionable nuisance. Plaintiff was not limited to the self-help remedy of cutting the roots at the boundary line. Mead v. Vincent, (Okla. 1947) 187 P. (2d) 994.

Joint Adventure--Right Of Co-Adventurers To Sue Each Other At Law, Ralph J. Isackson

Michigan Law Review

Plaintiff and defendants, joint adventurers, entered into an agreement whereby plaintiff was allegedly entitled to a cash payment from the funds of the joint undertaking. Plaintiff brought an action against defendants to recover the amount claimed. Neither party requested termination of the business. The trial court ordered a reference for accounting and then, without terminating the joint adventure, found that plaintiff was entitled to be paid out of the assets of the joint adventure as agreed. On appeal, held, reversed. As plaintiff and defendants were joint venturers it was necessary to have a termination of the joint adventure and …

Required Joinder Of Claims, William Wirt Blume

Michigan Law Review

There are three principal reasons for requiring the joinder of claims: (1) To prevent the evils of a multiplicity of suits. (2) To eliminate the possibility of more than one recovery on one liability. (3) To make possible the ranking of claims and a pro rata distribution of property. In this paper the writer will undertake a brief survey of the common situations in which joinder of claims is or may be required, with the object of indicating the extent to which the practice is bottomed on the principle of preventing unnecessary suits.

Duress Through Civil Litigation: Ii, John P. Dawson

Michigan Law Review

Where litigation has progressed to the stage of a final judgment under which execution is immediately available, the initial obstacles already suggested to relief for duress appear to exist in magnified form. The judgment itself establishes the legitimacy of the original demand. Though the coercion threatened is immediate, it has been supplied by general rules of procedure for the specific purpose of compelling satisfaction. It appears from numerous decisions and is even more frequently assumed that a settlement induced by threat of immediate issuance of execution under a valid, final money judgment cannot be duress, whatever the nature of the …

Duress Through Civil Litigation: I, John P. Dawson

Michigan Law Review

Duress through the use of civil litigation provides a convenient starting point for an analysis of modern doctrines of economic duress. The propriety of this form of pressure, used alone or in conjunction with other means of coercion, may become an issue in a variety of situations in which relief for duress is asked. At the same time it is in this area that the extension of duress as a remedial principle has encountered the greatest resistance.

Federal Procedure-Impleader Under Rule I4-Lack Of Diversity Of Citizenship Between Original Plaintiff And Third-Party Defendant, Frank E. Roegge S.Ed.

Michigan Law Review

Plaintiff, a citizen of Connecticut sued defendant, a citizen of Ohio, for injuries received when the car in which plaintiff was a passenger collided with a truck driven by defendant. Defendant removed the case from a Connecticut state court to a federal district court and then obtained an order citing plaintiff's husband, a citizen of Connecticut and the driver of the car in which plaintiff was riding, as a third-party defendant under Rule 14 of the Federal Rules of Civil Procedure. Defendant had no claim against the third party by Connecticut substantive law which does not recognize contribution between tort-feasors. …