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Mutual Life Insurance v. Gillette

The Mutual Life Insurance Company of New York v. Walter R. Gillette

Mut. Life Ins. v. Gillette, 119 A.D. 430 (1907)
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Court
Appellate Division of the Supreme Court of the State of New York · State Appellate Courts
Decided
May 31, 1907
Judges
Scott
Citations
119 A.D. 430104 N.Y.S. 6831907 N.Y. App. Div. LEXIS 3955
Headnotes
Pleading — misjoinder of actions for accounting and for negligent audit — when objection may be taken by demurrer. An action in equity against the auditor of a corporation for an accounting as to a fund over which .he had custody and control, and an action at law for damages claimed to have resulted from his wrongful or negligent acts in auditing corporate bills, cannot be united in one complaint when it is not alleged that the defendant himself profited by the'improper audit: When the‘two causes are distinctly pleaded the objection to the misjoinder may be taken by demurrer.
Summary
Appeal by the plaintiff, The Mutual Life Insurance.Company of Mew York, from an interlocutory judgment of the Supreme Court in favor of the defendant,, entered in the office of the clerk of the county of Mew York on the 26th day of February, 1907, upon the decision of the court, rendered after a trial at the Mew York Special Term, sustaining the defendant’s demurrer to the complaint.

Syllabus and headnotes are prepared by the reporter or publisher, not the court, and are not part of the opinion.

Opinion of the Court — Scott

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Scott, J.:.

The plaintiff has so framed its complaint as to set out two complete causes of action : One in equity for an accounting concerning the disposition of a fund over which, as it is said, the defendant had custody and control; the other at law for damages claimed to have resulted from the wrongful or negligent acts of defendant, in auditing bills against the plaintiff, payable out of its general funds and not out of the special fund alleged to have been within defendant’s custody. It is true that these two causes of action are not separately stated and numbered as such, but they are as distinct as. if they were so stated and numbered. -It is manifest that these'two causes of action cannot be united in one complaint, and, therefore, the- demurrer was properly, disposed of in the court below. The cases relied upon by plaintiff to sustain its pleading (Bosworth v. Allen, 168 N. Y. 157 ; Mabon v. Miller, 81 App. Div. 11 ) are not in point. While it is true that certain expressions used in the opinions in those cases might appear to uphold the plaintiff’s contention, the vital difference between those cases and the present is that here it -is not alleged that defendant liirnself received or profited by any part of the sums said to have been paid out on his improper ■audit. The cause of action for negligent audits is governed by Higgins v. Tefft ( 4 App. Div. 62 ) and O'Brien v. Fitzgerald (6 id. 509). Mor- have we presented here merely the case of an action for an accounting which includes matters not properly the subject of an account., In such a case the question of what the accounting should cover would be a matter to be determined upon the settlement of' the interlocutory judgment, and not a question to be raised by demurrer. As the plaintiff lias, however, seen fit to dis *432 tinctly and completely plead two causes of action, the question of improper joinder is one which can be tested by a demurrer.

The judgment appealed from is, therefore, affirmed, with costs and disbursements, with leave to plaintiff to amend its complaint within twenty days-upon payment of* costs in this court and the court below.

Ingraham, Laughlin, Clarke and Lambert, JJ"., concurred.

"Judgment' affirmed, with "costs and disbursements, with leave to plaintiff to amend complaint on payment of costs in this court and in the court, below.

How later courts describe this case

No later court has written an explanatory parenthetical about this case yet.

1908: 11914: 11917: 11919: 119082026peak 1908 · 1

Relies on it most ⓘ

  1. People v. Equitable Life Assurance Society of United States124 A.D. 714 (1908)
  2. German American Coffee Co. v. Diehl86 Misc. 547 (N.Y. Sup. Ct. 1914)
  3. Wilson v. Brown107 Misc. 167 (N.Y. Sup. Ct. 1919)
  4. Sherwood v. Holbrook98 Misc. 668 (N.Y. Sup. Ct. 1917)

Most recent

  1. Wilson v. Brown107 Misc. 167 (N.Y. Sup. Ct. 1919)
  2. Sherwood v. Holbrook98 Misc. 668 (N.Y. Sup. Ct. 1917)
  3. German American Coffee Co. v. Diehl86 Misc. 547 (N.Y. Sup. Ct. 1914)
  4. People v. Equitable Life Assurance Society of United States124 A.D. 714 (1908)

Citing references are not a citator: they show that a later opinion cites this case, not whether it followed, distinguished, or overruled it. Check negative history before relying on this case.

Authorities cited 2

DepthCaseCited by
Bosworth v. Allen, 61 N.E. 163 (N.Y. 1901) 94
Higgins v. Tefft, 4 A.D. 62 (1896) 22

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