Federal Home Loan Bank of San Francisco v. Hall

Decision Date26 October 1955
Docket NumberNo. 14378.,14378.
Citation225 F.2d 349
PartiesFEDERAL HOME LOAN BANK OF SAN FRANCISCO; W. W. McAllister and William K. Divers, as members of the Home Loan Bank Board; A. V. Ammann; George K. Bramley; and the Federal Savings and Loan Insurance Corporation, a federal corporation, Petitioners, v. Honorable Peirson M. HALL, Judge of the District Court of the United States for the Southern District of California; the United States District Court for the Southern District of California; Mallonee, Bucklin, and Fergus, acting as the Shareholders Protective Committee of Long Beach Federal Savings and Loan Association; Long Beach Federal Savings and Loan Association; Title Service Company; Robert H. Wallis; First Federal Savings and Loan Association of Wilmington; Home Investment Co.; George Turner; First Federal Savings and Loan Association of Bellflower and John D. Willhoit, Respondents.
CourtU.S. Court of Appeals — Ninth Circuit

COPYRIGHT MATERIAL OMITTED

Verne Dusenbery, Portland, Or., Philip H. Angell, Robert M. Adams, Jr., San Francisco, Cal., Sylvester Hoffmann, Los Angeles, Cal., for Federal Home Loan Bank of San Francisco.

Warren E. Burger, Asst. Atty. Gen., Paul A. Sweeney, Donald B. MacGuineas, Attorneys, Dept. of Justice, Washington, D. C., for W. W. McAllister, et al., T. T. Wade Harrison, Gen. Counsel, Mose Silverman, Asst. General Counsel, Washington, D. C., of counsel.

Charles K. Chapman, Long Beach, Cal., for respondent Long Beach Federal Savings and Loan Ass'n., and First Federal Savings and Loan Assn. of Bellflower.

Wyckoff Westover, Los Angeles, Cal., for respondents Mallonee, Bucklin and Fergus, etc.

John D. Miller, Long Beach, Cal., for respondent Title Service Company, Raymond Tremaine, Los Angeles, Cal., for respondent Robert H. Wallis.

W. I. Gilbert, Jr., Los Angeles, Cal., for respondent 1st Federal Savings & Loan Assn. of Wilmington. F. Henry NeCasek, Long Beach, Cal., for respondents Home Investment Co. and George Turner.

Emmett E. Doherty, Los Angeles, Cal., for respondent John D. Willhoit.

J. E. Simpson, Los Angeles, Cal., for respondent Court and Judge.

Before STEPHENS, HEALY and BONE, Circuit Judges.

BONE, Circuit Judge.

On June 4, 1954, above named Petitioners filed with this Court a motion for leave to file an attached petition in which they prayed for writ of mandamus, injunction and other appropriate relief, and for a rule to show cause directed to the Respondents above named. The prayer of the petition was for an order or orders as follows:

"1. Directing dismissal forthwith of Action No. 5678 in said District Court.
"2. Directing dismissal forthwith of Action No. 5421 in said District Court, together with all cross-actions, actions in interpleader, actions in intervention and third party actions pending therein.
"3. Directing dismissal of the cross-claim and third party complaint filed by Long Beach Federal Savings and Loan Association, the complaint in intervention and interpleader of Title Service Company, the complaint in intervention of Robert H. Wallis, the complaint in intervention of John D. Willhoit, and the cross-claim of Home Investment Company in said Action No. 13979 "4. Directing the return forthwith to San Francisco Bank of promissory notes and collateral heretofore ordered returned by the mandate.
"5. Directing dismissal forthwith of Action 15588 in said District Court.
"6. Directing the remand forthwith of said Action 13979 to the Superior Court of the State of California in and for the County of Los Angeles.
"7. Enjoining respondents other than said District Judge and District Court from prosecuting any action or proceeding asserting issues which have been finally determined by this Court.
"8. For such other and further relief as to the Court may seem just and equitable."

Upon consideration of the allegations contained in said motion and petition, this Court entered an order granting leave to file the petition and directing that a written response thereto by Respondents named in said petition be filed with this Court and served upon counsel for the above named Petitioners.

Thereafter, Respondent District Judge filed with this Court his response, the same being a Return and Answer to the said petition coupled with a motion to dismiss the petition. The Respondent Judge filed a brief in support of the allegations in the aforesaid documents.

The other respondents above named joined in filing a Return and Answer to the aforesaid petition. In this document these respondents appeared specially and voiced objection to the jurisdiction of this Court over the persons of these respondents or over the subject matter of the said petition.1 Upon a prior request of their counsel for advice as to the scope of argument we desired to have presented on the instant petition for relief we advised counsel for all parties that we desired them to defer argument on the question of remand of a certain action (hereafter referred to as the "note case")2 to a California State Court. This action is now pending in the court of Respondent District Judge under number 13,979. Two appeals growing out of certain proceedings in the lower court in action 13,979 are now pending in this Court under our docket numbers 14,587 and 14,632. Pursuant to leave granted by this Court on March 25, 1952, action 13,979 was originally instituted in the State Court by San Francisco Bank and later removed to the lower court. Pursuant to our suggestion, no argument was presented in the instant proceeding on the issue of remand of 13,979. (See paragraph 6, supra, of prayer of petitioners' petition referring to said case 13,979.) The "note case" is an action instituted by San Francisco Bank against Long Beach Federal Savings and Loan Association (one of the Respondent litigants herein) to recover judgment on four notes of Long Beach (which had been given to evidence a loan to Long Beach while one Ammann was serving as its Conservator) and to foreclose the collateral securing the same.

In this opinion we will sometimes refer to the Respondent District Judge and to his court as the "District Judge," as the "court below" or as "the lower court," as the context will permit or suggest. Respondent litigants herein may be so designated, or merely be referred to as the "litigants." "Home Loan Bank of San Francisco" will be referred to as "San Francisco Bank." As a group, petitioners in the instant petition for relief may sometimes be referred to as the "petitioners herein" or "petitioners," and their petition as "petition" or "petition for relief." Any reference herein to "Association," "Long Beach Association" or "Long Beach," means the Long Beach Federal Savings and Loan Association, one of Respondent litigants herein. The term "consolidated cases" or "consolidated actions" means the two cases before us on the appeal in which we rendered the decision reported in 196 F.2d 336, and frequent reference will be made to this decision. One of the cases before us on that appeal was the so-called Mallonee action; the other was the so-called Los Angeles action. We later refer to the status of the Los Angeles action (No. 5678 in the lower court) in the long litigation of which it was a part. Where we refer to Home Loan Bank Board the term includes "Administration" (in existence in 1946) where justified in context. As concerns the status of this Board, our opinion in the Mallonee case refers to certain reorganization orders creating "Administration" which were in force in 1946.

The above noted petition and all responses thereto came on for hearing before this Court on February 28, 1955, and arguments for all parties were presented. This Court has before it and has duly considered a vast array of copies of numerous records and files in many cases, which copies were filed as exhibits for our inspection by the several counsel present at the hearing. We find that these "exhibits" are correct copies of pleadings, records and documents now and/or heretofore lodged and filed in actions pending in the lower court, and we take judicial notice of these actions and pleadings therein. In this connection, it should be noted that Respondent litigants do not challenge the fact of their filing and docketing in the lower court, nor do they challenge the correctness of the said copies. All of said noted pleadings and actions directly relate to, embrace and/or present (as their controlling and basic contentions and issues) practically all of the contentions and issues heretofore presented, considered and adjudicated by this Court in three later noted opinions and decisions. See particularly our decision in case No. 12,511 (later noted Mallonee opinion) which dealt with and disposed of issues presented in what we there called and are here referred to as the "consolidated cases."

In addition to the above noted case records so filed with us, counsel for San Francisco Bank filed in open court at the argument a printed brief (styled "Partial Chronology") which "summarizes" certain of the pleadings and procedures in the lower court since our mandate of May 21, 1953 was issued. The procedural activities revealed by this additional summary of the record are so numerous that we are not justified in setting them out at length in this opinion. However, they are pertinent to our inquiry and have provided much aid in considering and disposing of the array of issues before us. This document was filed by reputable officers of this Court and no objection has been made challenging its filing or its accuracy in detailing the facts therein enumerated. We therefore accept it as a record correctly stating the facts therein set forth.

It is urged by petitioners herein that the scope, nature and form of orders and/or relief sought by them in the aforesaid petition is justified and made necessary by the showing made in the records, files, and exhibits in the entire body of litigation which...

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