Luker v. Perry

Decision Date26 October 1977
Citation351 So.2d 591
PartiesJohn E. LUKER and Charles E. Cox v. Robert E. PERRY and Charles Cummings, Jr. Civ. 1150.
CourtAlabama Court of Civil Appeals

George K. Williams of Williams, Spurrier, Rice, Henderson & Grace, Huntsville, for appellants.

James P. Smith of Ford, Caldwell, Ford & Payne, Huntsville, for appellees.

WRIGHT, Presiding Judge.

This is an appeal from a judgment for plaintiff, Robert E. Perry, after suit upon a bond for a temporary injunction executed and filed by defendants pursuant to Title 7, § 1043, Code of Alabama (1940) (Recomp.1958). We affirm.

In 1972, Cox and Perry, Inc., a corporation, brought an action against Robert E. Perry and Charles Cummings, Jr. seeking declaration of a resulting trust in favor of Cox and Perry, Inc. in the receipts to be derived by Perry from a business transaction he had entered while president of the corporation. A temporary injunction was obtained ancillary to the suit requiring that funds derived from the transaction to the credit of Perry be held until judgment in the suit. Cox and Perry, Inc. with Charles E. Cox and John Luker as sureties entered into bond in the amount of $5,000 payable to Perry and Cummings and conditioned upon payment of all damages incurred by them upon dissolution of the injunction.

Demurrer filed by Perry and Cummings to the suit was overruled. After answer, the matter was heard upon the merits and judgment was entered for defendants. The injunction continued in effect from March 1972 until final judgment and affirmance by the Supreme Court of Alabama on June 18, 1976. The total sum accumulated and withheld from Perry was $125,000.

The suit from which this appeal comes was brought by Perry, with Cummings apparently subsequently added as a plaintiff by amendment. 1 The case was submitted to the trial court, sitting without benefit of jury, upon stipulation and the testimony of Perry as to his damages. Judgment was entered in favor of Perry for $5,000.

The first issue presented is whether recovery may be had in a suit on a temporary injunction bond, when there was no dissolution of the injunction by ruling upon demurrer as to equity in the bill or upon motion to dissolve, but judgment was entered in favor of the defendants upon the merits of the suit.

We repeat a portion of what we said in the case of Union Springs Telephone Company v. Green, 47 Ala.App. 427, 431, 255 So.2d 896, 900 (1971): "The right of action on the bond is conditioned only upon a legal dissolution of the injunction. It matters not whether such dissolution comes upon a motion to dissolve or a hearing upon the merits." Our statement there is dispositive of the identical issue here. 2

The next issue presented is whether the person restrained is required to mitigate his damages while under restraint.

The answer to the issue is in the affirmative. However, whether one mitigates damages is a question of fact. Fuller v. Martin, 41 Ala.App. 160, 125 So.2d 4 (1960); 22 Am.Jur.2d, Damages, § 339. There was testimony from Perry as to how and when the withheld funds were invested in a certificate of deposit from which interest was realized. The court heard the evidence as to damages and mitigation orally and it could have determined that Perry made a reasonable effort to mitigate his...

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6 cases
  • J.A. Preston Corp. v. Fabrication Enterprises, Inc.
    • United States
    • New York Court of Appeals Court of Appeals
    • 20 Noviembre 1986
    ...Palace Pharmacy v. Gardner & Guidone, 164 Ind.App. 513, 329 N.E.2d 642; Knappett v. Locke, 92 Wash.2d 643, 600 P.2d 1257; see, Luker v. Perry, 351 So.2d 591 Dean Chevrolet v. Painters, Decorators & Paperhangers, 155 So.2d 422 Hatch v. National Sur. Corp., 105 Mont. 245, 72 P.2d 107; Gibson ......
  • Hunt v. NationsCredit Fin. Servs. Corp.
    • United States
    • Alabama Court of Civil Appeals
    • 3 Diciembre 2004
    ...of the injunction itself are recoverable.'" Bell v. Bell, 637 So.2d 1390, 1392 (Ala.Civ.App.1994) (quoting Luker v. Perry, 351 So.2d 591, 593 (Ala.Civ.App.1977) (citing McGraw v. Little, 198 Ala. 553, 555, 73 So. 915, 916 "`The right of action on [an injunction] bond is conditioned only upo......
  • Devine v. Cluff
    • United States
    • Idaho Court of Appeals
    • 6 Agosto 1985
    ...So.2d 369 (Fla.App.1965); Weisner v. 791 Park Avenue Corp., 11 A.D.2d 656, 201 N.Y.S.2d 985 (N.Y.App.Div.1960). But see Luker v. Perry, 351 So.2d 591 (Ala.Civ.App.1977) (holding that there must have been legal fees incurred in an effort to secure dissolution prior to a trial on the merits w......
  • Ex parte Waterjet Systems, Inc.
    • United States
    • Alabama Supreme Court
    • 14 Mayo 1999
    ...of his arguments, including Union Springs Tel. Co. v. Green, 47 Ala.App. 427, 255 So.2d 896 (Ala.Civ.App. 1971), and Luker v. Perry, 351 So.2d 591 (Ala.Civ.App.1977). Waterjet argues that the cases cited by Brown are distinguishable because in those cases, it says, the courts relied upon Ti......
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