Piper v. C. L. Hayden Co.

Decision Date06 January 1926
Citation254 Mass. 317
CourtUnited States State Supreme Judicial Court of Massachusetts Supreme Court
PartiesEDITH M. PIPER v. C. L. HAYDEN COMPANY & others.

November 23, 1925.

Present: RUGG, C.

J., CROSBY, PIERCE CARROLL, & SANDERSON, JJ.

Equity Pleading and Practice, Answer.

In a suit in equity against two stockbrokers, the plaintiff sought to establish a debt alleged to be due the plaintiff from the first defendant and to require its payment from the second defendant on the ground that the second defendant had purchased the business of the first defendant, had taken over his goods and assets including the securities due to the plaintiff, and had become bound to satisfy the obligations of the first defendant to the plaintiff. The second defendant in his answer in effect alleged that he at no time had received the property of the plaintiff from the first defendant or from the plaintiff or from any one for his account, and as to other allegations of the bill alleged want of knowledge or information, inability to admit or deny the allegations, and leaving the plaintiff to his proof. Held, that the answer could not be said as a matter of law to be bad.

BILL IN EQUITY begun by a writ in trustee process dated February 25, 1922 against C.L. Hayden Company; Clarence L. Hayden; Paul Alexander and William Pappas, copartners doing business as Alexander, Pappas and Company; Metropolitan Trust Company, and Westland Avenue Garage, Incorporated, seeking to establish a debt of C.L. Hayden Company and Clarence L. Hayden to the plaintiff, to fix the defendants Alexander and Pappas with liability therefor on the grounds described in the opinion, and to reach and apply, in satisfaction of any judgment to be recovered, property in the hands and possession of the other defendants.

The defendants Alexander and Pappas filed an answer on June 30, 1922, and a second answer on June 5, 1924, not stated to be in amendment to or in substitution for the first. On June 23, 1924, on a motion by the plaintiff that the bill be taken pro confesso against the defendants Alexander and Pappas, it was ordered by Morton, J., that the bill be taken pro confesso "unless sufficient answer filed before the thirtieth instant." The defendants then filed the answer described in the opinion. On October 16, 1924, by order of Morton, J., a decree was entered reciting that the defendants Alexander and Pappas had not filed a good and sufficient answer to the bill and ordering that the bill be taken pro confesso as to them. The defendants appealed.

The case was submitted on briefs. M.M. Horblit & J. Wasserman, for receiver in bankruptcy of Pappas.

J.H. Powers, for the plaintiff.

RUGG, C.J. The single question of law presented on this record is whether the answer is good and sufficient under the requirements of equity pleading. This is a suit to establish a debt alleged to be due to the plaintiff from the defendants and to reach and apply in payment thereof property belonging to them in the hands of their debtors.

Paragraph I of the bill sets out certain stock transactions between the plaintiff and one Hayden of the C.L. Hayden Company named as defendants, hereafter called Hayden, as stockbroker, and the deposit with Hayden of moneys and bonds as security for the purchase and sale of stocks and securities. Paragraph II sets out possession by Hayden of stocks and securities of the plaintiff and that in May, 1921, the defendants Alexander and Pappas, hereafter called the defendants, took over the stock of the Hayden corporation and the assets and property of Hayden, including the account and property of the plaintiff and continued to run the business. It is alleged in paragraph III that as a result of taking over the Hayden business and assets by the other defendants, they agreed to and became bound to account with the plaintiff for her...

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1 cases
  • Piper v. C.L. Hayden Co.
    • United States
    • United States State Supreme Judicial Court of Massachusetts Supreme Court
    • January 6, 1926

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