Rock Springs Coal & Mining Co. v. Black Diamond Coal Co.

• Decision Date: 27 November 1928
• Docket Number: 1520
• Citation: 272 P. 12,39 Wyo. 379
• Parties: ROCK SPRINGS COAL & MINING CO. (LAMMERS, INTERVENER) v. BLACK DIAMOND COAL CO., ET AL. [*]
• Court: Wyoming Supreme Court

272 P. 12

39 Wyo. 379

ROCK SPRINGS COAL & MINING CO. (LAMMERS, INTERVENER) v. BLACK DIAMOND COAL CO., ET AL. ^[*]

No. 1520

Supreme Court of Wyoming

November 27, 1928

APPEAL from District Court, Sweetwater County; VOLNEY J. TIDBALL Judge.

Suit by the Rock Springs Coal & Mining Company against the Black Diamond Coal Company and others, in which A. L. Lammers intervened as plaintiff. From an adverse judgment, defendants appeal.

Affirmed.

Louis Kabell, Jr. of Evanston, and Marion A. Kline, of Cheyenne for appellant, Black Diamond Coal Co.

The evidence being all written or documentary, this court is not bound by the findings of the trial court. Gibson v Hammang, (Nebr.) 88 N.W. 500; Baker v. Rockebrand (Ill.) 8 N.E. 456; Morrison v. McCluer, (Colo.) 148 P. 380; Luce v. Tompkins, (Ia.) 158 N.W. 535; Record v. Ellis, (Kas.) 156 P. 712; Olivieri v. Atkinson, (Mass.) 46 N.E. 622. Plaintiff must succeed on the strength of his own title. Wood v. Long, (Calif.) 186 P. 415; Sugar Co. v. Goodrich, (Ida.) 147 P. 1073; Lindeberg v. Messman, 207 P. 1067; Stull v. Goold, (Nebr.) 147 N.W. 468; Ripinsky v. Hinchman, 181 F. 786. The receiver's sale passed good title. A subsequent reversal of the order of sale could not divest the title of the purchaser. 5989 C. S. Irwin v. Jeffers, 3 Ohio St. 389; Smith v. Dixon, 27 Ohio St. 471, and cases cited. Threadgill v. Colcord, (Okla.) 85 P. 703. No appeal was taken from the decree of the District Court of Sweetwater County, which, is regular on its face and conclusive. 34 C. J. 547. Weinmiller v. Laughlin, 38 N.E. 111, and cases cited. It is not subject to collateral attack. Whittaker v. Bank, (Wyo.) 231 P. 691. Merc. Co. v. Randall, 169 N.W. 433. The Peters Trust Co. had no title to convey to Mitter. Smith v. Elliott, (Fla.) 47 So. 387; Smith v. Fletcher, (Ark.) 11 S.W. 824; Judge Arnold in his decree of March 2, 1919, was without jurisdiction to vacate or modify the decree of Judge Craig rendered September 16, 1913; Boulter v. Cook, 32 Wyo. 461, and cases cited. The Craig decree could be vacated only in the method provided by statute. Parrott v. Court, 20 Wyo. 494. It is only where the court has exceeded its jurisdiction that its judgments are open to collateral attack. State v. Court, 33 Wyo. 281; Russell v. Shurtliff, (Colo.) 65 P. 27. A voidable judgment is not subject to collateral attack. Swigart v. Harver, 5 Ill. 364. A stranger to the proceedings cannot attack a sheriff's sale or deed issued in pursuance thereof. Magnusson v. Krenholm, 51 Ill.App. 473. The record must officially show absence of jurisdiction to justify collateral attack. Beavers v. Bess, (Ind.) 108 N.E. 266. Kuzak v. Anderson, 108 N.E. 662, and cases cited. The Rock Springs Coal and Mining Company was not entitled to any relief, its claim being without equity. Harney v. Montgomery, 29 Wyo. 362. The intervening plaintiff Lammers having participated in the fraud practiced upon the court, is not entitled to relief. Price v. Pollock, 37 N. J. L. 44. 21 C. J. 180. Jones v. Snyder, 249 P. 313; Chesney v. Co., 34 Wyo. 378.

Louis Kabell, Jr. and Marion A. Kline, for appellants, Toy and Kline.

A decree in equity does not become dormant at the end of any definite period of time. Beaumont v. Herrick, 24 Ohio St. 445; Moore v. Ogden, 34 Ohio St. 430. Herbage v. Ferree, (Nebr.) 91 N.W. 408; Watson v. Co., 74 P. 269; Wing v. De La Rionda, (N. Y.) 25 N.E. 1064. The decree in the case of Mitter v. Black Diamond Coal Company could not effect the rights of Ballachey who was not a party. Buck v. Simpson, (Okla.) 166 P. 146; County v. Sparham, (Ia.) 101 N.W. 434; Dominion Co. v. Bigelow, (Mass.) 89 N.E. 193. The trial court erred in its findings Numbered 13, 15, 16 and 18. The respective rights of the plaintiffs and defendants were res judicata. A stranger to the record cannot attack it collaterally. Johns v. Patter, 8 N.W. 863.

T. S. Taliaferro, Jr. and Arthur Lee Taliaferro, for respondent.

This controversy in one form or another has been before this court four times. Riffle v. Company, 20 Wyo. 442; Mitter v. Co., 27 Wyo. 72; Black Diamond Coal Co. v. Mitter, 27 Wyo. 88; Mitter v. Co., 28 Wyo. 429. Appellant bases its alleged rights upon matters going back to the receivership in Riffle v. Co., 20 Wyo. 442, and a sale confirmed by Judge Craig. The trial court had no jurisdiction to sell the assets in the receivership. State v. Tidball, 35 Wyo. 509. The purchase made by Black Diamond Coal Company was voluntary, and made under no primary obligation to the receiver or the creditors. 37 Cyc. 375. The decree entered by Judge Craig was void. Bishop v. O'Connor, 69 Ill. 432. The decree entered by Judge Arnold is res judicata as to the Black Diamond Co. It is not therefore subject to collateral attack. Boulter v. Cook, 32 Wyo. 473. The service upon Peters Trust Co. was void. Whittaker v. Bank, 32 Wyo. 288; Stuckhert v. Thompson, (Mo.) 164 S.W. 692. 34 C. J. 531. There has been a former adjudication of respondent's title as between it and Black Diamond Coal Company. As to the separate claim of appellants, Toy and Kline, attention is directed to the decree rendered by Judge Tidball of November 3, 1927, excluding their claims. No attack was made upon the Peters Trust Company's trust deed, in the receivership proceedings, and the liens in effect prior to January 4, 1910, among which is the lien of the Peters Trust Company, which is excluded from the operation of the decree. The judgment and decree in case 272 had become dormant on October 2, 1923, when an execution was issued thereon upon application of appellants, Toy and Kline. This suit was instituted before the sale made on December 1, 1923. The claim of Kline and Toy is stale and it was so found in the Tidball decree. It should not be entertained as a defense of this suit. 21 C. J. 217. The title of the land has been before the courts since March 4, 1907, more than 21 years. The doctrine of stare decisis should be invoked to stop this litigation. 15 C. J. 304-306. Barrett v. Brownlee, 67 So. 467. This court should take judicial cognizance of its own former decisions as to what has been decided concerning the title to this land. Freeman on Judgments, page 726. 34 C. J. 747. Whitmore v. Cope, (Utah) 40 P. 259. When a principal of law has become settled by a series of decisions it is binding and should be regarded as settled. 16 C. J. 919. The Tidball decree of November 30, 1927, should be confirmed.

Marion A. Kline and Louis Kabell, Jr., in reply.

Plaintiffs having brought these actions and voluntarily re-opened the question of defendants' title, cannot now assert that defendant, The Black Diamond Coal Company, is estopped by the decree of May 2, 1918. 34 Cyc. 749. Mack v. Levy, 60 F. 451; Company v. Howard, 14 L.Ed. 169; Mogerle v. Asche, 33 Cal. 83. In re Evans, 130 P. 225. This case differs from State v. Tidball, 35 Wyo. 496, and is governed by the rule stated in 34 Cyc. 183. The receiver's sale advised the Sioux City Company and the Rock Springs Coal and Mining Company, of the state of the title of the land. The lands were sold to Black Diamond Coal Company and were not redeemed. The brief of intervening plaintiff, Lammers, erroneously states that the order in the Riffle case was held void by this court. The decision in Riffle v. Co., 20 Wyo. 442, shows that that order was merely held to be erroneous. If parties to an adjudication are satisfied with it, strangers will not be allowed to intermeddle with it. Whitney v. Kelley, 94 Cal. 146, 15 L. R. A. 813. Section 5923 prescribes the method for vacating or modifying judgments after the term, which action must be brought within two years and by petition. 5932 C. S. If the sheriff's deed was valid and vested title in Black Diamond Coal Company, the rights of Ballachey and the Sioux City Company were extinguished for failure to redeem. If the sale and deed to Black Diamond Coal Company were void, the rights of Ballachey were unaffected and no redemption was necessary. The proceedings taken by him and his grantors for the sale of his real estate under decree of September 16, 1913, were valid, and the court in the present action, upon the evidence, was without power to set it aside. The sale in the W. B. Hay case was never confirmed, and therefore not completed. Building Association v. Construction Co., 269 P. 45. The decree and findings in the case at bar are erroneous and should be reversed and a decree ordered for defendants in this connection.

Haggard & O'Mahoney and R. L. DeNise, for Lammers, intervening plaintiff.

A receiver of Sioux City Company and Rock Springs Coal and Mining Company, sold the property here involved, and it was conveyed to Black Diamond Coal Company, one of the appellants. This sale order was reversed. Riffle v Co., 20 Wyo. 442. Said coal company thereupon commenced an action to be subrogated to the rights of creditors represented by the receiver, and for a lien upon the property. Peters Trust Company held a trust deed on the property, securing a bond issue. There was also a mortgage to Toy, which had been assigned to Ballachey, both of whom were made parties to the subrogation suit, in which Peters Trust Company defaulted, and Black Diamond Coal Company was awarded a first lien for $ 22,600.00, and Ballachey a second lien for $ 7,000.00, the decree ordering sale of the property to satisfy the liens. The property was sold and bid in by Black Diamond Coal Company, for the amount of its judgment and there was no redemption. Black Diamond Coal Company received a deed from the sheriff. The only rights acquired by Kline and Toy are as assignees of Ballachey. Rock Springs Coal and Mining Company, respondent, claims an interest from another source previously stated as follows: Mitter received an assignment from Peters Trust...