Stafford v. Wood

Decision Date12 December 1951
Docket NumberNo. 604,604
Citation68 S.E.2d 268,234 N.C. 622
PartiesSTAFFORD, v. WOOD et al.
CourtNorth Carolina Supreme Court

Robert S. Cahoon, Atlanta, Ga., for the defendants, David Draper Wood and the Textile Workers Union, appellants.

Pittman & Webb and McNeill Watkins, all of Rockingham, for plaintiff, appellee.

ERVIN, Justice.

It appears on the face of the record that the Textile Workers Union is an unincorporated labor union. In consequence, we necessarily consider at the outset whether this organization is such a being as can be subjected to the jurisdiction of the court. Jinkins v. Carraway, 187 N.C. 405, 121 S.E. 657. In the very nature of things, a court must observe the limits of its own authority, and stay or dismiss a legal proceeding of its own motion in case it lacks power to try the cause. Henderson County v. Smyth, 216 N.C. 421, 5 S.E.2d 136; Miller v. Roberts, 212 N.C. 126, 193 S.E. 386; Nelson v. Atlantic Coast Line R. Co. Relief Department, 147 N.C. 103, 60 S.E. 724.

An unincorporated association is merely a body of individuals acting together, without a corporate charter, but upon the methods and forms used by incorporated bodies, for the prosecution of some common enterprise. Hecht v. Malley, 265 U.S. 144, 44 S.Ct. 462, 68 L.Ed. 949. At common law such an association is not an entity, and has no existence independent of its members. This being true, an unincorporated association has no capacity at common law to contract, or to take hold, or transfer property, or to sue or be sued. Venus Lodge v. Acme Benevolent Ass'n, 231 N.C. 522, 58 S.E.2d 109, 15 A.L.R.2d 1446. In short, the common law regards an unincorporated association as an 'airy nothing,' or a 'non-existent legal ghost,' no matter how powerful it may be in reality. Venus Lodge v. Acme Benevolent Ass'n, supra; Nelson v. Atlantic Coast Line R. Co. Relief Department, supra. The common law view that an unincorporated association does not exist as a legal entity and can neither sue nor be sued still prevails in this State, except to the extent it has been altered by statute. Ionic Lodge v. Ionic Lodge Free Ancient & Accepted Masons, 232 N.C. 648, 62 S.E.2d 73, and Id., 232 N.C. 252, 59 S.E.2d 829.

The common law rule that an unincorporated association cannot be sued was applied to unincorporated labor unions in these cases: Hallman v. Wood, Wire & Metal Lathers Union, 219 N.C. 798, 15 S.E.2d 361; Citizens Hotel Co. v. Asheville Typographical Union, 187 N.C. 42, 121 S.E. 31; Tucker v. Eatough, 186 N.C. 505, 120 S.E. 57.

Subsequent to the rendition of these decisions, the legislature enacted chapter 478 of the 1943 Session Laws, which is now embodied in G.S. § 1-97(6) and reads as follows: 'Any unincorporated association or organization, whether resident or nonresident, desiring to do business in this state by performing any of the acts for which it was formed, shall, before any such acts are performed, appoint an agent in this state upon whom all processes and precepts may be served, and certify to the clerk of the superior court of each county in which said association or organization desires to perform any of the acts for which it was organized the name and address of such process agent. If said unincorporated association or organization shall fail to appoint the process agent pursuant to this subsection, all precepts and processes may be served upon the secretary of state of the state of North Carolina. Upon such service, the secretary of state shall forward a copy of the process or precept to the last known address of such unincorporated association or organization. Service upon the process agent appointed pursuant to this subsection or upon the secretary of state, if no process agent is appointed, shall be legal and binding on said association or organization, and any judgment recovered in any action commenced by service of process, as provided in this subsection, shall be valid and may be collected out of any real or personal property belonging to the association or organization.

'Any such unincorporated association or organization, now performing any of the acts for which it was...

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14 cases
  • Dixon v. CSX Transp., Inc.
    • United States
    • U.S. Court of Appeals — Fourth Circuit
    • April 13, 1993
    ...in unincorporated association does not subject members to liability for unlawful acts of association); see also Stafford v. Wood, 234 N.C. 622, 68 S.E.2d 268, 270-71 (1951) (discussing common law status of unincorporated associations).The other state workers' compensation cases cited by app......
  • R. H. Bouligny, Inc. v. United Steelworkers of America, AFL-CIO, AFL-CIO
    • United States
    • North Carolina Supreme Court
    • May 3, 1967
    ...Construction Co. v. Local Union 755 of the International Brotherhood of Electrical Workers, 246 N.C. 481, 98 S.E.2d 852; Stafford v. Wood, 234 N.C. 622, 68 S.E.2d 268. As such, it may be held liable in damages for torts committed by its employees or agents acting in the course of their empl......
  • Nelms v. Nelms
    • United States
    • North Carolina Supreme Court
    • May 6, 1959
    ...which defendant appealed, we have no jurisdiction to entertain the appeal on its merits. Lovegrove v. Lovegrove, supra; Stafford v. Wood, 234 N.C. 622, 68 S.E.2d 268. The instant that a court perceives that it is exercising, or is about to exercise, a forbidden or ungranted power, it ought ......
  • Gainey v. Local 71, Intern. Broth. of Teamsters, Chauffeurs, Warehousemen and Helpers of America, 240
    • United States
    • North Carolina Supreme Court
    • April 6, 1960
    ...on defendant); J. A. Jones Construction Co. v. Local Union etc. Electrical Workers Union, 246 N.C. 481, 98 S.E.2d 852; Stafford v. Wood, 234 N.C. 622, 68 S.E.2d 268. In International Ass'n of Machinists v. Gonzales, 356 U.S. 617, 78 S.Ct. 923, 924, 2 L.Ed. 1018, a labor union member, claimi......
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