Henderson
v. Henderson.
HIGH
COURT OF CHANCERY
Original Printed Version
(PDF)
Original
Citation: (1843) 3 Hare 100
English
Reports Citation: 67 E.R. 313
July 4,
7, 11, 20, 1843.
S. C. at
law, 6 Q. B. 288; 11 Q. B. 1015. See Mutrie v. Binney, 1887, 35 Ch. D. 620; In
re Henderson, 1887-89, 35 Ch. D. 716; 37 Ch. D. 244; and (sub nom. Nouvion v.
Freeman), 15 A. C. 1. Discussed, Worman v. Worman, 1889, 43 Ch. D. 296.
The next of kin of an intestate filed their bill in equity
in the Supreme Court of Newfoundland against A., the brother and deceased
partner of the intestate, for an account of the estate of the father of A. and
of the intestate possessed by A., and an account of the partnership
transactions, and the dealings of A. with the estate since the death of the
intestate. The bill was taken, pro confesso, against A. in the Colonial Court,
and, on a reference, the Master reported that certain sums were due to the
several next of kin on the account of the estate of the intestate's father
possessed by A.; but that no account between A. and the intestate had been laid
before him: the Supreme Court decreed that the sums found by the Master to be
due to the next of kin and the costs should be paid to them by A. The next of
kin brought their actions in this country against A. upon the decree. A. then
filed his bill in this Court against the next of kin and personal
representative of the intestate, stating that the intestate's estate was
indebted to him on the partnership accounts and on private transactions;
alleging various errors and irregularities in the proceedings in the Supreme
Court, and that A. intended to appeal therefrom to the Privy Council; and
praying that the estate of the intestate might be administered, the partnership
accounts taken, the amount of the debt due to A. ascertained and paid, and the
next of kin restrained by injunction from proceeding in their actions.
Demurrer, for want of equity, allowed on the ground that the
whole of the matters
314 HENDERSON V. HENDERSON 3 HARE, 101.
were in
question between the parties, and might properly have been the subject of adjudication
in the suit before the Supreme Court of Newfoundland. That, inasmuch as the
Privy Council is the Court of Appeal from the Colonial Court, and has
jurisdiction to stay the execution of the decree pending the appeal, the Court
will not interfere by injunction, on the ground of error or irregularity in the
decree of the Colonial Court. Whether, in a case of error shewn in the judgment
of the Court of a foreign country, from which there was no appeal to any of Her
Majesty's Courts, the decision woulsd be the same, quaere ?
The bill was filed in May 1843 by Bethel Henderson against
Elizabeth Henderson, the widow of Jordan , Henderson, his deceased brother, and
Charles Simms and Joanna, his wife, who was the daughter of Jordan; and also
against J. Gadsden, the administrator of the estate of Jordan, in England; and
it stated that William Henderson, a merchant in Bristol and Newfoundland, the
father of the Plaintiff and Jordan Henderson, in 1808, admitted them into
partnership with him, and in 1817 resigned all his interest in the trade to
them: that the Plaintiff and Jordan carried on the business in partnership from
1817 : that the share or interest in the partnerÁship, which their father gave
up to them, was worth 15,000 or thereabouts, and was continued in, and formed
part of, the partnership of the Plaintiff and Jordan : that Jordan Henderson
died in March 1830 intes-[101]-tate, leaving the Defendants, Elizabeth, his
widow, Joanna (the wife of the Defendant, C. Simms), his daughter, and also
leaving William, a son: that Elizabeth, the widow, obtained letters of
administration of the estate of Jordan in Newfoundland, and, together with the
Plaintiff, carried on the partnership business for the purpose of winding it
up; but before that was done, a fire in the island in August 1832 destroyed the
buildings and plant of the partnership, and all the books, except the ledgers;
and that disputes then arose between the Plaintiff and Elizabeth, the widow.
The bill then set forth a petition presented in November
1832 by the Defendants, the widow and children of Jordan, to the Judges of the
Supreme Court in NewfoundÁland, which alleged that William, the father, before
his death, gave or bequeathed 1000 to or for the Petitioner,- Joanna, aud gave
or bequeathed the rest of his estate between Bethel, the Plaintiff, and Jordan,
his sons, equally: that Bethel was living with William, the father, at Bristol,
and possessed himself of his estate : that Jordan died possessed of
considerable real and personal estate in the partnership, both in England and
Newfoundland: that Bethel had possessed himself of all such estate, as well as
of the partnership books, and carried on trade therewith, and had drawn monies
thereout: that he also refused to satisfy the Petitioners whether Jordan had
left any will; and prayed that Bethel might be decreed by the Supreme Court to
come to an account in respect of all and singular the premises; and that as
well the estate of William, the father, as the estate of Jordan, might be
applied in a course of administration.
The bill stated that no personal representative of William,
the father, or of Jordan, was a party to the said proceeding in the Supreme
Court: that Elizabeth, [102] the widow, presented another petition, dated the
8th of December 1832, not intituled in any cause to the.said Judges, which
alleged that, since administration of the estate of her husband had been
granted to her, Bethel, the Plaintiff, had rendered her certain accounts of
debts and assets in Newfoundland, but refused to account to her for the
property of the deceased in England : that he was then about to leave the
country, whereby the Petitioner would, in all probability, be prevented from
bringing him to any account respecting the said estate, unless the Supreme
Court should grant immediate process against him : that a brig, 'called "
The Elizabeth," belonging to the intestate and Bethel equally, had,
without the Petitioner's authority, been laden at Harbor Grace, by Bethel,
principally on freight, under an engagement to sail on the 10th of December for
Bristol: that the Petitioner had good reason to know that the monies of Jordan,
in the possession of Bethel in England, amounted from 5000 to 8000 : the
Petitioner therefore prayed the writ of ne exeat regno, to restrain Bethel from
departing out of the jurisdiction, and that he might be ordered to exhibit to
the Court a full account of all the estate of Jordan come to his hands : that
C. Simms, by
SHARE, 103. HENDERSON V. HENDERSON 315
affidavit,
intituled " Elizabeth Henderson v. Bethel Henderson," deposed that
Bethel was then justly indebted to Elizabeth, the widow, administratrix of the
estate of Jordan, in the sum of 3100 sterling, exclusive of such further sum as
he might be indebted to her on account of monies and property in England; and
that he threatened to leave the island and go beyond sea, out of the
jurisdiction of the Court, whereby the said debt would be lost or endangered,
or the recovery thereof would be difficult.
The bill stated that an instrument purporting to be a writ
of we exeat regno, dated the 10th of December [103] 1832, was issued out of the
Supreme Court, with a summons or subpoena, in the first-mentioned suit: that
the Plaintiff, on the 22d of December, executed his bond, with two sureties, to
the high sheriff of the island, in the sum of 6200, conditioned to be void if
the Plaintiff should personally appear before the Court by the 10th of June
then next, and render a full account of the estate of Jordan come to his hands,
whether arising from the estate of William, the father, or otherwise; and also
an account of the said partnership business, and answer and fulfil the orders
and decrees of the Supreme Court touching the said estate, and also touching a
certain bill, then filed, of Elizabeth Henderson and others, against the
Plaintiff: that the Plaintiff then quitted the island and returned in 1834:
that, on the 14th of June 1834, the Supreme Court ordered the bond to be put in
suit, unless the Plaintiff should put in his answer to the first petition ;
and, in July 1834, the Plaintiff appeared in that suit by H. A. Emerson, Esq.,
Her Majesty's Solicitor-General in the island, who also prepared the
Plaintiff's answer, which was sworn and filed on the llth of July 1834, intituled
in the first suit only.
The bill then stated the purport of the Plaintiff's answer:
that exceptions were taken by the Petitioners, for that he had not set out an
account of the partnership transactions, or of the estate of Jordan possessed
by him; or whether William, the father, left any and what estate, for the use
of Jordan or his family: that the ' Supreme Court ordered that the accounts
prayed for in the first suit should be filed before the 25th of July, or that
the bond should be assigned to the Petitioners to be put in suit: that the
Plaintiff had, for several years, employed J. Fitzgerald, an accountant in the
island, in keeping the accounts of the said business; and in order that
Fitzgerald might make out the accounts of the [104] partnership, the Plaintiff,
on the 20th of July, delivered over to him the books and accounts of the
business in England, and on the same day the Plaintiff quitted the island.
The bill then stated that Fitzgerald made out in distinct
parts the accounts of the partnership from 1817 to the death of Jordan, and the
subsequent accounts of the Plaintiff, and filed the same on the 4th of August
1834, and verified them by affidavit, as true extracts from the Plaintiff's
books : the bill stated the balances appearing by the several accounts; the
result of which was that .4500 and 883, 7s. 5d. were owing to the Plaintiff
from the Newfoundland concern, and that a further sum of 2366, 15s. 4d. was
owing to him from the estate of Jordan, in respect of transactions since his death
; and a large sum was also owing to the Plaintiff as a private debt, in respect
of advances he had made for the use of Jordan and his family.
The bill then set forth a letter received by the Plaintiff
from his solicitor and counsel, H. A. Emerson, Esq., stating that delay had
occurred in the report on the exceptions, owing to the answer having been
mislaid by the Clerk of the Court, and adverting to what had been since done:
that the Plaintiff received no further information respecting the suit, except
that he had recently learnt that the Master, on the 26th of December 1835,
reported the .Plaintiff's answer to be sufficient, but that the accounts had
been subsequently filed; and, upon the motion of the Plaintiff's counsel, the
accounts were referred to the Master for his report: that the Petitioners
excepted to the Master's report, and in January 1835 obtained an order
discharging the order by which the accounts were referred to the Master: that
no further proceedings were ever taken on the said peti-[105]-tion: that in
183.6 the Plaintiff discharged H. A. Emerson, Esq., as his solicitor, and did
not employ any other solicitor, and thenceforwards had no counsel or solicitor
in the island, as all the Defendants and their solicitor well knew.
The bill then stated that in January 1837 the Defendants
obtained a rule for leave to amend the first-mentioned petition or bill, no
person being authorized by the Plaintiff, who was out of the jurisdiction, to
oppose the same; that in May 1837
316 HENDERSON V. HENDERSON 3 HAKE, 106.
the
Defendants exhibited a bill in their own names (and in that of William, the
son, without his authority), addressed to the Judges of the Supreme Court. [The
bill was then set forth : it charged the Plaintiff with having possessed the
sum of 30,000 in respect of the estate of William, the father, impeached the
partnership and other accounts put in by the Plaintiff in various specific
points, and charged him with misappropriation and loss of the partnership
property and estate since the death of Jordan, and calling for discovery on
various subjects : and it prayed that the Plaintiff might account and pay to
the Defendants their share of the alleged assets of William, the father, the
partnership property which belonged to Jordan, the amount of the losses thereto
by the carrying on of the trade since his death, and that they might be at
liberty to inspect the original books of account of the Bristol trade.]
The bill stated that the summons or subpoena, requiring the
Plaintiff to appear to the bill, was served on H. A. Emerson, Esq., on the
pretence that as he had been the Plaintiff's solicitor and agent in
the,petitions, he was so in the said third suit: that a commission was issued
by the Supreme Court to take the Plaintiff's answer, and that in October 1837
one of the persons named in the [106] commission communicated with the
Plaintiff, then residing at Bristol, and required him to put in his answer, and
lent the Plaintiff a copy of the bill, being the first intimation of the suit
which he had received. The bill then stated that the pretended service and
other proceedings were wholly irregular, contrary to the rules of the Supreme
Court, which were set out, and also to the statute for the better
administration of justice in Newfoundland (5 Geo. 4, c. 67): that the
commission was returned with a declaration by the commissioners that the
Plaintiff had not put in, and did not intend to put in, any answer.
The bill then stated that the Defendants (the Plaintiffs in
the third suit) in December 1839 obtained a rule nisi to take their bill pro
confesso against the Plaintiff, and served the same on H. A. Emerson, Esq.,
who, without authority, took upon himself to appear on the motion as the
Plaintiff's counsel and solicitor, and on the llth of February 1840 the Supreme
Court ordered the lastHmeutioned bill to be taken pro confesso, and referred it
to the Master to compute principal and interest due to the Defendants : that on
the 18th of April 1840 the Master of the Supreme Court made a rule or order, addressed
to H. A. Emerson, Esq., appointing the 23d of April to take the account: that
the meeting was adjourned to the 30th of April, when the Defendants' solicitor
put in an account, charging the Plaintiff with sums amounting to 17,054, 12s.
9d. in respect of the partnership transactions, and 15,000 in respect of the
estate of William, the father, but allowing no credits whatever to the
Plaintiff: that the Master made his report, dated the 6th of June 1840, and
thereby, after stating that he had not had any account between Bethel and
Jordan laid before him, he found that the [107] Defendant, Bethel, received
from William, the father, some time previous to his death, which occurred in
the year 1821, the sum of 30,000 sterling, in trust to pay one moiety thereof
to Jordan; and that Jordan died intestate, in 1830, leaving the Plaintiff
Elizabeth, his widow, and two children only, namely, Joanna (married to C.
Simms) and William; and he found that of the said sum of 30,000 sterling, one
moiety, or 15,000, together with interest thereupon, was then due to the widow
and children of Jordan by the Defendant, Bethel, to be paid in the proportions
thereinafter directed; and, upon the said sum of 15,000, he computed simple
interest, from the 1st of January 1822, to the 1st of June 1840, at 4 per cent,
per annum, which amounted to 11,650 sterling, making, with the principal, the
sum of 26,650, which he thereby reported to be due and payable to the
Plaintiffs by the Defendant, Bethel, in the following proportions, namely, the
sum of 8883, 6s. 8d. to the Plaintiff, Elizabeth Henderson; a like sum to the
Plaintiff, C. Simms and Joanna, his wife; and a like sum to the Plaintiff,
William Henderson.
The bill stated that this report was filed on the 6th of
June 1840 : that an order nisi to confirm was served on H. A. Emerson, Esq.,
and that the same was confirmed absolutely on the 10th of June 1840: that the
Defendants obtained an order for a final decree nisi, but the Judges of the
Supreme Court directed that as H. A. Emerson, Esq., had withdrawn from the
defence of the suit, the notice of motion for the final decree should be served
on the Plaintiff personally : and that, if cause should not be shewn by the
then next term, the final decree should be made : that no notice of such
3 HARE, 108. HENDERSON V. HENDERSON 317
motion
was ever served upon the Plaintiff; but that in March 1841 the Plaintiff was
served with a document purporting to be a subpoena to hear judgment; to which
was [108] attached a notice, signed by the solicitor of the Defendants,
"that the Master's report, filed on the 6th of June 1840," stood
confirmed; that, on the affidavit of the service of the said document, the
Supreme Court, on the 6th of June 1841, made a decree. [The bill set forth the
decree, which recited the various proceedings, as having been duly prosecuted;
and ordered and decreed that Bethel, the Defendant therein named, should pay to
Elizabeth, the widow, 8883, 6s. 8d. sterling; to C. Simms and Joanna, his wife,
8883, 6s. 8d., and to William, the son, 8883, 6s. 8d.; and that he should also
pay to the Plaintiffs their costs of the suit.]
The bill then specified many of the statements recited in
the decree, which it alleged were untrue; that the third bill was in fact an
original, and not an amended, bill; and that there were various other
irregularities in the proceedings; the bill alleged that in December 1841,
before the Plaintiff had notice of the decree, the same was inrolled; that in
August 1842 the Plaintiff was applied to, by the attorney of the Defendants,
for payment of the said sum of 8883, 6s. 8d. to the Defendant Elizabeth, the
widow, and the like sum to the Defendant, Simms, and Joanna, his wife, with 55
costs, which was the first notice he received of the final decree; and that the
Defendants had lately brought two actions against the Plaintiff in the Queen's
Bench to recover the said sums.
The bill charged that the decree was wholly irregular, and
ought not to be enforced, and that the same ought to be reversed by Her Majesty
in Council, on the Plaintiff's appealing against the said decree, which,
notwithstanding the inrolment thereof, he intended to do; that there was no
personal representative of Jordan Henderson, appointed in this country, party
to any of the [109] proceedings; and that there was no personal representative
whatever of William, the father, a party thereto ; that none but a personal
representative of Jordan Henderson was entitled to, or could give a discharge
for, any part of his personal estate.
The bill alleged that the whole of the estate of William,
the father, had consisted of the partnership property, given up by him to
Jordan Henderson and the Plaintiff, his sons, and continued by them in the
business, and that the Plaintiff was only accountable for the same with, and as
part of, the other partnership assets; and, if the partnership accounts were
properly taken, it would appear, and was the fact, that a very large sum of
money was due and owing to the Plaintiff from the estate of Jordan, in respect
of advances by the Plaintiff to the concern, payments beyond his receipts, and
money drawn out by Jordan, his widow and family; and that the estate of Jordan
was also indebted to the Plaintiff in two sums of 547 and 538, in respect of
monies which the Plaintiff had expended, at Jordan's request, in the education
of his said children.
The bill prayed that an account might be taken of what was
due to the Plaintiff from the estate of Jordan, and of the other debts of
Jordan, and of his personal estate, and that the same might be applied in a due
course of administration : that an account of the partnership transactions
between the Plaintiff and Jordan might-be also taken : that all necessary
inquiries might be directed to ascertain the personal estate of William, the
father; that so much, if any, of the said two sums of 8883, 6s. 8d. as might be
found payable by the Plaintiff (he not admitting that any part thereof was so
payable) might be applied and administered as part of the assets of Jordan :
that the Defendants. Elizabeth, the widow, and Simms and [110] his wife, might
be restrained by injunction from proceeding with the said or any other action
to recover the said two sums of 8883, 6s. 8d.: and that a commission might be
issued to examine witnesses in Newfoundland.
To this bill the Defendants, Elizabeth, the widow, and Simms
and his wife, demurred for want of equity, want of parties and
multifariousness.
Mr. Tinney, Mr. Burge and Mr. Eolt, for the demurrer.
Mr. Purvis and Mr. Bagshawe, for the bill.
The points submitted to the Court in argument will
sufficiently appear from the judgment. The authorities cited were Phillips v.
Hunter (2 H. Bl. 402), Gottington's case (2 Swans. 326, n.; Lord Nottingham's
MS.), White v. Hall (12 Ves. 321), Henley v. Safer (8 B. & C. 16), Fuller
v. Willis (1 Myl. & K. 292, n.), Alivon v. Fmnival (1
318 HENDERSON V. HENDERSON 3 HAKE, 111.
Cr.
Mees. & Ros. 277), Cowan v. Braidwood (1 Man. & Grang. 882), Becquet v.
M'Carfhy (2 B. & Adol. 951), Houlditch v. Marquis of Donegal (8 Bligh (N.
S.), 301), Russell v. Smyth (9 Mees. & W. 810), Ferguson v. Mahon (11 Ad.
& Ell. 179), Thompson v. Derham (1 Hare, 358). Burge Com. Col. Law, vol. 3,
p. 1058.
the vice-chancellok [Sir James Wigram]. The Plaintiff by his
bill alleges that he and Jordan, his late brother, were partners in business,
one branch of which was carried on at Bristol and the other at Newfoundland :
and that, in respect of that partnership, he is [111] a creditor to a large
amount on the estate of Jordan; that part of the partnership property was
derived from their father; and that all the property which they derived from
their father formed part of the assets of the partnership. The Plaintiff also
alleges that he is a creditor on the estate of Jordan, in respect of a private
debt; and the bill prays such an account as would comprise all these matters
which are in question between the Plaintiff and the estate of Jordan. Upon
these facts a decree for an account against G-adsden, the personal
representative of Jordan in England, would be of course, and perhaps also, if
that had been the object of the suit, the decree for an account might have been
extended to Elizabeth, the widow, as the personal representative of Jordan in
Newfoundland. The widow of Jordan and Simms and his wife are, however, before
the Court in the character of next of kin, and there is no pretence for making
them parties in that character in a suit for the mere administration of the
estate of Jordan. The relief sought against those parties is founded upon the
proceedings which have taken place in the Court in Newfoundland, and the use
which they are about to make of these proceedings in this country.
The Defendants, who have demurred, insist, in support of
their demurrer, first, that all and every part of the matter in question on
this bill was concluded by a final decree of the Supreme Court of Newfoundland,
dated in June 1841, made in a suit wherein the Defendants and William, the son
of Jordan, were Plaintiffs, and the present Plaintiff was Defendant, except in
so far as that decree is subject to be reviewed in the Privy Council; secondly,
that by that decree the amount recovered was decreed to be paid to the
Plaintiffs in that suit as beneficial owners, and that the same thereby ceased
to be part of the estate of Jordan, subject to his debts. They [112] insist,
moreover, that the proceedings appear upon the bill with sufficient certainty
to sustain the decree upon the grounds advanced; and that the only party
against whom the Plaintiff can proceed to recover his claim, or any part of it,
is the Defendant, Gadsden.
I have read the bill carefully, and, without going minutely
through the facts of the case, it is sufficient to say, for the purpose of
explaining the order I am about to make, that the original bill in the Supreme
Court of Newfoundland claimed an account of the same partnership dealings, of
which accounts are prayed by the present bill; and also sought accounts in
respect of the estate of William Henderson, the father, possessed by Bethel on
account of Jordan ; that the Defendant in that suit, who is the Plaintiff here,
made claims by his answer to the original bill corresponding in substance with
those which he makes by his bill in the present suit: that an amended bill, or
a bill which the Court at least thought it right to term an amended bill, was
afterwards filed by the same Plaintiffs against Bethel: that the amended bill
stated and charged that Bethel was largely indebted to the estate of Jordan on
the partnership accounts; but that such accounts could not be taken in
consequence of Bethel absenting himself from the island and not producing the
documents; and it further appears that, Bethel having absented himself from the
jurisdiction, an order of the Supreme Court was made in February 1840 for
taking the amended bill pro zonfesso ; and that the amended bill was by the
same order referred to the Master to compute principal and interest due to the
Plaintiffs; and that the Master made his report in June 1840. [His Honor stated
the report (supra, pp. 106, 107).] It appears further that the Supreme Court
pronounced its final [113] decree in June 1841, and thereby, after referring to
all the antecedent proceedings in the cause, decreed that Bethel Henderson
should pay to the widow and two children of Jordan, who were Plaintiffs, the
sum of 8883, 6s. 8d. each, and costs of the suit.
This decree, explained by the report, has in effect severed
William the father's estate from the bulk of the property in question, and the
partnership accounts and
3 HARE, 114. HENDERSON V. HENDERSON 319
the
private debt are not specifically the subject of adjudication. Upon this decree
Elizabeth, the widow, and Joanna, the daughter of Jordan, and the husband of
Joanna have brought their actions in this country.
The bill charges that the proceedings leading to this decree
were irregular, that the decree itself was irregular, that a large balance was
due to the Plaintiff, and that the decree ought not to be enforced, but ought
to be reversed by Her Majesty in Council, on appeal, which the Plaintiff
intends to bring. The bill specially alleges, as one ground of irregularity,
that the report of the Master, of the 6th of June 1840, wholly omitted any
notice of the account connected with the partnership, and is confined to the
monies alleged to be due from the Plaintiff, in respect of the estate of
William Henderson, the father; and that a large sum of money is due to the
Plaintiff on the partnership accounts, as would appear if they were properly
taken. On behalf of the Defendants, it has been argued that the proceedings on
the face of the bill shewed that the decree concluded the whole matter, that I
could not rehear that decree, and that it was final and conclusive, unless
reversed by the Privy Council, the proper appellate tribunal.
Without giving any opinion upon the question whether
charges, shewing that the proceedings in a foreign [114] Court were altogether
null and void, as being against natural justice, would or not, upon general
demurrer, have been treated as null, and have sustained the bill as to the
whole of the relief prayed, I have no doubt that mere irregularity in the
proceedings is insufficient for that purpose, in a case in which an appeal lies
from the Colonial Court to the mother country, and there is a tribunal
competent to reform the errors of the Court below, and even to suspend the
execution of the decree pending the appeal, if justice requires that it should
be suspended.(1)
But as the Plaintiff in this case argued only that the whole
question between the parties was not concluded by the decree, and did not
contend that, upon the charges in the bill, I ought to disregard the decree, I
assume, for the present purpose, that I must, upon this demurrer, consider the
amount due from Bethel, in respect of William the father's estate, as concluded
by the decree of the Supreme Court, subject only to the appeal to the Privy
Council; and that the only question I have now to decide is whether I am to
consider the partnership account and the claim of Bethel in respect of the
private account as having been likewise the subject of adjudication by the
Supreme Court in the island, or whether those items in the general account,
which certainly might have been taken in that suit, are to be considered as
excepted out of the operation of the decree, under the special circumstances
appearing on the Master's report, .arid the other proceedings stated in the
bill..
In trying this question I believe I state the rule of the
[115] Court correctly when I say that, where a given matter becomes the subject
of litigation in, and of adjudication by, a Court of competent jurisdiction,
the Court requires the parties to that litigation to bring forward their whole
case, and will not (except under special circumstances) permit the same parties
to open the same subject of litigation in respect of matter which might have
been brought forward as part of the subject in contest, but which was not
brought forward, only because they have, from negligence, inadÁvertence, or
even accident, omitted part of their case. The plea of res judicata applies,
except in special cases, not only to points upon which the Court was actually
required by the parties to form an opinion and pronounce a judgment, but to
every point which properly belonged to the subject of litigation, and which the
parties, exercising reasonable diligence, might have brought forward at the
time. Those who have had occasion to investigate the subject of bills of review
in this Court will not discover anything new in the proposition I have stated,
so far as it may apply to proceedings in this country : and in an application
to a Court of Equity in this country, for: its aid against the effect of a
proceeding by a Court of Equity in one of the colonies, I conceive it to be the
duty of this Court to apply the same reasoning, at least in the absence of
charges in the bill, shewing that a different principle ought to be applied.
(See Bentinck v. Williiik, 2 Hare, 1.) The observations of Lord Cottenham in
the case of The Marquis of Breadalbane v. The Marquis of Chandos (2 Myl. &
Cr. 732, 733) have
(1) See stat. 3 & 4 Will. 4, c. 41, s. 21; and see also
the Charter of Justice of Newfoundland, Clark's Summary of Colonial Law, pp.
433, 434.
320 HENDERSON V. HENDERSON 3HAEE.116.
an
important bearing upon this point. I may mention also the cases of Farquharson
v. Seton (5 Kuss. 45), Partridge v. Usborne (Id. 195), and the judgment of Lord
Eldon in Ghamley v. Lord Dunsany (2 Sch. & Lef. 718), as shewing the
general principle to which I have adverted. It is plain that litigation would
be intermin-[116]-able if such a rule did not prevail. Now, undoubtedly the
whole of the case made by this bill might have been adjudicated upon in the
suit in Newfoundland, for it was of the very substance of the case there, and
primd facie, therefore, the whole is settled. The question then is whether the
special circumstances appearing upon the face of this bill are sufficient to
take the case out of the operation of the general rule.
Now, what are those circumstances! One circumstance relied
upon was that, by the decree of the Colonial Court of the llth of February
1840, the amended bill only was taken pro confesso. The amended bill, it
appears, is not, as in this Court, the original bill amended and written upon,
so that the amended bill wholly supersedes and comes in the place of the
original bill; but the amendments are upon a distinct record.
The bill in this cause charges that the last bill was in
fact and substance an original bill, and addressed to different Judges, and
that it was not an amended bill; this charge I might have been bound to take as
a fact if the Plaintiff had not, by settling out the amended bill and the final
decree, given me an opportunity of judging in what sense only the charge is
true. I find that the amended bill proceeds upon arid refers to the original
bill, and to the answer of the Defendant thereto, and the final decree of the
Court recites the whole of the proceedings anterior to the final decree,
beginning with the original bill. It is impossible, therefore, to contend with^
effect that the amended bill, though in a sense distinct from the original
bill, as being written upon other paper, leaving the first bill still on the
record, was not a continuance of the pleadings in one and the same cause, and
this, critically considered, is not inconsistent with the charge in the bill
which I have just read.
[117] Another objection was the absence or the irregularity
of service upon the Plaintiff. Although it is not necessary that I should go
into the question respecting the notice, I ought not to disregard the fact that
the Plaintiff represents that he had on different occasions actual notice of
the suit, and of the relief which was sought against him by it, however
irregularly that notice might have been communicated; and if the Plaintiff
thought that he might safely disregard the proceedings, and abstain from
interposing any defence, on the ground of their irregularity, I think I ought
to consider him as having relied on the strength of his case for establishing
that irregularity by a complaint in the same jurisdiction, or in the Court of
Appeal, and not to have relied on being therefore able to set the decree of the
Supreme Court at defiance, even while it remained nnreversed.
I may here recur to the observation that the omission of the
Master to take the partnership accounts is stated in the bill to be an error in
the decree, forming one ground for appeal to the Privy Council.
The point upon which I have had most difficulty in
satisfying myself is this: if the decree of the Supreme Court is conclusive
upon one party it must, I conceive, be conclusive upon both; and, if not
conclusive upon both, it ought to be conclusive upon neither. Now the amended
bill alleged that the Plaintiffs there were creditors upon the partnership
account, but that the accounts of the partnership cannot be taken, owing to the
manner in which the Defendant in that suit had acted. These allegations were
established as facts, by the effect of the order for taking the bill pro
ctmfesso; and it appeared to me during the argument that the present
DefenÁdants (the Plaintiffs in Newfoundland) might have a [118] right to say
that the accounts not taken by the Master were open for their benefit, by
reason that it was the conduct of the Defendant alone which had prevented those
accounts from being taken. But that, I think, is not a correct view of the
case. The decree was to comÁpute what was due to the Plaintiffs for principal
and interest; that is, upon all the accounts in question in the pleadings,
including the partnership and private account. The Plaintiffs were not
compelled to take such a decree, but, having taken it, they are bound by the
consequences, and must be taken to have waived any disadvantage to themselves
which would result from it.
The conclusion to which I must come, in a case where relief
is sought in this Court
SHARE, 119. HUMBLE V. SHORE 321
in
consequence of errors and irregularities in the decree of a Colonial Court, and
an appeal lies from that decree to the appellate jurisdiction in this kingdom,
is to allow the demurrer. I do not say that, my conclusion would have been the
same if the proceedings which were impeached had taken place in a foreign
Court, from which there was no appeal to any superior jurisdiction which a
Court of Equity in this country could regard as certain to administer justice
in the case. I express no opinion on that point.
Demurrer allowed, with liberty to amend.
Dec. 18.
The bill was not amended; and this day, on the motion of the
DefenÁdants, was ordered to be dismissed.