Majority
Headnote
Guardian and Ward—Premature Action upon Bond—Final Determination op Accounts—Time por Appeal.—An action will not lie upon the bond of a guardian until the order settling his accounts becomes final either by the lapse of the time for appeal therefrom or the final determination of an appeal taken therefrom; and an action brought upon such bond by an adult ward after an order settling the accounts of the guardian, but before the expiration of the time for appeal therefrom, is premature.Hensly and Gardiner were sureties on the bond of Ceas as guardian of the plaintiff, and the action is to recover three thousand dollars, the full penal sum named in the bond, the probate court having. determined on settlement of the guardian’s final account that he was indebted to his ward in excess of that amount. Ceas and Hensly, although named as defendants, were never served, and Gar-diner alone defended the action. His defense was based upon two grounds: 1. That the action was commenced prematurely; and 2. That the action was barred by the special limitation prescribed for actions upon guardians’ bonds by section 1805 of the Code of Civil Procedure, which reads as follows:—
“No action can be maintained against the sureties on any bond given by a guardian, unless it be commenced within three years from the discharge or removal of the guardian; but if, at the time of such discharge, the person entitled to bring such action is under any legal disability to sue, the action may be commenced at any time within three years after such disability is removed.”
The facts upon which the first defense is founded are these: The order or decree of the probate court settling the
The facts upon which the second defense are founded are, that the plaintiff attained her majority April 30,' 1897, and the action was not commenced until more than three years thereafter,—to wit, January 30, 1901. In this connection it is claimed that by the coming of age of his ward the guardian was ipso facto removed or discharged, within the meaning of of those terms as employed in section 1805 of the Code of Civil Procedure, above quoted, and consequently that the three years limited for the commencement of this action began to run from April 30, 1897, and fully elapsed April 30, 1900.
Upon the facts, as here stated, the superior court sustained both defenses, holding that the action had been prematurely commenced, and at the same time that it was barred by the statute. (Code Civ. Proe., see. 1805.) Judgment was entered accordingly, and the plaintiff appeals.
It is claimed that the judgment of the court is founded upon two conclusions so manifestly inconsistent that both cannot stand. So far as an affirmance of the judgment is concerned, it is immaterial whether this inconsistency exists or not, for if either conclusion is correct—if the action was commenced too soon or commenced too late—the judgment for the defendant must stand. "We do not, however, concede that the two conclusions of the superior court are necessarily inconsistent, for it is a legal possibility that the commencement of an action may be premature, and at the same time too late, in view of some special statute of limitations.
The general rule prescribing the time when the period of limitation begins to run against a cause of action fixes it at the date when the cause of action accrues (Code Civ. Proc., sec. 312), but this general rule is by the same section of the code expressly declared to be subject to such different rules as may be prescribed for special cases. In such special eases the date when the statute begins to run may be fixed with
They did not decide, and of course could not have decided, ■ that in the case supposed there would be no liability on the part of the stockholders; for when the constitution says that stockholders shall be liable for- their proportion of all debts of the corporation it is not competent for the legislature to say, directly or indirectly, that they shall be liable for such debts only as mature within three years.
But it is not alone in cases arising under special statutes of limitation that an action may be barred before the cause of action is complete. Even in cases which fall under the general rule which sets the statute in motion when the cause of action accrues, an action may be barred before the cause of action is complete, and may be prematurely commenced after the bar of the statute has attached. If, for instance, a debt is expressly made payable twenty days after demand, the creditor is not allowed to defeat the policy of the statute
As to the first defense, it is conceded by the appellant that according to the settled rule in this state an action against a guardian or his sureties for breach of his bond cannot be commenced until the amount of his indebtedness has been determined by an order of the probate court. The same rule prevails in respect to actions against the sureties upon the bonds of executors and administrators, and in each case it rests upon the ground that the probate court has been invested with exclusive jurisdiction to settle accounts of administrators, executors, and guardians, and that until the amount due to the ward or distributees has been determined by order of that court, and payment demanded, there is no default on the part of the trustee, and no cause of action against him or his sureties. Among the cases bearing upon this point, the following may be referred to: Graff v. Mesmer, 52 Cal. 636 ; Trumpler v. Cotton, 109 Cal. 250 ; Reither v. Murdock, 135 Cal. 197 ; Allen v. Tiffany, 53 Cal. 16 ; Chaquette v. Ortet, 60 Cal. 594 ; Spencer v. Houghton, 68 Cal. 82 . So far the rule is clear and is conceded, but the appellant does not concede the further proposition, essential to the conclusion of the superior court, that this action was premature because, notwithstanding an order had been entered by the probate court settling the guardian’s account, the time for appealing from that order had not elapsed when the complaint was filed.
The argument against this proposition is, in brief, that this is not an action on the judgment or order settling the guardian’s account, but is an action on the bond of the sureties, in
The question, then, is reduced to this: When did the order settling the account of the guardian become a binding order ? The numerous decisions of this court construing and applying section 1049 of the Code of Civil Procedure have settled this question conclusively in accordance with the decision of the superior court. “An action [or proceeding] is deemed to be pending from the time of its commencement until its final determination upon appeal, or until the time for an appeal has passed.” (Code Civ. Proc., sec. 1049.)
The settlement of a.guardian’s account is certainly a proceeding within the meaning of this section, and it is a proceeding in which an appeal from the probate court to this court may be taken at any time within sixty days after the entry of the order. The proceeding, then, was pending when this action was commenced, and it has been held here in a great number and great variety of cases that so long as an .action or proceeding is pending in this sense the judgment or order from which an appeal has been or may be taken cannot be made the basis of any new action. (See Estate of Blythe, 99 Cal. 472 ; Naftzger v. Gregg, 99 Cal. 83 ;[8] Story
The effect of these numerous decisions is not in the least impaired by the fact that in some cases, and for some purposes, an appealable judgment may be offered in evidence. It may, of course, be offered in evidence whenever the mere fact that it has been entered is material; as, for instance, in support of a plea in abatement, or to show the regularity of an execution. Nor is the force of the rule as to finality of judgments at all affected by what was said in the concurring opinion of Justice Harrison in Naftzger v. Gregg, 99 Cal. 83 .[6] He held, with the rest of the court, upon the proposition that the judgment in question was not a bar, but thought the ruling of the court admitting it in evidence was not necessarily erroneous, because the court, when making the ruling, could not anticipate that the party offering it would not prove that although the time for appealing had not elapsed, an appeal had nevertheless been taken and finally determined. But he went on to say that when the case was submitted without such additional evidence the court erred in holding that the judgment was a bar; thus expressly upholding the rule that an appealable judgment can never be made the foundation of a right of action or of defense to an action.
The justice of this rule is apparent from the fact that an appealable judgment might be reversed after having been used to sustain an action, or to bar an action. (Story v. Story etc. Co., 100 Cal. 41 .) It is a fact, though not shown by this record, that an appeal was taken from. the order settling the account here in question after this action was commenced, but within the sixty days allowed for an appeal. (Guardianship of Ceas, 134 Cal. 114 .) If that order had been reversed instead of affirmed, what would have been the status of this case? Clearly, it would have been necessary to dismiss it, for the effect of a reversal would have been to
2 86 Am. St. Rep. 290 .
3 37 Am. St. Rep. 23 , and note.
For the purpose of determining this question we have only to ascertain the meaning of the expression “discharge or removal of any guardian,” as employed in section 1805 of the Code of Civil Procedure. The provisions of that section, especially enacted for the protection of sureties on bonds of guardians, are prohibitory and peremptory in terms and effect. No action against them can be maintained unless it be commenced within three years from the “discharge or removal” of the guardian. The meaning of these words, as used in this connection, is determined by the sense in which they are employed in other sections of the same statute, including the provisions regulating the practice in probate cases, which are made applicable in guardianship proceedings. (Code Civ. Proe., sec. 1808.) It will be found that the word “discharge” is used sometimes in a sense peculiar to itself and sometimes in a sense exactly equivalent to that of the word “removal.” An executor or administrator may obtain an order or decree that he has fully accounted and paid over to the proper parties the entire residue of the estate after payment of debts and expenses. Such a decree is called a discharge (Code Civ. Proe., sec. 1697), and its effect is to exonerate him and the sureties on his bond. This provision of the probate act being applicable to proceedings in guardianship, it follows that a guardian may obtain a similar decree of discharge exonerating him and his sureties, and this evidently is the discharge which the court is pro
For these reasons we conclude that an action against the sureties of a guardian is not by the terms of section 1805 barred until three years after a final order of court removing or discharging the guardian. By the terms of the statute, therefore, this action was not barred, for it does not appear, and it is not claimed, that the guardian of plaintiff ever was discharged or removed by any order of court. The respondent contends, however, that the coming of age of the plaintiff operated a discharge of the guardian, and set the statute in motion April 30, 1897.
It is certainly true that when a ward arrives at the age of majority the authority of the guardian comes to an end. Section 255 of the Civil Code says that it is suspended; but it is suspended without the possibility of restoration, and in reality ended. (In re Allgier, 65 Cal. 228 ; Estate of Curtis, 121 Cal. 469 .) But although his authority is at an end when his ward comes of age, it cannot be said that in any ordinary or usual or statutory sense of the terms he has been removed or discharged, so that the statute does not in terms apply to such a case, and in order to bring the respondent within its protection its terms must be enlarged by construction. In other jurisdictions this seems to have been done. In the state of Montana it was held, construing a statute identical in terms with our own, that the death of the ward operated a discharge of the guardian, and set the statute in motion. (Berkin v. Marsh, 18 Mont. 152 .[8] ) In Massachusetts no action can be maintained against the sureties on a guardian’s bond unless it be commenced within four years “from the time when the‘guardian shall be discharged.” Chief Justice Shaw, in construing this statute, said: “The court are of * opinion that by the term discharged in this statute is intended any mode by which the guardianship is effectually determined and brought to a close either by the removal, resignation, or death of the guardian, the marriage of a female, the arrival of a minor ward at the age of twenty-one, or otherwise.” (Lo ring v. Alline, 9 Cush. 68 .) This construction of the statute, in substance identical with our own, has been followed in other cases in Massachusetts, and reaffirmed as
A statute of limitations ought not to be enlarged in its operation by judicial construction when it is so framed as to work injustice either by itself or in conjunction with other provisions of law. In this state we have one rule which prohibits an action on the bond of a guardian’s surety until there is a final order settling the guardian’s account, and another rule barring the action in three years after the removal or discharge of the guardian. So far as its express terms require, the rule must no doubt be enforced, even where without the fault of the ward a final settlement of the account has not been obtained within three years after the removal or discharge, but neither justice nor sound policy requires that a law capable of working so inequitably should be enlarged by construction so as to embrace a class of cases not comprehended in its terms. And this conclusion does not leave the sureties on guardians’ bonds without an ample measure of protection against stale claims. They have all the advantage of the general statute of limitations, and of the doctrine of Barnes v. Glide, 117 Cal. 1 ,[8] which will hold wards to the rule of reasonable diligence in procuring settlement of their guardians’ accounts. In this case it does not appear whether or not there was unreasonable delay on the part of the plaintiff in seeking a settlement of the account.
The judgment of the superior court is affirmed on the
1 59 Am. St. Rep. 153 .
Dissent
Lorigan, J., McFarland, J., and Henshaw, J., concurred.
I dissent, and adhere to the opinion in said case in Department, and hereby adopt the same.
The following is the opinion rendered in Department One on the 2d of June, 1903, referred to and adopted in the dissenting opinion of Van Dyke, J.:—■
This is an action upon a guardian’s bond. ■ The principal on the bond, George T. Ceas, and one of the sureties, C. P. Hensly, defaulted and took no part in the trial of the cause. The court below rendered judgment in favor of defendant Gardiner, the other surety on the bond, and against the plaintiff. The appeal is from this judgment and is taken upon the judgment-roll. Appellant contends that upon the facts admitted and found the judgment should have gone for the plaintiff.
It is alleged in the complaint that upon April 2, 1883, the superior court of Sacramento County, having jurisdiction of the matter, by an order duly given and made, appointed the defendant George T. Ceas the guardian of the person and estate of the plaintiff, his daughter, she having property in her own right, and being a minor under the age of fourteen years, and required the said guardian to enter into a bond in the penal sum of three thousand dollars; that thereafter the bond, as required by said order, was entered into by the said Ceas as principal, and the defendants Hensly and Gardiner as sureties, in the usual form and in the sum mentioned in the order. It is further alleged that the plaintiff married W. R. Cook in October, 1899, and is now his wife, but that the money claimed against the defendants is her separate property. It is further alleged, and found by the court to be true, “That such proceedings were thereafter had in the superior court of said Sacramento County, that the final account of said George T. Ceas, as guardian of plaintiff, was rendered, settled, and allowed by said superior court of Sacramento County, by its decree duly made, given, and entered
The court further finds that at the time the complaint in this action was filed the order settling the final account “had not become a final order, and would not be until sixty days after the entry of the same, and consequently this action was prematurely brought”; and also, “that the court finds that the plaintiff’s cause of action is barred by the provision of section 1805 of the Code of Civil Procedure of the state of California, for the reason that said minor reached her majority more than three years (to wit, April 30, 1897), before this action was commenced.”
These so-called findings are mere conclusions of law drawn by the-court from the facts admitted and found as already referred to. It is quite apparent that these conclusions of law are contradictory, and necessarily both cannot stand. If the action were prematurely brought,—that is, before the cause of action accrued,—it could not well be said that it was at the same time barred by the lapse of time. Section 1805 of the Code of Civil Procedure, referred to in the so-called finding, declares that no action can be maintained against the sureties on any bond given by a guardian unless it be commenced within three years from the discharge or removal of
■ The theory upon which the court assumed that the cause of action was barred seems to have been predicated upon the assumption contended for by respondent’s counsel in his brief, that upon the arrival of the ward at the age of majority the guardian was ipso facto, discharged or removed. Such a result, however, does not follow upon the ward’s arriving at majority or marrying. In the event of marriage the powers of the guardian are merely suspended as to the person of the ward, but not affected as to the estate. (Civ. Code,' sec. 255; Code Civ. Proc., sec. 1751.) And where the guardian is appointed by the court, he is not entitled to his discharge as to the estate until a year after the ward’s majority. (Civ. Code, see. 257.) Here, however, it is expressly found that no order or decree had ever been entered discharging or removing said guardian; nor could such order have been made before the settlement of his final account. (Code Civ. Proc., secs. 1697, 1808.)
And the plaintiff’s cause of action did not accrue either as against the guardian or the sureties on his bond until the settlement of the guardian’s account and the ascertainment of the amount due from him to his ward. “The general rule is, that the liability of the surety on an administrator’s or guardian’s bond depends upon the liability of the principal, and does not attach until that has been ascertained and determined by the judgment of a court of competent jurisdiction. This rule has been repeatedly announced and affirmed in this court.” (Reither v. Murdock, 135 Cal. 197 . See, also, Allen v. Tiffany, 53 Cal. 16 ; Chaquette v. Ortet, 60 Cal. 594 ; Spencer v. Houghton, 68 Cal. 82 .)
Although the guardian had the right to appeal within sixty days from the judgment or order settling his final account, there is no evidence that he did appeal. On the contrary, it may be presumed he did not, for it is recited in the findings that he failed to appear at the trial.
Conceding that the order in the probate court settling the guardian’s account may be construed as a judgment, and that a judgment does not become final for many purposes until the time to take an appeal has expired, yet for many purposes it does take effect and is in full force from the time
In this ease an issue was raised by the pleadings as to the
1 37 Am. St. Rep. 23 , and note,
2 17 Am. St. Rep. 248 .
The judgment is reversed and the cause remanded.
Footnotes
- 1 37 Am. St. Rep. 87 .
- 1 59 Am. St. Rep. 153 .
- 1 37 Am. St. Rep. 23 , and note.
- 1 38 Am. St. Rep. 314 .
- 1 56 Am. St. Rep. 565 .
Cases cited
- Hunt v. Ward 99 Cal. 612 p. 224
- Graff v. Mesmer 52 Cal. 636 p. 225
- Reither v. Murdock 135 Cal. 197 p. 225, p. 234
- Allen v. Tiffany 53 Cal. 16 p. 225, p. 234
- Chaquette v. Ortet 60 Cal. 594 p. 225, p. 234
- Spencer v. Houghton 68 Cal. 82 p. 225, p. 234
- In re Estate of Blythe 99 Cal. 472 p. 226
- Naftzger v. Gregg 99 Cal. 83 p. 226, p. 227
- Story v. Story & Isham Commercial Co. 100 Cal. 41 p. 227
- Brown v. Campbell 100 Cal. 635 p. 227
- Feeney v. Hinckley 134 Cal. 467 p. 227
- In re Estate of Ceas 134 Cal. 114 p. 227
- In re Allgier 65 Cal. 228 p. 230
- Barnes v. Glide 117 Cal. 1 p. 231
- In re the Estate of Cook 83 Cal. 415 p. 235
- Dyer v. Scalmanini 69 Cal. 637 p. 235
- Moore v. Hopkins 83 Cal. 270 p. 235