Majority
Headnote
1. Money Had and Received—Payment on Invalid Claim.We need add but little to the satisfactory opinion of Pryor, J., upon the demurrer to the original complaint. 32 N. Y. Supp. 164 . The present defendants, in their action against the city, claimed the damages in their own right. The present plaintiffs say that these damages were clearly theirs. But that does not help them. If they were entitled to these damages, their rights were not affected by the payment to the defendants. If they have a just claim against the city, they can still assert it. The payment to the defendants was not to their (plaintiffs’) use, but, as they insist, to the defendants’ sole use, and therefore wrongful. It is well settled, under such circumstances, that an action for the sum paid will not lie by the party really entitled to it against the party who recovered it in his own right.- Patrick v. Metcalf, 37 N. Y. 332 ; Butterworth v. Gould, 41 N. Y. 450 ; Rowe v. Bank, 51 N. Y. 674 ; Decker v. Saltzman, 59 N. Y. 275 ; Peckham v. Van Wagenen, 83 N. Y. 40 ; Sergeant v. Stryker, 32 Am. Dec. 404 .
The plaintiffs now abandon the contention that this is an action for money had and received to their use. They say that they elect to make the defendants their agents for the collection of their damages, and that they ratify said collection, although it was wrongful. This they call an “action on the case.” It has none of the elements of such an action. There is such a thing as affirming or disaffirming the unauthorized acts of one’s agent; but there must first be an agency. There is no such thing as creating an agency contrary to the fact by a process of election. The pleader must have been thinking of the equity principle which sometimes converts a party into a trustee ex maleficio. Here, however, there was no trust or agency, and there were no facts upon which any such relation could reason
It may be added that it is by no means certain that the plaintiffs were entitled to these damages. The. complaint avers that the recovery against the city was for the use and occupation of the pier for the purpose of a dump, and for the consequential loss of wharfage. Whatever may have been the form of that action, it necessarily proceeded upon the diminution of rental value by reason of the nuisance. The nuisance was upon the property when the present plaintiffs leased it, and they undoubtedly paid less rent in consequence of its probable continuance. That being the case, the lessors were entitled to recover for such diminution in rental value. Kernochan v. Railroad Co., 128 N. Y. 559 , 29 N. E. 65 . The action in which the damages were recovered was substantially the same as that referred to in the lease. It may have been different in form, but it sought redress for the wrong done by the dumping board. Whether such redress was obtained in one form of action or another is unimportant. However the real damages, namely, the diminution in rental value, may have been asserted and recovered, whether such diminution was called “damages for loss of wharfage” or “damages- for loss of wharfage rent,” the practical result "was the same. It follows that, if the claim was asserted and recovered because of the toss really sustained by the lessors, they were acting rightfully in their own behalf. Whether acting rightfully or wrongfully, however, the plaintiffs have lost nothing to w'hich they were legally entitled, and their present action must fail.
The judgment appealed from must be affirmed, with costs. All concur.
Cases cited
- Butterworth v. Gould 41 N. Y. 450 p. 1094
- Rowe v. Bank of Auburn 51 N. Y. 674 p. 1094
- Decker v. Saltzman 59 N. Y. 275 p. 1094
- Peckham v. Van Wagenen 83 N. Y. 40 p. 1094
- Kernochan v. New York Elevated Railroad 128 N. Y. 559 p. 1095