Wiener v. Sturgiss

Boyd, J., delivered the opinion of the Court. On the 25th day of August, 1892, John Shartzer and others filed the bill in this case against The Supreme Sitting of the Order of the Iron Hall, Local Branch Ho. 85 of that order, located at Oakland, and certain officers of the local branch. The bill alleges that the Supreme Sitting of the Order of the Iron Hall is a non-resident corporation; that Local Branch Ho. 85 is a subordinate lodge formed under the direction of the Supreme Sitting, in pursuance of the powers conferred by its charter; that the other defendants are officers of the Local Branch, having charge of its money, funds and property, and that the plaintiffs are members of the Local Branch in good standing. It further alleges that there is in the hands of the Local Branch and the officers about eighteen hundred dollars, derived from the levying of twenty per cent, on each assessment collected from the members of said Local Branch, and retained as a reserve fund; that the affairs of the Supreme Sitting have been grossly mismanaged, the funds of the Order squandered and misappropriated, and the said reserve fund is in danger of being lost to the members of said Branch; that the members of the Local Branch are in equity entitled to have the said sum of eighteen hundred dollars, or whatever sum may be in possession of said Branch, distributed to them.

The bill prays that the reserve fund may be distributed to the members of said Branch; that a receiver may be appointed by the Court, over whom the Supreme Sitting has no control, to administer the said fund under the direction of the Court; that an injunction may be issued against the Local Branch and the defendant officers thereof, prohibiting them from disposing of, paying out, collecting, forwarding or paying over to the Supreme Sitting, or any member thereof, any of the reserve fund, money ²⁷³ or assets of the order in their custody, possession or control, and also restraining and prohibiting the said officers from in any manner interfering with said funds. The Circuit Court for Garrett County, on the 25th day of August, 1892, ordered an injunction to issue as prayed, appointed Alfred G. Sturgiss receiver, with power to collect all moneys due the Local Branch or the officers thereof, and to take charge of all the money, assets, books, accounts, choses in action and evidences of debt belonging to or in the possession of said Local Branch, or the officers thereof, and hold the same subject to the order of that Court, and ordered the Local Branch and the officers to pay over and deliver to said receiver all the money, assets and property in its or their possession. The said receiver qualified on August 29th, 1892. The defendants were returned summoned.

The Local Branch, and the officers made defendants, filed an answer admitting the matters and facts set forth in the bill, and consenting to the passage of such decree as may be right and proper in the premises. The Supreme Sitting having failed to appear or answer, an interlocutory decree was passed against it on December 12th, 3892, referring the case to one of the examiners of the Court to take testimony. On the 20th day of January, 1893, Charles J. Wiener and Joseph C. Prance filed a petition in the Court below, exhibiting therewith a copy of an order of the Circuit Court of Baltimore City, bearing date August 23d, 1892, appointing them receivers of the Supreme Sitting of the Order of the Iron Hall, and asking leave to file in the cause a petition against Albert G. Sturgiss, as receiver for Local Branch Ho. 85, to require him to show cause why he should not turn over to them the funds in his hands as such receiver. Leave was granted them to file their petition, and on the 28th day of 'January, 1893, it was. filed, making the following allegations: ²⁷⁴ 1.

That on the 23 d day of August, 1892, the petitioners were appointed receivers for the corporation known as the Supreme Sitting of the Order of the Iron Hall, by the Circuit Court of Baltimore City, and that the trustees of the Local Branches of the said corporation were ordered to deliver and transfer to the petitioners all funds and securities in then hands belonging to the Supreme Sitting, as would appear by a certified copy filed with the petition. 2. Recites the proceedings under which Sturgiss was appointed, his qualification, etc. 3. That they were appointed two days before the proceedings of the Circuit Court in Garrett county, and the Circuit Court of Baltimore City had assumed and taken jurisdiction over the entire personal effects of said corporation in the State, before the proceeding in Garrett county; that petitioners qualified and had demanded of Sturgiss the funds and personal effects that had