Clausen v. New York Life Insurance
Supreme Court of Iowa · 1937-12-14 · cited 2×
This case involved a beneficiary's suit against New York Life Insurance Company to recover double indemnity under a life insurance policy on Andy L. Clausen after his accidental death in 1936. The policy, issued in 1930, provided for $1,000 coverage or $2,000 for accidental death, but included terms for lapse upon nonpayment of premiums, conversion to temporary insurance based on cash surrender value, and exclusion of double indemnity from such temporary or paid-up coverage. After the insured defaulted on premiums and a premium lien note in 1934-1935, the insurer applied the cash value to purchase $960 of temporary insurance expiring January 9, 1936; the insured died on March 21, 1936. The court held that the temporary insurance expired before the death, that no additional grace period extended coverage, and that double indemnity did not apply, reversing the lower court and directing judgment for the defendant.
business & regulatory
Kennedy v. State Board of Assessment & Review
Supreme Court of Iowa · 1937-11-23 · cited 19×
The case involved a farmer who purchased commercial fertilizer for use on his potato and vegetable crops, paid the 2% Iowa retail sales tax on the purchases totaling $91.89, and then sought a refund from the State Board of Assessment and Review on the ground that the fertilizer was used for 'processing' tangible personal property and thus exempt under the sales tax statute. The Board denied the claim, the district court dismissed the appeal after trial, and the Iowa Supreme Court affirmed. The court reasoned that applying fertilizer to promote crop growth constitutes growing rather than processing, that the fertilizer becomes part of the real estate once placed in the soil, and that growing crops are not tangible personal property subject to the processing exemption; it further noted that a later legislative amendment expressly exempting commercial fertilizer had no retroactive effect.
taxespropertybusiness & regulatory
McMurray v. Faust
Supreme Court of Iowa · 1937-11-23 · cited 20×
The case involved Dr. McMurray suing his former employee Dr. Faust to enforce a non-compete clause in a written one-year employment contract, seeking to bar Faust from practicing medicine and surgery in Jasper County, Iowa, for five years after April 1, 1935. The district court granted a temporary injunction ex parte, later dissolved it on motion, but then issued a permanent injunction after a full trial on the merits using the same evidence. The Iowa Supreme Court affirmed, ruling that the contract's non-compete provision was valid and enforceable, that failure to execute a follow-on contract did not invalidate the restriction, and that dissolution of the temporary injunction did not require dismissal of the action when the evidence supported permanent relief.
business & regulatorylabor & employment
Sullivan v. Harris
Supreme Court of Iowa · 1937-11-23 · cited 22×
In Sullivan v. Harris, plaintiff Grace Sullivan sued Dr. and Mrs. E.E. Harris for damages from injuries sustained in an automobile accident during a trip from Iowa to Minneapolis, alleging that Mrs. Harris had hired her to help drive in exchange for paying her expenses and that Mrs. Harris's negligence caused the crash. The defendants denied liability and moved for a directed verdict, arguing that Sullivan was a guest passenger under Iowa's guest statute and had neither alleged nor proven recklessness. The court reversed the lower court's ruling after determining that the parties were personal friends on an informal trip with no contract for hire, that Sullivan therefore qualified as a guest rather than a nongratuitous passenger, and that the absence of any recklessness allegation or evidence required dismissal of the claims.
torts & liability
Shirkey v. Keokuk County
Supreme Court of Iowa · 1937-10-26 · cited 26×
Martha Shirkey sued Keokuk County, its board of supervisors, and employee William Kelly for personal injuries from a collision between her husband's automobile and a county tractor pulling a maintainer on a public road after sunset; she alleged Kelly drove negligently without required lights, on the wrong side of the road, and that the county and supervisors knew the equipment was improperly equipped and Kelly was incompetent. The defendants demurred, asserting the county enjoyed governmental immunity from tort liability for negligence in performing road-maintenance duties imposed by law and that this immunity extended to its officers and employees. The court affirmed dismissal of the claims, ruling that counties as quasi-municipal corporations are not liable for the torts of their agents or servants engaged in governmental functions, that no statute imposed such liability, and that the same immunity protected the individual defendants, leaving any expansion of responsibility to the legislature.
torts & liability
Doonan v. City of Winterset
Supreme Court of Iowa · 1937-10-26 · cited 1×
The case involved R.E. Doonan suing the City of Winterset for damages after being terminated from his position as superintendent of the city's electric light and power plant. Doonan claimed breach of a two-year employment contract approved by the prior city council via a mayoral tie-breaking vote in February 1935. The Iowa Supreme Court reversed the district court's judgment in favor of Doonan, holding that the contract was invalid because it lacked approval by a majority of the entire elected council members and improperly attempted to bind the successor council beyond the term of the outgoing officials.
labor & employmentbusiness & regulatory
State v. Rhone
Supreme Court of Iowa · 1937-09-28 · cited 6×
In State v. Rhone, the defendant was indicted for murder after fatally shooting a neighbor during a confrontation over a boundary fence and was convicted of manslaughter following a jury trial. The Iowa Supreme Court reversed the conviction, holding that the trial court erred by excluding evidence of the deceased's actual character for turbulence and violence, which is admissible in self-defense cases on the same basis as reputation evidence. The court reasoned that firsthand observations by those who knew the deceased intimately can establish his character more reliably than mere reputation and noted that the defendant was lawfully permitted to carry a firearm on his own property under state law.
criminal lawprocedure
Reardon v. Hermansen
Supreme Court of Iowa · 1937-09-21 · cited 3×
This case involved a negligence action brought by the administrator of James J. Walsh's estate against the owner and driver of a car that struck and killed Walsh while he was riding a bicycle on a highway at night. The jury returned a verdict for the defendants, and the trial court entered judgment accordingly. On appeal, the Iowa Supreme Court affirmed, holding that the evidence supported a finding of contributory negligence by the decedent, such as a possible failure to display required lights or a reflector on the bicycle, and that the jury could also have found in favor of the defendants on grounds including diverted attention by the driver. The court further reasoned that the record on appeal was incomplete regarding the jury instructions, which prevented review of any alleged errors, and that the verdict was not contrary to the evidence.
torts & liabilityprocedure
Keokuk & Hamilton Bridge Co. v. Curtin-Howe Corp.
Supreme Court of Iowa · 1937-06-15 · cited 3×
The case involved a lawsuit by an Iowa bridge company against two out-of-state corporations for alleged breach of warranties regarding specially treated lumber sold for use in bridge construction; the plaintiff claimed the ZMA-treated wood decayed prematurely, causing $15,000 in damages to the bridge structure. A default judgment was entered against one defendant, but the other, Curtin-Howe Corporation (a Delaware entity based in New York), made a special appearance to quash service of process effected through the Iowa secretary of state under Code section 8421. The court held that service was invalid and quashed it, ruling that the statute authorizing such service applies only to foreign corporations actually doing business in Iowa, and the defendant's involvement was limited to at most a single transaction with no office, agent, or ongoing presence in the state. The decision affirmed the lower court's order sustaining the motion to quash, finding that the plaintiff failed to meet its burden of proving facts sufficient to establish jurisdiction.
proceduretorts & liabilitybusiness & regulatory
Rusch v. Hoffman
Supreme Court of Iowa · 1937-06-15 · cited 4×
This case was a negligence action brought by the administrator of Lena Rusch's estate against Lloyd H. Hoffman (the driver) and Henry G. Hoffman (the owner) to recover damages for her death in a February 1935 car collision on Brady Road in Davenport, Iowa. The trial court submitted five specifications of negligence to the jury after withdrawing others, and the jury returned a verdict for the defendants. On appeal, the Iowa Supreme Court reversed and remanded, holding that Instruction 14 improperly limited the jury's consideration of circumstantial evidence and surrounding circumstances in evaluating direct testimony about which side of the road the Rusch vehicle was on at the time of impact, contrary to established Iowa precedent on the use of such evidence in civil cases. The court found that the instruction disparaged the plaintiff's evidence and required an unduly restrictive standard for drawing conclusions from facts consistent with the plaintiff's theory.
torts & liabilityprocedure
Bates v. Nichols
Supreme Court of Iowa · 1937-06-15 · cited 11×
The case involved a claim by the superintendent of banking against guarantors of certain bank notes, alleging they remained outstanding. The district court sustained a demurrer to the petition and entered a default judgment against the plaintiff for costs, which the plaintiff voluntarily paid. The plaintiff appealed the ruling on the demurrer, but the Iowa Supreme Court dismissed the appeal, holding that voluntary payment of a judgment precludes an appeal under state precedent, as it constitutes waiver of errors.
procedurebusiness & regulatory
First Trust Joint Stock Land Bank v. Thomas
Supreme Court of Iowa · 1937-06-15 · cited 3×
The case involved a mortgage held by the plaintiff bank on part of a 240-acre parcel owned as tenants in common by defendants Thomas and Dashner. Dashner initiated a partition action seeking sale of the land with proceeds used to pay any mortgage debt and the balance divided, a request in which Thomas joined; the land was sold privately to Dashner, who took title to the full parcel and assumed the mortgage under the pleadings. On rehearing, Dashner contended he was not liable for the mortgage, but the court held that the partition record and Dashner's own requests bound him to the assumption, making any attempt to avoid it unconscionable. The petition for rehearing was therefore overruled, adhering to the prior decision that Dashner remained liable.
propertyprocedure
Thomas v. Federal Life Insurance
Supreme Court of Iowa · 1937-06-15
This case involved a claim by Minnie Hall Thomas, beneficiary, to recover $3,000 under an accident insurance policy issued by Federal Life Insurance Company to her husband, Joseph Matthew Thomas, who died in 1935 when his truck caught fire due to a stuck carburetor float valve leaking gasoline onto the exhaust pipe. The policy covered loss of life from the wrecking or disablement of a private vehicle in which the insured was riding. The trial court overruled the insurer's motion for directed verdict and entered judgment for the plaintiff after finding that the fire and resulting damage to the truck's cab, wiring, floorboards, and other components constituted disablement within the policy terms, supported by evidence of the vehicle's condition and medical findings on the cause of death. The Iowa Supreme Court affirmed, holding that the facts established the required causal connection between the vehicle's disablement and the insured's death by suffocation from inhaling flames, consistent with precedents interpreting similar policy language on wrecking or disablement.
business & regulatory
Marcovis v. Commonwealth Investment Co.
Supreme Court of Iowa · 1937-06-15 · cited 2×
This case involved plaintiffs suing in equity to foreclose on a December 1934 real estate sales contract for property in Des Moines, Iowa, after the defendant allegedly failed to make installment payments totaling $560 plus interest, and seeking appointment of a receiver due to depreciation and unpaid rents. The defendant moved to dismiss, arguing the contract was incomplete, ambiguous, and uncertain on its face regarding issues like title, deed type, and conditions precedent such as delivery of an abstract or final papers. The district court granted the motion and dismissed the petition outright without allowing amendment. On appeal, the Iowa Supreme Court reversed, holding that a motion to dismiss in equity functions like a demurrer and that the trial court erred by peremptorily dismissing the case rather than sustaining the motion and permitting plaintiffs to plead over within a set time.
propertyprocedure
First Trust Joint Stock Land Bank v. Thomas
Supreme Court of Iowa · 1937-06-15 · cited 3×
The case involved a mortgage held by the plaintiff bank on part of a 240-acre parcel owned as tenants in common by defendants Thomas and Dashner. Dashner initiated a partition action seeking sale of the land with proceeds used to pay any mortgage debt and the balance divided, a request in which Thomas joined; the land was sold privately to Dashner, who took title to the full parcel and assumed the mortgage under the pleadings. On rehearing, Dashner contended he was not liable for the mortgage, but the court held that the partition record and Dashner's own requests bound him to the assumption, making any attempt to avoid it unconscionable. The petition for rehearing was therefore overruled, adhering to the prior decision that Dashner remained liable.
propertyprocedure
Prudential Insurance Co. of America v. Burns
Supreme Court of Iowa · 1937-06-15 · cited 1×
This case involved a dispute over possession of a farm where the plaintiff insurance company brought an action for forcible entry and detainer against the defendant, who claimed a lease. A jury trial resulted in a verdict for the defendant, and the plaintiff appealed. The Iowa Supreme Court affirmed the judgment because the plaintiff's assignments of error failed to comply with appellate rules requiring specific statements of the rulings complained of and the reasons they were erroneous, rendering them unreviewable omnibus assignments.
procedureproperty
Great Western Insurance v. Saunders
Supreme Court of Iowa · 1937-06-15 · cited 8×
This case arose from a 1916 municipal court judgment in Des Moines awarding an insurance company costs of $2.25 against defendant Saunders; in 1936 the city moved to tax those costs against the plaintiff after an execution was returned unsatisfied. The municipal court denied the motion, and the city appealed. The Iowa Supreme Court affirmed, holding the claim barred by the statute of limitations because the fees would enter the city's general treasury fund like ordinary debts or office receipts rather than arising from a governmental function exempt from time bars. The court relied on precedents treating municipal collection efforts in such matters as subject to the same limitations as private claims.
procedure
Board of Supervisors v. Sioux City Stock Yards Co.
Supreme Court of Iowa · 1937-06-15 · cited 10×
This case concerned the 1935 tax assessment of the Sioux City Stock Yards Company, a corporation based in Woodbury County, Iowa. The Board of Supervisors filed objections and a petition seeking to add shares of stock in other companies and certain machinery, furniture, and fixtures to the company's assessment rolls under different statutory provisions than those initially applied. The district court dismissed the appeal on grounds including res judicata from prior litigation over earlier tax years. The Iowa Supreme Court reversed the dismissal, holding that res judicata does not apply across different tax years and that the issues of proper assessment classification and property valuation required a full evidentiary hearing on the merits.
taxespropertybusiness & regulatory
Shultz v. Peters
Supreme Court of Iowa · 1937-05-04 · cited 4×
This case involved a dispute over ownership of 120 acres of land in Iowa, originating from a 1908 divorce decree and stipulation between Norman B. Shultz and Addie Alice Shultz. The stipulation granted Addie life use of the land, with the remainder to their three children subject to conditions that if any child predeceased her without direct heirs, the surviving children's heirs would take, and explicitly excluding any surviving spouses. After the deaths of Addie and all three children, with only one grandchild, Lee Shultz (also known as Lee Peters), surviving as a direct heir, the court addressed claims by George's widow Addie Shultz and J.A. McPherrin. The Iowa Supreme Court affirmed the district court's decision quieting title in Lee Shultz, reasoning that the grantor's intent, as expressed in the entire stipulation, must be given effect, allowing Lee to inherit under the conditions provided.
family lawproperty
Johnson v. Leese
Supreme Court of Iowa · 1937-05-04 · cited 4×
This case consolidated multiple Iowa district court actions involving the foreclosure of a mortgage on land (the northwest quarter of section 18, township 97 north, range 39), a subsequent suit to quiet title, and an earlier foreclosure action that resulted in a personal judgment against the titleholder. The core dispute concerned whether holders of a 1931 judgment lien, who were not joined as parties in the 1932 mortgage foreclosure, could assert redemption rights after the title was conveyed via sheriff’s deed and the lien was later barred by a 1933 statute of limitations that applied retroactively. The district court allowed the foreclosure plaintiff to amend the proceedings to add the lienholders and ruled that their redemption rights had expired; the Iowa Supreme Court affirmed, holding that the court had authority to add parties, that the judgment lien had ceased to exist, and that precedent barred redemption once a lien is extinguished by limitations without timely action.
propertyprocedure