v.
Bell
Lead Opinion
— This is an action to recover for services rendered by appellee in behalf of appellant pursuant to the following written contract between the parties:
“Be It Known by These Presents, That I, James I. Hogston do hereby employ Joseph E. Bell as one of my attorneys to assist in the matter of the contest of the last will and testament of my brother Anderson Hogston, deceased, who at.the time of his death was a resident of Grant County in the State of Indiana, and I hereby agree to pay to the said Joseph E. Bell for the services to be rendered by him as such attorney, the sum of Twenty Thousand Dollars, said amount to be paid to him when the litigation in the matter of the contest of said will shall have been ended and determined and I shall have received my portion of the estate of my said brother independent of his said last will and testament. It is further understood that any expenses incurred by the said Joseph E. Bell in the matter of preparing for the trial of such contest shall be paid by him, th e said sum of $20,000.00 to be in full payment of his said fee for services to be rendered, and also all expenses incurred by him.
“In Witness Whereoe, I have hereunto set my hand this 16th day of February, 1911.
James I. Hogston.”
In seeking to defeat a recovery under a complaint which alleges in some detail the acceptance and [*541] full performance of the agreement on the part of appellee, appellant takes the position that said contract, although fair on its face, in fact contemplated that in carrying out its terms, appellee should render certain services which, under the circumstances, were illegal-and sufficient to avoid the entire agreement as against public policy. In considering this contention it is important to note briefly the circumstances surrounding the will contest referred to in the above contract. Anderson Hogston, the testator, died, in the year 1909, leaving an estate of considerable value. In his will he sought to bequeath the greater portion of his property to the “Indiana Board of State Charities” with instructions to “apply the same to such charitable purposes as to such board may appear best within the purpose and scope for which it was created by the State.” Appellant thereafter instituted an action in the Grant Circuit Court to contest said will on the ground that the testator was of unsound mind at the time of its execution, but the court held, on demurrer to a plea in abatement, that as a department of the State was a beneficiary under the will, and a necessary party defendant, the action could not be maintained without its consent, and it was subsequently dismissed. Meanwhile appellant had introduced in the general assembly of 1911 a bill for a law which should authorize the contest of a will in which the State, or an officer’ or department thereof, was named as a beneficiary: This bill had passed the House and was pending in the Senate of the legislature at the time the contract in suit was executed. It subsequently became a law (§3154 Burns 1914, Acts 1911 p. 325) and under its provisions suit was brought in the Marion Superior Court by appellee and other attorneys representing appellant, and a [*542] trial had, which resulted in a verdict setting aside the alleged will of Anderson Hogston and left appellant as the owner of decedent’s property as his sole heir at law.
The position taken by appellant in asserting that the contract in question is invalid will best appear from a consideration of instruction No. 12 given to the jury by the trial court at appellee’s request. This instruction follows: “If you find from the evidence that the contract mentioned in the complaint required the plaintiff to draft a bill or amendment to a bill and to cause the same to be presented to the legislature for enactment into a law, and that the plaintiff did draft such bill or an amendment to a bill, and such bill was presented to the legislature and enacted into a law, and that such contract also required the plaintiff to go before a proper committee of the legislature and advocate a favorable report and the enactment of such a bill into a law, and that the plaintiff performed such services openly and honestly, and that by virtue of such law the superior court of Marion county, Indiana, was given jurisdiction to try and determine the validity of the will of Anderson Iiogston, deceased, and that an action to contest said will was instituted in the superior court of Marion county and that a trial was had of such cause on its merits, and said will was set aside and held and adjudged null and void, and that all of the property of the estate of Anderson' Hogston was received and accepted by the said defendant, then I instruct you that the said contract mentioned in the complaint and the said services so rendered by said plaintiff were not against public policy and were not illegal.”
[*543]
This rule is based on the ground that, when compensation is directly or indirectly contingent on success before the legislative body, it must necessarily encourage and lead to the use of improper means and the exercise of undue influence. As said in the case of Elkhart County Lodge v. Crary, supra, at page 242: “It is not necessary that actual fraud should be shown, for a contract which tends to the injury of the public service is void, although the parties entered into it honestly and proceeded under it in good faith. The courts do not inquire into the motives of the parties in the particular ease to ascertain whether they were corrupt or not, but stop when it is ascertained that the contract is one which is opposed to public policy. Nor is it necessary to show that any evil was in fact done by or through the contract. The purpose of the rule is to prevent persons from assuming a position where selfish motives may impel them to sacrifice the public good to private benefit.” See, also, Noble v. Davison (1911), 177 Ind. 19, 28, 96 N. E. 325; 6 R. C. L. 735, and eases cited.
[*544] But it must be noted that: “Without minimizing the importance of the doctrine that contracts should not be enforced if they contravene public policy, many courts have cautioned against recklessness in condemning contracts as being in violation of public policy. Public policy, some courts have said, is a term of vague and uncertain meaning, which it pertains to the law-making power to define, and courts are apt to encroach upon th« domain of that branch of the government if they characterize a transaction as invalid because it is contrary to public policy, unless the transaction contravenes some positive statute or some well established rule of law. Other courts have approved the remark of an English judge that public policy is an unruly horse astride of which one may be carried into unknown paths. Considerations such as these have led to the statement that the power of the courts to declare a contract void for being- in contravention of sound public policy is a very delicate and undefined power, and, like the power to declare a statute unconstitutional, should be exercised only in cases free from doubt.” 6 R. C. L. 710. For similar expressions of the rule last stated, see Corns v. Clouser (1894), 137 Ind. 201, 204, 36 N. E. 848; State v. Johnson, Admr. (1875), 52 Ind. 197, 211; Burley Tobacco Society v. Gillaspy (1912), 51 Ind. App. 583, 591, 100 N. E. 89; Richmond v. Dubuque, etc., R. Co. (1868), 26 Iowa 191; Cole v. Brown-Hurley Co. (1908), 139 Iowa 487, 117 N. W. 746, 18 L. R. A. (N. S.) 1161, 16 Ann. Cas. 846. As was said in the case last cited, at page 490 of the opinion: “No court should hesitate to declare void any agreement or contract to corrupt or improperly influence the official conduct of any public servant, but it is an equally sound principle which leads courts to declare that before applying such remedy, [*545] and permitting one who has received a valuable consideration for a promise fair upon its face to escape its performance by pleading the invalidity of his own agreement, such fatal defect therein must be so clear as to be free from doubt. * * * So long as the corrupting or impolitic character of the agreement is not so clear as to be readily apparent to the intelligent and impartial mind, the just principles of law, which hold every man to a fair and full performance of his contract, ought not be made to yield to any doubtful construction of that somewhat variable and altogether undefined thing which we call public policy. . While protecting the interests of the public, the right's and interests of individuals are not to be unnecessarily sacrificed.” It is apparent that under the contract in question payment of the fee therein provided for was not in terms made to depend on the passage of the legislation referred to in instruction No. 12, or any other legislation, but on the successful termination of the will contest, and counsel for appellee assert that this fact is sufficient to take said contract out of the inhibition of the rule relied on by appellant. No authority has been brought to our attention which challenges the position thus taken by counsel and unless this case falls within the spirit of that rule it is certain that to deny their contention will require us to extend its application. Conceding that no reason exists for relaxing the rule ’ already announced (Noble v. Davison, supra), it is no more certain that we are justified in extending the same.
Assuming, 'without deciding, that these authorities may, under some circumstances, support the contention made by appellant, it is apparent that, as applied to the case at bar, they presuppose that instruction No. 29 contains a correct statement of the law. That instruction told the jury that: “After the death of Anderson Hogston, and before March 3rd, 1911, there was no law under which a suit could be maintained in the courts of Indiana to contest any will in which the state of Indiana, or any departments of the state government, were beneficiaries under and by the provisions of such will, because in such contest all the beneficiaries named therein must be made defendants in the action and sued therein, and the state of Indiana cannot be sued in its own courts, without its consent first being obtained so to do.”
Attack is also made on instruction No. 26 given by the court at the request of appellee and which reads as follows: “The contract sued on is legal upon its face and it cannot be held to be illegal unless you find by a preponderance of the evidence that both parties to it intended at the time it was entered into that the same should contain other stipulations and agreements that would . make it illegal. The illegal intent'that would defeat this contract must be the common intent of both parties, and if either the plaintiff .or defendant had a lawful and legitimate purpose in making the contract or if either supposed the other, to have a legitimate purpose and has contracted with him upon that supposition, his right to recover upon the contract after performing all of its requirements, must be clear.”
[*554]
[*555]
Some questions are raised as to other instructions given and refused, and objection is made to certain rulings of the trial court relative to the admission of evidence. Most of these questions are disposed of through our conclusions above reached. and an examination of the others does not show them to be of controlling importance.
June 6, 1916. Remittitur having been filed as required, the judgment is affirmed as of the date of the opinion. Cox, C. J.
Dissent
Dissenting Opinion.
— I agree with the majority opinion in the conclusion that the act of 1911, supra, did not affect appellant’s right to contest his brother’s will, except as to the venue of the action. Assuming, without deciding, that the state board of charities, is either authorized to accept a devise or execute a charitable trust, it does not follow that the will contest in question constituted an action against the State in its sovereign capacity. Tindal v. Wesley (1897), 167 U. S. 204, 17 Sup. Ct. 770, 42 L. Ed. 137. But, were it such a suit, then it must be conceded that the State of Indiana has authorized such action against itself, for the statute (§3154 Burns-1908, supra) expressly requires all beneficiaries to be made parties to such contest. The right to make a will is not conferred upon persons of unsound mind. §3112 Burns 1914, §2556 R. S. 1881. The complaint in the contest alleged the invalidity of [*558] the will because the testator was of unsound mind. In such event the purported will did not affect the right of the heir to take by descent. Crawfordsville Trust Co. v. Ramsey (1912), 178 Ind. 258, 271, 98 N. E. 177; Tindal v. Wesley, supra. If the state is a beneficiary under an invalid will it may be made a party in the contest thereof, within the three-year limit for such actions, regardless of whether it has taken possession of the thing purported to be devised or bequeathed to it.
I can not concur, however, in the decision of the majority that no reversible error was committed in the exclusion of evidence offered by appellant. Illegality of consideration was not the only defense relied on. The third paragraph of answer alleges that the execution of the contract by appellant was procured by means of a fraudulent conspiracy between appellee and appellant’s previously employed attorneys at Marion, William J. Houck and Roscoe A. Hevelin. The fourth paragraph of answer alleges, among other things, that appellee secured the execution of the contract by appellant through alleged fraudulent acts of said Houck and Hevelin, while they were acting as, agents for appellee.
The contract was signed by appellant in the evening, on February 16,1911. Appellant was living in Grant county, while appellee resided in Indianapolis. They were strangers to each other, and had theretofore had no correspondence. As attorneys for appellant, Houck and Hevelin had commenced a suit in Grant county to contest the will, but the trial court had overruled their demurrer to a plea in abatement. Appellee testified that Mr. Houck came to Indianapolis and informed him about the status of the contest suit, and also that a bill had been introduced in the lower house of the general [*559] assembly (then in session) to authorize the State to be sued in will contests, but that the passage of the bill was doubtful because of opposition in the senate. Appellee further testified that Houck stated to him that appellant desired to employ him to assist in the will contest. Appellee replied that he would consider the matter, and, if he decided to accept employment, he would forward to Houck a written proposition stating terms. Two or three days later appellee prepared the contract sued on, which contained a blank for acknowledgment before a notary, and forwarded it to Houck by mail. The proposition forwarded was in the possession of Houck and Hevelin for about a week prior to February 16, 1911, when appellant signed it in Hevelin’s office. It was acknowledged before a notary in another office on the “opposite side of the square.”
The trial court refused appellant’s offer to prove by himself, that he néver gave "Mr. Houck any authority to negotiate with appellee for the latter’s employment. It also refused appellant the privilege of testifying that when he signed the contract in Hevelin’s office the latter said to him: “You must not acknowledge it before the notary in my office for the reason that I don’t know what trouble may come from this contract, and you must take it out and acknowledge it before some other notary and then return the contract to me.” The trial court also excluded the offered evidence of appellant that on the day the contract was signed by him, and before he signed it, attorney Houck said: “You must sign the contract today, and it must be in Indianapolis to-morrow morning by 9 o’clock, or the bill is killed, or will be killed.” A son of appellant testified that he heard a conversation between his father and appellee, in the summer of 1913, [*560] when appellee demanded payment of the $20,000 provided for in the contract; that on that occasion appellee said that Houck had employed him to put the bill through the legislature, and that he did not think that it would have passed without his help. Appellee denied having made such statement. It is conceded that appellee performed services in relation to the legislative measure. Whether these services were gratuitous and collateral ' to the employment was the main question on the issue of illegal consideration.
I am of the opinion that Hevelin’s statement about the notary, when the contract was signed, was admissible as a part of the res gestae. I fail to see why, under the issues, appellant should not have been permitted to testify that he never authorized Houck to negotiate with appellee regarding the latter’s employment. An attorney employed to prosecute an action is not thereby authorized to employ other counsel for the client. I am further of the opinion that what was said by Houck to induce appellant to sign the proposed contract was admissible. For the purpose of procuring appellant’s signature, it must be conceded that Houck was appellee’s agent. The written proposition was sent to Houck for appellant’s signature and, when signed, was delivered to appellee by Houck or Hevelin. I think the exclusion constituted reversible error. Heller v. Crawford (1871), 37 Ind. 279; 10 R. C. L. 173. The fact that the written contract on its face makes no reference to legislative services does not preclude parol evidence that such services were contemplated in the employment. On the evidence admitted the jury found for appellee. Whether the finding would have been the same, had the excluded evidence been admitted, it is impos [*561] sible to say, and I think a new trial should be awarded because of such exclusion.
Note. — Reported in 112 N. E. 883. Validity of contracts for contingent compensation in procuring legislation, 6 Ann. Cas. 218; Ann. Cas. 1916E 948; 30 L. R. A. 737; 4 L. R. A. (N. S.) 213; 9 Cye 486, 488. See under (5) 36 Cye 918; 108 Am. St. 831; (8) 40 Cyc 1240; (14) 9 Cye 483; (15) 9 Cyc 570.