v.
Walter M. Gorham
Appellant bas assigned errors based upon tbe order of tbe court overruling bis motion for new trial, etc. It is contended, in tbe first instance, that tbe court was
II. A further, assignment of error is based upon tbe contention that tbe trial court was misled by statements made by defendants’ counsel, and that, but for such statements, tbe
III. Counsel for appellant insists that when the case was reached for trial, and there being no appearance on his behalf, the action should have been dismissed. Code, section
It is clear that the trial court proceeded upon the theory that the pleading filed by defendants in this case was in fact, [*677] as well as in name, á cross-bill. We are unable to agree that such effect should be given to the pleading. In brief, the case' stated by plaintiff is that defendants hold the stocks, bonds, and taxes in trust; the obligation being to pay therefrom, or from the proceeds, the costs and expenses of construction, etc., and to account to plaintiff for a share of the balance, if any remain. . All this the defendants admit. But they say that plaintiff agreed that there might be deducted from his share, if any surplus there should be, the amount of the taxes paid to Hittig; and they ask that this be done. They also say that they were compelled to pay out more money for right of way, etc., than they had been led to expect, and this they say should be deducted from the fund in .their hands before any division of surplus is made. They also say that they have paid the interest on the bonds held by Birmingham and by plaintiff^ and they ask that the sum so paid shall be credited to them on settlement. Such is the sum and substance of the affirmative matters pleaded. That all such are purely defensive in character, intended to reduce the amount of plaintiff’s recovery, or defeat a recov' ery in toto, seems too plain for argument. There is not a suggestion, even, that plaintiff is obligated or indebted to defendants in any such way as to entitle them to a money judgment against him. Indeed, we think our view corresponds with that taken by the pleader, inasmuch as each paragraph 'of the pleading, other than those making admission of aver-ments of the petition, begins: “Further answering, defendants say,” etc. Moreover, there was no attempt to make proof of any of the affirmative matters referred to on the. trial, and the decree contains no reference thereto. The fact that affirmative relief is asked in the prayer cannot, of course, be considered, where the averments of the pleading do not warrant such relief. Burroughs v. McLain, 37 Iowa, 189. It may be said, however, that the pleading makes admission of the contract between plaintiff and defendants, and that such contract may therefore be considered not only as a.part of the pleading, but that the same was proper to be considered by the court as evidence. And this, we think, may be [*678] accepted as true. But the contract provides that the parties thereto may sell the bonds and stocks at any time they so desire, subject to the limitation that the bonds shall not be sold at less than eighty-five per cent, of their par value. Now, if it shall be said that the fact of the contract appearing, aided alone by the allegation of the defendants’ pleading to the effect they knew of no market in which the bonds can be sold at eighty-five per cent, of par value, or in which the stock can be sold at any price, makes out a case for equitable relief — a position we do not think is tenable — still there is no possible ground upon which the court would be warranted in passing a decree requiring the plaintiff to purchase or find a purchaser for such stock and bonds within thirty days, under penalty of having all his rights. and interest cut off and forever foreclosed. And this is especially true in view of the fact that no proof whatever was offered, bearing upon the market or sale value of the stock and bonds, or that any attempts had been made to agree upon sale thereof, or to find a purchaser therefor. The evidence introduced was to the effect that defendants were still in possession thereof, and there was no attempt to make further proof.
We conclude that the pleading filed by defendants was not a cross-bill entitling them to proceed after default for want of appearance by plaintiff, and that the entire action should have been dismissed at the costs of plaintiff; that the decree entered, not being based upon any sufficient pleading, and having no support in evidence, must be reversed. As the dismissal of plaintiff’s action must be without prejudice, a proper regard for the rights of defendants requires that the determination of this action shall npt be held to conclude them in any future proceeding.
The decree is reversed, and the cause is remanded, with instructions to dismiss the action; the costs of the action in the court below, made up to the time of default, including costs of entering judgment, to be taxed to plaintiff; all other costs there made to be taxed to defendants. The costs in this court will be taxed to appellees. — Reversed and kbmahbed.