Bacon v. Rives - 106 U.S. 99 (1882)
U.S. Supreme Court
Bacon v. Rives, 106 U.S. 99 (1882)
Bacon v. Rives
Decided October 23, 1882
106 U.S. 99
1. Where the complainants are citizens of the state in a court whereof the suit was brought, and the defendant, who is the real party to the controversy, and against whom relief is sought, is a citizen of another state, his right to remove the suit to the circuit court of the United States cannot be defeated upon the ground that the citizenship of another defendant who is a stranger to that controversy, and who occupies substantially the position of a mere garnishee, is the same as that of the complainants.
2. A suit upon a contract made and to be performed in another state or country by a person who then resided there cannot be maintained in Virginia after the right of action thereon is barred by the laws of such state or country.
3. In the latter part of the year 1863, at the instance of A., then a resident of Texas, B., a resident of Virginia, forwarded to him money in trust to invest pursuant to specific instructions. A. in 1865, reported that he had invested the fund in the transportation of cotton, but did not state what profits had accrued therefrom. No further report was made by him. In 1876, B., on discovering where A. was, filed a bill against him to compel a discovery and an accounting, which, upon demurrer, was dismissed upon the ground that the suit was barred by the statute of limitations of both states. Held that in view of the case made by the bill and of the subsisting trust, the existence of which is admitted by the demurrer, B. is entitled to a discovery of the disposition made of the money, and that the limitation does not commence running until the trust is closed or until A. with the knowledge of B., disavowed the trust or held adversely to his claim.
The case is stated in the opinion of the Court.