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Keywords

plaintiffdefendantstatuteappealtrialverdictmotionsummary judgmenttrustcitizenshipstatute of limitationsmotion for summary judgment
defendantstatuteappealstatute of limitationscivil procedure

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Ragan v. Merchants Transfer & Warehouse Co., 337 U.S. 530, 69 S.Ct. 1233, 93 L.Ed. 1520

Facts

The case arose from a highway accident that occurred on October 1, 1943. Julius Ranny Ragan filed a complaint against Merchants Transfer & Warehouse Company, Inc. on September 4, 1945, in the District Court for Kansas, which was based on diversity of citizenship. The defendant moved for summary judgment, claiming that the statute of limitations had expired because service of the summons was not completed until December 28, 1945, which was after the two-year statute of limitations had run according to Kansas law. The District Court denied the motion, leading to a trial where a verdict was rendered for the plaintiff, but the Court of Appeals later reversed this decision.

Petitioner instituted it there on September 4, 1945, by filing the complaint with the court—the procedure specified by the Federal Rules of Civil Procedure, 28 U.S.C.A.

Issue

Did the filing of the complaint toll the statute of limitations under Kansas law, or was the statute not tolled until service of the summons was completed?

Did the filing of the complaint toll the statute of limitations under Kansas law, or was the statute not tolled until service of the summons was completed?

Rule

Under Kansas law, the statute of limitations is not tolled until service of the summons is completed, as established by Kan.Gen.Stats.1935, s 60-308.

Kan.Gen.Stats.1935, s 60-308 provides, ‘An action shall be deemed commenced within the meaning of this article, as to each defendant, at the date of the summons which is served on him…’

Analysis

The Court of Appeals applied the principle from Guaranty Trust Co. v. York, which states that if a claim would be barred in state court due to the statute of limitations, it should also be barred in federal court. The court found that since the plaintiff's claim would be barred in Kansas because the summons was not served within the statutory period, the same result must follow in federal court. The court emphasized that local law governs the cause of action and its limitations, and thus the federal court must adhere to the same standards as the state court.

The Court of Appeals ruled, after a review of Kansas authorities, that the requirement of service of summons within the statutory period was an integral part of that state's statute of limitations.

Conclusion

The Court of Appeals reversed the District Court's decision, ruling that the defendant's motion for summary judgment should have been granted, thereby barring the plaintiff's claim due to the expiration of the statute of limitations.

Affirmed.

Who won?

Merchants Transfer & Warehouse Company, Inc. prevailed in the case because the Court of Appeals determined that the statute of limitations had expired, which barred the plaintiff's claim.

The Court of Appeals reversed. It ruled, after a review of Kansas authorities, that the requirement of service of summons within the statutory period was an integral part of that state's statute of limitations.

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