Beecher v. Wilson, Burns & Co.

6 S.E. 209, 84 Va. 813, 1888 Va. LEXIS 149
CourtSupreme Court of Virginia
DecidedApril 26, 1888
StatusPublished
Cited by29 cases

This text of 6 S.E. 209 (Beecher v. Wilson, Burns & Co.) is published on Counsel Stack Legal Research, covering Supreme Court of Virginia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Beecher v. Wilson, Burns & Co., 6 S.E. 209, 84 Va. 813, 1888 Va. LEXIS 149 (Va. 1888).

Opinion

Fauntleroy, J.,

delivered the opinion of the court.

On the 21st day of April, 1885, 0. Beecher was the owner of a valuable farm in King William county, Virginia, called “ Riverside,” containing three hundred and ninety-eight acres, which was conveyed to him April 17th, 1879, for the purchase-price of $6,870; which farm was well stocked, and upon which the said Beecher erected a valuable dwelling and other improvements. At that time the said 0. Beecher was heavily indebted; and on the said 21st day of April, 1885, he conveyed three hundred and fifty acres of the said farm, and all his personal property thereon, including the stock and crops, to his son, 0. Beecher, Jr., as trustee, for the separate use of his wife, Angelina Beecher.

On the 4th day of January, 1886, the bill in this cause was filed, charging that the said deed of settlement was without valuable consideration, fraudulent and void and made with intent to hinder, delay, and defraud creditors, and praying that the said deed be vacated and set aside, and the land settled thereby be sold, and the proceeds applied to the payment of complainants’ debts.

The defendants, 0. Beecher and Angelina Beecher, his wife, and 0. Beecher, Jr., trustee, answered the bill, and denied the allegation of fraud, and averred that the deed was made for a valuable consideration and with bona fide intent, in considera[815]*815tion of the money of the wife, Angelina. Beecher, having been, at various times and ways, set forth in the answer, received, appropriated, and applied by the said 0. Beecher to the payment of the purchase-money for the “Riverside” farm, to the aggregate amount of $5,900, upon a cotemporaneous agreement that she should be properly secured therefor. Depositions were taken; and, at the hearing of the cause, the court held the deed of settlement to be without valuable consideration and made with intent to hinder, delay, and defraud creditors, and therefore fraudulent and void; and from the decree to this effect this appeal is taken.

The deed of settlement of April 21st, 1885, which is attacked by creditors whose debts or claims, against the husband and settler, antedated the deed and are admittedly just, is, in date, in form, in fact, and in every characteristic feature, a post-nuptial settlement; a conveyance by a husband—heavily indebted—of all his property, for the benefit of his wife, which expresses on its face “free of all debts made by himself”; and the value of the property conveyed, is far in excess of w'hat is alleged, but not proven, to be due to the wife. Under the repeated early and late decisions of this court, the settlement is, prima facie, fraudulent and void as to existing creditors, and presumed to be voluntary, unless those claiming under it can show that it was made for a valuable consideration, in good faith, and upon a contract or agreement coeval, or so nearly coeval, with the appropriation and the settlement as to support the presumption of fair dealing, and to repel the presumption of law, that the settlement is a mere resort or contrivance for putting the property of the husband beyond the reach of his creditors. Blow v. Maynard, 2 Leigh, 30; Fink, Brother & Co. v. Denny, 75 Va., 663; Hatcher v. Crews, 78 Va., 463; Perry v. Ruby, 81 Va., 317 and 321; and Robbins v. Armstrong, Cator & Co., ante, p. 810.

The record shows that Beecher purchased the “Riverside” farm by deed April 17th, 1879, which makes no allusion to, or [816]*816recognition of, the wife, or of her having any claim or separate estate; that he took the title in his own name; that he used it as his own exclusive and absolute property; that,, he sold and conveyed parts of it; aud twice conveyed the whole of it by deeds of trust to secure his debts contracted upon the faith of it; and that he took the releases to himself; that he held it and used it, and obtained credit upon it as his own for over six years, without ever a suggestion of his wife’s interest, until, by deed April 21, 1885, (when he had become heavily indebted) he settles it and all his other property upon his wife, to the exclusion of his creditors—upon the recital in the said deed of settlement (the first intimation)— that he had received and appropriated money belonging to his ■wife at various times previously—part in 1875 and part in 1883, and the other parts at different times. Some of which went to the support of the family, some into his partnership business, and some was used to make the last payments of the purchase-money for the “Riverside” farm, and for improvements put thereon; but there is no adequate proof, if, indeed, there be any whatever, of a contract to repay these moneys. • ISTo such contract appears anywhere in the deeds touching this land between the parties; and the only suggestion in the evidence of any such contract, or any contract at all, is in the deposition of the trustee, 0. Beecher, Jr., “that there was no understanding at the time they were made directly to her, but it was always agreed that the property should be hers; this was the understanding at the time of the purchase, though nothing ioas said about it”

Proof of such a contract must be distinct, full and conclusive, to support the settlement; and there is not even a claim or assertion anywhere in the record, that the alleged contract or agreement was in writing. The witness, 0. Beecher, Jr., trustee, is seriously impugned, by evidence in the record, for want of veracity; but taking his incomprehensible statement, above quoted, for true, it not only falls far short of proving a [817]*817specific agreement, at the time, that the Riverside farm purchased, should be the property of the wife; but it cannot be construed into a binding contract, as testified to by this witness, in regard to land, without an utter disregard of the policy and the letter of the statute of frauds. (Blow v. Maynard, 2 Leigh.) By the evidence of appellant’s own witnesses, and their own pleadings, Mrs. Beecher pemiitted her money to go into the hands of her husband, 0. Beecher, and be used in his business, and be mixed with his property, and to be applied to the purchase of land in his own name, and to be held and used to give him credit and advantage in his business, for a series of years; and, by so doing, it became his own property and liable for his debts. (Kesner v. Trigg, 8 Otto, 50; Humes v. Scruggs, 94 U. S., 27.) Having constantly consented that he should hold himself out to the world as the absolute owner of this property, and to contract debts on the credit of it, up to the very hour of his insolvency, it would be against the plainest principles of justice and good conscience, and utterly subversive of fair dealing, to permit the wife to step in, at the last moment and after many years, with an unsupported and mere assertion of ownership of the property which she had permitted him to hold and proclaim as his absolute own, all the time, and obtain and enjoy credit and business standing thereby, and thus to defraud the just debts due to his honest creditors. When the trust does not arise upon the face of the deed, but is raised upon the subsequent payments of purchase-money to override the deed, the proof must be very clear, and mere parol eviden ce ought to be received with great caution. (Bank of the United States v. Carrington, 7 Leigh, 581.)

And if every word as testified to by the witnesses for appellants, be true, as to the sums of money belonging to Mrs.

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6 S.E. 209, 84 Va. 813, 1888 Va. LEXIS 149, Counsel Stack Legal Research, https://law.counselstack.com/opinion/beecher-v-wilson-burns-co-va-1888.