Bierbower v. Polk

17 Neb. 268
CourtNebraska Supreme Court
DecidedJanuary 15, 1885
StatusPublished
Cited by6 cases

This text of 17 Neb. 268 (Bierbower v. Polk) is published on Counsel Stack Legal Research, covering Nebraska Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Bierbower v. Polk, 17 Neb. 268 (Neb. 1885).

Opinion

Reese, J.

This action was brought in the district court by defendant in error against plaintiff in error for the value of a stock of goods which, it is alleged, was the property of de[270]*270fendant in error (plaintiff below), and which she alleges was converted by plaintiff in error.

Plaintiff in error answered setting up four defenses, which may be summarized as follows: 1st. A general denial. 2d. That at the time of the alleged conversion he was the United States marshal for the district of Nebraska, and that the goods in question were seized by him by virtue of a certain order of attachment issued out of the circuit court of the United States for the district of Nebraska against one C. W. Chambers, who was the owner thereof, and that they were afterwards sold by him under an order of sale duly issued out of said court. That the title of defendant in error to said goods is by virtue of a pretended chattel mortgage made by said Chambers to defendant in error on the 19th day of February, 1883. That prior to the 1st day of September, 1882, defendant in error and said Chambers were doing business in Lincoln as partners, under the firm name of C. W. Chambers and Co., and that Chambers was the managing partner in said firm. That at that time said firm or partnership was dissolved, and Chambers continued in the business, giving to defendant in error his promissory notes for a large amount and running for a long time, with the secret and fraudulent understanding and agreement that in case he should become embarrassed, financially, he should give her security in preference to others to whom he might become indebted. That said dissolution and agreement were secretly and fraudulently made without the knowledge or consent of the creditors of said firm, and with the understanding that Chambers would buy goods on credit there? m, his credit and standing in financial circles having been made good by his association with defendant in error, who was a near relative of his and of reputed wealth. That on the said 19th day of February, 1883, the said Chambers having become insolvent, and being then about to fail in business, without the knowledge -or consent of defendant in error, executed to her the chat[271]*271tel mortgage in question to secure the notes remaining unpaid, amounting to the sum of $4,283.18, and caused the same to be filed in the office of the county clerk of Lancaster county, and at the same time and as a part of the same transaction he secretly and fraudulently executed to one C. T. Boggs a pretended general assignment of all his property for the benefit of his creditors. That said mortgage and the said assignment were in law one and the same instrument, both made in pursuance of the same purpose and design—that of hindering and defrauding the creditors of said Chambers. That Boggs,, under the advice and counsel of said Chambers and his attorneys, and for the purpose of carrying out the fraudulent design and purpose of Chambers, pretended to accept the trust imposed by said assign■ment, took possession of said store, closed the doors, placed a placard in the window to the effect that he held possession under the assignment, and so continued to hold possession until near the close of the thirty days in which he was allowed by law to file the assignment with the clerk, execute the necessary bond, and file his inventory, but that instead of so doing, and in pursuance of the general plan, he secretly yielded the possession of the store to the defendant in error, who then took possession claiming to hold under her mortgage, and refused to file the assignment or qualify as assignee, and that nothing further was done under the pretended assignment. That the pretended assignment and the pretended chattel mortgage were but part of one and the same transaction, and were made for the sole purpose of hindering, delaying, and defrauding the creditors of Chambers. That the assignment and mortgage were both fraudulent and absolutely void, and that the pretended possession of defendant in error of said goods was only the possession of Chambers under the fraudulent design set forth in the answer. 3d. That in ease said mortgage should be held to be valid, the defendant in error should be required to account for certain goods of the value [272]*272of $1,500, seized and appropriated by her out of said stock of goods, and for the sum of $1,500 in money of said Chambers collected by her, and that said sum of $3,000 should be credited on said notes and go to discharge and reduce the lien of the mortgage if any there be. 4th. That there were tax liens on said goods at the time of the levy, to the extent of $110, which reduced their value to that extent.

The reply of defendant in error admits the alleged co-partnership, the dissolution thereof in August, 1882, the sale of the interest of defendant in error to Chambers for the amount alleged by plaintiff in error, and the execution of the notes therefor; that at the time of the sale it was agreed that if at any time the interest of defendant in error should require it, Chambers should pay or secure said notés and should in case of the absence of defendant in error employ counsel for her to represent her in taking such security or payment; that from August 26th, 1882, to February 19th, 1883, Chambers conducted the business in his own name as sole proprietor; that Gage & Co. (mentioned in the answer) commenced and prosecuted the attachment proceedings, caused the seizure and sale of the goods as alleged, and that they, at the time of such seizure, were in the possession of defendant in error under the mortgage; that the mortgage was executed on the day alleged by plaintiff in error, and that on the same day, after the execution and delivery thereof, Chambers executed a general assignment for the benefit of creditors, in which Boggs was named as assignee; that the attorneys under whose direction the mortgage was made, as the agents and attorneys of defendant in error, were retained for her by Chambers, pursuant to his previous agreement to do so; that at the time of the execution of the mortgage defendant in error was temporarily absent from the state and that the assignment was never filed for record; that on the day of the execution and delivery of the assignment to Boggs he posted a notice on the store door that the store was closed under the assignment, [273]*273and that before the expiration of thirty days from the date of the assignment defendant in error took possession of the store and goods under her mortgage, and that her sole claim or title to the property is the mortgage and possession thereunder. All other allegations of the answer are denied.

The cause was tried to a jury who returned a verdict in favor of defendant in error for the sum of $3,245.00. The jury also, under the direction of the court, at the request of plaintiff in error, returned a special verdict as follows:

1. “ Was C. W. Chambers insolvent on the 19th day of February, 1883, the date of the mortgage and assignment? ” Answer. “We cannot say.”

2. “ Had Chambers determined on that day, prior to the making of the mortgage in question, to make a general assignment of his property for the benefit of his creditors?” Answer. “No.”

3. “Had Chambers selected his proposed assignee prior to the time of the execution of the mortgage in question?” Answer. “No.”

4. “Was the mortgage and assignment executed at or about the same time by Chambers?” Answer. “Nearly the same time.”

5.

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Cite This Page — Counsel Stack

Bluebook (online)
17 Neb. 268, Counsel Stack Legal Research, https://law.counselstack.com/opinion/bierbower-v-polk-neb-1885.