Dexter v. Smith

7 F. Cas. 621, 2 Mason C.C. 303
U.S. Circuit Court for the District of Rhode Island·Decided June 15, 1821·Published

Opinion

STORY, Circuit Justice.

The principal facts in this case are the same as those in the case of Bean v. Smith [supra], which has been just disposed of: and therefore it is not necessary to discuss them. I shall content myself, therefore, with a short reference to those circumstances in which they differ.

And in the first place, on the point of jurisdiction, Dexter claims as assignee of a judgment in favor of Philip Ammidon. That assignment was made long after the conveyances in September and November, 1809; but if the plaintiff’s title stood on that ground alone, there would be no pretence to sustain the objection; for Ammidon is, and at that time was. a citizen of Massachusetts, and entitled, as such, to sue the present parties in this court with reference to his judgment. So that the case does not fall within the restrictive clause of the 11th section of the judiciary act of 1789, c. 20 [supra]. But in truth the plaintiff was the original holder of [622] the drafts, and Ammidon was liis agent only, and recovered the judgment, as such, as is charged in the bill, and is admitted by the answer of Simon Smith; so that if the plaintiff was ever competent to sue, being remitted to his former right independent of the new assignment.

Another circumstance is, that the present bill proceeds against William Steere, Jr. (to whom his brother Amasa in 1S17, released and conveyed all his interest! to subject the estate conveyed to them by Ahab, Darius, and Thomas Smith, by their deed of the 7th of February, 381.6, to the plaintiff’s debt As to the moiety of that estate conveyed by Ahab, it is sufficient to say, as has been already stated, that as the young Messrs. Steere claim it as a gift, by the very terms of their own life lease to him, they stand in the same predicament, as if the estate were now held by Ahab; and he clearly held by a fraudulent conveyance.

As to the moiety of Darius Smith, for reasons that have already been stated, the conveyance to him by his father must be deemed fraudulent. There are some circumstances, however, in his case fortifying that conclusion, which deserve notice. The father in his answer admits, that Darius paid only $500 of the purchase by an ultimate discharge of so much of the debt due to Zephaniah Andrews, and says, that he owed his son the residue. And several of the witnesses for the respondents assert the same. I cannot, however, consider Thomas Smith or Amasa Steere as witnesses competent in this cause. Both have a direct interest, the former as a co-grantor to Amasa and William Steere, Jr. and the latter as a grantor to his brother William of the land now in controversy. See Roberts v. Anderson, 3 Johns. Ch. 371, 375. It appears, however, that Simon Smith had purchased a farm for his son Darius, in January, 1707, for $3.000, and that the deed was taken in the son's name, though the consideration was paid by the father. The gift, too, of the Lewis and Tinkham farm by the father to Darius in March, 1808, has been already adverted to in the other cause. These liberal advances to his son, considering too the attempts now made to show the father's deep embarrassment by debts, do not increase the confidence, one might be disposed otherwise to indulge towards the mass of family testimony brought into this cause, to establish debts due to the children. We should be almost driven to the conclusion, if we could believe such testimony, that there Avas as much profusion and extravagance, as there was want of good faith, in the conduct of the father.

The only remaining consideration is, whether the Messrs. Steere, or William, the present holder, are purchasers for a valuable consideration without notice of the fraud from Darius Smith. They were clearly con-usant of the deed of conveyance to Darius and Ahab, under which they derive title, for it is referred to in the deed to them. Considering the immediate family connexion between the parties, and the age of the grand-children, it seems almost incredible, that they should not have had an intimate knowledge of all the transactions accompanying the conveyances in September and November, 1809. I observe, too, that Amasa Steere in his deposition, which if competent for any purpose, is competent for this, states, that he lived with his grandfather Simon Smith, at the time of these conveyances, and professes a thorough intimacy with the execution of the deed to Darius and Ahab, and the consideration, on which it was founded. Can any one believe, that his co-grantee was ignorant of the same facts? There is not the slightest reason to presume it; and I am not justified in allowing them the benefit of a title, which is set up under circumstances so pregnant with suspicion, and so strongly imbued with the coloring of a family compact. I shah, therefore, make the same decree in this case as in that of Bean v. Smith, adding, that Messrs. Amasa and William Steere, Jr. are not purchasers for a valuable consideration without notice, and therefore are liable to the same equities, as if the property were now in the hands of the heirs of Darius. I think, however, that they ought not to be held liable, so far as respects the lands claimed from Darius and his son Thomas, until all other funds have been exhausted.

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Dexter v. Smith, 7 F. Cas. 621, 2 Mason C.C. 303 (circtdri 1821).

7 F. Cas. 621 (Dexter v. Smith) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

Related

Roberts & Boyd v. Anderson
3 Johns. Ch. 371 (New York Court of Chancery, 1818)