Edgerly v. Gregory

17 Neb. 348
Nebraska Supreme Court·Decided January 15, 1885·Published

Opinion

Reese, J.

This action was brought for the purpose of subjecting certain real estate to the payment of the debts of John S» Gregory. The judgment, to the satisfaction of which the property is sought to be subjected, was rendered on the 4th day of October, 1871, by the district court of Lancaster county in favor of plaintiff in an action then pending wherein Asa S. Edgerly (this plaintiff) was plaintiff, and James H. McMurtry, John 8. Gregory^ and John M. Young were defendants. Executions having been returned-unsatisfied, a levy was made upon the property in question, which is held in the name of defendant, E. Mary Gregory, the wife of John 8. Gregory, which levy was followed by the commencement of this action. The cause was by the district court referred to N. S. Harwood, Esq., of the Lancaster county bar, for the purpose of hearing the testimony and reporting his findings of fact and conclusions of law. The findings of fact and conclusions of law are as follows:

FINDINGS OF FACT.

“1. That said defendants, John S. and E. Mary Gregory, were married in Ohio in the year 1857.

[350] “2. That in the years 1868 and 1869 the defendant, E. Mary Gregory, inherited from her deceased father’s estate, in Michigan, the sum of nine thousand dollars, which sum, at the time aforesaid, in the'state of Michigan, the defendant, E. Mary Gregory, paid over to her said husband, John S. Gregory, with the understanding that the said sum should be invested in real estate in Nebraska in her name.

“3. That John S. Gregory and his wife, at the time of receiving said money in. Michigan, were citizens and residents of Nebraska, but whether said sum of money or any part thereof was, at the time above mentioned, brought to Nebraska and invested by said John S. Gregory, or whether it was invested in the state of Michigan or elsewhere, or used in his own private business, does not appear from the testimony.

“4. That between the 19th day of September, 1873, and the 10th day of October, 1876, real estate was purchased in Nebraska in the name of E. Mary Gregory, by or through the instrumentality of said JohiTfi>. Gregory, aggregating in value nine thousand dollars and Upwards, some portion of which she still holds, but what portion or what particular tracts or tract does not appear from- the testimony. For a complete list of real estate so purchased and the value thereof, reference is here made to the stipulation of the parties hereto subjoined and included in said testimony.

5. That the judgment on which this creditor’s bill is based (Asa S. Edgerly vs. J. H. McMurtry, John M. Young, and John S. Gregory) was rendered in the district court of Lancaster county, Nebraska, on the 4th day of October, 1876, for the sum of six hundred and five dollars and seventy-nine cents, and costs.

6. That all the real estate above mentioned was purchased and the title thereto taken in the name of the defendant, E. Mary Gregory, prior to the rendition of the plaintiff’s judgment, except the n. J of the n. e. \ of the [351] n. e. J of the n. w. J of section thirty-four, town ten, range six east, which tract does not now appear to be in the name of E. Mary Gregory.

7. That the defendant, John S. Gregory, is and has been for the past fifteen years insolvent.

8. That prior to the filing of the petition in this case the plaintiff caused execution to be issued out of the district court in the case of Edgerly vsl McMurtry et al., and a levy made on all of the lands, the title to which had at some time between September 19, 1878, and the date of said levy, been in E. Mary Gregory. But the evidence shows and it is conceded that all of the property so levied on was conveyed to the defendant, E. Mary Gregory, before the rendition of said plaintiff’s judgment.”

CONCLUSIONS ON LAW.

1. “I find as conclusions of law, that the nine thousand dollars so as aforesaid received by the defendant, John S. Gregory, from his said wife’s estate was received in trust for a special purpose and did not become his own property.

2-; That the said money having been. placed in real estate in the name of the defendant, E. Mary Gregory, according to the terms of the said trust, before any equities arose in behalf of this plaintiff, he is not in a position to complain.

3. “ That the plaintiff has no cause of action against the defendant, E. Mary Gregory, and that his petition as to her should be dismissed with costs.”

Exceptions were taken and a motion was filed by plaintiff to set aside the report of the referee. All of which were overruled, the report of the referee confirmed, and the action dismissed. Plaintiff appeals to this court.

It is not claimed, nor do we think it could be successfully, that the findings of fact as reported by the referee are not sustained by the evidence submitted to him. "We have examined the record and are satisfied that the report [352] of the referee is correct. Aside from certain records and a stipulation agreeing to the values of certain real estate, the evidence was confined to extracts from a deposition of E* Mary Gregory, taken in another cause, which were read by plaintiff, and the oral testimony of John S. Gregory on behalf of the defense. The deposition tended to show that Mrs. Gregory was not familiar with the business as transacted by her husband, and particularly so as to the description and numbers of the real estate purchased and sold by him in her name. The testimony of Gregory showed that in the years 1868 and 1869 Mrs. Gregory received the sum of $9,000 from the estate of her deceased father in Michigan, and that at her request he had' invested it in real estate in and near Lincoln.

Taking, then, the report of the referee upon questions of fact as correct, the remaining question presented is, does the findings of fact sustain the conclusions of law as reported by him ?

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Edgerly v. Gregory, 17 Neb. 348 (Neb. 1885).

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