Farmers' Bank v. Worthington

46 S.W. 745, 145 Mo. 91, 1898 Mo. LEXIS 71
CourtSupreme Court of Missouri
DecidedJune 22, 1898
StatusPublished
Cited by12 cases

This text of 46 S.W. 745 (Farmers' Bank v. Worthington) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Farmers' Bank v. Worthington, 46 S.W. 745, 145 Mo. 91, 1898 Mo. LEXIS 71 (Mo. 1898).

Opinion

Marshall, J.

This is á proceeding in equity to declare void certain conveyances of real estate in Lafayette county, from Joab Worthington to Joseph L. Youngs, and to subject the same to the payment of the plaintiff’s judgment.

The facts essential to the determination of the case are these: Prior to April, 1893, Joab Worthington owned one hundred and fifty-seven and four-fifths acres of land, worth $40 an aere. Lie was reputed and believed to be solvent and his credit was good. On the eighteenth day of April, 1893, he indorsed a note for $1,550, made by his son-in-law Brown to the plaintiff, payable sis months after date. On the twenty-seventh of April, 1893, he indorsed a similar note for $500, payable at five months after, date, and on the twenty-eighth of June he indorsed another like note for $500, [95]*95payable at six months. Brown was worth but little and his credit was not good.

On the fifteenth of November, 1893, Worthington conveyed fifty-seven and four-fifths acres of land to his attorney John Welborn, who at the same time conveyed it to Eliza J. Worthington, Joab’s wife. There was no consideration 'for this transfer and its purpose is admitted to have been to vest the title in Mrs. Worthington.

On the seventeenth of November, 1893, Joab Worthington went to the bank and informed its officers that Brown was not able to pay his note, and proposed to deed to the bank sixty acres of his land in discharge of his and Brown’s indebtedness of $2,550 to the bank. Two of the directors of the bank went to see the land that day to decide as to whether the bank would accept the proposition. When they reached the place Worthington withdrew his proposition, but proposed to let the bank have the sixty acres for $2,800, and to apply $2,550 in discharge of the debt and pay him the difference. The directors arranged to meet him the next day to determine the proposition. Worthington did not keep the engagement; so the bank, brought suit that day on the two notes first described, had the summons served on Brown at once, and on Worthington about 10 o’clock that night.

On the seventeenth or eighteenth of November, 1893, Youngs and Worthington met at Aullville and rode home together. Youngs had been trying for several years to buy Worthington’s land, but was willing to give only $40 an acre, while Worthington demanded $50. Worthington owed Youngs about $1,500, and while riding homeward Youngs told Worthington he had heard that he (Worthington) had deeded a part of his land to his wife, and that he (Youngs) wanted a deed of trust to secure his debt. Worthing[96]*96ton refused to give the security but proposed to sell him the whole farm for $40 an acre, and asked him' (Youngs) to go to Lexington the next day and complete the transaction. Youngs declined to go until the following Monday. On that day the parties met at Welborn’s office, and after he had examined the title he drew two deeds, one for fifty-seven and four-fifths acres, and the other for one hundred and fifty-seven and four-fifths acres, the consideration expressed being $6,280 in each. Youngs surrendered to Worthington his three notes, aggregating $1,500, paid him $2,500 in cash, and gave him two notes, one for $1,200 at thirty days, and one for $1,080 at sixty days.

On the twenty-seventh of December, 1893, plaintiff obtained against Brown and Worthington, a judgment on the two notes previously sued on, and on the twenty-seventh of January, 1894, instituted suit against Worthington and wife, Welborn and Youngs to set aside the conveyances and subject the land to the payment of its debt. On the fourth of April, plaintiff obtained judgment on the third note described. The equity case was tried in July, 1894, and it appeared that the three notes amounting to $1,500 Youngs held against Worthington were for borrowed money; that the $2,500 cash paid, was made up of $1,600 Youngs had on hand in his home, cash accumulated from the sale of cattle since the July previous, and $900 he borrowed from his son Elmer, who was also a farmer and stock dealer; that the notes for $1,200 at thirty days and $1,080 at sixty days were paid at or before maturity, before the institution of that suit, and before Youngs knew that Worthington was indebted to the bank. Upon this showing the plaintiff took a voluntary nonsuit, but immediately instituted this suit, having a like purpose. Joab Worthington and wife, in the meantime, had removed from this State and before [97]*97service was had, Joab died and his heirs were made parties to this suit. The answer of Youngs admits the purchase, denies the allegations of fraud .and sets up that he purchased the property in good faith and for a valuable consideration. Welborn admits the conveyance from Joab "Worthington to him, and by him to Eliza Worthington, was without consideration and for the purpose of vesting the title in Eliza J. Worthington. The other defendants made default. Upon the trial, in addition to the facts above stated, the plaintiff showed by the testimony of the shipping master of the Kansas City Stock yards, and by that of the bookkeepers of two firms of stock dealers in that city, that between October 1, 1893, and April 1,1894, Joseph L. Youngs’ and Elmer E. Youngs’ stock dealings in Kansas City, were as follows: Elmer Youngs, October 20, 1893, one car load seventy-two hogs, $822.27 of which he drew $10 cash, and balance was sent to American Bank, in Higginsville; December 14,1894, one car sixteen cattle for Elmer and two cars thirty-eight cattle for Joseph, $1,807.93, of which Elmer drew $25 and the balance was sent to American Bank, at Higgins-ville; January 29, 1894, seventy-three hogs, $847, of which Elmer drew $25, and balance was remitted to the same bank; February 1, 1894, eighteen cattle and three hogs, $601.68, of which Elmer drew $10, and the balance was remitted to the same bank; March 13, 1894, fifty-nine hogs, account Joseph, $596.05, remitted to same bank; that the books of the bank showed that all of these amounts except the last, were credited to Elmer. The evidence further showed that the cattle of Joseph and Elmer were sometimes billed in one name and sometimes in another. The returns for taxation made by Joseph for the years 1891,1892 and 1893, showed no solvent unsecured notes and no money on [98]*98hand or on deposit. The return for 1893, showed he owned seventeen hogs and thirty-six cattle. The evidence further showed that in 1889 Joseph gave a deed of trust on other land to secure the payment of $2,500 purchase money therefor and paid the same April 28, and June 9, 1894, and that on June 19, 1894, he borrowed of Judge Richard Field $1,500, payable at two years, and secured it by deed of trust, and that in September, 1893, he borrowed $1,500 from A. "Wade, secured it by deed of trust, and paid it seven or eight months later. It further appeared that on March 8, 1890, Elmer borrowed $2,484.30 from his father, Joseph, at two years, and secured it with his land, which he afterward paid. Joseph explained his having $1,600 in cash in his house, by saying that he had been trying and expecting to buy the Anson farm, in his neighborhood, which would cost $2,400 in cash, and he had been saving money for that purpose.

Appellant showed that the name of the grantee and the consideration in both the deeds from the Worthingtons to Youngs were written in different ink from the remainder of these instruments, and contends that they were materially altered after delivery.

The circuit court dismissed the bill and plaintiff appealed.

I. Upon this showing the fraud of Joab Worthington is boldly apparent.

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Bluebook (online)
46 S.W. 745, 145 Mo. 91, 1898 Mo. LEXIS 71, Counsel Stack Legal Research, https://law.counselstack.com/opinion/farmers-bank-v-worthington-mo-1898.