Gibson v. Wilkins, Neely & Jones

35 S.E. 316, 110 Ga. 93, 1900 Ga. LEXIS 331
CourtSupreme Court of Georgia
DecidedMarch 1, 1900
StatusPublished
Cited by3 cases

This text of 35 S.E. 316 (Gibson v. Wilkins, Neely & Jones) is published on Counsel Stack Legal Research, covering Supreme Court of Georgia primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Gibson v. Wilkins, Neely & Jones, 35 S.E. 316, 110 Ga. 93, 1900 Ga. LEXIS 331 (Ga. 1900).

Opinion

Lewis., J.

John P. Gibson obtained a judgment in Burke superior court against R. C. Neely, administrator of the estate of W. I. Steiner, for $6,000.00 principal, and $1,296.48 interest to judgment. This judgment was rendered on June 5, 1806, and it appears it was founded upon a suit on a note given by the deceased to the plaintiff, which was secured by deed made by the maker to the payee of the note, conveying a large tract of land in Burke county. The judgment obtained was not only a gener.al one, but a special one upon the land described in this deed. That land was levied upon under a fi. fa. issued upon this judgment, to which the defendants in error, Wilkins, Neely & J ones, interposed a claim. At the October term, 1897, an equitable petition was filed in Burke superior court by John P. Gibson against the claimants, and against R. C. Neely as administrator of the estate of Steiner, and also against one Scudder. In this petition it was substantially alleged that on February 23, 1889, the deceased, W. I. Steiner, executed and delivered her notes aggregating $9,-068.90 to one A. L. Richardson, of New Orleans, La., and for the purpose of securing their payment the maker delivered to Richardson a security Heed under the Code of 1882, §1969 et seq., conveying the land, in question. Subsequently, on November 19, 1890, Steiner delivered to Wilkins, Neely & Jones a mortgage deed covering the same property, as well as other property, to secure an alleged indebtedness of $5,000.00. That mortgage recited that it did not affect any other security already given. On February 11, 1891, Steiner delivered to Wilkins, Neely & Jones a mortgage for the sum of $6,000.00, covering [95]*95considerable personal property. There being default in the payment of the notes given by Steiner to Richardson, the former applied to loan brokers of Waynesboro, Ga., to negotiate and apply for a new loan, in order that she might discharge her indebtedness to Richardson, who was urging a settlement of same. Upon being informed that she could not procure such new loan as long as the' liens that had been given to Wilkins, Neely & Jones remained existing and uncanceled, she applied to them to assist her in perfecting the necessary arrangement to secure the new loan, to which that firm readily consented, being anxious that the debt of Richardson should be settled, in order that Steiner might continue her farming operation, out of which they hoped to realize their debt. They stated they thought all their liens had been canceled, and if not, they promised and agreed, if the brokers would negotiate and secure the new loan for Mrs. Steiner, they would cancel and extinguish all liens of every kind and character on the property covered by the Richardson deed, which was to be offered as security for the new loan. Upon the faith of the agreement thus made, and the positive assurance of Wilkins, Neely & Jones that they held no liens or other papers against such property, and that all that had been given them had been theretofore canceled and marked satisfied, application was made for a loan of $6,000.00, the same being sufficient to pay the Richardson debt, which amount the petitioner, Gibson, ad-Aranced to Mrs. Steiner,and by her the same was paid to Richardson, in extinguishment of his debt, and his deed Avas then marked .satisfied and canceled upon the record. Mrs. Steiner' secured said debt to petitioner by security deed under the Code of 1882, §1969 et seq., which deed was dated October 30, 1893, and duly recorded. After this, Wilkins, Neely & Jones, having full knowledge of this deed to Gibson, in order to secure an alleged indebtedness of Steiner to them of $9,806.90, caused Mrs. Steiner, on May 1, 1891, to execute and deliver to them a mortgage covering the same property as conveyed in theAJibson deed.

Petitioner then recites the judgment obtained in Burke superior court at the December term, 1896, in his favor against R. O. Neely as administrator of W. I. Steiner, deceased, and also the levy of the execution issued thereon, and the claim filed to [96]*96the land by Wilkins, Neely & Jones, which was then pending in Burke superior court. Upon investigating the basis of the claim, petitioner, to his surprise, discovered that the records disclosed no actual cancellation of the paper dated November 19, 1890, from Steiner to Wilkins, Neely & Jones, which he asserts in equity and good conscience has been canceled so far as his rights and the priority of his judgment are concerned. Wilkins, Neely & Jones claimed to be large creditors of Steiner, and after her death applied for letters of administration on her estate through one of the members of the firm, B. C. Neely, who was duly appointed and qualified as administrator on November 5, 1894. Neely as administrator, on June 3, 1895, obtained leave to sell the equity of redemption in the land levied upon, subject to an alleged indebtedness to them of $5,000.00, and to the debt of petitioner of $6,000.00, and on July 2, 1895, sold said equity of redemption at public sale, and the same was knocked off to one Scudder, a son-in-law of said Wilkins, and brother-in-law of both Neely and Jones, for the nominal sum of $5.00. While the premises were bid off in the name of Scudder, it was in pursuance of an arrangement between him and Wilkins, Neely & Jones, in order that this firm might obtain possession of the premises, and reap the benefits of the rents of the place without accounting for the income, thus enabling them, should their mortgage deed be sustained, to compel petitioner to pay the amount of the alleged indebtedness of the deceased to them as it stood at the date of said sale, without giving credit for the actual amounts received by them. Scudder was a mere nominal party to the transaction, Wilkins, Neely & Jones being the real purchasers, and having since exercised all rights of ownership over the land. The petition attacks this administrator’s sale as void, there being no salable title in the estate of Steiner, the deceased. It further charged that the administrator 'had made no annual returns for the year 1891, and no accounting for what hethad done with the proceeds of the sale of the perishable property since his administration down to the present time; and charged-that even if the paper of Wilkins, Neely & Jones, under which they claimed title, is prior in law under existing circumstances to the deed of petitioner, all the indebted[97]*97ness of said Steiner to said firm would have been fully paid off and discharged. In accepting the administration, the administrator took possession of the tract of land levied on, and all other property belonging to the deceased, and held the same for the benefit of creditors and heirs; and having thus accepted said trust, he and his firm are in law and equity estopped from setting up any title in himself or them adverse to the ’title of his intestate. There was a prayer in this petition that the claim now pending be enjoined and stayed until the matters set up in the petition were adjudicated and determined; and that the lien of his .judgment under said notes and deed be decreed superior in rank and dignity to the title or lien of claimants, and that the property levied upon he declared subject to the fi.

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Related

Finley v. Southern Railway Co.
64 S.E. 312 (Court of Appeals of Georgia, 1909)
Wilkins, Neely & Jones v. Gibson
38 S.E. 374 (Supreme Court of Georgia, 1901)
Atlanta National Building & Loan Ass'n v. Jones
36 S.E. 968 (Supreme Court of Georgia, 1900)

Cite This Page — Counsel Stack

Bluebook (online)
35 S.E. 316, 110 Ga. 93, 1900 Ga. LEXIS 331, Counsel Stack Legal Research, https://law.counselstack.com/opinion/gibson-v-wilkins-neely-jones-ga-1900.