Greenly v. Greenly

49 A.2d 126, 29 Del. Ch. 297, 1946 Del. Ch. LEXIS 71
CourtCourt of Chancery of Delaware
DecidedOctober 11, 1946
StatusPublished
Cited by25 cases

This text of 49 A.2d 126 (Greenly v. Greenly) is published on Counsel Stack Legal Research, covering Court of Chancery of Delaware primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Greenly v. Greenly, 49 A.2d 126, 29 Del. Ch. 297, 1946 Del. Ch. LEXIS 71 (Del. Ct. App. 1946).

Opinion

HARRINGTON, Chancellor:

The complainant, Margaret M. Greenly, wife of the defendant, Harry B. Greenly, seeks a decree that she is the real equitable owner of her husband’s legal interest in certain real property near Delmar, in Sussex County, standing in their names as husband and wife, and, therefore, as tenants by the entirety; and for a conveyance to her of her husband’s legal interest.

The complainant has an aged father, Arthur W. Phippin, and considers it her moral and legal duty to provide for his maintenance and support; she is not financially able to do this except at her own home. Harry B. Greenly knew of the complainant’s responsibilities in this respect and of her purpose to fulfill her obligations, and their marriage took place June 24, 1944, with that understanding. In the latter part of the year 1944, Harry B. Greenly was anxious to engage in the business of raising chickens; he had no experience whatever in that line, but the complainant, and especially her father, had. Moreover, they were acquainted with the Tull Brothers of Seaford, Delaware, who were willing to finance the undertaking. The Tulls knew nothing about the defendant, and relied, entirely on the complainant and her father. The latter were of material assistance in growing the first flock of chickens, and the defendant promised the complainant one-half of the profits, if any, and arranged accordingly with Tull Brothers to pay her. In the spring of 1945 the Tulls paid the complainant by check about $1,800 which represented her share of the profits. The evidence justifies the conclusion that this money was paid to, and accepted by, Margaret M. Greenly, as her own property, without condition or reservation as to its use. Harry B. Greenly testified that it was given to her for the purpose of buying a home, but his assertion in this respect is flatly denied by both the complainant and her father, and by the circumstances. He also testified that he told the complainant that he would not have divided the profits with her had he known that she was not going to put the money back into the business; but he made no such [300]*300claim in a voluntary statement before the magistrate in Georgetown, nor before the magistrate in Delmar, who questioned him closely about the difficulties with his wife; on the contrary, he substantially admitted that he paid the money to Margaret M. Greenly to do with as she pleased. The defendant advanced no claim to the contrary to Mr. Tull when the division of the profits was arranged. Had any such condition been attached to the payment, it is reasonable to suppose that the defendant would have explained the purpose of sharing the profits on these occasions.

At the time of their marriage, Margaret M. Greenly had about $1,200 which represented her savings. The house provided by the defendant on the chicken farm was a small dwelling, in poor condition, and was wholly unfit for a place of residence. The complainant was anxious to have a proper home, and frequently urged the defendant to provide one, but was always met with his statement that the house was good enough for him and if she did not like it she could leave. All through the year 1945 the complainant expressed her dissatisfaction with their home; the defendant did nothing about it, and at the end of the year was not in a position to acquire a better home as he had lost heavily in his subsequent chicken operations. At any rate, it is clear that he displayed no interest in acquiring a home until the end of 1945, at which time the complainant learned that the Delmar property was for sale. Margaret M. Greenly and her father went to look at the property and concluded to buy it; her husband also saw the place. The owner of the property lived in Norfolk, and the complainant went there to see him; she entered into an agreement to purchase the place, and paid the first installment of $100 on the purchase price.

On her return home, the complainant told the defendant what she had done and he requested that the conveyance be made to them jointly, saying that it was the fair thing to do. At the same time he expressly promised that the complainant’s father could make his home with them and if any[301]*301thing should happen to her he would take care of him. Margaret M. Greenly was, and is, a sick woman, under the constant care of a physician, and naturally was concerned about her father’s future. She knew nothing of law and was given no independent advice. Pursuant to her husband’s request and in reliance on his promise, with respect to the care of her father, she had the Delmar property conveyed to them, as tenants by the entirety; she otherwise would not have done this. Subsequently, the complainant made a further payment of $1,100 on the purchase price of the property, and, together with her husband, joined in a mortgage to secure the remainder. Harry B. Greenly paid nothing. In February of 1946 they moved into the property, and the defendant almost immediately resented the presence of his father-in-law in their home, and began a course of conduct which resulted in this action. He attempted in various ways—by abuse, cursing, threats, assaults, direct orders, and by legal action—to drive Mr. Phippin away; and also attempted'to compel the complainant to order her father to leave the property. These efforts caused bitter quarrels, resulting in the abuse of the complainant and in an actual and serious assault upon her, which terminated in divorce proceedings. The defendant, in his answer, admits that it it impossible for the three of them to live on a friendly basis in the same house, and in defense asserts that this is the result of his father-in-law meddling in domestic affairs. The complainant and her father positively deny that assertion. On these facts, Margaret M. Greenly claims that she is entitled to a decree, whether a resulting trust or a constructive trust be relied on.

A resulting trust is one implied by law from the supposed intention of the parties and the nature of the particular transaction. Carkonen v. Alberts, 196 Wash. 575, 83 P.2d 899, 135 A.L.R. 209; 1 Pomeroy Eq.Jur., (5th Ed.,) § 155; 4 Pomeroy Eq.Jur., (5th Ed.) § 1031. It rests upon the natural presumption that, in the absence of evidence to [302]*302the contrary, the person who supplies the purchase price intends that the property shall inure to her own benefit, and that a conveyance in the name of another is for some mere incidental reason. Gunstone v. Walker, 157 Wash. 475, 289 P. 53; 4 Pom.Eq.Jur., § 1031; 54 Amer.Jur. 153, 158; see also Newell v. Morgan, 2 Har. 225. While the burden of proof is on the complainant, she is aided in the first instance by that presumption. 2 Bogert on Trusts and Trustees, § 454, pp. 1360,1361. The payment of the consideration and the real intent of the person who paid it are, therefore, the usual important elements to be considered in determining whether such a trust exists; but any such inference in favor of the complainant, arising from payment, may be rebutted by other pertinent facts and circumstances indicating her real intent. 2 Bogert on Trusts and Trustees, § 454, p. 1360; 54 Amer.Jur. 158. Fraud, whether actual or constructive, is not an essential element. Muller v. Schram, 100 N.J.Eq. 143, 134 A. 657; 2 Bogert on Trusts and Trustees, § 451, p. 1348.

Where a deed is made to the wife, but the consideration is paid by the husband, there is rebuttable presumption that a gift to the wife is intended. Ricks v. Wilson, 154 N.C. 282, 70 S.E.

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Cite This Page — Counsel Stack

Bluebook (online)
49 A.2d 126, 29 Del. Ch. 297, 1946 Del. Ch. LEXIS 71, Counsel Stack Legal Research, https://law.counselstack.com/opinion/greenly-v-greenly-delch-1946.