Guss v. Mathews

155 So. 765, 179 La. 1033, 1934 La. LEXIS 1475
CourtSupreme Court of Louisiana
DecidedMay 21, 1934
DocketNo. 32277.
StatusPublished
Cited by16 cases

This text of 155 So. 765 (Guss v. Mathews) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Guss v. Mathews, 155 So. 765, 179 La. 1033, 1934 La. LEXIS 1475 (La. 1934).

Opinion

ODOM, Justice.

On October 26, 1931, Thomas M. Mathews, plaintiff’s husband, made affidavit before a notary public that he was indebted to his wife in the sum of $16,650, representing money and other property which he had received from her since their marriage, which money and property were her separate and paraphernal funds which he had converted to his own use. The affidavit was recorded in the mortgage records of the parishes of Rapides and Avoyelles on October 27.

Thomas M. Mathews at the time he made and recorded this affidavit was heavily indebted to the Gretna Trust & Savings Bank, Canal Bank & Trust Company, and the Citizens’ Bank & Trust Company, in liquidation. In March, 1932, the Gretna Trust & Savings Bank filed suit against Mathews and his wife praying for a money judgment against Mathews and also attacking the purported mortgage resulting from the recordation of the *1037 affidavit of indebtedness which Mathews had made in favor of his wife. It alleged that the affidavit was false and fraudulent and that the recordation thereof operated as a cloud upon the title of the property belonging to Mathews and was prejudicial to its interest. It prayed that the same be declared fraudulent and erased from the records. The Citizens’ Bank & Trust Company, in liquidation, filed a similar suit on March 31, 1932. The Canal Bank & Trust Company at the time had a judgment against Mathews.

On April 18, 1932, Mrs. Mathews brought the present suit against her husband for a dissolution of the community existing between them and for separation of property on the ground that he was heavily indebted, hopelessly insolvent, and that her separate property was endangered. She prayed for judgment against him for $16,650, being the amount of her paraphernal funds which he had received and used, and for recognition* of her legal mortgage resulting from the rec-, ordation of the affidavit made by her husband. She alleged that she owned as her separate and paraphernal property all of the household and kitchen furniture then in the house occupied by them as a dwelling, and prayed that she have judgment recognizing her ownership thereof.

The defendant answered, admitting the allegations of plaintiff’s petition. The above-named creditors filed interventions in the wife’s suit, opposing the separation. They attacked the wife’s legal mortgage on the same grounds which the Gretna Bank & Trust Company had set up in its original petition. All of the eases were consolidated and tried together by agreement. The district court rendered judgment in favor of plaintiff, Mrs. Mathews, dissolving the community and granting her a separation of property, but set aside the purported legal mortgage and refused to recognize her claim against her husband. The court also refused to recognize Mrs. Mathews’ claim to the furniture. From this judgment Mrs. Mathews appealed.

Thomas M. Mathews and Annie Guss were married at the latter’s home in Jonesville, Catahoula parish, on January 30, 1907, at which time Annie Guss owned in her own name and right a hotel, two stores, and several tenant houses. She was.then personally conducting the hotel, was engaged in the mercantile business, and was leasing the tenant houses. In addition to her real estate, she had on hand something like $10,000 in cash. Mr. Mathews was then cashier of a bank in Jonesville, and was being paid a salary of. $125 a month. He had no property at the time and no other income. Hater on he inherited considerable property from his mother’s estate and acquired some real estate by purchase.

Mr. Mathews had previously lived in Avoyelles parish, and, a short time after his marriage, returned with his wife to that parish, where they have resided ever since.

Mrs. Mathews held her real estate in Jonesville until 1918, when she sold it. From the time the couple left Jonesville in 1908 to the date on which the property was- sold in 1918 it was leased by Mrs. Mathews and yielded revenues amounting to more than $14,000. Mrs. Mathews testified that of this sum her husband received and converted to his own use $2,500, $2,000 of which amount *1039 having been used, in the payment of a mortgage due by him on his farm near Leeompte, and an additional portion used by him in paying for sidewalks in front of property owned by him. Mrs. Mathews says she used the remaining portion of these revenues in various ways; some in buying stocks. She kept an account in her name in the savings department of a bank, and had at one time between $8,000 and $9,000 to her credit. Prom these savings she purchased 78 shares of Standard Oil Company stock amounting to $3,900, 20 shaves of Bethlehem Steel Corporation stock amounting to $900, and 50 shares of Ford of Prance stock amounting to $750. Dividends were regularly paid on all these stocks and went into her hands; the exact amount of which not being stated. These stocks were all delivered by Mrs. Mathews to her husband, pledged by him to secure his debts, and finally sold by the pledgees.

In 1918 Mrs. Mathews sold her hotel building in Jonesville for $4,000, a store building for $2,900, and other real estate for $1,950, making a total received for real estate of $8,-850. Both Mr. and Mrs. Mathews testified that this entire amount went into his hands and was used by him for his separate benefit. This amount, added to the $2,500 cash which came from Mrs. Mathews’ rents, makes a total of $11,350 which plaintiff swears that she turned over to her husband and which he swears that he received. The testimony shows that Mr. Mathews used a portion of this money to pay the price of a lot purchased in his name, a portion of it in erecting improvements on real estate owned by him, part of it in paying a mortgage on his property, and the balance in paying for sidewalks laid on his property.

As the uncontradicted testimony shows that the husband received and used this amount of his wife’s paraphernal funds, she is entitled to'judgment for said amount. She is entitled also to judgment for the value of the stocks which she turned over to him and which he pledged, and which were later sold by the pledgees. She should have credit for the value of these stocks at the time she delivered them. But, as the testimony is not clear as to their value at that time, and as the record shows that they were sold by the pledgees for $2,188.68 a short time after they were pledged, we must assume that they were worth that amount when delivered by plaintiff to her husband.

The record therefore is clear that- plaintiff turned over to her husband $8,850, the proceeds of the sale of the real estate in Jones-ville, $2,500 received by her as rents and the stocks valued at $2,188.68, or a total of $13,-538.68.

Plaintiff alleged that her husband was indebted to her in a sum exceeding $17,000, aside from the value of the stocks which she had delivered to him, and which he had converted. She claimed credit for $5,000 cash which she had handed to him about three months after their marriage. Her own statement, however, shows that this was a manual gift. We quote her testimony in the record at page 67, as follows: “I just gave it to him and told him it was his. I gave it to him.”

■ The testimony shows that plaintiff handed $5,000 in currency to her husband in the pres *1041

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Bluebook (online)
155 So. 765, 179 La. 1033, 1934 La. LEXIS 1475, Counsel Stack Legal Research, https://law.counselstack.com/opinion/guss-v-mathews-la-1934.