Hathorn v. Maynard

65 Ga. 168
CourtSupreme Court of Georgia
DecidedFebruary 15, 1880
StatusPublished
Cited by4 cases

This text of 65 Ga. 168 (Hathorn v. Maynard) 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
Hathorn v. Maynard, 65 Ga. 168 (Ga. 1880).

Opinion

Crawford, Justice..

B. M. Hathorn sold and conveyed to John B. Maynard 700 acres of land known as the Greer place. His sons, N. W. Hathorn and N. J. Hathorn, filed their bill in equity against him and John B. Maynard, in which they alleged that he was a trustee for their mother, Narcissa L. Hathorn, and themselves, and that the property sold was theirs in trust; that the said Maynard, who had bought it, knew that it was their trust property, although the title was in the said B. M. Hathorn. The prayer of the bill was that the said B. M. Hathorn be removed from his trust, and that the deed be canceled. The defendant, Maynard, by his answer, denied the material allegations affecting him, and upon the trial, under the evidence and the charge of the court, the jury found in his favor; whereupon the complainants moved for a new trial on several grounds of error alleged to have been committed by the judge and the jury upon the said trial. On the hearing of the mo[172]*172tion for a new trial, the same was overruled by the court, and the complainants excepted.

1. Grounds i, 2, 3, 4, 5, 6, 7, arise upon the testimony under the instructions of the court applicable thereto, and of which the jury considered, and by its finding negatived the facts asserted that they found either contrary to law or to the charge of the court. A doubt might possibly arise under the sixth ground, as to whether they did not find contrary to the charge wherein the judge instructs them, that if Maynard did not have notice of the presence of the trust in the Greer land, and yet had notice of the mingling by Hathorn of his own estate with that of the .trust so that he could not identify them, then the burden “would be on him to show that the trust funds did not go ■Into the Greer place, and that it devolved upon h-im to point out and identify the trust property if he would save his own.

We think that the judge put, in this particular charge, -the burden too heavily upon Maynard, in requiring him to show anything more than that he had no notice of the •trust funds having gone into the Greer place, even though Ihe might have known something of the mixing of the funds. The further duty of pointing out and identifying the trust property was no part of his duty, if he could :show that he was an innocent purchaser, and that none ■other was involved in the litigation. If none of the trust property were in existence, yet if Maynard bought this in ■good faith and it was free from the trust, his title was perfect, without being called on to point and identify what might or might not be found.

2. The refusal of the court to charge as requested in the eighth ground was not error. Where a deed, by its very terms, conveys in trust only four sevenths of the land to one party and three-sevenths to another—not in trust, but unconditionally—it would be error to instruct the jury that they might find that it all was trust property, notwithstanding the recitals in the deed. The highest evidence of what the intention was would be what it said.

[173]*1733. The ninth ground of error was the refusal of the court to give in charge the following request without modification : “ Even if Hathorn gave Maynard assurances that no trust money had gone into the Greer place, Maynard acted on this assurance at his peril, and if it turned out to be untrue he is not protected. A cestui que trust is not bound by statements made by a trustee to enable him to violate his trust.” The first part of this charge was modified by adding that “ unless, in your judgment, he acted upon such information as became a prudent man in making inquiry after the truth.” To the last part he added the words: “If you are satisfied in this case such statements were made with such a purpose.”

To determine whether there was error in these modifi•cations, it is necessary to look at the issue and the testimony. Among the first were, whether the trust fund went into the land at all, and if it did, had Maynard notice of that fact? The objection to the qualification is, that it did not require Maynard to go further and inquire as to the matter before acting—that he should have sought information other than that given him by Hathorn.

According to the evidence, Hathorn had managed and •controlled this estate himself from 1858 to the time of the trial; any knowledge, therefore, in possession of another must have come from him. The interest of Hathorn in the object sought by both himself and Maynard, made it necessary for him to speak the truth. At last it was but a mere question of the diligence of one in search of truth, and ■as Hathorn had no motive tempting him to deceive Maynard, the necessity for further inquiry, the jury doubtless thought, did not exist.

4. The second qualification was a proper one, because the charge assumed that the statements made by Hathorn were made to enable him to violate his trust, and therefore to add, “if they were made for such a purpose,” then that would make the charge right.

5. The tenth ground was not insisted upon. The eleventh [174]*174was the giving in charge the following request: "If Hathorn and wife took a deed jointly to the Barron place,, he three-sevenths and she four-sevenths, they were tenants-in common ; and if Hathorn in paying for his interest used: a portion of his wife’s profits, derived from the sale of the place, this, without more, did not destroy their joint interest in the property afterwards purchased with the proceeds of such a sale, but it made Hathorn the debtor of his wife to the extent of her money so used, which could, be settled between them at any time.”

Taking the case made by the testimony and this charge,, we gather its meaning to be that if these parties were co-tenants in the land, and if Hathorn used this money so-received from a sale of the joint property of himself and his co-tenant, that that act without more would not destroy their joint interest in property afterwards purchased with the proceeds of such sale, and if he did thus use that money he might settle the debt either then or subsequently. The main and important fact being whether he-had or had not so settled the liability.

6. The twelfth ground of error was, because the court refused the following request:

“ If Hathorn had mixed his own and the trust funds, so that he could not identify what belonged to the trust estate, he could not convey property to his cestui que trust which she did not agree to take in full settlement with her and thus discharge his liability to the trust estate. At all events, it is incumbent on him, or Maynard claiming under him, to show clearly and satisfactorily that the property he conveyed to his cestui que trust was fully sufficient to cover his indebtedness to the trust estate. The burden-of proof is on the trustee or Maynard to prove this to the-entire satisfaction of the jury.”

This charge as asked, in the first part of it, limits any conveyance which Hathorn might make to a full settlement, before the property which had been mixed could be separated and conveyed at all, whereas one of the very [175]*175•questions made was, whether a part or all of rhe trust •estate had been fully accounted for so as to leave the ■Greer place wholly or partially free from the trust. In the latter part, of it, it was objectionable because it required Maynard to prove that the other property, and with which .he had no concern, was sufficient to settle with the cestui que .trust.

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65 Ga. 168, Counsel Stack Legal Research, https://law.counselstack.com/opinion/hathorn-v-maynard-ga-1880.