In re Hathaway's Estate

1 Pow. Surr. 447, 24 N.Y.S. 468
CourtNew York Surrogate's Court
DecidedJuly 15, 1893
StatusPublished
Cited by1 cases

This text of 1 Pow. Surr. 447 (In re Hathaway's Estate) is published on Counsel Stack Legal Research, covering New York Surrogate's Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re Hathaway's Estate, 1 Pow. Surr. 447, 24 N.Y.S. 468 (N.Y. Super. Ct. 1893).

Opinion

Eggleston, S.

Calvin L. Hathaway, of Solon, Cortland: [448]*448County, N. Y., died August 15, 1885, intestate. Upon the 7th' •day of October of that year Riley Champlin was appointed administrator of his estate, duly qualified, and entered upon the discharge of his duties as such administrator. May 6, 1891, the administrator, upon his application, had a final accounting before the surrogate, and was discharged from further duty or liability in the matter. At the time of the accounting, it appeared that the estate was insolvent, and, upon the final distribution of the assets of the estate, the same were paid upon cer"tain judgments rendered against Hathaway in his lifetime, which judgments were entitled to a preference in payments. The majority of the creditors received nothing upon their claims. June 30, 1891, Platt Peck, the petitioner herein, obtained a judgment against Riley Champlin, as administrator of the estate, for the sum of $6,625.60, which judgment, was duly docketed in the clerk’s office of Cortland County. The judgment obtained against the administrator was for an indebtedness which was created by the intestate during his lifetime. Execution was never issued upon the judgment, and nothing "has ever been paid upon the same. Upon the accounting before the surrogate, Peck, the petitioner, who was a creditor of the estate, having been duly cited, appeared with others, and filed' •objections to the account of the administrator; but subsequently Re, with the others, withdrew the objections, and the accounting' was had without objection, and a decree entered discharging the ■administrator from further duty or liability in the matter. The petitioner now asks for an order or leave to issue execution upon said judgment, alleging in his petition recovery of the judgment, and upon his information and belief, that the administrator has in his possession or under his control personal property belonging to the estate, and also - alleging that Hathaway, ■prior to the time of his death, had made fraudulent conveyances of his real estate to other persons for the purpose of cheating ■and defrauding his creditors, and that petitioner is desirous of bringing an action to set aside such alleged fraudulent conveyances and transfers of property; that he is advised and believes [449]*449that an execution must issue and he returned unsatisfied upon the judgment as a condition precedent to the bringing of an action in equity against tile persons to whom it is alleged the fraudulent conveyances and transfers were made. Hpon the return of the citation issued in this proceeding against the administrator to show cause why an order should not be made that execution issxxe, t-lxe administrator interposed axx answer, alleging the fact of the accounting had before the surrogate, the settlement of his account, and his discharge as sxxch administrator. The ansxver admits the rendering of the jxxdgment against the administrator as alleged in the petition, and further alleges that the administrator has paid oxxt, in the dxxe administration of the estate, all the moneys in his hands, and that the same have been paid in accordance with the sanction and direction of the court. There is no claim that the administrator has any property or funds ixx his hands belonging to the estate, or that, he has not f ally accounted for all of the property or assets of the estate which came into his hands as such administrator, and it xvas conceded xxpon the argument by the attorneys for the petitioner that the administrator has accoxxnted for the assets of the estate xvhich came into his hands, and that ho has not noxv in his hands any property belonging to the estate of the deceased.

The only question to be determined here is: Bo the facts presented in the papers xxpon this application jxxstify the making of an order permitting execution to be issxxcd xxpon the jxxdgment against the administrator ? No proof in support of the allegations in the petition was made xxpon this application before the surrogate. By section 1825 of the Code of Civil Procedxxre it is provided as follows:

“Axx execution shall not be issued xxpon a jxxdgment for a sum of money against an executor or administrator in his representative capacity xuxtil an order permitting it to be issxxed has been made by the sxxrrogate from xxdxose court, the letters are issxxed. Sxxch an order must specify the sxxm to be collected, and the execution must be indorsed with a direction to collect that sxxm.”

[450]*450The section just quoted should he considered in connection, with section 2552 of the Code, which reads: “A decree directing payment hy an executor, administrator, or testamentary trustee to a creditor of, or a person interested in, an estate or-fund, or an order permitting a judgment creditor to issue an execution against an executor or administrator, is, except upon appeal therefrom, conclusive evidence that there are sufficient assets in bis hands to satisfy the sum which the decree directs, him to pay, or for which the order permits the execution to-issue.”

It is difficult to see from the papers in this case, considered in the light of the concession made—that the administrator has fully accounted for all of the assets which came into his hands— how such an order as the one sought for can be made. It is argued by the counsel for the petitioner that while they do not seek to reach any property in the hands of the administrator, and while they do not claim that there is any property in his hands belonging to the estate, it is necessary to obtain an order-for such execution to issue, and that execution should be issued upon the judgment before an action can be brought by a judgment creditor to set aside the transfers alleged to have been fraudulently made by the intestate in his lifetime; and the order-is sought only for the purpose of avoiding the decisions of the court making it necessary that such an order should be obtained before the court can have jurisdiction of the action. The case of Lichtenberg v. Herdtfelder, 33 Hun, 57, cited by the counsel for the petitioner,-seems to be an authority in point in support of their position upon this motion. In that case the court, at General Term, held that, as no execution had been issued upon-the judgment, the action brought to set- aside certain fraudulent conveyances of real estate made by the deceased in his lifetime-could not for that reason be maintained. Upon a review of the-same case in the Court of Appeals, found in 103 N. Y. 302, 8 N. E. Rep. 526, the court- seemingly does not' concur in the decision made at the General Term upon that point, and Justice Eabl, in his opinion, says: “At the General Term, as appears. [451]*451from the opinion there pronounced, the judgment was affirmed because no execution had been issued upon plaintiff’s judgment. We think this action is without precedent, and that the judgment should be affirmed, but not for the precise reason stated in the court below.”

It is to be regretted, especially in view of the fact of the dissenting opinion of Justice Davis in the case at General Term,, that the Court of Appeals, upon review of the case in that court, did not more fully explain tc what it referred when it stated that the action was “without precedent,” and in some way pass, directly upon the question decided at General Term.

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Bluebook (online)
1 Pow. Surr. 447, 24 N.Y.S. 468, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-hathaways-estate-nysurct-1893.