In re the Accounting of Pond

21 Misc. 114, 46 N.Y.S. 999
CourtNew York Supreme Court
DecidedJuly 15, 1897
StatusPublished
Cited by1 cases

This text of 21 Misc. 114 (In re the Accounting of Pond) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
In re the Accounting of Pond, 21 Misc. 114, 46 N.Y.S. 999 (N.Y. Super. Ct. 1897).

Opinion

Davy, J.

This is a motion to confirm the report of the referee appointed to pass upon the accounts of the receiver of the Weaver Lumber Company, and to report the amount due each of its creditors and the priority of their liens.

The principal objection raised to the confirmation of the report is that the referee found that the execution in favor of Christopher Willover became dormant and void as against the Clarissa H. Warrant execution and the Traders’ National Bank attachment.

It appears from the evidence taken before the referee that Christopher Willover, on the 12th day of October, 1894, obtained a judgment against the Weaver Lumber Company for the sum of six hundred eighty-two dollars and seventy-seven cents ($682.77). A transcript of the judgment Avas duly docketed in the clerk’s office of Cattaraugus county on the 23d day of October, 1894, and an execution was that day issued thereon and placed in the hands of W. C. Clark, a deputy sheriff of said county. It also appears that, on the 1st day of November, 1894, a judgment was obtained by Clarissa H. Warrant against the said Weaver Lumber Company, for four thousand eight hundred sixty-four dollars and fifty-five cents ($4,864.55). A transcript of that judgment was docketed in the Cattaraugus county clerk’s office on the 2d day of November, 1894, and an execution' was duly issued thereon to the sheriff of said county. In the afternoon of that. day the sheriff levied under the Warrant execution upon all the property OAvned by the Weaver' Lumber Company. After this levy was made and on the same day, the sheriff attached all the property of the Weaver Lumber _ Company by virtue of an attachment issued in a suit brought by the Traders’ National Bank, of Rochester, against said company. A judgment was obtained by the bank in that action on the 10th day of December, 1894, for the sum of twelve thousand six hundred thirty-eight dollars and fifty cents ($12,638.50), and duly docketed in the office of the clerk of Cattaraugus county on the 11th day of December, 1894.

On the 7th day of November, 1894, a receiver was appointed of the Weaver Lumber Company, who took possession of all its property, including the property in the hands of the officers, levied [116]*116upon under said executions, and" the same was thereafter sold' and converted into money by the receiver.

The referee finds that, prior to the levy of the execution in favor of Clarissa H. Warrant and of the attachment issued in behalf of the Traders’ Rational Bank, no actual levy was made under the execution issued on the 'judgment hi favor of Christopher Willover, and that the Willover execution became dormant and. void .as against the Warrant execution and the Traders’ Rational Bank attachment. That Clarissa H. Warrant has the first lien and the Traders’ Rational Bank the second lien on the funds in the hands of the receiver. :

.. The. position taken by the - learned referee that the Willover execution became dormant while in the hands of the deputy sheriff is not, in my judgment, supported by the evidence. It is undoubtedly true that if the execution was issued for the purpose of merely obtaining a lien to hold it as security, then a subsequent execution would take precedence. Landis v. Evans, 113 Penn. St. 335; Lautz v. Worthington, 4 id. 153. As against a bona fide .purchaser or against a subsequent execution debtor, it-must depend upon the facts and circumstances in each particular case as to what will constitute a valid levy.

It is true,' it was necessary in this case for the deputy sheriff, for the purpose of enforcing and satisfying the Willover execution, to malee an actual levy and sale. He was also required to take possession of the property for the purpose of exercising dominion or control over it. Without such possession or control he-could not make the execution effectual in producing means to satisfy the lien. It was also necessary that he should be able to expose the goods and chattels to view when they were offered for sale, and on the sale to deliver them to the purchaser or purchasers.

The authorities all hold that a levy must be made during the life of the execution and cannot be made after the return day has passed. Hathaway v. Howell, 54 N. Y. 112; Walker v. Henry, 85 id. 135. A sheriff can, however, where a levy has been made, sell the property after the return day. Ansonia B. & C. Co. v. Conner, 103 N. Y. 511. It was held in the case last cited that it is often indispensable to the security of the' rights of the plaintiff that the officer should retain the writ for that purpose.

The deputy sheriff testified that he received the Willover execution October 23,1894, That on that day he went to the Weaver Lumber Company’s mills and levied upon the property of the [117]*117company, and indorsed upon the execution a memorandum of the levy. That he informed Mr. Weaver, one of the managers of the firm, that he had an. execution and showed it to him. He then directed two of the workmen to look after the property and to keep him posted if any of it was being removed. After making the levy he informed Mr. Davie, one of the plaintiff’s attorneys, that he had been up to the Weaver Lumber Company’s mills and had made a levy upon the property. That he thought they would fix it up in a day or two, and Mr. Davie replied, “All right,” that he did not want the matter pressed too hard if the levy was secure. That is the substance of the testimony upon which the referee finds that the sheriff was authorized to allow the Willover execution to remain dormant. Mr. Davie, who is the surrogate of Cattaraugus county and a gentleman whose reputation for truth and veracity cannot be questioned, testified that after the levy was' made the deputy sheriff informed him that Inman had handed him the Willover execution and that he had been up.to the Weaver Lumber Company’s mills and had made a levy upon property, and he replied that it was all right.; that Willover desired him to proceed and do all in his power to enforce the collection of the judgment. He also testified that at no time was there any suggestion on his part to the deputy sheriff to hold the execution or not to make a levy or to do anything except to proceed and collect the amount of the judgment. It is evident that at the time the deputy sheriff informed the plaintiff’s attorney that he had made a levy there was no obstacle in the way of collecting the execution. The writ commanded him to satisfy the judgment out of the property of the debtor. There was the indorsement on the execution in the usual form to levy the amount of the judgment and his fees and poundage. It was the officer’s duty, under the statute, to levy the execution first delivered to him and to apply the proceeds of the sale to that execution as against such as came into his hands at a later date. He had sixty full days in which to perform the duties enjoined upon him,.and there was ample time, even if the levy was not completed until the 2d of November, for him to advertise and sell the property before the return day. It seems to me that there can be no question but what the officer to whom the execution was delivered made a valid levy before the junior executions referred to came into the hands of the sheriff, and when the receiver was appointed he was in. possession of the property, exercising dominion over it. If the sixty days had ex[118]*118pired and the officer had omitted.to make a sale of the property by direction of, the plaintiff' or his attorney/ then There might.be good ground for claiming that the execution had become dormant.

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Bluebook (online)
21 Misc. 114, 46 N.Y.S. 999, Counsel Stack Legal Research, https://law.counselstack.com/opinion/in-re-the-accounting-of-pond-nysupct-1897.