James v. Burnet

20 N.J.L. 635
CourtSupreme Court of New Jersey
DecidedApril 15, 1846
StatusPublished
Cited by2 cases

This text of 20 N.J.L. 635 (James v. Burnet) is published on Counsel Stack Legal Research, covering Supreme Court of New Jersey primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
James v. Burnet, 20 N.J.L. 635 (N.J. 1846).

Opinion

The facts of the case, and the questions raised and decided, . appear in the opinion of the court, which was delivered by

Whitehead, J.

This action was brought to recover certain goods and chattels, taken from the plaintiff by the defendant on the 5th day of June, 1843. The defendant pleaded property in the goods. On the trial of the cause, it appeared that William H. Backus and Luther E. Backus, for some time prior, and up to January, 1843, had been engaged at Newark in the manufacture and sale of tin ware, under the firm of Backus & Brother. That in January 1843, the plaintiff became associated with them in' the business, under the style and firm of Backus, James and Co. They had a store in New York where the plaintiff resided, and a manufactory and store in' Newark. On the 26th of May 1843, Wm. H. and L. E. Backus executed, in the city of New York, to the plaintiff, a bill of sale for all their interest in the said firm; and received therefor four promissory notes for $1250 each, at twelve, eighteen, twenty-four and thirty-six months, respectively, without interest. The partnership was dissolved, when the bill of sale was executed ; and public notice of dissolution was given May 31st, 1843. The business was conducted by the plaintiff down to the time of the trial. Neither William H. nor L. E. Backus had any interest in it, after the sale to the plaintiff. The copartnership formed between the parties in January, 1843, was for the term of three years. The business was a changing one, work going out and coming in. [637]*637The amount of property in the concern was about the same on the 5th of June, the time of the levy hereinafter mentioned as it was on the 26th of May, the date of the bill of sale to the plaintiff. The value of the stock was variously estimated from $3000 to $5000.

On the 5th of June 1843, the defendant, as sheriff of the county of Essex, levied on the property described in the declaration, at Newark; and took possession, by virtue of an execution issued out of the Supreme Court, upon a judgment recovered on the 9th day of May 1843, by the Mount Vernon Bank against the said L. E. and William II. Backus. It was for taking of the goods under the execution, that this action was brought. The execution was delivered to the sheriff on the 9th day of May 1843, and remained in his hands until the levy was made. On the 9th day of May or the day following, the defendant called at the place where the Messrs. Backus and the plaintiff were doing business, and informed one of the two former, that he had an execution against them, and asked what was to be done with it. He was told, that Mr. Backus would see Mr. Frelinghuysen, the plaintiff’s attorney. He went away without making a levy. Mr. Backus and Mr. Frelinghuysen made and entered into an agreement in reference to the execution which, after naming the case, continued as follows :

“ May 17,1843 — The defendants, in the above stated suit having paid on the said judgment one hundred and thirty-eight dollars and eighty-seven cents; and having given to said plaintiffs their four several promissory notes, all dated May 9th, 1843,— one payable in the sum of one hundred and thirty-nine dollars and seventeen cents, on the 1st of June next; one in the sum of one hundred and forty-one dollars and twenty-four cents, on the 1st of September next; one in the sum of one hundred and forty-three dollars and thirty one cents, on the 1st of December next; and the other in the sum of one hundred and forty-five dollars and thirty-eight cents, on the 1st of March next; each of the said notes being given for the one-fifth of the amount of damages by said judgment recovered, together with the interest thereon, from the date of said judgment; and the said defendants having also given their note to the plaintiff’s attorney for the taxed costs [638]*638payable. July 20th, 1843. Now therefore, the said plaintiffs hereby agree to stay all proceedings on the execution, issued on said judgment; and to take no further proceedings thereon, provided all the sai<l notes are paid at maturity; and provided their execution is not pressed by other executions or process, coming against the property of the defendants ; and provided there is not good reason for the plaintiff to believe, that the property of the defendants is about to be placed beyond the reach of the execution or their said judgment. It being understood, that the said defendants shall also pay all costs due,' or that shall become due, to the sheriff by reason of said execution.”

The first payment mentioned in the agreement being a cash payment, was made at the time the' agreement was executed; but no other payment was ever made. Luther E. Backus in his testimony alleged as the reason why the note, which became due in June 1843, was not paid, was, that Mr. Erelinghuysen, on being apprised of the sale to James before the note became due, signified to the witness that he did not feel himself bound by the agreement, and should cause a levy to be made. It further appeared on the trial, that some of the things levied on were manr ufactured prior to (he execution of the bill of sale to the plaintiff, and some afterwards; that a portion of the articles were manufactured of stock purchased, and brought into the concern, after the execution of the bill of sale. The raw material on hand at that time was about the usual quantity, and was pretty much worked up by the 5th of June, when the levy was made. There was also evidence by two witnesses, and not contradicted, that twelve boxes of tin plate levied on, of the value of $8 to $10 per box, were purchased and brought in after the bill of sale, and taken by the sheriff.

There was other evidence upon the question of fraud in the sale to the plaintiff, but not being material to the questions of law, raised upon the trial of the cause, and argued before us up>on the application for a new trial, it is not necessary to detail it.

The plaintiff claims the property under the bill of sale made to him by the Messrs. Backus, on the 26th of May. The defendant justifies the taking under the execution delivered to him as sheriff on the 9th of May, and the levy under it on the 5th of [639]*639June following. The goods of a defendant in execution are bound from the delivery of the writ to the sheriff, even against subsequent bona, fide purchasers. 1 Southard 382; 1 Archbold’s Pr., 295, unless they are sold in market overt, or under circumstances, which ‘in this state would be equivalent thereto, 2d Eq. Cases Ab. 381; Buller Nisi prius 91. The lien attached to all the goods in question, notwithstanding the partnership existing, at the time of the delivery of the writ to the sheriff, between the Messrs. Backus and the plaintiff Mr. James. For, by virtue of the writ, the sheriff could seize and levy upon the interest, of the defendant, in the whole of the partnership property ; and that interest alone, be it more or less, he could sell upon the execution, Story on Partnership, 373. This lien continued up to the time of the levy, unless it was destroyed by the agreement of the 17th of May, between the defendants in execution, and the attorney for the Mount Vernon Bank, the plaintiffs therein. The plaintiff's counsel contend, that by interfering with the execution of the writ, and granting the delay, the plaintiffs in execution lost their lien upon this property as against third persons, bona fide purchasers, although it might remain as against the defendant.

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Cite This Page — Counsel Stack

Bluebook (online)
20 N.J.L. 635, Counsel Stack Legal Research, https://law.counselstack.com/opinion/james-v-burnet-nj-1846.