La Gourgue v. Summers

8 Rob. 175
Supreme Court of Louisiana·Decided June 15, 1844·Published·Cited by 3 cases

Opinion

Simon, J.

The plaintiff is appellant from a judgment discharging a rule which he had obtained on the sheriff of the parish of Orleans, to show cause why he should not pay over to him the money in his hands, seized under the writ oí fieri facials issued in this cause, as appears by his return thereon ; and further praying that Dawson & Co., and G. T. Laguerenne, two of the defendant’s judgment creditors, might be notified of the rule.

The plaintiff obtained judgment against the defendant Summers, on the 17th' November, 1840, for the sum of $525, with interest and costs, which judgment appears to have been duly recorded in the office of the recorder of mortgages ; and an execution having been issued thereon, the same was levied on the 21st of October, 1843, by the sheriff of the parish of Orleans, on the surplus in his own hands of the proceeds of the sale of the property seized and sold at the suit of Lucien Soulié v. Patrick Summers, after satisfying the judgment of the seizing creditor, said surplus amounting to $304, which the sheriff keeps subject to the order of the Parish Court.

It further appears, that the property, the surplus of the proceeds of the sale of which was seized as above stated, was seized and sold by the said sheriff, to satisfy a debt secured by special mortgage granted on the same by Summers in favor of Luden Soulié, long previous to the recording of the plaintiff’s judgment; and that the property mortgaged was sold for $2725, of which, after satisfying the claim of the seizing creditor, there remained a balance in the sheriff’s hands, amounting to the sum of $304.

The record shows, that Dawson & Co., the recording of whose judgment is anterior to plaintiff’s, having issued execution thereon, in January, 1841, caused it to be levied on a piece of real property belonging to the debtor, which was shortly afterwards sold by the sheriff at twelve months credit, for a sum much larger,than necessary to satisfy the execution. A bond was furnished in their favor by the purchaser for the amount of the debt, interest and costs, with good and sufficient surety, and special [177] mortgage reserved on the property sold, which bond fell due on the 6th of April, 1842.

The record shows also, that Laguerenne, whose judgment was recorded previous to the plaintiff’s, issued an execution thereon, in December, 1840, which was returned by the sheriff in March following, in these words; “ Costs satisfied, and judgment settled between the parties.*’

It further appears by a certificate of mortgage produced on the trial, and dated the 17th of October, 1843, that the property seized and sold in the suit of Soulié v. Summers, was, at the date thereof, subject to several mortgages, to wit: 1st. To the special mortgage of Soulié. 2d. To the judicial 'mortgage of Dawson & Co. 3d. To the judicial mortgage of Laguerenne; and 4th, to that of the plaintiff; and also to four other posterior judicial mortgages. But by another certificate of mortgage, also produced on the trial of this cause, and dated the 10th of April, .1844, it is declared by the recorder of mortgages, that “ there is no mortgage standing in the name of Patrick Summers, and recorded against a certain lot of ground, &c.,” the description of which is exactly the same as that of the property sold at the suit of Soulié, and the balance of the proceeds of the sale of which is now in controversy.

With these facts before us, it is contended by the appellees, that the funds in the hands of the sheriff ought to be applied to the satisfaction, pro tanto, of their judgments, the recording of which is anterior to that of the plaintiff’s; that the funds represent Summers’s property, on which their mortgage stood ; and must be distributed according to law, and not be paid over to the fourth mortgagee, whilst the second and third are not satisfied.

On the other hand, the appellant insists, that he is entitled to the benefit of his seizure, and that the sheriff is bound to pay over to him the amount upon which his execution was levied.

By art. 707 of the Code of Practice, if the seizing creditor has a special mortgage on the property seized, which is preferable or anterior to other mortgages existing on the property, the sheriff can • only require the purchaser to pay the price, to the amount of the seizing creditor’s mortgage, and the purchaser keeps the surplus [178] of said price, to be by him applied to paying the inferior or subsequent special mortgages existing on the property. This article only applies to special mortgages, the owners of which can subsequently call upon the purchaser for the payment of the balance, or surplus remaining in his hands, according to their rank.

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La Gourgue v. Summers, 8 Rob. 175 (La. 1844).

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