Lewis v. VanCleve

134 N.E. 804, 302 Ill. 413
CourtIllinois Supreme Court
DecidedFebruary 22, 1922
DocketNo. 14308
StatusPublished
Cited by3 cases

This text of 134 N.E. 804 (Lewis v. VanCleve) is published on Counsel Stack Legal Research, covering Illinois Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Lewis v. VanCleve, 134 N.E. 804, 302 Ill. 413 (Ill. 1922).

Opinion

Mr. Justice Farmer

delivered the opinion of the court:

This is an appeal from a decree of the circuit court of Macon county dismissing a bill filed by appellants, as complainants, to foreclose a trust deed on certain real estate. In addition to praying a foreclosure of the trust deed the bill prayed that certain deeds purporting to convey the property to defendant James A. Henson be declared null and void and set aside as a cloud on the title to the property. The master in chancery to whom the cause was referred to take testimony and report his conclusions, reported that Henson held title superior to that through which complainants claimed, and that they were not entitled to a decree as prayed in the bill. The chancellor overruled exceptions to the master’s report, entered a decree approving and confirming it, denied any of the relief prayed in the bill, and adjudged and decreed that the persons who executed the notes secured by the trust deed sought to be foreclosed pay the amount due on said notes to the complainants. This appeal is prosecuted from that decree.

The facts alleged in the bill are, that prior to June, 1911, Helen G. Terhune was the owner in fee simple of lot 4, in block 6, of a certain addition to the city of Decatur, and she and her husband, Isaac IT. Terhune, occupied the premises as a homestead; that prior to June, 1911, Helen and her husband became jointly indebted to numerous persons, who were demanding payment and were threatening to secure judgments; that on June'3, 1911, they conveyed said premises to their son, William G. Terhune, who resided on the premises with his parents; that the conveyance was made to defraud creditors, and it was fraudulently agreed and understood between the grantors and grantee that it was made for the purpose of delaying and defrauding the grantors’ creditors, and with the distinct understanding between the parties that William should hold the property in trust for his motliér and would at her request convey the premises back to her or to such person as she designated; that the family continued to reside on the premises until September 21, 1911, when William executed a general warranty deed to his mother conveying the premises back to her in fee simple, in conformity with the agreement made when she conveyed the property to him, which deed was duly recorded; that there was nothing on the records of Macon county which showed any defect in Mrs. Terhune’s title and complainants had no notice that there were any defects or imperfections. After the deed was made by William to his mother, she and her son became indebted to George P. VanCleve, which indebtedness was evidenced by notes signed by them, and on the 31st day of July, 1912, VanCleve secured a judgment against them for $52.87, February 10, 1914, another judgment against them for $310, and January 9, 1914, another judgment for $215.83. On the 23d of March, 1914, Mrs. Terhune, being then a widow, conveyed the premises to VanCleve for a consideration of $2500, which was partly paid by the satisfaction of the judgments mentioned and the balance in cash. The bill alleges William acted in the transaction resulting in the conveyance to VanCleve for his mother and received a part of the consideration, which he appropriated and ever since has retained. In March, 1914, VanCleve secured a loan on the premises for $1000, and he and his wife executed a trust deed to Guy P. Lewis, as trustee, to secure the payment of the note given for $1000, due three years after date. That is the trust deed the bill in this case was filed to foreclose. Subsequently VanCleve and wife conveyed the premises to Albert T. Summers, and he conveyed them to Phoebe Weygandt subject to the trust deed. On the 27th of April, 1915, William G. Terhune and wife, for the consideration of one dollar, executed a deed to the premises to James A. Henson, an attorney at law, who represented Terhune. On the same day William signed and filed for record an instrument in writing repudiating and disaffirming all deeds and contracts relating to the premises theretofore made by him, for the reason that at the time they were made he was a minor under twenty-one years of age. Again, on March 6, 1917, he made a warranty deed for the same premises to the same grantee for the same consideration for the purpose of confirming and ratifying his deed of April 27, 1915, and disaffirming the deed made to his mother in 1911. Again, on March 16 of the same year he made a deed to the same grantee for the same preffiises, the purpose of which was stated to be to confirm and ratify his deed of April 27, 1915, and disaffirm the deed to his mother in 1911. At the time these deeds were made by William the premises were not in the possession of the Terhunes. The bill alleges that the deed from Mrs. Terhune to her son, and the deed from him back to his mother, were without consideration. Henson answered the bill at length, setting up the reasons why he denied complainants were entitled to the relief prayed.

William G. Terhune was seventeen or eighteen years old when his mother made the deed to him and when he made the deed back to her. No consideration was paid for either conveyance, and the evidence shows the deed to the son was made to protect the property from creditors until further arrangements were made, and that the son conveyed it back to her when requested. Appellants contend that Terhune never had any title to the premises except as a mere trustee under a trust created to defraud creditors; that any creditor might have compelled him to make the conveyance, and on that ground he could not disaffirm it; also that he fraudulently and falsely represented to VanCleve when he was negotiating with him, as his mother’s agent, for the sale of the property, that he was of age when he made the deed to his mother and that he received a valuable part of the consideration for it, which he has ever since retained, and he is now estopped to disaffirm his deed to his mother. Appellants discuss at length, and cite numerous authorities to support the proposition contended for, that a minor, where he is charged as trustee, is bound to carry out the trust the same as an adult, and, where he can be compelled to perform the trust, any deed or contract made by him which it was his legal duty to make is valid and binding on him and cannot be disaffirmed. Appellees concede that where an infant does only what the law would compel him to do, such as where he takes title under such circumstances that the law raises a constructive trust, he cannot disaffirm his performance of the trust, but they contend the trust alleged in the bill in this case was an express trust, and that even if it were in writing, which it was not, an infant may repudiate and disaffirm the trust, and any conveyance made thereunder, upon becoming of age.

In our view of the case it will not be necessary to discuss many of the questions argued in the briefs. The evidence abundantly shows William G. Terhune paid no consideration to his mother for the lot but that she conveyed it to him to protect it against creditors until she was relieved from that apprehended danger, and when that time arrived, at her request the son re-conveyed to her. Title remained in her of record until March, 1914. It is true, the son was a minor when he made the deed to his mother, in June, 1911. His mother and father were both dead at the time of the trial of this case and he did not appear to be certain of his exact age, but, as we understand the evidence, he was about seventeen or eighteen years old in June, 1911. He testified he was married on his birthday when he was twenty-one years old, and that his wedding day was March 11, 1914.

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Bluebook (online)
134 N.E. 804, 302 Ill. 413, Counsel Stack Legal Research, https://law.counselstack.com/opinion/lewis-v-vancleve-ill-1922.