Macey v. Childress

2 Tenn. Ch. R. 438
CourtCourt of Appeals of Tennessee
DecidedOctober 15, 1875
StatusPublished

This text of 2 Tenn. Ch. R. 438 (Macey v. Childress) is published on Counsel Stack Legal Research, covering Court of Appeals of Tennessee primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Macey v. Childress, 2 Tenn. Ch. R. 438 (Tenn. Ct. App. 1875).

Opinion

The Chancellor :

— On the 17th of December 1860, John W. Martin conveyed to the defendant T. B. Childress a large amount of property, real and personal, in trust for creditors, with power of selling, collecting, and disbursing. On the 26th of July, 1861, the said Childress qualified as trustee, by giving bond, with Temple O. Harris and James A. McMurry as his sureties, in the penalty of $40,000, payable to the state of Tennessee, conditioned for the faithful performance by Childress ‘ ‘ of all the duties imposed upon him by law and the terms of the trust deed.”

The original bill in this cause was filed on the 24th of December, 1873, by several of the creditors secured in the deed of trust, for themselves and all other creditors thus secured, against Childress and Harris, McMurry being dead and his estate insolvent, charging that Childress had misappropriated the trust assets, calling for an account, and asking for a decree against him, and Harris as his surety upon his said bond, for any balance found due.

The defendants have answered this bill. And, on the 18th of August, 1874, the defendant Harris filed a bill against the complainants in the foregoing bill, his co-defendant, Childress, and one J. W. Ewing, the latter alleged to be the successor of Childress as trustee, which he asks may be taken as a cross-bill, or as an original bill, if necessary, in the nature of a cross-bill, and heard with said original bill.

Harris’ bill states the execution of the deed of trust by Martin to Childress, and that the latter was the brother-in-law of Martin. It then charges that complainant had no intimate relations with Childress, but had been a partner, and upon the most intimate terms, with Martin. That he was induced to execute the bond by Martin, never having [440]*440seen Childress on the subject. That Martin came to him and explained his reason for executing the deed ; that it was made for his benefit, in order to prevent a sacrifice of his property; that he was amply good for his debts, having property enough to pay them and leave him in easy circumstances ; that Childress could not act without giving security, and unless he, Martin, could obtain security for him, his property would be sacrificed. That he further said: “ If you,” meaning complainant, Harris, “will go and sign Childress’ bond as trustee, I promise you that you shall never be held liable upon the bond, or annoyed about it in any way.” Relying upon these assurances and promises, complainant went with Martin to the county court clerk’s office, who called for the bond, and complainant thereupon executed it. He never would have signed the bond for Childress, or at his request, but did sign it for the benefit of Martin, at his request, and upon his promise as aforesaid.

Harris further states that, having executed the bond, he relied upon the promises of Martin, supposing that he would watch over the conduct of his trustee, and dismissed the subject from his mind; and, although seeing Martin often, never heard any complaint of Childress’ conduct until the year 1871. That Martin has continued to be, and is now, in the possession of a large portion of the real estate conveyed in said trust deed, of value sufficient to more than pay all the unpaid debts of Martin secured by the deed, including the debts of the creditors whose names are used in filing the original bill. That said creditors filed said bill at the instance of the said Martin or his attorneys, or both, for the express purpose of relieving the property of said Martin, and throwing the burden upon complainant. That Martin and Ewing were not made parties to said bill for the express purpose of preventing complainant from setting up his equity against Martin and his said property; and the complainants in the original bill are called upon for a discovery upon these matters. The bill prays that, if the complainants in the original bill are found to be creditors [441]*441entitled to satisfaction of the trust assets, that the property in Martin’s possession be sold and applied to the payment of such debts, and other trust debts, before coming upon him, etc.

The complainants in the original bill demur to this bill, and for cause of demurrer say that, whether filed as a cross-bill, or an original bill in the nature of a cross-bill, it has no equity upon its face, the matters relied on being res inter alios acta, and entitling the said Harris to no relief as against them.

The defendant John W. Martin also demurs, assigning for causes, that the bill has no equity on its face; that, if it were true he promised the said Harris, verbally, to save him harmless as security of Childress, such promise would not be binding upon him either at law or in equity; that, if the promise were binding upon him, he could not be sued by Harris until after he had sustained loss, and then only in a court of law.

The complainants in the original bill being creditors of John W. Martin, secured by the deed of trust to Childress, and for whose benefit the bond of Childress, as trustee, with Harris as his surety, was executed, and the bill of Harris in no way implicating them in the supposed contract of indemnity between Martin and Harris, it is clear that Harris has no right of action against them, growing out of such supposed contract, either by cross-bill or original bill. Hot by cross-bill, for the matter set up is no defence to the bill of the creditors, nor entitling Harris to any relief as between him and any of the parties to that suit. It is only by bringing in a new party not necessary to the relief prayed in that suit, and against whom relief is sought, not upon the contract therein mentioned, but upon a new and independent contract, that the relief claimed could be had. Such a case does not justify the filing of a cross-bill, upon any rule of chancery practice recognized by the authorities. Hildebrand v. Beasley, 7 Heisk. 121; Cobb v. Baxter, 1 Tenn. Ch. 405, and cases cited. Not by original [442]*442bill, for they are not necessary parties to the relief sought. The contract relied on, if valid, would only entitle Harris to relief against Martin, not against them, who are actively engaged in pursuing their rights. Saylors v. Saylors, 3 Heisk. 582; Watson v. Sutherland, 1 Tenn. Ch. 208; Holditch v. Mist, 1 P. W. 695; Wright v. Simpson, 6 Ves. 714; In re Babcock, 3 Story, 93. The allegation that tho original hill was filed at the instance of Martin or his attorneys, or both, in order to throw the burden upon Harris, is-not sufficient to affect this conclusion. For the fact, if conceded, would not deprive the creditors of their legal right to have satisfaction out of the trust assets in the first, instance. It is no defence to a legal demand, instituted in the mode prescribed by law, that the complainant is actuated by personal or improper motives. Forrest v. Manchester R. R. Co., 4 De G. F. & J. 131; Dering v. Earl of Winchelsea, 1 Cox, 319. The motive of a suitor cannot be enquired into in such a case. Wilbran v. Wilbran, 5 Madd. 2; Thornton v. Thornton, 63 N. C. 212. Were it otherwise, nearly every suit would degenerate into a wrangle over motives and feelings.

The demurrer of the original complainants must, therefore, be sustained with costs.

The demurrer of Martin raises far more difficult questions, and, not being supported by any argument or brief by the counsel who filed it, might, for that reason alone, be overruled.

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Bluebook (online)
2 Tenn. Ch. R. 438, Counsel Stack Legal Research, https://law.counselstack.com/opinion/macey-v-childress-tennctapp-1875.