Melville v. Brown

16 N.J.L. 363
CourtSupreme Court of New Jersey
DecidedMay 15, 1838
StatusPublished

This text of 16 N.J.L. 363 (Melville v. Brown) 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
Melville v. Brown, 16 N.J.L. 363 (N.J. 1838).

Opinions

At the present term, the following opinion of the Court, was delivered by

Hornblower, C. J.

It is sufficient to say, that the affidavit received in support of this motion, does not disclose any facts, inducing a reasonable suspicion of fraud. We cannot act upon the belief, of the applicant, though he has sworn to that belief: [365]*365We must have the facts proved before us, upon which the party’s suspicions are founded, and then we can tell, whether there i any j ust ground for thejn.

But as a more full and sufficient affidavit, may be furnished, and this motion renewed, it may save time and further litigation, to decide at once, upon the right of a person, standing in the situation of Hoy, to be heard on such a motion. This is an application to the Court, for the exercise of its equitable power over confessed judgments; and though the Court has unquestionable authority to interfere and give relief in such cases, yet it cannot be expected, that a Court of law, will exercise that power, at the instance of a party, who would not be entertained in a Court of Equity itself.

Suppose then, Hoy, instead of coming here, had gone into the Court of Chancery, representing himself as an attaching creditor, and setting forth facts clearly indicating fraud in this judgment; would that Court have entertained his bill? I think not.

In Wiggins et al. v. Armstrong et al. 2 John. C. R. 144, Chancellor Kent says. This is the case of a creditor on simple contract, after an action commenced at law, and before judgment, seeking to control the disposition of the property of his debtor, under judgments and executions, upon the ground of fraud. My first impression, was in favor of the plaintiffs; but upon examination of the cases, I am satisfied that a creditor at large, and before judgment and execution, cannot be entitled, to the interference, which has been granted in this case. In Angell v. Draper, 1 Vern. 399; and Shirley v. Watts, 3 Atk: 200, it was held that the creditor must have completed his title at law, by judgment andj execution, before he can question the disposition, of the debtors property: and in Bennett v. Musgrave, 2 Vern. 51, and in a case before Lord Nottingham, cited in Balch v. Wastall, 1 P. Wms. 445, the same doctrine was declared; and so it is understood by the elementary writers: Mitford, 115; Coop. Eq. pl. 149. The reason of the rule, seems to be, that until the creditor, has established his title, he has no right to interfere; and it would lead to an unnecessary, and perhaps a fruitless and oppressive, interruption of the exercise of the debtor’s rights. Unless he has, a certain claim upon the property of the debtor, he has no concern with his frauds. On the strength of settled [366]*366authorities, I shall accordingly, grant the motion for dissolving the injunction.”

I have quoted the whole of this opinion, because it fully expresses my views of the law, applicable to the case under consideration. Hoy, has no right to enquire into the fairness of this judgment, unless he is a creditor. True, he claims to be one, and has sworn to the faot; b'ut does that authorize us to pronounce him such, judicially f If we admit him to interfere between Melville and Brown, it must be, because he is, not because, he claims to be, a creditor of Brown. If he is a creditor, he is only a suing one; a creditor “ at large.” He has, as yet established no “ title,” and it is quite uncertain whether he ever can do so, by the judgment of any Court. Suppose we listen to this motion; and the result of an enquiry into the fairness of this judgment should shew that it is fraudulent, and without consideration : but in the end, it should turn out that Hoy, is no creditor of Brown; what, in such case must we do with the money now in Court ? What could we do, but give it up to Melville ? Hoy would not be entitled to it; and we could not restore it to Brown; for as against him, the judgment is valid. Such a result would be a striking illustration of the justice of Chancellor Kent’s remark, that to permit such an interference might lead, to an unnecessary, fruitless and oppressive interruption of the rights of the parties. We cannot, as was said, by Mr. Justice Southard, in Hendricks v. Mount, (2 South. R. 738.) recognize the right of any man, to turn Quixote, and fight against fraud, for Justice sake, alone.”

But it is not enough that a man has a judgment, to entitle himself to the aid of the Court of Chancery, upon the ground of fraud, a party must not only be a judgment creditor, or at least, a creditor, whose title has been judicially established, but must shew that, he has exhausted his legal remedies, or that his debtor has no assets or funds, from which he can get satisfaction, except those that are sought to be reached on the ground of fraud : and this is usually required to be made out by a return of nulla bona, on an execution at law. (Hendricks v. Robinson, 2 Johns. C. R. 283—296; Angell v. Draper, 1 Vern. 399; Shirley v. Watts, 3 Atk. 200; Williams v. Brown, 4 Johns. C. R. 682; McDermott v. Strong, Id. 687.) And in Brinkerhoff v. Brown, 4 Johns. C. R. [367]*367671, Chancellor Kent reviews all the cases, and fully sustains the doctrine I have stated.

But it was said on the argument, that an attaching creditor stands upon better ground, than one who sues by the ordinary process of the Court: that by attaching the goods in the hands of the sheriff who hold them under execution, the plaintiff in attachment has acquired a lien upon them. This however is a mistake. The attachment no doubt fastens upon the surplus goods, and perhaps upon the surplus money, if any, but the service of an attachment gives the plaintiff no lien upon the goods, in any proper or legal sense of the term. Goods when properly attached, are strictly in custody of the law. They are not in the custody, or subject to the control, of the plaintiff in attachment; Austin v. Wade, 2 Penn. R. 997. He never had possession of them, and could not therefore acquire a lien upon them, such as an attorney has upon deeds and papers, for his costs; a factor, upon goods consigned to him, for his claims as factor; a common carrier, upon the goods he has carried, for his wages; or an innkeeper, upon the horse of his guest, for the amount of his bill. Liens, are of two kinds; 1st. Such as I have enumerated, and some others, which the party acquires by his own act; or 2d-ly. Such as the law creates; as in case of judgment and execution. A judgment, is a lien upon land, and an execution, upon personal property. But the plaintiff in attachment, before judgment, has no such lien. It is true, the defendant in attachment cannot recover the possession and control of the property, without satisfying or securing the plaintiff: not however, because the plaintiff has a lien ; but because the statute has impounded the goods for the double purpose of compelling an appearance by the defendant; and ultimately, satisfying the plaintiff", if any thing is due to him.

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16 N.J.L. 363, Counsel Stack Legal Research, https://law.counselstack.com/opinion/melville-v-brown-nj-1838.