Neilson v. M'Donald

6 Johns. Ch. 201, 1822 N.Y. LEXIS 164, 1822 N.Y. Misc. LEXIS 30
CourtNew York Court of Chancery
DecidedJuly 29, 1822
StatusPublished
Cited by11 cases

This text of 6 Johns. Ch. 201 (Neilson v. M'Donald) is published on Counsel Stack Legal Research, covering New York Court of Chancery primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Neilson v. M'Donald, 6 Johns. Ch. 201, 1822 N.Y. LEXIS 164, 1822 N.Y. Misc. LEXIS 30 (N.Y. 1822).

Opinion

The Chancellor.

Before I enter on the discussion of the merits of this case, I must dispose of a preliminary qluestion, respecting the competency of the testimony of the defendants, G. and L., who were examined as witnesses for their co-defendants, saving all just exceptions.

Whether a party charged with combininSafraudheagainst which She,"there-a1 party mt,ut no particular for6 against wítnesffor his co-defendants, though hable ibr costs,

*' Those defendants are charged as parties to a fraudulent combination to oppress the plaintiff,' and by means of which the bond and mortgage, in question, were extorted from him. The testimony in the case fully support's the charge; but still those two defendants do not appear to ° . , . , have any further interest in the event of the suit, than what relates to the costs; and such an interest, Lord Hardwiclce has more than once declared (Barret v. Gore, 3 Atk. 401. Downing v. Townsend, Amb. 592.) to be a sufficient objection to the competency of the testimony of a co-defendant, if the character of a particeps criminis, in respect to the charge of fraud, be sufficiently proved. But in Cotton v. Luttrell, (1 Atk. 451. 2 Vesey, 223. 284. S. C.) Lord H. seemed to entertain a different opinion, and to think that a cause could not be brought to a hearing against a person, against whom nothing is [205]*205prayed for, merely to charge him with costs. There is some difficulty in ascertaining the precise English rule on tliis point; and I should rather be inclined to think that ' rule to be, that a party to a fraud, against which relief is sought, and who, as one of a fraudulent combination, is properly made a party, though no particular relief is prayed against him, is, and may be, so far liable for costs, as to be rendered incompetent as a witness. If a party be liable for costs, that is an interest which disqualifies him at law, and in this Court; and every party to a fraud is liable, as a particeps criminis, to respond for the entire costs, if he alone should be able to pay them. However, as the authorities on this point are loosely stated, and seem to be contradictory; and, as one of the judges of the Supreme Court, as well as myself, entertained and expressed an opinion, in the Court of Errors, (Beebee v. Bank of New-York, 1 Johns. Rep. 556. 577.) favourable to the competency of a defendant as a witness, who was no otherwise affected in interest by the object of the suit, than as respects the costs, I shall admit the depositions of the defendants, G. and L., though the circumstances under which they are placed in the cause, must necessarily impair,. in a degree, the credibility of their testimony.

2. In the examination of the merits, the testimony of the two defendants does not appear materially to alter or affect the conclusions which follow, necessarily, from a review of the pleadings and proofs.

The sale complained of was very evidently held and conducted by concert among all the defendants; and the object of the combination was to enable the defendants, MCD. and E., to buy in the property of the plaintiff, at an enormous sacrifice of it, in order to indemnify themselves for the hazard or the loss of their debts against an insolvent son of the plaintiff, or else to coerce the plaintiff, by these means, to assume those debts of his son. Either motive was unconscientious, and one which the law will not recog* [206]*206tiize and . sanction. The defendants disclaim any such combination; but the facts admitted and proved, do, in my judgment, discredit their denial. The defendant, MlD., who was the chief author of the transaction, and the most deeply interested in the success of the plot, admits in his answer, that “ he did require payment in specie, at the sale, with the view of making advantageous purchases of property, at the sale, in the hope of thereby saving a portion of the large amount justly due him from the son of the plaintiff.” The defendant, G., who was bound to have exercised a sound discretion, according to his own judgment, in the time, mode, and terms of sale, admits, that when the plaintiff asked for a postponement of the sale, he replied, that he should follow the directions of M‘D., the plaintiff, in the execution, and proceed to sell;” and “ that before the sale commenced, W. informed him that he would require payment from him in specie, and that G. then declared that he should sell the property for ready pay in specie.” The defendant, L., who disclaims in his answer of having an interest in the execution under which the sale was made, and all concert and combination in the sale, admits that he purchased a number of articles, such as three pleasure sleighs, a riding chair, a wagon and harness, and a quantity of corn and hay, for very small prices, which he states, to the extent of 25 dollars; and that all the purchasers, except M'D. and him, had been required to make payment in specie, and that upon the settlement between the plaintiff and M‘D,, he consented to give up what he purchased; and yet he says there was no combination! So the defendant, JE., admits in his answer, that he attended the sale, “ in the hope of making advantageous purchases thereat, and of thereby saving his demand against the son of the plaintiff, or some portion thereof.” It is in proof that the defendant, JE., came to the sale, prepared with specie in his pocket; and he gave up his purchases aftes [207]*207the plaintiff had assumed his son’s debt to him 3 and yet he also denies all concert and combination!

The deputy Sheriff, Gr., plainly lent himself to be the agent of M‘D., in this scene of oppression, and he is justly censurable for the abuse of his discretion, as a public officer, and by an unwarrantable use of his process, for the purpose of giving effect to this unlawful combination. The case, under" all its circumstances, strikes me as a grievous instance of the abuse of power, for the purpose of oppression and extortion.

To give a just view of the case, it will only be necessary to state a few of the prominent facts.

The plaintiff was a man of large real and personal estate, to the amount of from ten to seventeen thousand dollars, according to different estimates. This fact was of public notoriety, and well known to the defendants. The forced sale, and the refusal of delay, and the demand of specie, were unmitigated acts of severity, for the sole purpose of extortion. The execution was for 480 dollars and 83 cents, and was levied while the plaintiff was absent at New-Yorh, and the day of sale was fixed at the early day of the 22d of November, which was some weeks before the return day of the execution. The defendant, G., told a witness, (John Hunter,) that his object was to seize and sell the property of the plaintiff as soon as the law would permit, and he showed the execution to the witness, and mentioned that the plaintiff was absent at NewYorh, and that he was afraid he would be home before the sale, and get an order to stay it. This witness was a deputy Sheriff, and said that the conversation took place on the day of levying the execution. The defendant, G.,

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Cite This Page — Counsel Stack

Bluebook (online)
6 Johns. Ch. 201, 1822 N.Y. LEXIS 164, 1822 N.Y. Misc. LEXIS 30, Counsel Stack Legal Research, https://law.counselstack.com/opinion/neilson-v-mdonald-nychanct-1822.