Northern Bank v. Hunt's Heirs

93 Ky. 67
CourtCourt of Appeals of Kentucky
DecidedMarch 22, 1892
StatusPublished
Cited by5 cases

This text of 93 Ky. 67 (Northern Bank v. Hunt's Heirs) is published on Counsel Stack Legal Research, covering Court of Appeals of Kentucky primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Northern Bank v. Hunt's Heirs, 93 Ky. 67 (Ky. Ct. App. 1892).

Opinion

JUDGE PRYOR

delivered the opinion of the court.

In the year 1861, Thomas H. Hunt and Richard Curd were merchants in the city of Louisville under the firm name of Thomas H. Hunt & Co. The partnership had been formed prior to that time. In the conduct of their [69]*69business they drew bills of exchange on planters in the Southern States that were accepted and then discounted by the firm with the Northern Bank of .Kentucky. The bills were presented at maturity and protested for nonpayment.

Before the maturity of the paper, Thomas H. Hunt, one of the members of the firm, went into the confederate army, and when the war terminated took up his residence in New Orleans, where. he lived until his death. The other partner, Richard Curd, left the State and made his domicil in Liverpool, England, where he lived until his death. After the paper matured the bank proceeded to make the firm liable as indorsers of the paper by a proceeding in the Louisville Chancery Court, obtaining attachments that were levied on the real estate in controversy, and sold as the property of the firm in satisfaction of these debts. The bank purchased the property in the year 1863, at the sale ordered by the court by virtue of the attachments. The sale was confirmed, and a deed made, divesting the partners of all title if the sale was valid.

In the year 1883, Thomas H. Hunt instituted the present action in the court below, in which it is contended that the attachment was void, and, therefore, the sale under it passed no title. Hunt having died, the action was revived in the name of his heirs, and Curd being dead, his heirs were also made parties. The title to the real estate levied on was in Richard Curd, as appeared of record; but the facts show that it was partnership property, purchased with partnership means and for partnership purposes. The bank sold this realty after its purchase to its co-appellants or their vendors, and they, [70]*70relying on the bank’s warranty of title, brought the latter before the court in order that the latter might be held responsible on its warranty in the event the title proved defective. It is plain that neither the heirs or devisees of Hunt and Curd would have any interest in this realty until the payment of the debts due by the firm, if no proceeding had been instituted by the bank. The title would pass to them at law, subject to the lien of the creditors through the partners for the payment of the partnership debts. No innocent purchaser has intervened, and the only question presented or necessary to be considered is, was the attachment valid ?

The appellees insist that the attachment was void. There were, in fact, two attachments, there being two suits, one of the actions against T. H. Hunt and R. A. Curd, and the other against Thomas H. Hunt & Co. The summons or process in each case was in the usual form, signed by the clerk, and upon each process was indorsed the order of the attachment. Warning orders were properly made, but no personal service had, as both of the partners were then out of the State.

The process in each case, commanding the parties to appear and answer, is in the name of the Commonwealth of Kentucky; but the order of attachment indorsed on the back of the summons, unless it relates to the summons and is a part of it, does not run in the name of The Commonwealth of Kentucky, but reads: “ The marshal is directed to attach and safely keep the property of the defendants, Thomas H. Hunt & Co., not exempt from execution, sufficient to satisfy plaintiffs’ claim, amounting,” etc.

[71]*71The summons upon which this attachment is indorsed reads:

“The Commonwealth of Kentucky.
“To the Marshal of the Louisville Chancery Court, greeting:
“We command you to summon Thos. H. Hunt and R. A. Curd to answer a petition exhibited against thern in our Louisville Chancery Court by the Northern Bank of Kentucky, 17,954, and warn them,” etc.

The proper affidavits were made and bonds executed in obtaining the attachments; warning orders made on the records of the court; attorneys appointed to correspond, and report filed, etc. The proceedings were all regular and we perceive no reason why the firm was not •divested of all title. It was the property of the firm that was sold and for a firm indebtedness.

It appears from the pleadings and the testimony in the case that the manner of issuing the attachments in this case was in pursuance of a practice sanctioned by the Louisville Chancery Court at the time and for years prior to the date at which this original process issued; and if this proceeding is now to be regarded as void and the indorsement on the summons as forming no part of the writ, the title to all property, real and personal, .acquired under such sales would be questioned, and the mischief resulting from such a precedent could Dot well be estimated; nor would such a decision affect alone the proceedings in the Louisville Chancery Court, as we are aware that a like practice was followed in many of the judicial districts of the State; and when followed for so long a time and recognized by the profession as the proper mode of proceeding, this court, and every other, ■should regard the question as closed. The interpretation [72]*72or construction given this mode of proceeding makes the indorsement of the attachment a part of it, and as the summons runs in the name of the Commonwealth, so does the order of attachment. If the attachment had followed the summons with but the one signature of the clerk, it is then evident that no objection could be made to it; but as the .clerk has affixed his signature — first to the summons and then to the order of attachment — it is contended that the one is divorced from the other, and for that reason the attachment is void. It is not only a reasonable, but a fair interpretation of the Code under which these proceedings were conducted, holding that the entire summons must be regarded as one — that which appears on its face as well as the indorsement upon it.

In the case of the United States v. Bank of North Carolina, reported in 6 Peters, 29, in discussing a question somewhat similar to the one before us, the court, in alluding to the interpretation given the terms of. an act, said: “A practice so long and so general, would of itself furnish strong grounds for a liberal construction, and could not now be disturbed without introducing a train of serious mischiefs. ~We think the practice was founded in the true exposition of the terms and intent of the act; but if' it were susceptible of some doubt, so long an acquiescence in it would justify us in yielding to it as a safe and reasonable exposition.”

The case of Yeager v. Groves, reported in 78 Ky., 278, is not decisive of this case. There it was insisted the attachment was indorsed on the summons, but this court responded by saying that fact did not appear from the record, but an attachment alone signed by the clerk without any command from the sovereign, and for that [73]*73reason the attachment was held to be void. The language-of the opinion may have authorized the inference that if the indorsement had appeared on the summons the attachment would, nevertheless, have been held invalid; still,, the question was reserved, and we have no hesitation in adjudging that the summons with the indorsement upon it should be regarded as the command of the sovereign to summon the defendants and to attach their estate.

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Bluebook (online)
93 Ky. 67, Counsel Stack Legal Research, https://law.counselstack.com/opinion/northern-bank-v-hunts-heirs-kyctapp-1892.