Peet v. de Arnaud

47 N.J. Eq. 502
CourtNew Jersey Court of Chancery
DecidedOctober 15, 1890
StatusPublished

This text of 47 N.J. Eq. 502 (Peet v. de Arnaud) is published on Counsel Stack Legal Research, covering New Jersey Court of Chancery primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Peet v. de Arnaud, 47 N.J. Eq. 502 (N.J. Ct. App. 1890).

Opinion

Pitney, V. C.

By deed dated August 20th,. 1889, the complainant conveyed to the defendant Charles A.' de Arnaud twenty-six lots of land, fifty feet front by one hundred feet deep, situate at East Orange, ■ Essex county, and by deed dated the 24th of August C. A. de Arnaud conveyed them through a third party to his w.ife, Susan ,S. de Arnaud. •

The complainant, by her bill, asks the court to declare all these conveyances fraudulent and void as against her, and to decree a [503]*503reconveyance to lier on payment by her to the defendants of the amount — $1,040—actually paid to her by them, or one of them, for the lots.

The consideration named in each of the deeds is $1.

The substance of the fraud charged by complainant is, that in the transaction in question the defendant C. A. de Arnaud acted as the friend and agent of the complainant, and undertook, as such, to try to find a purchaser for the lots in question; that the complainant was ignorant as to their value and under a misapprehension as to their size, supposing them to be twenty-five feet by one hundred feet each, when in fact they were fifty by one hundred feet each; that defendant C. A. de Arnaud ascertained their actual size and real value, and that after he had received an offer for them of $100 per lot, represented to her that he had contracted to sell them on her account for $45 per lot, demanding the difference of $5 per lot for his commissions and expenses. And as to the defendant Mrs. de Arnaud, complainant alleges that she had notice of the fraud practiced on complainant by her husband, and that the conveyance to her by her husband was without consideration moving between the parties, and that the husband in the principal transaction acted as the agent for his wife and used her money in paying the complainant, and that Mrs. de Arnaud has parted with no money on the strength of the conveyance except that paid to the complainant, which she is ready to return. •

The defendants sever in their answers, the husband denying all confidential relations and misrepresentation and concealment, and the wife alleging that she paid her husband $3,000 in cash for the lots in good faith and without any notice of any fraud.

• The case as developed at the hearing is as' follows:

The complainant is a single lady, living with her. mother, a widow,-at "Washington, D. C. In the lifetime of her father the family lived in New York city, or its neighborhood. Among the assets of her fáther’s estate were these Orange lots, which had been taken by him for a debt, and which were conveyed by the executors of his will to her mother and by her to the complainant. She had never seen them, except on one occasion when she [504]*504drove past them, and knew nothing about their value except a note or two which she had received from real estate agents in the neighborhood, and the amount at which they were assessed for purposes of taxation, and the necessity of paying the taxes with unrelenting regularity. The description in the deed did not disclose their size, though it could have been determined therefrom with ease by a surveyor or engineer. She had' a rough plot of them, not drawn to a scale, showing, among others, her lots, marked with a “ P,” which was equally silent as to their size, unless it might be inferred from the figures “50” written on two adjoining lots, apparently of the same size as her own.

Among the acquaintances of complainant’s mother while living in the vicinity of New York were a Mr. and Mrs. Eisher, persons I infer of about the same age with her. In 1885, and after Mrs. Peet and her daughter had removed to Washington, Mr. Eisher died, leaving his widow a handsome fortune. She also came to Washington, and there met, and in January, 1888, married, her present husband, Charles A. de Arnaud, some twelve years at least her junior, he being at that time about fifty-five years old, and she, as he swears, some sixty-seven years old. The husband claimed to be a Russian by birth, and a civil and military engineer by profession, and to have served in the Federal army in the late war, and to have been wounded in such service, and to have a large claim against the government arising out of his military services, and he received the title of “ colonel.”

The defendants after their marriage lived in Washington in winter, and at Carlton Hill, near Rutherford, Bergen county, in the summer. Mrs. Peet and Mrs. de Arnaud renewed their acquaintance in Washington and visited each other there, and thus arose the acquaintance between the complainant and defendant Colonel de Arnaud.

In the latter part of May, 1889, just before defendants were about to leave Washington for Rutherford for the summer, on the occasion of a visit of the defendants to Mrs. Peet — according to the evidence of complainant and her witnesses', whose account I shall in the main follow — the subject of the summer sojourn of the defendants at Rutherford was-mentioned, and complainant [505]*505•asked how far that was from East Orange and could Colonel de Arnaud find out anything about her lots and find a purchaser for them. He replied that he would do what he could with pleasure and without charge, and remarked that he thought of doing something in real estate in Jersey. At the same time •complainant disclosed her ignorance of their value and her anxiety to sell them on account of the heavy burden of taxes they imposed upon her.

The complainant has fixed this interview as taking place in •the latter part of June, but that she is mistaken, and it took place earlier, appears from a letter she received from Colonel de Arnaud dated June 3d, at Carlton Hill, in which he writes as follows:

“Your favor I have received [The letter here acknowledged is not produced by the defendant.] And in reply I beg to say if you will send me the prize for your lots in East Orange, N. X, I will submit the same to a party, as to make an offer for them is out of the question for you wish to sell, hence you are the one to name the prize and the party wishing to purchase to aprove.”

The remainder of the letter shows that the defendants were .already settled down for the season at Carlton Hill, but proposed shortly to make a brief visit to Washington.

Between the receipt of that letter and July 6th, probably on July 4th, complainant either sent or handed to Colonel de Arnaud, at his request, several letters which she had received from real estate agents in regard to the lots and some tax receipts. She also, at his request, made a copy on tracing-clo.th of the rough map she had of the lots and sent or handed both to him. He gave as a reason for wishing two copies of the map that he needed an extra copy to hand to prospective purchasers. On this tracing-cloth plot is marked in the complainant’s handwriting “ 25x100.” These figures were made apparently with the same pen and ink and at the same time as the other pen-work on the map. She swears she supposed that was their actual size, and so told and wrote Colonel de Arnaud.

On July 6th Colonel de Arnaud wrote her a letter purporting to be from 1ns wife, and signed with her name, and addressed to [506]*506the complainant, which acknowledges the receipt of a letter from •the complainant of the 4th instant (not produced) and further on .says:

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Bluebook (online)
47 N.J. Eq. 502, Counsel Stack Legal Research, https://law.counselstack.com/opinion/peet-v-de-arnaud-njch-1890.