Portales Nat. Bank v. Beeman

196 P.2d 876, 52 N.M. 243
CourtNew Mexico Supreme Court
DecidedJuly 22, 1948
DocketNo. 5052.
StatusPublished
Cited by2 cases

This text of 196 P.2d 876 (Portales Nat. Bank v. Beeman) is published on Counsel Stack Legal Research, covering New Mexico Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Portales Nat. Bank v. Beeman, 196 P.2d 876, 52 N.M. 243 (N.M. 1948).

Opinion

BRICE, Chief Justice.

The plaintiff (appellee) sued the defendant on a promissory note. Constructive service was obtained by personal service of notice of suit on defendant in the state of California. Jurisdiction was obtained by attaching certain real estate and garnisheeing an indebtedness evidenced by three promissory notes made by J. D. Nuckols, garnishee in this proceeding, and alleged to be the property of defendant. The intervenors (appellants) among them claimed the property attached and garnisheed.

The trial court concluded that the property in question belonged to defendant Bee-man and that the interveners had no interest therein; that it should be subjected to the payment of plaintiff’s debt, which was in excess of $4,000.

Interveners Liddon W. Cowden and Olen R. Cowden each claimed ownership of 240 acres of the 480 acres of underlying minerals attached; and intervener Eileen D. Cowden claimed to be the owner of the three mortgage notes garnisheed, which aggregated the principal sum of $1,800.

The alleged titles of interveners Liddon W! Cowden and Olen R. Cowden are each evidenced by a mineral deed, and that of Eileen Cowden by an assignment; all executed by W. H. Beeman, who at the time was the apparent owner of record.

On January 22, 1946, the defendant owed the plaintiff a promissory note in the principal sum of $4,191.63, no part of which had been paid. -On that date this suit was filed, and the real estate in suit, claimed by interveners Liddon W. Cowden and Olen R. Cowden, was attached, allegedly as the property of the defendant; and the debt of $1,800 claimed by intervener Eileen D. Cowden, was garnisheed as a debt due defendant. On the 26th day of January, 1946, the district clerk issued a notice of this suit pending, directed to the defendant, a copy of which was served upon him personally in Los Angeles, California, on the 2nd day of February, 1946, but he did not answer, or otherwise appear in the case.

Each of the interveners claimed title to the property of record in his or her name by virtue of an executed oral trust, the details of which are in substance as follows:

Elizabeth R. Beeman was the great-aunt of interveners Olen R. and Liddon W. Cowden and had cared for them in her home from their infancy as if they had been her own children. The two young men were in the United States Army from late in 1942 to late in 1945. Intervener Eileen D. Cowden was the wife of intervener Olen R. Cowden. W. H. Beeman and Elizabeth R. Beeman were husband and wife and resided in California on April 19, 1944. Elizabeth R. Beeman owned the property in suit as her separate property. On the date last mentioned Mrs. Beeman entered into an oral agreement with her husband, in which it was agreed between them that she would transfer to him as trustee of an express trust the property in suit, and that as such trustee he would convey and assign the same to the respective interveners. To carry out the oral trust agreement on her part Mrs. Beeman then and there conveyed or assigned the property in suit to Beeman. She died January 17, 1945.

In executing the trust, as it is said, Bee-man conveyed the real estate and assigned the mortgage notes and mortgage on May 14, 1945 to the respective interveners, as heretofore stated.

In answer to these claims of interveners the plaintiff in substance pleaded defenses as follows:

1. That no trust as alleged was created by the Beemans.

2. That the property in suit was the community property of Beeman and wife at the time Mrs. Beeman conveyed and assigned it to Beeman, and was subject to the payment of community debts.

3. That the mineral deeds and assignr ment from Mrs. Beeman to Beeman were never executed, or if executed were never delivered to Beeman before Mrs. Beeman died, and never became effective.

4. That if the deeds and assignment made by Mrs. Beeman to defendant Bee-man were made by her to effectuate an oral trust, then the trust agreement was void because not in writing.

5. That the mineral deeds and assignment were void because delivered after the property was attached and garnisheed, and after defendant had been served with process in this suit.

6. That the property in suit was the community property of Beeman and wife “and subject to the payment of their said •indebtedness; and any attempted assignment or disposition thereof by W. H. Bee--man was wholly fraudulent and void; and plaintiff states on information and belief •that such was made for the purpose of cheating and defrauding his creditors, and particularly that due this plaintiff.”

7. That plaintiff had no actual or constructive notice of any claim of interveners to the property in suit until the mineral property was attached and notes garnisheed ; and it believed in good faith that all this property belonged to the defendant Bee-man at that time. That the deeds and ■mortgage records of Roosevelt County “showed” nothing other than that W. H. Beeman was the absolute owner of such property.

The substance of the facts found by the Court material to a decision of the issues between the plaintiff and interveners, is as follows:

The defendant and Elizabeth R. Beeman were husband and wife. Mrs. Beeman died January 17, 1945 in the state of California, where they were living at that time.' The interveners, Olen R. Cowden and Liddon W. Cowden, were grandnephews of Mrs. Beeman, and Eileen D. Cowden was the wife of Olen R. Cowden. The interveners grandnephews, were taken into the home of the defendant and wife at the ages of two and four years respectively, and lived with the Beemans as their children. They entered the armed service of the United States about 1942 and remained there for three years or more. They were cared for, educated and in every way treated as though they were the Beemans’ own children.

On the 10th day of April, 1944, Elizabeth R. Beeman owned six notes of $500 each and one of $800, aggregating $3,800, executed by garnishee J. D. Nuckols and his wife Mildred Nuckols, secured by a mortgage on real estate. On that same date Elizabeth R. Beeman owned the minerals underlying 480 acres of land situated in Roosevelt County, New Mexico.

On the 19th day of April, 1944, Mrs. Beeman executed a written assignment of the unpaid notes and mortgage securing them, to the defendant William H. Bee-man; and on the same day she executed a mineral deed, purporting to transfer to the defendant Beeman “as his sole and separate property,” the mineral interest in the 480 acres of land just mentioned, which were filed for record in the public records -of Roosevelt County, New Mexico on February 16, 1945.

On the 4th day of February 1946 there was filed for record in the mortgage deed records of Roosevelt County, New Mexico an assignment of the notes and mortgage in suit, from William H. Beeman to intervener Eileen D. Cowden. At that time there were unpaid two $500 notes and one $800 note, a total of $1,800.

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Bluebook (online)
196 P.2d 876, 52 N.M. 243, Counsel Stack Legal Research, https://law.counselstack.com/opinion/portales-nat-bank-v-beeman-nm-1948.