President of the Bank of the United States v. Beverly

42 U.S. 134, 11 L. Ed. 75, 1 How. 134, 1843 U.S. LEXIS 292
CourtSupreme Court of the United States
DecidedMarch 13, 1843
StatusPublished
Cited by22 cases

This text of 42 U.S. 134 (President of the Bank of the United States v. Beverly) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
President of the Bank of the United States v. Beverly, 42 U.S. 134, 11 L. Ed. 75, 1 How. 134, 1843 U.S. LEXIS 292 (1843).

Opinion

Mr.-Justice BALDWIN

delivered the opinion of the court.

.A summary of the points decided, and principles settled in the •former case between these parties, will save much time- in the investigation of those which are involved in this.

After taking a condensed view of the will of David Peter, the court declare, that he had unquestionable right, so far as respected his children, to charge the payment of his debts upon any part of his estate he might think proper, and that none -but a creditor could control his will in that respect; that he had constituted his widow'the trustee of the proceeds of all his estate, for the maintenance and education of his children; and inve.sted her with unlimited discretion in this respect, so'-far as the proceeds of his estate would go. Whereby the surviving executor js not accountablé for any thing so applied by her, even if she would be chargeable with a devastavit, and that the- proceeds of all his estate being thus vested in the widow, would render it necessary,' independent of any express direction in the will, that recourse be had to the real estate for the payment of the debts. 10 Peters; 502, 563. • The court then decide, that the surviving executor had power to sell, and that, it was impossible to draw any other conclusion, than that it was the intention of the testator that the sale should be so made. 10 Peters, 566. . On the inquiry whether there is any subsisting debt due from the estate of David Peter to the banks, the court say, there is no pretence that they have been paid in fact, and if not, the trust remains unexecuted, and the land still remains charged with it. If the executors have paid the banks, or the banks have accepted their notes in payment of the notes of the testator, the only effect is, that the executors became the creditors instead of the banks, and may resort to the trust fund to satisfy the debt. But the court also say, that under the circumstances of the case, there is.no ground for con-, sidering the debt of the banks to be extinguished, and they then proceed to state the result of their consideration to be this.

*148 That the will created a power coupled with an interest that survives; that the surviving executor is the person authorized to execute that power and fulfil'that trust; that the debt due the banks has not' been extinguished, or the estate in any way discharged from the payment. That the executors, are not chargeable with negligence or such misapplication of the personal estate-as to make them responsible for the payment of these debts; and that from the auditor’s report on the accounts of the executors, exhibited to, and alldwed by him, there has at ail times been, and now is, a considerable balance in favour of the executors against the estate. The court, then, refer to the exceptions taken to the auditor’s report, and declare them to have been properly overruled by the court below, and proceed to render their .decree as before referred to. 10 Peters, 569, 570.-

So far, then, as related to the construction of the will, the disposition of the personal property, the charge of existing debts on the real estate, the power of the executor, the existence of a trust, and their duty to execute it by a sale of the property charged by the will, the decision of the court has settled’ the rules and principles on which the present controversy must be determined if they are applicable; it was made on great consideration, founded on,r uthority, and. nothing which has been urged, in the' argument of this case has caused us to entertain the least doubt of its entire conformity to the well established law of equity. So far as the evidence and facts of that case were considered and adjudicated, the .decree of this court is final and conclusive; the parties and the subjects of controversy between them were the same as are now before us; negligence and misapplication of assets were charged on the executors, the existence of debts to them or the banks was. denied by the then complainants, and now defendants, and both facts adjudged and decided adversely to them ;• and the auditor’s report was confirmed, whereby every fact it contained became established and binding on the parties in any future controversy, as to any matter thus adjudicated.

In Hopkins v. Lee, this court state the settled law of all courts to be, that, as a general rule, a fact which has been directly tried and-decided by.a court of competent jurisdiction, cannot be contested again between the same parties, in the sa. .e or any other’ court. Hence a verdict and judgment of a court of record, or a *149 decree in chancery, although not binding on strangers, puts an end to all further controversy concerning the points thus decided between the parties to such suit. In this, there is, and ought to be, no difference between a verdict and judgment in a court of common law and. a decree of a court of equity. They both stand on the same footing. 6 Wheat. 113,114; S. P. 1 Wheat. 355; 12 Peters, 492. Whatever, therefore, our opinion might now be as to the facts adjudicated in the former case, the judicial power is incompetent to revise the evidence on which the decree was rendered, on any ground now set up in the answer of the defendants, or apparent on the present record, and they must be taken to be beyond all controvery in this or any future case between the parties. Before proceeding to consider the questions appropriate to this cause, a reference to the case- of Fenwick v. Chapman, 9 Peters, 466, will be useful, in order to ascertain-what principles were there laid down and are applicable to the ' present controversy. Adopting the general rule that the personal estate of a testator shall in all case's be primarily applied to the "discharge -of his personal debts of general legacies, unless he by express words or manifest intention exempt it, the .court thus qualify the rule; -where the testator’s intention clearly appears that a legacy shall be paid at all events, the real estate is made ■ liable on a deficiency of personal assets. So where without any assistance from the will, the nature of the thing to be done may clearly show the intention to charge the real estate with a debt; as, where the thing to be done cannot be partially performed by the executor, without defeating the instruction which directs it, and the thing itself. On this principle the court holds, that the manumission of slaves pursuant to-the directions of a will under the law of Maryland (which is the law of the eastern part of this district) operates ás a specific legacy to the slaves, and to charge the real estate with the payment of the debts of the testator, even though -he may have, at the time óf his death; no other personal property than slaves. 9 Peters, 47"!, 473. That the creditor-may be Carried into a court of equity, or voluntarily resort to it to obtain his debt,'either from, the lands or the personalty, when the testator leaves it. doubtful from what fund his debts are to be paid; that lands devised for the payment of debts, or which have become chargeable by implication, constitute *150 a fund for the payment of debts, and an ample and plain remedy is admitted to exist in the law of Maryland, so-to apply them.'

“ The will is the executor’s law, and he is no more than the testator’s representative' in all things lawful in the will.

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Bluebook (online)
42 U.S. 134, 11 L. Ed. 75, 1 How. 134, 1843 U.S. LEXIS 292, Counsel Stack Legal Research, https://law.counselstack.com/opinion/president-of-the-bank-of-the-united-states-v-beverly-scotus-1843.