Reeg v. Burnham

20 N.W. 708, 55 Mich. 39, 1884 Mich. LEXIS 428
CourtMichigan Supreme Court
DecidedOctober 8, 1884
StatusPublished
Cited by7 cases

This text of 20 N.W. 708 (Reeg v. Burnham) is published on Counsel Stack Legal Research, covering Michigan Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Reeg v. Burnham, 20 N.W. 708, 55 Mich. 39, 1884 Mich. LEXIS 428 (Mich. 1884).

Opinions

Sherwood, J.

On the 9th of October, 1880, the Superior Court of Detroit made a decree in a suit for divorce in favor of complainant and against the defendant Leonard Reeg, and for alimony. On the 30th.day of August, 1881, thirty dollars was due and unpaid on the decree for alimony, and execution was issued thereon and returned by the sheriff unsatisfied for the want of property from which to make it. On the 5th day of January [1883] there was due and unpaid upon-said decree, by the terms thereof, $765.61, and on the next day complainant caused execution to be issued therefor, which was returned unsatisfied. On the 11th day of January, 1883, the judge of the Superior Court made an additional decree in said cause in favor of the complainant, and against the defendant Reeg, for the sum of four thousand dollars, to be [41]*41paid forthwith by the said defendant, and that complainant might have execution therefor. On the 12th day of March, 1883, complainant caused execution to be issued against the defendant Keeg for the amounts then due upon said decrees, and placed it in the hands of the sheriff, and that said writ, for the want of property, was returned unsatisfied on the 14th day of May thereafter. The bill in this case was filed on the 12th of March, 1883, by the complainant as a judgment creditor, and for the purpose of reaching personal property of defendant Eeeg to satisfy the above-mentioned decrees, in the hands or under the control of the other defendants, but which is alleged to be equitably the property of the defendant Eeeg, the legal title thereto having been fraudulently transferred by him to his co-defendants for the purpose of defrauding the complainant out of the moneys due upon said decrees.

In addition to the facts above stated, the bill avers that at the time of making the first above-mentioned decree, and for several years previous thereto, defendant Eeeg had been engaged in mercantile business in Detroit, and continued to be thereafter until about January 1, 1883; that at the time of filing the bill he had a large amount of claims outstanding due to him, for which he held paper and other securities, and owned a large amount of goods and wares and other personal property, which belonged to him and in which he was interested, and which he might and ought to apply to the payment of her decrees; that he owned and controlled, in a store occupied by him in Detroit, a large stock of dry goods, notions and ladies’ goods, and other merchandise, more than sufficient to satisfy her decrees; and that for ten months prior to filing her bill the defendants, other than Eeeg, have been in possession of them and pretend to be the owners of them.

The bill further avers that Eeeg is the equitable owner of said property, and has been for several years, and that if he has made any transfer of the same it has only been colorable, and made with a view to protect them against the decrees of complainant, while Mr. Eeeg in fact enjoys the avails thereof, and that the other defendants had notice of these facts; that [42]*42the other defendants, or some of them, have under their control other property, debts, things in action or effects in possession belonging to or held in trust for the said defendant Reeg, beyond the reach of execution, and which she asks to have applied to the payment of the latter’s indebtedness, and which ought to be so applied.

The complainant also shows and avers, in a supplemental bill, the issuing of execution and its return not satisfied, upon the last decree as above stated. The relief asked is that the property of Reeg aforesaid, may be applied to the payment of her decrees ; that an account be taken, under the statute!,' of the property received by the other defendants from defendant Reeg; that the defendants be enjoined from disposing of any of such property; and that a receiver be appointed, according to the practice of the court and for the usual purpose in sueli cases, and further prays for general relief.

The bill was taken as confessed by the defendant Reeg, he failing to appear or answer. The other defendants made their joint and several answer thereto, wherein they say they have no knowledge or information in regard to the decrees, amounts due thereon, or the efforts to collect them stated in the bill. They admit that defendant Reeg was engaged in • the mercantile business before and after the time the bill in this case was filed, and up to the last day of August, 1881, but deny that thereafter he was engaged in business on his own account, or otherwise than as an employee of another; and deny that defendant Reeg had any property, things in action or equitable interests, except what was exempt from execution, after the last-mentioned date, as charged in the bill. They admit that he kept store in Detroit, and that he had a stock of dry goods, but deny that the stock was largo or valuable, or that he owned or had any interest therein after September 1, 1881.

The defendants further admit that Corwin, or those claiming under him, was, within two months immediately preceding the filing of the bill, in possession of a certain stock of goods in the store in Detroit mentioned in the bill, but aver that the stock did not belong to defendant Reeg, [43]*43and that he had no interest therein, and that Corwin, or those claiming under him, were the owners thereof. They further deny that Beeg has or had any goods in Detroit, except a few store fixtures, since about the 13th of September, 1881, or that said defendants, or either of them, have any property in their possession belonging to said Beeg, or in which he has any interest, and hold no property in trust for him.

Defendants further aver that defendants Burnham, Munger and Stoepel were copartners under the firm name of J. K. Burnham & Co., and engaged in the wholesale dry goods business in Detroit, and about the 13th of September, 1881, defendant Beeg, having less than twelve hundred dollars worth of goods, which were mortgaged, and being indebted for rent and unable to continue in business longer’, went to J. K. Burnham & Co. and offered to transfer to them, or any person they might designate, his stock of goods, provided the business could be continued, and he, defendant Beeg, be given employment in the business; and further say that J. K. Burnham & Co. yielded to his solicitation therefor, and Beeg executed a bill of sale to J. K. Burnham & Co.’s clerk, at Burnham’s suggestion, one Edward H. Dunning, who continued the business in the store where defendant Beeg had done business, and continued him in the store and in charge of the business — J. K. Burnham & Co. really being the owners and who subsequently qtaid up the back rent due and the mortgage on the goods, and furnished to said Dunning such goods as defendant Beeg from time to time selected, the latter having the charge of and operating the business, and drawing therefor enough to pay his personal expenses, and relying on the company for his compensation and such as they saw fit to give him; that in this manner Beeg continued the business until September 16, 1882, under the name of E. H. Dunning & Co.; that about that date said Dunning, in the name of E. H. Dunning & Co., at the request of J. K. Burnham & Co., executed a bill of sale of the stock, fixtures and furniture to the defendant Corwin, in consideration of his assuming the liabilities which had been contracted in the business, and thereafter the busi[44]*44ness was conducted in a similar manner by defendant Reeg, under the name of Corwin & Co., until the 3d or 4th day of January, 1883.

Free access — add to your briefcase to read the full text and ask questions with AI

Related

Blackburn v. Cherokee Lumber Co.
67 S.E. 915 (Supreme Court of North Carolina, 1910)
Vincent v. Sherwood
76 N.W. 107 (Michigan Supreme Court, 1898)
Doherty v. Holliday
32 N.E. 315 (Indiana Supreme Court, 1892)
First National Bank v. Jaffray
41 Kan. 694 (Supreme Court of Kansas, 1889)
Chamberlin v. Jones
16 N.E. 178 (Indiana Supreme Court, 1888)
Blair v. Smith
15 N.E. 817 (Indiana Supreme Court, 1888)
Krolik v. Root
30 N.W. 339 (Michigan Supreme Court, 1886)

Cite This Page — Counsel Stack

Bluebook (online)
20 N.W. 708, 55 Mich. 39, 1884 Mich. LEXIS 428, Counsel Stack Legal Research, https://law.counselstack.com/opinion/reeg-v-burnham-mich-1884.