Rice v. O'Keefe

53 Tenn. 638, 6 Heisk. 638, 1871 Tenn. LEXIS 407
Tennessee Supreme Court·Decided November 8, 1871·Published

Opinion

Nicholson, C. J.,

delivered the opinion of the court.

On the 21st of March, 1861, complainants filed their injunction and attachment bill against defendants in the Chancery Court at Knoxville. They allege that defendant O’Keefe was indebted to them in the sum of $627.45, by note dated August 28, 1860, payable six months from date to J. Eisher & Co., and by them endorsed to complainants.

They allege further, that on the 20th of December, 1860, O’Keefe executed to defendant Ingles a deed for a tract of land in Knox county, but in trust to indemnify said Ingles as his surety in a bond by which defendant O’Keefe bound himself to pay certain specified debts of the firm of Walker, O’Keefe & Co., amounting to about $3,300, and a debt to Martin O’Keefe, of about $887. They charge [640] that on account of certain provisions in the deed it was fraudulent as to creditors, and for that reason they pray that it may be set aside.' But if this cannot be done, they pray that the land be sold, and that their debt be satisfied out of the surplus.

Injunction and attachment process issued, and were regularly executed and levied.

Defendants 'O’Keefe and Ingles answered jointly, admitting the execution of the trust deed, as alleged, but denying that the conveyance was fraudulent in law or in fact. O’Keefe admits the debt due by him to complainants.

In November, 1865,' complainants filed their supplemental bill, in which they allege that at an early period in the war defendant Ingles, in violation of the injunction, sold and conveyed the land described in the trust deed to C. W. Charlton, for an amount exceeding by several thousand dollars the amount of the debts secured, and that Charlton afterwards conveyed the land to Rufus McClung. They charge that both of these sales were made for Confederate money, and that defendant Ingles, shortly after the sale to Charlton, deposited with the clerk of the Chancery Court the amount of complainant’s claim in Confederate notes, and they deny that this was any valid payment. They insist, that as the injunction had not been dissolved, and as Charlton and McClung purchased with notice of- the injunction and attachment, the land still stands chargeable with their claim.

They make O’Keefe, Ingles, Charlton, and McClung defendants to the supplemental bill.

[641] McClung answers, that on the 15th of September, 1862, Ingles and O’Keefe executed to Charlton a deed for the land for the consideration of $10,000, which was paid by him in Confederate money, and that after-wards Charlton conveyed the land to defendant McClung. He says he does not know that the injunction had been dissolved, but he alleges that one of the solicitors of complainants in said suit was consulted by O’Keefe and Ingles previous to said sale, as to the propriety of selling the property, and that said solicitor expressly consented on behalf of complainants that the land might be sold by Ingles, notwithstanding the injunction, provided a portion of the purchase money equal to the amount of complainants’ claim was paid into court, or otherwise secured, to await the result of the suit; and he states that the sale was made in consequence of the consent of the' solicitor so given. He further states that Ingles and O’Keefe did deposit the amount of complainants’ claim in the clerk’s office to await the result of the cause. He says that it was the understanding of all the parties, complainants’ solicitor included, that the money was to be paid in the common currency of the country, which, at the time, was Confederate money

Judgments pro oonfesso were taken against O’Keefe, Charlton and Ingles.

At the June Term, 1871, the cause was heard, when the Chancellor decreed that the deposit of the Confederate treasury notes was no satisfaction of complainants’ claim, and that the lien still subsists, and may be enforced against the land, etc. He gave [642] judgment against Ingles for the amount of complainant’s claim, and interest, and ordered an account, etc. From this decree McClung has appealed to this court. This limits our investigation to the decree against McClung.

The .first question to be settled is, whether the lien of the attachment and injunction was still in force when Charlton purchased the land? If it had been discharged, it was not done by any action of the court, but by the consent of complainants’ counsel in agreeing that the sale might be made. The counsel would have a right to bind their clients by such agreement, and if the evidence shows such agreement, complainants- can not now insist on their lien, unless the authority of the solicitor to give consent was revoked by the existence of the war. Mr. Washburn, • the solicitor of complainants, was examined on this point, and he said “that some time after the bill was- filed, but the precise time not remembered, Col. O. P. Temple, who was the solicitor for defendants, came to me and asked me if we could not make some arrangement by which the land could be sold. I told him that all I wanted was the money for the complainants’ debt, and if that was paid to me, of course I would oppose no obstacle to the sale. Nothing further was said about it, so far as I can remember.”

O. P. Temple, solicitor for defendants, was examined, and said:

“I was consulted by O’Keefe, Ingles and Charlton at the time the sale was made, and I drew the deed, [643] and I remember I advised them that the title would be good. My recollection is, that Mr. "Washburn was consulted with at that time in reference to that sale, and that he assented to it; and this fact, or recollection, is strengthened by the fact that I advised all the parties that the title would be good, which I would not have done if I had not known he assented.”

Wm. Ingles, the trustee, was examined, and said:

“After the suit was brought the land was sold. I was present at the sale. I was requested to make a deed for the land to C. W. Charlton, the purchaser, which I refused to do, without the consent of Mr. Washburn, the attorney in the case for Rice, Chase & Go. The sale was negotiated in the office of Temple & Rodgers. Mr. Washburn did consent to the sale. * * I refused to sign or acknowledge the deed until Mr. Washburn was sent for to get his consent. He did give his consent as attorney for his clients. After his consent, I did sigh and acknowledge the deed.”

These witnesses all agree substantially in the fact, that the land was sold by Ingles and O’Keefe to Charlton with the consent of Wm. Washburn, acting as attorney for complainants. This relieves Charlton of any violation of the injunction ’ or attachment lien in making the purchase, and gave to him a good title to the land, freed from the lien of the attachment or injunction, unless we shall find that the war suspended the power of Mr. Washburn, as solicitor of complainants, to bind them by consenting to the sale.

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Rice v. O'Keefe, 53 Tenn. 638, 6 Heisk. 638, 1871 Tenn. LEXIS 407 (Tenn. 1871).

53 Tenn. 638 (Rice v. O'Keefe) — published by Counsel Stack Legal Research, free access to 12M+ legal documents.

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