Riggs v. Price

210 S.W. 420, 277 Mo. 333, 1919 Mo. LEXIS 27
CourtSupreme Court of Missouri
DecidedMarch 15, 1919
StatusPublished
Cited by18 cases

This text of 210 S.W. 420 (Riggs v. Price) is published on Counsel Stack Legal Research, covering Supreme Court of Missouri primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Riggs v. Price, 210 S.W. 420, 277 Mo. 333, 1919 Mo. LEXIS 27 (Mo. 1919).

Opinion

WALKER, J.

This appeal seeks a review of a judgment rendered in the Circuit Court of DeKal'b County, in a suit brought by plaintiff, as trustee in bankruptcy of the estate of Thomas Price, to set aside as fraudulent deeds to certain land in said county, transferring the title to same to the defendant, the wife of Thomas Price. The trial court adjudged the deeds fraudulent and decreed that the title to the land was in the trustee, subject, to a homestead interest of $1500, a mortgage for $5500 of prior date to said deeds, and a mortgage for $1000 made by the defendant subsequent to the transfer of the land to her. Neither party being content with the findings of the trial court, both appealed; the defendant from the entire judgment, and the plaintiff from the finding as to the $1000 encumbrance. A single review will suffice to determine all of the matters at issue.

Pleadings. After the formal allegations, proper in a proceeding of this character, concerning which there is no controversy, the petition avers in substance the ownership by Thomas Price on October 8, 1913, of the land, describing it; that the same was encumbered by a mortgage theretofore given by him to secure a debt of $5500; that at the time of the making of the deeds, Thomas Price was indebted to various persons, firms and corporations in the sum of $44,647, and was insolvent, and had no property with which to pay his [340]*340debts; that while so insolvent, he and his wife, Ivie Price, with the intent to hinder, delay and defraud his creditors then existing, made a general warranty deed whereby, for a fictitious purported consideration of $7500, they conveyed the land to one John Price, a brother; that the deed thereto was without consideration and was made and executed for the purpose of transferring the title of said land to grantor’s wife, Ivie Price; that on the day immediately after the execution of the deed to John Price, the latter quit-claimed and released the land to Ivie Price for a purported consideration of $10; that no consideration in fact passed; that John Price was a mere conduit for the purpose of transferring the title to the land from Thomas Price to his wife, Ivie Price; that each of said conveyances was made while Thomas Price was insolvent, for the purpose of defrauding his creditors, and that his insolvency and the purpose of said transfers were known at the time to each of said grantees; that Thomas Price has no property out of which his creditors can satisfy their debts, and has not had since October 8, 1913; that the trustee has no adequate remedy at law to subject said land to the payment of the debts of Thomas Price, nor for obtaining assets with which the claims of his creditors may be satisfied; that the land cannot be subjected to the payment of Thomas Price’s debts, and become available to the trustee in bankruptcy for that purpose, unless the conveyances aforesaid be annulled and set aside, and the land declared to be the property of Thomas Price, bankrupt; that at the time of said conveyances, the land was occupied by Thomas Price as a homestead and he resided thereon; that the value of same at the time, and at all times since has been, $12,500; that Thomas Price was entitled to a homestead therein of th¿ value of $1500; that the value of the land, exclusive of the mortgage for $5500 and the homestead interest in same, is $5000, which sum should be devoted to the payment of the claims of his creditors; that of the indebtedness of Thomas Price existing [341]*341at the time of said transfers, there has been adjudicated claims in bankruptcy in the United States District Court against his estate in the sum of $14,622.97; that additional claims have since been presented for allowance; that the’ entire assets of said estate, exclusive of the land, amount to no more than $166'.

The prayer asks that the deeds to said land he canceled, and for naught held, and that Ivie Price take nothing thereby, except the value of the homestead, and that said property.be ordered .sold subject to the mortgage for $5500, and that the proceeds, after paying Ivie Price $1500 be paid to plaintiff, as trustee in bankruptcy for the benefit of the creditors of Thomas Price, and for such other orders, judgment and decree as are proper in the premises.

The answer admits the marriage relation; the. ownership of the land; that it is the homestead of Thomas Price; that deeds were'executed as stated, and the existence of the encumbrance. All other allegations are denied generally. After a hearing, the court took the case under advisement, and in October, 1915, rendered a judgment therein for plaintiff.

Judgment After formal findings as to the bankruptcy of Thomas Price, the trusteeship of plaintiff,, and his ^hority as such herein, the court finds that ” the defendant is the wife of Thomas Price; his ownership of the land, describing it, and the conveyances of same, and his insolvency at the time; that the transfer to John Price and his deed to Ivie Price were made without consideration and for the purpose of placing the title to said land in the defendant, Ivie Price, and were voluntary and void as to the creditors of Thomas Price, and as to 'his bankrupt estate, and as to the plaintiff, as trustee of same; that Thomas Price and his wife, Ivie Price, the defendant, occupied said land as a home, and that said Ivie Price is entitled to retain a homestead therein of the value of $1500; that the deeds made by Thomas Price to John Price and by John Price to Ivie Price be canceled and for naught [342]*342held, except as to the homestead; and that the title to said real estate be vested in plaintiff as trustee in bankruptcy of the estate of Thomas Price, subject to the encumbrance of $5500, and one for $1000, and the homestead right of said Ivie Price.

It was developed by the testimony, but does not otherwise appear in the record, that the $1000 mortgage on the land was placed thereon by the defendant after the fraudulent conveyance of same to her.

The Facts The facts disclose that Thomas Price was adjudged a bankrupt on his voluntary petition in the United States District Court for the Western District of Missouri, March 19, 1914; that his indebtedness at the time the deeds to said land were made, and at the time of his adjudication as a bankrupt, was even greater than alleged in the petition; that his assets at said times were insufficient to satisfy same. In other respects, the facts are in substantial accord with the averments of the petition. The main issue at the trial was whether on the 8th day of October, 1913, the financial condition of Thomas Price was such as to endanger the claims of his creditors by the transfer of the title of said land to his wife, the defendant. Incidental »to this issue are other matters of fact, a presentation and discussion of the legal force and effect of which will, where necessary to the determination of this case, be made in the opinion.

The defendant’s assignments of prror are .as follows :

The absence of jurisdiction; the insufficiency of the petition; the .improper admission on the part of the plaintiff, and exclusion on the part of defendant, of testimony; and the refusal to permit Thomas Price to testify on the part of his wife, the defendant. Other assignments, formal in their nature, are incidental to and dependent for their determination upon the conclusions which may be reached in regard to the foregoing. The plaintiff’s assignment of error is that the judgment is n'ot responsive to the pleadings.

[343]*343

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Bluebook (online)
210 S.W. 420, 277 Mo. 333, 1919 Mo. LEXIS 27, Counsel Stack Legal Research, https://law.counselstack.com/opinion/riggs-v-price-mo-1919.