St. George State Bank v. Marshall

1940 OK 51, 100 P.2d 432, 186 Okla. 500, 1940 Okla. LEXIS 31
CourtSupreme Court of Oklahoma
DecidedJanuary 30, 1940
DocketNo. 29081.
StatusPublished
Cited by2 cases

This text of 1940 OK 51 (St. George State Bank v. Marshall) is published on Counsel Stack Legal Research, covering Supreme Court of Oklahoma primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
St. George State Bank v. Marshall, 1940 OK 51, 100 P.2d 432, 186 Okla. 500, 1940 Okla. LEXIS 31 (Okla. 1940).

Opinion

HURST, J.

The St. George State Bank of St. George, Kan., brought this action to subject certain land in Muskogee county to a judgment against the defendant Martha Marshall, theretofore obtained by it in Kansas. By answer Martha Marshall asserted ownership of a life estate only in the land. Ada L. Stuart, Charles F. Marshall, Jesse J. Marshall, Earl Kenneth Marshall, and Helen Katherine Marshall Duncan intervened, claiming the ownership of such land, subject to the life estate of Martha Marshall. By amendment, interveners also pleaded that under the laws of Kansas, property given by will to any person for life, and after his death to his heirs in fee, vested only a life estate in such part taken. They also pleaded that the will of Henry C. Marshall, which was referred to in their petition in intervention, and attached to the answer of the defendant, should be construed according to the laws of Kansas. The case was tried on an agreed statement of facts, and the trial court gave judgment for plaintiff, but held that the defendant Martha Marshall was the owner of a life estate in the lands in question, and denied plaintiff’s right to levy upon any greater interest in aid of its judgment. Plaintiff appeals.

The facts, with one exception which will be referred to hereafter, are not disputed. Henry C. Marshall died in 1921, a resident of the state of Kansas, leaving a will, the pertinent portion of which is as follows:

“Second: I will and devise unto my beloved wife, Martha Marshall, all and singular the property of which I may die seized and possessed, both real and personal and mixed, and whatsoever situate, for the period of her natural life; and I specifically direct that she have and use the said property and all of same as she may desire, both income and principal.
“Third: I further devise and bequeath, subject to the life estate herein granted unto my wife, all and singular the remainder of my said property which shall be left upon the termination of such estate, unto my four children in equal parts, share and share alike, as follows: Ada L. Stuart, now of Muskogee, Okla., John Q. Marshall of Zean-dale, Charles F. Marshall of Zeandale, Jesse J. Marshall of Peabody, Kansas; to have to hold the same absolutely and without limitation.”

The will was duly admitted to probate, and Marsha Marshall, the widow, elected to take under it. John Q. Marshall thereafter died, leaving as his heirs Earl Kenneth Marshall and Helen Katherine Marshall Duncan. In 1925, Ada L. Stuart, the daughter of decedent, and her husband were the owners of the land in question. Defendant took a quitclaim deed from Ada L. Stuart and her husband on April 15, 1925, pursuant to a conference with the children. Thereafter defendant purchased an outstanding mortgage against the land, made by Ada L. Stuart and her husband, taking an assignment thereof to herself which was not recorded. On April 26, 1933, plaintiff recovered judgment against defendant in the district court of Riley county, Kan. This judgment was the result of Martha Marshall’s endorsement of a note made by her son, John Q. Marshall, to plaintiff, and which evidenced an indebtedness of the son to plaintiff incurred some time prior to her endorsement. It is agreed that Martha Marshall had no property of her own, but that all of the property she possessed was derived from Henry C. Marshall under the will, and that Martha Marshall was and is a resident of Kansas. Defendant at all times subsequent to her discharge as executrix of the will of Henry C. Marshall has been in possession of his estate. Plaintiff agreed that Martha Mar *502 shall had. stated that she bought the land with money taken from the estate.

The parties further agreed that the Statutes of Kansas provided as follows:

“When lands, tenements, or heredita-ments are given by will to any person for his life and after his death to his heirs in fee, or by words to that effect, the conveyance shall be construed to vest an estate for life only in such part taken and a remainder in fee simple in his heirs.”

They admit that there are no statutes in Kansas similar to sections 1579, 1583, O. S. 1931, 84 Okla. St. Ann. §§ 151, 155, and sections 11877, 11879, 11881, O. S. 1931, 60 Okla. St. Ann. §§ 262, 264, 266.

1. The first question raised by plaintiff is whether the record sufficiently shows that the money paid by the defendant for the land was money of the estate. This contention is based on the use of the word “derived” in the stipulation that the land was purchased with money “wholly derived” by Martha Marshall from the estate of Henry Marshall and the use of the same language in the judgment. The argument is that this would include income from, as well as the corpus of, the estate, and since the income was hers absolutely, the purchase price was not definitely proven to be money of the estate. However, the further stipulation in the agreed statement of facts that Martha Marshall had no property of her own, and that the consideration was paid by her out of funds received from the estate of Henry C. Marshall, and the introduction in evidence by plaintiff of her statement that she bought the land and paid for it out of “this money,” referring to the money left her by her deceased husband, in our opinion is sufficient to preclude plaintiff from now questioning the source of the purchase price. If these expressions do not show beyond question that the land was purchased with the money of the estate, they were at least sufficient to cause counsel for the defendant, and the trial court, to feel that this fact was not controverted. We think the admissions in the agreed statement of facts are such as to render this contention untenable.

2. The trial court held that under the terms of the will the widow took a life estate with power of disposal. This finding accords with the Kansas decisions. Greenwalt v. Keller, et al. (Kan. 1907) 90 P. 233; Wilkison v. Wilkison et al. (Kan. 1930) 286 P. 252. This finding is not urged as error, and we will assume it to be correct. Upon this finding plaintiff bases its second contention, which presents the chief question for decision. Was the life tenant, with power of disposal, by operation of the laws of Oklahoma vested, as to creditors, with full title to the Oklahoma land? Plaintiff asserts that she was, as to it, the owner in fee of such land, and that it could subject the entire estate therein to its judgment. This contention is founded on the application of section 11877, O. S. 1931, 60 Okla. St. Ann. § 262, to the estate or interest of the defendant Martha Marshall in the property of her deceased husband under the terms of the will above quoted. Admitting that if the land were in Kansas, the courts of that state could not compel the exercise of the power of disposal in favor of a creditor, they assert that the laws of Kansas have no force in Oklahoma insofar as the transfer, incumbrance, or devolution of real estate is concerned, and that therefore when Martha Marshall bought the land she became as to creditors the absolute owner thereof. Section 11877 provides that “where an absolute power of disposition, not accompanied by any trust, is given to the owner of a particular estate for life or years, such estate is changed into a fee, absolute in favor of creditors, purchasers, and incumbrancers, but subject to any future estates limited thereon, in case the power should not be executed, or the property should not be sold for the satisfaction of debts.” This section was construed by this court in Watkins v. French (1931) 149 Okla.

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Bluebook (online)
1940 OK 51, 100 P.2d 432, 186 Okla. 500, 1940 Okla. LEXIS 31, Counsel Stack Legal Research, https://law.counselstack.com/opinion/st-george-state-bank-v-marshall-okla-1940.