Starke v. Starke

37 S.C.L. 438
Court of Appeals of South Carolina·Decided July 1, 1832·Published·Cited by 1 cases

Opinion

Curia, per

O’Neall, J.

The only question necessary to be considered in this case, is, whether the complainants’ claim for an account of the hire of their slaves, is barred by the statute of limitations.

A trust which is not within the statute of limitations, must, in the language of Chancellor Kent, “be a techni-nal and continuing trust, which is not at all cognizable at law, but falls within the proper, peculiar and exclusive jurisdiction” of the Court of' Equity. Kane vs. Bloodgood, 7 J. C. R. 111. So long as this trust continues, there cannot be any adverse right or possession ; for the trustee holds both the legal estate and the possession, not for himself, but for his cestui que trust." While, therefore, the trust continues, the statute of limitations cannob affect it; but if the trustee does an act which he intends, and which is understood by his cestui que trust, to be a discharge of his trust, then the statute will, from that time, commence to run ; and this was so decided by this court at our last session in Charleston, in the case of Moore vs. Porcher. According to Chancellor Kent’s definition of such a trust as will not be affected by the statute of limitations, the case put will be found to want one very essential character. It is no longer a continuing trust. Indeed, it is no longer a trust in any sense of the word, for a trust is to hold for the use of another. But here the trustee has ceased so to hold — he indeed- holds for himself. In this respect, the case is very .analogous to a very common and familiar one at law, that of landlord and tenant. So long as this relationship exists, the tenant cannot acquire an adverse title by possession. But so soon as he is divested of his character as tenant, by the consent of his land[446] lord, as by parchase from him, or by going out of possession, and again acquiring it — or by actual notice to his landlord that he has ceased to hold as tenant, and holds for himself; he may acquire a title by possession, for he then holds for himself, and in his own right, and not for, and in the right of, another; and this is what I understand by adverse possession. Simons vs. Parsons, decided January term, 1830, at this place.

It is supposed, however, that the rule which I have stated cannot apply to this case; for it is alleged that the defendant’s testator, as trustee for Mrs. Starke, could not discharge his trust otherwise than by coming to a regular account, and paying the balance found in his hands.. This position is based upon the notion, that the hire in arrear was the wife’s equitable chose in action, which the court of equity would order to be settled on her, and that, therefore, no act of the husband, short of an actual receipt of the fund, could actually or constructively discharge the trustee from a future account. There is no doubt of the rule, that where the husband or his assignee have to seek the aid of the court of equity, to render the wife’s chose in action available, that it will generally decree a settlement; and that there is as little doubt where either receive it and render it available, that the court of equity cannot interfere. Upon marriage, the husband has the right to receive the personal property of the wife; and his receipt for the amount of his wife’s choses in action, even although she be a minor, is good and valid, and will discharge her guardian from any further account. Edwards vs. Higgins, 2 M’Cord’s C. R. 16. If he thinks proper to receive the property, and believing that he has, in some way, received an equivalent for its hire, he may decline an account, and discharge the trustee. For it will not be denied, that the complainant Starke, might (if he had thought -proper so to do) have claimed from his uncle, the testator, an account of the’,hire of his wife’s slaves, and on receiving payment, he could have returned the money to him; and if this had been done, it could not be pretended that either he or his wife could ever have demanded any further account. The course which the complainants allege was pursued, was exactly equivalent [447] to this. For he received the slaves of his wife and such of the property as the testator thought proper to give him, and believing either that he was fully indemnified for the hire, or that it would be hard or unjust to claim an account, he promised not to do so. This was a gift by the husband to the trustee, of his liability to account. Standing by itself, it could not perhaps be sustained as a promise not to demand an account, unless plenary proof had been furnished of a consideration to sustain it. But it is in evidence, that at that time the trustee did an act, intended and understood to be by the cestuique trust entitled to receive, a discharge of the trust. It is in this point of view alone, that I attach any importance to the paper executed by Wyatt W. Starke.

The statute of limitations is founded upon the presumption, that after the time allowed by it for an action to be brought, that the evidences of settlement and payment have been lost, and this lapse of time stands in the place ot proof, and operates as a positive bar, even against our belief of non-payment. If it was necessary, therefore, in the case before us, it would be our duty, in speaking of a matter to which the bar of the statute applies, to presume in favor of the defendant, that an actual account, and payment in money or property, had been made, at the time the trust was terminated.

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Starke v. Starke, 37 S.C.L. 438 (S.C. Ct. App. 1832).

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