Stedman v. Vickery

42 Me. 132
CourtSupreme Judicial Court of Maine
DecidedJuly 1, 1856
StatusPublished
Cited by3 cases

This text of 42 Me. 132 (Stedman v. Vickery) is published on Counsel Stack Legal Research, covering Supreme Judicial Court of Maine primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Stedman v. Vickery, 42 Me. 132 (Me. 1856).

Opinion

Appleton, J.

The trustee, McAllister, having been charged on his disclosure, at the April, term, 1855, by the. presiding Justice, duly alleged exceptions thereto. . At the October term following, the trustee moved for leave to disclose further. As his exceptions to the ruling by which he had been charged were then pending, the motion was denied. Thereupon, by leave of the Court, he withdrew his exceptions, and he-'was then allowed to disclose further, to all which the plaintiffs excepted.

In cases brought from the Common Pleas to the Supreme Judicial Court by appeal, it was the constant practice to receive further disclosures, the appeal being regarded as a continuation of the proceedings in the Court of Common Pleas. “And,” remarks Shaw, C. J., in Hovey v. Crane, 12 Pick. 167, “until a final judgment rendered, there seems nothing to restrain the general power of the Court from receiving further disclosures, if necessary to the rights of the parties.” In Carrigan v. Sidebottom, 3 Met. 297, where, in an answer, a [135]*135fact had been stated incorrectly, or in terms which would admit of an inference or implication not intended, the trustee was allowed, without further interrogatory, to make an additional answer, correcting or qualifying the supposed erroneous answer. In Boynton v. Foster, 7 Met. 415, it was held, that a trustee, who had been discharged in the court below, must, upon the removal of the cause, follow the same in the Supreme Court, and there answer further interrogatories, if required by the plaintiff. Whether persons summoned as trustees, having once answered interrogatories, shall further answer, is a matter entirely within the discretion of the Court. Warren v. Perkins, 8 Cush. 518.

By R. S., c. 119, § 79, the trustee, though he may have disclosed in the original suit, may be permitted, or required, to disclose anew on scire facias. Now, no reason is perceived why that which may be done in a subsequent suit, may not much more properly be done in the original process, and thus the subsequent litigation be avoided. It is for the interest of the public that there be an early termination to suits; and it is better for all that the facts be ascertained and the legal rights of the parties be determined now, than to await a second suit, in which to receive what might have been heard in the first with a great saving of delay and expense.

The trustee McAllister, states, that having become liable for the principal debtor for a large sum, in January, 1852, he took a mortgage of his house and an absolute deed of his store, giving back a memorandum to reconvey upon being indemnified. He cannot be charged for this real estate. If those conveyances are void for any cause, that question cannot be here considered or determined.

The trustee discloses a mortgage of the goods in Vickery’s store, valued at §3000 at the date of the mortgage, and at $2000 at the time of the service of this trustee process. The trustee had previously become liable for a large amount for the mortgager, and there are ample reasons disclosed in the relations between the parties, why the trustee should ask, and [136]*136why the mortgager should give a mortgage, without imputing any fraudulent design to either party.

If the trustee had merely a constructive, and not an actual possession of the mortgaged goods, he cannot be charged as trustee. Pierce v. Henries, 35 Maine, 57.

If he was in actual possession, his disclosure shows outstanding liabilities, for an amount exceeding by thousands of dollars the value of the goods mortgaged in the store. If the plaintiff wished to avail himself of these goods, he should have moved the Court to “ order and decree” the sum of money, upon payment of which, “within such time as the Court shall order, and while the right of redemption exists,” the alleged trustee “ shall deliver over the property to the officer serving the process, to be held and disposed of in like manner as if it had been attached on mesne process,” &c. R. S., c. 119, § 58. This the plaintiff has neglected to do. He has, therefore, no right to claim that the mortgaged property shall be exposed to the officer having the execution which may finally issue in this case.

Some of the property of the principal defendant, in the hands of the trustee, has been sold by him. In such case, the provisions of § 58 are not applicable.

The arguments of the counsel mainly relate to the brig Black Hawk, which, on Dec. 1, 1854, was mortgaged to the trustee, and of which subsequently and on the same day he received an absolute bill of sale. The trustee discloses that being desirous to sell the brig, and with the avails relieve himself from the onerous liabilities he had incurred for the debtor Vickery, he took the bill of sale, he agreeing to pay the creditors where he was surety, the whole which he might realize from her, including earnings, as well as the money received on her sale, and allowing to said Vickery what he received from her. Without this arrangement it is obvious that he would have been unable to effect a sale, however desirable it might be, with the consent of the mortgager. With it, he was enabled to dispose of the brig whenever it might in his judgment become expedient.

[137]*137It is insisted that this bill of sale is void as being without consideration: and further, that though thus void, it nevertheless is so far valid as to destroy or defeat the mortgage previously given.

The bill of sale, whether valid or not, does not appear to have been given with any fraudulent intent.

It was held in Little v. Little, 13 Pick. 427, that an outstanding liability as surety for another, together with a promise, express or implied, by such surety to the principal, that he will pay the debt, and so indemnify the principal, is a valid consideration for a promissory note from the principal to such surety, payable on demand. In Garden v. Webber, 17 Pick. 407, it was decided that where a promissory note, secured by mortgage, was given in order to indemnify the promisee against any loss he might suffer by reason of his subsequently indorsing for the accommodation of the promisor, and the promisee did accordingly indorse for the promisor, that such note was valid as against creditors of the promisor, whose claims accrued after such indorsements were made. The same doctrines were re-asserted in Swift v. Crocker, 21 Pick. 241. According to these decisions, the promise of the trustee to appropriate the proceeds of the brig to the discharge of debts for which he was liable with Yickery as surety, must be regarded as a sufficient consideration for the conveyance to him.

“This form of process,” remarks Parker, C. J., in Boardman v. Cushing, 12 N. H., 105, “is regarded as an equitable action, and it would not consist with equity to deprive the party of a mortgage security by reason of a mere mistake in the mode of taking it.” In that case, as in the one under consideration, the conveyance was taken with -no design to defraud, but on the supposition that in this mode the rights of the trustee could be more effectually secured.

If the bill of sale were to be regarded as void, still it is not readily perceived how the giving of a void bill of sale would defeat a previous valid mortgage; or why, if void, it should be upheld merely to destroy an honest claim. The [138]

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42 Me. 132, Counsel Stack Legal Research, https://law.counselstack.com/opinion/stedman-v-vickery-me-1856.