Swayze and Wife v. Burke

37 U.S. 11, 9 L. Ed. 980, 12 Pet. 11, 1838 U.S. LEXIS 337
CourtSupreme Court of the United States
DecidedJanuary 27, 1838
StatusPublished
Cited by20 cases

This text of 37 U.S. 11 (Swayze and Wife v. Burke) is published on Counsel Stack Legal Research, covering Supreme Court of the United States primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Swayze and Wife v. Burke, 37 U.S. 11, 9 L. Ed. 980, 12 Pet. 11, 1838 U.S. LEXIS 337 (1838).

Opinion

Mr. Justice M‘Lean

delivered the opinion of the Court.

In December, 1807, Oliver Ormsby gave bond as administrator -of his father; but it seems he filed.no inventory of the personal estate, as the law required, -nor did he ever settle his administration account. -

On the 6th' September, '1826, as administrator, he confessed a *22 judgment for four hundred and sixty-seven dollars and sixty-four cents, in favour of Messrs. Penns, Mr. James Ross acting as the attorney of the plaintiffs. An execution was issued on this judgment, and the premises were sold to Mr. Ross for three thousand dollars. He declared, publicly, at the sale, that Ormsby or any of his family might redeem the land, at any time, on the payment of “ debts and interest;” and*Mr. Ross' further states, that before the sale, Mr. Ormsby was informed that he only wanted the money on the judgment, and that he did not intend to buy the land to hold it.

No money was paid by Mr. Ross at the sheriff’s sale, or at the time he received the sheriff’s deed. Ormsby' remained in possession of the land, receiving the rents and profits; and in April, 1831, four years after the sheriff’s sale, he paid Ross five hundred and twenty-three dollars, the amount ,pf. the judgment and interest; and received from him a conveyance of the land. At this time, Ormsby receipted to the sheriff, as administrator, for the balance of the three thousand dollars, after deducting the amount paid to Ross. The sheriff’s deed to Ross, and the deed from him to Ormsby, were recorded on the same. day.

The land in controversy consists of eighteen coal-hill lots near Pittsburg, and thirty-five acres adjoining them, and which is now of great value; and was worth a large sum' at the time of the sheriff’s sale.

•There was a letter in evidence, written by Oliver Ormsby to Mrs. Swayze,. dated 19th March, 1828, at Natchez, in which he says: “ My father, at his death, was not possessed of more property than a sufficiency to pay his debts; having, from time to time, sold to individuals, and conveyed to his children.” And there was evidence conducing to show, that the sale of two of the lots would have satisfied the judgment.

On these facts and others in the case, the counsel for the plaintiffs prayed the court to instruct the jury, that, “ in matters of fraud, courts of law and .chancery have a concurrent jurisdiction. It is therefore within the province of the jury to inquire whether the conduct and proceedings of Oliver Ormsby, whereby the legal title to the property in dispute, became vested in himself, for his exclusive us'e^and benefit, were in fraud of his co-tenant, Mary’Swayze; and if they were, the verdict ought to be for the plaintiffs.” This instruction was given, as requested, with this qualification, “that the fraud should be brought to the knowledge of Mr. Rossf and that, if he took a valid title under the sheriff’s deed, the title of *23 his vendee would be good, under the circumstances disclosed in evidence.”.

• To the refusal of the instruction as requested, and the instruction as given, an exception was taken; which raises the question of law, whether, to render the title of Ormsby, as áet up. by the defendants, inoperative and void, it is essential that Ross' should have participated in the fraud.

Thé charge of the judge was explicit on this point. He not only instructed the jury, that, to make the title of.Ormsby fraudulent, Ross must have had a knowledge of the fraud; but assuming, it would seem, the province of the jury, he declared that the fairness of the transaction was above suspicion..

' That fraud is cognizable in a court of law, as Well as in a court of. equity, is a well established principle. It has been often so ruled in this Court.

As there is no court of chancery, under the laws of Pennsylvania,' an action of ejectment is sustained, on an equitable title, by the courts of that state. Such is not the practice in the courts of the United States; and in this case, if the plaintiffs fail to show a paramount legal title in themselves, they cannot recover.

It. is. unnecessary to inquire, whether, under the circumstances, Ormsby did not receive the conveyance of the land from Ross, in trust, for the heirs of his father, generally. This inquiry would ,be appropriate in the exercise "of a chancery jurisdiction, on a , bill framed for the purpose. But the'jury were limited to the' question of fraud. • The deed by the sheriff tó Ross, and the one from him to Ormsby, contain upon their face all the requisites of legal conveyances; and. they must be.operative-to convey the title,unless the circumstances under which they were executed make them void.

•. In 1807, Ormsby took out letters of administration; but he seems to have acted, in the .management of the estate, without regard to the law, or the obligations of his administration hond. iHe filed no inventory, made no settlement ■ of his accounts. In 1835, he promised tó pay the debt in the hands of Ross, but he took no step to fulfil this promise. • It was'his duty, as administrator, to make application to the.orphans’' court for authority to sell as much of the real estate as would-pay the debt. But, to obtain this order, it would have 'been necessary to show that the personal assets were exhausted.

- In 1836, he confessed a judgment, and suffered an execution to be taken out, and the property in controversy to be sold. He remained *24 in the undisturbed possession of the property, enjoying the rents and profits; and then received a conveyance of the land from Ross, on the payment of the judgment, and receipting to the sheriff for the balance of the purchase money. And, prior to this time, by his letters, he informs Mrs. Swayze; who lived in Mississippi, and still resides there, that the property left by his father would all be consumed in the payment of debts. ‘,

In deciding the question of law raised by the exception, it may not be proper for this Court to say whether these facts do not show fraud in the administrator. The facts were properly before the jury, and it was for them to determine the question of fraud. But, may Ormsby and his representatives hold the land under their deed, unless it shall be shown that Ross participated in the fraud ?

A bona fide purchaser, without notice, is not affected by the fraud of his grantor; and it is admitted- that a Conveyance by such -púrchaser, to a person who-may have knowledge of the fraud, would be valid. But, the purchasé and conveyance of Ross, -eannot be considered as coming! within this rule.

In the first place, Ross did not purchase with the intention of holding the property.

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Bluebook (online)
37 U.S. 11, 9 L. Ed. 980, 12 Pet. 11, 1838 U.S. LEXIS 337, Counsel Stack Legal Research, https://law.counselstack.com/opinion/swayze-and-wife-v-burke-scotus-1838.