The Union Bank v. . Bush

36 N.Y. 631, 3 Trans. App. 235
CourtNew York Court of Appeals
DecidedJune 5, 1867
StatusPublished
Cited by12 cases

This text of 36 N.Y. 631 (The Union Bank v. . Bush) is published on Counsel Stack Legal Research, covering New York Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
The Union Bank v. . Bush, 36 N.Y. 631, 3 Trans. App. 235 (N.Y. 1867).

Opinion

Davies, Ch.J.-

The Plaintiffs in this action, on the 13th day of February, 1857, recovered against the Defendants, Abial P. Bush, Luther Bush, and Obadiah H. Bush, composing the firm of A. P. Bush & Co., three several judgments, as follows: One for the sum of $2,071.19, and $9.96 costs; another for the sum of $1,029.79, and $9.96 costs ; and the other for the sum of $2,037.40, and $9.96 costs. On the 27th of July, 1857, there was a balance due the Plaintiff on said payments of $3,300, and on the said 27th day of July, the Plaintiff loaned to said Defendants, composing said firm, a further sum of $2,900; whereupon the said Defendants made and confessed a judgment to said Plaintiff for the sum of $6,200, and authorized the entry of a judgment therefor ; and on said 27th of July, 1857, the said judgment was duly docketed in the clerk’s office of Sullivan county, for the sum of $6,200, and $6.38 costs.

The confession or statement was in these words: “ We do hereby confess judgment in this cause in favor of the above-named Plaintiff, Nathan S. Hammond, president of the Union Bank, for the sum of six thousand two hundred dollars, and authorize judgment to be entered therefor against us.

“ This confession of judgment is for a debt justly due to the Plaintiff, arising upon the following facts : For balance due upon three several judgments in the Supreme Court, in favor of Plaintiff, against these Defendants, which judgments were docketed 185-, and were obtained upon notes discounted by the Union Bank *236 of Sullivan County for the Defendants, and the avails paid to us. And also for money this day loaned by the Union Bank of Sullivan County to the Defendants, for which, in addition to the abové balance, this judgment is confessed.” This statement was signed by all the Defendants, and verified, in accordance with the provisions of the Code.

On the 17th of September, 1857, the Defendants conveyed their real estate to one James F. Bush, who took the same with a knowledge of the existence of the aforesaid judgment, and of the items composing the same.

The consideration named in the deed was $25,000, of which the amount of said judgment formed a part.

It is unnecessary, in the view we take of this case, to trace out the titles and liens of the various parties and corporations, Defendants herein, claiming to have acquired the same subsequent to the date of the docket of the Plaintiffs’ judgment, July 27,1857.

On the 27th day of March, 1858, the Plaintiffs, by virtue of an execution issued upon the said judgment, caused the real estate of the Defendants to be sold, and they became the purchasers thereof.

This action was commenced for the purpose of reforming the judgment, and having the same declared a valid and subsisting lien on the property of the Defendants herein; the Defendants claiming that the same was void, and constituted no lien upon the real estate of the Defendants named in said judgment.

The complaint set out all the facts connected therewith, and that the consideration of the three judgments mentioned in the said confession of judgment of July 27, 1857, was three several promissory notes, made by the said firm of A. P. Bush & Co., and discounted by the said Plaintiff, and the avails thereof paid to said firm. That on the 13th day of February, 1857, the said notes became due and payable, and the same being unpaid, the said Plaintiff, on said 13th day of February, 1857, recovered three several judgments against the members of said firm, one for $2,071.19, and $9.96 costs; one for $1,029.79, and $9.96 costs; and the other for $2,037.40, and $9.96 costs. That at the time of *237 docketing- said judgments the Defendants therein were possessed of real estate, upon which the said judgments became a lien.

That on the 27th of July, 1857, the said Defendants had pressing need of further advances by the said Plaintiff, and represented that a further loan by said Plaintiff, to the extent of $2,900, was requisite to enable them to meet their liabilities, and they then promised and agreed to give said Plaintiff a lien by judgment or mortgage upon all their real estate for the amount of said proposed loan, together with the balance remaining due upon the said three judgments.

That the balance remaining due upon the said three judgments was on that day $3,300, and that said Plaintiff did thereupon, on said 27th day of July, loan to said firm the further sum of $2,900, making, with the balance due on said three judgments, the sum of $6,200; and thereupon said Defendants made, and subscribed, and verified the said confession of judgment, as already mentioned and set forth.

The complaint then states the several liens and interests of the other parties in this action acquired subsequent to said 27th day of July, 1857, and which the said Plaintiff claims and insists are subordinate to the lien of the said judgment docketed on that day in favor of said Plaintiff.

The Plaintiff also alleges that, by virtue of an execution issued upon said judgment, the real estate of the said Defendants had been sold by the sheriff, and that the said Plaintiff had become the purchaser thereof.

The Plaintiff then avers, upon information and belief, that said judgment, and said sale by virtue thereof, are irregular and defective, by reason of an omission and mistake on the part of the attorney employed to enter up the same, in not setting forth the facts out of which the indebtedness arose, in said statement and confession of judgment. And tire Plaintiff alleged that by reason of such omission the title of said Plaintiff to said real estate so purchased, would be irregular and defective. That the Defendants, or some of them, claim and allege that there was no authority in law for entering and docketing said judgment, and that the Plain-.. *238 tiff can acquire no title to said lands by virtue of a sale under the same, and insists that the Plaintiff has acquired no lien by virtue thereof, or any right or title to said lands by reason of said sale and purchase, in consequence of said defective confession of judgment.

The Plaintiff therefore claimed and asked the judgment of the Supreme Court, that his said judgment might be amended and reformed. That said sale, under and by virtue of the same right, may be in all things confirmed to the said Plaintiff, as in all respects legal and valid, and that said Plaintiff’s said equitable lien upon said lands and real estate may be enforced, and the said real estate may be charged with the payment of the same, from the day of the date of said judgment, or for such other or further judgment as may be just.

The action was tried by a Court, without a jury, and the facts found substantially as stated in the Plaintiff’s complaint.

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Bluebook (online)
36 N.Y. 631, 3 Trans. App. 235, Counsel Stack Legal Research, https://law.counselstack.com/opinion/the-union-bank-v-bush-ny-1867.