Thiebaud v. Dufour

54 Ind. 320
CourtIndiana Supreme Court
DecidedNovember 15, 1876
StatusPublished
Cited by11 cases

This text of 54 Ind. 320 (Thiebaud v. Dufour) is published on Counsel Stack Legal Research, covering Indiana Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Thiebaud v. Dufour, 54 Ind. 320 (Ind. 1876).

Opinion

Howk, J.

This cause originated in the court below by the filing of appellee’s verified petition, addressed to that court, “ in the matter of the trust estate of Harriet Du-four,—John L. Thiebaud, trustee.”

In said petition appellee alleged, in substance, that she was the daughter of Charles A. Thiebaud, deceased, who died testate on the 16th day of April, 1871, leaving a large estate, which he by his will, a copy of which was filed with said petition, divided among his children; that the part that came to appellee, the decedent devised and bequeathed to her for her life only, and by said will appointed appellant as trustee to receive and manage said share, and pay to her the rents, profits and interest thereon during her natural life; that the estate of said decedent had been fully settled by the executors of said will, of whom appellant was one, and that appellant had assumed the duties of said trust, under said will, as such trustee; [321]*321that there had come into his hands, as said trustee, as he had reported to the court below, three thousand eight hundred and sixty-eight dollars and ninety-eight cents of the appellee’s share of her said father’s estate; that appellant, as appellee was informed and verily believed, mixed said money with his own private funds and used the same as his own money in merchandising, or if the same was loaned out at interest at any time, that the same was loaned to his son, Charles O. Thiebaud, a young man who had just started in business for himself, and said money was by said Charles O. Thiebaud invested in a stock of retail drugs and medicines, kept by him for sale in the town of Vevay, Switzerland county, Indiana; that said money, if so loaned, or any part of it, was loaned and mixed with other money by appellant to his said son, without security, and the note or other evidence of indebtedness was taken,by appellant in his own name, without any designation or indication that the same was trust funds belonging to appellee; that the appellee had requested appellant to give her information as to what disposition he had made of her said funds, whether or not the same were invested or loaned out at interest, and if loaned, to whom, at what rate of interest and how secured, and if used by him, where and for what purpose; that appellant had wholly neglected, failed and refused to give appellee any information whatever concerning said trust funds, where the same were invested, or whether loaned out at interest or not, at what rate, to whom, and how secured; that appellant had heretofore claimed to have-kept said funds invested in shares of stock of the First National Bank of Vevay, Indiana; that whatever money he had invested in such shares of stock was invested in his individual name, without any indication or thing whatever to show or distinguish the same from his own private property, or that the same or any part thereof were funds belonging to said trust; that the money thus invested in [322]*322said bank-stock appellant claimed only realized six per cent, interest, and appellant reported the same to the court below as belonging to said trust ;• that dui’ing all the time appellant held said bank-stock he had a sum of money, equal in amount to said trust funds, loaned out at ten per cent, interest in his own individual name, just as the said bank-stock was held by him, well secured; that appellant had, as appellee believed, mixed said trust funds with his own individual funds in such manner that it would be impossible for him or for the court below or for appellee to distinguish it or to ascertain what, if any, interest the same might realize, or to enable the court below to distinguish it from appellant’s individual assets, in the event of his insolvency or bankruptcy; that three thousand dollars of the bank-stock which appellant owns in the Pirst National Bank of Vevay, Indiana, was purchased at a large premium, and appellant accounts for.interest on the amount paid for it by using the dividends, only, declared by said bank on the face value of such stock; that said bank, in July, 1874, increased its capital stock one-half, and in doing so gave the then share-holders the privilege of taking, each, one-half of the amount owned by them, at its face value, when appellant took one thousand five hundred dollars more stock at its face value, which was, as soon as taken, worth in the market a large premium; that appellee did not know what or how much property the appellant owns; that appellee was informed and believed that appellant had a large part of his property invested in perishable property, consisting of a building and retail stock of drugs and medicines, on the south side of Main street, in Vevay, Indiana; that appellant was engaged in said business, as his principal employment, as a druggist, and had but little money invested in land; that appellant listed and appraised for taxation, for the last assessment for taxes, all his individual personal property at four hundred and sixty-five dollars and no more, in addition to which he held three thousand dollars [323]*323bank-stock, which appellee believed to have been purchased with trust funds belonging to her and Bedford P. Thiebaud, if at all with trust money; that appellant did not list and return for taxation any taxable property as belonging to said trust; that at the time of the last listing for taxes, appellant and his said son, Charles O. Thiebaud, were in partnership in the drug business, under the name of J. L. Thiebaud & Son, and that appellant listed for taxation for said firm three thousand and forty dollars, and no more; that appellant listed no other personal property as belonging to him; that appellant had, as appellee was informed and believed, three thousand seven hundred and eighty-four dollars and ninety-eight cents which he held in trust for Bedford P. Thiebaud under said will, and which he handled and treated as his own individual money without any distinction whatever, and which was not separately listed for taxation, but was mixed with his individual money, so that appellee could not know nor ascertain what or how much property said appellant owned in his own right or what interest her funds bore; that appellee had requested appellant to secure said trust funds to her and her son, Charles Dufour, who is to take the remainder after her death, in such manner that she might not suffer loss in the event of his insolvency or bankniptcy, but that appellant utterly refused so to do, and declared that he would give no security whatever unless required by the court below. And appellee prayed that appellant might be required to give bond, as such trustee, with good freehold security, and that thereafter he might be required to keep said funds separate and distinct from his own property, and that the same be loaned at ten per cent, interest, and in default thereof that he be discharged and removed from said trust.

The last will and the codicil thereto of Charles A. Thiebaud, deceased, a copy of which was filed with appellee’s petition in this cause, was duly admitted to probate in the court of common pleas of said Switzerland [324]*324county, Indiana, on the-21st day of April, 1871. "We will set out so much of said will and codicil, as seem to have any relation to or connection with appellee’s petition in this cause. The fourth item of the will was as follows, viz. :

“ 4th. It is my will and express command, that the portion of my estate that may accrue to my daughter, Harriet Dufour, at my death, together with a due-hill held by me on George W. Dufour, for eight hundred dollars, of date January 1st, 1867, shall be transferred to my son, J. L.

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Bluebook (online)
54 Ind. 320, Counsel Stack Legal Research, https://law.counselstack.com/opinion/thiebaud-v-dufour-ind-1876.