Udall v. Kenney

3 Cow. 590
CourtNew York Supreme Court
DecidedApril 15, 1824
StatusPublished
Cited by14 cases

This text of 3 Cow. 590 (Udall v. Kenney) is published on Counsel Stack Legal Research, covering New York Supreme Court primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Udall v. Kenney, 3 Cow. 590 (N.Y. Super. Ct. 1824).

Opinion

Savage, Ch. J.

On the 21si of June, 1814, Thomas Hewitt, of the city of New-Yorfc, being possessed of 310 shares in the capital stock of the Bank of America, executed a deed of settlement, by which, among other things, he transferred all his shares in the Bank of America, to the president, directors and company of that bank, in trust for the uses and purposes in the deed expressed; one of which is as follows: “In further trust to pay my daughter Eliza the interest or dividends accruing on eight thousand dollars of the said stock or shares, as the same accrues, for her education; and to transfer the principal thereof to her, at the age of 21 years.” “If my said daughter Eliza dies under 21, and without issue, then the principal to go to my said son Thomas.'1'1 It was also further provided, that if the bank should be about to be dissolved, then they should transfer the shares to Jonathan Burrall, Henry Remson and Richard Riker, to. hold upon the same trusts. Thomas Hewitt died on the 12th of October, 1814, leaving the deed of settlement in full force, Sidney Hewitt, the mother of Eliza, was appointed, [598]*598by the Court of Chancery, guardian of her person, and Istias. L. Kip, Assistant Register, her trustee to receive the dividends and pay them over to. Sidney Hewitt the guardian, Mrs. Kenney supposes she was, therefore, a tyard of the. Court of Chancery. On the 19/A of January, 18 I S,, Eliza intermarried with her present husband, Edward M. Kenney. She was then a little over 16 yea,rs of age, and wa,s at a boarding school, where she had been placed by her mother. Sidney Hewitt, the mother and guardian, had beep applied to for her consent to the marriage, but she refused it except on condition that it should be postponed for two years, Upon the marriage taking place the guardian was displeased, but became reconciled in about a week,

[597]*597Statement of the case

Deed of settV3ment:

trustee. ^

[598]*598Marriage.

Order^topay jfenney.

Pledge of the stock.

()n the 9th of February following, Kenney was authorized by a rule of Court, founded on and reciting the marriage, to receive the dividends until the further order of the Court; and, by virtue of this order, he did receive one or more dividends, He became much embarrassed, and proposed to, pledge or sell the stock. One Ezra L. Ingraham offered his services in effecting some negotiation, with a view to raise money. The appellant, Udall, became the purchaser, for the nominal price of $5000, under circumstances which I shall hereafter advert to, a.nd took an assignment, dated the 12ZA of December, 18-18, executed by Kenney and his wife, who was still an infant; and paid, as.he alleges, $4500. Mrs, Kenney avers that only $ 150 were applied to her use.

Order to pay-dividends muii to

On the 17/A of June, 1819, an order was granted, founded upon the sale to Udall, directing the dividends after the lsf> of January, 1819, to be paid to him until Mrs. Kenney should arrive to the age of 21, or the further order of the Court.

Bill.

On, the 11 th of- November, 1820, she filed her bill, praying : 1. Thgt the assignment to Udall might be declared null and void, as respects her individual rights to, the stock, and that Udall might assign it to some proper person, as trustee for her: 2. That he might account for the dividends received by him : 3. That an order might be made, revoking the order of the nth of June, 1819 : 4. For such disposition of' [599]*599íhe stock as would secure it for her own support and maintenance, and place it beyond the control of her husband.

Decree.

On the Wth of Jhxgust, 1821, the Chancellor declared the assignment to be void, as respected Mrs. Kenney’s rights ; rescinded the former orders-for paying dividends to Kenney and TJdall respectively ; directed payment to Mrs. Kenney’s solicitor, to the amount of the costs, and then to Mrs. Kenney herself; directed the bank not to permit a transfer of the shares ; and leaving Mrs. Kenney, when 21 years of age, to apply for the stock, or so much as justice shall require, to be settled for her separate use and support. To reverse this decree is the object of the present appeal.

The determination of this cause, independent of the fair-1 ness or unfairness of the transaction, must depend upon the extent of the marital rights. The signature of the wife to the Assignment gave it no additional validity. She was, on account of her infancy; incapable of doing any act, disposing of her property, or dispensing with her rights ; and, on ac- ,, , . , , , , count of her coverture, she is presumed to have acted under the coercion of her husband. The assignment, therefore, must be considered as the act of the husband alone.

Cause depends °n extent of marital rights.

ass;„n, ment by the T°ldSo, by reason 0f her coverture‘

The interest of the husband was acquired by virtue of the. marriage.

_ lt is not disputed, that a husband, in virtue of his marriage, becomes absolute owner of the goods and chattels of his wife ; and may, consequently, dispose of them, not only her choses in possession, but in action, when the latter are reduced into possession. And the authorities go 1 e ° so far as to say, that if the husband can obtain possession of the wife’s choses in action, without the aid of a Court of Chancery, he will be permitted to do so; and then to dispose of them at his discretion. But where the property of the wife is under the care of the Court, and the husband cannot enjoy it without the authority of the Court, care will be taken that before it is placed at the husband’s disposal a suitable provision shall be made out of it for the wife’s support.

Husband becomes absowife’s°W choses possession. choses in act,10D’ ™hen reducedmto possession.

ifAhe ’ can™Sta™ possession aid of chance-he cannot be restrained as to the dispooMhenf. Bat if other-will’see that a.s?ltab?e Bro7 vision is first made for the wife.

That the general assignees of the husband stand in no better situation than the husband himself, admits of no dispute. r But the cases are not perfectly agreed as to the situation of [600]*600an assignee of a specific chose in action, or an assignee fop valuable consideration. A concise review of the decisions will, therefore, be of service, in arriving at a correct conclusion.

Review of cases.

Sir Edward Turner's case, 1 Vern. 7, A. D. 168].

it was determined by the Lords, in Sir Edward Turner’s case, (l Vern. 7) on appeal from Chancery, that a term assigned in trust for a feme sole, might be disposed of by the husband after marriage ; but if it had been assigned for the use of the wife, by consent of the husband, then he could not meddle.

Pitt v. Hunt, 1 Vern. 18.

In Pitt v. Hunt, (1 Vern. 18) Chancellor Nottingham decreed according to

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Bluebook (online)
3 Cow. 590, Counsel Stack Legal Research, https://law.counselstack.com/opinion/udall-v-kenney-nysupct-1824.