Vasquez v. Romano

144 So. 591, 175 La. 835, 1932 La. LEXIS 1907
CourtSupreme Court of Louisiana
DecidedOctober 31, 1932
DocketNo. 31530.
StatusPublished
Cited by1 cases

This text of 144 So. 591 (Vasquez v. Romano) is published on Counsel Stack Legal Research, covering Supreme Court of Louisiana primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Vasquez v. Romano, 144 So. 591, 175 La. 835, 1932 La. LEXIS 1907 (La. 1932).

Opinion

LAND, J.

During the year 1924, petitioner entered into a copartnership with Ralph Romano to erect buildings in the city of New Orleans. This partnership terminated about the end of that year.

On July 3, 1925, petitioner filed suit for the dissolution and settlement of the partnership, but this suit was dismissed as of nonsuit August 5, 1925.

On October 11, 1926, petitioner renewed his demands against Romano, and on October 20, 1930, obtained judgment against him in the sum of $4,902.71, with legal interest from judicial demand until paid and all costs.

Between August 16 and December 15,1928, Romano transferred to his sister, Josephine Romano Morrissey, five parcels of real estate in the parish of Orleans, and two parcels in the parish of East Baton Rouge, and on August 18, 1928, granted a mortgage for $19,-602.72 to his sister’s husband, Thomas M. Morrissey, on one of the East Baton Rouge parish properties.

The present suit was filed by Vasquez against Ralph Romano, Josephine Romano Morrissey, and Thomas M. Morrissey to have these transactions declared simulated, and, in the'alternative, fraudulent as illegal preferences given by Romano to Josephine Romano Morrissey and to her husband, and to have the properties involved subjected to execution to satisfy plaintiff’s judgment, as Romano, as *837 alleged by plaintiff, bad no other property upon which execution could he máde.

Since all three of the defendants are nonresidents, plaintiff discontinued the suit against the East Baton Rouge properties, as the civil district court for the parish of Orleans had no jurisdiction over these properties.

On the other hand, defendants contend that the sales were legal, that the consideration was adequate, and actually passed to the vendor, Romano. Defendants further contend that Romano was not insolvent at the time these transactions were made, nor at the time of the filing of this suit, nor at the time of the trial in the lower court; that no fraudulent preference was given by him to his sister or to her husband; and that no injury resulted to plaintiff, the complaining creditor, from any of these transactions.

On these issues, the case went to trial in the lower court, and judgment was rendered in favor of defendants, rejecting plaintiff’s demands at his cost.

Prom this judgment plaintiff has appealed.

The charge of plaintiff that the. transfers and mortgages made by Romano to Mrs. Morrissey and to Thomas M. Morrissey were pure simulations, made for the purpose of defrauding plaintiff, is not sustained by the evidence in the case.

The defendant Ralph Romano was stricken with paralysis in the city of New Orleans on April 9, 1926, as stated in a notarial power of, attorney of date April 14, 1926, executed by him in favor of his wife.

His sister, Mrs. Morrissey, came immediately to his bedside from her home in Vicksburg, Miss., and, at his request, took him to her home, where he remained practically for three years, except for short visits "to Memphis and New Orleans to consult his physicians; and, while in New Orleans, he made three wills, in 1926, one in 1927, and still another in 1928.

While at his siqter’s home in Vicksburg, he was urged by her to go to a sanitarium, but he refused to do so, and made a verbal agreement with her in 1926 that he would pay her $150 a month for his room and board, and $25 a month for the board of his nurse, as he was an invalid at the time.

When his sister started to take care of him, he agreed to pay her out of any property he might own, as he was expecting to sell some of it, and when he could not dispose of it, the only way he had to pay her was to transfer the property to her, and credit the purchase price on the advances which had been made to him by his sister.

The uncontradicted testimony of Mrs. Morrissey is to the effect that she had about $1,-200 a month coming from commercial properties owned by her in Vicksburg, and that her husband, Thomas Morz-issey, gave her $500 a month, and paid the household expenses.

The cash consideration recited in the various acts of sale in July and August, 1928, made by Romano to Mrs. Morrissey, as appears in paragraph IV, a, b, c, d, e, f, and in paragraph V of plaintiff’s petition, amounts to $16,892.28.'

From the original memoranda made by Mrs. Morrissey at the time and submitted to Romano, she had advanced him not less than *839 $18,626.91, during the years 1926, 1927, and 1928.

From the statements annexed to the deposition of Romano and made up by Mrs. Morrissey’s auditor, at the time of the filing of this suit, from canceled checks and receipts, and from-the memoranda of Mrs. Morrissey, she had advanced him not less than $19,546.-11 during these years.

And from receipts and canceled checks identified by Mrs. Morrissey and filed in the record, plus the agreed charges for board and lodging for Romano and his nurses, the amount due by Romano to Mrs. Morrissey for these years, 1926, 1927, and 1928, was $22,-390.33.

Making allowances for amounts advanced after the date of the transfers and mortgages sought to be set aside, which took place in July and August, 1928, by deducting, say, one-fourth of the advances for the year 1928, we would -have totals, approximately, as follows:

Memo, A/C Receipt on

Canceled

Check.

1926......$2,216.60 $2,238.60 $2,257.10

1927...... 2,101.07 2,120.26 2,120.26

% — 192S......10,781.93 11,390.30 16,792.75

$15,049.60 $15,749.16 $21,170.11

It Is evident, from the size of the monthly income of Mrs. Morrissey, that she had sufficient funds to make the above advances to Romano during his three years’ stay at her home in Vicksburg, and the fact that she did make these advances is established by her testimony, and by that of Romano, and by the receipts and canceled checks filed in the record in this case. That Romano” was in the home of his sister at Vicksburg, an invalid practically for three years, and attended continuously 'by nurses, is shown by the testimony of Mrs. Morrissey, of her husband, Thomas M. Morrissey, of J. L. Garvey, secretary of Thomas M. Morrissey, of Mrs. Katherine Sillinger, a neighbor of Mrs. Morrissey and a frequent visitor, and of Romano himself.

Mrs. Morrissey .does not pretend that she paid any cash consideration for any of these sales, but that the purchase price was credited on the advances made by her to her brother, in pursuance of an agreement with him to that effect. As the cash consideration, or amount credited on the advances made by Mrs. Morrissey to Romano, amounts to an aggregate sum of $16,892.28, it is evident that a valuable consideration was paid for the properties conveyed to her by her brother in July and August, 1928, and that the transactions attacked herein by plaintiff were not fraudulent simulations.

Plaintiff does not attempt to dispute any item or items in the statements of advances made -by Mrs.

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144 So. 591, 175 La. 835, 1932 La. LEXIS 1907, Counsel Stack Legal Research, https://law.counselstack.com/opinion/vasquez-v-romano-la-1932.