Warren County Bank v. Keister

138 N.E. 517, 80 Ind. App. 134, 1923 Ind. App. LEXIS 102
CourtIndiana Court of Appeals
DecidedMarch 15, 1923
DocketNo. 11,492
StatusPublished
Cited by1 cases

This text of 138 N.E. 517 (Warren County Bank v. Keister) is published on Counsel Stack Legal Research, covering Indiana Court of Appeals primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Warren County Bank v. Keister, 138 N.E. 517, 80 Ind. App. 134, 1923 Ind. App. LEXIS 102 (Ind. Ct. App. 1923).

Opinion

Nichols, C. J.

Action by appellee, as administrator, to recover from appellant funds of the estate of Jonathan Hess, deceased, deposited by him in his lifetime with appellant and charged to have been paid out by the bank on the checks of L. A. Hess, purporting to act at the time as the administrator of the estate but without authority so to do.

The facts involved, as they appear in the special findings, are substantially as follows: Jonathan Hess died October 4, 1916, at the time a resident of Williams-port, Warren county, Indiana. On February 3, 1911, and while a resident of the State of Illinois he executed his last will and testament and on December 6, 1911, while still such resident of Illinois executed a codicil of such will, which will and codicil were probated in the Warren Circuit Court on September 21, 1918. By the terms of such will, after providing for the payment of his debts and liabilities, he devised certain real estate in Vermillion county, Illinois to his wife, Mary C. Hess, during the term of her natural life, also his household effects and goods and chattels and all personal property, [136]*136excepting money and securities, to have and to hold during the term of her natural life, with right of disposition. He also bequeathed to his wife $5,000 absolutely. Avancements to his children theretofore made were set out in his will as follows: L. A. Hess, $4,900; Frank S., $2,070; Burt L., $2,629; Lucinda Myler, $87; Nettie Moore, $2,749; John Hess, $4,472; Ella Stewart, $175. Also providing that as his son L. A. Hess had paid two notes for John amounting to $223.80 and interest, unless John should repay L. A., then such amount should be charged against John’s estate and the amount thereof paid to L. A. The advancements theretofore made and those to be thereafter made were to be charged against the shares of his children hereinafter set out. At the death of the testator’s wife it was provided that the executor should dispose of the remainder of this estate and distribute the proceeds thereof among the above named children subject to their respective advancements made to them. One Wm. C. Cathcart was named as executor, but afterward by codicil the testator named his son L. A. Hess as executor directing that he should be required to give security for the faithful performance of his duties. The widow and children were all living at the time the special findings were filed, and, except L. A. Hess, were all nonresidents of this state. After the execution of his will and before his death, the testator disposed of the Illinois real estate, and hence did not own the same at the time of his death. L. A. Hess named as executor failed to qualify as such or as administrator of the estate. On March 19, 1919, one William Hess was appointed as administrator with the will annexed, and thereafter, on his removal, James Keister, appellee, was appointed administrator de bonis non with the will annexed.

When the testator died, he had on general deposit in appellant bank, $506.39, and held a certificate of deposit [137]*137on said bank for $5,400, making with interest a total of $5,918.39, all of which the bank knew belonged to the testator. At his death, the testator had no personal property except a few household goods which were bequeathed to the widow, and which she retained. He had no real estate except a lot and dwelling house in Williamsport of the value of $2,000, the same having been purchased after the execution of his will. After the testator’s death said Lewis A. (L. A.) Hess went to . appellant’s bank and informed its officers that he had been appointed under the will to settle his father’s estate, and that he did not intend to be appointed or to qualify as executor, but that he desired it to be settled out of court, and thereupon in their presence indorsed the name of “L. A. Hess, Admr. of the Estate of Jonathan Hess,” and thereupon the whole account together with $49.78 interest on time deposit, was transferred to “L. A. Hess, Admr.” The bank knew during all of said time that said funds belonged to the estate of Jonathan Hess, and that said L. A. Hess was only pretending to act as such administrator, and that he had never qualified as such, but, notwithstanding such knowledge, it permitted him to draw checks aggregating $5,677.99. After said William Hess was appointed administrator, appellant paid over to him $790.18, and formal demand was made for the balance of said funds the payment of which was refused. Said L. A. Hess while so pretending to act as administrator, paid by check against said account valid claims against said estate in the sum of $428.10, and by the same method paid the widow for her separate use and benefit, $848.41. No other sums have been paid by said bank to parties duly entitled thereto. There was no agreement between the widow and children of said testator that said L. A. Hess might make settlement of said estate without qualifying as executor. The widow has not in any way disposed of her bequest [138]*138of $5,000, and she has not filed an election to take under the law of this state. At her request, however, said L. A. Hess paid her said sum of $848.41, as a part of her said legacy. Said L. A. Hess, while acting as such pretended administrator, paid claims amounting to $666.73, which were proper charges against said estate, but not chargeable against the bequests to the widow. There remained due appellee from appellant bank, $3,662.86, with interest at 6% from March 3, 1920, the date of demand. On these findings, the court stated its conclusion of law in favor of appellee. After overruling appellant’s motion for a venire de novo, and its motion for a new trial, the court rendered judgment for appellee in the sum of $4,132.91, from which this appeal, appellant assigning as error the court’s action in overruling appellant’s petition to stay proceedings, the conclusion of law, and the rulings on the motion for a venire de novo, and for a new trial.

Appellant’s petition for stay of proceedings is quite long, and nothing is gained in more than briefly stating it. After stating the facts, substantially as in the findings, as to the transfer of the testator’s funds from his account to the account of his son, who was an intermeddler, the petition recites that such son thereafter checked out $3,439.36 which was distributed to himself and his brothers and sisters as legatees, which sums were not to be paid to them until the widow’s death, and other items until there was left in bank but $790.18, which was paid to appellee. It then mentions the house and' lot in Williamsport, which under the terms of the will was not to be sold until after the death of the widow. It then mentions the legacy of $5,000 to the widow, which, under the terms of the will, was first to be paid out of the assets, after the payment of the debts and expenses of administration, and which legacy has not been paid. It asks for a stay of proceed[139]*139ings herein until the sale of said house and lot by the administrator, and for a reasonable time within which to pursue the “status of such account as to advancements.” We assume that this means in effect to pursue and recover, if possible, the illegal distributions. We confess that we have some difficulty to classify this petition in civil procedure. If it is a plea in abatement, and it was duly verified, it was not filed until after plea in bar, and hence was too late. It shows .on its face that more than two years had elapsed since appellant discovered that it was dealing with an intermeddler, and it does not appear that any steps had been taken to follow the fund paid out illegally.

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Bluebook (online)
138 N.E. 517, 80 Ind. App. 134, 1923 Ind. App. LEXIS 102, Counsel Stack Legal Research, https://law.counselstack.com/opinion/warren-county-bank-v-keister-indctapp-1923.