Witthaus v. Schack

45 N.Y. Sup. Ct. 560
New York Supreme Court·Decided January 15, 1886·Published

Opinion

Daniels, J.:

By the judgment which has been entered, the plaintiff has been adjudged entitled to dower in the property owned by her husband at the time of his decease, and situated south of Fifty-ninth street, in the city of New York. She joined in a deed of this and other property with her husband to the defendant, in trust for the payment of certain creditors, but so far as she was a party to it, it was vacated and set aside as to the property south of Fifty-ninth street. Before the action was commenced, and on the 14th of April, 1877, she gave notice to the defendant of her claim for dower in this property; and her action to vacate so much of the deed as was executed by herself and to establish her right to dower in the property of her husband, was commenced in the latter part of the year 1878. After an interlocutory judgment establishing her rights was entered, an appeal was taken to the General Term of this court (31 Hun, 590.)

After that was decided, a second hearing of the action also took place, upon which the judgment was so far modified as to limit the right of the plaintiff to recover in this action against the defendant, to the proceeds of property sold by him, in which she was entitled to dower, and to the rents and profits received by him while the property remained in his possession and under his management. It was afterwards made to appear, upon a reference ordered to take and state his accounts, that he held no proceeds of any part of the property which he had sold, but that during the pendency of the action, and before the recovery of the interlocutory judgment, parcels of land known as 7, 9 and 11 East Twentieth street, were sold under a judgment of foreclosure, recovered upon mortgages executed by the plaintiff and her husband, before the deed in which she joined was executed or delivered to the defendant. This sale took place after the 1st of February, 1880, and the proceeds were insufficient to pay the amounts directed by the judgment to be paid. The defendant also, in January, 1881, which likewise preceded the recovery of the interlocutory judgment, sold property known as 602 Sixth avenue, but after applying its proceeds upon charges and incumbrances, no part was left out of which the plaintiff was entitled to be endowed. But from the time when she demanded her dower of him, to near the time when these sales [563] were made, he received the rents and profits of these four pieces of land, and upon the accounting had before the referee, he was charged with one-third of such rents and profits, as the damages which the plaintiff was entitled to recover because of the withholding of her ■dower by him from her during that period. The amounts allowed against him did not include this entire period, but for a short time, during the latter part of it, he was not charged with any rents or profits of the property. The omission of the referee to make that ■charge against him in his accounts seems to have proceeded upon the fact that no collections were made for the omitted part of the time. And, as it does not appear from any evidence produced, or any finding of the referee, that the failure to collect and receive the rents and profits for this part of the time, arose out of any carelessness or misconduct of the defendant, it cannot be held, upon this appeal, that the referee has erred in not extending the liability of the defendant over the latter part of the period, during which he held and managed this property. The amounts omitted, in any event, are not large, and probably no injustice has been done to the plaintiff in the adjustment made by the referee.

In bis first report the defendant was charged with interest, at the legal rate, upon the amounts received by him, but that under an order of the court permitting further evidence to be taken, was reduced to two and one-half per cent. This reduction was 'made upon evidence from which the referee concluded that it was all that the defendant had realized out of the moneys while they remained in his hands. And as to that he was sustained by the testimony of the defendant, who stated that to be about the amount of interest realized by him. He was accordingly right in limiting the interest to that rate, inasmuch as there was no reason for imputing bad faith to the defendant in the use of the money.

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Witthaus v. Schack, 45 N.Y. Sup. Ct. 560 (N.Y. Super. Ct. 1886).

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